Gwybodaeth Modiwlau

Module Identifier
Module Title
Financial Accounting 1
Academic Year
Semester 2 (Taught over 2 semesters)
Also available in
Other Staff

Course Delivery

Delivery Type Delivery length / details
Lecture 11 x 1 Hour Lectures
Lecture 10 x 2 Hour Lectures
Seminar 6 x 1 Hour Seminars
Lecture 10 x 1 Hour Lectures
Lecture 11 x 2 Hour Lectures


Assessment Type Assessment length / details Proportion
Semester Exam 3 Hours   Unseen written examination  70%
Semester Exam 1.5 Hours   Class Test  Assessment length added so that data comes through on the exam timetable  20%
Semester Assessment Coursework  10%
Supplementary Exam 3 Hours   Unseen written examination  Repeat failed element  70%
Supplementary Exam 1.5 Hours   Test  Repeat failed elements  20%
Supplementary Assessment Coursework  Repeat failed elements  10%

Learning Outcomes

On successful completion of this module students should be able to:

* Describe and explain the conventions which underpin financial accounting

* Describe, compare and contrast the different forms of UK business organisations

* Explain, apply and illustrate and rules by which assets, liabilities, income and expense are determined for insertion into financial accounts

* Describe and evaluate the financial recording procedures followed by organisations

* Interpret a trial balance and thence prepare a set of accounting statements

* Prepare partnership accounts

* Describe, explain, apply, interpret and criticise the common simple methods of financial statement analysis

* Use accounting computer software to record business transactions


This module is a core module to the School's Accounting and Finance degree schemes (single, major, joint and minor) and N310 (Business Finance); it is also core to Financial Mathematics. It is also available to other students within the University who are looking for a financial 20 credit module.

This module provides a thorough grounding in the context, purposes and practices of financial reporting, and an introduction to the interpretation of financial accounts as expected by:

Honours Degree Subject Benchmark Statement: Accounting (2007), Quality Assurance Agency for Higher Education

Honours Degree Subject Benchmark Statement: Finance (2007), Quality Assurance Agency for Higher Education

Further, the module contributes to the maintenance of (or is anticipated to contribute to the achievement of [further]) accreditation from professional accountancy bodies, including:

Institute of Chartered Accountants in England and Wales
Association of Chartered Certified Accountants
Chartered Institute of Management Accountants
Institute of Chartered Accountants of Scotland

Brief description

This module aims to give students a thorough grasp of the basics of financial reporting (context, purposes, regulatory framework) and build towards a proficiency in the recording of business transactions, and the preparation and interpretation of the primary financial statements (income statement, balance sheet and cash flow statement). It also aims to build proficiency in the use of accounting computer software.


The following topics are covered:


  • Uses and purposes of financial accounting
  • Conceptual framework
  • Users of accounting information
  • Explain and contrast accounting concepts
  • Qualitative characteristics of financial information
  • True and fair view
  • Double-entry bookkeeping
  • 'debit' and 'credit'
  • Write up and record business transactions into accounts
  • Account for closing stocks and other accounting adjustments
  • Explain and calculate the balancing of accounts
  • Extract a trial balance from a company'r transactions

  • Identify the financial information shown in the financial statements of a company: balance sheet; income statements; cash flow statement
  • Construct simple financial statements
  • Outline the structure of the balance sheet
  • Classify the broad balance sheet categories of shareholders equity; liabilities; assets
  • Prepare a balance sheet
  • Evaluate some of the alternative methods of asset valuation
  • Appreciate the limitations of the conventional balance sheet
  • Outline the structure of the income statement
  • Classify levels of profit and format
  • Relevant disclosure
  • Reconciliation of movement in shareholders? funds
  • Appreciate links between income statement and balance sheet in regards to valuation of fixed assets and depreciation, stock and cost of sales, debtors and the doubtful debt provision, and the subjective aspects of profit measurement
  • Outline structure of cash flow statement
  • Direct / indirect method
  • Links between cash flow statement and income statement
  • Case study - preparing set of accounts from source data
  • History of partnership accounting
  • Differences between a limited company's accounts and a partnership's accounts
  • Appropriation accounts, capital and current accounts
  • Changes in partnership arrangements

  • Types of ratio analysis
  • Profitability
  • Investment
  • Gearing (sources of finance)
  • Efficiency
  • Investment
  • Horizontal and cross sectional analysis
  • Introduction to SAGE
  • Input
  • Producing financial statements

Module Skills

Skills Type Skills details
Application of Number Develop an easy familiarity with numerical data sources and numerical data Apply numerical data to problem solving with care and accuracy Assess the reasonableness of and interpret numerical solutions Support assertions/arguments with appropriately developed and presented numerical data
Communication Develop confidence in and clarity of oral communication via example class/tutorial participation Develop clarity and focus of written communication via development of answers to self study questions Develop and use appropriate subject-specific vocabulary in oral and written communication
Improving own Learning and Performance Identify and distil the key issues covered by lectures, tutorials and self study Identify and use a range of learning resources Investigate benefits of small group working on self study Structure study to accommodate intensive learning
Information Technology Use a variety of electronic web- and library-based resources to review available information and retrieve pertinent information Use spreadsheet software to complete elements of the self study Use computer software to produce a set of financial statements
Personal Development and Career planning Preparation for seminar tasks will encourage initiative, independence and self-awareness
Problem solving Identify the precise problem to be solved Assess which data are pertinent to the problem Recognize that alternative solution methods might be available Select and apply appropriate methods for solving the problem Assess the reasonableness of problem solutions and interpret those solutions
Research skills Identify which information sources are available to: facilitate module study (understanding, wider reading) provide data which allow application of module learning in a real world context Properly reference/attribute information sources
Subject Specific Skills Develop competence in producing a simple set of accounts Ability to use, apply and understand double-entry book-keeping Producing a set of accounting books from source data manually and also through the use of computerised accounting software
Team work Develop experience of team work and develop team working skills via small group working on self study Group work during seminars


This module is at CQFW Level 4