ACCTG 305Financial Statements and Management Decisions

4 credits · Accounting · Penn State

Impact of management's financing, investing, and operating decisions on GAAP- based financial statements. This course is a one-semester condensed version of the traditional two-semester intermediate accounting sequence ( ACCTG 371 or 471 ; and 472) intended for the non-accounting major. Students who have passed ACCTG 371 or 471 ; and 472 may not take this course for credit. It is a required course for the Finance major. Students will gain a fundamental understanding of the information conveyed in the financial statements and, as a result, develop an appreciation for its usefulness and limitations in decision making. They will also develop the prerequisite knowledge base necessary to conduct financial statement analysis as required in Level I of the Chartered Financial Analyst (CFA) exam. A financial statement user decision-making perspective, rather than the accountant/preparer approach found in the traditional intermediate accounting sequence, is emphasized. Student success in meeting the learning objectives will be assessed through a combination of exams, quizzes, assigned homework problems, and participation. The comprehensive final exam will test the student's comprehension of the relevant material.