Advanced financial accounting

The objectives of this module are to provide you with an understanding of: the key issues underlying some of today's problematical financial reporting areas; how accounting standards are developed and, in particular, the political as well as the technical pressures faced by standard setters and the uk approach to financial reporting as encapsulated in the 'true and fair view' concept.  

In this module you will look at:

• relationship between accounting theory and accounting practice

 • these sessions will cover accounting for a number of problematical financial reporting areas. These are likely to include the following ‐ research and development expenditures; leasing; acquisitions and mergers; goodwill and intangibles; deferred taxation.

•  overview of the standard setting process

• the `true and fair view? concept 

Likely topics:

• relationship between accounting theory and accounting practice. Can accounting survive without theory? types of theory. Accounting conventions and concepts evaluated.

• accounting for problematical financial reporting areas. These sessions will examine the following issues in relation to the selected accounting topics. Why is the accounting problematical? the impact of alternative accounting treatments on the financial statements and on company performance ratios; the main features of the latest accounting standard; how this standard was developed and the interests and pressures that brought it about; likely future developments.

• review of the standard setting process. The case for and against accounting regulation. The current regulatory framework of financial reporting. True and fair view. The history and significance of the concept. Alternative interpretations.