Course Title: Principles of Accounting II

Course Code: AC 112
Credit Value: 3 Credits

Contact Hours:

• Lectures: 3 hours per week

• Tutorials/Practical Sessions: 1 hour per week

Duration: 15 Weeks (One Semester)
Prerequisite: Principles of Accounting I
Primary Tools: Accounting worksheets, financial statements, and spreadsheets (Microsoft Excel or equivalent)

1. COURSE DESCRIPTION

Principles of Accounting II builds upon the knowledge and skills acquired in Principles of Accounting I by introducing intermediate financial accounting concepts and more advanced preparation and analysis of financial records. The course focuses on the preparation, adjustment, and interpretation of financial statements for sole proprietorships and partnerships, while providing an introduction to the principles of corporate accounting.

Emphasis is placed on the accurate application of accounting principles, compliance with recognised accounting standards, and the practical preparation of financial statements. Students develop the competence required to maintain complete accounting records, prepare financial reports, and support informed financial decision-making in a range of organisational settings.

2. COURSE OBJECTIVES

By the end of this course, students should be able to:

1. Prepare complete sets of financial statements for business entities.

2. Apply adjusting and closing entries accurately in the accounting cycle.

3. Account for cash, trade receivables, inventories, and non-current assets.

4. Explain the accounting principles applicable to partnerships and introductory corporate accounting.

5. Interpret financial statements to support business and financial decision-making.

6. Apply recognised accounting standards and ethical principles in financial reporting.

3. LEARNING OUTCOMES

Upon successful completion of this course, students will be able to:

1. Prepare adjusted trial balances and complete financial statements.

2. Record, reconcile, and report cash and bank transactions accurately.

3. Account for trade receivables, including provisions for doubtful debts.

4. Record and value inventories using accepted inventory valuation methods.

5. Account for non-current assets, including depreciation and disposal.

6. Prepare partnership accounts and introductory company accounts.

7. Analyse financial statements using basic financial ratio analysis to evaluate business performance and financial position.