International Financial Accounting and Reporting

Introduction to International Accounting

Financial and management accounting. Decision makers: The users of accounting information.
Financial accounting and reporting standardization. Major causes of international accounting
differences. Accounting models. Introduction to International Financial Reporting Standards
(IAS/IFRS).
Conceptual Framework for the preparation and presentation of financial statements
Objective of financial statements. Underlying assumptions, basic principles and concepts of
international financial accounting and reporting. Qualitative characteristics of accounting
information. Elements of financial statements and their measurement bases.
The accounting information system
Basic Equation. The Accounting Cycle.
Presentation of Financial Statements (IAS 1)
General purpose financial statements. Overall requirements for the presentation of financial
statements. Structure and content of financial statements (statement of financial position,
statement of comprehensive income, statement of changes in equity, statement of cash flows,
notes).
Revenue (IAS 18)
Definition of revenue. Revenue measurement and recognition (sale of goods, rendering of
services, interest, royalties and dividends). Related disclosures.
Inventories (IAS 2)
Definition and classification of inventories. Measurement of inventories. Techniques of
measurement of costs, cost formulas. Valuation at net realizable value. Related disclosures.
Periodic and perpetual inventory systems.
Property, plant and equipment (IAS 16)
Definition. Criteria for recognition. Measurement at recognition. Costs subsequent to acquisition.
Measurement after recognition. Depreciation and impairments. Derecognition. Related
disclosures.
Intangible assets (IAS 38)
Characteristics of intangibles and criteria for recognition. Measurement at recognition.
Measurement after recognition. Useful life and amortization. Presentation of intangibles.
Provisions, contingent liabilities, and contingent assets (IAS 37)
Classification of liabilities. Recognition and measurement of provisions. Contingent liabilities
and contingent assets. Related disclosures.
Equity
Components of equity. Dividend distributions. Treasury stocks. Related disclosures.
Cash flow statements (IAS 7)
Benefits of presenting a cash flow statement. Cash and cash equivalents. Content and format of
the cash flow statement, methods of preparation (direct versus indirect method). Related
disclosures.

Introduction to International Accounting.

Conceptual Framework for the preparation and
presentation of financial statements.
The accounting information system.
Presentation of Financial Statements (IAS 1)
Revenue (IAS 18). Inventories (IAS 2)

Lecture

5 credit hours

Lecture
Exercises
Lecture
Exercises

4 credit hours

Property, plant and equipment (IAS 16).

Intangible assets (IAS 38)
Provisions, contingent liabilities, and contingent
assets (IAS 37).
Lecture
Owners equity.
Exercises
Cash flow statements (IAS 7)
Examination
Total

4 credit hours
5 credit hours
2 credit hours
20 credit hours

Form of examination: final test with multiple-choice questions and exercises.

List of readings
1. International Financial Reporting Standards (IFRSs) 2008. IASCF, 2008.
2. Alexander D., Nobes C. Financial Accounting. An International Introduction. Pearson
Education Limited, 2001.
3. Keiso D., Weygandt J., Warfield T., Intermediate Accounting.- 12-th ed., John Wiley &
Sons, Inc., 2008
4. Websites:
www.iasb.org.uk
www.iasplus.com