Midland College

Syllabus
FALL 2013- 2015
ACCT 2402
Principles of Accounting II

Course A continuation of ACCT 2401 completing the study of corporate financial accounting data for cost
Description: control and management decision making. The student is required to learn the preparation of Cash
Flow Statement and review the relationships among all the corporate financial statements. The
student will use financial statement analysis to track a firm=s trends and to determine a firm=s
liquidity, profitability, and solvency. The student will learn the basis of manufacturing cost
accounting and product costing, as well as basic planning and control tools such as break-even and
marginal analysis. The study will include the planning and budgeting function, including cash
budgeting and the use of standard costs for cost control. The student will learn the variable costing
method, incremental cost analysis, and the use of present value and other techniques to analyze
alternatives such as capital expenditures, make-or-buy, sales mix and other managerial accounting
decision making techniques. This course will transfer to most upper level institutions as ACCT
2302. (Prerequisites: ACCT 2401)
Text, 1. Horngren, Harrison, Oliver ACCOUNTING, 9th edition, Prentice Hall (required).
References, 2. MY ACCOUNTING LAB (access code) for homework (included with book or purchase separately).
and Supplies: 3. A project for understanding annual reports (furnished).
4. Scantrons for major exams.
5. A calculator is strongly recommended B NO cell phones used for calculators.
Course 1. Students will explore the theory and practice of recording, measuring, and
Goals/ interpreting financial data for partnerships and corporations.
Objectives: 2. Students will apply basic concepts, principles, and procedures of accounting while
analyzing corporate financial statements for decision making purposes by completing
a special project..
3. Students will survey management accounting and concentrate on cost accounting
techniques for manufacturing entities by preparing journal entries and completing a
Cost of Goods Manufactured Statement.
4. Students will prepare budgets and performance reports and preform
cost-volume-profit analysis (break-even) from management=s perspective.
Student 1. Each student should spend at least 8 hours per week preparing for class. Attendance is
Contri critical in this class. Students are expected to read and study each chapter in the text.
bution 2. POLICY FOR QUIZZES & EXAMS MISSED BY STUDENTS:
s and Seven progress quizzes are scheduled during the semester, and only five progress quizzes will
be counted in arriving at the final grade. Because two quizzes will be dropped, the
GENERAL RULE to be followed is that there will be NO MAKE-UPS on progress
Class
quizzes that are missed! Students who miss progress quizzes may obtain blank copies of
Policies: the quiz for study purposes when the progress quiz is returned to the class. In the
event that a student misses a scheduled major exam, the GENERAL RULE to be followed is
that all makeup exams will be given on the day of the final exam.
3. Students will be expected to participate in classroom activities and discussions.
4. Students will be expected to exhibit professional behavior during scheduled class
times and while in the lab. Professional behavior includes, but is not limited to,
complying with the rules of Midland College; being punctual; exhibiting cooperative
behavior in class; avoiding the use of earphones, cell phones, and beepers, which are
disruptive to the class.
5. The use of cell phones, even for calculators, will result in a zero on the quiz or exam.
Evaluation of 1. Performance will be measured according to established grading standards by
Students: student testing, including exams consisting of true-false, multiple-choice,
matching; fill-in-the-blanks; short-answer; essays; problems; or any
combination.
2. Grading for this course will be as follows:

Best 5 Progress Quizzes (20 points each) 100 points

3 Major Exams (100 points each) 300 points
All homework 100 points
Project 100 points
Final Examination (emphasis on last 3 chapters) 100 points
Maximum Points 700 points

Grade Points
A 630+
B 560-629
C 490-559
D 420-489
F less than 420

A grade of W will only be given at the request of the student. Please review the withdrawal
policy in the Midland College Catalog.
Course The class meets for 3 lecture hours per week. A tentative course schedule will be provided to the
Schedule: student during the first class meeting.
Scholastic
Dishonesty &
Academic Cheating: The deliberate use of unauthorized materials and/or actions or fraudulent acquisition
Misconduct in order to obtain information for an examination or assignment.
.
1. Plagiarism: Appropriation, buying, receiving as a gift, or obtaining by any means
another=s work and the unacknowledged submission or incorporation of
it in one=s own written work offered for credit.

2. Collusion: The unauthorized collaboration with another person in preparing

written work offered for credit or collaboration with another person to
commit a violation of the rules of scholastic dishonesty.

3. Penalties: The instructor has the primary responsibility for recommending the
penalties for any type of scholastic dishonesty describe on pages 66 and
67 of the Catalog and Handbook. These penalties include:
1. Failure of the test/assignment.
2. Failure of the course.
3. Recommendation for disciplinary action, including institutional
suspension or dismissal.
 Note: Students are encouraged to contact the instructor at any time; however, making an
appointment will guarantee the instructor=s availability at a specific time.

Division Information

Division Dean:
Division Secretary: Norma Duran (685-6830)
Division Office: Room 154 MHAB

ACCOUNTING LAB

The accounting lab is located in room 170 TC (432-686-4212). More definite information will be posted in the
lab after the first week of class.

STUDENTS WITH DISABILITIES

Midland College provides services for students with disabilities through Student Services. In order to receive
accommodations, students must place documentation on file with the Counselor/Disabilities Specialist.
Students with disabilities should notify Midland College prior to the beginning of each semester. Student
Services will provide each student with a letter outlining any reasonable accommodations. The student must
present the letter to the instructor at the beginning of the semester.

ACCT 2402 - Principles of Accounting II

HOMEWORK ASSIGNMENTS - (ACCOUNTING, 9th edition, Horngren, Harrison, Oliver).

At the end of each chapter in your textbook, you will find a glossary of terms, Quick Check test, Short
Exercises, Exercises, and Problems.

SHORT EXERCISES generally review concepts and terminology. You may be assured that a significant
number of questions concerning concepts and terminology will appear on both progress quizzes and major
exams. Therefore, students are advised to study and be able to answer these short exercises.

EXERCISES represent short applications of the concepts contained in the chapter (usually covering one or
two chapter objectives). Often a student can work an exercise in his head or on scratch paper C although some
exercises are more detailed and require more thought and concentration.

PROBLEMS are longer and more complex than exercises, often involving several chapter objectives. This
semester students will complete selected exercises and problems for a homework grade.
 CHAPTER HOMEWORK--EXERCISES and PROBLEMS

FOURTEEN P14­25A, P14­26A

FIFTEEN P15­23A, P15­24A, P15­25A, P15­26A

SIXTEEN P16­26A, P16­25A

SEVENTEEN P17­25A, P17­28A, 17A­12A, P17A­13A

EIGHTEEN P18­27A, P18­29A

NINETEEN P19­23A, P19­24A

TWENTY P20­21A, P20­23A

TWENTY­ONE omitted

TWENTY­TWO E22­14, E22­16, E22­18, E22­20

TWENTY­THREE P23­28A

TWENTY­FOUR P24­19A, P24­21A

Used
Purpose and/or Sample of
Competencies Assignments Through-out the
Real Life Applications
Course

Build a vocabulary of accounting
terminology as it relates to
corporations and manufacturing
companies
To understand the difference Write answers to select Yes
in accounting for the sole questions and short exercises
proprietorship and
corporation forms of business
using GAAP.

Recognize two ways to internally
finance a corporationBselling
stock and profitable operations
and how to display these sections
on a Balance Sheet for
corporations.
To distinguish the owner=s
equity section of a Balance
Sheet of a sole proprietorship
or partnership from that of a
corporation.
Record transactions to sell No
capital stock, declare and
pay/distribute cash and stock
dividends and prepare several
Stockholder=s Equity sections
of Balance Sheets for

Identify an additional way to
finance corporations- using
external sources.
Identify the three basic financial
activities in which all businesses
engageBoperating, investing, and
financing.
To make informed decisions
about the financial health of a
company.
Describe/distinguish three types
of business organizations-service,
merchandizing, and
manufacturing, and classify their
costs by value-chain element.
Use Cost-Volume-Profit analysis
to determine a company=s
breakeven point.
To develop a Master Budget for a
businessBincluding a budgeted
Income Statement & Balance
Sheet.
Competencies
Evaluate a manufacturing
company=s performance using
standard cost accounting
procedures for Direct Materials,
Direct Labor, and Factory
Overhead.
Illustrate external long term
financing opportunities for a
corporationBspecifically
bonds.
Catagorize financial activities
into three separate activities.
Complete a major project that
analyzes a company=s
financial position
Classify costs into 3 cost
categoriesBdirect materials,
direct labor, and factory
overhead.
Demonstrate how changes in
volume affect costs/profits.
To develop strategies
(business goals) that help a
business plan and control
revenues and costs.
Purpose and/or Sample of
Real Life Applications
Companies must know how
to use variance to learn why
actual results differ from
budgets.
corporations.
Record entries to issue bonds, No
pay interest, and amortize
Premiums and Discounts.
Prepare several Cash Flow No
Statements using the Indirect
Method of preparation.
Utilize horizontal and vertical No
analysis plus 14 common
financial statement ratios to
interpret a company=s
financial status.
Record entries for job order No
costing and process costing.
Compute the breakeven point No
for a business using equation
approach, Income Statement
approach, and CVP graph.
Prepare budgets for sales, No
purchases, cost of goods sold,
and inventory; cash budgets,
and performance reports.
Used
Assignments Through-out the
Course
Prepare flexible budgets and No
use these budgets to show
why actual results differ from
standardsBcompute efficiency
and price variances for direct
materials and direct labor.
Compute overhead variances.