LOYOLA INSTITUTE OF BUSINESS ADMINISTRATION

PDGM (FULL-TIME)

FUNDAMENTALS OF ACCOUNTING & FINANCE

Bridge Course Course Coordinator: Dr. D. Madhava Priya

Course Facilitators : Prof. P.C. Lakshmi Narayanan
: Dr. M. P. Pandikumar
Batch: F’22 Period: July - August 2022
No: of Sessions: 15 Sessions

Course Overview
The course is designed to provide students with no prior exposure to accounting a working
knowledge of the accounting process and how the information provided by accounting is used by
managers from different verticals for taking various economic decisions. The course is a
prerequisite for the Basic Financial Analysis and Corporate Finance Decisions for Wealth
Maximization.

Assurance of Learning (AOL)

By the end of the course you would have become competent to
 Define Accounting Terms, objectives and the Accounting cycle.
 Identify and apply principles and regulations relating to financial accounting.
 Apply the processes of recognition, measurement and disclosure of accounting
information including requirements of relevant Ind AS in the preparation of financial
statements for a corporate.
 Understand the Accounting Process and would be able to prepare Financial Statement.
 Develop competency to learn the core course Basic Financial Analysis and to develop the
skill sets for wealth maximization.

Course Objective
 To define and comprehend the financial statements of a corporation.
 To understand the relevant provisions of the reporting standards applicable to corporate
financial statements in India.
 To analyze and interpret financial statements to evaluate corporate performance for
decision making by various stakeholders such as Board of directors, equity analysts,
bankers, lenders, regulators etc.
F’22/Bridge Course / Fundamentals of Accounting & Finance / Dr. D. Madhava Priya
Course Content

Unit 1 Introduction to Accounting and Financial Statements: Meaning of 5 Sessions

Accounting – Sources and Users of Accounting Information -
Accounting principles, conventions and concepts – Indian Accounting
standards, IFRS and US GAAP – Accounting Process - Symbols for
Sources and Uses - Financial Statements – Accounting Equation - Form
and Contents of Financial Statements – Financial Decision making for
Wealth Maximization.
Unit 2 Accounting Mechanics: Basic Accounting Mechanics – Double entry 5 Sessions
system of Financial Accounting - Rules of Debit and Credit - Types of
Accounts - Books of Accounts - Conceptual framework of Financial
Accounting - Recording the Transaction in the various books - Ledger
Postings - Preparation of a Trial Balance from General Ledger Balances.
Unit 3 Preparation of Financial Statements: - Introduction to Income 5 Sessions
statements – Introduction to Subsidiary Books – Cash Book - Passing
adjustment entries - Preparation of Profit and Loss account from a given
Trial Balance- Preparation of Balance sheet and analysis of Balance
Sheet.

Teaching Methodology

Methodology
Unit-I The accounting concepts, conventions and principles will be taught. They
will be made to understand the accounting process and accounting
language which will help for wealth maximization. At the end of the unit,
they will be asked to analyse the different companies annual report and
submit an assignment on the concepts and principles used by those
companies.
Unit-II The students will learn about concepts, accounting mechanics and
recording of transactions. They will be made to understand the application
and significance of these accounting mechanism by doing an assignment.
Unit-III In this unit the students will be able to prepare the final accounts. They
will be trained to prepare the balance sheet and interpret and evaluate the
managerial decisions based on real life and case study.

Evaluation Methods

F’22/Bridge Course / Fundamentals of Accounting & Finance / Dr. D. Madhava Priya

 Formative Assessment

Particulars Marks
Concept Surprise Test -1 30
(Introduction to Accounting and Financial Statements)
Concept Surprise Test -1 30
(Accounting Mechanics)
Concept Surprise Test -1 40
(Preparation of Financial Statements)
Total 100

(Eligibility for Summative Assessment: Minimum 55% i-e “C+ and Above” should be secured
in Formative Assessment, those candidates who are not qualified should take the concept test
for 100 marks)

Summative Assessment

Particulars Marks
Summative Assignment – I 30
(Introduction to Accounting and Financial Statements)
Summative Assignment – II 30
(Accounting Mechanics)
Summative Assignment – III 40
(Preparation of Financial Statements)
Total 100

Text Books

1. Narayanaswamy; “Financial Accounting: A Managerial Perspective”; 6ed (revised),

PHI Learning.
2. Sanjay Dhamija; “Financial Accounting for Managers”; 3rd Edition, Pearson
Publication.
3. Ashok Banerjee; “Financial Accounting: A Managerial Emphasis”,
3rd Edition, Excel Publication

F’22/Bridge Course / Fundamentals of Accounting & Finance / Dr. D. Madhava Priya

Session Plan

Session Topic Learning Methodology

1 Meaning of Accounting – Sources and Users of Lecture, Quiz, Assignments
Accounting Information
2 Accounting principles, conventions and concepts Lecture, Quiz, Assignments

3 Indian Accounting standards, IFRS and US Lecture, Quiz, Assignments

GAAP
4 Accounting Process - Symbols for Sources and Uses Lecture, Quiz, Assignments,
- Financial Statements Review Problems
5 Accounting Equation - Form and Contents of Lecture, Quiz, Assignments,
Financial Statements. Review Problems
6 Basic Accounting Mechanics – Double entry system Lecture, Problem solving,
of Financial Accounting - Rules of Debit and Credit. Assignments
7 Types of Accounts - Books of Accounts - Lecture, Problem solving,
Conceptual framework of Financial Accounting Assignments
8 Recording the Transaction in the various books Lecture, Problem solving,
and Ledger Postings Assignments
9 Preparation of a Trial Balance from General Lecture, Problem solving,
Ledger Balances. Assignments
10 Preparation of Final Accounts – without Lecture, Problem solving,
adjustments Assignments
11 Introduction to Income Statement and its Lecture and Problem solving
adjustments
12 Subsidiary Books – Cash Book (Two column) Lecture and Problem solving
13 Balance sheet – Introduction to adjustments Lecture and Problem solving
14 Preparation of Financial statements Lecture and Problem solving
15 Preparation of Financial statements Lecture and Problem solving

Faculty Facilitators

Sessions Faculty / Alumnus / Industry

1-5 Dr. D. Madhava Priya (Course Coordinator)
6-10 Prof. P. C. Lakshmi Narayanan
11-15 Dr. M. P. Pandikumar

Guidelines for the Students

F’22/Bridge Course / Fundamentals of Accounting & Finance / Dr. D. Madhava Priya
  Apart from the prescribed text book, students are advised to work out more problems
from other reference books and read newspapers specially Business Standard for
update.
 Attention and Participation in the class is extremely important for better understanding
of the concepts taught. Students are expected to read the chapter/chapters and come
prepared for the class.
 The students are expected to actively participate in classroom discussions, which will be
initiated and moderated during all the sessions.
 Apart from this the students will be required to participate in group activity
within/outside the class on Case Studies/assignment provided by the faculty from time to
time. Students would be formed into groups of 4/5 members each. Student must discuss
and work out the assignment/case study together. If any group member does not
participate/is absent please do not include his/her name.

The coversheet of each assignment/case study submitted must contain the following
information:
a. Case study/Assignment number
b. Name of the case/chapter no
c. Name and Roll number of each member present
d. Date of submission.

 Students are expected to access LMS for course inputs and announcements that will
periodically loaded.

 No request for extension of deadline will be entertained for submission of Assignments.

Assignments and Case study solutions should be hand-written only.

“ALL THE BEST …..EXCEL WELL”

F’22/Bridge Course / Fundamentals of Accounting & Finance / Dr. D. Madhava Priya