FAR EASTERN UNIVERSITY-MANILA

Vision
Guided by the core values of Fortitude, Excellence and Uprightness, Far Eastern University aims to be a university of choice in Asia

Mission
Committed to the highest intellectual, moral and cultural standards, it strives to produce principled and competent graduates. It nurtures a service-
oriented and environment conscious community which seeks to contribute to the advancement of the global society.

Quality Policy
Far Eastern University is committed to providing quality educational services. Each person is expected to do the job right the first time with the
intention of consistently satisfying the requirement of our students, other members of FEU community, and external parties. Under any given
circumstances we shall adhere to all the requirements and standards for continuous improvement and effectiveness of the
quality management systems.

INSTITUTE OF ACCOUNTS, BUSINESS AND FINANCE

Vision
Far Eastern University – Institute of Accounts, Business and Finance (IABF) envisions itself
to be the preferred business school in Asia.

Mission
The Institute of Accounts, Business and Finance is committed to produce principled and competent business graduates, espousing Fortitude,
Excellence and Uprightness. IABF will promote community engaged, service-oriented individuals who will shape and build strong organization in
the future.

DEPARTMENT OF ACCOUNTANCY

Vision
Guided by the core values (Fortitude, Excellence and Uprightness) of a true-blooded Tamaraw, the Accountancy Program of FEU– IABF
envisions itself as a Center of Excellence in Accountancy Education.

Mission
It commits to develop future responsible accounting professionals through holistic accountancy curriculum, extensive and innovative delivery of
instruction, competent and highly qualified faculty, state-of-the-art facilities, industry and community-based researches, practical-based student
apprenticeship program and extensive community
Program Learning Outcomes (PLO)

A graduate of BS in Accountancy and BS Internal Auditing should be able to:

1. Analyze business transactions in accordance with the appropriate accounting and auditing standards, taxation and business laws. (CHED PELO
1)
2. Prepare financial statements and other-related reports in accordance with applicable accounting and auditing standards, taxation and business
laws. (CHED PELO 1)
3. Utilize appropriate accounting/auditing information systems in managing business transactions. (CHED PELO 3)
4. Identify the features of various business processes of global, e-commerce and emerging markets. (CHED PELO 1)
5. Develop a strategic business plan using the management concepts and principles holistically. (CHED PELO 1)
6. Interpret the business environment through the use of various financial and management analysis. (CHED PELO 1)
7. Evaluate accounting-related topics and contemporary issues through written inquiry and investigation. (CHED PELO 2)
8. Apply relevant auditing standards to financial statements audit for reliable communication of results to stakeholders. (CHED PELO 4)
9. Act with integrity, objectivity, professional competence and due care, confidentiality and professional behavior in accordance with Code of Ethics.
(CHED PELO 5)
10. Prepare income tax returns and other business documents in compliance with regulatory requirements. (CHED PELO 1)
11. Pass the licensure examination and global certifications. (CHED PELO 4)
12. Demonstrate leadership and interpersonal skills through collaborative work. (CHED PELO 2)
13. Communicate effectively in a variety of domain including writing, speaking, listening and reading in the context of accounting and business.
(CHED PELO 1 & 2)
14. Adapt to changing environment by responding positively to challenges. (CHED PELO 5)
15. Manifest the FEU core values - Fortitude, Excellence and Uprightness. (CHED PELO 5)

Course Title : CONCEPTUAL FRAMEWORK AND ACCOUNTING STANDARDS

Course Code : ACT1122
Credits : Three (3) units / Three (3) hours
Prerequisite : ACT1101
Course Description : This course deals with the New Conceptual Framework for Financial Reporting prescribed by Financial Reporting
Standards Council (FRSC). It explains the standard setting process, the authority attached to the standards, and the body
authorized to promulgate them. It is focus to discuss updated and currently effective standards or pronouncements by
Financial Reporting Standards Council pertaining to the elements, measurement, recognition, preparation and presentation
principles including the pertinent disclosure requirements in the preparation and presentation of Statement Comprehensive
Income, Statement of Financial Position, Statement of Cash Flows and Statement of Changes in Equity for sole
proprietorship, partnership and corporation. This course will also focus on different relevant and existing accounting
standards. It is also intended to discuss the corporate accounting – formation, share capital transactions, subsequent
transactions, Book Value per share, and Basic Earnings per share. It also includes the components of Retained Earnings
which includes dividend declaration and appropriation as well as preparation of shareholders’ equity section.
Course Learning Outcomes (CLO):
Upon completion of the course, the learner is expected to:
1. Identify the different forms of a corporation.
2. Describe the peculiar terms used in corporate accounting.
3. Explain the formation of a corporation.
4. Discuss the components of Share Capital, Reserves, and Retained Earnings
5. Enumerate the different types of dividends.
6. Journalize the original and subsequent operations of a corporation.
7. Discuss the components of Retained Earnings.
8. Prepare the shareholders’ equity section of the statement of financial position
9. Prepare the interrelated financial statements for a corporation– statement of comprehensive income, statement of changes in equity,
and statement of financial position.
10. Discuss the scope Conceptual Framework for financial reporting
11. Explain the general purpose financial reporting
12. Enumerate the fundamental and enhancing qualitative characteristics.
13. Identify all the underlying assumption
14. Describe the elements of financial statements
15. Explain the three bases for recognition of expenses
16. Identify the measurement bases for the elements of financial statements
17. Distinguish financial capital maintenance concept and physical capital maintenance concept.
18. Explain selected and relevant PASs and PFRs (PAS 1-41 and PFRS 1-17)

COURSE LEARNING OUTCOMES IN RELATION TO STUDENT OUTCOMES AND PROGRAM LEARNING OUTCOMES

Course Learning Outcomes (CLO) Program Learning

Outcomes (PLO)

CLO1 Identify the different forms of a corporation. 1, 4, 9, 11, 13, 15

CLO2 Describe the peculiar terms used in corporate accounting. 1, 4, 9, 11, 13, 15

CLO3 Explain the formation of a corporation. 1, 4, 9, 11, 13, 15

CLO4 Discuss the components of Share Capital, Reserves, and Retained Earnings 1, 4, 9, 11, 13, 15

CLO5 Journalize the original and subsequent operations of a corporation 1, 2, 4, 9, 11, 13, 15

CLO6 Enumerate the different types of dividends. 1, 4, 9, 11, 13, 15

 COURSE LEARNING OUTCOMES IN RELATION TO STUDENT OUTCOMES AND PROGRAM LEARNING OUTCOMES

Course Learning Outcomes (CLO) Program Learning

Outcomes (PLO)

CLO7 Discuss the components of Retained Earnings. 1, 2, 4, 9, 11, 13, 15

CLO8 Prepare the shareholders’ equity section of the statement of financial position 1, 2, 4, 9, 11, 13, 15

CLO9 Prepare the interrelated financial statements for a corporation– statement of comprehensive income, statement of 1, 2, 4, 9, 11, 13, 15
changes in equity, and statement of financial position.
CLO10 Discuss in detail the Conceptual Framework for financial reporting 1, 4, 9, 11, 13, 15

CLO11 Explain other standards related to financial statement preparation and presentation. 1, 4, 9, 11, 13, 15

CLO12 Enumerate the fundamental and enhancing qualitative characteristics. 1, 4, 9, 11, 13, 15

CLO13 Identify all the underlying assumption 1, 2, 4, 9, 11, 13, 15

CLO14 Describe the elements of financial statements 1, 4, 9, 11, 13, 15

CLO15 Explain the three bases for recognition of expenses 1, 4, 9, 11, 13, 15

CLO16 Identify the measurement bases for the elements of financial statements 1, 2, 4, 9, 11, 13, 15

CLO17 Distinguish financial capital maintenance concept and physical capital maintenance concept. 1, 4, 9, 11, 13, 15

CLO18 Explain selected and relevant PASs and PFRs (PAS 1-41 and PFRS 1-17) 1, 4, 9, 11, 13, 15
Time Frame Learning Strategy/Methodology/ Student Evaluation/
Lesson/Topics
Week/Day Outcomes Activities Output Assessment
Corporation: Basic Considerations CLO1 Faculty-facilitated Case Analysis Pre-test
Definition CLO2 discussion Post-test
▪ Attributes of a Corporation Assignments Long quiz
▪ Advantages and Disadvantages of a Concept Mapping Performance-
Corporation Multi-media presentation Based test
▪ Classes of Corporation Boardwork Graded Recitation
▪ Component of a Corporation Case Method of Teaching Summative test-
▪ Minimum Subscription and Paid-In Capital CANVAS Departmental
▪ Basic Corporation Organizational Structure examination
▪ Rights of a Stockholder
▪ Articles of Incorporation
▪ By-Laws
▪ Corporate Books and Records
SEC Requirements – 25%-25% Rule
Revised Corporation Code
Requirements for Registration of New
1-2 Corporation
Minimum number of Incorporators
One-Person Corporation (OPC)
Positions in the OPC
Term of existence
Extended period to commence corporate
operations
Delinquent corporations
Remote Participation
Lifting ban on corporate donations for
political parties or candidates
Corporations vested with public interest
OPC Corporate Documents
OPC Owned By A Foreign National
Consent of Nominee and Alternate
Nominee
Term of Nominee and Alternate Nominee
Contributed Capital CLO1 Faculty-facilitated Case Analysis Pre-test
CLO2 discussion involving Post-test
3-4 ▪ Legal Capital CLO3 Assignments journal entries Long quiz
▪ Share Capital CLO4 Concept Mapping for share Performance-
Multi-media presentation transactions Based test
 ▪ Additional Paid-In Capital/Share Boardwork Graded Recitation
Premium Case Method of Teaching Summative test-
▪ Account Titles Related to share capital CANVAS Departmental
▪ Ordinary and Preference Shares examination
▪ Journal entries for Issuance of one
class of shares
▪ Two Methods of Accounting for Share
capital

▪ Share Issuances for Cash CLO1 Faculty-facilitated Case Analysis Pre-test

▪ Share Issuances for Non-Cash CLO2 discussion involving Post-test
Considerations CLO3 Assignments journal entries Long quiz
▪ Share Subscriptions including CLO4 Concept Mapping for Performance-
Delinquent Subscription CLO5 Multi-media presentation subsequent Based test
▪ Journal Entries for Boardwork share Graded Recitation
two class of share for a single Case Method of Teaching transactions Summative test-
5-6 consideration CANVAS Departmental
Subsequent Share transactions examination
• Treasury Shares
• Donated Capital
• Share split
• Conversion of preference shares to
ordinary shares
• Retirement of Shares
Retained Earnings CLO13 Faculty-facilitated Case Analysis Pre-test
CLO14 discussion involving Post-test
• Closing of Profit to Retained Earnings CLO15 Assignments Dividend Long quiz
• Dividends in General CLO16 Concept Mapping Distribution Performance-
✓ Date of Declaration Multi-media Presentation Table for Based test
✓ Date of Record Boardwork preference Graded Recitation
✓ Date of Payment Case Method of Teaching and ordinary Summative test-
7-8 • Different Types of Dividends: CANVAS shareholders Departmental
✓ Cash Dividends examination
✓ Property Dividends
✓ Share Dividends or
✓ Bonus Issue
✓ Small versus Large
Share Dividends
✓ Liquidating
 Dividends
• Preference shares –cumulative, non-
cumulative, participating and non-
participating
9 MIDTERM DEPARTMENTAL EXAMINATION
• Computation of the Residual Dividend Faculty-facilitated Case Analysis Pre-test
for Ordinary Shareholders discussion involving Post-test
• Concept of Appropriation of Dividends Assignments computation of Long quiz
CLO4 Concept Mapping book value, Performance-
(Legal, Contractual, Voluntary) CLO5 Multi-media presentation earnings per Based test
• Computation of Book Value per Share CLO6 Boardwork share and Graded Recitation
10 - 12
• Computation of Basic Earnings per CLO7 Case Method of Teaching shareholders’ Summative test-
Share CLO8 CANVAS equity Departmental
• Proper Composition of Shareholder’s CLO9 preparation examination
Equity Section

13 - 16 2018 Revised Conceptual Framework CLO10 Faculty-facilitated Case Analysis Pre-test

for Financial Reporting CLO11 discussion Post-test
❖ Overview CLO12 Assignments Long quiz
• Conceptual Framework versus CLO13 Concept Mapping Performance-
Philippine Financial Reporting CLO14 Multi-media presentation Based test
Standards CLO15 Board work Graded Recitation
• Nature and purpose of generally CLO16 Case Method of Teaching Summative test-
accepted accounting principles CLO17 CANVAS Departmental
(GAAP). examination
• Status, purposes, and reasons
underlying the conceptual
framework of accounting

❖ Chapters OF 2018 Revised

Conceptual Framework
o Chapter 1 - Objective of General
Purpose Financial Reporting
o Users of Financial
statements
o Information on financial
position, financial
performance, cash flows,
 changes in equity, and
other supplementary
information

o Chapter 2 – Qualitative
Characteristics of Useful
Financial Information
o Fundamental qualitative
characteristics
➢ Relevance
Predictive value
Confirmatory
Value
➢ Faithful
Representation
Neutrality
Completeness
Freedom from
error
o Enhancing Qualitative
characteristics
Comparability
Timeliness
Verifiability
Understandability
o Prudence
o Measurement uncertainty
o Materiality
o Cost Constraint
o Other Related/Basic
concepts and Underlying
Assumption
Going concern
Business Entity
Monetary
Measurement
Cost Principle
Reporting Period
Objectivity
Accrual Principle
o Chapter 3 - Financial
Statements and Reporting Entity
o Description of Reporting
Entity
o Consolidated,
unconsolidated and
combined financial
Statements
o Statement of Financial
Position
o Statement of Profit or
Loss/Statement of
comprehensive Income
o Statement of Changes in
Equity
o Statement of cash Flows
o Chapter 4 – Elements of
Financial Statement
o New definition of asset
o New definition of liability
o IFRS 3 definition of asset
and liability
o New definition of income
and expenses
o Definition of equity
o Unit of account
o Executory contracts

o Chapter 5 - Recognition and

Derecognition
o Definition of recognition
o Definition of
derecognition
o Bases of expense
recognition
Associating cause
and effect
Systematic and
rational allocation
Immediate
recognition
 o Chapter 6 – Measurement
o Historical cost
o Current value
o Realizable value
o Present value
o Factors Considered in the
Selection of Measurement
basis
o Chapter 7 – Presentation and
Disclosure
o Concepts describing on
how information should be
presented and disclosed in
the financial statements
o Guidance on classifying
income and expenses
o Chapter 8 - Capital and Physical
Maintenance Approach
o Concepts of Capital
Financial concept
Physical concept
o Concepts of Capital
Maintenance

PAS 1 (Revised) Presentation of CLO11 Faculty-facilitated Case analysis Pre-test

Financial Statements CLO18 discussion Post-test
o Complete set of Financial Assignments Long quiz
Statements Concept Mapping Performance-
17
o General Features of Multi-media presentation Based test
Financial Statements Board work Graded Recitation
o Structure and Content of Case Method of Teaching
Financial Statements CANVAS

PAS 7 - Statement of Cash Flows CLO18 Faculty-facilitated Case analysis Pre-test

o Classification of Cash Flows discussion Post-test
o Presentation Assignments Long quiz
o Disclosure Concept Mapping Performance-
Multi-media presentation Based test
Board work Graded Recitation
 Case Method of Teaching
CANVAS
FINAL DEPARTMENTAL EXAMINATION
18 SUBMISSION OF REFLECTIVE ESSAY
& FACULTY GRADE DISTRIBUTION REPORT

INSTRUCTIONAL MATERIALS/RESOURCES
1. PowerPoint
2. CANVAS
3. Other Learning Management System(LMS) e.g. Connect, Mindtap

REQUIRED TEXTBOOK
Conceptual Framework and Accounting Standards by Conrado Valix, 2022 edition
Financial Accounting, 29th Edition by Carl S. Waren, Jefferson Jones and William Tayler, 2024 (New Adoption), Cengage Learning

SUGGESTED READINGS AND REFERENCES

IASB, IASC , FRSC & ASC standards and interpretations
D.E.,Weygandt, JJ, P.D. Chalmers,KMitrione,L.,Yuen,S, and Fyfe, M.(2017) Intermediate Accounting Volume 1 and 2 IFRS
Edition John Wiley
http://www.picpa.com.ph(Philippine Institute of Certified Public Accountants)
http://www.sec.gov.ph(Securities and Exchange Commission)
http://www.bsp.gov.ph (Bangko Sentral ng Pilipinas)
http://www.pse.org.ph(Philippine Stock Exchange)

CLASSROOM POLICIES

It is the responsibility of the learner to come to each class prepared. He/she is also expected to take all examinations on the
scheduled date. He/she should read the assigned problems prior to class discussion. He/she is expected to attend each class and
participate actively in the discussions.

FEU ACADEMIC DISHONESTY

All Research, Accounting, Auditing, Law and Taxation students are expected to be academically honest. Cheating, lying, and other
forms of immoral and unethical behavior will not be tolerated. Any student found guilty of cheating in examinations or plagiarizing
in submitted course requirements will (at a minimum) receive a Failing Grade in the course/subject. Cheating and Plagiarism refer
to the use of unauthorized books, notes, securing help in a test, copying test, assignments, reports or term papers, collaborating
without authority with another student during an examination or in preparing academic work, signing another student’s name on an
 attendance sheet, representing the work of another person as one’s own; and other activities manifesting the practice of scholastic
dishonesty.

POLICY ON ABSENCES
The students are allowed only 20% of the total number of hours in a semester for absences. Hence, the allowed number of absences
for a student enrolled in a 3-unit subject or 6-unit subject is a maximum of six (6) absences during regular semester. Request for
excused absences or waiver of absences must be presented prior to occurrence of absence or immediately upon reporting back to
class, whichever is applicable. Special examinations will be given only in special cases, such as prolonged illness. It is the
responsibility of the student to monitor his/her own tardy incidents and absences that might accumulate leading to the grade of 5.00
or F. It is also his/her responsibility to consult with the concerned faculty member, program head, Dean should his/her case be of
special nature.

Note: Always refer to the Student Handbook for academic policies.

POLICY ON NON-SOLICITATION OF FUNDS

All official fees of the University are collected through the Cash Department. Students should not pay any additional fees such as those for tickets,
entrance fees, transportation fees, hand-outs, readings, quizzes or tests to any faculty or staff
member of the University.

POLICY ON STUDENT DATA PRIVACY ACT

In compliance with the Act and for ensuring highest level of data security and confidentiality in the access of student’s personal data/information,
faculty members should not allow the student to check other students’ test papers, assignments, seat work, announce the individual grades of the
students before the class, disclose student information, student records and other “student-generated content” in any media, and any other similar
acts that will jeopardize the interest of an identified individual student.

COURSE REQUIREMENTS:
Assignments, Quizzes, Practice Set, Major Exams GRADING SYSTEM Computation of Periodic Grades

GRADING SYSTEM:
Computation of Periodic Grades

I. Computation of 1st Preliminary Grade: Midterm Grade (MG)

Formative Assessment (FA)
Class Participation (Homework, Practice Tests, Recitation, Pre-test) 20%
Quizzes 30%
Summative Assessment (SA) - Major Departmental Exam 50%
1st PRELIMINARY GRADE 100%

II. Computation of 2nd Preliminary Grade

 Formative Assessment (FA)
Class Participation (Homework, Practice Tests, Recitation, Pre-test) 20%
Quizzes 30%
Summative Assessment (SA) - Major Departmental Exam 50%
2nd PRELIMINARY GRADE 100%

III. FINAL GRADE = 1st PG (50%) + 2nd PG (50%)

FINAL GRADE LETTER GRADE QUALITY POINT RANGE

92 - 100 A 4.0 3.80 – 4.0
85 - 91 B+ 3.5 3.30 – 3.79
78 - 84 B 3.0 2.80 – 3.29
71 - 77 C+ 2.5 2.30 – 2.79
64 - 70 C 2.0 1.80 – 2.29
57 - 63 D+ 1.5 1.30 – 1.79
50 - 56 D 1.0 1.0 – 1.29
49 and below F 0.0 .99 and lower

IV. ACADEMIC HONORS

• SEMESTRAL HONORS (DEAN’S LIST)
The Deans’ lister must have a semestral QPA of between 3.35 and 3.50 for second honors and between 3.51 – 4.00for first
honors. To qualify for the Dean’s List, a student must have no failing grades including NSTP and WRP and no disciplinary
case during the particular semester.

• LATIN HONORS
To qualify for Latin Honors, a student must have no major disciplinary case and no failing marks. Failures in NSTP and
WRP will also disqualify the student from the Latin Honor award.
QPA
Summa Cum Laude With the highest honors 3.80 – 4.00
Magna Cum Laude With high honors 3.60 – 3.79
Cum Laude With honors 3.40 – 3.59

V. REQUIRED ANNUAL QUALITY POINT AVERAGE (QPA REQUIREMENT)

FOR PROMOTION TO UNIVERSITY BSA BSIA

2nd year 1.2 1.2 1.2
3rd year 1.5 1.6 1.5
4th year 1.8 2.0 1.8
To graduate 2.0 2.4 2.0
 VI. CONSULTATION HOURS

DAY/s TIME ROOM

Faculty Consultation Room

DATE OF EFFECTIVITY: January 2024

Prepared by: Reviewed by: Approved by:

MARK LESTER T. BALASA / LADY DIANNE MADRID-CO DR. ENRIQUE E. LOZARI

CHRISTIAN ANDREI G. UTANES / RAMIL N. BALDRES

MERWIN R. PORTUGAL

Associate Department Chairs Department Chairs Dean - IABF