ACC120 - Accounting Basics I

Outline information
Schools offering this subject
Last revision date May 25, 2020 12:07:03 AM
Last review date Jul 6, 2020 9:38:25 AM

Subject Title
Accounting Basics I

Subject Description
This course introduces the student to how accounting information is used by, and meets the needs of both internal and external users through effective and efficient communication as well as what accounting information is required by a business concern to reflect clearly the operating results of the enterprise over its operating life. Throughout the course, students will be introduced to generally accepted accounting principles,the interpretation and preparation of financial statements and how this information is recorded in the various business records.

Learning Outcomes
Upon successful completion of this subject the student will be able to:

1. Discuss the language of accounting and identify the uses and the application of accounting information for various users. (Ex. investors and creditors).

2. Demonstrate an understanding for each of the components of GAAP and financial statement concepts. Recognize and explain the correct application of these concepts.

3. Explain the nature, the general purpose, and interrelationships of the Balance Sheet and the Statements of Income, Retained Earnings and Cash Flow. Discuss how transactions that an enterprise enters into affect these statements and affect decisions of the users.

4. Demonstrate an understanding of the recording process for accounting information:
- record the more common adjustments necessary at the end of an accounting period;
- produce the financial statements that are required for both service and merchandise organizations;- understand the procedures required in closing the books to complete the "accounting cycle".

5. Explain the broad principles of cash management and the specific internal control and accounting procedures relating to cash and temporary investment transactions. Explain the purpose of and prepare the bank reconciliation.

6. Account for and explain the treatment of Receivables in general purpose financial accounting.
7. Describe and analyze Merchandising activities and Cost of Goods Sold. Explain the Perpetual and Periodic systems of recording inventory. Discuss the advantages and disadvantages of each system.

Academic Integrity
Seneca upholds a learning community that values academic integrity, honesty, fairness, trust, respect, responsibility and courage. These values enhance Seneca's commitment to deliver high-quality education and teaching excellence, while supporting a positive learning environment. Ensure that you are aware of Seneca's Academic Integrity Policy which can be found at: Review section 2 of the policy for details regarding approaches to supporting integrity. Section 2.3 and Appendix B of the policy describe various sanctions that can be applied, if there is suspected academic misconduct (e.g., contract cheating, cheating, falsification, impersonation or plagiarism).

Please visit the Academic Integrity website to understand and learn more about how to prepare and submit work so that it supports academic integrity, and to avoid academic misconduct.

All students and employees have the right to study and work in an environment that is free from discrimination and/or harassment. Language or activities that defeat this objective violate the College Policy on Discrimination/Harassment and shall not be tolerated. Information and assistance are available from the Student Conduct Office at

Accommodation for Students with Disabilities
The College will provide reasonable accommodation to students with disabilities in order to promote academic success. If you require accommodation, contact the Counselling and Accessibility Services Office at ext. 22900 to initiate the process for documenting, assessing and implementing your individual accommodation needs.