Course content

The course is an introduction to financial accounting, including financial statement analysis. The content of the course is an important basis for further studies in financial accounting.The objective of the course is to give the student a basic knowledge of preparing a financial statement in accordance with Norwegian accounting act (NGAAP), including knowledge of fundamental accounting principles, measurement rules, reporting and analysis of financial information

Learning outcome

Knowledge

The Student

• has knowledge of the financial statement as a source of information
• has knowledge of the content and regulation of financial accounting in Norway
• has knowledge of the fundamental accounting principles in the Norwegian accounting act

• has knowledge of recognition and measurement of assets, liabilities, income, and expenses in an annual account in accordance with Norwegian accounting act (NGAAP) with emphasis on:

  • Fixed assets
  • Inventory (stocks)
  • Shares
  • Receivables and cash
  • Current and non-current liabillities
  • Income tax
  • Equity and distribution of sharedividends to shareholders
• has insight of the content of a cash-flow statement
• has insight into key financial ratios in analysis of a financial statement (financial statement analysis)

Skills

The Student

• can recognize necessary adjustments and prepare annual accounts for a small, limited liability company (Ltd) in accordance with Norwegian accounting act (NGAAP).
• can prepare a cash-flow statement
• can calculate key financial ratios and evaluate a business profitability and financial position in a financial statement analysis.

Competences

The Student

• can aquire new knowledge within the above-mentioned subject areas.

Learning methods and activities

Lectures, assignments and private study. During the semester, 8 exercises are given of which 5 must be approved before the candidate can get access to the exam. Business simulation. Activities from previous semesters can be approved by the institute.

Compulsory assignments

• Mandatory assignments

Specific conditions

Recommended previous knowledge

Introduction to business economy and financial accounting

Required previous knowledge

The course is only available to students who have the right to study at the bachelor programs at the Economic Faculty

Course materials

Syllabus is given at the start of the semester.

Credit reductions