Course content

Course content:

• The double-entry accounting system and the balance sheet equation
• The standard chart of accounts
• Recording/posting of some central business transactions (according to the bookkeeping rules and regulations), closing of accounts and presentation form
• Financial analysis
• Costs, classification of costs and product costing methods
• Briefly about market and competition forms and profit optimization
• Basic budgeting
• Simple product choice analysis
• CVP-analysis, Project and Investment analysis

Learning outcome

Knowledge:

• have knowledge of the purpose of a financial statement
• have knowledge of double-entry bookkeeping
• have knowledge of standard chart of accounts
• have knowledge of the Accounting Act statement for the income statement and balance sheet
• have insight into basic cost and income theory
• understand how the enterprises should adapt in some market situation
• have knowledge of basic costing methods, break-even analysis, simple product choice analysis and simple investment analysis

Skills:

• be able to post the most common business transactions, make accrual accounting and close simple annual reports
• be able to analyze key relationships in the financial statements
• be able to apply basic cost and income theory
• understand how the enterprise should adapt under the selected market forms
• be able to prepare break-even analysis, simple product choice analysis and simple investment analysis
• be able to work out analysis of the annual report

Competence:

• reflect on central role of the financial and accounting function in the management of an enterprise
• be able to assess the business events in the light of the subject matter
• have insight into how the subject matter can be used in the sustainable development of organizations

Learning methods and activities

Teaching methods:

Lectures and exercises with assistance. The learning management system Blackboard will to some extent be used in the exchange of information.

Compulsory assignments

• Obligatorisk forkrav

Specific conditions

Recommended previous knowledge

As required for admission to Norwegian higher education.

Course materials

Compulsory: Gunnar Engelsåstrø: ABC for ikke-økonomer, 5th edition, Universitetsforlaget (2021), ISBN: 9788215047706, The entire book except chapter 9. The final information is given at the start of the semester.

Credit reductions