Course code Ekon4102

Credit points 5

Financial Accounting

Total Hours in Course200

Number of hours for lectures24

Number of hours for seminars and practical classes56

Independent study hours120

Date of course confirmation22.05.2019

Responsible UnitInstitute of Finance and Accounting

Course developer

author lect.

Aino Soopa

Mg. oec.

Prior knowledge

Ekon2120, Basics of Accounting

Course abstract

The course provides knowledge of financial accounting and the basic principles of accounting organisation, correspondence of accounts, documentation and requirements for accounting items stipulated by the legislation of the Republic of Latvia. Students acquire skills in preparing accounting information and using it in practice.

Learning outcomes and their assessment

1. Students will be able to: demonstrate the knowledge of accounting process organisation, accounting documents and registers. Test.
2. Demonstrate the knowledge of the basic principles of accounting for long-term investment and current assets. Test.
3. Demonstrate the knowledge of how to account for equity capital, reserves and liabilities. Test.
4. Independently deal with financial accounting organisation process issues, using the theoretical knowledge acquired, and identify documents and registers needed for accounting purposes in accordance with the relevant legal framework. Practical assignments, discussion in classes, independent work.
5. Comprehend the basic requirements for accounting for long-term investment, current assets, equity capital, reserves and liabilities. Practical assignments, discussion in classes, independent work.
6. Independently comprehend and keep records of business transactions and identify financial performance in the reporting period. Practical assignments, independent work.
7. Engage in discussions on the compliance of business transactions with the relevant legal framework and on relevant documents and accounting registers. Practical assignments, group work.
8. Engage in discussions on accounting matters. Practical assignments.
9. Independently analyse the accounting organisation process, assess the items to be accounted for and identify relevant legal provisions. Practical assignments.
10. Independently establish an accounting process in accordance with the relevant legal framework. Practical assignments, a test, an examination.
11. Independently make decisions on accounting problems. Practical assignments, a test, an examination.
12. Critically assess the accounting organisation process. Practical assignments.

13. Independently analyse accounting information and urgent problems, make proposals for enhancing the accounting process. Practical assignments, a test, an examination.

Course Content(Calendar)

1. Financial accounting process organisation. Requirements of the relevant legal framework. Inventorying process and presentation of results. Accounting documents and registers, essential requirements for content and accounting (4 lectures, 16 practical works)
2. Accounting for long-term investments. Long-term intangible investments, fixed investments and long-term financial investments. Classification and accounting of fixed investments. Documents of fixed investments ant their contents. Depreciation calculation and accounting (4 lectures, 10 practical works)
3. General characteristics of current assets. Accounting process organisation. Classification of accounts receivable and requirements for accounting (1 lecture, 3 practical works)
4. Accounting of inventory (2 lectures, 6 practical works)
5. Accounting of trade receivables. Lost and insecure debtors. Cost accounting for the following periods. Accounting of loans (2 lectures, 4 practical work)
6. Accounting of money. Requirements of the cash and non-cash asset accounting (2 lectures, 4 practical works)
7. Classification of equity capital. Accounting for equity capital, retained profit, reserves and liabilities (2 lectures, 3 practical works)
8. Classification and accounting of long-term and short-term creditors. Trade payables, loans, their accounting. Debts for taxes and other liabilities (3 lectures, 2 practical works)

9. Employment relationships, payroll calculation and accounting . Accounting for taxes and duties related to employment relationships (4 lectures, 5 practical work)

Requirements for awarding credit points

At the end of the course, student must pass an examination on the topics covered (40%).
Test 1 Financial accounting process organisation. Requirements of the relevant legal framework. Accounting documents and registers. Inventorying, financial reports of an annual financial statement, an audit and submission deadline of the statement. (20%).
Test 2 Accounting for long-term investment and current assets (20%).

Test 3 Accounting for equity capital, reserves and liabilities (20%).

Description of the organization and tasks of students’ independent work

During the study course all the independent assignments must be prepared

Criteria for Evaluating Learning Outcomes

The evaluation of the study course depends on the assessment of the tests and exam, 10% corresponds to one point on the 10-point assessment scale.

Compulsory reading

1. Finanšu grāmatvedība. Mācību grāmata. I.Leibus , I.Pētersone , A.Jesemčika , A.Svarinska , R.Grigorjeva. Rīga: SIA „Lietišķās informācijas dienests”, 2018. 328 lpp.
2. Bojarenko J., Tjurina A. Finanšu grāmatvedības praktikums. Rīga: GFK, 2015. 383 lpp.
3. Krogzeme H. Nodokļu un finanšu grāmatvedības pamati: Mācību grāmata. Rīga: RTU Izdevniecība, 2011. 392 lpp.

Further reading

1. Apsīte I. Pamatlīdzekļu uzskaite komercuzņēmumos. Rīga: Lietišķās apmācības centrs, 2010. 266 lpp.
2. Grebenko M. Darba likums un grāmatvedība. Rīga: Lietišķas informācijas dienests, 2018. 155 lpp.
3. Ludboržs A. Pamatlīdzekļu uzskaite. Rīga: Lietišķas informācijas dienests, 2006. 255 lpp.

Periodicals and other sources

1. Bilance: žurnāls par grāmatvedību, uzskaites likumdošanu un finansēm. Rīga: Lietišķās informācijas dienests, 2005-. ISSN 1407-5709 .
2. Elektroniskais žurnāls iFinanses.lv Portāls „iFinanses.lv” [tiešsaiste]. SIA izdevniecība „Izdevniecība iŽurnāli”. [Skatīts 08.11.2010.]. Pieejams: http://www.ifinanses.lv/lat
3. Latvijas Republikas oficiālais Valsts Ieņēmumu Dienesta portāls: http://www.vid.gov.lv
4. Latvijas Republikas oficiālais normatīvo aktu portals: http://www.likumi.lv

Notes

Compulsory study course for the academic bachelor programme “Economics”