Course

Questions on the Principles of Accounting examination require candidates to demonstrate one or more of the following abilities.- Familiarity with accounting concepts and terminology - Preparation, use, and analysis of account-ing data and financial reports issued for both internal and external purposes - Application of accounting techniques to simple problem situations involving computations - Understanding the rationale for generally accepted accounting principles and procedures The subject matter of the Principles of Accounting examination is drawn from the following topics:60-70% Financial accounting (concerned with providing financial statements and reports of interest to company managers as well as bankers, investors, and other outsiders who must make financial assessment of a company)- Generally accepted accounting principles; Rules of double-entry accounting; The accounting cycle; Presentation of and relationships between general-purpose financial statements; Valuation of accounts and notes receivable;Valuation of inventories; Initial costs of plant assets; Depreciation; Liabilities;Investments; Capital; Cash and stock dividends;Treasury stock; Purchase and sale of merchandise; Revenue and cost apportionments; Cash control; Division of profits and losses in partnership accounting; Cash flow analysis 30-40% Managerial accounting (concerned with the use of accounting data for internal purposes to help management in planning and controlling functions in a company)-Analysis of departmental operations; Budgeting;Cost-volume profit (break-even) analysis;Direct costing and absorption costing;Financial statement analysis; Performance evaluation; Process and job-order systems;Standard costs and variances; The manufacturing environment; Use of differential (relevant) cost.