Advanced Financial Accounting and Reporting 2 (FAR 660) - Lesson Plan 2017

FAKULTI PERAKAUNAN
UNIVERSITI TEKNOLOGI MARA
40450, SHAH ALAM

Semester: September – December

PROGRAM NAME : BACHELOR DEGREE OF ACCOUNTANCY (HONS)

PROGRAM CODE : AC220
COURSE NAME : ADVANCED FINANCIAL ACCOUNTING AND REPORTING 2
COURSE CODE : FAR 660
LECTURE : 2 hours/week
TUTORIAL : 1 hour/week
LECTURER :

COURSE OUTCOMES

CO1 Critically evaluate the role of professional accountants in society

CO2 Explain the role of corporate scandals in the development of accounting and the profession.

CO3 Explain the importance of professionalization of accountants in the context of the historical development of accounting

CO4 Critically evaluate the role of various interest groups in formulation of accounting standards and the due process of accounting
standard setting of specific accounting standards.

CO5 Explain the different measurement bases and circumstances when these measurement bases are appropriate for financial assets
and liabilities

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 Advanced Financial Accounting and Reporting 2 (FAR 660) - Lesson Plan 2017

PROGRAM OUTCOMES

PO1 Identify, classify, record, summarize economic events and prepare financial statements in accordance with applicable approved
accounting standards for organizations and simple structured groups.

PO2 Provide, interpret and evaluate financial and non-financial information to help management make economic decisions.

PO3 Use and evaluate information technologies and systems for the attainment of organizational objectives.

PO4 Prepare tax returns and advise on tax matters for individuals and business entities.

PO5 Perform audits for business entities using appropriate technologies.

PO6 Think critically in the application of knowledge and suggest possible solutions to accounting issues.

PO7 Synthesise knowledge from other functional areas of business to solve organizational problems.

PO8 Work collaboratively in a management team.

PO9 Communicate effectively, both orally and in writing, with different stakeholders

PO10 Demonstrate behaviour consistent with professional ethics and social responsibility.

PO11 Demonstrate a commitment to life-long learning and professional development.

PO12 Demonstrate leadership and entrepreneurial skills.

CO-PO MATRIX

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 Advanced Financial Accounting and Reporting 2 (FAR 660) - Lesson Plan 2017

PO1 PO2 PO3 PO4 PO5 PO6 PO7 PO8 PO9 PO10 PO11 PO12

CO1 √ √ √ √ √ √
CO2 √ √ √ √ √

CO3 √ √ √ √ √

CO4 √ √ √ √ √ √

CO5 √ √ √ √ √ √

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 Advanced Financial Accounting and Reporting 2 (FAR 660) - Lesson Plan 2017

PROGRAM EDUCATIONAL OBJECTIVES (PEO):

AFTER COMPLETING THIS PROGRAM, graduates would be:

PEO 1 Competent accountants who are able to analyse and use financial and non-
financial information for aiding in managerial decision making
PEO 2 Accountants who lead and communicate effectively, engaging in teams, in
decision making and problem solving
PEO 3 Accountants who continually upgrade their knowledge and abilities through
professional and entrepreneur enhancement programs nationally and
internationally.
PEO 4 Accountants who provide a service to stakeholders ethically and
professionally.

CO-PEO MATRIX

PEO1 PEO2 PEO3 PEO4

CO1    
CO2    
CO3    
CO4    
CO5    

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 Advanced Financial Accounting and Reporting 2 (FAR 660) - Lesson Plan 2017

PLAN STRUCTURE

LEARNING
CONTACT TOPIC OUTCOME (TO) CO PO
WEEK TOPIC LECTURE/TUTORIAL COVERAGE MODEL ASSESSMENT
HOURS

 The history and development Ability to:

of accounting principles in the
USA  describe the historical development of
History and Development
of Accounting and  An overview of the accounting in the USA from 1900 to Lecture
Entrance
Accounting Theory development and regulation of today C01 PO6 Survey
accounting practice  Group
1 3 (3L) understand the state of current CO2 PO10
 Financial Accounting  The rationale for regulating development of accounting and CO3 PO11
discussion
Environment in financial accounting practice reporting in Malaysia Test
Malaysia  Overview of current  appreciate and comprehend the need
accounting and reporting to know and understand the relevance
environment in Malaysia of history to the development and
regulation of accounting and reporting
practices

 Overview of theories of Ability to:

accounting
 Relevance of theories for  describe what a theory is
accounting  understand the development and Lecture
 Evaluation of theories of approaches to theory formulation
2 Formulation and 3(2L/1T) accounting  evaluate and verify theories (consider CO1 PO6 Group Test
Verification of Accounting o Considerations of logic and logic and evidence) C03 PO11 discussion
Theory evidence  appreciate the need for theories in CO4
 Verification of theories of enhancing accounting and reporting
accounting practices.

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 Advanced Financial Accounting and Reporting 2 (FAR 660) - Lesson Plan 2017

 Arguments for and against Ability to:

Regulatory Approach of 3 (2L/1T) the continued existence of, Lecture Test
an Accounting Theory and general growth in,  Understand the rationale for CO1 PO6
3 regulation regulating financial accounting CO3 PO11 Group Exam
 Accounting standard  Various theories that explain practice CO4 discussion
setting – the financial what drives the imposition of  Argue for and against the existence of
reporting environment regulation accounting regulation
 Discuss whether issues of  Describe some of the theoretical
‘power’ could or should be perspectives used to explain the
allowed to impact on the existence of regulation
implementation of regulation  Explain how and why various groups
 Discuss why accounting within society try to influence the
standard-setting process is a accounting standard-setting process
very political process  Discuss some of the theories used to
 Discuss why mandated explain what influences the
regulations is not a result of accountant to choose one accounting
what might appear to be method in preference to another
technically sound and logical  Discuss the impact of the standard-
requirements but whether setting process on the output of the
various parts of the development of accounting regulation
constituency who might be
affected either socially or
economically by the
regulations are in favour of
them
 Provide arguments for
reducing or eliminating
regulation (the ‘free-market’
approach)
 Explain why regulation might
be necessary
 Explain theories of regulation
o Public Interest
Theory
o Capture Theory
 Discuss how perceptions
about economic and social
consequences of potential

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 Advanced Financial Accounting and Reporting 2 (FAR 660) - Lesson Plan 2017

accounting requirements
affect the decisions of
standard-setters
 Discuss whether financial
accounting should ever be
expected to have qualitative
characteristics such as
neutrality, and
representational faithfulness
as proposed in IASB
Framework for the
Preparation and Presentation
of Financial Statements
despite the economic and
social considerations for
regulations.

4-6  Share based payment  Share based payment Ability to:

(MFRS 2) (MFRS 2)
 Employee Benefits  Explain the different types of Ability to explain the different types of PBL
(MFRS 119) share based payments. share based payments and the relevant Lecture
 Accounting and 9 (6L/3T)  Discuss the requirements of accounting treatment. Group project
reporting for MFRS 2 in respect of the CO1 PO2 Group
retirement plans recognition criteria for the CO5 PO6 discussion Final Exam
(MFRS 126) different types of share PO8
based payments. PO9 Tutorial
 Account for: PO10
o Equity-settled PO11
Transactions
o Cash-settled transactions
o Share based payment
 Account for share-based
payments to third parties.
 Account for share-based
payments to employees.
 Explain the disclosure
requirements of each type of

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 Advanced Financial Accounting and Reporting 2 (FAR 660) - Lesson Plan 2017

share based payments under

MFRS 2.

Ability to:
 Employee Benefits
(MFRS 119)
Prescribe accounting and disclosure for
 Definitions
employee benefits – all forms of
 Short-term employee benefits consideration given by an entity in
o Recognition and
exchange for service rendered by
measurement
employees.
o Disclosure
 Post-employment benefits
 Defined contribution plans
o Recognition and
measurement
o Disclosure
 Defined benefit plans
 Recognition and measurement
 Accounting for the
constructive obligation
 Statement of financial position
 Other long-term employee
benefits
 Termination benefits

 Accounting and reporting by Ability to:

retirement plans (MFRS 126)
 Definitions Prescribe measurement and disclosure
 Defined contribution plans principles for any retirement plan – benefit
 Defined benefit plans plan, contribution plan or a hybrid and the
o Actuarial present value of funding policies.
promised retirement
benefits
o Frequency of actuarial
present value of promised
retirement benefits
o Frequency of actuarial
valuations

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 Advanced Financial Accounting and Reporting 2 (FAR 660) - Lesson Plan 2017

o Financial statement
 All plans
o Valuation of plan assets
o Disclosure

7-8 Special issues in Financial 6(3L/3T)  Corporate Social Reporting Ability to: CO1 PO2
Accounting and Reporting CO4 PO6 Lecture Group project
 Corporate Social  Describe Corporate Social Reporting PO8
Reporting Practices in Practices in Malaysia PO9 Group Final exam
Malaysia  Explain how community or PO10 discussion
 Main areas voluntarily stakeholders’ perception can PO11
disclosed influence the disclosure policies of
 Accounting and an organisation
accountability  Explain how Legitimacy Theory,
 Influence of community Stakeholder Theory and Institutional
or stakeholders’ Theory can be applied to help
perception on disclosure explain why an entity might elect to
policies of an make particular voluntary disclosures
organisation  Explain the concept of sustainable
 Theories that can be development and how organisations
applied to help explain are reporting their progress towards
why an entity might elect the goal of sustainable development
to make particular  Identify some of the limitations of
voluntary disclosures traditional financial accounting in
 Legitimacy theory enabling users of reports to assess a
 Stakeholder Theory reporting entity’s social and
environmental performance
 Institutional Theory
 Describe triple bottom line reporting
 Corporate disclosures
 Discuss the view that a successful
as a strategy to maintain
organisation could depend on its
or restore organisational
ability to balance or manage the
legitimacy of an
demands (sometimes conflicting),
organisation
including information demands of
different stakeholder groups

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 Advanced Financial Accounting and Reporting 2 (FAR 660) - Lesson Plan 2017

 MPERs for SMEs Ability to:

 Current Development for
MPERs (All 35 Section)
 Differences and
similarities between
MFRS framework with
MPERS framework
 Benefit and challenges
for SMEs in
implementing MPERs
 Disclosure and
presentation
 Discuss current development and
updates of MPERs for SMEs
 Discuss the differences and
similarities between MFRS
framework with MPERS framework
 Discuss the benefit and challenges
for SMEs in implementing MPERs

9-11 Financial Instruments 6(3L/3T)  Classification of financial Ability to: CO4 PO2 Lecture PBL
(MFRS 9, MFRS 132, instruments into financial  Define financial assets, financial PO6
MFRS 139, MFRS 7) assets, financial liabilities and liabilities and equity instrument. PO8 Group Group project
 Discuss the classification of PO9 discussion
equity instrument.
financial instruments into PO10 Final exam
 Recognition and measurement financial assets, financial PO11 Tutorial
of financial assets and liabilities and equity instrument.
liabilities.  Explain the recognition criteria of
 Separate liability and equity financial assets and financial
components for compound liabilities.
 Explain the initial and
instruments.
subsequent measurement of
 Accounting for interest, financial assets and financial
liabilities, gains and losses on liabilities.
financial instruments.  Discuss the accounting
 Presentation and Disclosures treatment for interest, liabilities,
gains and losses on financial
 Deferred tax, financial assets
instruments.
and financial liabilities: An
 Explain the accounting treatment
evaluation
of impairment of financial assets
under various classifications.
 Discuss de-recognition of
financial assets and financial
liabilities.
 Evaluate Deferred tax, financial

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 Advanced Financial Accounting and Reporting 2 (FAR 660) - Lesson Plan 2017

assets and financial liabilities

Revenue  The history of MFRS 15 Ability to

12-13 (MFRS 118, MFRS 111,  Define revenue and compare  Define revenue and compare the CO1 PO2 Lecture Group project
6(3L/3T)
IFRIC 15, IFRIC 13 and the recognition and recognition and measurement CO5 PO6
MFRS 15) measurement criteria for criteria for various categories of PO8 Group Final Exam
various categories of revenue revenue against MFRS 15. PO9 discussion
against MFRS 15.  Explain the core principles of PO10
 Explain the core principles of MFRS 15 PO11 Tutorial
MFRS 15
- Identifying the Contract
-Identifying the Separate
Performance Obligations
-Determining the Transaction
Price
- Allocating the Transaction
Price to Separate
Performance Obligations
- Recognising Revenue when
a Performance Obligation
is Satisfied
 Disclosure and Presentation

14 Leases 3 (2L/1T)  The history of IFRS 16 Ability to: Lecture Final exam
 IFRS 16 and MFR117  Compare the changes made  Discuss critically the issues CO5 PO6
between IFRS16 and MFRS regarding the existing accounting PO8 Group
117 changes models for leases – classification, PO9 discussion
 Lessee accounting recognition and accounting treatment
PO10
 Lessor accounting PO11
by lessee and lessor.
 Discuss the proposed changes in
relation to both lessee accounting
and lessor accounting.

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 Advanced Financial Accounting and Reporting 2 (FAR 660) - Lesson Plan 2017

COURSE ASSESSMENT/ Continuous Assessment:

EVALUATION
 Common Test 15%
 Group project (Report and class presentation) 15%
 PBL 10%
Final comprehensive examination 60%

Total 100%

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