TABLE OF SPECIFICATIONS

ADVANCED FINANCIAL ACCOUNTING AND REPORTING

QUALIFICATION DESCRIPTORS
KNOWLEDGE, SKILLS, APPLICATIO
DEGREE OF INDEPENDENCE
VALUES N
(20%)
(30%) (50%)

No. of Understandin Analyzin

OUTCOMES/TOPICS Weight Remembering Application Evaluating Creating
Items g g

The examinees must be able to:

1.0 Partnership Accounting 14.29% 10 1 2 5 1 1
1.1 1.1 Nature Scope and Objectives
1.1.1 Describe the nature scope and objectives of partnership
accounting and conceptually differentiate it from single
proprietorship and corporation accounting
1.1.2 Identify and describe the concepts, principles, rules, practices
and procedures applicable in partnership accounting
1.2 Formation of Partnership
1.2.1 Determine, compute, and account the initial capital contribution of
the partners in the partnership
1.3 Operations, Dissolutions, and/or Changes in Ownership of Interest of
the Partners,
1.3.1 Determine, compute account and allocate the changes in the
capital balances of the partners as a result of the operations
and/or changes in the composition of the partners.
1.4 Liquidation of Partnership
1.4.1 Compute amount of settlement to the partners after liquidating the
partnership under (a) lump-sum liquidation or (b) installment
liquidation
2.0 Corporate Liquidation
5.71% 4 1 2 1
2.1 Determine the order of priority of the claimants to the company assets
of corporation subject to liquidation
2.2 Prepare the Statement of Affairs, Statement of Deficiency and
Statement of Realization and Liquidation
3.0 Joint Arrangements (PFRS 11)
5.71% 4 1 2 1
3.1 Joint Operations
3.1.1 Describe the nature and scope of joint operations
3.1.2 Differentiate from Joint Venture and Business Combinations
3.1.3 Apply the standards, principles and methods in accounting for
joint operations transactions
3.2 Joint Venture
3.2.1 Describe the nature and scope of joint ventures
3.2.2 Differentiate it from Joint Operations and Business
Combinations
3.2.3 Apply the standards, principles and methods in accounting for
joint venture transactions
4.0 Revenue Recognition
14.29% 10 1 1 6 1 1
4.1 Installment Sales
4.1.1 Determine point of revenue recognition under installment sales,
4.1.2 Compute the gross profit rate and account for the realized gross
profit for each year of sales and the deferred gross account
balance at the end of the year.
4.1.3 Determine and compute the Gain or Loss of Repossession to
be recorded or recognized
4.2 Long term Construction Contracts IAS 11 / PFRS 15
4.2.1 Prepare journal entries and determine revenue, costs and gross
profit
4.2.2. Ascertain the proper financial statement presentation applying
the applicable PFRS Standards
4.3 Franchise Operations Franchisors point of view - IAS 18 / IFRS 15
4.3.1 Determine revenue, costs and gross profit and apply accounting
techniques and procedures in processing franchise fee and
related franchise transactions.
4.3.2 Prepare journal entries for franchise transactions.

5.0 Accounting for Home Office, Branch and Agency Transactions 5.71% 4 1 2 1

5.1 Compute and reconcile reciprocal accounts and prepare individual and
combined financial statements
5.2 Prepare journal entries for transactions on the books of the Home Office
and the Branch
5.3 Account for special procedures in home office and branch transactions
(inter branch transfer of cash and merchandise at cost or at billed
 price)

6.0 Accounting for Business Combination (PFRS 3)

5.71% 4 1 2 1
6.1 Describe the nature scope and characteristics of a business
combination
6.2 Determine cost of acquisition of the acquirer,
6.3 Recognize acquired assets and liabilities, compute goodwill or gain from
a bargain purchase
6.4 Prepare journal entries in the books of the acquirer
6.5 Ascertain the proper financial statement presentation of the results of
business combinations transaction.
7.0 Separate Financial Statement (PAS 27)
7.14% 5 1 3 1
7.1 Determine and apply accounting for investment in Subsidiary in
accordance with PAS 39/PFRS 9
7.2 Determine and apply accounting for investment in subsidiary using the
equity method.
7.3 Ascertain the proper financial statement presentation of the separate
financial statements
8.0 Consolidated Financial Statements (PFRS 10
7.14% 5 1 2 1 1
)
8.1 Determine the nature, scope and application of preparation of
consolidated financial statements (At cost, in accordance with PAS 39,
and equity method)
8.2 Account for intercompany profits in inventories and plant assets,
8.3 Determine net income, other comprehensive income, and retained
earnings/common stock/dividends attributable to Equity Holders of
Parent/Controlling or Parents Interest and, consolidated group;
8.4 Ascertain the proper presentation of the consolidated financial
statements
9.0 Foreign Currency Transactions
5.71% 4 1 1 2
9.1 Identify the applicable rate for foreign currency transactions and
hedging operations.
9.2 Determine the gain or loss on foreign currency transactions and
hedging operations
9.3 Ascertain the proper financial statement presentation on the foreign
currency transactions and hedging operations.
10. Translation of Foreign Currency Financial Statements (PAS 21/PAS 5.71% 4 1 1 2
0 29)
 10
10.1 Translate from the Functional Currency to the presentation Currency
10.2 Remeasure from a Foreign Currency to the Functional Currency
10.3 Restate and ascertain the proper financial statements (Functional
currency is the currency of a hyperinflationary economy)
11.0 Not for profit organizations 2.86% 2 1 1
11.1 Describe the nature of business transactions and account financial
reporting implications of:
11.1.1 Voluntary health and welfare organizations (VHWO)
11.1.2 Hospitals and other health care organizations
11.1.3 Colleges and Universities
11.1.4 Other not for profit organizations such as churches,
museums, fraternity association, etc.

12. Government Accounting General Fund

2.86% 2 1 1
0
12.1 Describe the basic concepts in Government Accounting and its budget
process
12.2 Prepare Journal entries (Books of National Government Agency)
13. Other special Topics
2.87% 2 1 1
0
13.1 Account for insurance contracts by insurers (PFRS 4)
13.2 Account for build, operate & transfer (IFRIC 12)
13.3 Account and record business transactions applying the IFRS for SMEs
14. Cost Accounting
14.29% 10 1 1 5 2 1
0
14.1 Job Order Costing
14.1.1 Record transactions using job order costing procedures
14.1.2 Compute Cost of Goods Manufactured and Sold
14.1.3 Account for spoiled units and rework costs
14.1.4 Allocate service department cost
14.2 Process Costing System
14.2.1 Determine cost of production under FIFO and Weighted
Average Method
14.2.2. Account for spoilage (lost units) both for normal and abnormal
spoilage
14.3 Backflush/JIT Costing System
14.3.1 Apply just in time costing sytem
14.3.2 Compute amount of materials to be backflushed from RIP to
finished goods
 14.3.3 Prepare the journal entries
14.4 Activity Costing System
14.4.1 Apply Activity Based costing System
14.4.2 Compute total manufacturing cost and cost per unit using ABC
14.5 Joint and By Products
14.5.1 Compute and Allocate joint (common) costs at the point of
split-off
14.5.2 Account for costs after split-off
14.5.3 Determine total cost and gross profit
14.5.4 Compute and account for by- products
14.5.5 Prepare journal entries
14.6 Standard Costing
14.6.1 Compute Direct Materials, Direct Labor and Factory overhead
using Standard Costing
14.6.2 Account for the Variance of Applied vs Actual Cost of Direct
Materials, Labor and Factory Overhead
14.6.3 Prepare journal entries using standard costing

6 15 35 10 4 0
TOTAL 100 70 21 35 14