SYLLABUS

The Anderson School of Management, UCLA

Course Title Intermediate Financial Accounting

Course Number Management 120A, Section 1

Quarter Spring 2009

Instructor Danny S. Litt

Meeting Times Tuesday & Thursday, 8:00am - 9:50am

Meeting Dates March 31, 2009 – June 4, 2009

Final Exam Date Saturday, June 6, 2009, 11:30am – 2:30pm

Class Location PAB 1434A

UCLA Office Anderson School of Management, Room D 406

UCLA Office Phone Number 310-825-8828 (message)

UCLA Office Hours Tuesday & Thursday, 12:00pm or by appointment

UCLA E-mail address [email protected] (reference Management 120A)

COURSE DESCRIPTION
The course covers the interpretation, use, processing, and presentation of accounting
information. The course examines the preparation of the principal accounting statements. Other
topics include valuation, revenue recognition, recording, presentation, and control of cash;
receivables; inventories; valuation, recording and presentation of plant, equipment and intangible
assets. This is an “impacted” class and you may only drop within the first two weeks.
COURSE GOALS AND OBJECTIVES
Develop an understanding and comprehension of generally accepted accounting principles and
their application to the basic accounting process. This class is the first part of the two part series
of Intermediate Financial Accounting. After completing this course, the student should be able
to:
• Understand the accounting concepts and prepare and use the accounting information.
• Recognize where traditional financial statements may and may not be adequate.
• Recognize emerging approaches, understand how they may improve on the traditional,
and integrate the two.
• Develop skills in group problem solving.
TOPICS INCLUDE
• The Accounting Process
• Balance Sheet & Risk Analysis
• Statement of Income & Statement of Cash Flows

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• Revenue Recognition
• Profitability Analysis
• Time Value of Money
• Cash & Receivables
• Inventory Valuation
• Property, Plant and Equipment
• Natural Resources
• Intangible Assets
• Investments
• GAAP vs IFRS
REQUIRED COURSE TEXT
Intermediate Accounting, Fifth Edition
Spiceland, Sepe, Nelson and Tomassini
McGraw-Hill, 2009
ISBN-13 9780077282073 / MHID 0077282078
RECOMMENDED READING
Current daily issues of the Wall Street Journal.
Current issues of Business Week Magazine.
Current issues of The Daily Bruin
GRADING
Course grades are based on the following:
Points Percentage (%)
Case 1 50 10
Case 2 50 10
Exam 1 200 40
Exam 2 200 40
Total 500 100%

Exam 1 will cover the material preceding the exam and is anticipated to last one and one-half
hours. Exam 2 is cumulative, with emphasis on the later chapters, and will be approximately
three hours in length. There will be no makeup exams.

Each student is expected to attend regularly and be prepared to discuss the material covered that
day. Each student is individually responsible for completing the required assignments prior to the
beginning of class and for bringing the assignment to class. Students will be asked to explain
their solutions of the homework assignments to the class. These homework assignments will not
be submitted. There may be “pop” quizzes.
CASES
The students will organize themselves into groups of three to six by the second class meeting.
Each group will submit solutions to the two graded case assignments. Once groups are formed,
case write-ups are a group responsibility. High quality is expected, in both content and form.

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Management 120A

Content includes specificity, completeness, clarity, grasp of significant issues, and originality.
Form includes grammar, punctuation, spelling, conciseness, organization, and legibility. Cases
may require significant computer analysis, e.g. Excel spreadsheets.
Proper case write-ups have several attributes. They are prepared on a word processor, double-
spaced, letter quality, and concise (less than ten pages, not counting exhibits and executive
summary). They typically begin with an executive summary. They do not restate case facts
except as brief citations to support arguments or conclusions. They go beyond merely answering
the required assignment questions to demonstrate a significant grasp of issues. If there is a
required executive summary, it should be no longer than a few pages. It should only present
major conclusions, summary numbers and recommendations. It should not summarize reasoning,
evidence, or arguments, nor should it present any facts from the case.
Each group must work together jointly, not by dividing the work into parts. If one or more group
members do not participate, omit their names from the group paper or as Donald Trump says:
“You’re fired.” Each group’s members are urged to study together, assist each other, and learn
from each other. This approach generally improves an individuals’ learning. Each individual is
ultimately responsible for performing, however, so the group must evaluate the members of its
group with respect to work, effort and performance.
GRADING SCALE
The grades are indicators of the relative knowledge and skill of a student as compared to the
performance of other students in the course. The grades in the course will be adjusted so that the
mean or average in the class will be a C+ to B-; a grade of approximately 2.5 or greater.
POLICY ON INCOMPLETE GRADE
The grade Incomplete (“I”) may be assigned only in cases where:
• The student’s work is of passing quality at the time the incomplete grade is granted and
only a small portion of the coursework remains unfinished.
• The coursework has not been completed due to extraordinary and verifiable
circumstances (such as illness, death in the immediate family, or other similar situations).
• The student agrees to complete the coursework as soon as possible within the following
quarter. If the coursework is not completed by the following quarter, the incomplete
grade will automatically be converted to an “F.”
• The instructor agrees to give a grade of “incomplete” and evaluate the remaining
coursework if turned in during the following quarter.
The AGREEMENT FOR ASSIGNMENT OF A GRADE OF “INCOMPLETE” form must
be signed by both the student and the instructor, and approved by the Director of the
Undergraduate Accounting Minor Program.
If a student has not completed the course, does little or no work during the quarter and does not
have the appropriate good cause, the student’s grade will be posted as F, NP or U as appropriate.
WEB SITE
The website for our class was created in Moodle, an open source Course Management System
(CMS). Moodle is the new CMS that was chosen by UCLA to replace the different systems that
are used across the school.

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Management 120A

Our course can be accessed via the following methods:

• CCCLE website, http://ccle.ucla.edu - look under the Management category, Spring 09
folder for our class.
• Registrar website, www.registrar.ucla.edu – look under Schedule of Classes. In the
course detail there is a link to our class.
• Students who have enrolled in the class can find the course website under My UCLA,
http://my.ucla.edu/
INFORMATIVE WEB SITES
http://www.accountantsworld.com
http://moneycentral.msn.com
http://finance.yahoo.com/
http://www.cpaclass.com/
EMAIL POLICY
Emails are a useful and expeditious communication tool. Responses to all emails will be within
24 hours, including weekends. However, a few individuals view email as an around-the-clock
substitute for attending class or interacting with classmates. As such, before sending an email,
please consider:
1. Administrative issues and topics discussed in a class you missed should be directed to a
fellow classmate.
2. Unless a matter is urgent, please save your inquiry for the next class session or for office
hours. Personal conversations will allow a more thorough answer, gain an insight into
your conceptual struggles, understand any faulty underlying assumptions, and diagnose
your problem more accurately.
3. There are many subjects that are too sensitive to discuss over email mainly because
misinterpretation could have serious consequences. Some topics that should generally be
resolved outside of email are:
• Disciplinary action
• Conflicts about grades or personal information. I am happy to discuss your grades in
person. Privacy laws prevent me from using email
• Concerns about fellow classmates/group mates
• Complaints
4. If your email concerns grading records or the textbook, please assume that these items
may not be with me when I receive your email.
5. Be concise and to the point. Do not make an e-mail longer than it needs to be. Remember
that reading an e-mail is harder than reading printed communications and a long e-mail
can be very discouraging to read. Extremely long emails take longer to elicit a response.
6. Please state discrete questions that call for succinct answers. If you pose more than one
question, please number your questions, so they can be referred to by number.
7. Read the email before you send it. A lot of people don't bother to read an email before
they send it out, as can be seen from the many spelling and grammar mistakes contained
in emails. Apart from this, reading your email through the eyes of the recipient will help
you send a more effective message and avoid misunderstandings and inappropriate
comments.
If your email meets the above criteria, be sure to type UCLA and the course number in the
subject heading of your email. Otherwise, it will end up in my “junk” mail folder and go unread.
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LESSON PLAN
All homework assignments are from Spiceland, Sepe, Nelson & Tomassino and are due the following class session
from assigned date. (C=Cases, E=Exercises, P=Problems) (Px-n, where x is the chapter and n is the problem number)
Group Case Assignments will be distributed in class.
Class Date Topic and Assignments Annual Homework
Report
1 3/31/09 Course Introduction Starbucks E1-11(Chapter 1-
Exercise 11)
Chapter 1: Environment and
Theoretical Structure of Financial C1-13 (Chapter 1-Case
Accounting 13)

2 4/2/09 Chapter 2: Review of the Accounting Starbucks P2-1, 2, 5, 9, 11

Process

3 4/7/09 Chapter 3: The Balance Sheet and Nike P3-2, 3, 4, 6, 8, 10

Financial Disclosures

4 4/9/09 Chapter 4: The Income Statement and Whole Foods P4-1, 2, 3, 5, 6, 7

Statement of Cash Flows

5 4/14/09 Chapter 5: Income Measurement and Microsoft P5-1, 2, 4, 5, 6, 8, 10,

Profitability Analysis 11

6 4/16/09 Chapter 5: Income Measurement and Best Buy C5-1, 2, 3, 4

Profitability Analysis

7 4/21/09 Chapter 6: Time Value of Money Southwest P6-1, 2, 3, 5, 6, 8, 13

Concepts Airlines

8 4/23/09 Chapter 6: Time Value of Money Southwest C6-5, 6, 7

Concepts Airlines

9 4/28/09 Chapter 7: Cash and Receivables Microsoft P7-1, 2, 3, 5, 6, 7, 10,

12

10 4/30/09 Exam 1 Case 1

11 5/5/09 Chapter 8: Inventories: Measurement General Motors P8-1, 2, 4, 5, 6, 8, 9, 10

12 5/7/09 Chapter 9: Inventories: Additional Cisco Systems P9-1, 3, 4, 5, 6, 7, 9, 12

Issues

13 5/12/09 Chapter 10: Operational Assets: IBM P10-1, 2, 4, 6,

Acquisition and Disposition

14 5/14/09 Chapter 10: Operational Assets: Costco P10- 7, 9, 10, 12

Acquisition and Disposition

15 5/19/09 Chapter 10: Operational Assets: C10-6, 9, 15, 16, 18

Acquisition and Disposition

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Management 120A

Class Date Topic and Assignments Annual Homework

Report
16 5/21/09 Chapter 11: Operational Assets: Delta Airlines P11-4, 6, 7, 8, 10, 11
Utilization and Impairment

17 5/26/09 Chapter 11: Operational Assets: C11-5, 8, 14, 16

Utilization and Impairment

18 5/28/09 Chapter 12: Investments Amazon.com P12-1, 2, 3, 6, 8

19 6/2/09 Chapter 12: Investments C12-1, 7, 8

20 6/4/09 Review Case 2

21 6/6/09 Final Exam (all chapters)

CLASS ETIQUETTE
No cell phones or beepers are allowed in the classroom. Please turn them off!! No food or drink
(other than water) is allowed in the classroom.
DISCLAIMER
This syllabus may change from time to time to accommodate changing circumstances. Every
effort will be made to alert students to changes that occur in a timely manner. While the material
will be covered in the order presented in the schedule the actual timing may change from week to
week as the course progresses.
FINANCIAL CALCULATOR
It is highly recommended that you use a financial calculator. An HP 10B series, HP 12 series, HP
17 series, Sharp EL-733A or Texas Instruments BA II Plus financial calculator is acceptable.
You may not use your cell phone or your PDA. You may use a graphing calculator, if the
memory has been cleared. If you have an iPhone, you can download an HP12C calculator but
may not use the text messaging feature. Other instructors may have different policies. It is
important to realize that financial calculators are normally required on the job. The net
present value of this investment is extremely positive. If you are interested in finance, real estate,
financial services, or accounting you should really consider investing in the HP17 calculator; it is
a professional level machine that you may well use for the next decade or more.

Free training for HP calculators: http://www.hp.com/calculators/segments/students.html

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