ACC120 - Accounting Basics I

Outline info
Last revision date 2018-06-13 11:06:50.431
Last review date 2018-07-16 00:15:00.906

Subject Title
Accounting Basics I

Subject Description
This course introduces the student to how accounting information is used by, and meets the needs of both internal and external users through effective and efficient communication as well as what accounting information is required by a business concern to reflect clearly the operating results of the enterprise over its operating life. Throughout the course, students will be introduced to generally accepted accounting principles,the interpretation and preparation of financial statements and how this information is recorded in the various business records.

Credit Status
For information regarding exemptions for courses included in CPA’s Advanced Certificate in Accounting & Finance (ACAF) program please see:

Learning Outcomes
Upon successful completion of this subject the student will be able to:

1. Discuss the language of accounting and identify the uses and the application of accounting information for various users. (Ex. investors and creditors).

2. Demonstrate an understanding for each of the components of GAAP and financial statement concepts. Recognize and explain the correct application of these concepts.

3. Explain the nature, the general purpose, and interrelationships of the Balance Sheet and the Statements of Income, Retained Earnings and Cash Flow. Discuss how transactions that an enterprise enters into affect these statements and affect decisions of the users.

4. Demonstrate an understanding of the recording process for accounting information:
- record the more common adjustments necessary at the end of an accounting period;
- produce the financial statements that are required for both service and merchandise organizations;- understand the procedures required in closing the books to complete the "accounting cycle".

5. Explain the broad principles of cash management and the specific internal control and accounting procedures relating to cash and temporary investment transactions. Explain the purpose of and prepare the bank reconciliation.

6. Account for and explain the treatment of Receivables in general purpose financial accounting.
7. Describe and analyze Merchandising activities and Cost of Goods Sold. Explain the Perpetual and Periodic systems of recording inventory. Discuss the advantages and disadvantages of each system.

Cheating and Plagiarism
Each student should be aware of the College's policy regarding Cheating and Plagiarism. Seneca's Academic Policy will be strictly enforced.

To support academic honesty at Seneca College, all work submitted by students may be reviewed for authenticity and originality, utilizing software tools and third party services. Please visit the Academic Honesty site on for further information regarding cheating and plagiarism policies and procedures.

All students and employees have the right to study and work in an environment that is free from discrimination and/or harassment. Language or activities that defeat this objective violate the College Policy on Discrimination/Harassment and shall not be tolerated. Information and assistance are available from the Student Conduct Office at

Accommodation for Students with Disabilities
The College will provide reasonable accommodation to students with disabilities in order to promote academic success. If you require accommodation, contact the Counselling and Disabilities Services Office at ext. 22900 to initiate the process for documenting, assessing and implementing your individual accommodation needs.

Students should have strong English language skills. Familiarity with fundamental accounting principles and completion of Grade XII English and Mathematics are strongly recommended.

Topic Outline

  • Introduction to accounting, Generally Accepted Accounting Principles (GAAP), basic concepts of IFRS, Business organizations, Accounting Equation, Financial Statements
  • Recording Business Transactions, Trial Balance, Preparing Financial Statements
  • Adjusting Journal Entries, Closing Journal Entries, Classified Balance Sheet, Financial Statement Ratios
  • Accounts Receivable
  • Internal Controls, Cash, Bank Reconciliation
  • Merchandising Operations, Perpetual and Periodic Inventories

Mode of Instruction

A combination of teaching methods will be utilized which may include lectures, case studies, discussions, group and individual work.


This subject is delivered online. This may involve the use of digital materials and/or a text, group discussions, interaction with your instructor and online activities.

Prescribed Texts

TITLE: Accounting Principles, Volume 1 with WileyPLUS
Edition: 7
Author: Weygandt, Kieso, Kimmel, Trenholm, Warren, Novak
Publisher: Wiley
ISBN: 9781119328445

TITLE: Accounting Principles, Volume 1 with WileyPLUS
Edition: 7
Author: Weygandt, Kieso, Kimmel, Trenholm, Warren, Novak
Publisher: Wiley
ISBN: 9781119328445

Reference Material

Required Supplies

Promotion Policy

Grading Policy
A+ 90%  to  100%
A 80%  to  89%
B+ 75%  to  79%
B 70%  to  74%
C+ 65%  to  69%
C 60%  to  64%
D+ 55%  to  59%
D 50%  to  54%
F 0%    to  49% (Not a Pass)
EXC Excellent
SAT Satisfactory
UNSAT Unsatisfactory

For further information, see a copy of the Academic Policy, available online ( or at Seneca's Registrar's Offices.

Modes of Evaluation
Assignments are due on the dates specified. Should extenuating circumstances arise, please contact your instructor prior to the assignment due date so that an appropriate course of action can be established. Late assignments may be subject to a penalty of up to 10% per week and will not generally be accepted beyond two weeks from the due date.

In cases of cheating or plagiarism, the College Academic Policy will prevail. Please ensure that all assignments and reports are properly documented.

Students are referred to the following website for Seneca College Library style guides, Academic Honesty Policy and Copyright guidelines:


Dates for evaluations are specified in the weekly schedule addendum to this outline. The evaluation process may include, but is not limited to, tests, exams, assignments or presentations. Any absences or missed submissions due to medical or other reasons must be supported by medical or other appropriate documentation within one (1) week of the due date. The faculty and program area must be notified immediately in the event of a missed evaluation. Upon acceptance of the documentation, the weighting of the missed deliverable will normally be applied to the final exam.

English Competency

The ability to communicate effectively is essential for success in business. Therefore, you must demonstrate English competency in this subject in both oral and written work. Ensure your written work includes correct sentence structure, spelling and punctuation. Always spell check, edit and proofread your work.

Grading is based on the following marking scheme:


Comprehensive Assignment 10%
Mid Term Test 40%
Final Exam 50%

Accelerated One-Week Classroom: 

Quizzes 40%
Comprehensive Take-Home Assignment 10%
Final Exam 50%


Assignments 20%
Midterm Test 40%
Final Exam** 40%

** Final Exams: The final exam for online subjects must be written at the Test Centre of the College at which you registered. If you are unable to do so, please make alternative arrangements through the College at which you registered. All the academic policies of the College at which you registered apply. This includes, but is not limited to policies related to grading, supplemental exams, deferred exams and accommodations.

Please retain this course outline document for future educational and/or employment use.

Program Coordinator
Cynthia Duncan

Approved by: Chair - Business Studies Danielle Mercier