PGM103 Acctg and Business Practices
A survey of basic accounting theory and the application of accounting principles, including the recording of business transactions and preparation of financial statements within the golf industry. Analysis and interpretation of financial data will be used to assist users in decision-making. Case studies involving financial situations presently facing golf club management will be presented.
- Describe and explain the purpose of each of the three principal financial statements: balance sheet, income statement and statement of cash flows.
- Prepare from an adjusted trial balance the following financial statements: income statement, statement of retained earnings and balance sheet.
- Analyze and record common types of transactions (sales, cash receipts, purchases on account, cash disbursements, etc.) in proper form, in both a 2-cololumn journal and in T-accounts.
- Discuss the purpose of adjusting journal entries as a step in the accounting cycle.
- Explain what is meant by the term "depreciation" in the context of accounting.
- Explain the meaning of "accrual basis" of accounting, and how it differs from the "cash basis" of accounting.
- Explain the meaning of "perpetual inventory system", and how it differs from the "periodic method" of accounting for inventory.
- Apply the alternative methods of costing inventory - FIFO, LIFO and weighted average.
- Analyze financial statements using common financial statement ratios, and state conclusions about the company's liquidity, solvency, and profitability.
- Discuss what is meant by "internal control" and why it is important for any enterprise; also, provide several examples of internal control procedures commonly used by a golf course or golf management company
- Present a case study analysis of a financial situation presently being faced in the golf industry and explore accounting methods for facing the challenges presented in the case study.