Accounting: Principles of Financial Accounting

This course is part of multiple programs.

Instructor: Marc Badia

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156,092 already enrolled

4 modules

Gain insight into a topic and learn the fundamentals.

4.8

(3,233 reviews)

Beginner level

No prior experience required

Flexible schedule

1 week at 10 hours a week

Learn at your own pace

97%

Most learners liked this course

4 modules

Gain insight into a topic and learn the fundamentals.

4.8

(3,233 reviews)

Beginner level

No prior experience required

Flexible schedule

1 week at 10 hours a week

Learn at your own pace

97%

Most learners liked this course

What you'll learn

Utilize accounting principles for informed business decision-making.

Skills you'll gain

Details to know

Shareable certificate

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Assessments

9 assignments

Taught in English

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There are 4 modules in this course

Financial Accounting, the language of business, is essential for anyone interacting with financial information. Whether you're a business owner, manager, or just starting your career, understanding financial statements is crucial. This course provides the fundamentals of financial accounting, empowering you to interpret financial statements like balance sheets and income statements for informed decision-making. You'll gain the conceptual base for further learning in accounting and finance. No prior experience is needed. Practice your skills using Microsoft Excel, a critical tool in finance and accounting. Understand the basics of accounting, improving your business and potentially unlocking free courses and certificate opportunities along the way.

Welcome! Before you start today's videos, please have a look at the syllabus. In this first module, I'll give you an overview of what accounting is all about and why it's important to have a basic proficiency in this "language." In addition, I'll introduce one of the most important financial reports - the balance sheet - and a practical real-world case so you can put theory into practice.

What's included

10 videos7 readings2 assignments

10 videosTotal 48 minutes

Introduction - Welcome to the Course3 minutes
1. Accounting: The Language of Business6 minutes
2. Practice Case: The Campus Bookstore I7 minutes
3. Practice Case: The Campus Bookstore II3 minutes
4. Accounting for our First Transactions3 minutes
5. Accounting for More Transactions5 minutes
6. Explaining the Balance Sheet7 minutes
7. Defining an Asset6 minutes
8. Defining a Liability4 minutes
9. Recap2 minutes

7 readingsTotal 92 minutes

Course Overview & Syllabus5 minutes
Reminder of Coursera's Honor Code1 minute
Transactions Module 15 minutes
Get help and meet other learners. Join your Community!5 minutes
About Module 11 minute
Required Reading Module 1: "The Balance Sheet"30 minutes
Required Reading Module 1: "Introduction to Financial Accounting"45 minutes

2 assignmentsTotal 50 minutes

Why Accounting? A Quick Business Check20 minutes
Quiz Module 1 30 minutes

Now that you are familiar with the balance sheet, in this second module we'll learn how to account for a variety of transactions. In addition, I'll introduce you to another key financial report: the income statement.

What's included

11 videos4 readings2 assignments

11 videosTotal 49 minutes

1. Introduction to Module 21 minute
2. Recap of Module 11 minute
3. Purchasing More Inventory3 minutes
4. Sales and Cost of Goods Sold7 minutes
5. Selling, General and Administrative Expenses4 minutes
6. Some Collections and Payments of Cash3 minutes
7. Depreciation and Amortization8 minutes
8. Interest from Bank Loan and Taxes3 minutes
9. Preparing the Balance Sheet3 minutes
10. Introducing the Income Statement6 minutes
11. Recap of Module 2 and Conclusions3 minutes

4 readingsTotal 44 minutes

About Module 21 minute
Transactions Module 23 minutes
Required Reading Module 2: "The Income Statement"30 minutes
Required Reading Module 2: "Introduction to Financial Accounting"10 minutes

2 assignmentsTotal 60 minutes

What Affects the Income Statement?30 minutes
Quiz Module 230 minutes

Now that you have a good grasp of the balance sheet and income statement, I'll help you master how to recognize the transactions we went over in the second module. I'll also introduce a third financial report - the cash flow statement - and discuss liquidity.

What's included

14 videos3 readings2 assignments

14 videosTotal 66 minutes

1. Introduction to Module 32 minutes
2. Recap of Module 23 minutes
3. T-Accounts and Journal Entries5 minutes
4. Setting up T-Accounts for the Campus Bookstore3 minutes
5. Sales, Cost of Goods Sold, Collections from Customers and Payment to Suppliers7 minutes
6. Other Operating Costs4 minutes
7. Transactions with Non-Current Assets8 minutes
8. Bank Loans and Interest4 minutes
9. Taxes, Closing Entries and Payments of Dividends5 minutes
10. Preparing the Balance Sheet3 minutes
11. Preparing the Income Statement4 minutes
12. Introducing the Cash Flow Statement I7 minutes
13. Introducing the Cash Flow Statement II4 minutes
14. Recap of Module 3 and Conclusions3 minutes

3 readingsTotal 60 minutes

About Module 310 minutes
Transactions Module 310 minutes
Required Reading Module 3: "The Statement of Cash Flows"40 minutes

2 assignmentsTotal 60 minutes

Which Account Is Affected?30 minutes
Quiz Module 330 minutes

By using accrual accounting we can measure performance when a financial transaction takes place, even if no cash has actually changed hands. In this final module, we'll discuss the difference between accrual and cash accounting and also read and interpret a real enterprise's financial statements.

What's included

11 videos6 readings3 assignments1 peer review

11 videosTotal 67 minutes

1. Introduction to Module 42 minutes
2. Recap of Module 35 minutes
3. Accrual accounting vs. cash accounting5 minutes
4. Measuring performance with accrual accounting6 minutes
5. A few examples: prepaid insurance, accrued interest and advances from customers7 minutes
6. Performance evolution of the Campus Bookstore I8 minutes
7. Performance evolution of the Campus Bookstore II7 minutes
8. Reading and interpreting real financial statements I7 minutes
9. Reading and interpreting real financial statements II4 minutes
10. Advanced topics you can explore on your own6 minutes
11. Conclusions6 minutes

6 readingsTotal 60 minutes

About Module 410 minutes
Transactions Module 410 minutes
Quiz 4 Part I with Solutions10 minutes
Quiz Module 4 Background Information for Reference10 minutes
Prompt10 minutes
Solutions10 minutes

3 assignmentsTotal 90 minutes

Cash or Accrual?30 minutes
Quiz Module 4 - Part 130 minutes
New Quiz30 minutes

1 peer reviewTotal 60 minutes

Quiz Module 4 - Part 260 minutes

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Instructor

Instructor ratings

4.8 (899 ratings)

Marc Badia

IESE Business School

1 Course156,092 learners

Offered by

IESE Business School

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Learner reviews

4.8

3,233 reviews

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Reviewed on Jun 30, 2017

Excellent teaching style and ver god knowledge. I am now able to read and understanding the balance, income statement, profit and loss statement and cash statement of various companies.

Reviewed on Jun 20, 2023

A thorough introduction to Accounting for newcomers as well as a great refresher course. Examples are practical and easy to understand, while still challenging your thinking. Really enjoyed it.

Reviewed on Dec 18, 2020

Very interesting. Some of the points regarding definitions were lost - Prof Badia explained this so much better than reading but notes and slowing down the video was needed for me to recall these.

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