Building on Intermediate Financial Accounting 1 and 2, students examine several complex topics
and their effect on financial reporting and disclosure. Topics include an introduction to
international accounting and the development of accounting standards; temporary and long-term
investments in debt and equity securities; business combinations; consolidation at acquisition;
consolidation subsequent to acquisition; consolidation and intercompany profit in inventory,
land, and depreciable assets; foreign currency transactions; translation and consolidation of
international operations; and accounting for not-for-profit organizations including public sector
Upon successfully completing this course, students will be able to:
- Apply conceptual principles when selecting appropriate accounting policies.
- Demonstrate the ability to assess a situation, identify issues and alternatives, and provide
a recommendation using advanced accounting knowledge and ethical professional judgment.
- Classify and account for various financial instruments using International Financial
- Explain the concept of business combinations and the main theories and methods of accounting
for business combinations.
- Prepare consolidated financial statements at acquisition and in subsequent years for both
fully owned and partially owned subsidiaries.
- Apply the equity method of accounting for joint ventures (IFRS 11).
- Translate foreign currency transactions and account for fair value and cash flow
- Choose and apply the proper method to translate and consolidate foreign operations.
- Explain the objectives of not-for-profit organizations and account for these organizations
using the guidelines in Part III of the CPA Canada Handbook. Apply the deferral method and the
restricted fund method. Apply fund accounting and budgetary control.
- Describe the financial reporting objectives for government and discuss the reporting issues
relevant to government.
Module 1: Introduction
Module 2: Temporary and Long-Term Investments in Debt and Equity Securities
Module 3: Business Combinations
Module 4: Consolidation of Non-Wholly Owned Subsidiaries
Module 5: Consolidation Subsequent to Acquisition Date
Module 6: Consolidation - Intercompany Inventory and Land Profits
Module 7: Consolidation - Intercompany Profit in Depreciable Assets, Deferred Taxes,
Intercompany Bondholdings and Joint Ventures
Module 8: Foreign Currency Transactions
Module 9: Translation and Consolidation of Foreign Operations
Module 10: Accounting for Not-for-Profit and Public Sector Accounting
Required text and materials
The following materials are required for this course. Students will receive the following:
- Hilton, M., & Herauf, D. (2019). Modern advanced accounting in Canada (Connect).
(9th ed.). Toronto, ON: McGraw-Hill Ryerson.
Type: Textbook: ISBN: 9781260305814
A computer with Internet access
MS Office 2003 or higher
Note: All assignments are required to be in MS Word document format.
A financial calculator is required for this course. Choose one of the following recommended
- Hewlett Packard: HP10bII, HP10bII+, or HP12c
- Texas Instruments: BAII Plus, or BAII Plus Professional
To successfully complete this course, students must achieve a passing grade of 50% or higher on
the overall course, and 50% or higher on the final mandatory exam.
|Assignment 1: Modules 1-4
|Assignment 2: Modules 5-6
|Assignment 3: Modules 5-7
|Assignment 4: Modules 8-10
|Final Exam (mandatory)
Open Learning Faculty Member
An Open Learning Faculty Member is available to assist students. Primary communication is
through the Learning Environment’s “Mail” tool or by phone. Students will receive the necessary
contact information when starting the course.