Principles of Financial Accounting

I.     Course Prefix/Number: ACC 153

       Course Name: Principles of Financial Accounting

       Credits: 4 (4 lecture; 0 lab)

II.    Prerequisite


III.   Course (Catalog) Description

Course covers preparation and analysis of financial information using generally accepted accounting principles.  Content includes financial statement fundamentals, cash, receivables, inventory, payables, long-term assets, long-term debt, stockholders’ equity, cash flow statements, internal controls, and financial statement analysis.  Course incorporates computer component.  Prior computer experience not required.

IV.   Learning Objectives

At the conclusion of this course, students will be able to:
A. construct, interpret, and analyze the balance sheet, income statement, and cash flow statement.
B. prepare and analyze journal entries, adjusting entries, and closing entries to complete the accounting cycle.
C. prepare and analyze purchases and sales transactions for merchandising companies.
D. construct and interpret the multiple-step income statement.
E. prepare and interpret various inventory costing methods.
F. construct the bank reconciliation as well as the associated journal entries.
G. apply internal control principles to specific situations.
H. prepare and analyze receivables, including bad debts transactions.
I. prepare and interpret transactions related to the purchase, sale, and depreciation of fixed assets.
J. prepare and interpret transactions related to the purchase and amortization of intangible assets.
K. prepare and analyze transactions related to liabilities.
L. construct and analyze the stockholders’ equity journal entries as well as the stockholders’ equity section of the balance sheet.
M. utilize financial statement ratios to analyze the actual performance of various entities.

V.    Academic Integrity and Student Conduct

Students and employees at Oakton Community College are required to demonstrate academic integrity and follow Oakton's Code of Academic Conduct. This code prohibits:

• cheating,
• plagiarism (turning in work not written by you, or lacking proper citation),
• falsification and fabrication (lying or distorting the truth),
• helping others to cheat,
• unauthorized changes on official documents,
• pretending to be someone else or having someone else pretend to be you,
• making or accepting bribes, special favors, or threats, and
• any other behavior that violates academic integrity.

There are serious consequences to violations of the academic integrity policy. Oakton's policies and procedures provide students a fair hearing if a complaint is made against you. If you are found to have violated the policy, the minimum penalty is failure on the assignment and, a disciplinary record will be established and kept on file in the office of the Vice President for Student Affairs for a period of 3 years.

Please review the Code of Academic Conduct and the Code of Student Conduct, both located online at

VI.   Sequence of Topics

A. Financial Statement Preparation
B. Accounting Cycle
C. Merchandise Accounting
D. Internal Control
E. Cash and Bank Reconciliations
F. Receivables and Bad Debts
G. Inventories
H. Property, Plant, and Equipment and Intangible Assets
I. Liabilities
J. Stockholders’ Equity
K. Statement of Cash Flows
L. Financial Statement Analysis

VII.  Methods of Instruction

A. In class practice
B. Daily homework and take-home quizzes
C. Online practice and graded homework
D. In class quizzes and exams
Course may be taught as face-to-face, hybrid or online course.

VIII. Course Practices Required

Students are required to:
• Attend class and arrive promptly (face-to-face only)
• Do in-class assignments and quizzes (face-to-face only)
• Complete all practice and graded homework
• Complete any projects assigned by instructor
• Take quizzes and exams
Course may be taught as face-to-face, media-based, hybrid or online course.

IX.   Instructional Materials

Note: Current textbook information for each course and section is available on Oakton's Schedule of Classes.

Financial Accounting Textbook plus access code (all sections)
Student Handout Packet (face-to-face and hybrid sections only)

X.    Methods of Evaluating Student Progress

In example --
Three Exams (100 pts each)
Homework (10 points each)
Quizzes (10 points each)
Projects/Cases (50 points)
Attendance may count for points. This varies by instructor.

XI.   Other Course Information

If you have a documented learning, psychological, or physical disability you may be entitled to reasonable academic accommodations or services. To request accommodations or services, contact the Access and Disability Resource Center at the Des Plaines or Skokie campus. All students are expected to fulfill essential course requirements. The College will not waive any essential skill or requirement of a course or degree program.

Oakton Community College is committed to maintaining a campus environment emphasizing the dignity and worth of all members of the community, and complies with all federal and state Title IX requirements.

Resources and support for
  • pregnancy-related and parenting accommodations; and
  • victims of sexual misconduct
can be found at

Resources and support for LGBTQ+ students can be found at