Intermediate Accounting II

I.     Course Prefix/Number: ACC 242

       Course Name: Intermediate Accounting II

       Credits: 4 (4 lecture; 0 lab)

II.    Prerequisite

Recommended: ACC 241

III.   Course (Catalog) Description

Course presents theory and practice relating to liabilities, equity, and statement of cash flows.  Content includes study of debt and stock securities, earnings per share, accounting for income taxes, pension costs and leases, statement of cash flows, and financial reporting.  Accounting research is included using professional databases to resolve accounting issues. One credit hour of this course will satisfy the accounting research requirement mandated by the Illinois Board of Examiners.

IV.   Learning Objectives

A.  Students will demonstrate understanding of concepts and the ability to solve problems in the areas of:
  1. Long Term Liabilities
  2. Stockholders' Equity
  3. Earnings Per Share
  4. Long Term Investments in Securities
  5. Revenue Recognition
  6. Accounting for Income Taxes
  7. Accounting for Pension Costs
  8. Accounting for Leases
  9. Accounting for Changes and Error Analysis
  10. Statement of Cash Flows
B.     Students will demonstrate the ability to perform accounting research to solve accounting issues using professional databases.

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

1.    Long Term Liabilities
2.    Stockholders' Equity
3.    Earnings Per Share
4.    Long Term Investments in Securities
5.    Revenue Recognition
6.    Accounting for Income Taxes
7.    Accounting for Pension Costs
8.    Accounting for Leases
9.    Accounting for Changes and Error Analysis
10.  Statement of Cash Flows

VII.  Methods of Instruction

A. Lecture and Discussion
B. Problem Solving
C. Review of Homework
D. Case Problems
E. Internet Research
Course may be taught as face-to-face, hybrid or online course.

VIII. Course Practices Required

Students are expected to perform on a college level in text reading, writing, problem solving and basic math.

IX.   Instructional Materials

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

Varies by instructor.

X.    Methods of Evaluating Student Progress

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