Advanced Financial Accounting

Learn advanced financial accounting from a practicing Certified Public Accountant (CPA)

Last updated 2022-01-10 | 4.6

- How to apply different accounting methods based on levels of control
- How to account for acquisitions and investments
- Work comprehensive acquisition problems in Excel

What you'll learn

How to apply different accounting methods based on levels of control

How to account for acquisitions and investments

Work comprehensive acquisition problems in Excel

Work consolidations when the subsidiary is 100% owned

Work consolidations when the subsidiary is not 100% owned and there is a noncontrolling interest

Work consolidations when the fair value of assets and liabilities at the date of acquisition differs from the book value resulting in a differential

Work consolidations where there are intercompany transfers such as upstream (subsidiary to parent) and downstream (parent to subsidiary) sales of equipment and inventory.

Work consolidations where there are intercompany transactions related to debt

bonds

and interest.

* Requirements

* Should have an understanding of financial Accounting concepts

Description

Advanced financial accounting will focus heavily on intercorporate acquisitions and investments in other entities.

Why learn advanced accounting?

Even if we do not work in an area that applies advanced accounting concepts directly, learning them is very useful, because it refines our skills on the understanding of double-entry accounting, its concepts, and practical application.

Advanced financial accounting is also a standardized topic often found on exams like the CPA exam.

This course will break down the complex concepts in advance financial accounting in a way we can easily grasp. How?

We will break down the very large concepts covered into digestible parts. We will organize those parts in a way in which they build on one another logically, allowing us to develop our knowledge in a systematic, practical, and efficient way.

We will approach each new section from a variety of angles, including:

· PowerPoint presentations discussing the latest concepts in a discussion format

· Practice problem demonstrations using video recordings taken of presentations created using OneNote

· Excel problems we will demonstrate in a step by step process

Learners will have access to the PowerPoint presentations in PDF format. They will also have access to an outline of the resources in OneNote.

Learners will have downloadable Excel files, each having at least two tabs, one with the answer, one with a preformatted Excel worksheet learners can use to work through the problem in a step by step approach.

We also do our best to add a trial balance and show the big picture as we learn new concepts, a step often missed in many classes. In other words, by the time we get to advanced financial accounting, many instructors expect us to be able to visualize everything that has been learned up to this point, and only show the new concepts. In reality, even seasoned professionals will have a difficult time imagining all the complexities that can go on in a consolidation without the help of supporting tools like a trial balance to work with.

We will show the trail balance, show each journal entry in our practice problem, and post each entry to a worksheet so we can see the results as we go. No guessing where a number came from in this course.

While learning consolidation, we will start with easier problems where the subsidiary is 100% owned by the parent company.

We will then add differentials between the fair value and book value at the point of purchase.

The course will move to conciliation where the subsidiary is not 100% owned, resulting in us accounting for the noncontrolling interest.

We will add intercompany transfers such as upstream (subsidiary to parent) and downstream (parent to subsidiary) sales of equipment and inventory.

Learners will learn how to account for intercompany transactions related to debt, bonds, and interest.

Who this course is for:

Accounting Students
Accounting Professionals

Course content

39 sections • 190 lectures

Acquisition & Investments Overview 16 lectures

105 Business Acquisition & Expansion Preview 15:31

OneNote Resource Preview 00:00

110 Internal Business Expansion Preview 07:34

115 External Business Expansion Preview 13:35

120 Business Combinations Methods Preview 13:11

125 Internal Expansion Accounting Preview 06:27

130 Forms of Business Combinations Preview 10:43

135 Valuation of Business Entities Preview 13:52

140 Statutory Merger Preview 12:16

145 Acquisition Accounting Preview 04:39

150 Acquisition Accounting Goodwill Preview 09:41

155 Acquisition Accounting Bargain Purchase Preview 06:04

160 Other Intangibles Preview 01:56

163 Financial Reporting After a Business Combination Preview 01:16

166 Measurement Period and Contingent Considerations Preview 06:15

169 Consolidation Process Overview Preview 11:49

Example Probs-Acquisition & Investments Overview 3 lectures

101 Practice Problem One Company Creates Fully Owed Subsidiary Preview 16:40

113 One Company Fully Purchasing Another Using Bonds Preview 10:30

121 One Company Fully Purchases Net Assets of Another Using Common Stock Preview 13:23

Excel Prob - Acquisition & Investments Overview 7 lectures

101 Fully Owned Subsidiary Creation Journal Entry Preview 18:01

108 Company Purchase Net Asset of Another Company Preview 11:39

113 One Company Fully Purchasing Another Using Bonds Preview 11:38

121 One Company Fully Purchases Another Using Common Stock Preview 11:22

124 One Company Creates A Fully Owned Subsidiary Preview 17:58

127 One Company Purchases Net Assets of Another Exchanging Stock Issued Preview 15:24

140 Acquisition & Merger & Liquidation Detailed Problem Preview 35:02

Consolidations of Wholly Owned Subsidiaries - Basic Consolidations 4 lectures

205 Accounting Related to Ownership & Control Preview 08:49

209 Securities Carried at Fair Value Accounting Preview 13:32

214 Investments Using the Equity Method Preview 21:20

217 Consolidation Process 100% Owned Subsidiary Preview 11:49

Excel Probs-Consolidations of Wholly Owned Subsidiaries-Basic Consolidations 5 lectures

219 Excel Problem Equity Method vs Fair Value Method Preview 28:21

221 Consolidation Equity Method Year 1 – P Co. Purchased 100% of Shares of S at Preview 23:38

222 Consolidation Equity Method Year 2 – P Co. Purchased 100% of Shares of S at Preview 15:19

227 Consolidation Cost Method Year 1 – P Co. Purchased 100% of Shares of S at Ne Preview 19:01

228 Consolidation Cost Method Year 2 – P Co. Purchased 100% of Shares of S at Ne Preview 17:14

Consolidations of Less Than Wholly Owned Subsidiaries 4 lectures

305 Usefulness of Consolidated Financial Statements Preview 13:16

310 Direct & Indirect Control Preview 07:43

315 Consolidation for Non Wholly Owned Subsidiary Preview 13:20

320 Consolidation Calculations Less Then Wholly Owned Subsidiary Preview 10:27

Example Probs-Consolidations of Less Than Wholly Owned Subsidiaries 2 lectures

326 Consolidation Year 0 P Co. Purchased 90% of Shares of S at 90% of Net Asset Preview 14:38

327 Consolidation Year 1 P Co. Purchased 90% of Shares of S at 90% of Net Asset Preview 18:59

Excel Prob-Consolidations of Less Than Wholly Owned Subsidiaries 3 lectures

326 Consolidation Excel Non-Wholly Owned Subsidiary Not Goodwill Year 0 Preview 18:58

327 Consolidation Excel – Non-Wholly Owned Subsidiary Not Goodwill Year 1 Preview 26:04

328 Consolidation Excel Non-Wholly Owned Subsidiary Not Goodwill Year 2 Preview 23:04

100% Owned Subsidiary Purchased A More Than Book Value 4 lectures

405 Consolidation When There is a Book & Fair Value Difference Overview Preview 24:27

410 Consolidation With Difference Simple Example Preview 08:31

420 Intercompany Transactions Preview 07:59

425 Push Down Accounting Preview 09:39

Example Probs-100% Owned Subsidiary Purchased A More Than Book Value 7 lectures

425 Consolidation 100% Owned Goodwill & PP&E Value Adjustments Preview 13:57

427 Consolidation 100% Owned, Land Revaluation, Purchases with Stock Issuance Ye Preview 14:54

431 Consolidation 100% Owned Goodwill & Inter-Company Transactions Year 0 Preview 11:42

433 Consolidation 100% Owned, Goodwill, Fair Value PP&E, & Impairment of Goodwil Preview 18:10

435 Consolidation 100% Owned, Fair Value PP&E Difference, & Intercompany Transac Preview 21:52

436 Consolidation 100% Owned, Fair Value PP&E Difference, & Intercompany Transac Preview 23:13

437 Push Down Accounting Preview 17:03

Excel Prob-100% Owned Subsidiary Purchased A More Than Book Value 7 lectures

425 Consolidation 100% Owned Goodwill & PP&E Value Adjustments Year 0 Preview 18:06

427 Consolidation 100% Owned, Land Revaluation, Purchases with Stock Issuance Ye Preview 17:23

431 Consolidation 100% Owned Goodwill & Inter-Company Transactions Year 0 Preview 16:06

433 Consolidation 100% Owned, Goodwill, Fair Value PP&E, & Impairment of Goodwil Preview 24:20

435 Consolidation 100% Owned, Fair Value PP&E Difference, & Intercompany Transac Preview 27:23

436 Consolidation 100% Owned, Fair Value PP&E Difference, & Intercompany Transac Preview 23:37

437 Push Down Accounting Preview 20:56

Under 100% Owned Subsidiaries Acquired at More Than Book Value 1 lectures

510 Consolidations Less Than 100% Owned Subsidiary Preview 09:41

Example Probs-Under 100% Owned Subsidiaries Acquired at More Than Book Value 4 lectures

539 Consolidation Less than 100% Owned, Fair Value Differ from Book, Year Zero Preview 20:07

543 Consolidation Less than 100% Owned, Fair Value Differ from Book, Goodwill, Y Preview 31:15

544 Consolidation Less than 100% Owned, Fair Value Differ from Book, Goodwill, Y Preview 29:33

549 Consolidation Less than 100% Owned, Fair Value Differ from Book, Intercompan Preview 29:59

Excel Probs - Under 100% Owned Subsidiaries Acquired at More Than Book Value 4 lectures

539 Consolidation Less than 100% Owned, Fair Value Differ from Book, Year Zero Preview 26:16

543 Consolidation Less than 100% Owned, Fair Value Differ from Book, Goodwill, Y Preview 42:51

544 Consolidation Less than 100% Owned, Fair Value Differ from Book, Goodwill, Y Preview 46:29

549 Consolidation Less than 100% Owned, Fair Value Differ from Book, Intercompan Preview 29:45

Inventory Transfer Intercompany 4 lectures

610 Eliminating Intercompany Transactions Preview 13:31

615 Parent Sale to Sub & Sub Resold Preview 16:32

620 Sale From Parent to Sub Sub Has Not Resold Preview 06:06

625 Inventory Transfers & Transfer Pricing Preview 19:41

Example Probs-Inventory Transfer Intercompany 3 lectures

637 Consolidation Down Stream & Upstream Sales Fully Adjusted Equity Method Preview 45:55

639 Consolidation Down & Upstream Sales Fully Adj. Equity Method Preview 46:34

645 Consolidation Down Stream & Upstream Sales-Modified Equity Method Preview 46:56

Excel Probs-Inventory Transfer Intercompany 3 lectures

637 Consolidation Down Stream & Upstream Sales-Fully Adjusted Equity Method Preview 44:33

639 Consolidation Down & Upstream Sales Fully Adj. Equity Method Preview 56:18

645 Consolidation Down Stream & Upstream Sales Modified Equity Method Preview 49:41

Consolidation-Transfer of Noncurrent Assets & Services 3 lectures

710 Transfer of Long-Term Assets & Services Overview Preview 10:36

715 Equity Method and Land Transfer Preview 08:48

720 Depreciable Asset Transfer Preview 04:41

Example Probs-Consolidation-Transfer of Noncurrent Assets & Services 3 lectures

742 Consolidations NCI, Intercompany Transfer of Equipment, & Goodwill Impairmen Preview 47:21

743 Consolidations NCI, Intercompany Transfer of Equipment & Land Preview 40:46

748 Consolidations NCI, Loss on Intercompany Transfer of Equipment Preview 36:56

Excel Probs-Consolidation-Transfer of Noncurrent Assets & Services 3 lectures

742 Consolidations NCI Intercompany Transfer of Equipment, & Goodwill Impairment Preview 49:10

743 Consolidations NCI, Intercompany Transfer of Equipment & Land Preview 49:40

748 Consolidations NCI, Loss on Intercompany Transfer of Equipment Preview 41:46

Consolidation-Intercompany Indebtedness 1 lectures

810 Intercompany Debt Transfers Overview Preview 09:26

Example Probs-Consolidation-Intercompany Indebtedness 7 lectures

824 Consolidation NCI, Bond Sale from P to S at Premium Preview 20:53

825 Consolidation NCI, Bond Sale from S to P at a Premium Preview 19:05

826 Consolidation NCI, Bond Sale from S to P at Discount Preview 36:16

835 P1 Consolidation NCI, P Purchases S Bonds from Third Party at Discount Par Preview 40:01

835 P2 Consolidation NCI, P Purchases S Bonds from Third Party at Discount Part Preview 28:51

838 P1 Consolidation NCI, P Purchases S Bonds from Third Party in Year of Consol Preview 34:44

838 P2 Consolidation NCI, P Purchases S Bonds from Third Party in Year of Consol Preview 29:42

Excel Probs--Consolidation-Intercompany Indebtedness 6 lectures

824 Consolidation NCI, Bond Sale from P to S at Premium Preview 18:36

825 Consolidation NCI, Bond Sale from S to P at Premium Preview 18:09

826 Consolidation NCI, Bond Sale from S to P at Discount Preview 42:17

835 P1 Consolidation NCI, P Purchases S Bonds from Third Party at Discount Preview 35:06

835 P2 Consolidation NCI, P Purchases S Bonds from Third Party at Discount Preview 31:29

838 Consolidation NCI, P Purchases S Bonds from Third Party in Year of Consolida Preview 01:06:02

Consolidation Ownership Problems 7 lectures

910 Consolidation & Preferred Stock Preview 02:04

915 Consolidation Parent Sale of Subsidiary Shares Preview 02:37

920 Subsidiary Sells Additional Shares to Nonaffiliate Preview 03:31

925 Subsidiary Sells Additional Shares to Parent Preview 02:46

935 Subsidiary Purchases Shares from Parent Preview 01:38

940 Consolidation When there is Complex Ownership Structure Preview 04:56

945 Consolidation & Subsidiary Stock Dividends Preview 02:28

Practice Probs-Consolidation Ownership Problems 3 lectures

932 Consolidation, NCI & Preferred Stock Preview 23:59

934 Consolidation, NCI & P Sells Portion of S Stock Preview 13:10

936 Consolidation, NCI & S Issues More Stock to P Preview 16:22

Excel Probs-Consolidation Ownership Problems 3 lectures

932 Consolidation, NCI & Preferred Stock Preview 29:51

934 Consolidation, NCI & P Sells Portion of S Stock Preview 15:25

936 Consolidation, NCI & S Issues More Stock to P Preview 20:03

Consolidation – Other Reporting Issues 4 lectures

1010 Consolidated Statement of Cash Flows Preview 10:37

1020 Consolidation - Interim Acquisition Preview 03:46

1030 Consolidation & Income Taxes Preview 10:52

1035 Consolidated Earnings Per Share Preview 04:02

Practice Probs-Consolidation – Other Reporting Issues 6 lectures

1028 Consolidated Statement of Cash Flows Preview 23:04

1029 Consolidated Statement of Cash Flows Direct Method & Reconciliation Preview 19:31

1033 Consolidated Statement of Cash Flows Direct Method Gain on Sale Preview 12:52

1038 Midyear Purchase of Controlling Interest Preview 22:29

1039 Tax Allocation in Consolidated Balance Sheet Preview 19:28

1042 Earnings per share with convertible securities Preview 14:47

Excel Probs-Consolidation – Other Reporting Issues 6 lectures

1028 Consolidated Statement of Cash Flows Indirect Method Preview 20:06

1029 Consolidated Statement of Cash Flows Direct Method & Reconciliation Preview 21:51

1033 Consolidated Statement of Cash Flows Direct Method Gain On Sale Preview 11:43

1038 Midyear Purchase of Controlling Interest Preview 26:15

1039 Tax Allocation in Consolidated Balance Sheet Preview 29:03

1042 Earnings Per Share With Convertible Securities Preview 16:27

Consolidation – Foreign Currency Transactions 4 lectures

1110 Foreign Currency Exchange Rates Preview 20:47

1120 Foreign Currency Transactions Preview 32:20

1125 Forward Exchange Financial Instruments Preview 16:08

1130 Forward Exchange Contracts Preview 07:46

Practice Probs – Foreign Currency Transactions 10 lectures

1133 Purchases & Sales Involving Foreign Currency Preview 36:35

1138 P2 Forward Contract to Hedge Commitment Agreement to Purchase Preview 24:29

1138 P3 Forward Contract as a Cash Flow Hedge Preview 20:21

1138 P4 Forward Contract for Speculative Purposes Only Preview 12:44

1140 C1 Forward Exchange Contract to Manage Foreign Currency Net Asset Position Preview 27:40

1140 C2 Forward Exchange Contract to Hedge Foreign Currency Payable Commitment Preview 32:53

1140 C3 A1 Forward Exchange Contract Designated as Cash Flow Hedge & Re-Designat Preview 32:13

1140 C3 A1 Forward Exchange Contract Designated as Cash Flow Hedge & Re-Designat Preview 36:44

1140 C3 A2 Forward Exchange Contract Designated as Cash Flow Hedge from Time the Preview 32:03

1140 C4 Forward Exchange Contract for Speculation Only Preview 24:42

Excel Probs – Foreign Currency Transactions 10 lectures

1133 Purchases & Sales Involving Foreign Currency Preview 27:13

1138 P1 Forward Contract to Manage Foreign Currency Risk from Purchase Preview 19:24

1138 P2 Forward Contract to Hedge Commitment Agreement to Purchase Preview 24:08

1138 P3 Forward Contract as a Cash Flow Hedge Preview 20:33

1138 P4 Forward Contract for Speculative Purposes Only Preview 15:12

1140 C A1 Forward Exchange Contract Designated as Cash Flow Hedge & Re-Designate Preview 36:44

1140 C1 Forward Exchange Contract to Manage Foreign Currency Net Asset Position Preview 28:24

1140 C2 Forward Exchange Contract to Hedge Foreign Currency Payable Commitment Preview 32:43

1140 C3 A2 Forward Exchange Contract Designated as Cash Flow Hedge from Time the Preview 31:11

1140 C4 Forward Exchange Contract for Speculation Only Preview 16:35

Consolidation – Foreign Entity Reporting Issues & Translation 7 lectures

1210 Attempts to Converge to One Set of Global Accounting Standards Preview 06:56

1220 Functional Currency Preview 10:22

1225 Translation vs Remeasurement Preview 16:00

1230 Translate Financial Statements of Foreign Subsidiary Preview 06:08

1240 Remeasure Financial Statement of Foreign Subsidiary Preview 19:55

1245 Other Foreign Operations Issues Preview 10:39

Practice Probs – Foreign Entity Reporting Issues & Translation 4 lectures

1226 Translation & Journal Entries Preview 23:31

1227 Translation, Consolidated Comprehensive Income, & Stockholders’ Equity Preview 32:45

1228 Remeasurement, Consolidated Net Income, & Stockholders' Equity Preview 32:07

1229 Proof of Translation Adjustment Preview 19:24

Excel Probs – Foreign Entity Reporting Issues & Translation 6 lectures

1226 Translation & Journal Entries Preview 22:47

1227 Translation, Consolidated Comprehensive Income, & Stockholders’ Equity Preview 35:29

1228 Remeasurement, Consolidated Net Income, & Stockholders' Equity Preview 34:16