Principles Af Accounting

A.Y. 2021/2022
Overall hours
Learning objectives
The course of Economics and Management is characterized by the class in Financial Statement Analysis, which provides students with practical tools for interpreting the quantitative and qualitative dimensions related to economic performance and the financial and asset situation of companies. These skills are crucial in understanding how the economic variables, learned and analysed in other classes of course, are formed within different companies and how they are influenced by internal decision-making policies.
The objective of the class is to provide students with the theoretical bases, practical skills and best practices for the study and analysis of the financial statements of companies. The focus of the class is on OIC Italian GAAP (generally-accepted accounting principles) financial statements, with insights to the IAS/IFRS (international accounting standards/international financial reporting standards) financial statements. The aim of the class is to render students capable of understanding the trend and evaluate policies and decisions, both historically and prospectively, necessary for the growth and welfare of the company to achieve the general objectives and mission of the same.
This ultimate goal is pursued through the study and exercise of the students on the understanding of the purpose of the Financial Statements, the logic of its values, on the preparation of the financial statements documents according to the principles and current regulations and, eventually, on the analysis of the size of the financial statements through the calculation and interpretation of its indexes and margins.
Expected learning outcomes
At the end of the class the students will be able to:
Knowledge and understanding: Understand the mechanics and the fundamental relationships between the financial statement variables;
Ability to apply knowledge and understanding:
- Drawing up a financial statement in accordance with OIC Italian GAAP
- Identify the salient features and peculiarities of a financial statement prepared in accordance with international accounting standards
- Identify the appropriate financial statement indexes to describe specific types of economic performance and financial and asset situation of the company
Making judgements: Use financial statement indexes to analyze the health status of the company under review
Communication skills: Comment on the performance and evolution of the health status of the company
Learning skills: Identify potential corrective policies and improvement of the company itself based on the indexes.
Course syllabus and organization

Single session

Lesson period
Third trimester
If it will be necessary to switch to alternative teaching methods for the SARS-CoV-2 pandemic emergency, classes will be partially recorded by the teachers or assigned for flipped-classes to students.
Presentation of the flipped classes could be recorded or presented synchronously, depending also on the numerosity of the enrolled students.
Additional practical activities can be assigned to complete learning and to achieve expected results.
Information regarding the emergency will be promptly published on the course platform and on the TEAMS group that will be created at the start of the class.
Course syllabus
1) Insights on Accounting and general Financial Statement principles
2) Structure and content of the financial statements
3) Valuation criteria of the individual items in the financial statements
4) Introduction to the consolidated financial statements
5) Introduction to Financial Statement Analysis and reclassification of the Financial Statements schemes
6) Profitability and other performance indicators
7) Cash flow statement and cash flow analysis
Prerequisites for admission
The course takes place in the third quarter of the second year of the Bachelor's Degree in Economics and Management (EMA).
As far as the prerequisites are concerned, students are asked to return to the subjects dealt with in Accounting in terms of business accounting system and financial statements preparation.
Teaching methods
Teaching methods consists of:
- lectures;
- discussion of business cases in the classroom with presentation and active participation of students;
- exercises.
Teaching Resources
Lombardi Stocchetti G. (a cura di), Valutazioni di bilancio, Pearson, Milano, 2020 (EDIZIONE AGGIORNATA a quanto disposto dal D.Lgs. 139/2015 e dai nuovi principi OIC).
Lombardi Stocchetti G, Pecchiari N., Analisi di bilancio, Guerini Next, Milano, 2020.
Slides and other materials are available on the course platform.
Assessment methods and Criteria
The examination procedure for all students consists of a mandatory final written test that awards 30/30 points. The examination material consists of all the subjects covered in the reference teaching material.
The expected learning outcomes will be verified through the formulation of multiple-choice questions (basic and advanced theoretical knowledge), exercises in the understanding of accounting records and reclassification of financial statements, open questions of application of the practical knowledge of financial statement analysis.
Regularly attending students will also be evaluated on the basis of additional activities that will guarantee extra points (up to a maximum of 3 points) for group work activities, valid until the second quarter of the academic year following attendance of the course.
Lessons: 80 hours
Professor: Angeloni Silvia
Educational website(s)