ACCOUNTING AND BUSINESS ADMINISTRATION-2

The course contributes to the educational objectives of the Bachelor's Degree Programme, which aims to provide the knowledge needed to critically analyze economic phenomena at various levels (macroeconomic, market, company), to know decision-making processes of economic organizations and to address entities’ economic problems. Therefore, these objectives require adequate knowledge to identify the economic and financial effects of an entity’s events, to record them with bookkeeping and to prepare the financial statements according to Italian regulation.

1 KNOWLEDGE AND UNDERSTANDING
Since the students of the Degree in Economics and Commerce need to know and understand the functioning of business entities, at the completing of this course students’ will know and be able to understand:
- the role of business entities in the economic activity;
- the relationship among economic and business phenomena;
- the typology of business entities and their main characteristics;
- the main activities performed by business entities and within business entities;
- the relationship between business activities and performance;
- the economic and financial nature of an entity’s events;
- the method of double entry bookkeeping applied for the preparation of both balance sheet and income statement;
- the ways by which accounting records of daily transactions affect the preparation of financial statements;
- the adjusting entries to be recorded at the end of the accounting period in order to rectify and supplement the information described above (in the previous point). These adjustments permit the proper recognition of both income and equity at the end of such period;
- the main Italian regulatory framework to be considered for the proper evaluation of bookkeeping entries;
- the format and the contents of balance sheet and income statement as required by the Italian Civil Code.
2 APPLYING KNOWLEDGE AND UNDERSTANDING
Since the students of the Degree in Economics and Commerce need to be able to put their knowledge into context and to apply them to real world situations, at the completing of this course the students will be able to:
- interpret real world economic phenomena in light of the concepts and model of business economics;
- understand the distinctive features of real business entities and develop hypotheses about the reasons determining their performances.
- to record the main accounting entries needed to prepare financial statements;
- to draw up the income statement and the final balance sheet considering the accounting data available from the opening balance sheet (at the beginning of the accounting period), the description of the transactions taking place during the accounting period, and the information needed to carry out the final adjustments;
- to reclassify the items of financial statements according to the macro categories established as mandatory by the Italian Civil Code for both income statement and balance sheet.

Since this course provides basic knowledge about accounting bookkeeping and Italian financial statements, no previous knowledge is required. Students must have acquired only the general entity’s notions and the basic language about business processes, attending the first part of the course (Business Administration - 1).

With reference to the first part of the course, the contents will cover:
Human needs, economic activity and business economics
The typologies of business entities
The governance of business entities and their identity
The analysis of external environment
The strategy and the strategic innovation
The business system and the organizational model
The evaluation and representation of performance
Introduction to financial statements and corporate reporting
Business economics and sustainability

With reference to the second part of the course, the contents will cover:
Logics and methods of accounting:
- cycle of operations: production operations and financing operations;
- double entry bookkeeping.
Recording of transactions during the accounting period:
- purchases of goods and services;
- employee costs;
- purchases of fixed assets;
- sales;
- shareholders’ equity transactions;
- financing and investments in financial assets.
Influence of management operations on income and capital.
Accounting regulation and standards.
Principles for the preparation of financial statements.
Adjusting and closing entries about:
- tangible and intangible assets;
- inventories;
- securities and investments;
- prepayments and accruals;
- cash and equivalent accounting items;
- provisions for risks and charges, severance indemnities and post-employment benefits;
- debts and other liabilities.
Contents of financial statements:
- format of financial statements;
- financial disclosure.

Università Ca’ Foscari Venezia, Dipartimento di Management, Economia Aziendale 2. Contabilità e Bilancio, McGraw-Hill Create, 2020, ISBN 978-13-076-1706-1.
Recommended reading list:
- P. Andrei, A.M. Fellegara (a cura di), Contabilità generale e bilancio d'impresa, IV ed., Giappichelli, 2017
- R. Di Pietra, G. Ianniello, A. Paris, Il bilancio d'impresa, Cedam, 2017.
- L. Marchi (a cura di), Introduzione alla contabilità d'impresa, VI ed., Giappichelli, 2017.

The exam of Business Administration covers both the first part (Business Administration - 1) and the second part of the course (Business Administration - 2). It consists of both a written test and an oral exam. Students must have passed the written test before taking the oral exam.
The written exam lasts 1 hour and 30 minutes, and concerns the program of the second part of course (Business Administration - 2). It requires the solution of two exercises:
A) the first exercise consists of preparing the balance sheet and the income statement of a firm according to the following information: the opening balance sheet; a list of transactions during the accounting period; a list of adjusting entries at the end of the accounting period.
B) the second exercise consists of recording of complex transactions according to both the journal entries and the T-accounts (ledger).
The oral exam is mainly relative to the program of the first part of the course (Business Administration - 1).
The final grade is based on the positive evaluations of both exams.
In any Covid-19 emergency period, teaching and exam methods must undergo changes for students’ protection.

written and oral

The written exam, if passed, will be graded on a scale from 18 to 30. This score will be communicated to the Professor with whom the oral exam will be taken. Exercise A carries a maximum score of 25 points; Exercise B carries a maximum score of 5 points. The assessment criteria for the exam will be clearly communicated during the lessons.

The course includes lectures during which the theoretical concepts will be explained, and several examples about accounting entries and preparation of financial statements will be offered.
The course is associated with tutorials that insist on the most applicative aspects of the program.

The positive grade in the written test represents an essential condition for taking the following oral examination.
REGISTRATION FOR EXAM. Online registration is COMPULSORY. In case of registration problems, students are required to contact the economic campus a reasonable number of days BEFORE deadline.
ACCESSIBILITY, DISABILITY AND INCLUSION - Accommodation and support services for students with disabilities and students with specific learning impairments
Ca’ Foscari abides by Italian Law (Law 17/1999; Law 170/2010) regarding support
services and accommodation available to students with disabilities. This includes students with
mobility, visual, hearing and other disabilities (Law 17/1999), and specific learning impairments (Law 170/2010). If you have a disability or impairment that requires accommodations (i.e., alternate testing, readers, note takers or interpreters) please contact the Disability and Accessibility Offices in Student Services: disabilita@unive.it