Fundamentals of Financial Reporting and Analysis - Harvard Business School MBA Program

Fundamentals of Financial Reporting and Analysis

Course Number 1385

Professor David F. Hawkins
Fall; Q2; 1.5 credits
14 Sessions
Exam

Career Focus

Students intending to pursue careers in general management during which they anticipate it would be advantageous to acquire a basic understanding of financial accounting and the use of financial statements beyond that experienced in Financial Reporting and Control (FRC).

Course Objective

The course objective is to prepare students for successful careers in general management by enhancing their understanding of those basic financial accounting concepts, principles, and practices that are most relevant to the practice of general management.

Course Content and Organization

The course is a basic accounting course taught from the point of view of the general manger. The course begins by both reviewing and deepening the student's understanding of some of the basic financial accounting topics covered in FRC. The course then moves on to expand the students basic understanding of some of the common financial accounting principles and practices beyond those covered in FRC that general managers will find useful throughout their careers. These include the basics of accounting for consolidations, foreign operations, common equity, earnings-per-share, intercompany investments, simple derivative transactions, income taxes, stock options, various debt transactions, cash flows, and interim period results. In addition, the about to be issued new accounting standards governing revenue recognition and lease accounting will be examined. As issued, these standards will be different in many ways from the original proposals discussed in FRC. The course is taught using a combination of cases, exercises and lectures.

The course grade is based on class participation (50%) and the final exam (50%)