Accounting and Finance
Chair: Mary Jepperson
Faculty: Mark Asuzu, Warren Bostrom, Quentin Gerber, Mary Jepperson, Jean Ochu, Jim O'Meara, Paul Pladson, Michael Rouse
The accounting and finance department offers a curriculum designed to meet the needs of various student interests. The major provides the student the opportunity to develop a solid conceptual foundation as well as the skills required for entry-level positions in public, private and governmental accounting and finance. In addition, it allows students to prepare for graduate programs in such areas as business, government, finance and law.
The disciplines of accounting and finance require that students develop an ability to think analytically and to organize and categorize a mass of data. It further requires the student to develop an ability to synthesize the information and present it in a summarized fashion understandable to others. Citizens in a highly developed economic society such as ours should understand economic descriptions of its complex organizations and financial instruments. As accountants or finance professionals, our graduates will be expected to present and interpret financial information, both in writing and orally, to others in organizations and to the public.
Students majoring in accounting have a choice of three concentrations:
- Traditional accounting program
This concentration prepares students who wish to either pursue careers in industry or government, or who plan to attend graduate school.
This concentration, particularly with its strong accounting core, prepares students who wish to pursue careers in a variety of finance- related positions or who plan to attend graduate school.
- Public accounting
This concentration, which requires the completion of 150 credit hours, prepares students for careers in public accounting and for the CPA examination. Minnesota’s rules require applicants for a license as a CPA to have accumulated 150 higher education credit hours, as recommended by the AICPA. These hours must include 24 upper division accounting course credits and 24 credit hours of business-related or certain other accounting courses. Most states have adopted the AICPA’s 150 hour rule. Students intending to seek licensure in other states should check that state’s regulations. Students should also be aware that many employers of CPAs require their job applicants to have accumulated 150 credit hours prior to beginning their employment.
Major (56 to 76 credits, based on concentration)
Required Courses for each accounting concentration:
113, 114, 210, 325, 326, 335. Required supporting courses include MATH 122 (or 119 or 123), MATH 124, and ECON 111.
Required Additional Courses for Traditional Accounting Program:
331, 332, 338, 340, and 350; and two courses from 310, MGMT 201, or a 300-level ECON elective.
Required Additional Courses for Finance Concentration:
310, 315, 320, 333, ECON 314; and one course from 340, MGMT 201, ECON 320 or ECON 332.
Required Additional Courses for Public Accounting Concentration:
310, 330, 331, 332, 333, 338, 340, 353, 355, MGMT 201, MGMT 321, and a 300-level ECON elective.
A passing score on the computer literacy test is required for application to the major in the spring of students’ sophomore year. A passing score on the Achievement Test is required for Accounting Graduates in each concentration.
Students wanting to minor in economics should take MATH 119 or 123.
Minor (20 credits)
113, 114, 325, and 2 additional accounting courses from the following: 326, 331, 332 and 340.
113 Financial Accounting. (4)
Concepts, principles and procedures used by profit-oriented firms to account for and report business transactions and events. Preparation and analysis of financial information including the income statement, balance sheet, and statement of cash flows. Fall and spring.
114 Managerial Accounting. (4)
Concepts, principles, and quantitative tools used for managerial decision-making. Preparation and analysis of internal reports such as operating budgets, capital budgets, and cost variances. Prerequisite: 113. Fall and spring.
210 Business Writing and Communication. (2)
Writing skills necessary for producing effective business letters, memos, reports, and other written documents in professional contexts. Verbal communication skills necessary to deliver successful presentations in professional contexts. Prerequisite: 114. Spring.
271 Individual Learning Project. (1-4)
Supervised reading or research at the lower-division level. Permission of department chair required. Consult department for applicability towards major requirements. Not available to first-year students.
310 Corporate Finance. (4)
This course is the foundation course in Finance and the prerequisite for all other Finance courses. Topics covered include the time value of money, the financial markets, the concepts of risk and valuation, the types of financing and their relative mix, financial leverage, the cost of capital, and the criteria for evaluating the attractiveness of investment opportunities. Prerequisites: 113 and ECON 111. Fall and spring.
315 Investments. (4)
The primary focus of this course is the concepts of Modern Portfolio Theory. Through efficient diversification, it is possible to minimize the risk consequences of investing and maximize return. Topics covered will include models of capital market equilibrium, the risk and valuation of financial instruments in the money market, the fixed income and equity markets, and the derivative markets. Prerequisites: 310, one of MATH 119, MATH 122, MATH 123 or MATH 124. Fall and spring.
320 International Finance. (4)
This course examines the international dimensions of Finance. The course builds on the principles of Finance discussed in ACFN 310 and provides a conceptual framework for the key financial decisions of a multinational. Topics covered will include the balance of payments, the determination of exchange rates, forecasting future exchange rates, methods of hedging exchange rate risk, the international financial markets, the cost of capital for a multinational, multinational capital budgeting, and international cash management. Prerequisite: 310. Spring.
325 Intermediate Accounting I. (4)
Principles and procedures underlying the preparation of financial statements. Valuation of assets and related revenue and expense recognition. Time-value-of-money concepts and their application to financial statements. ARBs, APB Opinions and FASB Statements. Prerequisites: 113, 114. Fall and spring.
326 Intermediate Accounting II. (4)
Valuation of current and long-term liabilities and related expense and revenue recognition. Valuation of the elements in a corporation’s stockholders’ equity. Statement of Cash Flows preparation and evaluation, accounting for changes in accounting estimates and principles, and error analysis and correction. Examination of professional pronouncements and the Securities Acts. Prerequisite: 325. Fall and spring.
330 Governmental and Not-for-Profit Accounting. (2)
Principles of accounting and reporting for governmental units and not-for-profit institutions and organizations. Prerequisite: 325. Spring.
331 Cost Accounting. (4)
Recording, communicating, and interpreting basic cost information for controlling routine operations and long-range planning. Job order and process costing, standard costs and variances, variable costing, flexible budgets, capital budgeting, cost analysis for special purposes, and performance measurement. Prerequisite: 114. Spring.
332 Income Tax Accounting. (4)
Federal income taxation of individuals, partnerships, and corporations. Preparation of various returns and forms. Internet research on special tax problems. Prerequisite: 114. Fall and spring.
333 Corporate Financial Analysis. (4)
This course is a mixture of financial theory along with real world applications. The course builds on the concepts of ACFN 310. Topics covered will include financial forecasting, capital budgeting, the cost of capital, capital structure, and long-term financing. Prerequisite: 310. Fall.
335 Business Law. (2)
Law and the judicial process in commerce. Legal regulation of business and its relationships to society. Principles and issues in contract law, sales, product liability, agency, commercial paper suretyship, bankruptcy, professional ethics, and other topics of contemporary interest to those preparing for a career I business as well as those who plan to sit for the CPA exam. Prerequisite: Sophomore standing. Fall.
338 Advanced Accounting. (4)
Business combinations and consolidated statements. Foreign currency translation and transactions. Financial reporting by foreign corporations. Prerequisite: 326 or instructor's permission. Fall and spring.
340 Accounting Information Systems. (4)
Information systems analysis, design, implementation and control. Survey of hardware, software and management of accounting and decision support systems. Special emphasis on business microcomputing. Prerequisites: 114. Fall.
350 Operational Auditing. (2)
Introduction to operational auditing which is focused on management goals, strategic directions and objectives. Overview of key operational auditing areas: risk-based auditing and process auditing. Prerequisites: 325, 340 and MATH 124. Spring.
353 Forensic Accounting. (2)
Understanding of occupational fraud, including fraudulent financial reporting and asset misappropriation; how occupational fraud is committed and actions that can be taken to deter and detect occupational fraud. Process to investigate fraud allegations, including evidence management. Prerequisites: 326, 340 and MATH 124. Spring.
355 Auditing. (4)
Theory and practice of financial statement auditing. Focus on the nature of auditing, standards, reporting, the audit environment, risk assessment and planning, controls, sampling techniques, ethics, and legal liability. Prerequisites: 326, 340, and junior standing. Fall and spring.
371 Individual Learning Project. (1-4)
Supervised reading or research at the upper-division level. Permission of department chair and completion and/or concurrent registration of 12 credits within the department required. Consult department for applicability towards major requirements. Not available to first-year students.
397 Internship. (1-8)
Practical off-campus experience with a solid academic component for seniors directed by officers of employing firms or institutions.
398 Honors Senior Essay, Research or Creative Project. (4)
Required for graduation with "Distinction in Accounting." Prerequisite: HONR 396 and approval of the department chair and director of the Honors Thesis program. For further information see HONR 398.