ACCT 121 Introduction to Accounting II

5 credits

Course covers basic accounting concepts, principles, and financial statement preparation for a sole proprietorship. The course emphasizes merchandising operations, special journals, payroll, and payroll taxes.

Prerequisites: ACCT 111 and MATH 87 or AHSE 66 (or placement into MATH 98 or higher)

Course Outcomes
Upon successful completion of this course students will be able to:

Describe and illustrate merchandising operations and the two types of inventory systems
Account for the purchase of inventory using a perpetual system
Account for the sale of inventory using a perpetual system
Adjust and close the accounts of a merchandising business
Prepare a merchandiser’s financial statements
Use inventory-related ratios to evaluate a business
Use the sales journal, the cash receipts journal, and the accounts receivable subsidiary ledger
Use the purchases journal, the cash payments journal, and the accounts payable subsidiary ledger
Calculate gross pay, employee payroll tax deductions for federal income tax withholding, state income tax withholding, FICA, and net pay
Calculate employer taxes for FICA, FUTA, SUTA, and workers’ compensation insurance
Prepare a payroll register
Maintain an employee earnings record
Record payroll and payroll taxes
Record employer taxes for FICA, FUTA, SUTA, and workers’ compensation
Record the payment of FUTA, SUTA, and workers’ compensation
Prepare Forms W-2, W-3, 941, and 940

Program Outcomes
This course teaches to the following program outcomes:

apply manual methods and software tools to prepare accounting statements and reports
complete the accounting cycle, including end-of-period adjustments

Total Hours: 50 Theory (Lecture) Hours: 50