Basic Accounting Theories

Accounting - Part 1 (2022)


This eCourse consists of two modules. Module 1 introduces the subject of financial accounting to those new to the area. It starts off with a broad look at what exactly financial accounting involves, before discussing the different types of financial statements. It also describes the main accounting concepts and conventions, including a look at the important role of accounting standards and standard setters.

Module 2 is a scenario using the example of a small start-up company operating in the fast food sector. It looks at the dual effect principle of accounting. The dual effect on the balance sheet and/or income statement of each of the company’s transactions is explored in detail.


On completion of this course, you will be able to:
- Recognise the importance of financial accounting information for internal and external stakeholders of a business
- List the key users of accounting information
- Identify the main financial statements used to measure a company’s financial performance and position
- Recall how conflicts of interest arise and how earnings management may be used in financial accounting
- Recognise the importance of the double-entry system of accounting
- List the key accounting concepts and conventions used in the preparation of financial statements
- Recognise the role of accounting standard setters in developing high quality standards for financial reporting

Content Highlight

Module 1: Accounting - An Introduction
Topic 1: Overview of Accounting
Topic 2: Users of Financial Statements
Topic 3: Financial Statements
Topic 4: Earnings Management and Conflicts of Interest
Topic 5: Double-Entry Accounting
Topic 6: Accounting Concepts and Conventions
Topic 7: Accounting Standards

Module 2: Accounting Mechanics - Scenario

Administrative Details

Relevant Subject
Type 4 - Advising on securities
Type 6 - Advising on corporate finance
SFC:1.50, PWMA:1.50
All Member: HKD450
Chinese Securities Association of Hong Kong (HKCSA): HKD470
Non-Member: HKD675
Staff of Corporate Member: HKD450