Please note: there may be some adjustments to the teaching arrangements published in the course catalogue for 2020-21. Given current circumstances related to the Covid-19 pandemic it is anticipated that some usual arrangements for teaching on campus will be modified to ensure the safety and wellbeing of students and staff on campus; further adjustments may also be necessary, or beneficial, during the course of the academic year as national requirements relating to management of the pandemic are revised.

Financial Accounting 2 ACCFIN2003

  • Academic Session: 2022-23
  • School: Adam Smith Business School
  • Credits: 20
  • Level: Level 2 (SCQF level 8)
  • Typically Offered: Semester 2
  • Available to Visiting Students: Yes
  • Available to Erasmus Students: Yes

Short Description

This course builds on the knowledge gained in Financial Accounting 1 and covers a range of advanced financial accounting concepts. The course is designed to help students construct financial statements, interpret financial statements and to develop a theoretical and analytical grasp of intermediate financial accounting issues.


Workshops: 2 hours x 10 weeks 

Tutorials: 1 hour tutorial x 8 weeks.

Tutorial slots can be selected on MyCampus.

Requirements of Entry

Normally a grade D3 or above in Financial Accounting 1 or grade B3 or above in Business Reporting & Financial Management, Introduction to Business Reporting and Financial Accounting or equivalent.

Excluded Courses





The ILOs will be covered by both assessments. The split between ILOs in the class test and in the degree exam may vary from year to year. Fuller information is available on the course Moodle page.





Word length/Duration

1, 2, 3 & 4

In-course exam


1 hour

1, 2, 3 & 4

Degree exam


2 hours


Main Assessment In: December

Course Aims

This course builds on the material covered in Financial Accounting 1. The course aims to:

■ Advance the ability of students to prepare accounts in accordance with relevant generally accepted accounting principles and standards (with an emphasis on International Standards);

■ Encourage students to apply a critical and analytical approach to accounting; and

■ Enhance students' analytical, management and communication skills.

Intended Learning Outcomes of Course

By the end of this course, students should be able to:

1. Prepare financial statements (including Income Statement, Statement of Financial Position (Balance Sheet) and notes) in a form appropriate for external users and in accordance with relevant regulations, guidelines and principles for simple groups.

2. Prepare a Statement of Cash Flows and notes in a form appropriate for external users and in accordance with relevant regulations, guidelines and principles for individual organisations.

3. Identify and solve problems of financial accounting practice by the selection and application of appropriate accounting principles, concepts and techniques.

4. Critically evaluate alternative financial reporting theory and practice for a selection of important accounting issues.

Minimum Requirement for Award of Credits

The minimum requirement for the award of credits is the submission of at least 100% by weight of the course's summative assessment (including any examinations). Further requirements may include monitored attendance at classes and examinations and completion of formative assessment. All such requirements shall be specified by the subject concerned; details will be available via Moodle. Normally no grade or credits shall be awarded to a candidate who has not met these requirements.