Introduction to Financial and Managerial Accounting (MIT OpenCourseWare)

Learn the basic concepts of financial and managerial reporting from the perspective of a consumer of financial reporting (not from the perspective of an accountant who prepares the reports). This Action Plan Template breaks down the lectures, readings, and problem sets of MIT Course Number 15.501 into an Action Plan that you can use to manage your progression through the class. All Actions link back to the course materials on the MIT OpenCourseWare site. This course and all materials are credit Sugata Roychowdhury. 15.501 Introduction to Financial and Managerial Accounting. Spring 2004. Massachusetts Institute of Technology: MIT OpenCourseWare, https://ocw.mit.edu. License: Creative Commons BY-NC-SA. If you prefer not to use our Action Plan Template, you can access the full course yourself on the MIT OpenCourseWare site.

  • Review Syllabus and Acquire Course Materials
    Sep 17, 2020
    Link to syllabus: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/syllabus/ Links to the textbook and optional books are at the bottom of the above linked page. Link to download all the course materials: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/download-course-materials/
  • Lecture 1: Overview of the course, Administrative matters, Discussion of Accounting Framework
    Sep 19, 2020
    Link to lecture notes: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/lecture-notes/lecture1.pdf
    Tasks
    • Readings: Pratt: skim Ch. 1, incl. Appendix 1A
    • Review Lecture Notes
  • Lecture 2: The Balance Sheet and the Recording of Transactions
    Sep 23, 2020
    Link to lecture notes: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/lecture-notes/lecture2resaved.pdf
    Tasks
    • Review Lecture Notes
    • Readings: Pratt: Ch. 2 and 3, skim Ch. 5
    • Problems: Do: P2-1, E3-3 Opt: P2-3, P2-4, P2-9
  • Lecture 3: The Income Statement and Principles of Accrual Accounting
    Sep 27, 2020
    Link to lecture notes: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/lecture-notes/lecture3.pdf
    Tasks
    • Review Lecture Notes
    • Readings: Pratt: Ch. 2 and 3, skim Ch. 3
    • Problems: Do: P2-2, E2-4 Opt: E2-12, ID2-7
  • Lecture 4: The Income Statement and Principles of Accrual Accounting (cont.)
    Oct 1, 2020
    Link to lecture notes: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/lecture-notes/lecture4.pdf
    Tasks
    • Review Lecture Notes
    • Readings: Pratt: Ch. 3 and 4, skim Appendix 4A
    • Problems: Do: P3-7, E4-19, E4-2 Opt: E4-5, E4-16
  • Problem Set 1
    Oct 5, 2020
    Problem Set 1: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/assignments/ps1.pdf Answers: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/assignments/ps1_sol.pdf
  • Problem Set 2
    Oct 5, 2020
    Problem Set 2: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/assignments/ps2.pdf Answers: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/assignments/ps2_sol.pdf
  • Case: Chemalite, Inc.
    Oct 5, 2020
    Wilson, David A. "Chemalite, Inc." Boston, MA: Harvard Business School, 1976. Case No. 9-177-078.
  • Lecture 5: The Accounting Process
    Oct 7, 2020
    Link to lecture notes: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/lecture-notes/lecture5_feb18.pdf
  • Lecture 6: Revenue Recognition
    Oct 11, 2020
    Link to lecture notes: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/lecture-notes/lecture6.pdf
    Tasks
    • Review Lecture Notes
    • Readings: Pratt: Ch. 3 (pp. 83-85) and Ch. 6
    • Problems: Do: E6-6, E6-8 Opt: P6-7
  • Case: Circuit City
    Oct 14, 2020
    Bruns, William J., Jr. and Susan S. Harmeling. "Circuit City Stores, Inc. (A)." Boston, MA: Harvard Business School, 1990. Case No. 9-191-086, 1-11.
  • Lecture 7: Revenue Recognition (cont.)
    Oct 15, 2020
    Link to lecture notes: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/lecture-notes/lecture7.pdf
    Tasks
    • Review Lecture Notes
    • Problems: Do: P6-3, P6-4 Opt: P6-10
    • Readings: Pratt: Ch. 6
  • Problem Set 3
    Oct 19, 2020
    Problem Set 3: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/assignments/ps3.pdf Answers: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/assignments/ps3.pdf
  • Lecture 8: Inventory/Cost of Goods Sold
    Oct 21, 2020
    Link to lecture notes: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/lecture-notes/lecture8.pdf
    Tasks
    • Review Lecture Notes
    • Readings: Pratt: Ch. 7
    • Problems: Do: P7-4, P7-9 Opt: P7-6
  • Lecture 9: Statement of Cash Flow
    Oct 25, 2020
    Link to lecture notes: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/lecture-notes/lecture9.pdf
    Tasks
    • Review Lecture Notes
    • Readings: Pratt: Ch. 14
    • Problems: Do: P14-2, E14-8 Opt: E14-7
  • Problem Set 4
    Oct 27, 2020
    Problem Set 4: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/assignments/ps4.pdf Answers: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/assignments/ps4_sol.pdf
  • Lecture 10: More on the Statement of Cash Flows/Exam Review
    Oct 31, 2020
    Link to lecture notes: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/lecture-notes/lecture10.pdf
    Tasks
    • Review Lecture Notes
    • Problems: Do: E14-9, E14-10
  • Lecture 11: First Exam
    Nov 4, 2020
    Link to exam: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/exams/mid1_s04_q.pdf Answers: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/exams/mid1_s04_sol.pdf
  • Lecture 12: Long-term Assets/Depreciation (Deferred Taxes)
    Nov 8, 2020
    Link to lecture notes: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/lecture-notes/lecture11_mar15.pdf
    Tasks
    • Review Lecture Notes
    • Problems: Do: E9-5, E9-18, E10-11 Opt: ID9-7, BE9-3, P10-8
    • Readings: Pratt: Ch. 9, incl. App. 9A and 10B, pp. 439-442
  • Case: Depreciation at Delta and Pan Am
    Nov 12, 2020
    Bruns, William J., Jr. and Eric J. Petro. "Depreciation at Delta and Pan Am." Boston, MA: Harvard Business School, 1989. Case No. 9-190-035.
  • Lecture 13: Matching Principle for PP&E
    Nov 14, 2020
    Link to lecture notes: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/lecture-notes/lecture12.pdf
    Tasks
    • Review Lecture Notes
  • Lecture 14: Marketable Securities (Deferred Taxes)
    Nov 18, 2020
    Link to lecture notes: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/lecture-notes/lecture13market.pdf
    Tasks
    • Review Lecture Notes
    • Readings: Pratt: Ch. 8 (through p. 332)
    • Problems: Do: E8-2, E8-5, P8-6 Opt: P8-5
  • Lecture 15: Marketable Securities, Time Value of Money
    Nov 22, 2020
    Link to lecture notes: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/lecture-notes/lecture14.pdf
    Tasks
    • Review Lecture Notes
    • Readings: Pratt: Appendix B
    • Problems: Do: EB-11, EB-14
  • Problem Set 5
    Nov 26, 2020
    Link to problem set: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/assignments/ Link to answers: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/assignments/ps5_sol.pdf
  • Problem Set 6
    Nov 27, 2020
    Link to problem set: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/assignments/ps6.pdf Link to answers: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/assignments/ps6_sol.pdf
  • Lecture 16: Long Term Debt
    Nov 28, 2020
    Link to lecture notes: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/lecture-notes/lecture15long.pdf
    Tasks
    • Review Lecture Notes
    • Readings: Pratt: Ch. 11 through p. 476 Appendix 11A
    • Problems: Do: E11-5, E11-9 Opt: E11-3, E11-18
  • Lecture 17: Leases and Off-Balance Sheet Financing
    Dec 2, 2020
    Link to lecture notes: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/lecture-notes/lecture16le_acc.pdf
    Tasks
    • Review Lecture Notes
    • Readings: Pratt: Ch. 11 (p. 483 to end)
    • Problems: Do: P11-13, P11-14 Opt: ID11-6
  • Case: Accounting for Frequent Fliers
    Dec 5, 2020
    Bruns, William J., Jr. and Susan S. Harmeling. "Accounting for Frequent Fliers." Boston, MA: Harvard Business School, 1991. Case No. 9-192-040.
  • Lecture 18: Current Liabilities and Contingencies
    Dec 6, 2020
    No lecture notes provided.
    Tasks
    • Readings: Pratt: Ch. 10
    • Problems: Do: E10-9, P10-2 Opt: P10-5, ID10-1, ID10-3
  • Problem Set 7
    Dec 9, 2020
    Problem Set 7: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/assignments/ps7.pdf Answers: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/assignments/ps7_sol.pdf
  • Lecture 19: Midterm 2 Review
    Dec 10, 2020
    Link to lecture notes: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/lecture-notes/lecture17sec_mid.pdf
  • Lecture 20: Midterm 2
    Dec 14, 2020
    Link to midterm: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/exams/mid2_s04_q.pdf Link to answers: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/exams/mid2_s04_sol.pdf
  • Lecture 21: Intangibles and Business Combinations
    Dec 18, 2020
    Link to lecutre notes: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/lecture-notes/lecture18bu_comb.pdf
    Tasks
    • Review Lecture Notes
    • Readings: Pratt: Ch. 8, pp. 332-339
    • Problems: Do: P8-10, P8-14
  • Lecture 22: Introduction to Cost Concepts
    Dec 22, 2020
    Link to lecture notes: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/lecture-notes/lec19cost_acc.pdf Bruns, William J., Jr. "Brief Introduction to Cost Accounting." Boston, MA: Harvard Business School, 1991. Case No. 9-192-068. Bruns, William J., Jr. "Activity Accounting - Another Way to Measure Costs." Boston, MA: Harvard Business School, 1992. Case No. 9-193-044. Kerr, Steven. "An Academy Classic: On the Folly of Rewarding A, While Hoping for B. (1992)" Academy of Management Executive 9, no. 1 (1995).
    Tasks
    • Review Lecture Notes
    • Readings: CP: A Brief Introduction to Cost Accounting; Activity Accounting: Another Way to Measure Costs; On the Folly of Rewarding A, While Hoping for B
  • Case: Destin Brass Products
    Dec 25, 2020
    Bruns, William J., Jr. "Destin Brass." Boston, MA: Harvard Business School, 1989. Case No. 9-190-089.
  • Lecture 23: Indirect Allocation of Costs, Destin Brass
    Dec 26, 2020
    Link to lecture notes: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/lecture-notes/lec20cost_alloca.pdf
  • Lecture 24: ABC, Destin Brass
    Dec 30, 2020
    Link to lecture notes: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/lecture-notes/lec21cost_alloii.pdf
  • Case: Seligram Inc. Electronic Testing Operations
    Jan 2, 2021
    Cooper, Robin, Peter B. B. Turney, and Christopher D. Ittner. "Seligram, Inc. Electronic Testing Operations." Boston, MA: Harvard Business School, 1988. Case No. 9-189-084.
  • Lecture 25: Managerial Accounting Wrap-up, Seligram Discussion
    Jan 3, 2021
    No lecture notes provided
  • Lecture 26: Course Review / Wrap-up
    Jan 7, 2021
    Link to lecture notes: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/lecture-notes/lec_final_review.pdf
  • Final Exam
    Jan 11, 2021
    Link to exam: https://ocw.mit.edu/courses/sloan-school-of-management/15-501-introduction-to-financial-and-managerial-accounting-spring-2004/exams/final_exam_s04.pdf
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