Financial Reporting I

Introduksjon

This course provides an in-depth introduction to the preparation, interpretation, and analysis of financial statements in accordance with International Financial Reporting Standards (IFRS). IFRS is the internationally accepted financial reporting framework for listed companies in the EU/EEA and in many other jurisdictions, and forms the foundation for transparent, comparable, and decision-useful financial reporting. A solid understanding of IFRS is therefore essential for professional auditors, accounting preparers, and users of financial information.

The course emphasizes the application of core IFRS standards and the development of sound professional judgment in financial reporting. Students are introduced to key measurement and recognition principles, the structure of financial statements, and the role of disclosures in supporting accountability and informed decision-making. Ethical considerations are embedded throughout the course, particularly in relation to integrity in financial reporting, the avoidance of bias in estimates and classifications, and the professional responsibility to present financial information faithfully.

The course is compulsory for students in the Master of Accounting and Auditing.

The course is delivered using a flipped classroom model. Students are expected to prepare independently by studying assigned readings, recorded lectures, and short online exercises prior to class. These preparatory activities focus on building technical understanding and familiarity with IFRS requirements. Classroom sessions are dedicated to more complex exercises and case-based discussions, where students work individually and in groups to apply IFRS to realistic scenarios, discuss alternative accounting treatments, and develop structured solutions.

Where relevant, students are encouraged to reflect on AI-based applications, that may support financial reporting tasks, while remaining mindful of data quality, professional responsibility, and the need for human judgment.

Kursets innhold

The course covers core concepts and standards in financial accounting under International Financial Reporting Standards (IFRS), with a focus on separate financial statements. Emphasis is placed on understanding the economic substance of transactions, applying IFRS requirements consistently, and developing sound professional judgment at an intermediate level.

• Basic accounting concepts and techniques
  Fundamental accounting principles, recognition and measurement techniques, accrual accounting, and the structure of financial statements. Introduction to the role of accounting in supporting transparency, accountability, and informed decision-making.

• IFRS Conceptual Framework
  Objectives of financial reporting, qualitative characteristics of useful financial information, definitions of elements, and principles of recognition and measurement. Use of the Conceptual Framework to support ethical and well-reasoned accounting decisions in situations involving judgment or ambiguity.

• Financial reporting standards on revenue recognition
  Recognition and measurement of revenue under IFRS, including identification of performance obligations and timing of revenue recognition. Discussion of judgment, incentives, and ethical challenges related to earnings measurement and performance reporting.

• Financial reporting standards on current and fixed assets
  Accounting for property, plant and equipment, and intangible assets, including initial recognition, subsequent measurement, depreciation, and impairment indicators. Emphasis on estimation uncertainty, consistency, and faithful representation.

• Financial reporting standards on liabilities and provisions
  Recognition and measurement of liabilities and provisions, including contingent liabilities and constructive obligations. Analysis of transparency, accountability, and behavioral incentives in provisioning decisions, including the risk of earnings management.

• Performance reporting
  Presentation and interpretation of financial performance, including income statements and key performance measures. Critical discussion of how accounting choices influence reported results and stakeholder perceptions, and the professional responsibility associated with performance communication.

• Contemporaneous topics can be added

Across all topics, students are encouraged to reflect on the ethical dimensions of financial reporting and the role of professional judgment.

Forbehold

Dette er et utdrag fra den komplette kursbeskrivelsen for kurset. Dersom du er aktiv student på BI, kan du finne de komplette kursbeskrivelsene med informasjon om bl.a. læringsmål, læreprosess, pensum og eksamen på portal.bi.no. Vi tar forbehold om endringer i denne beskrivelsen.