POLYTECHNIC UNIVERSITY OF THE PHILIPPINES

COLLEGE OF ACCOUNTANCY AND FINANCE

DEPARTMENT OF ACCOUNTANCY

COURSE TITLE ACCOUNTING FOR SPECIAL TRANSACTIONS

COURSE CODE ACCO 30013
CREDIT UNITS 3 UNITS
COURSE PREREQUISITE ACCO 20053, ACCO 20063, ACCO 20073
COURSE DESCRIPTION This course deals with specialized accounting problems likely to be encountered by accountants. The study of the various topics in this course is based upon fundamental valuation accounting and
accounting theory as applied to special income and expense recognition method and expanded business operations. This course also includes specialized problems in partnership accounting; corporate
liquidation; accounting for home office, branch and agency; and revenue from contracts with customers (sale of goods and services, consignment, installment sales, long-term construction contracts, and
franchising).
Institutional Learning Outcomes Program Outcomes Course Outcomes
1. Creative and Critical Thinking BSA and BSMA graduates must demonstrate the ability to review, interpret, evaluate Upon completion of the course, the students will be able to:
Graduates use their imaginative as well as a rational thinking ability to life financial data and systems in compliance with established policies, procedures, a. Have sound knowledge of the accounting standards applicable
situations in order push boundaries, realize possibilities, and deepen their guidelines, agreements and/or legislation. They must be able to link data, knowledge and to partnership; corporate liquidation; home office, branch and
insight together with different sources and disciplines to make informed decisions.
interdisciplinary and general understanding of the world.
agency; and revenue from contract with customer (sale of goods
2. Effective Communication BSA and BSMA graduates should possess active listening skills and the ability to
Graduates are proficient in the four macro skills in communication (reading, effectively communicate one’s point of view, both orally and in writing, at all
and services, consignment, installment sales, franchising, and
writing, listening, and speaking) and are able to use these skills in solving organizational levels; be able to explain verbally and/or writing financial, statistical, long-term construction contracts);
problems, making decisions, and articulating thoughts when engaging with administrative matters/policies/procedures/regulatory matters/audit results at a level b. Apply the law on partnership and understand the essential
people in various circumstances. appropriate to the audience and must be able to negotiate effectively. elements and general aspects in accounting for partnership
3. Strong Service Orientation formation, operation, dissolution and liquidation);
BSA and BSMA graduates should develop an ability to work in groups, possess skills to
Graduates exemplify the potentialities of an efficient, well-rounded and c. Apply the fundamental concepts in accounting for corporate
participate as member of a team or/and contribute to group effort; be able to teach others
responsible professional deeply committed to service excellence. new skills; be able to work to the satisfaction of the clients; negotiate and work with liquidation and home office, branch and agency.
4. Community Engagement diversity or work well with men and women from diverse backgrounds. d. Apply the fundamental concepts of revenue recognition in
Graduates take an active role in the promotion and fulfillment of various
advocacies (educational, social and environmental) for the advancement of BSA and BSMA graduates must work with the highest standards of professionalism, to
accounting for consignment, installment sales, franchising, and
community welfare. attain higher level of performance and generally to meet the public interest, he must long-term construction contracts;
conform to the ethical standards of the profession that include: Integrity, objectivity and e. Apply the accounting standards in the presentation and
5. Adeptness in the Responsible Use of Technology
independence, professional competence and due care, confidentiality, professional
Graduates demonstrate optimized use of digital learning abilities, including preparation of financial statements, including the required
behavior and moral values.
technical and numerical skills. disclosures;
6. Passion to Lifelong Learning BSA and BSMA graduates should possess general knowledge in gaining and f. Apply the skills in systematic problem solving;
Graduates are enabled to perform and function in the society by taking understanding of the different cultures in the world and developing an international g. Present computations and financial statements in good form;
responsibility in their quest to know more about the world through lifelong objective thus, he must possess competency in English language, adaptability to foreign
business practices, level of trainability and good capabilities in dealing with foreign h. Appreciate the importance of appropriate accounting and
learning.
7. High Level of Leadership and Organizational Skills partners. reporting for various users of accounting information; and
Graduates are developed to become the best professionals in their respective i. Realize the contributions of accounting standards to the
BSA and BSMA graduates should not only be conversant with IT concepts for business
disciplines by manifesting the appropriate skills and leaderships qualities. development of a more socially responsible and morally upright
systems but sound knowledge on internal control in computer-based systems,
8. Sense of Personal and Professional Ethics development standards and practices for business systems, management of the adoption, professional accountant.
Graduates show desirable attitudes and behavior either in their personal and implementation and use of IT, evaluation of computer business systems, and managing
professional circumstances. the security information.
9. Sense of National and Global Responsiveness
BSA and BSMA graduates should possess broad base of knowledge concerning macro-
Graduates’ deep sense of national compliments the need to live in a global
environmental, economic and industry issues, business process structures, functions and
village where one’s culture and other people culture are respected.
practices. It includes knowledge in areas such as economics, quantitative models and
business statistics, organizational behavior, international business, ethics and corporate
governance.
Course Plan
Week Topic Learning Outcomes Methodology Resources Assessment
1 Orientation on course syllabus; • Understand the policies on attendance, integrity, • Presentation of the grading Approved course syllabus to be
grading system; class management grading system and the contents of the course. system; class management distributed to the students
policies; required text book and other • Make the students at ease and eager to learn. policies and the rest of the
instructional materials, and syllabus.
references. Clarification of expectations
1 Partnership Formation The learner will be able to: • Lecture and discussion • Instructional Materials in • Activities and Assignments
• Define different types of partnership and kinds of • Problem solving Accounting for Special Quiz regarding the topic
partners; • Answer and analyze the Transactions
• Understand the initial investment valuation and theoretical questions • Accounting for Special
recognition; • Students to read Transactions by Gloria A.
• Identify the different method of recording initial Instructional Materials and Rante, et al.
investments; other resources • Advanced Financial
• Journalize the required entries in the books of the Accounting 2021 Edition by
partnership; and Dayag
• Prepare the statement of financial position • Online sources
immediately after formation.
2 Partnership Operation The learner will be able to: • Lecture and discussion • Instructional Materials in • Activities and Assignments
• Recognize and measure partnership income and • Problem solving Accounting for Special Quiz regarding the topic
expenses; • Answer and analyze the Transactions
• Identify the different methods of allocating theoretical questions • Accounting for Special
partnership profit and loss; • Students to read Transactions by Gloria A.
• Journalize profit or loss distribution to partners; and Instructional Materials and Rante, et al.
• Identify errors and misstatements in the financial other resources • Advanced Financial
statements. Accounting 2021 Edition by
Dayag
• Online sources
3 Partnership Dissolution The learner will be able to: • Lecture and discussion • Instructional Materials in • Activities and Assignments
• Define and describe partnership dissolution; • Problem solving Accounting for Special • Quiz regarding the topic
• Identify the different reasons of partnership • Answer and analyze the Transactions
dissolution; theoretical questions • Accounting for Special
• Account for the admission of a partner by purchase • Students to read Transactions by Gloria A.
and by investment; Instructional Materials and Rante, et al.
• Determine the partners’ equity upon withdrawal, other resources • Advanced Financial
retirement, death, or incapacity; and Accounting 2021 Edition by
• Record the incorporation of a partnership. Dayag
• Online sources
4-5 Partnership Liquidation The learner will be able to: • Lecture and discussion • Instructional Materials in • Activities and Assignments
• Define and describe partnership liquidation; • Problem solving Accounting for Special • Quiz regarding the topic
• Identify and explain the causes of partnership • Answer and analyze the Transactions
liquidation; theoretical questions • Accounting for Special
• Understand the nature of lump-sum and installment Transactions by Gloria A.
liquidation; Rante, et al.
 • Understand and apply the concepts of marshalling of • Students to read • Advanced Financial
assets and right of offset; Instructional Materials Accounting 2021 Edition by
• Journalize the realization of non-cash assets, payment and other resources Dayag
of liabilities and final settlement to partners in lump • Online sources
sum and installment liquidation; and
• Prepare statement of liquidation with supporting
schedules of cash distribution (periodic schedule of
payment and cash priority program).
6 Corporate Liquidation The learner will be able to: • Lecture and discussion • Instructional Materials in • Activities and Assignments
• Prepare Statement of affairs with deficiency schedule; • Problem solving Accounting for Special • Quiz regarding the topic
• Journalize transfer of assets from financially • Answer and analyze the Transactions
distressed company to trustee; and theoretical questions • Accounting for Special
• Prepare Statement of Realization and Liquidation. • Students to read Transactions by Gloria A.
Instructional Materials Rante, et al.
and other resources • Advanced Financial
Accounting 2021 Edition by
Dayag
• Online sources
7-8 Accounting for Home Office, Branch The learner will be able to: • Lecture and discussion • Instructional Materials in • Activities and Assignments
and Agency • Differentiate the operations of home office, branch, • Problem solving Accounting for Special • Quiz regarding the topic
and agency; • Answer and analyze the Transactions
• Journalize the transactions of an agency, home office theoretical questions • Accounting for Special
and branch; • Students to read Transactions by Gloria A.
• Journalize inter-branch transactions of merchandise Instructional Materials Rante, et al.
transfer (at cost) and inter-branch transfer of fixed and other resources • Advanced Financial
assets; Accounting 2021 Edition by
• Prepare a reconciliation statement of home office and Dayag
branch accounts; • Online sources
• Determine net income of an agency, home office,
branch and the consolidated net income;
• Prepare working paper for the combined financial
statements; and
• Prepare consolidated financial statements.
9 MIDTERM DEPARTMENTAL EXAMINATION
10-11 Accounting for Home Office, Branch The learner will be able to: • Lecture and discussion • Instructional Materials in • Activities and Assignments
and Agency – Special Problems • Journalize inter-branch transactions of merchandise • Problem solving Accounting for Special Quiz regarding the topic
transfer (at above cost) and inter-branch transfer of • Answer and analyze the Transactions
fixed assets; theoretical questions • Accounting for Special
• Prepare a reconciliation statement of home office and Students to read Instructional Transactions by Gloria A.
branch accounts; Materials and other resources Rante, et al.
• Determine net income of an agency, home office, • Advanced Financial
branch and the consolidated net income; Accounting 2021 Edition by
• Prepare working paper for the combined financial Dayag
statements; and Online sources
 • Prepare consolidated financial statements.
12 Revenue Recognition: Sales of Goods The learner will be able to: • Lecture and discussion • Instructional Materials in • Activities and Assignments
and Services • Apply PFRS 15 in accounting revenue from contract • Problem solving Accounting for Special • Quiz regarding the topic
with customer; • Answer and analyze the Transactions
• Know the criteria in identifying a contract; theoretical questions • Accounting for Special
• Be able to identify performance obligations in a • Students to read Transactions by Gloria A.
contract; Instructional Materials Rante, et al.
• Differentiate performance obligations satisfied over and other resources • Advanced Financial
time from performance obligations satisfied point in • Students to read PFRS 15: Accounting 2021 Edition by
time; Revenue from Contract Dayag
• Be able to determine the transaction price and allocate with Customer • PFRS 15: Revenue from
to the performance obligations; Contract with Customer
• Be able to account for variable considerations; and • Online sources
• Be able to account for contract modifications.
13 Revenue Recognition: Consignment The learner will be able to: • Lecture and discussion • Instructional Materials in • Activities and Assignments
Sales • Understand the nature of consignment sales; • Problem solving Accounting for Special Quiz regarding the topic
• Journalize the required entries in the books of the • Answer and analyze the Transactions
consignor and consignee; and theoretical questions • Accounting for Special
• Compute remittance from the consignee, net income • Students to read Transactions by Gloria A.
resulting from consignment transactions and value of Instructional Materials Rante, et al.
merchandise in the hands of the consignee. and other resources • Advanced Financial
Students to read PFRS 15: Accounting 2021 Edition by
Revenue from Contract with Dayag
Customer • PFRS 15: Revenue from
Contract with Customer
• Online sources
14 Revenue Recognition: Installment Sales The learner will be able to: • Lecture and discussion • Instructional Materials in • Activities and Assignments
• Understand the nature of installment sales; • Problem solving Accounting for Special • Quiz regarding the topic
• Journalize the required entries to record the • Answer and analyze the Transactions
installment sales transactions; theoretical questions • Accounting for Special
• Be able to account for the effect of repossession; • Students to read Transactions by Gloria A.
• Be able to account for the effect of trade-in; and Instructional Materials Rante, et al.
• Compute the revenue from installment sales and other resources • Advanced Financial
• Students to read PFRS 15: Accounting 2021 Edition by
Revenue from Contract Dayag
with Customer • PFRS 15: Revenue from
Contract with Customer
• Online sources
15 Revenue Recognition: Franchising The learner will be able to: • Lecture and discussion • Instructional Materials in • Activities and Assignments
• Understand the nature of franchising; • Problem solving Accounting for Special • Quiz regarding the topic
• Journalize the required entries to record the franchise • Answer and analyze the Transactions
transactions; theoretical questions • Accounting for Special
• Compare and journalize the different methods of Transactions by Gloria A.
accounting for initial franchise fee and the related cost Rante, et al.
 of franchise revenues – prior to substantial • Students to read • Advanced Financial
performance and upon substantial performance of Instructional Materials Accounting 2021 Edition by
service; and and other resources Dayag
• Compute the revenue from franchising. • Students to read PFRS 15: • PFRS 15: Revenue from
Revenue from Contract Contract with Customer
with Customer • Online sources
16-17 Revenue Recognition: Long-term The learner will be able to: • Lecture and discussion • Instructional Materials in • Activities and Assignments
Construction Contract • Define different terms or accounts used in • Problem solving Accounting for Special • Quiz regarding the topic
construction contracts; • Answer and analyze the Transactions
• Apply PFRS 15 in accounting for long-term theoretical questions • Accounting for Special
construction contracts; • Students to read Transactions by Gloria A.
• Determine the percentage of completion of a contract; Instructional Materials Rante, et al.
• Compute and journalize the transactions related to and other resources • Advanced Financial
construction revenue, costs, and gross profit (loss); • Students to read PFRS 15: Accounting 2021 Edition by
• Journalize billings and collections with mobilization Revenue from Contract Dayag
fee, retention fee and penalty clause; and with Customer • PFRS 15: Revenue from
• Account for construction contracts with modification Contract with Customer
clause. • Online sources
18 FINAL DEPARTMENTAL EXAMINATION

Suggested Readings and References

• Instructional Materials in Accounting for Special Transactions
• Accounting for Special Transactions by Gloria A. Rante, et al.
• Advanced Financial Accounting 2021 Edition by Dayag
• PFRS 15: Revenue from Contract with Customer

Course Grading System

ONLINE MODE OF LEARNING
Class Standing 70%
Quizzes 50%
Assignments and other activities 20%
Departmental examination 30%
Total 100%

Final Grade = (1st Grading Period + 2nd Grading Period)

2

CORRESPONDENCE MODE OF LEARNING

Result from Online Final Departmental Examination 60%
Result from the activities in the modules 40%
Total 100%
 Classroom Policy
The allowed number of absences for students enrolled in ACCO 30013 with once-a-week meeting is four (4). Request for excused absences or waiver of absences must be presented upon reporting back to class. Special
examinations will be allowed only in special cases, such as prolonged illness. It is the responsibility of the student to monitor his/her own tardy incidents and absences that might accumulate leading to a grade of
“FA,” (Failed due to Absences). It is also his/her responsibility to consult with the teacher, chair or dean should his/her case be of special nature.

All BSA and BSMA students are expected to be academically honest. Cheating, lying and other forms of immoral and unethical behavior will not be tolerated. Any student found guilty of cheating in examinations
will (at a minimum) receive a grade of 5.0 in the said test.

Consultation Time
Subject to the availability of the subject teacher, student may approach the subject teacher for queries about his/her grade as well as other academic requirements for the subject.

Prepared by: Enhanced by: Reviewed by:

(sgd.) (sgd.) (sgd.)

Ma. Delia M. Liz, CPA, MBA Dr. Gloria A. Rante, CPA Lilian M. Litonjua, CPA, MBA
Faculty Member Faculty Member Chairperson

(sgd.)
Elsa R. Ruado, CPA
Faculty Member

(sgd.)
Jonald P. Binaluyo, CPA, MBA
Faculty Member

(sgd.)
Reynan C. Murtos, CPA, MBA
Faculty Member

Recommending Approval:

(sgd.)
Dr. Julieta G. Fonte, CPA
Dean, College of Accountancy and Finance

Approved by:

(sgd.)
Dr. Emanuel C. De Guzman
Vice President for Academic Affairs

Revised March 2021