1. General information

• This Module (ACM16) consists of two elements: Advanced International Financial Reporting (lecture) and Tutorial in Advanced International Financial Reporting (tutorial and case study seminar). 
• Examination and Credits: final written exam (80%) and case study presentation in teams (20%); 6 CP (PO 2010).

2. Learning objectives, contents, and methodology

Building on the fundamentals of IFRS introduced in International Financial Reporting (ACM02), this module deals with advanced financial reporting issues of both public and private firms (e.g., interim reporting, leases, revenue recognition, hedge accounting, consolidated financial statements, IFRS for SMEs). In this class, we assume a problem-oriented perspective: Instead of discussing accounting standards or balance sheet items in an isolated way, we conduct an integrated analysis of financial reporting issues using real challenges that firms regularly face. These challenges include:

• Going public: What are the consequences when private firms decide to issue stocks or bonds at a public exchange?
• Earnings management: How can managers “cook the books” when faced with earnings pressure?
• Restructuring: What do firms need to consider when restructuring as a response to financial distress? 
• M&A accounting: How to account for acquisitions and divestments?
• Sustainability: How to deal with the increasing challenge of sustainability demands and its consequences for financial reporting?
• Going international: How to prepare financial reports for private and public firms in other countries?

Extensive practical exercises and insights from research are integrated in the lectures and tutorials. Moreover, students have to apply their IFRS knowledge on a complex case study and present their solution in class.

3. Literature

• Cotter, D.: Advanced Financial Reporting – A Complete Guide to IFRS, Prentice Hall, 2012.
• Kothari, J./Barone, E.: Advanced Financial Accounting – An International Approach, Prentice Hall, 2010.
• Pellens, B. et al.: Internationale Rechnungslegung, 11th ed., Stuttgart 2021.