PFFU3 Financial Accounting III

Faculty of Economics and Administration
Autumn 2008
Extent and Intensity
0/2/0. 3 credit(s). Type of Completion: zk (examination).
doc. Ing. Jaroslav Sedláček, CSc. (seminar tutor)
Guaranteed by
doc. Ing. Jaroslav Sedláček, CSc.
Department of Finance - Faculty of Economics and Administration
Contact Person: Iva Havlíčková
Timetable of Seminar Groups
PFFU3/1: Mon 12:50–14:30 S311, J. Sedláček
PFFU3/2: Thu 14:35–16:15 S306, J. Sedláček
PFFUI Financial Accounting I && PFFUII Financial Accounting II
The course of Financial Accounting III is a follow-up course to the courses Financial accounting I and II.
Course Enrolment Limitations
The course is also offered to the students of the fields other than those the course is directly associated with.
The capacity limit for the course is 48 student(s).
Current registration and enrolment status: enrolled: 0/48, only registered: 0/48, only registered with preference (fields directly associated with the programme): 0/48
fields of study / plans the course is directly associated with
Course objectives
The course deals with business combinations and closing of books consolidation of capital-related companies, which means applying basic principles and techniques to processes of combination and consolidation in terms of law, tax and accounting. The course is particularly aimed at capital and property acquisitions, company alliances (mergers, fusions and conversions) and processes of decision-making in accordance with Czech accounting and business legislation and international accounting standards.
As for the consolidation, the approaches to defining a consolidation unit, determining consolidation rules and methods and consolidation systems are clarified. Since this might be considered as a new problem created by the development of business activities and increased role of capital market, the theory and methods will be verified by providing particular examples which should help to understand and master the matter. At the end of this course a student should be able to:
- understand the accountancy methods of business transformations and explain their tax aspects;
- record company split or its liquidation into the accounting and use appropriate legislation;
- apply the basic methods of consolidation and prepare financial statements of companies in a group.
  • 1. Accounting and tax aspects of incorporation of companies. Cash and non-cash contributions on occasion of foundation and incorporation of a company.
  • 2. Foundation and incorporation of capital-related companies.
  • 3. Accounting procedures and economic implications of increase and decrease in registered capital.
  • 4. Methods of capital acquisition of companies.
  • 5. Methods of property acquisition of companies.
  • 6. Legal merger of companies (shares joint method).
  • 7. Legal merger of companies (purchase method).
  • 8. Methods of company split (according to shares, under the terms of office).
  • 9. Accounting procedures on the occasion of changing legal form of company.
  • 10. Legislation and accounting procedures on the occasion of winding up company.
  • 11. Basics of consolidation, consolidation framework, positive and negative definition.
  • 12. Definition of consolidation unit, types of capital bindings and calculation of interest (direct and indirect interest).
  • 13. Methods of consolidation (relative, equity and full).
  • Sedláček, Jaroslav: Účetnictví akvizicí, fúzí a konsolidací. Brno: MU ESF, 2004. 142 s. ISBN 80-240-3489-0.
  • Vomáčková, Hana: Účetnictví akvizicí, fúzi a jiných vlastnických transakcí. Praha: POLYGON, 2002. 360 s. ISBN 80-7273-065-7.
Assessment methods
The course has a form of seminars (0/2 per week). The course is completed by a written exam. Admission to the exam is subject to presenting a semester paper and 70% attendance.
Language of instruction
Follow-Up Courses
Further comments (probably available only in Czech)
The course is taught annually.
Information on course enrolment limitations: Tento předmět je určen pouze studentům ESF
The course is also listed under the following terms Autumn 2001, Autumn 2002, Autumn 2003, Autumn 2004, Autumn 2005, Autumn 2006, Autumn 2007.
  • Enrolment Statistics (recent)
  • Permalink: