BA214 - Corporate Accounting

Credit Points: 15 credit points

Workload: 36 hours

Prerequisite: BA204 Financial Accounting

Co-requisite: N/A

Aims & Objectives

This is a second-year Core Unit in the Bachelor of Business, major in Accounting, and offered as an Elective Unit in the Bachelor of Business Marketing, and Bachelor of Business Management. For Course Learning Outcomes and further information relating to Bachelor of Business programs please visit our website:

This unit is designed to enable students to interpret and apply accounting rules and standards. Building on knowledge and skills gained in earlier financial accounting units, the unit explores how corporations report to the varied users of accounting information. Emphasis is on a student’s knowledge of the corporate regulatory environment in Australia, financing company operations (including the issuing of debentures and share capital), business combinations, consolidations and liquidation. The unit also focuses on the accounting standards relating to treatment of noncurrent assets (e.g. tangibles and intangibles) including impairment
Unit topics include:

  • The nature and regulation of companies
  • Financing company operations
  • Cash Flow Statements
  • Accounting for income taxes
  • Cost & revaluation models
  • Impairment of assets
  • Business combinations; consolidation method
  • Consolidated financial statements
  • Liquidation

Learning Outcomes

The Course learning outcomes applicable to this unit are listed on the Melbourne Institute of Technology’s website:   
At the completion of this unit students should be able to:
a. Explain and apply the regulatory framework that applies to the financial accounting for corporations.
b. Account for the financing company operations - issuing of shares, debentures, share options, and the forfeiture and re-issue of shares.
c. Generate financial statements and disclosures as required by the accounting standards.
d. Analyse what constitutes a business combination and how to conduct relevant consolidation accounting.
e. Understand the liquidation process and conduct all relevant accounting.


Assessment Task Due Date A B Unit Learning Outcomes
1. Formative Assessment Week 3 - 5% a
2. Contribution and Participation Weeks 1-12 - 5% a-e
3. Assignment [Individual] Week 5 - 20% a,b
4. Report [Group] Week 8 20% - a,b,c
5. Case Study Analysis [Individual] (3 hours) TBA - 50% a-e
TOTALS   20% 80%  

Task Type: Type A: unsupervised, Type B: supervised.

Contribution and Participation (5%)

This unit has class participation as an assessment. The assessment task and marking rubric will follow the Guidelines on Assessing Class Participation ( Further details will be provided in the assessment specification on the type of assessment tasks and the marking rubrics.

Teaching Methods

NOTE: All School of Business units 3-hour workshops Flipped Classroom Mode. 

Textbook and Reference Materials

Note: Students are required to purchase the prescribed text book and have it available each week in class.

Prescribed Text Book

  • Leo, K., Knapp, J., McGowan, S. & Sweeting, J. (2018). Company Accounting, 11th edition. Australia: John Wiley & Sons., Queensland.

Other recommended references

  • Deegan, C. (2020.) Financial Accounting (9th ed.). Sydney: McGraw Hill.
  • Loftus, J., Leo, K., Daniliuc, S., Boys, N., Luke, B., Ang, H. and Byrnes, K. (2020.) Financial Reporting (3nd ed.). John Wiley, Milton Queensland. 
  • Henderson, S., Peirson, G., Herbohn, K., Artiach, T. and Howieson, B. (2017). Issues in Financial Accounting (16th ed.). Pearson Higher Education AU. 
  • Locke, C., (2017). Chartered Accountants Australia and New Zealand's Financial Reporting Handbook 2016. Milton, Qld: John Wiley & Sons Australia Ltd.

Journal Articles

  • Potter, B., Pinnuck, M., Tanewski, G., & Wright, S. (2019). Keeping it private: financial reporting by large proprietary companies in Australia. Accounting & Finance.
  • Yang, J. G., Poon, W. W., & Lee, J. Z. H. (2018). The Impact of The New Consolidation Accounting Standards on Financial Statements. Business Journal for Entrepreneurs, 2018(4).
  • Givoly, D., Hayn, C., & Katz, S. (2017). The changing relevance of accounting information to debt holders over time. Review of Accounting Studies, 22(1), 64-108.
  • Bratten, B., Gleason, C. A., Larocque, S. A., & Mills, L. F. (2016). Forecasting taxes: New evidence from analysts. The Accounting Review, 92(3), 1-29.
  • Dean, P. C., & Floyd, M. (2015). Global Accounting Standards: Fact or Fiction? Journal of International Diversity, 2015(2).
  • Su, W. H., & Wells, P. (2015). The association of identifiable intangible assets acquired and recognized in business acquisitions with post acquisition firm performance. Accounting & Finance, 55(4), 1171-1199.

Accounting standards

The Referencing style for this using is APA: See the MIT Library Referencing webpage: and the Unit Moodle page for additional referencing support material and weblinks.

Graduate Attributes

MIT is committed to ensure the course is current, practical and relevant so that graduates are “work ready” and equipped for life-long learning. In order to accomplish this, the MIT Graduate Attributes identify the required knowledge, skills and attributes that prepare students for the industry.
The level to which Graduate Attributes covered in this unit are as follows:

Ability to communicate Independent and Lifelong Learning Ethics Analytical and Problem Solving Cultural and Global Awareness Team work Specialist knowledge of a field of study


Levels of attainment Extent covered
The attribute is covered by theory and practice, and addressed by assessed activities in which the students always play an active role, e.g. workshops, lab submissions, assignments, demonstrations, tests, examinations.
The attribute is covered by theory or practice, and addressed by assessed activities in which the students mostly play an active role, e.g. discussions, reading, intepreting documents, tests, examinations.
The attribute is discussed in theory or practice; it is addressed by assessed activities in which the students may play an active role, e.g. lectures and discussions, reading, interpretation, workshops, presentations.
The attribute is presented as a side issue in theory or practice; it is not specifically assessed, but it is addressed by activities such as lectures or tutorials.
The attribute is not considered, there is no theory or practice or activities associated with this attribute.