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This free course, Financial Accounting, and Reporting, serves as an introduction to financial accounting, introducing the basic terminology, purpose, and different types of accounting. You will learn about what accounting is, the purposes for which accounting information is used, how to distinguish between management and financial accounting, the components of accounting information, and the main financial reports in which this information is presented to its users.

You will also have a clear understanding of how accountants act as processors and purveyors of information for decision-making, of the needs of those who use accounting information, and of the role performed by accountants. Accounting does not exist for its own sake or in a vacuum: there must be a reason why accounting is being done. This course is also meant to enable you to understand the relevance of the course to your own career. For example, if you are thinking about becoming a professionally qualified accountant or studying business or management, or using knowledge of accounting in your own work situation or your own business.

Learning outcomes

After studying this course, you should be able to: 

  • define bookkeeping and accounting
  • explain the general purposes and functions of accounting
  • explain the differences between management and financial accounting
  • describe the main elements of financial accounting information – assets, liabilities, revenue and expenses
  • identify the main financial statements and their purposes.
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