Università Roma Tre

Part 1 - The theory of Financial Statements
-Introduction to the study of the Financial Statements
- The basic functions of the Financial Statements
- The nature of income and capital
- The purposes of the Financial Statements
- The relationship between income, evaluation criteria and purposes of the Financial Statements
- The goals of the Financial Statements in corporate doctrine: the "alpha" goal and the "beta" goal

Part 2 - The Financial Statements according to the Civil Code
- The Financial Statement documents - Structure and content (Articles 2423-ter - 2425 of the Italian Civil Code)
- The general clause and the principles for preparing the Financial Statements (articles 2423 - 2423-bis of the Italian Civil Code)
- The specific evaluation criteria (art. 2426 of the civil code)
- Fixed assets
- Receivables
- Inventories (Lifo, Fifo, Cmp)
- Work in progress assets
- The content of the Notes and the Management Report

Part 3 – Accounting
- Closing accounting entries, general closure and reopening of accounts
- Fixed assets – Depreciation, amortization and devaluation
- Financial Investments – Equity Method
- Inventories and work in progress – FIFO, LIFO and WACC

Part 4 - Fundamentals of financial statement analysis
- Reclassification of BS and IS
- Ratios
- Statement of Cash Flows – Direct and Indirect Method

Suggested readings:

Part 1 and 2: Tutino M. (2017), Bilancio e nuovi OIC, Cedam
Part 3: Paoloni M., Celli M. (2012), Introduzione alla contabilità generale, Cedam
Part 4: Paolucci G. (2016), Analisi di Bilancio, Hoepli

Slides and exercises available on the Professor's web page