Accounting Analysis I: The Role of Accounting as an Information System (Coursera)

Accounting Analysis I: The Role of Accounting as an Information System (Coursera)

This course is the first course in a five-course Financial Reporting Specialization that covers the collection, processing, and communication of accounting information (via financial reports) about economic entities to interested parties (i.e., managers and external stakeholders such as stockholders and creditors).

Class Deals by MOOC List - Click here and see Coursera's Active Discounts, Deals, and Promo Codes.

To gain the most relevant knowledge from these courses, learners should have taken a basic accounting course prior to this Specialization. This Specialization focuses on accounting concepts, principles and theory with an emphasis on problems that arise in applying these concepts for external reporting purposes. Specific emphasis is placed on measurement of assets, liabilities, equities and income, as well as disclosure of additional information that may assist users understand the financial reports.
After a brief introduction to the course, we will spend time understanding the overall financial accounting structure and standards as well as review the fundamental accounting process used to prepare the financial statements, which will establish a framework for the study of the concepts in the remaining courses in the Financial Reporting Specialization. In this course, we will begin our review of key information included in the Balance Sheet and Income Statement and their related financial disclosures. The Statement of Cash Flows will be introduced briefly with more discussion to follow in later courses of the Specialization. Also, we will provide a cursory review of key concepts involving time value of money as we will finish this course with focus on revenue recognition, including discussion of the new revenue standard. We will review the general approach for recognizing revenue, special issues affecting revenue recognition including long-term construction contracts. In addition, we will discuss and review common ratios used in profitability analysis.
The University of Illinois at Urbana-Champaign, consistently ranked as one of the nation's top three accounting programs, now offers a master’s in accounting at a very affordable tuition rate and is completely online. The iMSA is a full Master of Accountancy program and students graduate with an MS that is highly recognized. Try an open course or two, then apply for admission into the credit-bearing version as you may be eligible to take credit-bearing courses during the application process. If you are missing any prerequisites for the full degree, you can complete Coursera courses to demonstrate readiness and strengthen your application for the iMSA.
Course 1 of 5 in the Financial Reporting Specialization.

Syllabus

WEEK 1
Course Orientation
You will become familiar with the course, your classmates, and our learning environment. The orientation will also help you obtain the technical skills required for the course.
Week 1: Financial Accounting Structure/Environment
We will learn the primary focus of financial accounting and learn about General Accepted Accounting Principles (GAAP) and their key assumptions, as well as compare them to International Financial Reporting Standards (IFRS).

WEEK 2
Week 2: Review of Accounting Process
We will use the accounting equation to complete the processing cycle. We will also learn the basic types of month-end adjusting entries. More importantly, we will describe the four basic financial statements and how they relate to one another.

WEEK 3
Week 3: Balance Sheet & Financial Disclosures
We will learn the nuances of the Balance Sheet as well as various forms of disclosures associated with financial statements, including the Auditors' Report and MD&A. We will also review several key liquidity and financing ratios. Lastly, we will learn what's included in the operating segment reporting and wrap up with a fun exercise on understanding your own personal Balance Sheet!

WEEK 4
Week 4: Income Statement and Accounting Changes
We will learn the key components of the Income Statement (e.g., EPS) and its impact on shareholders’ equity. We will also distinguish income from continuing operations vs discontinued operations. Lastly, we will better understand the impact of various accounting changes.

WEEK 5
Week 5: Time Value of Money, Ethics, & Other Financial Statements
We will learn some of the key concepts related to time value of money. We will also discuss ethics and professionalism, as well as lessons learned from past accounting scandals. Finally, we will briefly review the Statement of Cash Flows (SCF) and Statement of Comprehensive Income (SOCI).

WEEK 6
Week 6: Revenue Recognition
We will learn the key issues involving revenue recognition, including the five key steps. Next, we will determine when to recognize revenue, including involvement of multiple performance obligations and special issues related to steps 4 and 5. Lastly, we will discuss the presentation and disclosure requirements of revenue.

WEEK 7
Week 7: Revenue & Ratio Analysis
We will understand the two methods of revenue recognition for long-term contracts. Next, we will introduce the concept of financial ratios and the various types of activity and profitability ratios. Lastly, we will discuss how the DuPont Framework analysis incorporates profitability, activity, and leverage ratios into the overall Return On Equity (ROE).

WEEK 8
Week 8: Course Wrap-Up & Case Study
You will work on a case study that will serve as a refresher of all of the concepts that you have learned over the past seven weeks of this course. The case study will involve analysis of a publicly held Fortune 500 company in which you will analyze the Annual Report or 10K Report.

Go to Class
MOOC List is learner-supported. When you buy through links on our site, we may earn an affiliate commission.

Related Courses

Accounting for Decision Making (Coursera) Coursera
University of Michigan

Accounting for Decision Making (Coursera)

Through this course, you will start by addressing the two “big questions” of accounting: “What do I have?” and “How did I do over time?” You will see how the two key financial statements – the balance sheet and the income statement - are designed to answer these questions and then move on to consider how individual transactions aggregate to make up these financial statements.

Nov 9th 2026
5-12 Weeks
Finance for Everyone: Decisions (Coursera) Coursera
McMaster University

Finance for Everyone: Decisions (Coursera)

Finance for Everyone: Decisions will introduce you to the workings of the free markets and the foundations of finance. You will learn how free markets and their “creative destruction” provide the architecture for the global economy and how those same markets move money in ways that create and destroy wealth. Your financial toolkit will include timeless concepts like compounding, discounting, annuities, effective interest rates, and more.

Nov 2nd 2026
4 Weeks
Finance for Non-Finance Professionals (Coursera) Coursera
Rice University

Finance for Non-Finance Professionals (Coursera)

This short course surveys all the major topics covered in a full semester MBA level finance course, but with a more intuitive approach on a very high conceptual level. The goal here is give you a roadmap and framework for how financial professional make decisions. We will cover the basics of financial valuation, the time value of money, compounding returns, and discounting the future. You will understand discounted cash flow (DCF) valuation and how it compares to other methods. We also step inside the mind of a corporate financial manager and develop the basic tools of capital budgeting. We will survey the how, when, and where to spend money, make tradeoffs about investment, growth, dividends, and how to ensure sound fiscal discipline.

Oct 26th 2026
5-12 Weeks
Finance for Managers (Coursera) Coursera
IESE Business School

Finance for Managers (Coursera)

When it comes to numbers, there is always more than meets the eye. In operational finance, you will learn how to read the “story” that the balance sheet and income statement tells about the company’s operations. The insights you gain from this “financial story” will then become a tool for short-term decision-making at the top management level relating to current assets, current liabilities and the management of working capital. Finally, by the end of the course you will understand the financial consequences of managerial decisions on operations, marketing, etc.

Oct 26th 2026
4 Weeks
More Introduction to Financial Accounting (Coursera) Coursera
University of Pennsylvania

More Introduction to Financial Accounting (Coursera)

The course builds on my Introduction to Financial Accounting course, which you should complete first. In this course, you will learn how to read, understand, and analyze most of the information provided by companies in their financial statements. These skills will help you make more informed decisions using financial information.

Oct 26th 2026
5-12 Weeks
Financing and Profiting from Innovation for Corporate Entrepreneurs (Coursera) Coursera
University of Maryland, College Park

Financing and Profiting from Innovation for Corporate Entrepreneurs (Coursera)

This course is for aspiring or active corporate entrepreneurs who wants to understand how to secure and manage funding for their corporate venture. We will demystify key accounting and financing concepts to give corporate entrepreneurs a guide to developing the business case for their ideas, and securing funding to translate ideas into reality.

Oct 26th 2026
4 Weeks
Organising an Empire: The Assyrian Way (Coursera) Coursera
Ludwig-Maximilians-Universität München

Organising an Empire: The Assyrian Way (Coursera)

Discover the mighty kingdom of Assyria, which came to be the world’s first great empire three thousand years ago. From the 9th to the 7th centuries BC, during the imperial phase of Assyria’s long history, modern day northern Iraq was the central region of a state reaching from the Mediterranean Sea to the Persian Gulf, and incorporating what is now Iraq, Syria, and Lebanon, as well as half of Israel, and wide parts of south-eastern Turkey, and Western Iran.

Nov 2nd 2026
5-12 Weeks
Managerial Accounting: Tools for Facilitating and Guiding Business Decisions (Coursera) Coursera
University of Illinois at Urbana-Champaign

Managerial Accounting: Tools for Facilitating and Guiding Business Decisions (Coursera)

In this course, you will explore how to use accounting to allocate resources and incentivize manager and employee behaviors in using these resources. You will also learn how financial and non-financial accounting information facilitates strategic performance measurement and how to integrate this information to continuously improve strategy.

Oct 26th 2026
4 Weeks
Introduction to Accounting Data Analytics and Visualization (Coursera) Coursera
University of Illinois at Urbana-Champaign

Introduction to Accounting Data Analytics and Visualization (Coursera)

Accounting has always been about analytical thinking. From the earliest days of the profession, Luca Pacioli emphasized the importance of math and order for analyzing business transactions. The skillset that accountants have needed to perform math and to keep order has evolved from pencil and paper, to typewriters and calculators, then to spreadsheets and accounting software. A new skillset that is becoming more important for nearly every aspect of business is that of big data analytics: analyzing large amounts of data to find actionable insights. This course is designed to help accounting students develop an analytical mindset and prepare them to use data analytic programming languages like Python and R.

Nov 2nd 2026
5-12 Weeks
Accounting Analysis I: Measurement and Disclosure of Assets (Coursera) Coursera
University of Illinois at Urbana-Champaign

Accounting Analysis I: Measurement and Disclosure of Assets (Coursera)

In this course, we will begin our review of key asset categories underlying the Balance Sheet concepts that were introduced in the previous course. We will begin our trek down the Balance Sheet by reviewing cash and receivables, which are normally the two assets listed first. We will continue our trek down the Balance Sheet by looking at inventory and long-Lived Assets, which are normally two of the largest asset values. We will review the measurement and reporting issues involving Inventories and the corresponding cost of goods sold expense in the Income Statement.

Oct 26th 2026
5-12 Weeks