Chair: Dr. Jan Smolarski, Ph.D.
Ph: +966 11 215 7722
Web address: http://cob.alfaisal.edu/programs/accounting
General Department Information
Accounting is one of the most rewarding careers in business and the one that offers the most opportunities with the lowest risk. The American Institute of Certified Public Accountants (AICPA) describes accounting as “The One Degree with 360 Degrees of Possibilities.” Your accounting degree prepares you to become a successful certified public accountant (CPA), chief financial officer (CFO), or chief executive officer (CEO). It is also a great major to choose if you are preparing to work in a family business.
It is interesting to note that more senior business leaders come from accounting backgrounds than any other business function. Why? There are four main reasons that make accountants indispensable in the business world. First, accountants are known for their trustworthiness and high degrees of integrity. Second, accountants have the financial acumen necessary to diagnose the financial health of their companies and determine activities that maximize the outcome of their decisions. This is why they are known in the business circle as business doctors. Third, the path from the CFO (the top accounting job) to the CEO position is increasingly seen as a natural transition. In recent years, the CFO position has become a training ground and steppingstone for the top job. Finally, they know companies’ financial drivers; they know what creates values and what does not.
The course introduces students to the role of accounting information in business and investment decisions. It covers Job Order Costing, Process Costing, and Activity Based Costing methods used in manufacturing and service operations. The course explores the cost volume profit relationship, cost classifications: variable and fixed costs, standard costing, and budgeting; it also introduces the Balanced Scorecard as a performance measure.
Valuation and performance are an important part of investment decisions which heavily relies on the information in financial statements. This course will familiarize students with the framework of analysis and valuation using financial statements and focus on how to extract information from financial statements and use that data for valuation.