Principles of Accounting

Accounting has been defined as 'the language of business', and this course provides an introduction to its basic concepts, methods and practices.

Knowledge of the underlying concepts of accounting, in addition to its procedures, is an essential element in the education of future managers and other professionals.

Programme Structure

- The uses of accounting information
- The nature and function of accounting conventions
- The preparation of the financial statements of business entities
- The accounting treatment of assets and liabilities
- Cash flow statements
- Accounting for groups
- Financial statement analysis

Course leader

Dr Saipriya Kamath

Target group

Undergraduate and graduate students

Course aim

- The fundamental concepts of accounting, and the various accounting conventions that apply these concepts
- The uses to which accounting information may be put
- Different types of accounting entity
- The generation of the data recorded in accounting systems
- The recording of basic transactions within the double-entry system
- The periodic measurement of profit by businesses
- The preparation of annual financial statements (statement of financial position, income statement, statement of cash flows) for simple businesses
- The various elements of financial statements: assets, liabilities and capital
- The regulation of financial statements
- Measures of profitability and liquidity, including cash flow statements
- The analysis and interpretation of financial accounting information
- Basic issues relating to the accounting statements of groups of companies.

Credits info

4 EC
Typical credit: 3-4 credits (US) 7.5 ECTS points (EU). You will need to check with your home institution. Assessment is optional.

Fee info

GBP 2500: Discounts apply when booking multiple courses. LSE Summer School runs three sessions, and students can book one course each session. Save 32% on your second course and 68% on your third course.