ULMS Electronic Module Catalogue

The information contained in this module specification was correct at the time of publication but may be subject to change, either during the session because of unforeseen circumstances, or following review of the module at the end of the session. Queries about the module should be directed to the member of staff with responsibility for the module.
Code ACFI202
Coordinator Dr S Ahmad
Finance and Accounting
Year CATS Level Semester CATS Value
Session 2021-22 Level 5 FHEQ Second Semester 15

Pre-requisites before taking this module (other modules and/or general educational/academic requirements):


Modules for which this module is a pre-requisite:


Programme(s) (including Year of Study) to which this module is available on a required basis:


Programme(s) (including Year of Study) to which this module is available on an optional basis:


Teaching Schedule

  Lectures Seminars Tutorials Lab Practicals Fieldwork Placement Other TOTAL
Study Hours           12



Timetable (if known)           60 mins X 1 totaling 12
60 mins X 1 totaling 10
120 mins X 1 totaling 24
Private Study 104


EXAM Duration Timing
% of
Penalty for late
CONTINUOUS Duration Timing
% of
Penalty for late
Assessment 1: Individual coursework Assessment Type: Coursework Size: 3000 Words Weighting: 100% Reassessment Opportunity: Yes Penalty for Late Submission: Standard UoL penalty applies   -3000 words    100       


This module aims to increase students' knowledge of financial accounting theory and its relevance to accounting practice.
The module further develops students’ knowledge of year one accounting modules and complements material covered in the second year module, Financial Reporting. In addition, some of the theoretical material covered in Accounting Theory will provide links to modules in Management Accounting.  
More specifically, the aim of Accounting Theory is to examine the market for accounting information; processes and effects of regulating financial reporting; the incentives which drive managers’ choices of alternative accounting policies; unregulated financial reporting, capital markets’ response to accounting information, and to explore the critical perspectives of accounting.

Learning Outcomes

(LO1) Should possess knowledge about the role and importance of theory and its link to accounting practice.

(LO2) Should possess knowledge of a range of theoretical models which are useful in understanding and explaining current accounting practices and regulation.

(LO3) Should be aware of the literature relating to theoretical models in accounting and be able to use theory to understand and evaluate the regulatory institutions of financial reporting in the UK and other countries.

(LO4) Should be able to understand the regulations applied to financial reporting in the UK and other countries.

(LO5) Should be to able understand the incentives driving managers in their choice of accounting policies within accounting regulations.

(LO6) Should be able to make links between financial reporting and other aspects of accounting.

(LO7) Should be able to understand capital markets' reaction to accounting information.

(LO8) Should be able to understand and explore the critical perspectives of accounting.

(S1) Adaptability

(S2) Problem solving skills

(S3) Commercial awareness

(S4) Teamwork

(S5) Organisational skills

(S6) Communication skills

(S7) International awareness

(S8) Lifelong learning skills

(S9) Ethical awareness

Teaching and Learning Strategies

Teaching Delivery: Mixed, hybrid delivery with social distancing on campus

Teaching Method: Online Asynchronous Learning Materials
Description: Sessions delivered via VLE
Unscheduled Directed Student Hours: 24
Attendance Recorded: No

Teaching Method: Workshop
Scheduled Directed Student Hours: 10
Attendance Recorded: Yes

Teaching Method: Group Study
Description: Weekly 1 hour session to foster student community and engagement by working with others on their ‘active learning’ activities
Scheduled Student Hours: 12
Attendance Recorded: No

Self-Directed Learning Hours: 104

Costs Information:
No additional costs

This module is a pre-requisite for the following modules:



An overview of financial accounting theory ;

The financial reporting environment;

The regulation of financial accounting

Normative theories of accounting 1: The case of accounting for changing prices;

Normative theories of accounting 2: The case of conceptual framework projects;

Positive Accounting Theory;

International Accounting ;

Unregulated financial reporting decisions: Considerations of systems-oriented theories

Extended Systems of Accounting: The incorporation of social and environmental factors within financial reporting;

Capital markets' reaction to accounting information.

Critical Perspectives of accounting

Recommended Texts

Reading lists are managed at readinglists.liverpool.ac.uk. Click here to access the reading lists for this module.