CASE STUDIES OF FINANCIAL ACCOUNTING THEORIES …

1 CASE STUDIES OF FINANCIAL ACCOUNTING THEORIES AND TECHNIQUES By: Walter Douglas Kearney III A thesis submitted to the faculty of the University of Mississippi in partial fulfillment of the requirements of the Sally McDonnell Barksdale Honors College. Oxford May 2018 Approved By: Advisor: Dr. Victoria Dickinson Reader: Dr.

2 Mark Wilder Case STUDIES of FINANCIAL ACCOUNTING THEORIES and Techniques | ii 2018 Walter Douglas Kearney III All Rights Reserved Case STUDIES of FINANCIAL ACCOUNTING THEORIES and Techniques | iii ABSTRACT Walter Douglas Kearney III: Case STUDIES of FINANCIAL ACCOUNTING THEORIES and Techniques (Under the Guidance of Dr. Victoria Dickinson) In conjunction with the Patterson School of Accountancy, the Sally McDonnell Barksdale Honors College has developed a program for ACCOUNTING students that allows for real-world application of the THEORIES and techniques taught as part of the ACCOUNTING curriculum.

3 This alternative thesis opportunity gives students a chance to complete a variety of case STUDIES that supplement material learned in ACCOUNTING classes by applying what has been learned in a deeper, more meaningful manner. Each case covers a unique topic within ACCOUNTING by using a different forms of research and application. Over the course of the year-long class, students dive into the FINANCIAL statements of companies in conjunction with the use of the FASB Codification and other resources. This is an opportunity to apply what has been learned in class to real-world situations, which provides rich learning experiences.

4 Each case is reported with a combination of explanatory writing and data to back up the findings. Meetings with upper-level employees from major ACCOUNTING firms also adds to the experience that this class provides. The exposure to professionals from the firms gives students the opportunity to gain a glimpse into the profession, while also establishing a solid base of connections. This unique thesis option enriches foundational components of an ACCOUNTING education and prepares students for a successful career. Case STUDIES of FINANCIAL ACCOUNTING THEORIES and Techniques | iv TABLE OF CONTENTS INTRODUCTION.

5 5 CASE STUDY ONE .. 8 CASE STUDY TWO .. 23 CASE STUDY THREE .. 27 CASE STUDY FOUR .. 33 CASE STUDY FIVE .. 36 CASE STUDY SIX .. 41 CASE STUDY SEVEN .. 46 CASE STUDY EIGHT .. 49 CASE STUDY NINE .. 53 CASE STUDY TEN .. 59 CASE STUDY ELEVEN .. 64 CASE STUDY TWELVE .. 69 Case STUDIES of FINANCIAL ACCOUNTING THEORIES and Techniques | 5 INTRODUCTION Findings: This honors ACCOUNTING course is based on the application of ACCOUNTING THEORIES through a series of real-world case STUDIES . Students are supposed to take what is learned in intermediate ACCOUNTING and apply to actual ACCOUNTING problems that companies face on a daily basis.

6 Students used a variety of resources, including Microsoft Excel and the FASB Codification, to complement their research for each case. The exposure to these resources allowed students to realize how to bring ACCOUNTING topics together into a practical application. The critical analysis needed to complete each case study forced students to make the transition from classroom learning to real world use. Although the STUDIES and work can be detailed and challenging, it makes students appreciate the value of a team. Each case was tackled by a team of students, which enabled students to reach new levels of analysis and understanding.

7 Also, a major component of the ACCOUNTING alternative thesis track is interaction with both major and regional ACCOUNTING firms. A broad range of firms presented and visited the class to share with students about the profession. They further strengthened important ACCOUNTING topics and also emphasized key skills to be successful within the profession. All of the professionals agreed that being able to work on a team is of utmost importance. By having a cohesive team for each case, students were able to replicate work in the ACCOUNTING world. Although working within a team setting was important, individual understand and analysis was at the foundation of each case.

8 Each team member compiled findings and analyzed them independently. This gave students the chance to apply what they learned based on their understanding of each topic. Case STUDIES of FINANCIAL ACCOUNTING THEORIES and Techniques | 6 Career Development: One thing that professionals are constantly looking for is quality experience that will allow candidates to make an immediate impact. It is often hard for students to gain this type of experience, but this case study course allows students to make real-world applications for ACCOUNTING principles and THEORIES learned in class.

9 The ACCOUNTING profession is one with endless opportunity, as ACCOUNTING is at the foundation of all business. Although the profession is rapidly evolving, the principles will always remain the same. This course examined these basic principles and applied them in a way that makes the students extremely marketable to ACCOUNTING firms looking to hire recent college graduates. As mentioned previously, a major component of the Honors 420 class is the interaction with major ACCOUNTING firms. Professionals come and share about their respective companies and what a career in ACCOUNTING looks like.

10 By networking with accountants, students are able to place themselves at the top of the candidate pool. They learn what to expect in interviews, internships and careers. By conducting high level research, exploring the FASB codification, utilizing the power of Excel, and analyzing in a real-world context sets students apart from other candidates. Also, the teamwork component of the class may end up being the most valuable thing learned. All companies rely on teams to tackle major projects, and this class prepares students to be valuable contributors on business world teams.