Resources

Essential Information

Offered:

  • SP1, 2008
  • SP2, 2008
  • SP3, 2008

Core Unit for:

Elective Unit for:

  • N/A

Assessment:

  • Assignment 25%
  • Examination 75%

Pre-Requisites:

  • None

UNIT 101: FINANCIAL MANAGEMENT


Overview

This unit is concerned with the management of the financial functions of an organisation and is directed towards making you competent in financial decision making and the control of financial operations. It will also enable you to understand the professional advice and help that accountants and other finance professionals can give you towards that endeavour.

Aims

After studying this unit you should be able to:

  • identify the different types of business organisations
  • explain the basic principles of financial accounting and management accounting
  • explain the role and content of each of the four main financial statements and describe the methods and principles used to prepare each
  • discuss the issues involved in developing a funding structure for an organisation
  • discuss the importance of corporate governance in both private and public organisations
  • analyse financial statements using common techniques
  • demonstrate the use of a range of costing systems and cost control methods
  • prepare budgets and evaluate long-term capital investment proposals
  • discuss the issues involved in selecting an appropriate approach to managerial performance measurement
  • use accounting information for managerial decision making.

Topics

  • Financial management - an overview
  • Fundamental financial accounting concepts
  • Financial statements
  • Funding and corporate governance issues
  • Analysis and interpretation of financial statements
  • Fundamental management accounting concepts
  • Costing systems and cost control
  • Budgeting and capital investment
  • Performance measurement considerations
  • Managerial decision making

Unit Chair & Study Guide Author

Ray Anderson
BEc, Dip Ed, MCom

Ray is Professor of Accounting and Finance at Victoria University. His specialist teaching areas are business finance and management accounting. Major research interests include the performance of companies listed on secondary share markets, measuring cost and capital for multinational companies, industrial democracy and management buyouts. He has published many articles and conducted a number of professional development courses.

Ray previously worked in chartered accounting and merchant banking.