Finance for Business
| Module title | Finance for Business |
|---|---|
| Module code | BEP2050 |
| Academic year | 2023/4 |
| Credits | 15 |
| Module staff | David Jessop (Convenor) |
| Duration: Term | 1 | 2 | 3 |
|---|---|---|---|
| Duration: Weeks | 0 | 11 | 0 |
| Number students taking module (anticipated) | 30 |
|---|
Module description
Look at any business page in today’s newspaper, and you will be confronted with an array of finance issues. Companies issue profits warning or think about floating on the stock exchange. But what does all this actually mean? This module introduces you to the key concepts in financial management decisions and finances. Numerical aptitude is required together with a basic understanding of accounting terminology.
Module aims - intentions of the module
The aim of this module is to introduce you to the basic concepts within finance: key financial mathematics, working capital management, financial statement analysis, capital structure decisions, dividend policy decisions, personal financial management, risk management, and information systems. The aim is to expose you to real business issues and decisions that you may face as a Business Manager, as well as introducing you to other areas that you may consider for further investigation in the future.
Intended Learning Outcomes (ILOs)
ILO: Module-specific skills
On successfully completing the module you will be able to...
- 1. Explain the role of the finance function
- 2. The main features of the capital markets and how the finance functions interaction with them
- 3. Describe how business plans are developed and generate forecast financial statements
- 4. Undertake the analysis and interpretation of financial data
- 5. Assess the advantages and disadvantages the main sources of internal and external finance understand the factors involved in the management of working capital and calculate the effect of different strategies
- 6. Identify the main components of the risk management process and explain how it operates
- 7. Identify and discuss major issues involved in personal financial management
- 8. Describe the key issues surrounding information management and how the organisation can use information systems for strategic advantage
ILO: Discipline-specific skills
On successfully completing the module you will be able to...
- 9. Apply financial management concepts and practices to analyse simple business problems and recommend courses of action
- 10. Identify and present appropriate information to assist management with determining the mix of funds from different sources and taking financial management decisions
- 11. Demonstrate an appreciation of the usefulness or otherwise of a range of financial management techniques
- 12. Demonstrate an awareness of the role and purpose of information systems within the organisation
ILO: Personal and key skills
On successfully completing the module you will be able to...
- 13. Demonstrate written communication skills
- 14. Demonstrate problem solving skills
- 15. Demonstrate an ability to undertake independent study and manage their time
Syllabus plan
Introduction:
- The role of the finance function
- Financial Mathematics
- The financial world: markets, institutions and products
Financial planning and analysis:
- Analysis and interpretation of financial statements – profitability and efficiency ratios
- Analysis and interpretation of financial statements – liquidity, solvency and investment ratios
- Working capital – working capital elements, policies and the cash cycle
- Working capital – the management of inventories, receivables and payables
- Financial planning – financial statement forecasts, reconciliation of cash flow to profit projections
Financing decisions:
- Financing a business – internal and external sources Financing a business – raising long-term finance Cost of capital and gearing
- Developing a dividend policy
Financial controls:
- Introduction to risk management
Personal financial management:
- Personal financial management – sources of finance
- Personal financial management – investments and pensions
Information Management:
- Data, Information and knowledge
- Role of information systems in business, the economy and society
- Key types of information system
- Development of information system
- Strategy aligning information and business strategies
Learning activities and teaching methods (given in hours of study time)
| Scheduled Learning and Teaching Activities | Guided independent study | Placement / study abroad |
|---|---|---|
| 25 | 125 | 0 |
Details of learning activities and teaching methods
| Category | Hours of study time | Description |
|---|---|---|
| Scheduled learning and teaching activity | 19 | Lectures |
| Scheduled learning and teaching activity | 1 | Revision session |
| Scheduled learning and teaching activity | 5 | Tutorials |
| Guided independent study | 125 | Research, revision, preparation and writing |
Formative assessment
| Form of assessment | Size of the assessment (eg length / duration) | ILOs assessed | Feedback method |
|---|---|---|---|
| Weekly problems and questions to aid discussion in tutorials | 2-3 hours for preparation; 1 hour in-class session | 1-15 | Tutor run-through of questions and suggested solutions |
| Tutorial discussion | Weekly | 1-15 | Feedback during seminar |
| Online tests | Varies | 1-15 | Solutions provided via online learning environment |
| Written piece | 500 words to be completed at the beginning of term | 1-15 | Signposting to support if deemed necessary |
Summative assessment (% of credit)
| Coursework | Written exams | Practical exams |
|---|---|---|
| 40 | 60 | 0 |
Details of summative assessment
| Form of assessment | % of credit | Size of the assessment (eg length / duration) | ILOs assessed | Feedback method |
|---|---|---|---|---|
| Coursework paper | 40 | 1500 words | 1-5 and 8-15 | Mark awarded and feedback comments to individual students |
| MCQ assessment | 20 | 1 hour | 1-2, 4-7, 9-11 and 13-15 | Solutions provided via online learning environment |
| Written assessment | 40 | 1500 words | 3-15 | Solutions provided via online learning environment |
Details of re-assessment (where required by referral or deferral)
| Original form of assessment | Form of re-assessment | ILOs re-assessed | Timescale for re-assessment |
|---|---|---|---|
| Coursework paper (40%) | Coursework (1500 words) 40% | 1-5 and 8-15 | July/August |
| Written assessment (40%) | Written assessment (1500 words) | 1-2, 4-7, 9-11 and 13-15 | July/August |
| MCQ assessment (20%) | MCQ 1 hour | 3-15 | July/August |
Re-assessment notes
A student if deferred in a single component will be reassessed in that component only.
Indicative learning resources - Basic reading
- Atrill, P. (2017), Financial Management for Decision Makers, 8th ed., Harlow: Pearson Education Ltd (Chapters 1-4; and 6-10)
- Arnold, G. (2007), Essentials of Corporate Financial Management, Harlow: Pearson Education Ltd (Chapter 1)
- Watson, D. & Head, A. Corporate Finance, Principles & Practice, 5th ed. Harlow: Pearson Education Ltd. (Chapter 12)
Indicative learning resources - Web based and electronic resources
Indicative learning resources - Other resources
- Directed reading, tutorial questions and further practice questions or as recommended / directed by convener
| Credit value | 15 |
|---|---|
| Module ECTS | 7.5 |
| Module pre-requisites | None |
| Module co-requisites | None |
| NQF level (module) | 5 |
| Available as distance learning? | Yes |
| Origin date | 01/10/2014 |
| Last revision date | 05/04/2023 |
