Formal lectures, group-based activities, class discussion and case studies will cover the material and its practical application.
The continuous assessment will take the form of case study assignments and exams.
A key element to the course is the group project. Students undertake submit a group written report and giving a formal presentation of the findings. This will involve an element of the course such as the management of working capital, ratio analysis, developing a funding application or corporate governance.
Module Aim:
The aim of this module is to equip the student with the knowledge and skills in relation to investment and financing decisions in a financial management role.
Learning Outcomes
On successful completion of this module the learner should be able to:
LO1
Evaluate the role of the financial management function and assess the impact of the environment on financial management
LO2
Critically evaluate traditional and discounted models of investment appraisal and be able to incorporate relevant costs, inflation, risk and taxation into investment appraisal decisions and assess the methods used to review and control capital expenditure projects
LO3
Interpret and analyse the financial statements of a business using ratio analysis
LO4
Apply financial management techniques to working capital management
LO5
Evaluate alternative sources of business finance and funding opportunities
LO6
Develop presentation and report writing skills and take responsibility for learning in a group problem-solving context.
Pre-requisite learning
Module Recommendations
This is prior learning (or a practical skill) that is recommended before enrolment in this module.
No recommendations listed
Incompatible Modules
These are modules which have learning outcomes that are too similar to the learning outcomes of this module.
No incompatible modules listed
Co-requisite Modules
No Co-requisite modules listed
Requirements
This is prior learning (or a practical skill) that is mandatory before enrolment in this module is allowed.
No requirements listed
Module Content & Assessment
Indicative Content
Financial Management Function
• Nature and purpose of financial management
• Irish financial regulation
• Corporate objectives and relationship with corporate strategy
• Corporate governance
• Role of stakeholders, Corporate social responsibility and ethics
• Executive remuneration and shareholder activism
• The audit: process, role of the auditor, limitations of the audit, the expectations gap, duties and rights of auditors and the audit report
Financial Services Environment
• The economic environment for business
• The nature of financial markets
• Financial institutions
Interpretation and Analysis of Financial Statements
• Users of financial information
• Published financial statements & reporting requirements
• Application of ratio analysis
• Analysis and interpretation of ratios to give an assessment of a company’s performance including trend analysis.
• The value and limitations of ratio analysis and their use in helping predict financial failure
• Presentation of reports targeted at user groups
Working Capital Management
• Role of working capital management and elements
• The treasury function
• Working capital cycle
• Management of inventories, accounts receivables, accounts payables and cash
• Over-trading: symptoms, causes & remedies
• Determining working capital requirements and funding strategies
Capital Investment Appraisal
• The decision-making process for investment opportunities
• The valuation problem: time value of money and future and present values
• Project investment appraisal techniques – NPV, IRR and alternative investment criteria adjusting for inflation and taxation
• Project investment appraisal incorporating relevant costing, capital rationing and risk and uncertainty
• Investments in technology
• Investment appraisal practices of companies
Financing the Business
• Sources of short-term, medium-term and long-term finance
• Bank overdrafts, debt factoring and invoice discounting
• Leases
• Islamic Financing
• Equity & loan capital
• Venture/seed capital
• Internal sources of finance and dividend policy
• Evaluation of financing decisions
• Funding applications and funding organisations including government funding
• Finance for small and medium-size business
• Stock exchange/floatation/share issues
• Security and loan covenants
Assessment Breakdown
%
Continuous Assessment
100.00%
Continuous Assessment
Assessment Type
Assessment Description
Outcome addressed
% of total
Assessment Date
Examination
In-class exam
1,2,3,4
50.00
n/a
Examination
In-class exam
2,5
20.00
n/a
Project
Group Project: Assess an entity incorporating financial issues or prepare a funding application for an organisation
1,2,3,4,5,6
30.00
n/a
No Project
No Practical
No End of Module Formal Examination
SETU Carlow Campus reserves the right to alter the nature and timings of assessment