Study Guide

Objectives

The course presents the common financial practices when setting up a company, planning business profitability and working capital needs. The approach is practical with case studies.

After completing the course, the students will be able to:
• Adopt the key elements for stable financial position of a company
• Estimate and simulate profitability, Cost-Volume-Profit analysis
• Prepare relevant financial projections for starting a company, budgeting
• Set the needs for working capital
• Attach financial plans, as part of business plan

Content

• What are the factors of profitable business?
• How to make company profit and loss budget?
• How to estimate cash flow needs?
• How to simulate and improve company profitability?
• What are the local aspects of company financials?

Assessment criteria, satisfactory (1-2)

The student recognizes the role and meaning of management accounting in a company. He/she understands the relevant managerial accounting principles and practices used by companies. The student is able to define the importance of the financial planning process and name the important fields within management accounting. The student identifies typical management accounting tools and methods in use; he/she can make basic financial plans and managerial calculations and solve accounting cases by making simple calculations. The student is able to give and receive feedback and take responsibility as an individual learner. The student can act as part of a team.

Assessment criteria, good (3-4)

The student connects the role of management accounting in company operations. He/she structures the course themes with financial accounting by applying the tools and concepts used by companies. He/she explains why and how to use various management accounting methods for targeting profitable business. The student makes simple profitability calculations with simulation analysis and company's financial projections by applying the meaning of margin. The student makes relevant financial comparisons for management decisions and simulates outcome with various accounting factors. The student gives and receives constructive feedback; he/she is able to operate in professional manner by recognising relevant scope and needs. He develops his interaction skills by adding value to the team.

Assessment criteria, excellent (5)

The student adapts the course themes at advanced level. He finds and translates the course themes with working life connections. He expands the context by bringing new perspectives, he analyses the selected management accounting methods. The student adopts the financial mindset, with academic perspective. The student builds creative solutions by combining various course themes. He/she evaluates the outcomes and looks for new opportunities. He/she can justify the decisions made by using the calculations presented. The student aims for alternative perspectives; he/she brings maturity and applies relevant details as needed. The student uses the feedback and iterates his learning process. He/she adds collaboration by being an asset for the team. The student develops creative and constructive working methods by bringing professional commitment throughout the course.