Course Title: Evaluate organisation's financial performance

Part B: Course Detail

Teaching Period: Term2 2016

Course Code: ACCT5390C

Course Title: Evaluate organisation's financial performance

School: 650T Vocational Business Education

Campus: City Campus

Program: C6148 - Advanced Diploma of Accounting

Course Contact: Ben Sethia

Course Contact Phone: +61 3 9925 5982

Course Contact Email:

Name and Contact Details of All Other Relevant Staff

Name: Colin Byron


Nominal Hours: 60

Regardless of the mode of delivery, represent a guide to the relative teaching time and student effort required to successfully achieve a particular competency/module. This may include not only scheduled classes or workplace visits but also the amount of effort required to undertake, evaluate and complete all assessment requirements, including any non-classroom activities.

Pre-requisites and Co-requisites


Course Description

This unit describes the skills and knowledge required to evaluate returns to operations, determine short-term and long-term needs, and evaluate an organisation’s financial position and performance.

It applies to experienced individuals who use specialised knowledge and skills to evaluate complex financial information and make recommendations relevant to strategic organisational activity.

Work functions in the occupational areas where this unit may be used are subject to regulatory requirements. Refer to the FNS Implementation Guide Companion Volume or the relevant regulator for specific guidance on requirements.

National Codes, Titles, Elements and Performance Criteria

National Element Code & Title:

FNSACC608 Evaluate organisations financial performance


1. Evaluate returns to operations

Performance Criteria:


1.1 Trend cash flow and profitability patterns to identify current position and expected returns from investments and projected operations

1.2 Disaggregate averaged returns to assess strengths and weaknesses in organisational performance

1.3 Evaluate investment returns against risk, profit and capital budget requirements



2. Determine short-term and long-term needs

Performance Criteria:


2.1 Identify resources required by organisation to meet short-term and long-term obligations, and cost using standard financial analysis techniques

2.2 Establish and review financial priorities based on reported performance and identified trends, organisational objectives and expected returns to operations and investments

2.3 Review financial options and conduct analysis of range of possible assets and liabilities to optimise capital mix to support operations and trading need

2.4 Evaluate and document organisational policy and procedures for expenditures and investments to ensure relevance to changing personnel profiles

2.5 Analyse debt to equity targets in terms of organisation’s expected performance and establish in line with organisational objectives using standard accounting techniques


3. Review performance

Performance Criteria:


3.1 Ensure forecasts made are justifiable given observed trends, information, events and assumptions, with standard errors calculated to produce levels of accuracy suitable for planning purposes

3.2 Regularly review forecasts in line with actual performance and alternative sources of information

3.3 Assess risk strategies for long-term viability and harmonise with short-term goals and obligations


Learning Outcomes

Details of Learning Activities


This unit comprises one of a co-delivered and assessed group of units referred to as a cluster. This cluster includes ACCT5317C Evaluate an Organisations Financial Performance and MKTG6988C Interpret and Use Financial Statistics and Tools . As a result, two course guides will be prepared but only the Elements, Performance Criteria, Critical Aspects, Knowledge and Skills requirements for each course will be specific to each course (guide). The remainder of the information such as "Teaching Activities" "Teaching Schedule" "Resources" and "Assessments Tasks & Matrix" will be identical on both course guides
Importantly, the attached information is consistent with the unit mapping document for this cluster.

Using various materials along with facilitator led discussion, students will be progressively introduced to statistical methods which will be used to assist in forecasting and to provide insights into quantifying risk and return and applying this to the evaluation of the financial performance of a firm. This course will involve both theory and practical learning activities.

For FULL TIME STUDENTS; as part of this cluster , in-class activities will account for 80 of the 120 nominal hours allocated to these co-delivered cluster/courses and will include class work on theory, practical and computer work, together with work on portfolio exercises and assignment. Please note that in-class activities includes assessment. This will involve observation and one on one questioning of prescribed task execution. The remaining 40 of the 120 nominal hours are for self directed learning and should be taken up with work on any course study activity and the assignment outside of scheduled class time. Please note that the format of the classes will be a total of five  hours per week (full time students).

For FLEX ED STUDENTS; (Applicable only in semesters where FLEX ED is offered) in-class activities will account for 18 of the 120 nominal hours allocated to these co-delivered cluster/courses and will include class work on theory, practical and computer work, together with work on portfolio exercises and assignment. Please note that in-class activities includes assessment. This will involve observation and one on one questioning of prescribed task execution. The remaining 102 of the 120 nominal hours are for self directed learning and should be taken up with work on any course study activity and the assignment outside of scheduled class time. Please note that the format of the classes will be a total of 3 hours per applicable week; please refer to "FLEXED SCHEDULE" below for time tabled classes. In addition; two COLLAB0RATIVE sessions will  be held during the semester, the date and time of these sessions will be announced during the semester. It is the responsibility of the student to have the necessary technology available to access these sessions.

Critical aspects of evidence:

  • use standard financial analysis techniques and accounting techniques plus organisational policies and procedures
  • evaluate returns to operations
  • determine long and short-term organisational needs
  • review financial performance across an organisation


well-developed communication skills to:
• evaluate an organisation’s financial performance, using questioning of personnel and management for confirmation
• liaise with others, share information, listen and understand
• use language and concepts appropriate to cultural differences
• highly developed research skills for accessing and managing financial services information
• well-developed literacy skills for analysing financial information and performance indicators and preparing forecasts, financial options and clear written advice
• numeracy skills for financial calculations and analysis, estimating and forecasting
• IT skills for developing and using integrated financial systems, spreadsheets and databases and internet information
• learning skills to maintain knowledge of organisational performance best practice principles, processes and procedures
• problem solving skills to identify performance issues that have the potential to impact on organisations and to develop options to resolve these issues when they arise
• organisational skills, including the ability to plan and sequence work and correctly schedule financial performance monitoring and reporting


o techniques for developing long and short-term plans
o undertaking a SWOT analysis
o duties of auditors
o ethical considerations for compliance purposes
o financial legislation such as:
o taxable transactions
o reporting requirements
o principles of cash flow and budgetary control
o principles of cost-benefit analysis and use of forecasting techniques
o principles of internal control including statutory requirements
o principles of risk management
organisational structures and lines of management authority

Teaching Schedule

The total number of scheduled hours of teaching, learning and assessment involved in this course will include all planned activities. This will incorporate face to face classes (five hours per week) online learning and other forms of structured teaching and learning. The total scheduled hours includes the amount of effort required to undertake, evaluate and complete all assessments requirements, including observation of work performance, discussion with Facilitators and one on one sessions with students.
The nominal hours associated with this cluster are a guide only and represent the total teaching time and student effort required to successfully complete the course. This may include not only scheduled classes but also the amount of effort required to undertake, evaluate and complete all assessment requirements, including any non classroom activities.

The teaching schedule below incorporates the two co-delivered units.



WeekDateContent / ActivityAssessment

• Course requirements
• Course support documents
• Blackboard
• Overview of assessment requirements including Recognition of Prior Learning and Credit Transfers
• Grading
• Plagiarism
• Appeals
• Extensions
• Feedback
• Privacy
• Submission requirements
• Resubmission policy
• Where to get support
• Student responsibilities

Finance function. Overriding goal of financial management
Gearing. Operational and Financial Leverage



Frequency tables and histograms (grouped data) & Relative frequency distributions / histograms. Normal distributions and their qualities.
Measures of central tendency. Determining a compound growth rate.
Measures of dispersion
Share risk / Portfolio Risk

318/07/16Risk and return (Expected return: Shares / Portfolio) 

Correlation and regression Diversification: Systematic Vs Un-Systematic Risk
Share Beta
Capital Asset Pricing Model

501/08/16Share Beta
Capital Asset Pricing Model



68/08/16Weighted Average Cost of Capital

TASK 1HA Consultation and Feedback.


Working Capital: Operating / Cash Cycle & Inventory Management; EOQ & Reorder Point

TASK 1HA  Consultation and Feedback


PIT STOP review task 1HA (You are to have determined the Equity Beta of the selected proxy companies for the cycling project by start of this week)


Working Capital: Inventory management: EOQ with quantity discount and determining Safety Stock

TASK 1HA Consultation and Feedback

QUIZ FOUR.  It is preferred for  this task to be completed by the end of this week (Friday 5.00pm) Grading penalty will apply for quiz completion after this date



Mid Semester Break



Working Capital: Receivables Management

TASK 1HA Consultation and Feedback

PIT STOP review task 1HA (You are to have determined the entity wide WACC for the case study along with the EOQ and requisite inventory level for both bike type frames and compared them to the respective current order size & inventory level in the case study by the start of this week)




Capital Budgeting: NPV Cash Flow Construction
TASK 1HA Consultation and Feedback

QUIZ FIVE. It is preferred for this task to be completed the end of this week (Friday 5.00pm) Grading penalty will apply for quiz completion after this date.

PIT STOP review task 1HA (At this stage you should have determined the recommended discount to apply in order to incentivise cash sales, you should also have evaluated Foppi’s performance in the management of debtors by comparing the planned Debtors Turnover (DTO) with the current DTO.


Capital Budgeting & Risk; NPV Pure Play method for determining project specific risk

TASK 1HA Consultation and Feedback


PIT STOP review task 1HA (You are to have completed the NPV investment appraisal of the Service Dept redevelopment / retooling by this week

12 26/09/16

Evaluation of financial leases. Lease Vs borrow and buy

TASK 1HA Consultation and Feedback


PIT STOP review task 1HA (You are to have completed the PURE PLAY evaluation of the proposed online project by the start of this week)

13 03/10/16 TASK 1HA Consultation and Feedback



PIT STOP review task 1HA (You are to have completed the lease evalutaion of the servicing tools by the start of this week)

14 10/10/16 Consultation and FeedbackTASK 1HA SUBMISSION by the end of this week. If required you will receive the necessary feed back in weeks 15 & 16. The resubmission for this work is due by week 16 up to the end of week 17.
15 17/10/16 Consultation and Feedback

Check Blackboard "My Grades" for feedback and possible resubmission notice

1624/10/16Deferred and resubmitted assessmentsResubmissions of TASK 1HA

Learning Resources

Prescribed Texts

Financial Management. Principles and Applications. 5th Edition Revised. Pearson Clive Wilson, Bruce Keers, Andrew Medlen, Brian Walters


Other Resources

All materials for this cluster of units will be available in the Blackboard

Overview of Assessment

In order to achieve competency in this unit, you must provide:

Performance Evidence

Evidence of the ability to:

  • evaluate returns to operations using standard financial analysis and accounting techniques, and following organisational policy and procedures
  • determine long-term and short-term organisational needs
  • review and monitor financial performance across an organisation
  • assess risk strategies and make recommendations regarding financial performance

Knowledge Evidence

To complete the unit requirements safely and effectively, the individual must:

  • discuss techniques for developing long-term and short-term plans, and determining financial priorities
  • explain the purpose and key features of standard financial analysis techniques and business review processes
  • explain the role of audits in evaluating financial performance
  • discuss ethical considerations in evaluating financial performance
  • identify and explain the key features of financial legislation relating to the evaluation of financial performance
  • identify and explain the key principles of:
    • cash flow and budgetary control
    • cost–benefit analysis and use of forecasting techniques
    • internal control, including statutory requirements
  • outline the key features of organisational structures and lines of management authority
  • discuss strategies for risk identification and management

Assessment Conditions

Assessment must be conducted in a safe environment where evidence gathered where evidence gathered demonstrates consistent performance of typical activities experienced in the accounting field of work and include access to:

  • a range of common office equipment, technology, software and consumables
  • an integrated financial software system and data

You are advised that you are likely to be asked to personally demonstrate your assessment work to your teacher to ensure that the relevant competency standards are being met.


Feedback will be provided throughout the semester in class and/or online discussions.  You are encouraged to ask and answer questions during class time and online sessions so that you can obtain feedback on your understanding of the concepts and issues being discussed. Finally, you can email or arrange an appointment with your teacher to gain more feedback on your progress.

You should take note of all feedback received and use this information to improve your learning outcomes and final performance in the course. 

Assessment Tasks

You are required to complete 2  tasks. You must successfully complete the two tasks to be deemed competent in this unit.

TASK 1: Evidence portfolio: Online Quizzes (seven). - (Week 2, week 5, week 7, week 8, week 10, week 12, week 13)

These quizzes are to be completed online, they will be available in the "assessments" folder of the ACCT5317C Evaluate an Organisations Financial Performance BLACKBOARD (My Studies)
The quizzes will make up a portfolio of evidence, and will provide the formative assessment of the course. The quizzes will be denoted by the following "Quiz" 1 or 2...etc as the case may be. The evidence portfolio includes seven (7) individual online quizzes. Each quiz will focus on a particular topic or topics. The learner will need to progressively finish these quizzes as the various topics are completed. The "assessment" column of the teaching schedule above outlines the week in which the quiz will be first attempted. The specific quiz date within that week will be confirmed by your instructor a week prior to the quiz. The first attempt for each quiz will be a supervised in class assessment. There will be a total of three attempts ONLY allowed for each quiz. A practice quiz will be made available prior to the real quiz. It is recommended that the practice quiz is "practiced" prior to the real quiz. For purposes of grading; only your first attempt will count. If a candidate is not successful after the first attempt, the candidate will have a further two opportunities to satisfactorily complete the quiz. The remaining two attempts may be undertaken at any time up to 5.00pm Friday of the second week after the first attempt. These may be conducted outside of designated class times. ALL individual quizzes must be satisfactorily completed for the purposes of providing sufficient evidence to allow a judgement of overall competency to be made. The benchmark for “satisfactory completion” will be defined ahead of the assessment at each practice test.

TASK 1HA (Holistic Assignment)

This task is to be completed in teams of two.
This task comprises the holistic assessment of the course. You will need to draw on all topics to solve the various problems within the case. In this case, you are an operative in an accounting firm and Causto Foppi a small business owner has approached you with a number of difficulties he is experiencing with his business and requires for you to carry out a financial evaluation of his business with a view to identifying the problem areas and providing recommendations to Louie in order to rectify his difficulties. You will need to supply Louie with a final report outlining your findings and recommendations. The report will need to be supported with the relevant calculations.
There will be an illustrative case study introduced into the class which parallels the assignment case. The illustrative case will provide a vehicle which demonstrates the practical application of the techniques learned in prior weeks and through the formative assessments. It is expected that students will make significant in class contributions related to solving the illustrative case study. Students must have familiarised themselves with the specific aspects of the illustrative case prior to attending the class. These sessions are known as "flipped" class room sessions. These are important sessions for the purposes demonstrating employability skills, your contributions to these sessions will play a part in gaining bonus points which will then contribute to improving your grade.
Pitstop reviews of this assessment will be conducted throughout the semester. The purpose of these pitstops is to provide feedback on your progress in the assessments. To obtain effective feedback you must ensure that you have completed the assessments up to the point recommended as per the weekly course guide. If you are unable to attend or have your work reviewed in the class in those weeks you should submit your work progressively into the "Pit Stop Review" folder in the assessments area of the Blackboard. These pit stops are not compulsory but please be aware that they do afford an opportunity for feedback, and provide a plan for timely completion of the assessment. They also provide an avenue for your facilitator to confirm the authenticity of the work, if you have not completed a minimum of two pitstops during the semester you will be required to meet with your facilitator in week 16 for the purposes of demonstrating how you obtained / re-create findings from your assessment piece.
To be deemed competent in this task you must cover the following:
• use standard financial analysis techniques and accounting techniques plus organisational policies and procedures to evaluate returns to operations
• determine long and short-term organisational needs
• review financial performance across an organisation
• apply knowledge of statistical methods used in the financial services industry
• use financial data tools and calculations to produce accurate and informative statistical reports from data
• record and store data for retrieval

Submission Requirements

Assignment 1HA task needs to be submitted via Blackboard. Online Quiz Task is to be completed online . (Due week 14)

You should:

• Ensure that you submit assessments on or before the due date. If your performance in the assessment is affected by unexpected circumstances, you should consider applying for Special Consideration. Information on the process and application forms is available at;ID=ls0ydfokry9rz website.
• Always retain a copy of your assessment tasks. (hard copy and soft copy)
• When you submit work for assessment at RMIT University you need to use a cover sheet. An assignment cover sheet for submission of work for assessment is available on blackboard along with the assessment documents.
• Each page of your assessment should include footer with your name, student number, the title of the assessment, unit code and title and page numbers. For example, Angelo Sellan, 55460, Task 2HA, ACCT5317C Evaluate an Organisations Financial Performance, Page 1 of 10.

Marking Guide (competency):

Vocational Education and Training (VET) is based on current industry needs and the focus on preparing you for the workplace. Because VET courses are informed by practical application of knowledge and skills, they are based on a system known as ‘competency based training’ (CBT). So when you are assessed in VET it is about whether you are competent to do the job, as well as having a firm grasp on the knowledge and skills required to do that job, as opposed to traditional curriculum based education settings that are often based on knowledge retention.

You need to demonstrate you are competent in each element of the unit of competency you are studying.

You will receive feedback on each assessment task that will inform you whether you are competent or not and how well you are performing. Once competent in all elements of the unit you receive a competency grading.

Please refer to the Final Grades table below.

Marking Guide (Grading)

After achieving competency we then grade your performance in the unit; this gives you the opportunity to have the level of your performance formally recognized against industry standards and employability skills.

The grading is according to the following criteria: 90% of your grade will be dependent on the accumulated score of your FIRST attempt for every online quiz making up your portfolio of evidence. The remaining 10% will be dependent on your performance in the following employability skills.


We are looking for a high level of ability to complete all tasks independently as per the specifications as well as demonstrating a high level of initiative in your approach to your tasks. It is expected that assessments and assessment instructions are read carefully and followed. It is expected that the student regularly checks and reads course announcements.

We are looking for depth of understanding of the key concepts and knowledge required in completing your tasks. You should be able to demonstrate a thorough understanding of all applicable requirements in all the assessment tasks, although the quizzes will provide the main indicator of this criteria and will subsequently carry the greatest weighting related to grading.


We are looking for appropriate use of technology to assist in presenting all tasks clearly and suitable for the intended audience.

We expect to see timely submission of all required assessment tasks. Late submissions or missed deadlines will indicate poor performance in this area. We are also expecting students to be prepared for class exercises, this is particularly the case with performance in "flipped" class room sessions.


We expect to see contributions to relevant discussions and scheduled collaborative, and flipped class sessions, in these sessions students will be asked to provide solutions to problems, contribute to open discussion, report their findings to their colleagues. In addition your team tasks will provide opportunities to demonstrate how well you work in a team.
Final Grades table:

CHD Competent with High Distinction
CDI Competent with Distinction
CC Competent with Credit
CAG Competency Achieved – Graded
NYC Not Yet Competent
DNS Did Not Submit for assessment

Further information regarding the application of the grading criteria will be provided by your teacher.

Assessment Matrix

Other Information

Late Submission Procedures

You are required to submit assessment items and/or ensure performance based assessment is completed by the due dates.
If you are prevented from submitting an assessment item on time, by circumstances outside your control, you may apply in advance to your teacher for an extension to the due date of up to seven calendar days.
More Information:
Form to use:
Where an extension of greater than seven days is needed, you must apply for special consideration. Applications for special consideration must be submitted no later than two working days after the assessment task deadline or scheduled examination.
More Information:;ID=g43abm17hc9w
Form to use:

Resubmissions (VET Programs):
If you are found to be Not Yet Competent in a Course Assessment Task you will be allowed one resubmission only. Your teacher will provide feedback regarding what you need to do to improve and will set a new deadline for the resubmission. The highest grade you will receive if your resubmission is successful is “CAG”.
If you are still not meeting the assessment requirements you must apply to your Program Manager in writing outlining the steps you will take to demonstrate competence in your course. Your submission will be considered by the Program Team and you will be advised of the outcome as soon as possible.

For online COLLABORATE session, please ensure you have JAVE installed on your computer and headset and microphone.

Adjustments to Assessment
In certain circumstances students may be eligible for an assessment adjustment. For more information about the circumstances under which the assessment arrangements might be granted please access the following website:
More Information:;ID=7usdbki1fjf31

Course Overview: Access Course Overview