Course Title: Evaluate organisation's financial performance

Part B: Course Detail

Teaching Period: Term1 2017

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

Upasana Mahajan

03 9925 5460


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 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.

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 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.



Content / Activity                                                   




• 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




Risk and return (Expected return: Shares / Portfolio)




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




Share Beta 
Capital Asset Pricing Model




Weighted 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 three.  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




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

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



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)



 TASK 1HA Consultation and Feedback




 Consultation and Feedback

TASK 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.



 Consultation and Feedback

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



Deferred and resubmitted assessments

Re-submissions of TASK 1HA





Break: The mid-semester break is between Thursday, 13/4/2017 and Wednesday, 19/4/2017

** The teaching schedule may be subject to change. You will be advised in class and via blackboard if changes become necessary.

 The nominal hours associated with this 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 bit also the amount of effort required to undertake, evaluate and complete all assessment requirements, including any non-classroom activities.




Learning Resources

Prescribed Texts

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


Other Resources

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 each unit of the two tasks to be deemed competent in this unit.


TASK 1: Evidence Portfolio; Online Quizzes (four). Due Dates - Week 2, 7, 8, 12 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 four (4) 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) - Due Date - week 14 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 Course Offering Details 23-01-2017 13:06:36 Australian Eastern Daylight Time (Victoria) 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 . 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.

  1. LEVEL OF INDEPENDENCE, INITIATIVE, ENTERPRISE AND PERFORMANCE OF WORK TASK 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.
  2. DEMONSTRATED BREADTH OF UNDERPINNING KNOWLEDGE AND A WILLINGNESS TO CONTINUE LEARNING 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.
  3. TECHNIQUES & PROCESSES, TECHNOLOGY SKILLS AND PROBLEM SOLVING We are looking for appropriate use of technology to assist in presenting all tasks clearly and suitable for the intended audience.
  4. WORK ORGANISATION, PLANNING AND SELF MANAGEMENT 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.
  5. COMMUNICATION, PEOPLE NETWORKING, LANGUAGE AND INTERPERSONAL SKILLS AND TEAMWORK 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

The assessment matrix that maps all the assessment is available on Blackboard.

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