Course Title: Manage budgets and financial plans

Part B: Course Detail

Teaching Period: Term2 2008

Course Code: ACCT5144C

Course Title: Manage budgets and financial plans

School: 650T TAFE Business

Campus: City Campus

Program: C5130 - Diploma of Business

Course Contact : Theresa Lyford

Course Contact Phone: +61 3 9925 5444

Course Contact Email:Theresa.Lyford@rmit.edu.au


Name and Contact Details of All Other Relevant Staff

Nominal Hours: 100

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

None

Course Description

This unit covers all of the significant aspects of financial management for operational managers who are not financial specialists. It includes the preparation & analysis of financial reports and emphasises the communication of financial objectives through budgets, consistent surveillance of budget performance, and early intervention where required.


National Codes, Titles, Elements and Performance Criteria

National Element Code & Title:

BSBMGT504A Manage budgets and financial plans

Element:

1. Communicate budget and financial plans

Performance Criteria:

1.1 Budget/financial plan communication package reviewed by finance specialists
1.2 Package is amended/revised where appropriate
1.3 Training activities are undertaken with users of the budget and plans across the organisation
1.4 All data and terms are defined and understood by the users of the plans
1.5 Communication outcomes are tested to ensure clear understanding of objectives, processes and accountabilities

Element:

2. Monitor and control activities against plans

Performance Criteria:

2.1 Delegations and budget accountabilities are confirmed in writing prior to budget period
2.2 Funds are allocated in accordance with budget objectives and parameters
2.3 Recording systems and documentation meet all audit requirements and legal obligations
2.4 Risk management plans are implemented and contingency plans in place for all financial plans
2.5 Performance is monitored and variances identified on a real time basis
2.6 Variances are analysed in conjunction with relevant experts to determine cause and effect
2.7 Remedial action is taken swiftly to minimise negative impact and maximise benefits
2.8 Budgets and plans are renegotiated/restructured where necessary to optimise organisational performance

Element:

3. Report outcomes of financial plans

Performance Criteria:

3.1 Records of financial performance are properly maintained within organisational systems
3.2 Financial performance is analysed and reported in a form and language appropriate to the audience
3.3 Non financial objectives are reported in the context of overall organisational performance
3.4 Strategies and plans are reviewed and updated to optimise organisational performance


Learning Outcomes


The oucomes includes knowledge of all aspects of business operations in which financial management and decision-making occurs, including period activities relating to revenue expenditure and cash flow management, as well as capital expenditure proposals and capital budgeting.


The role of the operational manager as a communicator and trainer in respect to the implementation of the budget needs, should also be studied, along with regular and quality reporting of budget performance.  Evidence of analysis of budget performance and follow up action will be an outcome of this course.


Details of Learning Activities

Class time will include a short lecture which will provide students with the concepts required to gain the required underpinning skills and knowledge, then students will be given the opportunity to complete selected exercises and scenarios to build on those skills and knowledge which should build competence in the elements required for this course. The use of online resources and the assignment will also students in this process.


Teaching Schedule

Week Week Beginning Topic as per Student Course GuideClasswork and Assessment
1July 7

Overview of course

Topic 1 Introduction to Financial Decision Making Introduction to course including review of course guide, weekly program and assessment guide and DLS

Knowledge and skills exercises
Reflections.
2 Juy 14Topic Two Business Structures and Regulations
 Knowledge and skills exercises
Reflections
3Juy 21

Topic Three The accounting process

Topic Four Measuring and reporting financial position (Balance sheet)

Knowledge and skills exercises
Reflections
 4

July 28 

Topic Four Measuring and reporting financial position (Balance sheet)

Topic Five Measuring and reporting financial performance (Income Statement)

Knowledge and skills exercises
Reflections
5August 4

Topic Five Measuring and reporting financial performance (Income Statement)

Topic Six Measuring and reporting cash flows

Knowledge and skills exercises
Reflections
Assignment available.
6 August 11Topic Seven Budgets and plans, the development of a budget.

Knowledge and skills exercises
Reflections

Test One

7August 18Topic Seven Budgets and plans, the development of a budget. Knowledge and skills exercises
Reflections
8 
August 25
Topic Seven Budgets and plans, the development of a budget  Knowledge and skills exercises
Reflections
September 8
Topic Eight Communication and the budgeting process Topic Nine Risk Management Knowledge and skills exercises
Reflections 
10 September 15
Topic Ten Monitoring budgets and financial plans Knowledge and skills exercises
Reflections 
11September 22Topic Eleven Techniques for financial analysis

Knowledge and skills exercises
Reflections

Test Two

12  September 29
Topic Eleven Techniques for financial analysis 
Knowledge and skills exercises
Reflections 
13October 6 Topic Eleven Techniques for financial analysis  Knowledge and skills exercises
Reflections
14October 13Topic Twelve Variance Analysis

Knowledge and skills exercises
Reflections

Assignment due. 

15  October 20
Topic Twelve Variance Analysis Knowledge and skills exercises
Reflections
16 October 27Topic Thirteen Remedial action for restructuring of budgets. Knowledge and skills exercises
Reflections
17November 3Revision Test Three
18 November 10
Review of the Unit  


Learning Resources

Prescribed Texts

Managing Finance, prepare and manage budgets and financial plans by Anandarajah, Aseervatham and Reid. Prentice Hall, 2005


References


Other Resources

Accounting an introduction. Atrill, McLaney, Harvey and Jenner 3rd ed. Prentice Hall, 2006 (available from the library)

Accounting , business reporting for decision making. Birt, Chalmers, Beal, Brooks, Byrne and Oliver 1st ed. Wiley & Sons, Australia 2005 (available from the library)


Overview of Assessment

Throughout this course interactive class exercises performed as a group, followed by discussion of the solutions and question & answer sessions will provide formative feedback to the students regarding their progress in achieving competency.

Assessment tasks may include individual in-class exercises, closed book class tests, assignments, question & answer activities and closed book exams.


Assessment Tasks

Each assessment task will be marked individually and the total marks will be your result for the course.


Assessment Tasks

Assessment 1 – In class theory test (worth 25%)
The first test will be at the completion of Topic Six in week six (6). The questions will assess the student’s knowledge and skills of Accounting, it’s regulatory environment, ethics, corporate governance and the basic reports produced by all reporting entities.

Assessment 2 – In class theory test (worth 25%)
The second test will assess Topics Seven to Nine in week eleven (11). The questions will assess the student’s knowledge and skills in the development of budgets and plans.

Assessment 3 – Assignment (worth 25%)
The assignment will be distributed during week five (5) of the semester and will need to be submitted by the end of week fourteen (14). The assignment is a simulation of the process for developing a budget, producing Each student will be given different numbers for the same exercise, so individual submissions are required.

Assessment 4 – In class theory test (worth 25%)
The final test will be in week seventeen (17) and will assess the work covered in Topics Ten to Thirteen, managing a budget, the techniques for financial analysis, monitoring of budgets and plans variances and remedial actions.


Assessment Matrix

 Theory Test

Assignment

BSBMGT504A/1 Communicate budget and financial plans

x

x

BSBMGT504A/1 Monitor and control activities against plans


 x

x

BSBMGT504A/1 Report outcomes of financial plans

x

x

Other Information

Late Submission of Work or Assessment
Only in cases of exceptional and genuine hardship (not including inconvenience or poor study planning), will limited extensions be considered. Students must lodge a completed Application for Extension Form before the official submission date for the work or assessment. Completed applications are be addressed to the course coordinator and submitted via Reception on Level 13, Building 108. Documentary evidence should be provided. Note: Extensions are not automatically granted.

Course Overview: Access Course Overview