Course Title: Manage budgets and financial plans

Part B: Course Detail

Teaching Period: Term1 2009

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 assist students in this process.


Teaching Schedule

This Weekly Schedule may be subject to change. Students will be advised of the changes.


Teaching Schedule

WEEKWeek BeginningTopic as per student course guideClasswork and Assessment
1FEB 9Overview of course
Topic 1 - Introduction to Financial Decision Making Introduction to course including review of course guide, weekly program and assessment guide and DLS
 Reid - Chapter 1, pages 2-23
Review Questions 1, 5, 9, 10 & 20
Self Quiz Questions 1-12
Activities 1-5
DLS – Topic 1
2FEB 16Topic Two - Business Structures and RegulationsReid - Chapter 2, pages 28-51
Review Questions 1-13, 15, 18-23
Self Quiz Questions 1-10
Activities 1-10
DLS – Topic 2
3FEB 23

Topic Three - The accounting process


Topic Four - Measuring and reporting financial position (Balance sheet)

As Above for Reid (related topic)
DLS – Topics 3, 4 & 5
4MARCH 2Topic Four - Measuring and reporting financial position (Balance sheet)
Topic Five - Measuring and reporting financial performance (Income Statement)
As Above for Reid (related topic)
DLS – Topics 3, 4 & 5
5MARCH 9

Topic Five - Measuring and reporting financial performance (Income Statement)


Topic Six - Measuring and reporting cash flows

As Above for Reid (related topic)
Chapter 13, pages 350-351
DLS – Topics 3, 4 & 5

Assignment available
6MARCH 16Topic Seven - Budgets and plans and the development of a budgetReid – Chapter 6, pages 148-154
Reid – Chapter 13, pages 336-353
Reid – Chapter 15, pages 379-408
Reid – Chapter 3, pages 57-85
Review Questions
Chapter 6; 1-6
Chapter 13; 1-3, 6, 9
Chapter 15; 1, 4-5, 7
Chapter 3; 1, 3-5, 9-10
Self Quiz Questions
Chapter 6; 1-5
Chapter 13; 1-2, 4-7
Chapter 15; 1, 3-4, 6-10
Chapter 3; 1, 4, 6, 8, 12-16
Activities
Chapter 6; 1-5
Chapter 13; 1-2, 4-5, 7 & case study 13.1
Chapter 15; 1-2, 4-10
Chapter 3; 1-3, 6-7, 9
DLS – Topic 7

Test One
7MARCH 23Topic Seven - Budgets and plans and the development of a budgetAs Above for Reid (related topic)
DLS – Topic 7
8MARCH 30Topic Seven - Budgets and plans and the development of a budget
 As Above for Reid (related topic)
DLS – Topic 7
9APRIL 6Topic Eight - Communication and the budgeting process



Topic Nine - Risk Management
 Reid – Chapter 4, pages 104-115
Review Questions
Chapter 4; 2-4
Self Quiz Questions
Chapter 4; 1-4
Activities
Chapter 4; 1-2 & case studies 4.2-4.3
Reid – Chapter 6, pages 154-164
Review Questions
Chapter 6; 7-9
Self Quiz Questions
Chapter 6; 6-7
Activities
Chapter 6; 7-9
Reid – Chapter 5, pages 122-127
Review Questions
Chapter 5; 1-5
Self Quiz Questions
Chapter 5; 1, 3-4
Activities
Chapter 5; 1-3
DLS Topics 8 & 9
10APRIL 20Topic Ten - Monitoring budgets and financial plans Reid – Chapter 8, pages 205-218
Review Questions
Chapter 8; 9-18
Self Quiz Questions
Chapter 8; 10, 12-16
Activities
Chapter 8; 4-7, 12
DLS Topic 10
11APRIL 27Topic Eleven - Techniques for financial analysis

Reid – Chapter 14, pages 358-362
Reid – Chapter 16, pages 415-435
Review Questions
Chapter 16; 2-9, 11-15, 17, 19-23
Self Quiz Questions
Chapter 16; 1-10, 13-14
Activities
Chapter 16; 1-8, 11
DLS Topic 11


Test Two

12MAY 4Topic Eleven - Techniques for financial analysis As Above for Reid (related topic)
DLS – Topic 11
13MAY 11Topic Eleven - Techniques for financial analysis As Above for Reid (related topic)
DLS – Topic 11
14MAY 18Topic Twelve - Variance Analysis

Reid – Chapter 5, pages 137-143
Review Questions
Chapter 5; 14, 15, 17, 19
Self Quiz Questions
Chapter 5; 9-10
Case Study 5.1
Reid – Chapter 9, pages 232-252
Review Questions
Chapter 9; 1, 7-8
Self Quiz Questions
Chapter 9; 1, 4-6
Activities
Chapter 9; 1-4
DLS Topic 12


Assignment due

15MAY 25Topic Twelve - Variance Analysis As Above for Reid (related topic)
DLS – Topic 12
16JUNE 1Topic Thirteen - Remedial action for restructuring of budgetsReid – Chapter 11, pages 285-292
Review Questions
Chapter 11; 7-9
Self Quiz Questions
Chapter 11; 4
Activities
Chapter 11; 5-6

Reid – Chapter 10, pages 269, 271-274
Review Questions
Chapter 10; 9
Self Quiz Questions
Chapter 10; 5
Activities
Chapter 10; 3
DLS Topic 13
17JUNE 8Revision Test Three
18JUNE 15Retests/ResitsResits/Retests

The references to the text book, Reid relate to the latest edition. The references to Reid in the DLS under each topic in the “learning resources” and the “learning activities” sections relate to the previous edition. Please follow the latest references as indicated above.


 


Learning Resources

Prescribed Texts

“Managing Finance, Manage Budgets and Financial Plans” by Anandarajah, Aseervatham and Reid. Prentice Hall, 4th edition, 2009


References


Other Resources

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

2. 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

To pass this course, students must submit and pass each individual assessment task and achieve competencies in all course elements and have a total mark of not less than 50%.

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. 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 TestAssignment
BSBMGT504A/1 Communicate budget and financial plans

X

X

BSBMGT504A/2 Monitor and control activities against plans

X

X

BSBMGT504A/3 Report outcomes of financial plans

X

X

Other Information

Missed Assessment

If a student misses an assessment or due date for ANY REASON, they must complete a special consideration application as detailed below. Please note that applications must be submitted through the Hub on RMIT Melbourne campuses within 2 working days of the assessment deadline or scheduled assessment.

IT IS EXPECTED THAT STUDENTS WILL SHOW THEIR TEACHER THE WRITTEN RECEIPT GRANTING A DEFERRED ASSESSMENT AS SOON AS IT IS RECEIVED so it can be recorded.

Special Consideration (the full policy can be found at http://www.rmit.edu.au/browse;ID=g43abm17hc9w. This site includes a link to the application form).

Course Overview: Access Course Overview