Course Title: Apply economic principles to work in the financial services industry
Part B: Course Detail
Teaching Period: Term1 2012
Course Code: ECON5049C
Course Title: Apply economic principles to work in the financial services industry
School: 650T TAFE Business
Campus: City Campus
Program: C6113 - Advanced Diploma of Accounting
Course Contact : Arie Herrnstadt
Course Contact Phone: +61 3 9925 5897
Course Contact Email:arie.herrnstadt@rmit.edu.au
Name and Contact Details of All Other Relevant Staff
Arie Herrnstadt
+61 3 9925 5897
arie.herrnstadt@rmit.edu.au
Contact time by appointment
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
None.
Course Description
This unit describes the performance outcomes, skills and knowledge required to apply broad principles of financial economics that underpin a range of tasks and functions in the financial services industry. It includes understanding how financial instruments are priced in markets and techniques and processes government and organisations use to manage financial risk demonstrating broad knowledge of economic theories and related decision-making in a national and organisational economic context.
No licensing, legislative, regulatory or certification requirements apply to this unit at the time of endorsement.
Ideally each student group should have access to a laptop. It is however recommended that you have access to a mobile computing device to allow greater flexibility in terms of where you can work on campus both in and outside class times.
National Codes, Titles, Elements and Performance Criteria
National Element Code & Title: |
FNSINC601A Apply economic principles to work in the financial services industry |
Element: |
1. Identify economic principles and theories related to financial services functions and tasks 2. Evaluate economic aspects that apply to decision making 3. Review own work 4. Maintain a personal understanding of economic policies |
Performance Criteria: |
1. Identify economic principles and theories related to financial services functions and tasks |
Learning Outcomes
Learning Activities
In-class activities will account for 51 of the 60 nominal hours allocated to this course and will include lectures, tutorial exercises and class discussion. The remaining 9 hours of self-directed learning will be taken up with work on the assignment outside scheduled class.
Details of Learning Activities
In-class activities will account for 51 of the 60 nominal hours allocated to this course and will include lectures, tutorial exercises and class discussion. The remaining 9 hours of self-directed learning will be taken up with work on the assignment outside scheduled class.
Teaching Schedule
Students are expected to check their student email and myRMIT online at least weekly for messages. If absent from class you are also responsible for keeping up with any changes and for downloading and reading notes that you have missed.
The nominal hours and topic sequence below is 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.
| Week | Starting | Topics | Elements | Assessment |
| 1 | 6th Feb | Economics as a tool for accountants. Basic economic principles. | 1 | |
| 2 | 13th Feb | Break-even pricing | 1 | |
| 3 | 20th Feb | Demand factors and market/equilibrium prices | 1 | |
| 4 | 27th Feb | Supply factors and market prices | 1, 3 | Asses 1 due |
| 5 | 5th March | Reasons for market/equilibrium price changes | 1 | |
| 6 | 12th March | Effect of market structures on pricing | 1 | |
| 7 | 19th March | Factors determining macroeconomic activity: circular flow of income | 2 | |
| 8 | 26th March | Measuring economic activity for decision making: the business cycle | 2 | |
| 9 | 2nd April | Stages of the business cycle and their distinguishing features | 2 | |
| 9 | 9th April | Stages of the business cycle and their distinguishing features | 2 | |
| 10 | 16th April | Australian financial industry: regulations and capital requirements | 1 | |
| 11 | 23rd April | Reducing business cycle fluctuations using monetary policy | 2, 4 | |
| 12 | 30th April | Reducing business cycle fluctuations using fiscal policy | 2, 4 | Assess 2 due |
| 13 | 7th May | Revision | ||
| 14 | 14th May | Test | Assess 3 | |
| 15 | 21st May | Feedback on assignment and/or test | ||
| 16 | 28th May | Re-submissions if required |
Learning Resources
Prescribed Texts
References
Di Stasio & Georgeson, Apply Economic Principles to work in the financial services industry, Better Teams Publications |
9781921579219 |
Layton, Robinson & Tucker, Economics for Today, 3rd Ed, Cengage Learning |
9780170137089 |
Other Resources
Learning support materials are made available on myRMIT/Online Learning Hub www.rmit.edu.au/online. Access to an Internet connected computer outside of class times – Internet connected computers are available in the Business Portfolio labs on Level 3 of Building 108, 239 Bourke Street Melbourne.
Overview of Assessment
Assessment may incorporate a variety of methods including technical requirements documentation, homework, assignments, group and/or individual projects, in class exercises, written and practical tests, problem solving exercises, presentations, direct observation of actual and simulated work practice, presentation of a portfolio of evidence which may comprise documents, and/or photographs and/or video and audio files, review of products produced through work-based or course activities.
Students are advised that they are likely to be asked to personally demonstrate their assessment work to their teacher to ensure that the relevant competency standards are being met. Students will be provided with feedback throughout the course to check their progress
Assessment Tasks
You are required to complete 3 tasks. You must successfully complete all 3 tasks to be deemed competent in this unit.
TASK 1 (Due Week 4)
You are assessing the reason for the share price of a firm in your selected industry using a bottom-up analysis
• Demand factors influencing the price of the firm’s products
• Supply factors influencing the price of firm’s products
• Industry structural factors influencing the firm’s prices
TASK 2 (Due Week 12)
Using your selected firm and industry, state the macroeconomic factors that influence the profitability and share price of the firm. You will need to consider factors such as the stage of the business cycle that the economy is in (with evidence), fiscal and monetary policies and how they may affect the business environment.
You will also advise the firm’s manager whether or not obtaining finance to expand the business is feasible, given the economic environment that you have described above.
TASK 3 (Week 14)
Test
Assessment Matrix
Other Information
Submission Requirements
Assessment tasks need to be submitted via Blackboard.
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 http://rmit.edu.au/browse;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 that includes a declaration and statement of authorship. You must complete, sign and submit a cover sheet with all work you submit for assessment, whether individual or group work. On the cover sheet you declare that the work you are presenting for assessment is your own work. An assignment cover sheet for submission of work for assessment is available on blackboard.
• 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, Julie Macpherson, s324567, Task 2, MKTG6077C Sell financial products, 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 of 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 state 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 recognised against industry standards and employability skills.
The grading is according to the following criteria:
1. LEVEL OF INDEPENDENCE, INITIATIVE, ENTERPRISE AND PERFORMANCE OF WORK TASK
Demonstrates a high level of ability to complete all tasks independently as per the specifications, a high level of initiative in applying economic principles.
2. DEMONSTRATED BREADTH OF UNDERPINNING KNOWLEDGE AND A WILLINGNESS TO CONTINUE LEARNING
Demonstrates depth of understanding of the key concepts and knowledge required in applying economic principles.
3. TECHNIQUES & PROCESSES, TECHNOLOGY SKILLS AND PROBLEM SOLVING
Shows understanding of the kinds of problems that can arise in applying economic principles and how these may be addressed.
4. WORK ORGANISATION, PLANNING AND SELF MANAGEMENT
Demonstrates effective planning, manage and organise time through appropriately using a diary, submitting their assessments within deadlines.
5. COMMUNICATION, PEOPLE NETWORKING, LANGUAGE AND INTERPERSONAL SKILLS AND TEAMWORK
Contribute constructively and clearly to relevant group and class discussions. Also demonstrating good techniques in collecting and providing information in order to appropriately applying economic principles. .
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.
Course Overview: Access Course Overview