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DISCONTINUED: Financial Analysis and Decision Making

Financial Analysis and Decision Making has been discontinued. This module is not currently being run on any WMG programme.

Introduction

Financial Analysis and Decision Making provides a financial framework to underpin the life cycle approach of managing complex projects over a long time-scale. The module provides a foundation from which a participant will be able to achieve a financial perspective over the life of a project. The module considers the fundamental accounting structures necessary to provide sound information on which decisions to make based on accounting criteria, or, to support decision-making processes where accounting information underpins other decision-making priorities.

Objectives

  • Explain the structure, function and significance of the key accounting statements, and their relationship to one another, and critically evaluate the information obtained therein.
  • Be critically aware of, and be able to evaluate, key metrics, including appropriate boundaries for relevant applications and future developments in this area.
  • Apply and examine critically decision-making techniques aligned to investment appraisal. Evaluate suitable funding mechanisms, including alternative sources of funding, shared funding, and risk and project development.
  • Create business cases to justify expenditure.
  • Evaluate alternative management accounting methodologies and their application as relevant.

Content

  • Control of Business Resources: (Principle financial statements: Balance Sheets, Income Statements, Cash Flow Statements, structure, content, assessment and reporting of profits, accounting concepts and paradigms,)
  • Financial Performance Measurement: (methods of reporting financial results, both internal and external metrics, business plans, budgetary control systems and techniques)
  • Management Accounting Techniques: (Cost Behaviour and techniques to ascertain, recover and control costs, Absorption Costing, Marginal Costing, Life Cycle Costing, Activity Based Costing and Activity Based Cost Management)
  • Investment Appraisal Techniques: (Different methods of Investment appraisal, and surrounding issues as appropriate, including for example inflation, and post audit completion)
  • Sources of Finance: (Alternative funding mechanisms, long and short term sources of funds, shared sourcing etc.)
  • Financial Reporting: (Regulatory environment, Standards, Stock Exchange requirements, Corporate Governance, International and global issues as relevant,)
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