The purpose of the module is i) to provide an introduction to core accounting principles for financial reporting, financial analysis, and cost and budget management and decision making principles, and ii) to apply those principles applications to organisations. The module has two strands of focus: Financial Accounting, and Cost/Management Accounting. The former is concerned with accounting for financial activities and the subsequent construction and ratio analysis of key financial statements for financial reporting, including their inherent issues. The latter strand focuses on the internal activities of a business and associated operational information: determining the cost of products, services and activities, planning and control through budgeting, and decision making using CVP analyses.
The module aims to:
- Provide An essential underpinning in how business organisations account for and analyse their financial activities;
- Provide understanding and application accounting concepts and conventions within financial statements;
- Provide insight into the managerial issues associated with generating internal information for planning, decision making, and control; and
- Equip students with understanding and skills to generate and use internal financial information for the planning, control and decision making aspects of operations.
By the end of the module, students will have gained an appropriate knowledge and understanding of:
- Theoretical and conceptual underpinning of and frameworks for financial accounting and financial reporting;
- The nature, purpose and construction of core external financial reporting statements;
- Issues in revenue/expense recognition, asset valuation, recognition of liabilities;
- Financial ratio analysis: calculation and interpretation, including the use of Z scores for predicting corporate failure;
- The nature of full costing and associated issues in cost recognition and cost management;
- Planning and control through budgeting; and
- Decision-making using cost-volume-profit analysis.
- The nature, context and purpose of financial reporting;
- The Statement of Financial Position;
- The Income Statement;
- Recognition, valuation and adjustments;
- The Statement of Cash Flows;
- Interpretation and analysis;
- Introduction to costing & full costing;
- Budgeting for planning;
- Budgeting for control;
- Cost-Volume-Profit analysis
Individual Coursework 70%, Group Coursework 30%
Current students should refer to Moodle for specific details of the current year’s assessment.
Accounting and Finance: An Introduction, 9th edition, by Peter Atrill & Eddie McLaney, 2018, Pearson ISBN13: 9781292204482 SBN10: 1292204486