Module Description:
This module is an introduction to how businesses are organised and funded. It also examines the role of accounting in business. Following on from Business Finance covered in Semester 1, this section of the module introduces the student to the key areas of financial accounting.
Module aim: The aim of this module is to develop an appreciation and basic understanding of the important role finance plays in running a business, from its inception through its various growth stages. The module aims to impart to the student a thorough understanding of the key financial issues associated with business development. The principal aim of the second section of the module is to develop a sound understanding of the key principles of financial accounting. Some preparation of accounts is involved but only as an aid to increasing the student’s overall understanding of accounting reports so that they can draw meaning from them and make correct interpretations of the information contained therein.
Introduction to business organisations and how they are funded Starting a business The growing business Large businesses The role of accounting in business The accounting equation Preparing simple balance sheets Profit and loss account for a sole trader Profit and loss accounting in a service business Accounting conventions Depreciation The role of cash in business The high profit/cash shortage paradox Introduction to accounting by limited companies Corporate reporting on the internet Analytical techniques Financial ratio analysis techniques
A variety of methods will be used including lectures, tutorials and group discussions. There will be a mix of formal teaching and up-to-date real life case studies.
| Module Content & Assessment | |
|---|---|
| Assessment Breakdown | % |
| Formal Examination | 80 |
| Other Assessment(s) | 20 |