This module introduces the participant to the principles and practices of finance with a focus on fashion retailing sector. Effective performance in business is often related to effective management of departmental budgets. This module will attempt to demystify the financial principles managers require in everyday decision making. Students will learn how to apply the fundamentals of finance to provide a solid foundation for the practitioner. The importance of information systems as a source of accounting information is emphasised due to the reliance of retailers on information systems to store data for use in the business.
Financial Management
The role of financial management in business. Assessing various sources of finance. Equities and equity markets. Understanding financial markets and financial products.
Managing a Profit/Cost Centre
Introduction to various costing methods; Absorption; ABC; Marginal. Project costing and utilisation of payback; IRR; NPV; DCF methods.
Financial Control
Interpreting the Trading, Profit and Loss Account. Analysing the Balance Sheet. Understanding the importance of Cash Flow. Concept of Profit versus Cash. Terminology. Application of financial statements specific to the fashion industry.
Budgeting
Managing budgets. Consideration of different budgeting techniques including; incremental; rolling and zero-based. Use of budgets in decision making and forecasting.
Information Systems
Accounting and Information Systems. Using systems for accounting purposes. Reading/scanning statements. Implications for ordering systems.
Learning will be facilitated through a blended approach of conventional lectures, problem-based sessions, and computer-lab sessions.
| Module Content & Assessment | |
|---|---|
| Assessment Breakdown | % |
| Formal Examination | 60 |
| Other Assessment(s) | 40 |