ACC10007 Financial Information for Decision Making

About this unit

The aim of this unit is to provide a framework for students to learn basic accounting concepts and show how these concepts can be applied to financial reports (for both internal and external use) that provide useful information for business evaluation and decision making. The unit has been designed to meet the needs of two broad categories of students. For those intending to take further studies in accounting, this unit will serve as an essential foundation and preparation for that continued study. For those who do not intend to take further units in accounting, the experience gained from this unit will be invaluable to their future business career. Whatever aspect of business students intend to specialise in, they will need to be familiar with the concepts and principles underlying the practice of accounting. Such knowledge will enable students to understand the importance of financial information in decision making and thereby provide them with the necessary financial literacy for their future role in the world of business.

Content

Topics will include:

  • Business Reporting - Financial reporting – Introduction to financial reports and their use in decision making
  • Business Reporting - Recording & reporting business transactions using accrual accounting 
  • Business Reporting – Preparation and use of Cash Flow Statement 
  • Performance Assessment - Analysis & Interpretation of Financial Reports 
  • Performance Assessment - Introduction to Performance Evaluation – business unit & business unit manager
  • Business Planning - Role of Budgets & Budget Preparation – focus on cash budget 
  • Business Planning - Revenue & Cost Determination
  • Business Planning - Cost Behaviour & Cost Volume Profit Analysis (CVP)
  • Business Planning - Operational Decision Making