This is a solution of Unit 1 Managing Financial Resources & Decisions in which we discuss Developing business

Introduction

This Unit 1 Managing Financial Resources & Decisions is designed to give learners a broad understanding of the sources and availability of finance for a business organisation. Learners will learn how to evaluate these different sources and compare how they are used.

They will also learn how financial information is recorded and how to use this information to make decisions for example in planning and budgeting.

Students of this unit will gain an understanding of where and how to access sources of finance for a business, and the skills to use financial information for decision making. Upon completing the unit, learners will understand the sources of finance available to a business; understand the implications of finance as a resource within a business; be able to make financial decisions based on financial information, and; be able to evaluate the financial personal performance of a business.

Decisions relating to pricing and investment appraisal are also considered within the unit. Finally, learners will learn and apply techniques used to evaluate financial performance.

Aim:

The unit aim is to provide learners with an understanding of where and how to access sources of finance for a business, and the skills to use financial information for decision making.

 Key Objectives:

  • Identify the sources of finance available to a business
  • Examine the  implications of the different sources
  • Select appropriate sources of finance for a business reseach  project
  • Evaluate the costs of different sources of finance
  • Explain the role of financial planning
  • Analyse  the information needs of different decision makers
  •  Explain how different types of finance and their costs appear in the financial statements of a business;
  • Analyse and monitor cash and other budgets make appropriate decisions
  • Calculate unit costs and make pricing decisions
  • Assess the viability of a project using investment appraisal techniques
  • Explain the purpose of main financial statements
  • Compare and contrast the formats of financial statements for different types of business such as sole trader, partnership and company.
  • Analyse key accounting ratios for profitability, liquidity, efficiency and investment and compare both internal and external.

Learning Outcomes and assessment criteria:

On successful completion of this unit a learner will:

  1. Understand the sources of finance available to a business

1.1 identify the sources of finance available to a business

1.2 assess the implications of the different sources

1.3 evaluate appropriate sources of finance for a business project

  1. Understand the implications of finance as a resource within a business

2.1 analyse the costs of different sources of finance

2.2 explain the importance of financial planning

2.3 assess the information needs of different decision makers

2.4 explain the impact of finance on the financial statements

  1. Be able to make financial decisions based on financial information

3.1 analyse budgets and make appropriate decisions

3.2 explain the calculation of unit costs and make pricing decisions using relevant information

3.3 assess the viability of a project using investment appraisal techniques

  1. Be able to evaluate the financial performance of a business

4.1 discuss the main financial statements

4.2 compare appropriate formats of financial statements for different types of business

4.3 interpret financial statements using appropriate ratios and comparisons, both internal and external.

Knowledge and Understanding:

  1. Identify and explain the sources of finance available to a business
  2. Assess the implications of finance as a resource within a business
  3. Know how to make financial decisions based on financial information
  4. Evaluate the financial performance of a business

Indicative content:

  1. Understand the sources of finance available to a business

Range of sources: sources for different businesses; long term such as share capital; retained earnings; loans; third-party investment; short/medium term such as hire purchase and leasing; working capital stock control; cash management; debtor factoring

Implications of choices: legal, financial and dilution of control implications; bankruptcy.

Choosing a source: advantages and disadvantages of different sources; suitability for purpose e.g. matching of term of finance to term of project

  1. Understand the implications of finance as a resource within a business

Finance costs: tangible costs e.g. interest, dividends; opportunity costs e.g. loss of alternative projects when using retained earnings; tax effects

Financial planning: the need to identify shortages and surpluses e.g. cash budgeting; implications of failure to finance adequately; overtrading

Decision making: information needs of different decision makers

Accounting for finance: how different types of finance and their costs appear in the financial statements of a business; the interaction of assets and liabilities on the balance sheet and on international equivalents under the International Accounting Standards (IAS). Read more : University of Bath Assignment Help

  1. Be able to make financial decisions based on financial information

Budgeting decisions: analysis and monitoring of cash and other budgets;

Costing and pricing decisions: calculation of unit costs, use within pricing decisions; sensitivity analysis;

Investment appraisal: payback period; accounting rate of return; discounted cash flow techniques i.e. net present value; internal rate of return;

Nature of long-term decisions: nature of investment importance of true value of money; cash flow; assumptions in capital investment decisions; advantages and disadvantages of each method.

  1. Be able to evaluate the financial performance of a business

Terminology: introduction to debit, credit, books of prime entry, accounts and ledgers, trial balance, final accounts and international equivalents under the International Accounting Standards (IAS);

Financial statements: basic form, structure and purpose of main financial statements i.e. balance sheet, profit and loss account, cash flow statement, notes, preparation not required; changes to reporting requirements under the International environment of Accounting Standards (IAS) e.g. statement of comprehensive income, statement of financial position; distinctions between different types of business i.e. limited company, partnership, sole trader;

Interpretation: use of key accounting ratios for profitability, liquidity, efficiency and investment; comparison both external i.e. other companies, industry standards and internal i.e. previous periods, budget

Btec HND Assignment Help Australia provide best quality assignment writing service in affordable prices and we are providing most flexible assignment writing according to Students need, so book your Assignment with us, Order Now

Maddox Smith

Hey,
Greetings for the day !
Hope that you’re well !

We want to introduce ourselves as a team of professionals who are into academic writing for the last 10+ years. We can provide assignment assistance in all subjects. Our experts can provide solutions across all the topics right from Management, HR, Marketing, Finance & Accounts, Statistics, IT, childcare, nursing, law, and general writing. We provide plagiarism free work and also send a ‘Turnitin’ report along with completed work. Our services are available at reasonable cost; we entertain amendment requests from clients without any extra charges.

Our Feature Included

Ø Every assignment includes graphical representation like pie chart, bar graph, smart art and all.
Ø Free 0% plagiarism report
Ø Expert team for technical work as well.
Ø On time delivery
Ø Multiple rework facility
Ø Huge team of expert in each subject
Ø Referencing like: Harvard, APA, MLA, Oscola, automatic referencing all are familiar to our experts.

Subject we cover: Math , finance, economics, accounts, civil engineering, mechanical engineering, IT, Computer science, electrical and electronics engineering, history, geography, political science, sociology, physiology, philosophy, biology, microbiology, biotechnology, biotechnology, B-school assignments, project report, psychology, nursing assignments, medical assignments, Tourists and travelling assignments all kinds of dissertation and so on

Best Regards:
Oz Paper Help
WhatsApp:+1 585-666-2225
Email:ozpaperhelp@gmail.com
www.ozpaperhelp.com
www.cheapassignmenthelp.co.uk
www.freeassignmenthelp.com

https://www.ozpaperhelp.com/
1 Step 1
GET INSTANT ASSIGNMENT HELP BY PHD EXPERTS FROM UNITED KINGDOM
keyboard_arrow_leftPrevious
Nextkeyboard_arrow_right