Managing Financial Resources and Decisions

Introduction

Managing Financial Resources and Decisions in company management is keen to evaluate different sources of finance available and takes it seriously the implications of using each of the sources not only in financial terms but also in legal and economic terms. While you are working as a responsible accountant of the company, your job description also include assistance in strategic decisions by supplying financial resources and information for planning and budgeting that eventually leads to decisions relating to pricing of products/services the company offers to the customers. Obviously, a major area for your preparation of financial reports includes investment appraisal where a range of techniques are used to assess relative performance of alternative projects undertaken and other potential projects. Therefore you are exposed to the following set of problems:

LO1 Understand the sources of finance available to a business    

AC1.1 Describe the different users of financial statements and their needs     

AC1.2 Assess the implications of the different sources 

AC1.3 Evaluate appropriate sources of finance for a business project

LO2 Understand the implications of finance as a resource within a business

AC2.1 Analyze the costs of different sources of finance

AC2.2 Explain the importance of financial planning

AC2.3 Assess the information needs of different decision makers

AC2.4 Explain the impact of finance on the financial statements

Grab more relevant solution for Managing Financial Resources and Decision >>>

LO3 Be able to make financial decisions based on financial information

AC3.1 Analyze budgets and make appropriate decisions

AC3.2 Explain the calculation of unit costs and make pricing decisions using relevant information

AC3.3 Assess the viability of a project using investment appraisal techniques

LO4 Be able to evaluate the financial performance of a business

AC4.1 Discuss the main financial statements

AC4.2 Compare appropriate formats of financial statements for different types of business

AC4.3 Interpret financial statements using appropriate ratios and comparisons, both internal and external.