Coursework Assessment Brief

Module title and code: Accounting and Finance for Executives

Component and type: Component B report
Assessment title: Business Report
Assessment weighting: 40% of total module mark
Size or length of assessment: 2,500 words (no +/- 10% to be used)
Module learning outcomes assessed by this task:
1. Critically evaluate the role of financial objectives for different stakeholders

within emerging to well-developed financial markets

2. Evaluate reported financial information to support complex management

decision making problems

3. Identify the main types of finance available to individuals and organisations,

how they can be sourced and their appropriateness to different investment

decisions
4. Recognise and address ethical dilemmas and corporate social

responsibility issues, applying ethical and organisational values to financial

situations and decisions
5. Evaluate the impact of the external environment on financial decision

making in organisations. The external environment includes legal, economic,

ethical, political, sociological and technological aspects

Completing your assessment

What am I required to do on this assessment?
You are required to obtain the latest annual report of a public limited company. This may be
a company you have worked for previously or would like to work for when you finish your
MBA. You want to find out as much information about the financial management decision
making style of the company from these reports.
You can obtain annual reports by going to the website of the company and looking under
‘investor relations.
You only need to print off the three main accounts contained within the annual report.
These accounts are The Income Statement, Statement of Financial Position (or Balance
Sheet) and Statement of Cash Flow. Using the information contained within these accounts
for the last two years, and with reference to relevant theories studied within the module
you are required to do the following:
1. Discuss the different long-term sources of finance available to companies and theories
that discuss their risk/return characteristics and optimum capital structure. With
reference to the accounts then discuss the of the chosen company and what this may
indicate about the company’s attitude to risk. Part of your answer to this question
should include calculation of a suitable gearing ratio.
2. Discuss relevant working capital management theories. Then calculate suitable working
capital ratios and discuss how efficiently the company is managing its short-term sources
of finance.
3. Assess the profitability and risk of the company and how attractive it appears to be to
potential investors.

Your mark will reflect.

i) The extent to which your essay demonstrates an understanding of underlying financial
theories introduced in the module; and
ii) The degree to which you are able to apply such theories in a real-world context.

Please note: You are being asked to undertake a financial analysis of the company. The
expected outcome of this assignment is a discussion of the different possible theories and
their application to the case study in order to identify the risk/return characteristics of the
company and the industry. You are expected to be able to demonstrate that you have read
and are able to synthesise academic literature.
Any Financial Accounting / Corporate finance textbook will be helpful for background
reading. However, you may find the following textbooks particularly helpful.

 Corporate Financial Management by Glen Arnold

 Fundamentals of Corporate Finance by Richard Brealey

 Corporate Finance and Investment by Richard Pike and Bill Neale

 Corporate Finance: Principles and Practice by Denzil Watson and Antony Head
Higher marks will also be gained by correct referencing to seminal articles. Harvard system
of referencing should be used.
Format
All work should be word processed in 12 point font Calibri and single spaced.
Please use the following file format(s)………. (Word)
lease ensure that you provide the following details on the first page of your coursework:

 Student Number
 Module Name and Number
 Word Count

Marking Scheme for the coursework

Area Marks

Section One:

 Discussion of the risk/return characteristics of internal equity,

loans, market debt, convertible debt and shares,

 Critical evaluation and synthesis of Pecking Order and Static

Trade Off theories.

 Discussion of the different sources of finance used by the

company and its application to the relevant theories.

 Calculation and evaluation of gearing ratio.

Marks out of 30

Section Two:

 Critical evaluation of aggressive to conservative working

capital management theories

 Calculation and evaluation of current ratio, liquid ratio,

inventory days, receivable days, payable days and cash
conversion cycle.
Marks out of 20.

Section Three:

 Calculation and evaluation of suitable profitability ratios

  Discussion of the external economic environment of the
company either using PEST analysis or an analysis of its
particular business model.
Marks out of 30

Introduction, Conclusion and presentation

Marks out of 20

Total mark out of 100

Marking Criteria

A+ (85-100%) Outstanding Pass; An outstanding piece of work of near

publishable quality

A (70-84%) Distinctive Pass; Excellent work that exceeds the requirement

of the module learning outcomes in all important dimensions

B (60-69%) Meritorious Pass; Very good work at M level – satisfied all

important requirements of assessment task and module
learning outcomes

C (50-59%) Pass; Good work at M level – student demonstrates

achievement against all learning outcomes but with some
limitations

D (45-49%) Marginal fail; Does not meet the required overall standard –
may have some good qualities but some learning outcomes not
met

E (0-44%) Fail; Contains significant flaws, few of the learning outcomes

for the module have been demonstrated

The module leaders cannot grant personal circumstances or extensions.