FINANCIAL MANAGEMENT

COURSE OUTLINE
FAITH School of Graduate Studies
SY 2020-21
LESSONS 1 & 2 – November 28, 2020
NATURE, PURPOSE & SCOPE OF FINANCIAL MANAGEMENT
EVALUATING OPERATING & FINANCIAL PERFORMANCE

• Significance of Financial Management

• Corporate Governance & Business Ethics
• Forms of Business Organization
• Analysis of Financial Statements
• Financial Ratio Analysis
LESSONS 1&2 – November 28, 2020
ACTIVITIES:

• Illustrative Case (Analysis of Financial Statements)

• Learning Activities (to be submitted before 5pm)
• The Rise & Fall of Enron -A Case Study/Analysis (
https://www.journalofaccountancy.com/issues/2002/apr/theriseandfallofenron.html) – for
submission on or before December 5
• Planning / Brainstorming
Choose a specific industry (banking, telecom, education,
hotel, etc) / companies
Get from SEC copies of Audited FS (comparative)
Determine industry standards (for submission on Dec 19)
LESSONS 3 & 4 – December 5, 2020 (LT 1)
PROFIT PLANNING AND COST VOLUME PROFIT ANALYSIS
SHORT TERM BUDGETING / FINANCIAL FORECASTING

• Contribution Margin
• CVP Sensitivity Analysis
• BEP Graph and CVP Graph
• The Budget Process
• Schedule of A/R & A/P
• Budgeting Models
LESSONS 5 & 6 – December 12, 2020 (LT 2)
SHORT TERM NON-ROUTINE DECISIONS
CAPITAL BUDGETING DECISION

• Relevant Costs
• Make or Buy Decision
• Accept or Reject a Special Offer & other Decisions
• Continue Operations or Shut Down
• Time Value of Money
• Concept of Cost of Capital
• Methods of Evaluating Investments
December 19, 2020

• Final Examination
• Submission of Final Requirement (FS Analysis Report)
COURSE REQUIREMENT
 
• Case Analysis / Assignments 30%
• Oral Presentation / Class Participation 30%
• Final Requirement 40%
(50% - Final Exam/ 50% - FS Analysis Report)