Managing Financial Resources and Decisions - 1091 Words

UNIT 2: MANAGING FINANCIAL RESOURCES AND DECISIONS Unit 2: Unit code: QCF level: Credit value: Aim Managing Financial Resources and Decisions H/601/0548 4 15 credits 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. Unit abstract This unit 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 learn how financial information is recorded and how to use this information to make decisions for example in planning and budgeting. Decisions†¦show more content†¦ypes of business ie limited company, partnership, sole trader Interpretation: use of key accounting ratios for profitability, liquidity, efficiency and investment; comparison both external ie other companies, industry standards and internal ie previous periods, budgets BH023329 – Edexcel BTEC Levels 4 and 5 Higher Nationals specification in Business – Issue 1 – April 2010  © Edexcel Limited 2010 9 UNIT 2: MANAGING FINANCIAL RESOURCES AND DECISIONS Learning outcomes and assessment criteria Learning outcomes On successful completion of this unit a learner will: LO1 Understand the sources of finance available to a business Assessment criteria for pass The learner can: 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 LO2 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 LO3 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 LO4 Be able to evaluate the financialShow MoreRelatedManaging Financial Resources and Decision1445 Words   |  6 PagesManaging Financial Resources and Decisions-HND Assignment HND Assignment Managing Financial Resources and Decisions Scenario: Emaar Properties on Sunday announced to build a new hotel in Downtown area and that will be the second tallest property in the high-end area, according to chief executive officer for retail Arif Amiri. 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There are a number of sourcesRead MoreManaging Financial Resources And Decision Making3266 Words   |  14 PagesTITLE: MANAGING FINANCIAL RESOURCES AND DECISION MAKING Higher National Diploma (HND) in Business British Institute of Technology E-Commerce Managing Financial Resources and Decision Student ID- 48154 Student Name- Nataliya Georgieva Group: J Submission Date: 08-08-2014 Executive Summary The purpose of this assignment is to study the finance sources available to a company. Here according to the assignment requirement, we have to select a British public company to study the available sourcesRead MoreManaging Financial Resources and Decisions Essay4721 Words   |  19 PagesManaging Financial Resources amp; Decisions By: * * Introduction Top of FormBottom of Form | In this report we are going to help Mr T Jones to start his fast food restaurant in Manchester. Mr T. Wants to start a franchise restaurant Wimpy and needs help with the financial resources and planning part.    Step one, there are different souses of finance and it’s divided into internal and external finance, money that comes from within a company and theRead MoreManaging Financial Resources and Decision Ii9980 Words   |  40 Pages 11 Task Two: Unit Costs 12 Task Three: Pricing Decisions 18 Task Four: Investment Appraisal 1. Net Present Value (NPV) approach 22 2. Internal Rate of Return ( IRR) approach 23 3. Payback period 25 4. Accounting Rate of Return (ARR) 25 Task Five: Financial Statements 1. Main financial statements used by organisations 27 2. Differences between financial statements of various businesses 36 3. Ratio Analysis