AC218: Financial Management

Module code: AC218

Module provider: Business Informatics, Systems and Accounting; Henley Business School

Credits: 20

Level: 5

When you'll be taught: Semester 1

Module convenor: Mr Tony Graham, email: a.graham@henley.ac.uk

Pre-requisite module(s): BEFORE TAKING THIS MODULE YOU MUST TAKE AC107 AND TAKE AC110 (Compulsory)

Co-requisite module(s):

Pre-requisite or Co-requisite module(s):

Module(s) excluded: IN TAKING THIS MODULE YOU CANNOT TAKE AC203 OR TAKE AC303 (Compulsory)

Placement information: na

Academic year: 2024/5

Available to visiting students: No

Talis reading list: No

Last updated: 19 November 2024

Overview

Module aims and purpose

The module focuses on the key factors to be considered in corporate financial management decision making, in terms of working capital management, sources of long-term finance, dividend policies and risk management. The module aims to equip students with relevant knowledge in understanding and evaluating the factors in financial decision makings by a variety of stakeholders.

The module lead at the University of Reading Malaysia is Lee Pei Ling.

Module learning outcomes

By the end of the module, it is expected that students will be able to:

1. Identify capital requirements of businesses, assess financing options and recommend relevant methods of financing  
2. Identify the financial risks facing a business and the principal methods of managing those risks  
3. Apply appropriate investment appraisal techniques, taking into account other factors affecting investment decisions  

Module content

Objectives of financial strategy and management; impact of financial markets and other external factors on business strategy; objectives and conflicts of objectives of stakeholders, advisors and financial institutions; suitability of different financing options and factors affecting financing in different countries; costs and benefits of different appraisal techniques; ethical implications of an entity’s financing strategy; derivation of a company’s cost of capital and discussion of when its use is appropriate; financial risk and use of financial instruments to manage risk; managing interest rate, currency and other financial risks; investment decision making process; selection of inputs for investment appraisal techniques; optimal investment plans when capital is restricted; non-financial factors; share and business valuation approaches.

Structure

Teaching and learning methods

Sessions will be run as a blend of lectures, explanations, examples and practice. The main concepts, principles and techniques associated with the discipline will be explained and demonstrated and students will then have a chance to practise these. All sessions are compulsory and attendance will be recorded.

For students studying at our campus in Malaysia: This module may be taught in a different semester and the breakdown of study hours may differ to those set out in the Study Hours table (please refer to the Module Handbook for the correct breakdown). In addition, you will be required to complete an additional 40 hours of study, taking the total number of study hours to 240 for this module. This is to comply with the Malaysian Quality Agency (MQA).

Study hours

At least 60 hours of scheduled teaching and learning activities will be delivered in person, with the remaining hours for scheduled and self-scheduled teaching and learning activities delivered either in person or online. You will receive further details about how these hours will be delivered before the start of the module.

Please note the independent study hours above are notional numbers of hours; each student will approach studying in different ways. We would advise you to reflect on your learning and the number of hours you are allocating to these tasks.

Semester 1 The hours in this column may include hours during the Christmas holiday period.

Semester 2 The hours in this column may include hours during the Easter holiday period.

Summer The hours in this column will take place during the summer holidays and may be at the start and/or end of the module.

Assessment

Requirements for a pass

Students need to achieve an overall module mark of 40% to pass this module and 50% to gain exemption (Credit for Prior Learning) from ICAEW Financial Management exam.

Summative assessment

Penalties for late submission of summative assessment

The Support Centres will apply the following penalties for work submitted late:

Assessments with numerical marks

• where the piece of work is submitted after the original deadline (or any formally agreed extension to the deadline): 10% of the total marks available for that piece of work will be deducted from the mark for each working day (or part thereof) following the deadline up to a total of three working days;
• the mark awarded due to the imposition of the penalty shall not fall below the threshold pass mark, namely 40% in the case of modules at Levels 4-6 (i.e. undergraduate modules for Parts 1-3) and 50% in the case of Level 7 modules offered as part of an Integrated Masters or taught postgraduate degree programme;
• where the piece of work is awarded a mark below the threshold pass mark prior to any penalty being imposed, and is submitted up to three working days after the original deadline (or any formally agreed extension to the deadline), no penalty shall be imposed;
• where the piece of work is submitted more than three working days after the original deadline (or any formally agreed extension to the deadline): a mark of zero will be recorded.

Assessments marked Pass/Fail

• where the piece of work is submitted within three working days of the deadline (or any formally agreed extension of the deadline): no penalty will be applied;
• where the piece of work is submitted more than three working days after the original deadline (or any formally agreed extension of the deadline): a grade of Fail will be awarded.

The University policy statement on penalties for late submission can be found at: https://www.reading.ac.uk/cqsd/-/media/project/functions/cqsd/documents/qap/penaltiesforlatesubmission.pdf

You are strongly advised to ensure that coursework is submitted by the relevant deadline. You should note that it is advisable to submit work in an unfinished state rather than to fail to submit any work.

Formative assessment

Formative assessment is any task or activity which creates feedback (or feedforward) for you about your learning, but which does not contribute towards your overall module mark.

Formative assessments are available in the textbook for all weeks of the module to enable students to gain the necessary practice. This work is primarily designed as a learning vehicle, and students will be provided with marking guides and feedback where appropriate so that they can assess their own performance.

Reassessment

Additional costs