Introduction to Finance


Overview/Description
Target Audience
Expected Duration
Lesson Objectives
Course Number


Overview/Description
From the line supervisor to senior managers, everyone involved in the management of an enterprise interacts with the organisation's financial system. Knowledge of the organisation's financial system is a key management skill for control and direction of resources. This course will introduce the non-financial manager to the purpose of financial management systems. It will also introduce basic concepts of risk and return, time value of money, and the relationship between tax laws and business finance.

Target Audience
Nonfinancial managers at all levels

Expected Duration (hours)
2.5

Lesson Objectives

The Purpose of Financial Management Systems

  • recognise the benefits of financial management systems in supporting organisational success.
  • match forecasting tools with the needs they help to identify.
  • match situations with the financial controls they illustrate.
  • identify financial statements used to report financial condition in annual reports.

    • Risk and Return

  • recognise the importance of risk-and-return decisions to the financial health of the organisation.
  • match situations with the type of financial risk they represent.
  • identify the major sources of financial risk.
  • rank a series of investments in order of increasing expected return.

    • The Time Value of Money

  • recognise the importance of time-value-of-money concepts in financial management.
  • identify the key information needed to calculate the future value of an investment.
  • identify the present-value formula.
  • match factors affecting discount rates with the corresponding effect.

    • Tax Laws and Business Finance

  • recognise the importance of considering tax law in business financial management.
  • select tax consequences resulting from the organisation of business in the form of a limited company.
  • select the effects of higher depreciation expense on financial performance.
  • identify tax issues related to lease versus buy decisions.

    • Course Number:
    FIN8141