Unit 2: Managing Financial Resources and Decisions
Financial decisions
Make financial decisions based on financial information
Budgeting decisions: analysis and monitoring of cash and other budgets
Costing and pricing decisions: calculation of unit costs, use within pricing decisions,
sensitivity analysis
Investment appraisal: payback period, accounting rate of return, discounted cashflow techniques ie net present value, internal rate of return
Nature of long-term decisions: nature of investment importance of true value of money, cash flow, assumptions in capital investment decisions, advantages and disadvantages of each method
Suggested Reading
Accounting for Non-accounting Students
