Management of a company could use sensitivity, scenario, break-even and simulation techniques/analysis in their corporate decision makings.
How management decision making could be related to capital budgeting techniques such as, internal rate of return, net present value etc.
Explain the following concepts in relation to capital budgeting techniques. (2000 words)
- Sensitivity analysis
- Scenario analysis
- Break-even analysis
- Simulation techniques
Task Details:
Students will be required to apply theory and financial techniques to solve financial management questions, and draw conclusions based on the analysis. The exam will consist of a series of short and longer answer questions.
Assessment Type:
Assignment - 2000 ± 10% words essay response and one analytical response -individual assessment. Assignment specification will be uploaded to Moodle before week 5.
Purpose: This assessment will allow students to have experience in analysing financial implications for a given business scenario, and communicating the analysis and conclusions in report format as would be expected in a modern organisation. This assessment contributes to Learning Outcomes a, b and c.
Topic: Financial analysis and Recommendations - the specific case will be provided in class and via Moodie by Week 5.
Task Details: Students are to analyse the given financial data using relevant financial analysis techniques, and create relevant, supported conclusions and make justified recommendations to given issues and problems. Responses are to be formatted into a professional report, as would be expected of someone working in a modern accountant's or financial advisor's office.
Presentation:
2500 words +_ 10%, typed in word .doc - essay format
Title page, introduction, suitable headings and
subheadings, conclusions/recommendations, reference list (Harvard - Anglia style), attachments e.g. spreadsheets
Research Requirements:
Students need to support their analysis with reference from the text and a minimum of six (6) suitable, reliable, current and academically acceptable sources - check with your tutor if unsure of the validity of sources.
Groups seeking Credit or above grades should support their analysis with increased number of reference sources comparable to the grade they are seeking.