Full Title:Financial Management Systems
Module Code:FNCE S7001
 
Credits: 5
Valid From:Semester 1 - 2013/14 ( September 2013 )
Module Delivered in 2 programme(s)
Module Description:The aim is to provide students with an understanding of the basic concepts of financial management as they apply in modern agriculture. The course will deal with financial affairs both on and off the farm and with the basic principles of company financing.
Learning Outcomes:
On successful completion of this module the learner should be able to
  1. Identify the principles of financial management systems as they apply to agri-business
  2. Appraise the importance of cash flow as an essential component in the effective management of the business.
  3. Analyse investment opportunities on and off the farm using a range of appraisal techniques.
  4. Summarise the role of capital budgeting in the planning and ongoing management of an agri-business.
  5. Explain the importance of the taxation system and the role of tax planning in the decision making process.
  6. Criticise the principles of international and company finance as they affect agri-businesses.
 

Module Content & Assessment

Indicative Content
Introduction to financial management
Structure of finance; Financial statements; Financial versus management accounting; Profit and cash flow; Sources and application of funds statement; Cash flow statement
Cash Flow
Cost/price assumptions; Analysis of cash flows; Completing annual cash flow projections; Comparison of budgeted versus actual cash flows; Monitoring and controlling cash flow; Working capital management.
Investment Appraisal
Identify areas for investment on and off farm; Off farm – risk and return, stocks and bonds, funds, deposits, portfolio management, correlation and diversification. On farm - Quantify impact of investment on cash flow and profit; Time value of money to include net present value/internal rate of return/payback method; Costing of investment; Partial budgeting.
Capital Budgeting
Repayment capacity and optimum repayment schedule; Evaluation of capital gearing ratios; Sources and methods of finance; Evaluating return on investment.
Taxation Theory and Structure
Taxation system in Ireland; Completion of returns; Taxes on income and profit; Taxation of capital transactions – capital gains tax, capital acquisitions tax, stamp duty; Minimising the tax bill – measures appropriate to agriculture. Indirect taxation – VAT; Corporation tax.
Company and International Finance
Awareness of financial management issues such as shareholders and enterprise ownership; Share portfolio management; Accounts and returns; Mergers and acquisitions; International finance; Exchange rates; Inflation; PLCs; Co-ops.
Assessment Breakdown%
Course Work50.00%
End of Module Formal Examination50.00%

Full Time

Course Work
Assessment Type Assessment Description Outcome addressed % of total Marks Out Of Pass Marks Assessment Date Duration
Project Students must devise a cash flow budget. 1,2 30.00 0 0 Week 6 0
Project Students must complete a project on off farm investment. 3,6 20.00 0 0 Week 10 0
No Project
No Practical
End of Module Formal Examination
Assessment Type Assessment Description Outcome addressed % of total Marks Out Of Pass Marks Assessment Date Duration
Formal Exam End-of-Semester Final Examination 1,2,3,4,5 50.00 0 0 End-of-Semester 0
Reassessment Requirement
A repeat examination
Reassessment of this module will consist of a repeat examination. It is possible that there will also be a requirement to be reassessed in a coursework element.

DKIT reserves the right to alter the nature and timings of assessment

 

Module Workload & Resources

Workload: Full Time
Workload Type Workload Description Hours Frequency Average Weekly Learner Workload
Lecture No Description 4.00 Every Week 4.00
Directed Reading No Description 2.00 Every Week 2.00
Independent Study No Description 2.00 Every Week 2.00
Total Weekly Learner Workload 8.00
Total Weekly Contact Hours 4.00
This course has no Part Time workload.
Resources
Recommended Book Resources
  • Conlon, T. 2012, The Student’s Tax Handbook, McKeown Murray Publications
  • Maher, J. et al 2010, Farm Planning, Teagasc
  • Mulholland, M. 2008, Introduction to Agri-business in Ireland, 2nd Ed., Teagasc
  • Teagasc Handbook 2008, Management Data for Farm Planning, Teagasc
  • Turner, J., Taylor, M. 1998, Applied Farm Management 2nd Ed., Blackwell Publishing
  • O Dwyer, J. 2012, Farm Management, Teagasc
Supplementary Book Resources
  • Turner, J., Taylor, M. 1998, Applied Farm Management, 2nd Ed., Blackwell Publishing
  • Arnold, G. 2007, Essentials of Corporate Financial Management, Prentice Hall
  • Dyson, J.R. 2010, Accounting for Non-Accounting Students, 8th Ed., Financal Times Management
This module does not have any article/paper resources
Other Resources
  • Computer Packages/Software: Teagasc 2013, Teagasc Financial Management Packages/Software
  • Link: Library Catalogue

Module Delivered in

Programme Code Programme Semester Delivery
DK_SAGRI_8 Bachelor of Science (Honours) in Agriculture 5 Mandatory
DK_SAGRI_7 Bachelor of Science in Agriculture 1 Mandatory