UNIVERSITY OF SAINT LOUIS TUGUEGARAO

Tuguegarao City, Cagayan

School Of Accountancy, Business and Hospitality

BACHELOR OF SCIENCE IN ACCOUNTANCY

Curriculum 2020-2021

Course Information and Syllabus FMGT 1013

DESCRIPTIVE TITLE: Financial Management

CREDIT UNITS: 3 units (54 hours Lecture)
PRE-REQUISITE/S: MGMT 1033
COURSE DESCRIPTION:

This is a three-unit course which exposes the students to the accounting aspects of finance in order to develop appropriate financial strategies. It also includes various ways on how to
interpret the figures presented in the financial statements. The analysis of the financial statements may be under horizontal analysis, vertical analysis or ratio analysis. The students are
therefore expected to prepare financial statements and make a corresponding analysis on these prepared financial statements. It covers different ways on how to manage the current assets and
current liabilities of the business. It further includes the optimal level of cash, different policies over receivables management, optimal level of inventory and management of discounts taken over
accounts payable settlement. It takes into account the proper valuation of bonds and stocks together with the appropriate risks that come with it. It encompasses the corresponding costs of
different capital which may come from various sources, namely; (1) long-term debt, (2) preference shares, (3) ordinary shares and (4) retained earnings. It emphasizes the computation of costs
of equity capital which may be done under Gordon growth model or capital asset pricing model. It incorporates different techniques use to analyze investment decisions, namely; (1) accounting
rate of return, (2) payback period, (3) bailout period, (4) break-even time, (5) net present value, (6) profitability index and (7) internal rate of return. The students should be able to prepare a
report regarding investment decisions over mutually exclusive projects and mutually independent projects.

PROGRAM LEARNING OUTCOMES:

Code Program Learning Outcome
ACO 1 Exercise high personal, moral and ethical standards by living the gospel values everyday in personal and professional life.
ACO 2 Demonstrate managerial and leadership skills in administration and supervision of accounting firms or organizations while recognizing cultural diversity.
ACO 3 Employ technology as a business tool in capturing financial and non-financial information, generating reports and making decisions.
ACO 4 Resolve business issues and problems, with global and strategic perspective using knowledge and technical proficiency in the areas of financial accounting and reporting, cost
accounting and management accounting and control, taxation, and accounting information systems.
ACO 5 Contribute in the advancement of research, education and practice to bridge the gap of undergraduate preparation and practice.
ACO 6 Demonstrate communication skills to develop informative, explanatory and persuasive presentations to a variety of audiences using oral and written communication and language,
| FMGT 1013: Financial Management 1
 quantitative and technological literacy.
ACO 7 Work effectively with interdependence and versatility with high regard of a professional accountant’s legal and moral duty.
ACO 8 Work actively and voluntarily in pursuit of personal and professional development.
ACO 9 Demonstrate an attitude of self-less service through engagement to various community developments and environmental sustainability activities.
Integrate personal, professional and community values in a decision-making context as a member of an organization. Demonstrate social responsibility within organizational contexts
ACO 10
and the social role and impacts of organizations.
ACO 11 Conduct accountancy research through independent studies of relevant literature and appropriate use of accounting theory and methodologies

COURSE LEARNING OUTCOMES VIS-A-VIS PROGRAM LEARNING OUTCOMES:

COURSE LEARNING OUTCOMES                  

After completion of the course, the students should be able to: ACO ACO ACO ACO ACO ACO ACO ACO ACO ACO
1 2 3 4 5 6 7 8 9 10
CLO 1: Synthesize financial policy into a strategy that will integrate organizational purpose and
P I P P
goal in operating, investing and financing decisions of a company
CLO 2: Apply basic concepts and tools of capital structure management and long term decision
P
making
CLO 3: Describe and characterize the concept of risk and how it affects shareholders' wealth
I
maximization
I – Introduce P – Practice D – Demonstrate

LEARNING PLAN:
COURSE
LEARNING INTENDED LEARNING TEACHING AND LEARNING TIME
TOPICS RESOURCES ASSESSMENT
OUTCOMES OUTCOMES ACTIVITIES FRAME
PRELIM
Familiarize with the USL’s vision, mission, goals and objectives, classroom A Powerpoint Presentation Day 1 Students’
institutional, program and policies, grading system, Kaibigan ng Kalikasan Handbook
course policies Program (KKP) and NEO Learning Management Sharing of expectations from
System (NEO LMS) teacher and students Course
Explain the relation Catalogue 
between and among Introduction to the course in Financial Accounting and Discussion of Course
various courses and Reporting Syllabus Course Syllabus
Financial Accounting and
Reporting Distribution of course outline
CLO 1: Synthesize Relate the various I. Financial Objectives of Organizations Teacher-made
| FMGT 1013: Financial Management 2
 concepts and A. Nature, Purpose and Scope of Financial Guided Discussion through a Modules Debate
terminologies of financial Management module Week 1 Essay
management to the B. Relationship of Financial Management with Other and 2 Textbook
present day business field of studies
operations and its C. Relationship of Financial Objectives to Online and
financial policy into a importance to society. Organizational Strategy and to Other Objectives other Printed
strategy that will D. Nature, Scope and Form of Financial Objectives of References
integrate Business Organizations
organizational E. Decisions in Finance
purpose and goal in 1 Investment
operating, investing 2 Financing
and financing 3 Operating
decisions of a F. Functions of Finance
company 1 Finance in Organizations
2 Chief Financial Officer’s Functions
G. Roles, Responsibilities of Key Personnel involved in
and with organizations (shareholders, lenders,
managers, employees, customers, suppliers and
government)
H. Agency Problems
CLO 2: Apply basic II. Financial Analysis Week Teacher-made
concepts and tools of Compute the efficiency of A. The Financial Statement Guided Discussion through a 3, 4, 5 Modules Exercises
capital structure business, appraise and B. Analyzing Financial Statements module Drills
management and long communicate financial 1. Vertical Analysis Textbook Quiz
term decision making position based on 2. Horizontal Analysis Problem Solving
available information as 3. Trend Analysis Online and
applied to various 4. Financial Ratio Analysis Case Study other Printed
situations. C. Cash Flow Analysis References
D. Valuation Methods
E. Analyzing Management Performance
1. Return on Investment
2. Return on Investment
3. Du Pont Formula
4. Economic Value Added
Prepare a scheme on III. Management of Working Capital Guided Discussion through a Week Teacher-made
how to improve working A. Nature and Scope of Working Capital Management module 6, 7, 8 Modules Exercises
capital management B. Importance of effective working capital management Drills
to corporate Problem Solving Textbook Quiz
C. Cash and short-term Investments

| FMGT 1013: Financial Management 3

 D. Receivables Management Online and
E. Inventory Management other Printed
F. Short-Term Financing Decisions References
G. Other items of Working Capital

Measure the operating IV. Leverage and Capital Structure Guided Discussion through a Week Teacher-made
leverage and financial A. Break-even Analysis, Operating Leverage, Financial module 9, 10 Modules Exercises
leverage of a firm and Leverage Drills
evaluate the best capital B. Tools of Capital Structure Management Problem Solving Textbook Quiz
structure C. Making Capital Structure Decisions
Online and
other Printed
References

Determine the overall V. Cost of Capital Guided Discussion through a Week Teacher-made Exercises
cost of capital in order to A. Computing Individual Cost of Capital module 11. 12 Modules Drills
take advantage of B. Level of Financing and the Marginal Cost of Capital Problem Solving Quiz
investment opportunities. Textbook

Online and
other Printed
References

VI. Time Value of Money Guided Discussion through a Week Teacher-made

Invest in a facility that A. Overview of money’s time value module 13, 14, Modules Exercises
would yield the highest B. Calculating Future value of money 15 Drills
return within a given C. Calculating Present value of money Problem Solving Textbook Quiz
specific time period. D. Discounted Cash Flow Analysis
E. Applications of Present Values and Future Values Online and
F. Use of Financial Calculators and Spreadsheet other Printed
Programs References

CLO 3: Describe and Prepare a proposal on VIII. Asset Risk Concepts Week Teacher-made
characterize the how to reduce risk in A. Capital Budgeting Risk Guided Discussion through a 16, 17, Modules Exercises
concept of risk and handling company 1. Types and Features of Capital Budgeting module 18 Drills
how it affects resources Decisions Textbook Quiz
shareholders' wealth 2. Measuring Investment Worth Problem Solving
maximization 3. Selecting the Best Mix of Projects for a Limited Online and
Budget Case Study other Printed

| FMGT 1013: Financial Management 4

 4.Handling Mutually Exclusive Investments References
5.The Modified Internal Rate of Return
6.Comparing Projects with Unequal Lives
7.The Equivalent Annual Annuity Approach
8.Concept of Abandonment Value
9.Real Options
10.
Effect of Income Taxes on Investment Decisions
11.
Depreciation Methods
12.
Effect of Modified Accelerated Cost Recovery
(MACR) on capital budgeting decisions
Structure an asset pricing B. Financial Risk
scheme at various C. Asset Pricing
financial risk exposures. 1. Capital Asset Pricing Model
2. Arbitrage Pricing Model

COURSE REQUIREMENT:
At the end of the course, each student must be able to submit a portfolio on the assessments undertaken during the term. Further, to enhance their research skills and reinforce a
sense of collaboration with others, in groups with four members each, they are to submit a case analysis on the performance and condition of a publicly listed corporation including
a proposal on possible investment activity that the company may engage into,

ASSESSMENT:

Course Learning Outcomes Assessment Tools Key performance Indicators

CLO 1: Synthesize financial policy into a strategy that will integrate
Quiz, Drills, Exercises Seatwork and Major At least 75% of the students can propose strategy integrating
organizational purpose and goal in operating, investing and financing
Examinations organizational purpose and goals for decision-making
decisions of a company
CLO 2: Apply basic concepts and tools of capital structure management and Quiz, Drills, Exercises Seatwork and Major At least 75% of the students can advise businesses on capital
long term decision making Examinations structure management and long term decision making.
CLO 3: Describe and characterize the concept of risk and how it affects Quiz, Drills, Exercises Seatwork and Major At least 75% of the students can demonstrate shareholders
shareholders' wealth maximization Examinations wealth maximization.

GRADING SYSTEM:

| FMGT 1013: Financial Management 5

 Criteria in Grading Prelim Midterm Finals
Class Standing = 50%
Quizzes, Drills, Exercises 25 % 25 % 25%
Class Participation and Self-Directed Activities 15% 15% 15%
Case Study and Research Activities 20% 20% 20%
Major/Periodic Exam 40% 40% 40%
TOTAL 100% 100% 100%

Grade Computation:

Preliminary Raw Score (PRS): Preliminary Grade:

Class Standing (max of 50) plus Prelim Examination (max of 50) Preliminary Raw Score (PRS) / 2 + 50
Moving Midterm Raw Score (MMRS):
Class Standing (max of 50) plus Midterm Examination (max of 50)
Midterm Raw Score (MRS): Midterm Grade:
Preliminary Raw Score plus (2 X Moving Midterm Raw Score) Midterm Raw Score (MRS) / 2 + 50
3
Moving Final Raw Score (MFRS):
Class Standing (max of 50) plus Final Examination (max of 50)
Final Raw Score (FRS): Final Grade:
Midterm Raw Score plus (2 X Moving Final Raw Score) Final Raw Score (FRS) / 2 + 50
3

The preliminary, midterm and final raw scores are transmuted using the following transmutation table. Before transmutation, the raw scores should first be rounded
off to whole numbers. However, for succeeding computations, the unrounded raw scores are used. The transmuted grade is the one reflected in the grading
sheets.

Raw Score Grade Raw score Grade Raw Score Grade Raw Score Grade Raw Score Grade

Below 50 70 60-61 80 72-73 86 82-83 91 92-93 96

50-51 75 62-63 81 74-75 87 84-85 92 94-95 97
52-53 76 64-65 82 76-77 88 86-87 93 96-97 98
54-55 77 66-67 83 78-79 89 88-79 94 98-99 99
56-87 78 68-69 84 80-81 90 90-91 95 100 100
58-59 79 70-71 85

Rubrics on practice set, case analysis, board work, and seatwork

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 954108 Poor 954110 Good 954111 Excellent
954109 Fair
1 3 4
Success Indicators Poo 2 Goo Exc
Fair
r d ellent
2 pts
1 pts 3 pts 4 pts
Solving Presentation and Few accounts have label, and few Some accounts have label, and Most accounts have label, and most All accounts have label and all
Explanation procedures are met, not understand some procedures are met and can procedures are met and understand procedures are met and well
by non-accounting people. be understand by non-accounting by non-accounting people. understand by non-accounting
people. people.
Content Few solutions and schedules are Some solutions and schedules are Most of the schedules are prepared All schedules necessary are
made to support the answer. made to support the answer. to support the answer. prepared to support the answer.
Methods of Computation No basis on the method and formula Few formula and method were used Most formula and methods were All formula and necessary methods
used for the computation to support the answers. used to support the answer were used to support the answer.
Verbal Explanation Student has difficulty to explain the Students explained and some Students explained the solutions in Students explained well and
solutions and few accounting accounting principles are mentioned interesting manner and most confidently and all accounting
principles are mentioned and and explained. accounting principles are mentioned principles are mentioned and
explained. and explained. explained.

REFERENCES:

Printed Resources:

Books

1. Agamata, F. (2011), Management Advisory Services, GIC Enterprises Inc.

2. Brigham, E., Houston, J. (2013), Fundamentals of financial management. Cengage Learning Asia Pte. Ltd
3. Cabrera, E.(2015) Financial Management: Principles and Applications, GIC Enterprises & Co., Inc., Manila
4. Salvador, S., Baysa, G, Gamboa, D., Geronimo, E. (2012) Fundamentals and applications of financial management, Allan Adrian Books Inc.
5. William, J. (2015), Financial Management

Periodicals/Journals:

Electronic Resources

On-line Resources:

| FMGT 1013: Financial Management 7

 1. https://www.managementstudyguide.com/financial-management.htm
2. https://www.managementstudyhq.com/financial-management-meaning-objectives-functions.html
3. https://masterstart.com/blog/financial-management/financial-management-overview/
4. https://opentextbc.ca/businessopenstax/chapter/the-role-of-finance-and-the-financial-manager/
5. https://www.accountingverse.com/managerial-accounting/fs-analysis/financial-ratios.html
6. https://www.bdc.ca/en/articles-tools/money-finance/manage-finances/pages/financial-ratios-4-ways-assess-business.aspx
7. https://courses.lumenlearning.com/boundless-finance/chapter/asset-management-ratios/
8. https://www.principlesofaccounting.com/chapter-16/statement-analysis/
9. https://www.thebalancesmb.com/how-do-you-do-financial-statement-analysis-393235
10. https://www.youtube.com/watch?v=GkGdlgX3xYI
11. https://www.journalofaccountancy.com/issues/1998/oct/mills.html
12. https://www.youtube.com/watch?v=vzdNgaPhBMQ
13. https://www.youtube.com/watch?v=VKLEBDLeLLQ
14. https://www.extension.iastate.edu/agdm/wholefarm/html/c3-14.html
15. https://www.wallstreetmojo.com/cash-flow-analysis/
16. https://www.thebalancesmb.com/cash-flow-analysis-393050
17. https://www.arborinvestmentplanner.com/cash-flow-statement-analysis-purpose-components-and-format/
18. https://corporatefinanceinstitute.com/resources/knowledge/accounting/statement-of-cash-flows/
19. https://www.vertex42.com/ExcelTemplates/cash-flow-statement.html
20. https://efinancemanagement.com/working-capital-financing/working-capital-management
21. https://www.cleverism.com/working-capital-management-everything-need-know/
22. https://corporatefinanceinstitute.com/resources/knowledge/finance/working-capital-management/
23. https://www.youtube.com/watch?v=c5iigcEppZw
24. https://courses.lumenlearning.com/boundless-finance/chapter/overview-of-the-working-capital-financing-decision/

Revision History:

Revision Date Revised by Nature of Revision

June 6, 2018 Rovelle Concepcion S. Siazon, CPA, DBA Modified formatting, course description, program learning outcomes, course learning outcomes, learning plan, course
requirement, assessment tools for the CLO, rubrics and references.
May 25, 2020 Rovelle Concepcion S. Siazon, CPA, DBA Aligned Course Description, Program and Course Learning Outcomes with BSAc 2018 Course Catalogue
Realigned the time frame of topics to coincide with the learning pace of students
July 17, 2020 Rovelle Concepcion S. Siazon, CPA, DBA Updated teaching and learning activities, assessments,

| FMGT 1013: Financial Management 8

 Updated references and electronic resources.

Endorsed by Recommending Approval Approved by

JEROME D. MARQUEZ, CPA, MBA ALICIA S. TULIAO, MBE EMMANUEL JAMES P. PATTAGUAN, Ph.D
Accountancy Program Chair Academic Dean Vice-President for Academics

| FMGT 1013: Financial Management 9