2.1 Analyse components of working capital

2.1 Analyse components of working capital

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ATHE Level 5 Diploma in Management for Health and Social Care

Finance for Managers

Unit aims

To introduce learners to practical accounting and financial techniques that are useful to managers in business organisations

learning Outcomes

1. Understand the requirements and techniques for financial recording and reporting

1.1 Explain the purpose and requirement for keeping financial records

1.2 Analyse techniques for recording financial information in a business organisation

1.3 Analyse the legal and organisational requirements financial reporting

1.4 Evaluate the usefulness of financial statements to stakeholders

2. Understand how working capital can be effectively managed

2.1 Analyse components of working capital

2.2 Explain how business organisations can effectively manage working capital

3. Understand management accounting techniques

3.1 Explain the difference between management and financial accounting

3.2 Explain the budgetary control process

3.3 Calculate and interpret variances from budget

3.4 Evaluate the use of different costing methods for pricing purposes

4. Understand how to evaluate business projects

4.1 Demonstrate the main methods of project appraisal.

4.2 Evaluate methods of project appraisal

4.3 Explain how finance might be obtained for a business project

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