Module Identifier RD24920  
Academic Year 2001/2002  
Co-ordinator Mr Penri James  
Semester Semester 2 (Taught over 2 semesters)  
Pre-Requisite RD15810 Business Management  
Mutually Exclusive RD29010 Farm Management  
Assessment Financial statements exercise   Outcomes assessed: 1a, 2   10%  
  Business development plan   Outcomes assessed: 1, 2, 3, 4, 5   90%  


Outcome 1

Preparation of a business plan

Performance criteria:
a. Budgets are prepared and reconciled.
b. Objectives are identified and met.
c. Realism and prudence are demonstrated.

Objectives:- Personal-Business
Resources:- Capital-Labour-Land
Planning:- Physical-Financial-Uncertainty-Risk

Outcome 2

Interpret and analyse a set of financial statements

Performance criteria:
a. Strengths and weaknesses of the financial statements are identified.
b. The underlying trends and variances are established.
c. Key aspects are recognised and reported.

Financial Statements:- Balance Sheet-Cash Flow-Trading Profit and Loss Account
-Funds Flow Statement-Gross Margin Account
Data:- Physical-Financial-Comparative Analysis-Net Farm Income-Management and
Investment Income
Variances:- Financial-Physical-Timing-Planning-Production

Outcome 3

Prepare an Investment plan, including appraisal and selection of appropriate finance

Performance criteria:
a. Relevant income and expenditure is identified.
b. Cash timings are identified and reported.
c. Suitable financing is suggested and interpretation of results is performed.

Financial:- Capital-Revenue
Timing:- Inflation-Discounting-Risk
Taxation:- Relief-Allowances

Outcome 4

Recognise the functions and scope of UK taxation.

Performance criteria:
a. Different taxes are identified and explained.
b. Income tax liability is calculated.
c. Tax planning is addressed.

Taxation:- IT-IHT-CGT-CT-VAT
Reliefs:- Capital-Revenue-Allowances
Scope:- Business-Personal

Outcome 5

Identify the merits of different business structures

Performance criteria:
a. Alternative business structures are identified.
b. Strengths and weaknesses of the structures are established.
c, A knowledge fo the tax consequences is demonstrated.   
Structures:- Partnership-Sole Trader-Company
Operation:- Taxation-Control-Flexibility-Reporting
Assessment Strategy

Module description

Business planning, decision making, taxation and investment appraisal are all essential aspects of management and necessary for successful business control. This module provides a comprehensive understanding of the concepts and principles involved in
managing a business and incorporates analysing and solving business problems. In addition this module provides students with appraisal techniques essential for managers in planning and controlling the business.