module specification

The module introduces students to the accounting and finance principles with examples from Events, Leisure, Tourism and the broader Creative Industries sector.

It will also provide an overview understanding of how accounting and financial statements capture the value of businesses. It focuses on fundamental accounting/finance concepts, principles and techniques in relation to financial statements analysis. The module explores issues of management accounting techniques and indicatively examines their use in financial management decision making.

Finally, the module will explore links, between accounting, financial statement analysis, corporate accounts and financial strategy, using different cases in the context of Events, Leisure, Tourism and the broader Creative Industries, to illuminate understanding.

Aims of the module:
1. To enable students to develop an overview understanding of accounting and finance principles through examples from Events, Leisure, Tourism and the broader Creative Industries sector.
2. To enable students to critically understand the value and usefulness of accounting/financial statements; by focusing on fundamental concepts, principles and techniques in relation to financial statements analysis, through the application of appropriate examples, tools and procedures.
3. To identify issues of financial management and accounting techniques, and how results from such analysis may support the development, measurement and management of decision-making in the context of Events, Leisure, Tourism and the broader Creative Industries sector.
4. To identify and evaluate links between accounting, financial statement analysis, corporate accounts and financial management strategies, in the context of Events, Leisure, Tourism and the broader Creative Industries.

1. Introduction to accounting and finance, accounts and financial statements. LO1
2. Analysing accounts and financial statements, including risk analysis and mitigation. LO1
3. Issues of microeconomic and macroeconomic analysis. LO1
4. Financial performance, interpretation and weaknesses of ratios. LO1/LO2
5. Cost of capital, sources of finance and associated costs/benefits, and related issues.LO1/LO2
6. Capital budgeting and DCF analysis.LO1/LO2
7. Contribution analysis, ROI, break-even, CVP analysis, etc.LO1/LO2
8. Classifying and recording of accounting and financial transactions.LO1/LO2
9. Analysis and interpretation of accounting and financial statements.LO1/LO2
10. Preparation of budgets and forecasts, understanding cost types and cost behaviour.LO2
11. Principles of taxation of businesses and individuals; taxation of employment and self-employment, including international examples.LO2
12. Application of metrics for effective planning, e.g. cost per acquisition, customer lifetime value, sales volume, growth analysis.LO2

The learning and teaching strategy for this module involves an approach using a variety of teaching and learning tools, such as blended learning (via the use of VLE), experiential learning, students’ responsibilities and opportunities for reflective learning, professional and personal development, and the like.

The module will be delivered over a 15 week period consisting of 3 hours of face-to-face contact each week. Key principles, theories, models and concepts of accounting and finance will be introduced via the use of seminars, tutorials, case study analysis, question and answer sessions, group discussions, group work and student-led activities (such as reflective peer-discussions), and so forth.

Teaching materials will be accessible via our VLE (WebLearn). Students should individually and/or in their respective teams, prepare for all sessions and assignments in advance of each session. Students will be supported on key issues in relation to preparation for class activities, case studies analysis and group work. Students will be responsible for initiating requests for help to ensure they complete timely all pre-sessional and follow-up activities and reading.

The module draws on a wide-range of academic research and professional examples. It introduces core concepts and encourages students to develop a critical, analytical approach to problem solving professional issues, related to Accounting and Finance concepts in the Events, Leisure, Tourism and the broader Creative Industries sector. Students will have the opportunity to develop an awareness of different theoretical and practical angles so that the complexity of accounting and finance issues and work is explored as rigorously as possible.

To ensure a positive and productive student learning experience the programme blends class-based workshops, seminars and case-study group work with self-directed learning, VLE activities (including reflective commentary) and presentations. Classroom sessions will be supported by web-based materials and recommended pre and follow-up-readings. Internal and external guest speakers will be involved in delivering content, where possible and appropriate, to enable students to obtain a greater overall understanding of the role of Accounting and Finance in Events, Leisure, Tourism and the broader Creative Industries sector.

Students will be required to prepare for all activities that they need to undertake to support their learning and the module sessions. They should also engage in additional individual academic and practitioner-based research, learning and reading, including for example, independent research through academic journals and other university resources.

Digital literacy development
The learning,  teaching and assessment strategy for this module will enable students to develop their capabilities in digital literacy and information handling appropriate to professional/master’s level study as outlined in the Open University Digital and Information Literacy Framework (DILF: available to view at https://www.open.ac.uk/libraryservices/pages/dilframework/)

On successful completion of this module, students will be able to:

LO1
Critically understand, evaluate and apply accounting and finance principles through selected relevant examples, assessing the value and usefulness of financial statements analysis.
This will be illustrated via a proven critical ability to use the fundamental accounting/finance concepts, principles and techniques, and the ability to use and critically explain appropriate examples, tools and procedures. [Assessed in A1].

LO2
Critically understand, identify and evaluate, accounting and finance concepts, models and techniques, and how the links between accounting, financial statement analysis, corporate accounts and financial management strategies may support the development, measurement and management of decision making in the context of Events, Leisure, Tourism and the broader Creative Industries sector. [Assessed in A2].

This module will be assessed through two assessment components.

A group report (in small groups no more than 3 students) of 3,000 words, which will illustrate the understanding, evaluation and application of accounting and finance principles, in the context of Events, Leisure, Tourism and the broader Creative Industries sector. This should cover the value and usefulness of accounting and financial statements, fundamental accounting and finance concepts, principles and techniques in relation to financial statements analysis. It should also demonstrate the ability to use and critically explain appropriate examples, tools and procedures. [Assesses LO1].

A two-hour in-class test will assess student ability to critically understand and apply accounting and finance concepts, models and techniques, and appreciate how results from such analysis may support strategic management decision making in the broader Creative Industries sector. [Assesses LO2].

Formative feedback will be through submission of an outline (in week 4) and a draft (in week 6), which identifies components and issues (also based on the relevant academic literature), before having to plan, research, write and submit their final group report. Short feedback will be available within a week, thus enabling the identification of further learning needs and seeking clarifications in advance of the submission of the report in week 9.

Textbooks:

Core Textbooks:

Atkinson, H., Jones, T., Lorenz, A. and Harris, P. (2012) Strategic Managerial Accounting: Hospitality, Tourism & Events Applications, 6th Edition, Goodfellow Publishers.

O'Donoghue, D. (2014) Financial Accounting for the Hospitality, Tourism, Leisure and Event Sectors, Orpen Press.

Other Literature:

Atrill, P. and McLaney, E. (2019) Accounting and Finance for Non-Specialists, 11th Edition, Harlow: Pearson Education Limited.

Black, G. (2016) Introduction to Accounting and Finance, 2nd Edition, Harlow: Pearson Education Limited.

Brealey, R. A., Myers, S. C. and Allen, F. (2020) Principles of Corporate Finance, 13th Edition, McGraw Hill Education.

Bamber, M. and Parry, S. (2014) Accounting and Finance for Managers, London, UK: Kogan Page Limited.

Chadwick, L. (2002) Essential Finance and Accounting for Managers, Harlow: Pearson Education Limited.

DeMello, J (2018) Cases in Finance, 3rd Edition, Maidenhead: McGraw-Hill.

Drury, C. (2018) Management and Cost Accounting, 10th Edition, Andover: Cengage Learning.

Grossman, T. and Livingstone, J. L. (2009) The Portable MBA in Finance and Accounting, 4th Edition, New Jersey: Wiley and Sons.

Koller, T., Goedhart, M. and Wessels, D. (2015) Valuation: Measuring and Managing the Value of Companies, 6th Edition, Hoboken: John Wiley & Sons.

McLaney, E. and Atrill, P. (2019) Accounting and Finance: An Introduction, 9th Edition, Harlow: Pearson Education Limited.

Palepu, K G, Healey, P. M and Bernard, V. L. (2013) Business Analysis and Valuation: Using Financial Statements, Text and Cases, Cengage Learning.

Journals:
Administrative Science Quarterly
Accounting and Business Research
Accounting, Auditing and Accountability Journal
British Accounting Review
CMA Management
Corporate Finance
European Financial Management
Financial Accountability and Management
Harvard Management Review
Harvard Business Review
International Small Business Journal
Journal of Applied Corporate Finance
Journal of Management Studies
Management Accounting Research
Review of Financial Studies
The European Accounting Review
The McKinsey Quarterly
The Treasurer

Websites:
The Economist: https://www.economist.com/
Financial Times: http://www.ft.com
Wall street Journal: https://www.wsj.com/europe

Other resources:
Chartered Institute of Management Accountants: https://www.cimaglobal.com/
Institute of Chartered Accountants in England and Wales: https://www.icaew.com/
Association of Chartered Certified Accountants: https://www.accaglobal.com/uk/en.html
Chartered Institute of Public Finance and Accountancy: https://www.cipfa.org/
Institute of Financial Accountants: https://www.ifa.org.uk/
Financial Conduct Authority: https://www.fca.org.uk/
Bank of England Quarterly Bulletin: https://www.bankofengland.co.uk/quarterly-bulletin/quarterly-bulletins
As available via the university Library Services and the SCONUL Access Scheme