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Micro and macro economic, investment and prudential decisions are made on the basis of financial reporting by businesses. The lives of billions has often been affected by the incompetent and unethical financial practices of corporations particularly in 2007. BIG IDEA:
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Micro and macro economic, investment and prudential decisions are made on the basis of financial reporting by businesses. The lives of billions has often been affected by the incompetent and unethical financial practices of corporations particularly in 2007. BIG IDEA: The flows of money and assets into and through a business determines its stability, viability and attractiveness to investors, lenders, customers and employees. How are we to interpret financial records and promote the health of a business? • H2 – H10 An HSC-style examination with an extended response case study requiring the analysis of financial reports and the recommendation of financial strategies to pursue opportunities or solve perceived financial problems. Hypothetical: Teacher conducts a hypothetical that presents a scenario based on the actions of financial and regulatory institutions during the GFC in 2007. Students are assigned roles from within merchant banks, APRA, the Reserve Bank, The Ministry of Finance,. Superannuation funds, investor companies, the ASX. Issues related to global influences and ethical behaviour are addressed. Students work in groups to scaffold and complete an extended response on a case involving a series of financial difficulties requiring a range of possible financial management strategies.Students then write an individual response on a class wiki which students comment and annotate to produce a class finding. In-class test: Students are given a series of financial statements for two prominent Australian businesses and must calculate a series of 14 ratios over two years and compare the differences on better/worse criteria. The exercise is completed in small groups selected on the basis of strong and weak capabilities. The group with the most correct calculations out of the 70 questions is rewarded. Prepare a five minute presentation on the following topic: ‘The appropriate mix of debt and equity financing for a company depends upon the industry , economic environment and specific circumstances of a business’. Support your answer with examples from media and business reports. Class quiz: multiple choice and short answer quiz on the four broad objectives of financial management and how they relate to planning and decision-making by businesses