Write a critical evaluation of your learning outcome. In your response, consider:

1. Consider the content of this class as they relate to financial acuity and managerial decision making.

2. Base on the course content, discuss the new skills you acquired from this class?

3. How would you apply your new knowledge of your current and/or future profession?

Post your original discussion no later than Friday, 28. Read and respond to at least 3 of your classmates’ posts.

Student Responses :

Student Response 1(Debotta Ganesh) :

Managerial decision-making and financial acumen are quintessential for a business to be profitable. The course content exposes the students to the criticality of these factors in the financial decisions taken by the management of a company (Wasniewski N., n.d.)

  This course has helped me enormously in the development of my financial acumen and has enabled me to understand basic financial metrics and contribute to the important managerial decisions.  Some of the important concepts that I have imbibed are IRR, NPV, TVM, etc. that make it easier to arrive at solutions for practical business problems.  One of the important aspects of the course is that it helps the learner to acquire a basic understanding of the roles and the basic objectives of financial management.  The course has given me the exposure to how complex decisions can be when selecting projects for different investment opportunities. It is imperative that one has a good grasp of the capital budgeting techniques in such situations. Another crucial aspect of financial analysis is to gain a strong understanding of the various techniques of effective working capital like inventory management, payable, accounts receivable and the problems given in the course are sufficient to acquire these skills.

The students are given ample opportunities to groom their managerial decision-making skills through the problems given to them to solve. These problems have enabled me to dive into the challenges of the financial management world and have helped shape up my ability to make effective managerial decisions. I will apply the skills that I have acquired during the managerial finance course at work and contribute better to the crucial investment decisions made by the management. I will also caution the management in not being hasty in making these decisions as any wrong decision can greatly impact the ability of the company to achieve the goals set by it.

Reference:

Wasniewski, N. (n.d.). What Is Business Acumen and Why It’s Important For Leaders. Retrieved from 

https://blog.insight-experience.com/blog/business-acumen-important-aspiring-leaders/

Student response 2 (Hyndavai Mandava) :

Relation to Financial Acuity and Managerial Decision Making

In order to differentiate the financial and managerial decision making in the organization considered to be primary things. As per financial accounting, it has been consists of the branch of accounting the purpose of which is to record. Most probably, it has been come up with reports that are relevant for managers to make decisions regarding various aspects of the business. In order to classify and summaries financial transactions in a business and report them to the stakeholders. The end result of financial acuity is the financial statements that give the stakeholders of the business an Idea on the financial performance of the business for a given period (Muchiri, 2019).

In this, the management has been takes the decisions that has been considered with the purpose of which is to collect compile and analyze information. The end results of management accounting are reports like budgets, cost cards, and variance analysis reports. Based on the users of financial accounting are external mostly shareholders, financial providers, and suppliers. Here, the users of management accounting are internal and they are managers at different levels including directors of master budgeting. The financial acuity statements are the end results of financial accounting have to follow accounting standards and national legislation (Nayani, 2018).

The management has the data are compiled for planning and a decision-making purpose which makes it focus forward towards the future. If it was applicable in reporting which requires them to be reported in a specific format with several other conditions to be followed. This is not applicable in management accounting reports as they are internal and what matters is that the end-user. In order to understand the report has been existing for different businesses to follow a different style of reports and analysis. Financial acuity has been compiling and reports historic data and therefore the focus is backward to the past. Hence, the output of financial acuity is financial statements of which prominent one is the statement of financial position, income statement, and cash flow statement (Perkins, 2013).

References

Muchiri, M. K., McMurray, A. J., Nkhoma, M., & Pham, H. C. (2019). How Transformational and Empowering Leader Behaviors Enhance Workplace Safety: A Review and Research Agenda. Journal of Developing Areas, 53(1), 257–265.

https://doi.org/10.1353/jda.2019.0015

Nayani, R. J., Nielsen, K., Daniels, K., Donaldson-Feilder, E. J., & Lewis, R. C. (2018). Out of sight and out of mind? A literature review of occupational safety and health leadership and management of distributed workers. Work & Stress, 32(2), 124–146.

https://doi.org/10.1080/02678373.2017.1390797

Perkins, D., & Daly, M. (2013). What is the evidence for clinical placements in underserved areas? Medical Education, 47(10), 958–960.

https://doi.org/10.1111/medu.12271

Response 3 (Rajesh Teja Gudipudi ) :

Learned content from this Course

The content of this course well clarifies and investigates about the wellsprings of Financial sharpness and expenses of capital, charge methodologies, budgetary and capital structure, capital planning, valuation, portfolio examination, profit strategy, proportion investigation, inward pace of return, and cost volume benefit investigation. 

New Skills Acquired 

The new skills I have acquired are Interpret monetary information from different sources including budgetary trades, money related firms, and individual organizations. Use monetary investigation systems to assess organization (Johnson and Johnson) execution. Apply present worth and future worth systems to take care of handy business issues. Comprehend and clarify how fixed-pay protections qualities influence the financing techniques chose by organizations and which key variables impact the market cost of these protections. Apply capital planning procedures in assessing and choosing speculation openings ordinarily experienced in industry. Apply a comprehension of the association’s expense of cash-flow to contributing and money related choices. 

Application of New Knowledge 

This course has helped me to comprehend and execute Cash Budget in Working Capital Management to ensure the organization has adequate money to show the everyday activities to estimating the costs. Money Budgeting assists with arranging and suggest the yearly agreements that are finished with outside sellers so as to ensure association has enough money and doesn’t squander any sum from its spending assignment. Weighted Average Cost of Capital (WACC) Knowledge gave me advantage in dynamic as it is straightforward and simple and relies upon wellspring of Income and to decide the idea of Risk. Capital Budgeting idea has helped me to figure out what the proof that are to be significantly considered while taking a Financial choice.