Business Finance CP & Honors

Course Syllabus

COURSE DESCRIPTION:  This course is designed to provide students with an understanding of how corporations, organizations, and businesses handle money. Concepts include the management of money, accounting methodologies, investing strategies, and effective financial management. 

A.      SAFETY Effective professionals know the academic subject matter, including safety as required for proficiency within their area. They will use this knowledge as needed in their role. The following accountability criteria are considered essential for students in any program of study.

1. Review school safety policies and procedures.

2. Review classroom safety rules and procedures.

3. Review safety procedures for using equipment in the classroom.

4. Identify major causes of work-related accidents in office environments.

5. Demonstrate safety skills in an office/work environment.

B. STUDENT ORGANIZATIONS Effective professionals know the academic subject matter, including professional development, required for proficiency within their area. They will use this knowledge as needed in their role. The following accountability criteria are considered essential for students in any program of study.

1. Identify the purpose and goals of a Career and Technology Student Organization (CTSO).   Explain how CTSOs are integral parts of specific clusters, majors, and/or courses.

2. Explain the benefits and responsibilities of being a member of a CTSO.

3. List leadership opportunities that are available to students through participation in CTSO conferences, competitions, community service, philanthropy, and other activities.

4. Explain how participation in CTSOs can promote lifelong benefits in other professional and civic organizations.

C. TECHNOLOGY KNOWLEDGE Effective professionals know the academic subject matter, including the ethical use of technology as needed in their role. The following accountability criteria are considered essential for students in any program of study.

1. Demonstrate proficiency and skills associated with the use of technologies that are common to a specific occupation.

2. Identify proper netiquette when using e-mail, social media, and other technologies for communication purposes.

3. Identify potential abuse and unethical uses of laptops, tablets, computers, and/or networks. 4. Explain the consequences of social, illegal, and unethical uses of technology (e.g., piracy; illegal downloading; licensing infringement; inappropriate uses of software, hardware, and mobile devices in the work environment).

5. Discuss legal issues and the terms of use related to copyright laws, fair use laws, and ethics pertaining to downloading of images, photographs, documents, video, sounds, music, trademarks, and other elements for personal use.

6. Describe ethical and legal practices of safeguarding the confidentiality of business-related information.

7. Describe possible threats to a laptop, tablet, computer, and/or network and methods of avoiding attacks.

D. PERSONAL QUALITIES AND EMPLOYABILITY SKILLS Effective professionals know the academic subject matter, including positive work practices and interpersonal skills, as needed in their role. The following accountability criteria are considered essential for students in any program of study.

1. Demonstrate punctuality.

2. Demonstrate self-representation.

3. Demonstrate work ethic.

4. Demonstrate respect.

5. Demonstrate time management.

6. Demonstrate integrity.

7. Demonstrate leadership.

8. Demonstrate teamwork and collaboration.

9. Demonstrate conflict resolution.

10. Demonstrate perseverance.

11. Demonstrate commitment.

12. Demonstrate a healthy view of competition.

13. Demonstrate a global perspective.

14. Demonstrate health and fitness.

15. Demonstrate self-direction.

16. Demonstrate lifelong learning.

E. PROFESSIONAL KNOWLEDGE Effective professionals know the academic subject matter, including positive work practices and interpersonal skills, as needed in their role. The following accountability criteria are considered essential for students in any program of study.

1. Demonstrate effective speaking and listening skills.

2. Demonstrate effective reading and writing skills.

3. Demonstrate mathematical reasoning.

4. Demonstrate job-specific mathematics skills.

5. Demonstrate critical-thinking and problem-solving skills.

6. Demonstrate creativity and resourcefulness.

7. Demonstrate an understanding of business ethics.

8. Demonstrate confidentiality.

9. Demonstrate an understanding of workplace structures, organizations, systems, and climates. 10. Demonstrate diversity awareness.

11. Demonstrate job acquisition and advancement skills.

12. Demonstrate task management skills.

13. Demonstrate customer-service skills.

F. FINANCIAL FUNDAMENTALS Effective business finance professionals demonstrate a fundamental knowledge of business finance. The following accountability criteria are considered essential for students in the Finance program of study.

1. Describe the role of finance in the economy.

2. Determine the various types of financial markets and their impact on the economy, i.e., money markets and capital markets.

3. Describe financial institutions commonly used by businesses and consumers.

4. Explain the sources of funding for small and large businesses, e.g. revenue, debt and equity financing.

5. Explain the uses of funding for small and large businesses, e.g. current and capital expenditures.

6. Identify government regulations that impact business, e.g. taxes, insurance.

G. FINANCIAL ENVIRONMENT OF BUSINESS Effective business finance professionals demonstrate an understanding of the financial environment in which they work. The following accountability criteria are considered essential for students in the Finance program of study.

1. Describe basic economic principles.

2. Explain how economic decisions are made.

3. Compare and contrast the differences in the legal structures of business ownership and organization, i.e. sole proprietorship, partnerships, corporations, and LLCs.

4. Analyze financial advantages and disadvantages of business ownership.

H. FINANCIAL MARKETS Effective business finance professionals demonstrate the knowledge of the different types of financial markets and how they operate. The following accountability criteria are considered essential for students in the Finance program of study.

1. Explain the purpose and general structure of financial markets.

2. Describe the major types of capital markets, i.e. treasury notes/bonds, corporate/municipal bonds, and common/preferred stock.

3. Describe the major types of money markets, i.e. treasury bills, certificates of deposits (CDs), and commercial paper.

4. Discuss the importance of foreign exchange market.

I. FINANCIAL MANAGEMENT PLANNING Effective business finance professionals understand business goals and how they are used in financial planning. The following accountability criteria are considered essential for students in the Finance program of study.

1. Describe the three primary financial goals of businesses.

2. Identify the characteristics of effective financial goals.

3. Interpret the elements of financial statements (i.e. balance sheet, income statement, cash flow statement).

4. Recognize the purpose of budgeting and types of financial budgets (i.e. operating, cash, and capital budgets).

5. Prepare an operating financial budget.

6. Describe how interest rates affect investment decisions.

7. Calculate the time value of money on investments and loans.

J. FINANCIAL MANAGEMENT ANALYSIS  Effective business finance professionals demonstrate the appropriate skills for analyzing financial data. The following accountability criteria are considered essential for students in the Finance program of study.

1. Evaluate the importance of accurate, complete, and secure financial records for a business.

2. Identify the structure and purpose of managing financial data.

3. Explain how financial ratios aid in financial decision making.

4. Calculate financial ratios used to analyze the financial condition of a business, e.g. liquidity, asset management, debt management, profitability and market performance ratios.

K. SHORT-TERM FINANCIAL ACTIVITIES Effective business finance professionals demonstrate an understanding of short-term financing activities which can be used to affect business operations. The following accountability criteria are considered essential for students in the Finance program of study.

1. Explain short-term financing activities.

2. Identify the elements of working capital.

3. Illustrate and explain the supply chain for a company.

4. Identify costs associated with manufacturing and inventory management.

5. Describe compensation models developed for various types of business organizations.

L. LONG-TERM STRATEGIC PLANNING Effective business finance professionals demonstrate an understanding of long-term financing activities which a business can use to affect business operations. The following accountability criteria are considered essential for students in the Finance program of study.

1. Describe types of capital projects used in business.

2. Describe tools used to analyze capital projects.

3. Explain factors that affect capital spending decision.

4. Explain factors that affect the cost of capital.

5. Explain business growth and expansion actions.

6. Identify actions for reducing business risks.

M. FINANCIAL BUSINESS ALTERNATIVES Effective business finance professionals demonstrate knowledge of various financing alternatives which a business can use to increase revenue. The following accountability criteria are considered essential for students in the Finance program of study.

1. Explain financing alternatives, e.g. buying on account, bank loans/notes, and commercial paper.

2. Compare and contrast debt and equity financing.

3. Distinguish between the main types of government and corporate bonds.

4. Prioritize business activities associated with issuing bonds.

5. Examine factors that affect bond values.

6. Describe the types of capital stock sold by corporations.

7. Explain the process for issuing stock.

8. Identify the activities involved with stock market transactions

9. Analyze the role of diversification in investments.

10. Explain the purpose of a mutual fund.

O. CREDIT PRINCIPLES AND BUSINESS PRACTICES Effective business finance professionals demonstrate knowledge of how businesses use credit appropriately. The following accountability criteria are considered essential for students in the Finance program of study.

1. Identify the major decisions that are part of a company’s credit policy.

2. Explain the factors a business should consider when deciding to use credit.

3. Analyze the legal requirements for credit and collections.

P. RISK MANAGEMENT Effective business finance professionals understand the role risk plays in determining the cost of insurance and in customer relations. The following accountability criteria are considered essential for students in the Finance program of study.

1. Define risk and the types of risks faced by businesses.

2. Examine the relationship between risk and probability.

3. Describe the primary methods for managing risks.

4. Identify important insurance terms and concepts.

5. Describe the key parts of an insurance policy, e.g. declarations, insuring agreement, definitions, conditions, and miscellaneous page.

6. Describe common types of business insurance, e.g. property, liability, and business income.

7. Describe important personnel risks and how they are insured, e.g. workers’ compensation, unemployment, healthcare, and disability.

8. Describe important responsibilities of companies in protecting business and customer information.

9. Identify specific risks to customer information privacy and security.

Q. DATA PROTECTION Effective business finance professionals understand the importance of information, common methods for stealing information, as well as, methods used to protect it. The following accountability criteria are considered essential for students in the Finance program of study.

1. Describe common ways ID theft happens (e.g. dumpster diving, skimming, phishing, changing addresses, stealing, computer hacking).

2. Describe ways to deter identity theft by safeguarding information (e.g. shredding financial documents, protecting Social Security number, not giving out personal information, using secure networks for on-line balances, and not using obvious passwords).

3. Describe ways to detect suspicious activity by routinely monitoring accounts (e.g. reviewing credit reports, on-line balances, and monthly statements.)

4. Describe ways to defend against ID theft as soon as theft is suspected (e.g., placing fraud alerts on credit reports, closing accounts, filing police reports, and reporting to the Federal Trade Commission).

R. INTERNATIONAL BUSINESS AND TRADE Effective business finance professionals demonstrate an awareness of working within a global environment and its impact on a business’s financial performance. The following accountability criteria are considered essential for students in the Finance program of study.

1. Describe common international business activities.

2. Identify methods for encouraging and measuring foreign trade.

3. Describe factors that affect economic development.

4. Explain how countries influence foreign exchange values.

5. Describe global markets for selling financial securities.

6. Explain other types of international financial markets.

7. Identify several types of international financial activities.

S. PROFESSIONALISM Effective business finance professionals demonstrate professionalism at all times in the business workplace. They will use this knowledge as needed in their role.

The following accountability criteria are considered essential for students in the Finance program of study.

1. Evaluate career opportunities. 

2. Identify sources of employment opportunities. 

3. Identify appropriate dress and grooming for the workplace.

4. Develop an electronic portfolio for career opportunities.

5. Compose a resume. 

6. Compose a letter of application. 

Business Finance Honors

Business Finance Honors 

(Entrepreneurial Finance)

Activity Course Code: 527301HW

Course Description: 

This course helps students develop the financial thinking tools and techniques necessary in the realm of entrepreneurship. Students will be introduced to the theories, knowledge and financial tools needed to start and build a business.. Students will learn how and where to obtain financing; how and when to interact with financial institutions and regulatory agencies to take the venture to its potential and provide a return for the investors. Students will conduct research and assess venture opportunities and determine the feasibility of a business concept as compared to a model business. Students will analyze the various stages in the life cycle of a business and develop an understanding of the financial management tools and techniques that potential investors and the financial institutions utilize. The course capstone project will be for students to create and present a financial analysis of a venture.

Recommended Text: Business Finance, Dlabay & Burrow

Enrichment Text (if applicable):Entrepreneurial Finance, 7th edition. J Chris Leach and Ronald W. Melicher

Other Curriculum Resources: NAF http://curriculum.naf.org/finance/?page=finance

 Wall Street Journal, How the Market Works, Shark Tank, The Profit

Prerequisites (if applicable): Accounting Honors and/or Entrepreneurship Honors 

Course Credit: 1 Unit

Recommended Grade Level: 11-12

Learning Objectives: 

1. Financial concepts

   1. Identify & Describe all parts of the business life cycle.

   2. Describe the concepts of capital and discuss how businesses raise capital and analyze the need for capital with different types of businesses.

   3. Compare and contrast different forms of business ownership.

2. The Financial Environment

   1. Describe how finance influences business organizations.

   2. Summarize the importance of cash flow.

   3. Evaluate ways to improve cash flow within a business.

3. Profit 

   1. Distinguish between costs, revenue and profit.

   2. Explain how profits keep a business viable.

   3. Explain what it is necessary and desirable for some businesses to be not-for-profit.

4. Risk & Risk Management

   1. Display an understanding of typical risks business face.

   2. Evaluate approaches to risk management and mitigation.

5. Financial Record-keeping and Analysis

   1. Describe ways that businesses keep track of their financial results.

   2. Distinguish between a profit and loss statement, a balance sheet, and a cash flow statement.

   3. Explain the concepts of financial analysis, financial analysis tools and the relationships among financial measurements.

6. Financial Strategies

   1. Explain the importance of a budget.

   2. Describe how budgeting helps businesses manage their financial resources.

   3. Display an understanding of how forecasting helps businesses manage their finances.

7. Business Financing Options

   1. Describe why businesses might need to raise capital.

   2. Compare and contrast funding options available to businesses.

   3. Explain short -term and long - term funding.

8. Stocks

   1. Describe corporate stock and what it represents

   2. Explain the advantages and disadvantages of taking a company public.

   3. Display an understanding of the factors that can affect stock prices.

9. Bonds

   1. Explain why a company might issue bonds instead of stocks.

   2. Describe corporate bonds and what they represent.

   3. Identify the principal ways to issue bonds.

10. Financial Institutions

10.1 Research various services offered by financial institutions.

10.2 Describe how financial institutions are important to the business environment and

            the economy.

10.2 Explain how businesses rely on banks and other financial institutions for specific 

services and products.

11.  The Globalization of Business

11.1 Describe Globalization

11.2 Explain and analyze the effects of globalization on businesses,

11.3 Describe different globalization issues and examine their positive and negative  

            characteristics.