Prerequisite/Recommended prerequisite for
participation in the module
This module is based on knowledge gained in the module Calculus.
Content, progress and pedagogy of the
module
To provide the student with an understanding of fundamentals of
management accounting, business economics and finance in a
manufacturing context.
Students who complete the module should understand the basics
within management accounting, business economics and finance in a
manufacturing context.
Learning objectives
Knowledge
- Must have knowledge about principles of manufacturing and
service economy at business level
- Must have knowledge about main principles of management
accounting and business economics
- Must have knowledge about financial ratios and profitability
analysis (du-pont pyramid, ROI, ROA, financial leverage etc.)
- Must have knowledge about quoting and pricing calculations
- Must have knowledge about budgeting and cash-flow analysis
- Must have knowledge about investment-theory and pay back
analysis, also be familiar with Monte carlo and sensitivity
analysis
- Must have knowledge about make-buy analysis to guide in- versus
outsourcing decisions in a short but also long term context
- Must have an understanding of business models
- Must have an understanding of the balance between demand-pull
and push
Skills
- Must be able to understand and contribute to annual report and
balance sheet for a “constructed” business setup
- Must be able to analyze profitability and economic performance
of businesses through review of financial ratios and underlying
assumptions
- Must be able to produce a viable quote or offer a price for a
customer on a particular product / service offering
- Must be able to make simple budgeting and cash-flow analysis of
investments
- Must be able to produce cost-benefit analysis of “hard” and
“soft” investments and calculate Net present value for these, also
make scenario based analysis of returns
- Must be able to examine profitability of make buy-decisions for
manufacturing / logistics chains in a global context, examining
both short and long term benefits
Competences
- Must have the competencies to apply management accounting and
business economics to systematize economic decision at the
manufacturing, value chain or business level
- Must have the competencies to make financial plans for
start-ups, price new products / services from a cost based
perspective etc, and this to enable successful entrepreneurial
activities among students
Type of instruction
The teaching is organized in accordance with the general form of
teaching. Please see the programme cirruculum §17.
Extent and expected workload
Since it is a 5 ECTS course module the expected workload is 150
hours for the student.
Exam
Exams
Name of exam | Introduction to Production and Service Economics |
Type of exam | Written or oral exam |
ECTS | 5 |
Assessment | 7-point grading scale |
Type of grading | Internal examination |