Stevens Institute of Technology
Howe School of Technology Management
Syllabus
EMT 624
Financial Analysis for Technical
Organizations
Semester: 2014
Day of Week/Time:
Instructor Name & Contact Information:
Sia Nassiripour
Tel: 732-618-7462
Fax: 201-216-8355
Preferred e-mail: NassiripourS@wpunj.edu
Office Hours:
By Appointment
Class Website:
https://moodle.stevens.edu/
Course Description
This course provides an introduction to both financial and managerial accounting, and
emphasizes the analysis and evaluation of accounting information as part of the
managerial processes of planning, decision-making, and control. The basics of
accounting will briefly be covered, with the major amount of time spent on ways to
understand, analyze and use financial data for decision making. Budgeting and analysis
of performance, as well as recognizing fixed and variable expenses are other key areas of
financial management covered in the course. Issues of valuation, time value of money,
uncertainty and risk will be integrated in the material.
Prerequisites: None
Course Objectives
EMT 624 falls under Functional Business Management which is one of the six strategic
themes encompassed by the MSTM program.


Strategy – Business & Technology
Global Business & Markets



Functional Business Management

Leadership & Teaming
Innovation - Creativity & Design
Thinking
Integrated Business Simulation
These distinct knowledge areas are linked together by common educational threads
resulting in a comprehensive integrated program.
Its objective is to provide students with sufficient background to be able to review basic
financial statements and disclosures and recording of transactions to establish the
financial health of the enterprise. Likewise, students gain insight into the principles of
managerial accounting through analysis, interpretation and dissemination of financial and
non-financial information to enhance the fulfillment of organizational objectives.
Additional learning objectives include the development of:
Ethical Understanding: The ethics v the legality v the regulatory rules of accounting
are discussed in numerous instances in the class. A video describing the Pharmor
accounting fraud is shown followed by an extended discussion of the ethical issues
involved.
Course Outcomes
After taking this course, the student will be able to:
1. Critically analyze financial statements, with a full appreciation of the inherent
limitations of reported financial information.
2. Utilize ratio and trend analyses to evaluate the condition and performance of business
entities.
3. Apply the concepts of present value analysis to valuing assets and making
appropriate business decisions.
4. Create realistic departmental/corporate budgets, including zero-based budgets.
5. Obtain and utilize financial data to make effective business decisions, including
make/buy, capital investment, product introduction timing, etc.
6. Utilize cost accounting data, including activity based costing, to support operating
decisions and cost reduction efforts.
Pedagogy
The course will make extensive use of the textbook, supplemented by cases, exercises,
homework and examinations. Emphasis will be on real-world, practical application of
the tools of finance to making strategic and operating decisions in a high technology
environment.
Lectures are interactive with substantial participation by students. Homework problems
give the student opportunities to apply the principles. Case studies are used to
demonstrate the nature of financial considerations in real-life situations. Mid-term and
final examinations provide the student a deeper understanding of the material and
chances to demonstrate a command of the subject matter. The Capstone Business
Simulation affords the opportunity to apply the principles learned to a simulated realworld business.
At appropriate junctures, ethical issues are raised with examples of recent turmoil in this
arena serving to emphasize the concerns.
Required Text(s)
Financial & Managerial Accounting for MBAs, 3rd edition, Easton, Halsey, McAnally,
Hartgraves and Morse, Cambridge Business Publishers, 2013
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Additional Readings
The following cases from the text book will be assigned to each team:
MA5-46
MA14-31
Assigned from journals and newspaper articles as appropriate.
Assignments
PROBLEMS/EXERCISES:
Problems from the text and other sources are assigned each week and complete solutions
are provided the following week.
Grades
Item
Class participation, homework
Midterm examination
Final examination
Total Grade
Grade
Percent
25%
45%
30%
100%
3
Ethical Conduct
The following statement is printed in the Stevens Graduate Catalog and applies to all
students taking Stevens courses, on and off campus.
“Cheating during in-class tests or take-home examinations or homework is, of course,
illegal and immoral. A Graduate Academic Evaluation Board exists to investigate
academic improprieties, conduct hearings, and determine any necessary actions. The
term ‘academic impropriety’ is meant to include, but is not limited to, cheating on
homework, during in-class or take home examinations and plagiarism.“
Consequences of academic impropriety are severe, ranging from receiving an “F” in a
course, to a warning from the Dean of the Graduate School, which becomes a part of the
permanent student record, to expulsion.
Reference:
The Graduate Student Handbook, Academic Year 2003-2004 Stevens
Institute of Technology, page 10.
Consistent with the above statements, all homework exercises, tests and exams that are
designated as individual assignments MUST contain the following signed statement
before they can be accepted for grading.
____________________________________________________________________
I pledge on my honor that I have not given or received any unauthorized assistance on
this assignment/examination. I further pledge that I have not copied any material from a
book, article, the Internet or any other source except where I have expressly cited the
source.
Signature ________________
Date: _____________
Please note that assignments in this class may be submitted to www.turnitin.com, a webbased anti-plagiarism system, for an evaluation of their originality.
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Course Schedule
Session
January 11
Modules
1. Financial Accounting for
MBAs
Assignments
M1-21, M1-24
E1-28, P1-37
January 18
2. Introducing Financial
Statements and
Transaction Analysis
3. Accounting Adjustments
and Constructing Financial
Statements
4. Analyzing and Interpreting
Financial Statements
5. Reporting and Analyzing
Operating Income
6. Reporting and Analyzing
Operating Assets
7. Reporting and Analyzing
Inter-corporate
Investments
8. Reporting and Analyzing
Non-owner Financing
9. Reporting and Analyzing
Owner Financing
Distribute Mid-Term
Exam-Due March 1
13. Managerial Accounting
for MBAs
14. Cost Behavior, Activity
Analysis, and Cost Estimation
M2-20, M2-23, M2-25, M2-26
E2-27, E2-32, E2-37
February 1
February 8
February 22
March 8
March 22
15. Cost-Volume-Profit
Analysis and Planning
16. Relevant Costs and
Benefits for Decision Making
April 5
17. Product Costing: Job and
Process Operations
18. Activity-Based Costing,
Customer Profitability, and
Activity-Based Management
21. Operational Budgeting
and Profit Planning.
E3-26, E3-27, E3-31, E3-32
P3-43
E4-25, E4-28, E4-31, P4-39
M5-13, M5-17, E5-23, E5-27
M6-14, M6-17, M6-19
E6-22, E6-27, E6-34
M7-12
E7-21, E7-25
M8-13, M8-19
E8-24
M9-22, M9-24
E9-34,E9-40
M13-16, M13-17, M13-18
E13-25
M14-13,M14-14
E14-15, E14-18, E14-20
MA14-31
M15-12, M15-16
E15-17, E15-18, E15-24
M16-15, M16-16
E16-19, E16-22, E16-25, E1626
E17-21, E17-24, E17-26, E1733, E17-35
E18-25
M21-21
P21-36, P21-40
Distribute Final Exam-Due
April 12
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