Outline

Overview

Economics underlies all business decisions, from pricing to product development, to negotiations, to understanding the general economic environment. This unit introduces microeconomic and macroeconomic analysis, equipping students with the tools to understand the impact of economic, socio-cultural, institutional, and technological factors on businesses' operations. In microeconomics, we address how individual consumers and firms make decisions and how they interact in markets. It also introduces a framework for understanding and analysing the broader economic and public policy environment in which a business competes. In macroeconomics, we consider the aggregate level of economic activity by examining the behaviour of GDP, unemployment and inflation in the short-run and examining the role of stabilization policies. The unit then introduces basic concepts forming the foundations of finance. Finance in many ways emanates from economics. Overall, it examines the management, creation and study of financial resources and instruments that comprise the financial system. The firm and the role of financial institutions are explored along with developing important skills in financial mathematics. The unit then moves to fundamental financial tools, which include the capital asset pricing model (CAPM) and the weighted-average cost of capital (WACC). The decisions firms make around capital structure and payout policy are then studied.

Unit details and rules

Unit code	BUSS5514
Academic unit	Accounting
Credit points	6
Prohibitions ?	BUSS5001 or FINC5001
Prerequisites ?	None
Corequisites ?	None
Assumed knowledge ?	None
Available to study abroad and exchange students	No

Teaching staff

Coordinator	Roel Boomsma, roel.boomsma@sydney.edu.au

Type	Description	Weight	Due	Length
Supervised exam ?	Final Exam The final exam will cover material from week 8 to 13.	40%	Formal exam period	2 hours
Outcomes assessed:
Small continuous assessment	Online quizzes 4 online multiple-choice quizzes to assess understanding of the material.	20%	Multiple weeks	4 x 30 minutes
Outcomes assessed:
Supervised test ?	Mid-Semester Exam The mid-semester exam will cover material from week 1 to 6.	40%	Week 07 Due date: 03 Apr 2023 at 14:00	1 hour
Outcomes assessed:

Assessment summary

Quiz 1 (5%): MCQ’s covering the material from week 1 to 3

Quiz 2 (5%): MCQ’s covering the material from week 4 to 6

Quiz 3 (5%): MCQ’s covering the material from week 8 to 10

Quiz 4 (5%): MCQ’s covering the material from week 11 to 13

Mid-Semester Exam (40%): The mid-semester exam will be a combination of short answers questions and MCQ’s. It will cover the material from week 1 to 6.

Final Exam (40%): The final exam will be a combination of short answer, problem solving and discussion questions. It will cover the material covered from week 8 to 13.

Assessment criteria

The University awards common result grades, set out in the Coursework Policy 2014 (Schedule 1).

As a general guide, a high distinction indicates work of an exceptional standard, a distinction a very high standard, a credit a good standard, and a pass an acceptable standard.

Result name	Mark range	Description
High distinction	85 - 100	Awarded when you demonstrate the learning outcomes for the unit at an exceptional standard, as defined by grade descriptors or exemplars outlined by your faculty or school.
Distinction	75 - 84	Awarded when you demonstrate the learning outcomes for the unit at a very high standard, as defined by grade descriptors or exemplars outlined by your faculty or school.
Credit	65 - 74	Awarded when you demonstrate the learning outcomes for the unit at a good standard, as defined by grade descriptors or exemplars outlined by your faculty or school.
Pass	50 - 64	Awarded when you demonstrate the learning outcomes for the unit at an acceptable standard, as defined by grade descriptors or exemplars outlined by your faculty or school.
Fail	0 - 49	When you don’t meet the learning outcomes of the unit to a satisfactory standard.

For more information see sydney.edu.au/students/guide-to-grades.

For more information see guide to grades.

Late submission

In accordance with University policy, these penalties apply when written work is submitted after 11:59pm on the due date:

Deduction of 5% of the maximum mark for each calendar day after the due date.
After ten calendar days late, a mark of zero will be awarded.

Academic integrity

The Current Student website provides information on academic integrity and the resources available to all students. The University expects students and staff to act ethically and honestly and will treat all allegations of academic integrity breaches seriously.

We use similarity detection software to detect potential instances of plagiarism or other forms of academic integrity breach. If such matches indicate evidence of plagiarism or other forms of academic integrity breaches, your teacher is required to report your work for further investigation.

You may only use artificial intelligence and writing assistance tools in assessment tasks if you are permitted to by your unit coordinator, and if you do use them, you must also acknowledge this in your work, either in a footnote or an acknowledgement section.

Studiosity is permitted for postgraduate units unless otherwise indicated by the unit coordinator. The use of this service must be acknowledged in your submission.

Learning support

Simple extensions

If you encounter a problem submitting your work on time, you may be able to apply for an extension of five calendar days through a simple extension.  The application process will be different depending on the type of assessment and extensions cannot be granted for some assessment types like exams.

Special consideration

If exceptional circumstances mean you can’t complete an assessment, you need consideration for a longer period of time, or if you have essential commitments which impact your performance in an assessment, you may be eligible for special consideration or special arrangements.

Special consideration applications will not be affected by a simple extension application.

Using AI responsibly

Co-created with students, AI in Education includes lots of helpful examples of how students use generative AI tools to support their learning. It explains how generative AI works, the different tools available and how to use them responsibly and productively.

Weekly schedule

WK	Topic	Learning activity
Week 01	Microeconomics I Economic systems, comparative advantage, supply and demand, elasticities	Lecture (2 hr)
Week 01	Microeconomics I Economic systems, comparative advantage, supply and demand, elasticities	Tutorial (1 hr)
Week 02	Microeconomics II Production and Costs. Market structures	Lecture (2 hr)
Week 02	Microeconomics II Production and Costs. Market structures	Tutorial (1 hr)
Week 03	Microeconomics III Market structures (con’t). Price discrimination, market failure and government intervention	Lecture (2 hr)
Week 03	Microeconomics III Market structures (con’t). Price discrimination, market failure and government intervention	Tutorial (1 hr)
Week 04	Macroeconomics I GDP and business cycles. International trade and globalisation	Lecture (2 hr)
Week 04	Macroeconomics I GDP and business cycles. International trade and globalisation	Tutorial (1 hr)
Week 05	Macroeconomics II Employment and inflation. Labour market, full employment, CPI and costs and causes of inflation.	Lecture (2 hr)
Week 05	Macroeconomics II Employment and inflation. Labour market, full employment, CPI and costs and causes of inflation.	Tutorial (1 hr)
Week 06	Macroeconomics III Fiscal and monetary policy. Aggregate demand and recessions. Government expenditures and budget balance. The RBA, financial markets and globalisation	Lecture (2 hr)
Week 06	Macroeconomics III Fiscal and monetary policy. Aggregate demand and recessions. Government expenditures and budget balance. The RBA, financial markets and globalisation	Tutorial (1 hr)
Week 08	What is finance and the mathematics of time	Lecture (2 hr)
Week 08	What is finance and the mathematics of time	Tutorial (1 hr)
Week 09	The firm, investors, and financial markets	Lecture (2 hr)
Week 09	The firm, investors, and financial markets	Tutorial (1 hr)
Week 10	Risk-adjusted discounted cash flows	Lecture (2 hr)
Week 10	Risk-adjusted discounted cash flows	Tutorial (1 hr)
Week 11	Capital budgeting	Lecture (2 hr)
Week 11	Capital budgeting	Tutorial (1 hr)
Week 12	Cost of capital	Lecture (2 hr)
Week 12	Cost of capital	Tutorial (1 hr)
Week 13	Capital structure and payout policies	Lecture (2 hr)
Week 13	Capital structure and payout policies	Tutorial (1 hr)

Study commitment

Typically, there is a minimum expectation of 1.5-2 hours of student effort per week per credit point for units of study offered over a full semester. For a 6 credit point unit, this equates to roughly 120-150 hours of student effort in total.

Learning outcomes

Learning outcomes are what students know, understand and are able to do on completion of a unit of study. They are aligned with the University's graduate qualities and are assessed as part of the curriculum.

Outcomes
Graduate qualities

At the completion of this unit, you should be able to:

LO1. Describe the fundamental principles of microeconomics and macroeconomics and apply these to real-world contexts.
LO2. Identify, explain and analyse the role of individuals and businesses in different types of market structures, including perfect competition, monopolistic competition, monopoly, and oligopoly.
LO3. Describe and critically evaluate the effect of changes in macroeconomic indicators including regulatory and political environments on business activity.
LO4. Apply the mathematics of finance and identify basic financial risk and risk management concepts.
LO5. Describe the role of finance in an organization and the economy.
LO6. Discuss how corporations are financed along with common financial tools for measuring and managing risk and returns.
LO7. Explain the theory of capital markets along with how organisations make investment and distribution decisions.

Graduate qualities

The graduate qualities are the qualities and skills that all University of Sydney graduates must demonstrate on successful completion of an award course. As a future Sydney graduate, the set of qualities have been designed to equip you for the contemporary world.

GQ1	Depth of disciplinary expertise Deep disciplinary expertise is the ability to integrate and rigorously apply knowledge, understanding and skills of a recognised discipline defined by scholarly activity, as well as familiarity with evolving practice of the discipline.
GQ2	Critical thinking and problem solving Critical thinking and problem solving are the questioning of ideas, evidence and assumptions in order to propose and evaluate hypotheses or alternative arguments before formulating a conclusion or a solution to an identified problem.
GQ3	Oral and written communication Effective communication, in both oral and written form, is the clear exchange of meaning in a manner that is appropriate to audience and context.
GQ4	Information and digital literacy Information and digital literacy is the ability to locate, interpret, evaluate, manage, adapt, integrate, create and convey information using appropriate resources, tools and strategies.
GQ5	Inventiveness Generating novel ideas and solutions.
GQ6	Cultural competence Cultural Competence is the ability to actively, ethically, respectfully, and successfully engage across and between cultures. In the Australian context, this includes and celebrates Aboriginal and Torres Strait Islander cultures, knowledge systems, and a mature understanding of contemporary issues.
GQ7	Interdisciplinary effectiveness Interdisciplinary effectiveness is the integration and synthesis of multiple viewpoints and practices, working effectively across disciplinary boundaries.
GQ8	Integrated professional, ethical, and personal identity An integrated professional, ethical and personal identity is understanding the interaction between one’s personal and professional selves in an ethical context.
GQ9	Influence Engaging others in a process, idea or vision.

Outcome map

Learning outcomes	Graduate qualities
Learning outcomes

Responding to student feedback

This section outlines changes made to this unit following staff and student reviews.

This unit of study is running for the first time in 2023

Additional information

Disclaimer

The University reserves the right to amend units of study or no longer offer certain units, including where there are low enrolment numbers.

To help you understand common terms that we use at the University, we offer an online glossary.

Current students

Overview

Overview

Unit details and rules

Teaching staff

Assessment

Assessment

Assessment summary

Assessment criteria

Late submission

Academic integrity

Learning support

Learning support

Simple extensions

Special consideration

Using AI responsibly

Weekly schedule

Weekly schedule

Study commitment

Learning outcomes

Learning outcomes

Graduate qualities

Outcome map

Responding to student feedback

Responding to student feedback

Additional information

Additional information

Disclaimer

On this page

Useful links

Media

Student links

About us

Connect

Current students

BUSS5514: Foundation in Economics and Finance

Semester 1, 2023 [Normal day] - Camperdown/Darlington, Sydney

Overview

Overview

Unit details and rules

Teaching staff

Assessment

Assessment

Assessment summary

Assessment criteria

Late submission

Academic integrity

Learning support

Learning support

Simple extensions

Special consideration

Using AI responsibly

Weekly schedule

Weekly schedule

Study commitment

Learning outcomes

Learning outcomes

Graduate qualities

Outcome map

Responding to student feedback

Responding to student feedback

Additional information

Additional information

Disclaimer

On this page

Useful links

Media

Student links

About us

Connect