principles of financial management

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Assessment Task – Tutorial Questions Assignment 1

Unit Code: HA1022

Unit Name: Principles of Financial Management

Assignment: Tutorial Questions Assignment 1

Due: 11:30pm 22nd May 2020 (Week 8)

Weighting: 25%

Total Assignment Marks: 50 Marks

Purpose: This assignment is designed to assess your level of knowledge of the key topics covered in

this unit

Unit Learning Outcomes Assessed:

1. Explain the institutional framework of the Australian Financial System;

2. Discuss the specific roles of Commercial Banks and NBFIs (Non-Bank Financial Institutions) in the Australian Financial System.

3. Discuss the Equity Market, the instruments available and their uses;

4. Discuss the Short- and Long-Term Debt Markets, the instruments available and their uses;

5. Discuss workings of Foreign Exchange Markets and how they facilitate international trade;

6. Discuss the Derivative Market, the instruments available and their uses;

7. Perform calculations to value securities traded in the financial markets.

Description: Each week students were provided with three tutorial questions of varying degrees of

difficulty. These tutorial questions are available in the Tutorial Folder for each week on Blackboard.

The Interactive Tutorials are designed to assist students with the process, skills and knowledge to

answer the provided tutorial questions. Your task is to answer a selection of tutorial questions from

weeks 1 to 5 inclusive and submit these answers in a single document.

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The questions to be answered are:

Week 1 Question (10 marks)

Discuss the flow of funds that characterises any financial system. (10 marks)

Week 2 Question (10 marks)

Define what is meant by the off-balance-sheet business of banks and identify the four (4) main

categories of off-balance-sheet business and use an example to explain each category. (10 marks)

Week 3 Question (10 marks)

Explain and discuss the secondary market role of a stock exchange and its importance to the

corporation. Illustrate your answer by using examples. (10 marks)

Week 4 Question (10 marks)

Explain and discuss the factors that have influenced the growth in structured finance. What are the

characteristics of structured finance that tend to differentiate it from other forms of project finance?

(10 marks)

Week 5 Question (10 marks)

Explain what is meant by the liquidity of a company. Define two (2) common accounting measures of

liquidity. (10 marks)

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Submission Directions:

The assignment has to be submitted via Blackboard in word file format. Each student will be permitted

one submission to Blackboard only. Each student needs to ensure that the document submitted is

the correct one.

Academic Integrity

Academic honesty is highly valued at Holmes Institute. Students must always submit work that

represents their original words or ideas. If any words or ideas used in a class posting or assignment

submission do not represent the student’s original words or ideas, the student must cite all relevant

sources and make clear the extent to which such sources were used. Written assignments that include

material similar to course reading materials or other sources should include a citation including source,

author, and page number.

In addition, written assignments that are similar or identical to those of another student in the class is

also a violation of the Holmes Institute’s Academic Conduct and Integrity Policy. The consequence for

a violation of this policy can incur a range of penalties varying from a 50% penalty through to

suspension of enrolment. The penalty would be dependent on the extent of academic misconduct

and the student’s history of academic misconduct issues. All assessments will be automatically

submitted to Safe-Assign to assess their originality.

Further Information:

For further information and additional learning resources, students should refer to their Discussion

Board for the unit.