22017 Accounting for Risk and Financial Services
Warning: The information on this page is indicative. The subject outline for a
particular session, location and mode of offering is the authoritative source
of all information about the subject for that offering. Required texts, recommended texts and references in particular are likely to change. Students will be provided with a subject outline once they enrol in the subject.
Subject handbook information prior to 2024 is available in the Archives.
Credit points: 6 cp
Subject level:
Undergraduate
Result type: Grade and marksRequisite(s): 22420 Accounting Standards and Regulations
Description
This subject provides an understanding of the accounting issues that arise in the financial services sector. This includes not only the regulatory reporting requirements for firms in the sector but also the risks that these firms are exposed to and the management strategies that may be employed to manage these risks.
Subject learning objectives (SLOs)
| 1. | Explain the nature of the business activities and regulatory frameworks of firms engaged in the financial services sector |
|---|---|
| 2. | Apply the requirements of financial reporting regulation which are relevant to firms in the financial services sector |
| 3. | Explain the risks faced by organizations and apply risk management strategies and tools to manage risk |
| 4. | Analyse the risks faced by firms in the financial services sector and explain how these risks are managed |
Contribution to the development of graduate attributes
Success or failure for businesses in the current environment is often driven by their capacity to identify and manage risk. One sector where this is highly relevant is in financial services, particularly its size and significance. The financial services sector is the 4th largest sector in the Australian economy, accounting for more than 8% of GDP and employing nearly 400,000 people. This subject focusses on understanding the business activities of firms in the financial services sector and considers the financial and management accounting issues that arise and which have particular relevance. This includes consideration of risk and the broader regulatory environment and challenges faced by firms within the sector.
Teaching and learning strategies
This subject adopts the following teaching and learning strategies. These strategies include active learning activities where you discuss in-class the material which you have learned prior to coming to class. The subject also incorporates active in-class learning experiences where you collaborate with other students to discuss real-life issues in the financial services sector.
Preparation outside class: One of the principal learning strategies for this subject involves the preparation of assigned material prior to class. Students are required to read and reflect upon assigned readings and problems from the textbook and other sources and are expected to apply this learning when they come to class. This preparation incorporates the completion of self-study problems which are available in the textbook and on the learning management system. The solutions to these questions are not discussed in class but are made available on the learning management system. By comparing suggested solutions to their prepared answers students are able to make a self-assessment of their progress in understanding the material in the subject. This self-assessment activity is designed to provide students with feedback and to guide students on those areas where they may wish to seek additional assistance and feedback from subject staff.
In-class activities: Face-to-face teaching involves lecture and tutorial classes which include active learning activities. The lecture activity is designed to build upon your prior reading of assigned material to ensure that students comprehend the technical aspects of each topic. The lecture activity will typically incorporate the application and discussion of issues using real-world cases. Students will also be involved in active learning experiences as a portion of each tutorial will be devoted to the discussion and application of material prepared prior to class. This ‘flipped’ in-class activity will be completed in collaboration with other students and provides students with the opportunity to obtain in-class peer feedback on their learning.
Online activities: Your learning in this subject also requires the participation in online learning activities. This will include the accessing and pre-reading of materials placed on the learning management system which will be discussed in-class (e.g., PowerPoint slides, watching videos and other material). The lecture slides provided on the learning management system are intended merely to provide you with an overview of what will be discussed in lectures. You are expected to add your own additional notes and explanations. Lecture slides for each lecture are available before each lecture for you to download from the learning management system and bring with you to class.
Student learning in this subject is also facilitated through online discussion forums which are available throughout session to all students on the learning management system. These discussion forums can be used to ask questions relating to subject content and subject administration. The forums therefore provide an alternative method of obtaining feedback on your learning from subject staff or other students.
Consultation with subject teaching staff: All subject teaching staff are available for one-on-one consultation with students. The specific times that staff is available for consultation will be advised in class by your lecturer and can also be found on the learning management system Meeting staff during consultation provides an opportunity for students to receive feedback on their learning in this subject.
Content (topics)
- Introduction to activities of firms in the financial services sector
- Discussion and evaluation of the sources of regulation in the financial services sector
- Explanation and preparation of financial reporting requirements for firms in the financial services sector
- Explain and apply the tools and techniques used for managing risk and the context in which they are used
- Analyse the risks and explain appropriate risk manage strategies in the financial services sector
Assessment
Assessment task 1: Tutorial work (Individual)
| Objective(s): | This addresses subject learning objective(s): 1, 2, 3 and 4 |
|---|---|
| Weight: | 15% |
Assessment task 2: Assignment (Group)
| Objective(s): | This addresses subject learning objective(s): 3 and 4 |
|---|---|
| Weight: | 25% |
Assessment task 3: Fnal exam (Individual)
| Objective(s): | This addresses subject learning objective(s): 1, 2, 3 and 4 |
|---|---|
| Weight: | 60% |
Minimum requirements
Students must achieve at least 50% of the subject’s total marks.
Recommended texts
Loftus, J., Leo, K., Boys, N., Daniliuc, S., Luke, B., Hong, A., Byrnes, K., Financial Reporting, 1st Edition, 2015, Wiley.
References
Chartered Accountants of Australia and New Zealand, Financial Reporting Handbook 2016, 2016, John Wiley & Son