Learning Outcomes

Upon successful completion of the course, the student will be able to:

• List the 4 Pillars, or financial activities, that are key to the maintenance department's contribution to financial success of the company.
• Perform a cost-volume-profit analysis.
• Build a financial case for purchasing needed equipment (capital projects) based on payback, Internal Rate of Return, or Net Present Value.
• Define financial and management accounting as well as the key principles and terminologies that are relevant to the work of the maintenance manager.
• Read and understand corporate financial statements.
• Define the key terms necessary to relate typical budgeting and spending activities to the financial statement of a company. Examples include: balance sheet, income statement, double entry accounting, assets, liabilities, revenues, expenses, chart of accounts, depreciation and amortization.
• Participate productively in all phases of the budget cycle: planning, spending, analyzing costs and making corrections.
• Discuss the limitations of using financial accounting information in measuring performance.
• Evaluate short-term managerial decisions using relevant costs.

Effective as of Winter 2016