I. General Information
1. Course Title:
Entrepreneurial Finance for Vineyard and Winery Business
2. Course Prefix & Number:
VITI 1132
3. Course Credits and Contact Hours:
Credits: 3
Lecture Hours: 3
4. Course Description:
This course focuses on the financing decisions faced by entrepreneurs. During the first section of this course students will learn the basics of financial accounting and planning, including financial statements and pro forma preparation and analysis. In the second section, students are introduced to the concepts of financial management, including the time value of money, profitability and break-even analysis, capital budgeting and management, and cash flow analysis. The third section of the course focuses on analyzing capital funding and financing options and needs, including business valuation models and raising capital through debt, equity, and community resources.
5. Placement Tests Required:
| Accuplacer (specify test): |
No placement tests required |
Score: |
|
6. Prerequisite Courses:
VITI 1132 - Entrepreneurial Finance for Vineyard and Winery Business
There are no prerequisites for this course.
9. Co-requisite Courses:
VITI 1132 - Entrepreneurial Finance for Vineyard and Winery Business
There are no corequisites for this course.
II. Transfer and Articulation
1. Course Equivalency - similar course from other regional institutions:
Missouri State University, West Plains, VIN 132 Finance and Accounting for Wine Business, 3 cr
Highland Community College, Kansas, VIN 132 Finance and Accounting for Wine Business, 3 cr
III. Course Purpose
Other - If this course is not required in a program or is not part of the MN Transfer Curriculum, it may be used for the purpose(s) listed below:
- Liberal Arts Elective
- Technical Elective
IV. Learning Outcomes
1. College-Wide Outcomes
| College-Wide Outcomes/Competencies |
Students will be able to: |
| Demonstrate interpersonal communication skills |
Demonstrate an understanding of the regulatory environment. |
| Assess alternative solutions to a problem |
Create a feasibility study and course of action for developing a future business plan. |
| Analyze and follow a sequence of operations |
Analyze the feasibility of an intended project against the cost identified in a financial model. |
2. Course Specific Outcomes - Students will be able to achieve the following measurable goals upon completion of
the course:
- Summarize financial accounting principles, terms and concepts as they pertain to the vineyard and winery industry;
- Describe a profit and loss statement, balance sheet and cash flow statement;
- Explain reporting procedures for revenues, discounts and promotions, taxes, assets and depreciation, cost allocation, and inventory costing;
- Indicate the use of cost accounting in regards to vineyard and winery accounting;
- Explain how to calculate the cost of goods for grape production, bulk and bottled wine;
- Discuss the use of capitalized costs and overhead cost allocation;
- Identify a vineyard and winery management reporting system;
- Identify and collect various vineyard and winery metrics;
- Show how to use sales, net sales, bill backs, discounts and promotions, depletions, cost of goods sold, winery and vineyard metrics and other data or expenses as key performance indicators or best practices;
- Calculate financial ratios;
- Explain the purpose of benchmarking and how it is used in making informed business decisions.
- Discuss the importance of using budgets, forecasting and best practices in vineyard or winery businesses;
- Calculate and interpret an operating budget for a vineyard or winery business; and
- Review a cash flow budget for operations and capital expenditures.
V. Topical Outline
Listed below are major areas of content typically covered in this course.
1. Lecture Sessions
- Financial and Economic Concepts
- Basic Financial Concepts and Terms
- Importance of Finance
- Economic Concept of Finance
- Financial Management and Planning
- Management Functions
- Planning
- Organizing
- Controlling
- Financial Statements
- Income Statement
- Statement of Financial Position
- Balance Sheet
- Statement of Cash Flow
- Analysis of Financial Statements
- Vertical Analysis
- Horizontal Analysis
- Ratio Analysis
- Liquidity Ratios
- Activity Ratios
- Leverage Ratios
- Profitability Ratios
- Market Ratios
- Comparative Ratios
- Profit, Profitability and Break-even Analysis
- Efficiency and Effectiveness
- Profit
- Earning Power
- Break Even Analysis
- Break Even Quantity
- Break Even Dollars
- Leverage
- Operating Leverag
- Financial Leverage
- Forecasting and Pro Forma Financial Statements
- Type of Forecasting Models
- Practical Sales Forecasting for Start-up Business
- Pro Forma Financial Statements
- Pro Forma Income Statements
- Pro Forma Cash Budget
- Pro Forma Balance Sheet
- Monitoring and Controlling the Business
- Gantt Chart
- Working Capital Management
- Current Asset Management
- Cash Managemen
- Marketable Securities Management
- Accounts Receivable Management
- Inventory Management
- Current Liabilities Management
- Short-term Deb Management
- Accrued Liabilities Management
- Accounts Payable Management
- Time Value of Money –
- Simple Interest
- Bank Discount
- Compound Interest
- Time Value of Money Methods
- Future Value of Money Methods
- Present Value of Money
- Capital Budgeting
- Factors Affecting Capital Budgeting
- Government regulations
- Research and development
- Business strategy changes
- Formulating a Proposal
- Costs in Capital budgeting
- Benefit in Capital budgeting
- Evaluating the Data
- Payback
- Net Present Value (NPV)
- Profitability Index (PI)
- Internal Rate of Return (IRR)
- Accounting Rate of Return (ARR)
- Lowest Cost Total
- Personal Finance
- Risk
- Financial Planning Goals
- Investments
- Pension Planning
- Estate Planning
I. General Information
1. Course Title:
Entrepreneurial Finance for Vineyard and Winery Business
2. Course Prefix & Number:
VITI 1132
3. Course Credits and Contact Hours:
Credits: 3
Lecture Hours: 3
4. Course Description:
This course focuses on the financing decisions faced by entrepreneurs. During the first section of this course students will learn the basics of financial accounting and planning, including financial statements and pro forma preparation and analysis. In the second section, students are introduced to the concepts of financial management, including the time value of money, profitability and break-even analysis, capital budgeting and management, and cash flow analysis. The third section of the course focuses on analyzing capital funding and financing options and needs, including business valuation models and raising capital through debt, equity, and community resources.
5. Placement Tests Required:
| Accuplacer (specify test): |
No placement tests required |
Score: |
|
6. Prerequisite Courses:
VITI 1132 - Entrepreneurial Finance for Vineyard and Winery Business
There are no prerequisites for this course.
9. Co-requisite Courses:
VITI 1132 - Entrepreneurial Finance for Vineyard and Winery Business
There are no corequisites for this course.
II. Transfer and Articulation
1. Course Equivalency - similar course from other regional institutions:
Missouri State University, West Plains, VIN 132 Finance and Accounting for Wine Business, 3 cr
Highland Community College, Kansas, VIN 132 Finance and Accounting for Wine Business, 3 cr
III. Course Purpose
3. Other - If this course does NOT meet criteria for #1 or #2 above, it may be used for the purpose(s) selected below:
- Liberal Arts Elective
- Technical Elective
IV. Learning Outcomes
1. College-Wide Outcomes
| College-Wide Outcomes/Competencies |
Students will be able to: |
| Demonstrate interpersonal communication skills |
Demonstrate an understanding of the regulatory environment. |
| Analyze and follow a sequence of operations |
Analyze the feasibility of an intended project against the cost identified in a financial model. |
2. Course Specific Outcomes - Students will be able to achieve the following measurable goals upon completion of
the course:
- Summarize financial accounting principles, terms and concepts as they pertain to the vineyard and winery industry;
- Describe a profit and loss statement, balance sheet and cash flow statement;
- Explain reporting procedures for revenues, discounts and promotions, taxes, assets and depreciation, cost allocation, and inventory costing;
- Indicate the use of cost accounting in regards to vineyard and winery accounting;
- Explain how to calculate the cost of goods for grape production, bulk and bottled wine;
- Discuss the use of capitalized costs and overhead cost allocation;
- Identify a vineyard and winery management reporting system;
- Identify and collect various vineyard and winery metrics;
- Show how to use sales, net sales, bill backs, discounts and promotions, depletions, cost of goods sold, winery and vineyard metrics and other data or expenses as key performance indicators or best practices;
- Calculate financial ratios;
- Explain the purpose of benchmarking and how it is used in making informed business decisions.
- Discuss the importance of using budgets, forecasting and best practices in vineyard or winery businesses;
- Calculate and interpret an operating budget for a vineyard or winery business; and
- Review a cash flow budget for operations and capital expenditures.
V. Topical Outline
Listed below are major areas of content typically covered in this course.
1. Lecture Sessions
- Financial and Economic Concepts
- Basic Financial Concepts and Terms
- Importance of Finance
- Economic Concept of Finance
- Financial Management and Planning
- Management Functions
- Planning
- Organizing
- Controlling
- Financial Statements
- Income Statement
- Statement of Financial Position
- Balance Sheet
- Statement of Cash Flow
- Analysis of Financial Statements
- Vertical Analysis
- Horizontal Analysis
- Ratio Analysis
- Liquidity Ratios
- Activity Ratios
- Leverage Ratios
- Profitability Ratios
- Market Ratios
- Comparative Ratios
- Profit, Profitability and Break-even Analysis
- Efficiency and Effectiveness
- Profit
- Earning Power
- Break Even Analysis
- Break Even Quantity
- Break Even Dollars
- Leverage
- Operating Leverag
- Financial Leverage
- Forecasting and Pro Forma Financial Statements
- Type of Forecasting Models
- Practical Sales Forecasting for Start-up Business
- Pro Forma Financial Statements
- Pro Forma Income Statements
- Pro Forma Cash Budget
- Pro Forma Balance Sheet
- Monitoring and Controlling the Business
- Gantt Chart
- Working Capital Management
- Current Asset Management
- Cash Managemen
- Marketable Securities Management
- Accounts Receivable Management
- Inventory Management
- Current Liabilities Management
- Short-term Deb Management
- Accrued Liabilities Management
- Accounts Payable Management
- Time Value of Money –
- Simple Interest
- Bank Discount
- Compound Interest
- Time Value of Money Methods
- Future Value of Money Methods
- Present Value of Money
- Capital Budgeting
- Factors Affecting Capital Budgeting
- Government regulations
- Research and development
- Business strategy changes
- Formulating a Proposal
- Costs in Capital budgeting
- Benefit in Capital budgeting
- Evaluating the Data
- Payback
- Net Present Value (NPV)
- Profitability Index (PI)
- Internal Rate of Return (IRR)
- Accounting Rate of Return (ARR)
- Lowest Cost Total
- Personal Finance
- Risk
- Financial Planning Goals
- Investments
- Pension Planning
- Estate Planning