Assets are the economic resources for any organization. Liquid assets, such as cash and inventory, are especially essential to an organization's ability to operate. This course teaches how to properly establish, implement, and monitor asset accounts, to ensure that the organization's assets will be managed securely and effectively.
Skills you’ll gain
Asset ClassesAsset ManagementAsset TrackingFixed Assets ManagementLiquidity ManagementAsset Management CertificationWhat You'll Learn
- Establish, implement, and monitor asset accounts to manage organizational assets securely and effectively
- Apply internal control systems and techniques to control cash and analyze financial liquidity
- Perform inventory control using ABC analysis, EOQ calculations, and days of inventory on hand
- Manage accounts receivable using days sales outstanding and receivables collection efficiency measures
- Conduct cost-volume-profit (CVP) analysis to determine contribution margin, break-even points, and target profits
Key Takeaways
- Assets are the economic resources of an organization, and liquid assets such as cash and inventory are essential to its ability to operate.
- Properly establishing, implementing, and monitoring asset accounts helps ensure assets are managed securely and effectively.
- Internal control systems and cash control techniques support effective management of liquid assets.
- Inventory management techniques include ABC analysis, calculating the economic order quantity (EOQ), and tracking days of inventory on hand.
- CVP analysis is used to compute contribution margin, break-even points, and the unit sales needed to reach a target profit.
Frequently Asked Questions
What does this course cover?
The course teaches how to properly establish, implement, and monitor asset accounts to ensure an organization's assets are managed securely and effectively. It covers internal controls and cash control techniques, financial liquidity analysis, inventory control (including ABC analysis, EOQ, and days of inventory on hand), managing accounts receivable, and cost-volume-profit (CVP) analysis.
Why is managing assets important for an organization?
Assets are the economic resources for any organization, and liquid assets such as cash and inventory are especially essential to an organization's ability to operate.
What skills will I gain from this course?
The course develops skills in asset classes, asset management, asset tracking, fixed assets management, and liquidity management, and includes an Asset Management Certification.
What inventory management techniques are taught?
The course covers inventory control and reduction techniques, performing ABC analysis and categorizing inventory based on ABC, calculating and determining the economic order quantity (EOQ), and understanding days of inventory on hand and its effects.
Does the course cover break-even and profitability analysis?
Yes. Through CVP analysis, the course covers comparing sales activity, contribution margin, and net income, the contribution margin ratio, computing a break-even point, and computing the unit sales needed to reach a target profit.
Transcript
Show transcript (free preview lesson)
Transcript of the free preview lesson. Remaining lessons unlock with the full course.
Welcome to managing assets. In financial accounting, assets are the economic resources for any organization. Some of the assets are considered very liquid, such as cash, which means you can spend it right now. Certificate of posits or inventory can be easily exchanged for cash by going through the banking situation or by selling inventory. By establishing and implementing and monitoring these assets, the organization can ensure the proper controls are set up and therefore the policies and procedures are providing the security of the organization's assets. I have taught over 25 different business classes and the topics include not only the accounting but also other software applications that pertain to the business industry. Now let's go into the managing asset course.
Learn on the Go
Take your learning anywhere — the KnowledgeCity mobile app lets you watch lessons on the go.