SROM 256 Ski Area Budgeting and Business Management

School of Hospitality and Tourism

SROM 256 Ski Area Budgeting and Business Management introduces students to the analysis of financial data for a standard Income Statement and Balance Sheet. Financial ratios that are normally used to predict the business health of a ski resort will be covered. Using CVP numerical analysis, students will learn the impact of future proposed financial changes on the fiscal health of a ski resort's finances. Problem solving will help students to understand these financial concepts. Creation of budget templates on EXCEL spreadsheets will round out the course content.

Prerequisites: SROM 169 with a minimum of 65%

Accessibility Services Notice

Students who would like an academic accommodation and who have a documented disability should contact Accessibility Services, if they have not already done so.

Transfer Agreements

Course to Course transfer – NoBlock Transfer – Yesbctransferguide.ca
Course Details
Total number of weeks15
Total Credits
Total Hours45
Typical hours per week breakdown
Lecture3

Learning Outcomes

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

  1. Review the relationship between standard accounting procedures and the main financial statements: the income statement and the balance sheet
  2. Examine the concept of Cost-Volume-Profit (CVP) analysis and calculate "Break-Even" sales
  3. Construct a budget spreadsheet template on EXCEL
  4. Comprehend income statement and balance sheet time frame criteria and key financial terminology
  5. Calculate taxation amounts and "Retained Earnings"
  6. Formulate the balance sheet accounts that must be set up to create Capital Reserve and Dividends
  7. Calculate and assess some key short term and long term balance sheet ratios (i.e., Ratio analysis)
  8. Appraise the concept of "Leverage" and calculate its effect on ROI (Return on Investment)
  9. Utilize "Bottom-up" pricing to determine revenue targets
  10. Examine the criteria for "operating below cost" and "operating during the off-season" for ski resorts
  11. Identify and separate fixed costs from variable costs and evaluate fixed and variable lease agreements

Teaching and Learning Approach

Students will learn the course material through a variety of approaches including in class lectures and on-line follow-up and quizzes on Moodle. A major portion of the course is comprised of both individual and group presentations and projects. Where possible, guest speakers from industry will bring their outlooks and experience to the classroom.

Learning Resources

Required: Course readings are provided on the Moodle site as PDFs and/or as links to online web resources. Recommended: Introduction to Financial Accounting, BC Campus Open Ed, David Annand, Athabasca https://collection.bccampus.ca/textbooks/introduction-to-financial-accounting-2024-a-d-vretta-lyryx-inc-445/

Detailed Course Content, Topics, and Sequence Covered

1. Accrual Accounting Overview 2. The Ski Resort Income Statement 3. The Ski Resort Balance Sheet 4. Corporate Taxation, Retained Earnings 5. Budgeting in Excel 6. Comparative and Common Analysis Interpretation of results 7. Financial Analysis 8. Midterm 9. Bottom Up Pricing Models 10. Budgeting in Excel 11. Management Decisions Based on Cost 12. Cost-Volume-Profit Analysis 13. Cost Centre Budgeting 14. Recap and review 15. Final Exam

Assessment

TitleLearning OutcomesValue
Quizzes & In class excercises15%
Budgeting Assignments20%
Midterm20%
Major Assignment25%
Final20%
Total100%

Grading Table

Standard School of Hospitality Tourism Programs (excluding pro-cook) Grading Table

Percentage Letter Grade GPA
95 - 100 A+ 4.33
90-94 A 4.00
88-89 A- 3.67
85-87 B+ 3.33
80-84 B 3.00
78-79 B- 2.67
75-77 C+ 2.33
70-74 C 2.00
68-69 C- 1.67
65-67 P 1.00
64 and below F 0.00

See the Academic Calendar for General Information including how to withdraw from course(s) and other regulations.

Disclaimer

Information contained in this course outline is correct at the time of publication. Content of the course is revised on an ongoing basis to ensure relevance to changing educational, employment and market needs. The instructor will endeavor to provide notice of changes to students as soon as possible. The instructor reserves the right to add or delete material from courses.