Course detail

Business Economics

FP-EPOAcad. year: 2020/2021

The course is focuses on the basic categories of business economics as the principle, objectives and functions of a business, property and capital, valuation of assets and liabilities, income and expenses, profit and their mutual relations, cash flow, liquidity, indebtedness, working capital. The part of the course is the operational business performance (ROE, ROA, ROCE), the financial and investment activities, economic decision-making - costing, cost management concepts, budgets, the relationship between profit, production volume, price and cost and economic management tools (financial accounting, analysis , internal audit). The subject also introduces the the basic business activities such as manufacturing, purchasing, human resources, business, advertising. The course provides a comprehensive view of business economics and provides a basis for related technical subjects in the higher years of study.

Learning outcomes of the course unit

Students will gain theoretical knowledge of business economics in the context
with individual business activities. Based on the knowledge and skills students should be able to apply the knowledge of business economics at lower positions in the company or in the business.


Secondary school knowledge and skills.


Not applicable.

Recommended optional programme components

Not applicable.

Recommended or required reading

KOCMANOVÁ, Alena. Ekonomické řízení podniku. Praha: Linde a.s., 2013. 358 s. ISBN 978-80-7201-932-8. (CS)
SYNEK, Miloslav a KISLINGEROVÁ, Eva, a kol. Podniková ekonomika. 5.vyd. Praha: C.H.Beck, 2010. 502 s. ISBN 80-7400-336-3. (CS)
MIKOVCOVÁ, Hana a SCHOLLEOVÁ, Hana. Praktikum podnikové ekonomiky pro bakalářské studium. Plzeň:Aleš Čeněk, 2006. 231 s. ISBN 80-868-987-84. (CS)
KOCMANOVÁ, Alena a kol. Měření podnikové výkonnosti. Brno: Littera, 2013. 249 s. ISBN 978-80-85763-77-5. (CS)

Planned learning activities and teaching methods

Lectures consist of an explanation of basic principles, methodology of the discipline, problems and their solutions.

Assesment methods and criteria linked to learning outcomes

There is the oral examination. Skills of the student are tested on two tests.
Two tests:
TEST I (7.- 8. week): 20 points
TEST II (11-12.week): 20 points
Minimum number of points to get the credit: 25 points.
A 100 – 90
B 89 - 80
C 79 – 70
D 69 – 60
E 59 – 50
F 49 - 0

The grade is given on the basis of two control tests and oral examination.

Language of instruction


Work placements

Not applicable.

Course curriculum

Basic categories of business economics. Principles, objectives and functions of the company. Surroundings of the company.
Balance Sheet. Assets and capital. Operating and net capital. Liquidity. Indebtedness. Optimal capital structure.
Profit and loss. Income and expenses, profit and their relationships.
The operational performance of the company. Return on equity (ROE), return on assets (ROA), return on sales (ROS), return on capital employed (ROCE).
Financial management. Long-term and short-term financing. Management of current assets. Financial Analysis. Financial Planning.
Investment management. Time value of money. Planning and classifications of investments. Efficiency evaluation.
Economics of decision-making. Classification of costs and revenues. Calculation.
Managerial concepts of cost. The relationship between profit, production volume, price and cost-tipping point. Budgets.
Control tools of economic management. Financial Accounting. Analysis. Internal audit.
Core business activities. Human Resources. Production. Purchase.
Each seminar builds on the previous lecture with an emphasis on practical training of lectures.
1.,2. Starting a business-plan (basic structure).
Assets and capital. Balance Sheet. Operating and net capital. Cost of capital (WACC). Liquidity. Indebtedness.
3.,4. Profit and loss. The structure and calculation results. Business performance-ROE, ROI, ROA, ROS, IN.
5.,6. Financial activity-turning cycle of money. Inventory management, accounts receivable. CASH
FLOW. Investment activity-time value of money, DN, IR, NPV, VVP. Economic Value Added-EVA.
7.,8. TEST I, Calculation of the full cost (division, with evaluative numbers, overhead rates). Pricing. The tipping point. Establishment of the budget.
9.,10. Human Resources - calculation of wages. The calculation of labor productivity.
11., 12. TEST II


The aim of the course is to familiarize students with the basic theoretical knowledge of business economics. The course deals with the construction, operation and activities of the enterprise. There is underlined the economic aspect of the issue and the focus on the terminology in the lectures.

Specification of controlled education, way of implementation and compensation for absences

The checking during the semester is based on the completion of two tests. In the case of excused absence from seminars, teacher can, in justified cases, set a alternative condition - usually the procession of the alternative

Classification of course in study plans

  • Programme BAK Bachelor's

    branch BAK-EPM , 1. year of study, winter semester, 5 credits, compulsory

  • Programme BAK-PM Bachelor's, 1. year of study, winter semester, 5 credits, compulsory
  • Programme BAK-MIn Bachelor's, 2. year of study, winter semester, 5 credits, compulsory

  • Programme BAK-MIn-D Bachelor's

    branch BAK-MIn , 2. year of study, winter semester, 5 credits, compulsory

Type of course unit



26 hours, optionally

Teacher / Lecturer


13 hours, compulsory

Teacher / Lecturer