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BU 318 Financial Management

 

Instructor:  Charles Brewster

Hours:  48

Times: TBA

Credit hours: 4

Course Description: 

Methodology

- Goals and Functions of Financial Management

- Financial Analysis and Planning (Review of Accounting, Analysis, Forecasting, Leverage)

- Working Capital Management (Financing Decisions, asset Management, short-term Financing)

- Capital Budgeting (Time value of money, valuation ROA, ROE, annuities, cost of capital, risk, decision making)

- Long Term Financing (Capital Markets, debt and leases, Preferred stocks, dividends and retained earnings)

Expanding Opportunities of Corporate Finance         

The course is delivered in a structured classroom setting consisting primarily of lectures and in-class activities. The activities include group discussions and assigned presentations. There is a high expectation of additional homework for preparation and assignment completion.

Learner Outcomes

 

Student will be able to:

1. Concepts of financial analysis

2. Management of Capital

3. Role of the Financial Manager.

4. Capital Budgeting Decisions

5. Time Value of Money

6. Decision trees and EMV

7. Hedging

 

Units:

Students will cover Chapters 1 – 14 of the text along with topics from 15, 17 and 19 on Exchanges, OTC trading and derivatives:

Chapter 1 The Goals and Functions of Financial Management

Chapter 2 Review of Accounting

Chapter 3 Financial Analysis

Chapter 4 Financial Forecasting

Chapter 5 Operating and Financial Leverage

Chapter 6 Working Capital and the Financing Decision

Chapter 7 Current Asset Management

Chapter 8 Sources of Short-Term Financing

Chapter 9 The Time Value of Money

Chapter 10 Valuation and Rates of Return

Chapter 11 Cost of Capital

Chapter 12 The Capital Budgeting Decision

Chapter 13 Risk and Capital Budgeting

Chapter 14 Capital Markets

Chapter 15 Investment Underwriting: Public and Private Placement

Chapter 17 Common and Preferred Stock Financing

Chapter 19 Derivative Securities

 Themes:

Accounting & Management; Financial Analysis; Managerial Roles; Budgeting & Planning; Decision-making under uncertainty

Evaluation:

Attendance 15%; assignments 25%; mid term 20%; final exam 40%

A requirement of 60% is to be achieved in all areas for certificate/diploma

Passing grade:

If this is a core course in your diploma, 70% in overall evaluation is a passing grade. If this is a core course in your certificate, 60% in overall evaluation is a passing grade. If this is an elective course in your program of study, 50% in overall evaluation is a passing grade.

Prerequisite courses or equivalent knowledge:

BU 101 Introduction to Accounting

Resources:

Foundations of Financial Management 6th edition; Stanley B. Block, Geoffrey A. Hirt, J. Douglas Short. McGraw Hill Ryerson