FACULTY OF BUSINESS

Department of Business Administration

ITF 312 | Course Introduction and Application Information

Course Name
Financial Management
Code
Semester
Theory
(hour/week)
Application/Lab
(hour/week)
Local Credits
ECTS
ITF 312
Spring
3
0
3
6

Prerequisites
None
Course Language
English
Course Type
Required
Course Level
First Cycle
Mode of Delivery -
Teaching Methods and Techniques of the Course Discussion
Problem Solving
Q&A
Lecture / Presentation
Course Coordinator
Course Lecturer(s)
Assistant(s)
Course Objectives This course aims to further examine the primary concepts in corporate finance by equipping the students with analytical skills in applying the theory of corporate finance in corporate financial decisionmakings. The contents and application of the course are built up on the preceding semester’s topics including time value of money and risk and return. Thus, students are strongly encouraged to maintain and review their course notes and materials, which will be necessary to follow the contents of the second part of the course. The topics covered include bond valuation, stock valuation, cost of capital and capital structure
Learning Outcomes The students who succeeded in this course;
  • will be able to discuss free cash flow method, book value and liquidation value approach by explaining stock valuation methods and market efficiency.
  • will be able to use Capital Asset Pricing Model(CAPM).
  • will be able to demonstrate the relationship between financial decisions, return and firm value.
  • will be able to explain the concepts of capital budgeting and the valuation methods of investment project.
  • will be able to evaluate the investment project by calculating the cash flow from capital budgeting.
  • will be able to calculate weighted average cost of capital by explaining the concept of cost of capital.
  • will be able to determine the optimal level of capital structure by explaining the concept of leverage for the firm.
  • will be able to calculate the risk and return.
Course Description Among the topics covered in this course will be interest rate and bond valuation, stock valuation, investment valuation, capital budgeting, the cost of capital and leverage.

 



Course Category

Core Courses
Major Area Courses
X
Supportive Courses
Media and Management Skills Courses
Transferable Skill Courses

 

WEEKLY SUBJECTS AND RELATED PREPARATION STUDIES

Week Subjects Related Preparation
1 Introduction & Academic Honesty Academic Honesty Policy
2 Stock Valuation Principles of Managerial Finance, by Zutter, C. and Smart, S. (Prentice Hall – Fifteenth Edition):Chapter 7
3 Stock Valuation Principles of Managerial Finance, by Zutter, C. and Smart, S. (Prentice Hall – Fifteenth Edition):Chapter 7
4 Risk and Return Principles of Managerial Finance, by Zutter, C. and Smart, S. (Prentice Hall – Fifteenth Edition):Chapter 8
5 Risk and Return Principles of Managerial Finance, by Zutter, C. and Smart, S. (Prentice Hall – Fifteenth Edition):Chapter 8
6 The Cost of Capital Principles of Managerial Finance, by Zutter, C. and Smart, S. (Prentice Hall – Fifteenth Edition):Chapter 9
7 The Cost of Capital Principles of Managerial Finance, by Zutter, C. and Smart, S. (Prentice Hall – Fifteenth Edition):Chapter 9
8 MIDTERM EXAM REVIEW
9 MIDTERM
10 Capital Budgeting Techniques Principles of Managerial Finance, by Zutter, C. and Smart, S. (Prentice Hall – Fifteenth Edition):Chapter 10
11 Capital Budgeting Techniques Principles of Managerial Finance, by Zutter, C. and Smart, S. (Prentice Hall – Fifteenth Edition):Chapter 10
12 Capital Budgeting Cash Flows Principles of Managerial Finance, by Zutter, C. and Smart, S. (Prentice Hall – Fifteenth Edition):Chapter 11
13 Capital Budgeting Cash Flows Principles of Managerial Finance, by Zutter, C. and Smart, S. (Prentice Hall – Fifteenth Edition):Chapter 11
14 Semester Review
15 Semester Review
16 Final Exam

 

Course Notes/Textbooks

Book sections mentioned above and Powerpoint notes

Zutter, C. and Smart, S., 2019. Principles of Managerial Finance. 15th ed. PEARSON. ISBN: 978-0134476315

Suggested Readings/Materials

Business Week - https://www.bloomberg.com/businessweek

Fortune - http://fortune.com/

Forbes - https://www.forbes.com/

Financial Times -https://www.ft.com/

Wall Street Journal - https://www.wsj.com/

 

EVALUATION SYSTEM

Semester Activities Number Weigthing
Participation
Laboratory / Application
Field Work
Quizzes / Studio Critiques
3
15
Portfolio
Homework / Assignments
1
15
Presentation / Jury
Project
Seminar / Workshop
Oral Exams
Midterm
1
30
Final Exam
1
40
Total

Weighting of Semester Activities on the Final Grade
5
60
Weighting of End-of-Semester Activities on the Final Grade
1
40
Total

ECTS / WORKLOAD TABLE

Semester Activities Number Duration (Hours) Workload
Theoretical Course Hours
(Including exam week: 16 x total hours)
16
3
48
Laboratory / Application Hours
(Including exam week: '.16.' x total hours)
16
0
Study Hours Out of Class
14
3
42
Field Work
0
Quizzes / Studio Critiques
3
3
9
Portfolio
0
Homework / Assignments
4
5
20
Presentation / Jury
0
Project
0
Seminar / Workshop
0
Oral Exam
0
Midterms
1
26
26
Final Exam
1
30
30
    Total
175

 

COURSE LEARNING OUTCOMES AND PROGRAM QUALIFICATIONS RELATIONSHIP

#
Program Competencies/Outcomes
* Contribution Level
1
2
3
4
5
1

To be able to solve problems with an analytical and holistic viewpoint in the field of business administration.

2

To be able to present the findings and solutions to the business problems in written and oral formats.

3

To be able to interpret the application of business and economic concepts, and philosophies at the national and international levels.

4

To be able to use innovative and creative approach for real-life business situations.

5

To be able to demonstrate leadership skills in different business situations.

X
6

To be able to interpret the reflections of new technologies and softwares to business dynamics.   

7

To be able to integrate knowledge gained in the five areas of business administration (marketing, production, management, accounting, and finance) through a strategic perspective.

8

To be able to act in accordance with the scientific and ethical values in studies related to business administration.

X
9

To be able to work efficiently and effectively as a team member.

X
10

To be able to have an ethical perspective and social responsiveness when making and evaluating business decisions.

11

To be able to collect data in the area of business administration and communicate with colleagues in a foreign language ("European Language Portfolio Global Scale", Level B1).

12

To be able to speak a second foreign at a medium level of fluency efficiently.

13

To be able to relate the knowledge accumulated throughout the human history to their field of expertise.

*1 Lowest, 2 Low, 3 Average, 4 High, 5 Highest

 


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