Corporate FinanceBack to Course Guide
The course examines the theory and practice of corporate financial decision making to maximize the firm’s value. Students will review major finance topics including capital budgeting, risk-return relationship, capital market theory, market efficiency, capital structure, dividend policy, long term financing, and working capital management.
UPON COMPLETION OF THE COURSE, THE STUDENT WILL BE COMPETENT IN:
- Understanding the goals of corporate financial management.
- Identifying major influences on corporate financial decision making.
- Demonstrating the ability to analyze financial statements for key indicators of financial health.
- Understanding how time value of money concepts influence financial decision making.
- Correlating interest rates to valuation considerations for bonds.
- Understanding and evaluating methods for stock valuation.
- Evaluating investments utilizing discounted cash flows and net present value.
- Performing sensitivity analysis, scenario analysis, and break-even analysis to evaluate capital projects.
- Discussing the relationship of risk and return as it relates to investments.
- Demonstrating the use of the Capital Asset Pricing Model and the Weighted Average Cost of Capital.
- Understanding the key functions of efficient markets.
- Evaluating corporate structures.
- Performing analysis for optimal working capital management decision making.
- Understanding the implications of good and bad corporate governance.