Finance for Managers

Catalog description

Financial Management is about decisions firms make in two broad areas: the investments it makes and how it pays for them. The first involves expenditures for physical capital, human capital, technological capability, brand capital, and so forth. The second involves raising money in financial markets. In business decision making, the objective is to maximize shareholder wealth. Why the emphasis on shareholders? Among stakeholders generally (i.e., customers, employees, suppliers, government, communities, etc.), shareholders alone possess a uniquely comprehensive and long-term view of the firm?s viability as an ongoing enterprise. This perspective arises from the residual nature of shareholders? claim to earnings and assets. Wealth is created when the return from investing business resources exceeds their opportunity cost. FINC 530 Financial Management provides an advanced discussion of the analytical techniques used to assess the impact of business decisions on shareholder value. The course covers these topics: ? Valuation?stocks, bonds, corporate valuation ? Interest rates and financial markets ? Investment decision making (capital budgeting analysis) ? Risk, return and the opportunity cost of capital ? Market efficiency ? Capital structure Prerequisite: ACCT 515