Fundamentals of Corporate Finance

Catalog description

This course will introduce students to the central concepts of modern finance: evaluating a firm’s financial performance to include cash flow analysis and net present value; valuation of financial assets to include the time value of money as well as stock and bond characteristics and cost of capital analysis; and capital budgeting techniques and working capital management. Additionally, efficient market theory, agency theory, and the trade-off between risk and return will be explored. Students will be introduced to both theory and practice however the emphasis will be placed on application in order to assist in a deeper understanding of financial decision making in the multinational firm. Students will learn fundamental financial concepts through real world group assignments, problem solving and term projects. At the center of our study will be the critical examination of how the tools of finance are used today in the global economy. Through assigned readings, class discussions, problem sets and case studies we shall gain valuable insights into financial decision making in the multinational firm. We shall thus highlight the many connections that exist between finance and the plurality of disciplines such as economics, management, political science, public policy, and law that are at the basis of contemporary business practices in the global arena."