2011-2012 Academic Catalog

Apr 20, 2024

2011-2012 Academic Catalog [ARCHIVED CATALOG]

MGMT 240 - Corporate Finance

This course covers the basic theory and practice of corporate finance from the viewpoint of the financial manager. The primary decisions facing the financial manager are long-term investment strategy, the financing of this strategy, capital policy, and short-term financing necessary for continuing operations. Initial topics such as the legal context of business, time value of money, risk and return, cost of capital, and valuation give the student a framework to understand the decisions of the financial manager. An outcome of the course will enable the student to:

•    Be thoroughly familiar with corporate financial statements
•    Understand the important financial “drivers” of the business
•    Understand the firm’s capital structure, leverage, risk, and cost of capital
•    Understand how shareholder value is created and how it can be dissipated
•    Be able to read, understand and enjoy financial/business publications

Prerequisites: ECON 010 ; MATH 113 , MATH 119 or MATH 120 ; MGMT 100 , MGMT 101 ; ECON 160 or PSYC 105 ; juniors and seniors only.