FI 411Corporate Finance

Course Objectives

Is to extend student's basic knowledge of corporate finance. The student will become more familiar with the main business environment issues that affect the Investment and Financing decisions of the firm.
We will emphasize the impact of these decisions on the value of the firm.
This is a course in advanced corporate finance dealing with corporate valuation methods.
It also Covers capital budgeting decisions, optimal corporate structure and dividend policy.

Course Content

Introduction; Market efficiency
Time value money; common stock valuation
Alternatives to NPV rules; Making investment decisions using the NPV rules
Introduction to risk, return, and the opportunity cost of capital
Risk and Return
Capital budgeting and risk
Financing and Valuation
Where Positive Present Values come from?
Mergers
Dividend Policy
Introduction to Capital Structure
Determinants of Capital Structure
Valuing debt

Recommended Text:

Richard A. Brealey, Stewart C. Myers. Capital Investment and Valuation. McGraw-Hill Professional. 2002

Suk Hi Kim. Global Corporate Finance. Blackwell Publishing. 2005

Peter L. Bossaerts, Berut Arue Oedegaard, Bernt Arne Ødegaard. Lectures on Corporate Finance. World Scientific. 2001

Syllabus