Corporate Finance module (BU51002)

Learning about Corporate Finance will help you in your business career and this module will introduce the main concepts. You will be introduced to the methods employed by firms and how they make important financial decisions. You will appreciate the view of both corporations and investors and their different approaches to decision making.

By the end of this module you will have a full understanding of these techniques and see the difficulties involved in applying academic theories to real-world finance from different perspectives. This module will also allow you to develop transferable skills such as listening actively in classes to take relevant notes, managing time effectively, understanding and developing arguments, and communicating in a clear and concise manner.

What you will learn

In this module, you will:

• learn about the issues, questions and models that shape corporate finance in the modern global age
• understand how to value shares and bonds on the basis of cash-flows that occur at different points in time
• discover investment decision-making techniques and principles
• develop risk measurement and analysis skills
• learn about asset pricing models such as the Capital Asset Pricing Model (used by investors when analysing potential changes to their portfolios).

By the end of this module, you will be able to:

• apply theory to a wide range of real-world financial problems faced by corporations and investors
• use valuation techniques to predict the prices of debt, equity and other financial assets
• propose solutions to complex investment decisions faced by firms' financial managers
• use investment appraisal techniques to provide the best advice to particular decision-making contexts
• measure, quantify and address the types of risk and uncertainty faced by firms and investors
• use asset pricing models as an input to portfolio management decisions.

Assignments / assessment

Essay (20%)

• Issued after the third teaching week with four weeks to complete

Final unseen exam (80%)

• Two hour in person exam
• During December exam diet

Teaching methods / timetable

You will learn by taking a hands-on approach with eight weekly on campus two-hour sessions featuring lecture material in the first hour and workshop sessions going over computational questions in the second hour.

Video recordings will be available and these will provide coverage of additional material, as well as providing the opportunity for you to consolidate your understanding of the topics covered.