FIN40190

Learning Outcomes:

On successful completion of this module you will:
• Be able to use financial statements to assess a company's financial health.
• Appreciate the key distinction between corporate profitability and cashflow and the consequent implications for long- term value creation
• Understand how to identify value creating investments.
• Develop estimates of expected future cash flows and discount them to measure present value.
• Identify the different sources of financing and their benefits and limitations.
• Understand the factors that affects a firm's decision to retain earnings or distribute them as dividends.

Student Effort Hours:

Approaches to Teaching and Learning:

This module will be consist of a combination of lectures on theoretical frameworks, their empirical implications, and case discussion as practical applications of those concepts. Assessments are designed to test understanding of basic principles, and their applications in mini-case type questions (tests) and financial practice (group report involving valuation of a company).

Requirements, Exclusions and Recommendations

Not applicable to this module.

Module Requisites and Incompatibles

Not applicable to this module.
 

Assessment Strategy

 

Please see Student Jargon Buster for more information about remediation types and timing. 

Feedback Strategy/Strategies

• Feedback individually to students, post-assessment
• Group/class feedback, post-assessment
• Peer review activities

How will my Feedback be Delivered?

Feedback will be given during the course of the trimester. Formal written feedback will be given for all assignments with the excepetion of the terminal assignment.

§Brealey, Myers & Allen (2020) Principles of Corporate Finance 13th ed., McGraw Hill (The best "all-round" corporate finance book - the downside is the US focus).
https://www.mheducation.co.uk/ise-principles-of-corporate-finance-9781260565553-emea-group
This will be the textbook the module is primarily based on.

§Brealey, Myers & Marcus (2020) Fundamentals of Corporate Finance 10th ed., McGraw Hill gives a slightly more introductory treatment. Probably all you need but if the area really interests you the "Principles" book is better.

Hillier, D., S. Ross, R. Westerfield and J. Jaffe, Corporate Finance, Second European edition, McGraw Hill

Supplemental Texts – Finance
§Koller, Goedhart & Wessels (2020) Valuation 7th ed., Wiley (no need to buy - will be of interest if valuation is your particular interest)

Supplemental Texts – Cost Behaviour (Management Accounting)
§Drury (2021) Management & Cost Accounting, 11th edition, Cengage (again, no need to buy)


§ These books should be available in the library. Earlier editions are fine. The examples change and the tax comments may be out of date - not a major issue.

Timetabling information is displayed only for guidance purposes, relates to the current Academic Year only and is subject to change.