Financial Management/Corporate Finance
Course name: Financial Management/Corporate Finance
Cluster: Finance
Period: International Business - Year 2
Semester: Fall Semester (starts in September)
Study load: 5 ECTS (~140 hours)
Exam: written exam
Course description
You will embark on the exciting journey of learning the basics of finance for the International Business study. In this course we will focus on the three important financial statements - The Balance Sheet, The Income Statement and The Cash Flow Statement. We will then go deeper into the statements and look at concepts such as debt financing and equity financing. Next we will move to a more wider stance, and look at the general accounting concepts as well as the statements from the perspective of various stakeholders and analysis using financial ratios.
Competences and learning objectives
After the course you can:
- Understand and apply the idea that the market value of an investment equals the present value of its cash flows;
- Understand the risk return relationship;
- Understand and apply the Modigliani & Miller propositions - regarding firm value and cost of capital;
- Choose between investment alternatives using methods like payback period, average accounting rate of return and net present value;
- Understand the basics of issuing new equity and debt;
- Choose between financing alternatives;
- Understand the drivers of firm value
- Understand and value the role and contribution of takeovers erform a valuation for a startup business;
- Perform working capital management decisions.