Principles of Finance

Course Description

To introduce students to a variety of financial topics under the main area of corporate finance:

Students will be able to understand 

• The role of finance manager in a corporation
• Financial statement analysis, its nature and scope
• Differentiate various financing methods
• General concepts of financial markets and players 
• Concept of time value of money and its calculations
• The concept of corporate bond and its valuation
• The concept of corporate stock and its valuation
• The concept of long-term capital allocation\ capital budgeting decisions
• The capital structure of a firm and calculate its cost of capital

EXPECTED LEARNING OUTCOM

• Define the cycle of money, the main objectives of the finance manager and common objective of borrowing and lending.
• Describe some context of financial reporting.
• Recognize compounding, discounting and apply time value of money equation using formula.
• Record present values, future values, annuity, perpetuity, amortization and description of interest rate.
• Write the basic bond terminology and types of bonds, basic characteristics of common stock and the value of common stocks. 
• Outline capital budgeting and different project evaluation techniques; recognize the strengths and weaknesses of each decision model.policy

BOOK TO BE USED

 Financial Management: Core Concepts by Raymond Brooks, Pearson, Second international

Course ID: FIN 210