Professional Documents
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AT UNDERGRADUATE LEVEL
1. COURSE NAME:
- Tiếng Việt: Tài chính Doanh nghiệp
- English: Corporate Finance
- Course code:
- Number of credits: 3
2. The Department in charge of the course: International school of finance and economics
- Instructor: Phuong My Hang Pham
- Email address: mhphuong.pham@gmail.com
- Consultation time: 2pm – 4pm, every Thursday
3. Course Description:
- The course is compulsory for undergraduate international economics major and banking
and finance major at the International school of finance and economics.
- The course introduces to students both descriptions and theory on corporate finance,
including valuation and capital budgeting, risk, capital structure, leasing, long and short
term finance.
- The course includes 13 chapters. The two first ones are introductory on corporate
finance, with topics on financial statement and cash flow and so on. Chapter 4, 5 and 6
focus on valuation and capital budgeting. Chapter 7 and 8 introduces basic information
about risks, including lessons from market history, the capital asset pricing model, the
beta and so on... Chapter 9 and 10 will talk about long term finance, 10 and 11 discuss
short term finance and the rest focuses on the capital structure policy.
Topics of the course include:
- Introduction to corporate finance
- Financial statement and cash flow
- Financial statement analysis and financial models
- Risk, cost of capital and valuation
- CAPM
- Long term finance
- Short term finance
1
- Capital budgeting
Pre-requisites: Students are expected to have taken the following courses prior to taking
this course
- Principles of accounting
- Financial and monetary policy
4. Purpose of the course:
At the end of the course, students should be able to understand the following knowledge:
Besides, student should also be able to enhance other soft skills, including
- Team work
- Self-research
- Presentation
5. Course contents
5.1. This is 3 credit course, equivalent to 45 hours, in which:
- 30 hours of lecture
- 12 hours of discussion
- 3 hours of revisions
2
Topics Reference and
No.
homework
1.6. Regulation
Financial statement and cash flow
Chapter 2
2.1. The balance sheet
Concept
2.2. The income statement
questions: 2.2;
2.3. Taxes
Week 2 2.9
2.4. Net working capital
Problems: 2.7;
2.5. Financial cash flow
2.10; 2.13; 2.14;
2.6. Accounting statement of cash flows
2.18; 2.22
2.7. Cash flow management
Financial statements analysis and financial models Chapter 3
3.1. Financial statements analysis Concept
3.2. Ratio analysis questions: 3.2,
Week 3 3.3. The DuPont identity 3.6
3.4. Financial models Problems: 3.5;
3.5. External financing and growth 3.14; 3.15; 3.17;
3.18
Discounted cash flow valuation
4.1. Valuation: the one-period case Chapter 4
4.2. The multi-period case Concept
4.3. Compounding periods questions:4.4; 4.5
Week 4
4.4. Simplifications Problems: 4.8;
4.5. Loan amortization 4.11; 4.15; 4.29;
4.6. What is a firm worth? 4.36; 4.38
Risk and return: Lessons from market history and Chapter 10,11
Week 7 the CAPM Concept
7.1. Returns questions: 10.2;
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Topics Reference and
No.
homework
7.2. Holding period of returns 10.4; 11.4; 11.6
7.3. Return statistics Problems: 10.4;
7.4. Average stock returns and risk free returns 10.7; 10.15; 11.6;
7.5. Risk statistics 11.9; 11.22;
7.6. Expected return, variance and covariance 11.26
7.7. The return and risk for portfolio
7.8. Market equilibrium
7.9. Relationship between risk and expected
return
Leasing
Chapter 21
10.1. Types of leases
Concept
Week 10 10.2. Accounting and leasing
questions: 21.4;
10.3. Taxes, the IRS, the leases
21.8
10.4. A detour for discounting and debt capacity
4
Topics Reference and
No.
homework
with corporate taxes Problems: 21.7;
10.5. NPV analysis of lease versus by decision 21.10; 21.12;
10.6. Debt displacement and lease valuation 21.14; 21.18
10.7. Reasons for leasing
Capital structure: the basic concepts Chapter 16
13.1. The capital structure question and the Pie
theory Concept
13.2. Maximizing firm value versus questions: 16.5;
Week 11 maximizing stockholder interests 16.6
13.3. Financial leverage and firm value Problems: 16.3;
13.4. Modigliani and Miller: proposition II 16.8; 16.19;
13.5. Taxes 16.19; 16.23;
16.24
5
Topics Reference and
No.
homework
- Investing idle cash
Credit and inventory management Chapter 28
12.1. Credit and receivables Concept
12.2. Terms of the sale questions:
12.3. Analyzing credit policy 28.6; 28.8
Week 14 12.4. Optimal credit policy Problems:
12.5. Credit analysis 28.7; 28.10;
12.6. Collection policy 28.12; 28.17;
12.7. Inventory management 28.20
12.8. Inventory management techniques
Week 15 Revisions
6. Course Assessment
Evaluation Weight Deadline
Throughout
Attendance Attendance 5%
the course
Homework Homework prepared and Throughout
10%
preparation submitted before class the course
Major assignment Group assignments 15% TBC
Mid term MCQ and Short answers 10% TBC
Final exam MCQ and Short answer questions 60% TBC
7.4.Mid-term examination
- Individual examination
- Mid-term examination takes place in week 6
6
7.5. Final exam
Final examination contains MCQ, True/false questions and short answer questions. In
which:
- 20 MCQs (40%)
- 4 short answer questions (60%)