Professional Documents
Culture Documents
Basics of Financial
Management
INTRODUCTORY
CLASS
Me
– Personal
– Education
– Professional
Now You
– Background (Name, Home location)
– Life goals
– What do you want from this subject
Lectures (interactive).
Tutorials (class exercise).
– Problem solving Group (home
work)
Individual assignments
– Class Participation Activities (10%)
– 2 Quizzes (15%)
– Mid-term exam (15%)
– Final exam (40%)
Group assignments
– Homework (20%)
Total = 100%
1-8 Dr. Mazharul Islam
Subject Overview – Course Materials
Recommended textbook
Ross/ Westerfield/ Jordan (2010),
Fundamentals of Corporate Finance, 9th
Edition, McGraw-Hill/ Irwin, NY, USA (any
edition can be used).
Lecture slides
1-30 1-30
What are the Goals of the
Firm? (General Goals)
Survival
Maximization of
Shareholder Wealth!
Shareholders’ wealth can be
measured as the current
value per share of existing
shares.
Dr. Mazharul Islam
1-33
Strengths of Shareholder
Wealth Maximization
Takes account of: current and future
profits and EPS; the timing,
duration, and risk of profits; dividend
policy; and all other relevant factors.
Thus, share price serves as a
barometer for business performance.
Modern Organization
Shareholders Management
Board of Directors
President
(Chief Executive Officer)