Finance (1)_en
Syllabus
Finance (I)
Fall 2010
Text::
Eugene F. Brigham / Michael C. Ehrhardt, Financial Management, "Theory and Practice", Thomson Learning Inc., Mason, OH, USA, 12th. Edition, 2008.
Student Companion Site:: http://www.wadsworth.com/cgi-wadsworth/course_products_wp.pl?fid=M20b&product_isbn_issn=9780324422696&discipline_number=414&token=
Class::
Male/Female: Sun, Tue, Thu 08:00 – 09:00, Rm.: A2-403
Instructor::
eMad AbuShaaban, CPA (PAL)
MSA, Master of Science in Accounting /USA
MMD, Master in Management Development /SPAIN
Inception Phase, Ph. D in Accounting /EGYPT
Office Hour::
Tue, Thu 9:00 - 10:00 or
By Appointment, Cellular: 0599 885 448,
Email: emad.abushaaban@gmail.com
Objective::
This course introduces an overview of financial management and the financial environment, it illustrates time value of money, it explains financial statements, cash flow, and taxes, it demonstrates how analysis of financial statements. Also, it presents bonds, bond valuation, and interest rates, illustrates risks, return, and the capital asset pricing model. It present portfolio theory and other asset pricing models, it explains stocks, stock valuation, and stock market equilibrium, also, it present financial options and applications in corporate finance. Finally, it the cost of capital, the basics of capital budgeting: evaluation cash flows, it concludes cash flow estimation and risk analysis, and real options.
Class::
Lecture, class discussion, problem solving, assignment presentation Format and computer lab if it was possible.
Assignment::
For full credit, assignments must be submitted at the beginning of class on the date due. Late assignments are accepted unless (1) they are discussed in class or (2) the start of final exams . Grads on assignments are reduced proportionate to the extent that they are late.
Workgroups:
Group study and discussion outside of class is encouraged. Group work on assigned exercises and problems from the text is acceptable only if each student submits his or her own copy of the assignment (Note: reproductions are not acceptable.)
Grading Scale:
Assignments 20%
Mid-term Exam 10%
Presentation 15%
Final Examination 55%
Examination questions are tested for validity. If 60% or more of those who respond to a question give an incorrect answer, that question (or part of a question) will be invalidated and the basis of the examination adjusted; equivalent extra credit is added to the score of those students who answer the question correctly.
Week #1
CHAPTER 1: AN OVERVIEW OF FINANCIAL MANAGEMENT AND FINANCIAL ENVIRONMENT
Presentations:
1. Introductory Case, pp2
2. Ethics for individuals and Businesses, pp9
3. Corporate Scandals and Maximizing Stock Price, pp11
4. Rational Exuberance, pp25
5. Measuring the Market, pp27
Assignments:
1. Q1, Q3, Q5, Q7, Q9, Q11
2. Mini Case
Week #2
CHAPTER 2: TIME VALUE OF MONEY
Presentations:
1. Introductory Case, pp37
2. Corporate Valuation and the Time Value of Money, pp40
3. The Power of Compound Interest, pp44
4. Using the Internet for Personal Financial Planning, pp68
Assignments:
1. Q1, Q3, Q5,
2. ST-1, ST-2, ST-3
3. EP2-1, EP2-3, EP2-5, EP2-7,
4. IP2-9, IP2-11, IP2-13, IP2-15, IP2-17, IP2-19, IP21, IP2-22
5. CP2-31, CP2-33, CP2-34
6. Cyber Problem
7. Mini Case
Week #3
CHAPTER 3: FINANCIAL STATEMENTS, CASH FLOW, AND TAX
Presentations:
1. Introductory Case, pp83
2. Financial Analysis on the Internet, pp92
3. Financial Bamboozling: How to Spot It, pp99
4. Sarbanes-Oxley and Financial Fraud, pp106
Assignments:
1. Q1, Q3, Q5, Q7
2. ST-1
3. EP3-1, EP3-3, EP3-5,
4. IP3-7, IP3-9, IP3-11,
5. CP3-12, CP3-13
6. Cyber Problem
7. Mini Case
Week #4
CHAPTER 4: ANALYSIS OF FINANCIAL STATEMENTS
Presentations:
1. Introductory Case, pp123
2. International Accounting Differences Create Headaches for Investors pp,131
3. Ratio Analysis on the Web, pp143
Assignments:
1. Q1, Q3, Q5,
2. ST-1, ST2
3. EP4-1, EP4-3, EP4-5,
4. IP4-7, IP4-9,
5. CP4-11, CP4-13, CP4-14
6. Cyber Problem
7. Mini Case
Week #5
CHAPTER 5: BONDS, BONDS VALUATION, AND INTEREST RATES
Presentations:
1. Introductory Case, pp156
2. Drinking Your Coupons, pp172
Assignments:
1. Q1, Q3, Q5,
2. ST-1
3. EP5-1, EP5-3, EP5-5,
4. IP5-7, IP5-9, IP5-11, IP5-13, IP5-15, IP5-17, IP5-19
5. CP5-21, CP5-23,
6. Cyber Problem
7. Mini Case
Week #6
Midterm Exam
Week #7
CHAPTER 6: RISK, RETURN, AND THE CAPITAL ASSET PRICING MODEL
Presentations:
1. Introductory Case, pp200
2. The Trade-Off between Risk and Return, pp210
3. The Benefits of Diversifying Overseas, pp218
Assignments:
1. Q1, Q3, Q5, Q7
2. ST-1, ST-2
3. EP6-1, EP6-3,
4. IP6-5, IP6-7, IP6-9,
5. CP6-11, CP6-13,
6. Cyber Problem
7. Mini Case
Week #8
CHAPTER 7: PORTFOLIO THEORY AND OTHER ASSET PRICING MODELS
Presentations:
1. Introductory Case, pp241
Assignments:
1. Q1, Q2,
2. ST-1
3. EP7-1, EP7-3
4. IP7-5, IP7-6,
5. CP7-7, CP7-8,
6. Cyber Problem
7. Mini Case
Week #9
CHAPTER 8: STOCKS, STOCK VALUATION, AND STOCK MARKET EQUILIBRIUM
Presentations:
1. Introductory Case, pp281
Assignments:
1. Q1, Q3,
2. ST-1, ST-2
3. EP8-1, EP8-3, EP8-5
4. IP8-7, IP8-9, IP8-11, IP8-13, IP8-15
5. CP8-17, CP8-19,
6. Cyber Problem
7. Mini Case
Week #10
CHAPTER 9: INVENTORIES: ADDITIONAL VALUATION ISSUES
Presentations:
1. Introductory Case, pp313
2. Financial Reporting for Employee Stock Options, pp319
3. Taxes and Stock Options, pp329
Assignments:
1. Q1, Q3,
2. ST-1, ST-2
3. EP9-1, EP9-2,
4. IP9-3, IP9-4
5. CP9-5, CP9-6, CP9-7
6. Cyber Problem
7. Mini Case
Week #11
CHAPTER 10: THE COST OF CAPITAL
Presentations:
1. Introductory Case, pp340
2. Global Variations in the Cost of Capital, pp359
Assignments:
1. Q1, Q3, Q5
2. ST-1
3. EP10-1, EP10-3, EP10-5, EP10-6, EP10-7
4. IP10-9, IP10-11, IP10-12, IP10-13
5. CP10-15, CP10-16, CP10-17,
6. Cyber Problem
7. Mini Case
Week #12
CHAPTER 11: THE BASICS OF CAPITAL BUDGETING: EVALUATING CASH FLOWS
Presentations:
1. Introductory Case, pp378
Assignments:
1. Q1, Q3, Q4, Q5, Q6
2. ST-1
3. EP11-1, EP11-2, EP11-3, EP11-4, EP11-5, EP11-6, EP11-7
4. IP11-8, IP11-9, IP11-10, IP11-11, IP11-13, IP11-14, IP11-15, IP11-17
5. CP11-19, CP11-20, CP11-21, CP11-22
6. Cyber Problem
7. Mini Case
Week #13
CHAPTER 12: CASH FLOW ESTIMATION AND RISK ANALYSIS
Presentations:
1. Introductory Case, pp415
2. Capital Budgeting Practices in the Asia/Pacific Region, pp436
Assignments:
1. Cyber Problem
2. Mini Case
Week #14
CHAPTER 13: REAL OPTIONS
Presentations:
1. Introductory Case, pp457
2. Growth Options at Do-Com Companies, pp477
Assignments:
1. Q1, Q3
2. ST-1
3. IP13-1, IP13-3, IP13-5
4. CP13-7
5. Cyber Problem
6. Mini Case
Week #15
WRAP UP AND CONCLUDING
Week #16
Final Exam
Good Luck