Finanzas Corporativas I (BBA30005)
General information
Type: |
OB |
Curs: |
3 |
Period: |
S semester |
ECTS Credits: |
4 ECTS |
Teaching Staff:
Group |
Teacher |
Department |
Language |
Sec: A |
Jesús Palau Montañana |
Economía, Finanzas y Contabilidad |
CAT |
Sec: A |
Lydia Ros Frizón |
Economía, Finanzas y Contabilidad |
CAT |
Group |
Teacher |
Department |
Language |
Sec: B |
Jesús Palau Montañana |
Economía, Finanzas y Contabilidad |
ESP |
Sec: B |
Lydia Ros Frizón |
Economía, Finanzas y Contabilidad |
ESP |
Group |
Teacher |
Department |
Language |
Sec: C |
Jesús Palau Montañana |
Economía, Finanzas y Contabilidad |
CAT |
Sec: C |
Lydia Ros Frizón |
Economía, Finanzas y Contabilidad |
CAT |
Prerequisites
Management development courses and compulsory courses in Accounting and Financial Analysis, Fundamentals of Financial Markets, Microeconomics and Macroeconomics.
Workload distribution
Workload distribution:
Lectures: 22 hours
Participatory sessions: 20 hours
Independent study: 57 hours
Tutorials/feedback per section: 10 hours
COURSE CONTRIBUTION TO PROGRAM
It is essential for Bachelor in Business Administration students to be able to identify threats to and opportunities for value creation in companies; know the different value measurement models and understand their advantages and limitations; and be able to apply them when selecting investments and resources for a company, while also identifying the contribution made by Financial Management to value creation for the shareholder.
Course Learning Objectives
Upon completing this course students should be able to:
- Recognise the determining factors for the creation of value for shareholders
- Model and structure knowledge so as to be able to apply it to the selection process for investments and company appraisals.
Competences
6. Strategic thought, systematic thought |
1. Knowledge acquisition, comprehension and structuring |
Relation between Activities and Competences
|
6 |
1 |
Final exam |
|
|
Continuous evaluation |
|
|
CONTENT
1. Long-term financial planning Basic concepts Preparing balance sheets and provisional trading accounts Business plan: Analysis and discussion
|
2. Investment selection analysis and projects Net Present Value, Internal Rate of Return (NPV and IRR) and payback: Underlying assumptions. Previous concepts: Cash flow, free financial cash flow and free cash flow for shareholders. Estimating cash flow and differential cash flow WACC: Weighted Average Cost of Capital, an introduction Project selection: NPV vs IRR
|
3. Cost of capital Capital Market Line diversification Cost of shareholder equity The Capital Asset Pricing Model (CAPM) as an instrument to determine the cost of shareholder equity. The cost of shareholders equity and leverage. The cost of debt. The WACC: Weighted Average Cost of Capital. Introduction to optimal financial structure.
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4. Company appraisal Importance of value and price Valuation methods and systems: Discounted cash-flow valuation model; dividend valuation model; and multiple valuation model. How the various valuation methods interrelate.
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Relation between Activities and Contents
|
1 |
2 |
3 |
4 |
Final exam |
|
|
|
|
Continuous evaluation |
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|
|
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Methodology
ASSESSMENT
ASSESSMENT BREAKDOWN
Description |
% |
Final exam |
75 |
Continuous evaluation |
25 |
Assessment criteria
First sitting:
Ongoing assessment: Tests and/or mid-term exams and class participation account for 40% of the final mark. The content of the mid-term exams may also re-appear on the final exam. Class participation and case study texts turned in prior to class represent 12%. Tests results represent 28%.
Final exam: this accounts for 60% of the final grade.
However, students must achieve at least a 5 or over on the final exam to pass the course in the first sitting.
Final exam re-sitting:
Ongoing assessment grades will not be taken into account when re-sitting the final. Students must earn a minimum of 5 out of 10 on the re-sit final in order to pass this course.
Bibliography
Short bibliography:
Richard Brealey, Stewart Myers, Franklin Allen
Principles of Corporate Finance
Publisher: McGraw-Hill Education; 12th edition (January 5, 2016)
Language: English
ISBN-13: 978-1259144387
Ross, Stephen A.; Westerfield, Randolph W.; Jaffe, Jeffrey
Corporate Finance
Language: English
Publisher: McGraw-Hill Education; 11th edition (2015)
ISBN-13: 978-0077861759
Richard A. Brealey y Myers Stewart C.
Principios de Finanzas Corporativas (2013)
Publisher: Universidad Autónoma de México; 10 edition (2013)
Language: Spanish
ISBN-13: 978-6071513120
Ross, Stephen A.; Westerfield, Randolph W.; Jaffe, Jeffrey
Finanzas corporativas.
Language: Spanish
Publisher: Universidad Autónoma de México; 9a ed. (2013)
ISBN: 978-6071507419
Timetable and sections
Group |
Teacher |
Department |
Sec: A |
Jesús Palau Montañana |
Economía, Finanzas y Contabilidad |
Sec: A |
Lydia Ros Frizón |
Economía, Finanzas y Contabilidad |
Timetable Sec: A
From 2017/10/24 to 2017/12/5:
Each Thursday from 9:00 to 11:00.
Each Wednesday from 11:00 to 13:00. (Except: 2017/11/1)
Each Tuesday from 8:00 to 11:00.
Monday 2017/12/11 from 15:00 to 19:00.
Group |
Teacher |
Department |
Sec: B |
Jesús Palau Montañana |
Economía, Finanzas y Contabilidad |
Sec: B |
Lydia Ros Frizón |
Economía, Finanzas y Contabilidad |
Timetable Sec: B
From 2017/10/24 to 2017/12/5:
From Wednesday to Thursday from 14:00 to 16:00. (Except: 2017/11/1)
Each Tuesday from 14:00 to 17:00.
Monday 2017/12/11 from 15:00 to 19:00.
Group |
Teacher |
Department |
Sec: C |
Jesús Palau Montañana |
Economía, Finanzas y Contabilidad |
Sec: C |
Lydia Ros Frizón |
Economía, Finanzas y Contabilidad |
Timetable Sec: C
From 2017/10/24 to 2017/12/5:
From Wednesday to Thursday from 9:00 to 11:00. (Except: 2017/11/1)
Each Tuesday from 8:00 to 11:00.
Monday 2017/12/11 from 15:00 to 19:00.