BU2550 Introduction to Finance
(5 ECTS credits)
This module introduces the cornerstones of modern financial theory. It describes the key tools used by financial managers and investors in financial analysis and decision making. The theoretical models and assumptions underlying the development of modern financial techniques will also be examined.
Professor Martha O'Hagan Luff
On successful completion of this module students should be able to:
- Provide basic answers to the three main questions of corporate finance; how should firms finance themselves (debt versus equity), how should they create value for investors (dividends versus capital gains) and how should they determine what capital projects to undertake
- Evaluate the relationships in theory and practice of risk versus reward
- Examine the patterns of stock and fixed-income security issuance and explain usage in companies
- Apply these theories to the current financial position of companies
Lectures & Tutorials/Contact hours:
- 2 lectures per week
- 1 tutorial per week
Recommended Texts/Key Reading:
Brealey, R. Myers, S. and Marcus, A. (2011): Fundamentals of Corporate Finance, McGraw-Hill.
End of year examination x 1.5 Hours = 70%
HT term test x 1 Hour = 30%
Dates for submission:
See module Blackboard site BU2550.
Penalties for late submission:
10% per diem penalty is applied and 0 marks after 3 days. Students unable to submit a term assignment for medical reasons must produce a medical certificate to the School of Business Studies office within three working days of the missed submission date. Certificates received after that time will not be accepted.