Finance

:

MBA 634:  Investment and Financial Decisions

Syllabus: Fall 2011:  Edina Campus

  Course Topics/Chapter Presentations:

•  Review of Finance Math (October , 2011)
•   Present/Future Value
•       Practice
•   Annuities
•      Practice
•      Amortization Schedule
•   Other Issues
•      Practice
•   Bond and Stock Calculations
•  Chapter 2:  Financial Statement and Cash Flow Analysis
•  Chapter 3:  Statement Analysis and Pro Forma Modeling
•    Ratio Analysis/Categories
•          Turnover and Cash Cycle
•    ROE:  DuPont Analysis
•    Internal and Sustainable Growth
•  Chapter 4:  Valuation
•     Basic Discounting and Compounding
•     NPV and Periodic Compounding
•     Annuities:  PVA,FVA,Growing
• Chapter 5:  Project Evaluation Techniques
•     Payback,NPV,IRR:  Mutually Exclusive vs Independent concepts
•  Chapter 6:  Project Cash Flow (Capital Budgeting)
•     Capital Investments Decision:  Identify cash flows
•     Equivalent Annual Cost Technique:  For unequal lives and replacenent
•   Chapter 7:  Risk Analysis and Capital Budgeting
•         Sensitivity Analysis:  Break-even/Leverage
•   Chapter 8: Bond (Fixed Income) Valuation
•   Chapter 9: Stock Valuation
•         Overview of Risk from Capital Market View (Beta)
•   Chapter 13:  Risk and Cost of Capital
•   Chapter 31:  International Currency (Risk) Hedging

End-of-Chapter Problems:

• Chapter 2 Problems

•    Chapter 2

• Chapter 3 Problems

•    Note correction to problem 3:  D/E ratio of 1.2/1 was inverted in class

•    Chapter 3

•    Chapter 4

•    Chapter 5

•    Chapter 6

•    Chapter 7

•    Chapter 8

•    Chapter 9

•    Chapter 13

•    Chapter 31 (understand problem 2 (also on lecture outline) and hedging)

Assignments:

•   East Coast Yacht Club 

Web Pages

• Ratio Analysis
•     NYT Link
•     NYT Link Rank on Financials
• Yahoo Finance    Type in Ticker in 'Get Quotes'; Click on 'Key Statistics' in company's left margin
• Interest Rates
•     Treasury Rates
•     Composite Rates
•     Treasury Direct