- Class Number 7289
- Term Code 3060
- Class Info
- Unit Value 6 units
- Mode of Delivery In Person
- Prof Takeshi Yamada
- Prof Takeshi Yamada
- Class Dates
- Class Start Date 27/07/2020
- Class End Date 30/10/2020
- Census Date 31/08/2020
- Last Date to Enrol 03/08/2020
This course focuses on tools and techniques used in modern financial management. Material in the course has an applied focus and is designed to provide students with the knowledge and skills required for understanding, exploring and analysing financial management issues. The course draws upon topical material in order to contextualise theoretical discussion, and present students with examples in practice.
Specific topics to be covered include: financial mathematics, security valuation, techniques for capital investment decisions, financial decision making, corporate capital structure, cost of capital, dividend decision and policy, leasing decision and the analysis of mergers and acquisitions.
Upon successful completion, students will have the knowledge and skills to:
- Explain the key issues facing financial managers;
- Perform asset valuation and project evaluation; and,
- Explain the finance theory underlying financial management.
While students are not directly engaged in the research as part of the learning process, the course will cover materials that reflect the cutting-edge research around Corporate Finance. My aim is to integrate and emphasize how academic research can influence industry practice and policy making, through which students would be encouraged to think outside of the box. The course will also include parts which involve students in critical analysis of industry-based problems in valuation, capital budgeting and risk assessments.
Examination Material or equipment
Scientific (or financial) calculator
Corporate Finance (Global Edition) by Jonathan Berk and Peter DeMarzo, Pearson; 4th or 5th edition is preferable but earlier editions should be fine. The availability of an e-book copy of the textbook is available via https://library.anu.edu.au/record=b6742055. A small number of hard copies (no digital version) are also available for 2-hour loan in the reserve loan section of the Chifley Library. Additional reading materials including journal articles, newspaper articles will be available on WATTLE.
Consultation time will be confirmed at the start of the semester.
General feedback on most matters will be posted on Wattle. Feedback on quizzes will be given in tutorials class with either verbal or written comments.
ANU is committed to the demonstration of educational excellence and regularly seeks feedback from students. Students are encouraged to offer feedback directly to their Course Convener or through their College and Course representatives (if applicable). The feedback given in these surveys is anonymous and provides the Colleges, University Education Committee and Academic Board with opportunities to recognise excellent teaching, and opportunities for improvement. The Surveys and Evaluation website provides more information on student surveys at ANU and reports on the feedback provided on ANU courses.
|Week/Session||Summary of Activities||Assessment|
|1||Introduction Review of time value of money and interest rates|
|2||Project evaluation: principles and methods|
|3||Application of project evaluation methods|
|4||Interest rates and CAPM (CAPM is assumed knowledge and will be a review)||Report 1 (10% of grade)|
|5||The cost of capital|
|6||Principles of capital structure and capital structure decisions|
|7||Principles of capital structure and capital structure decisions||Report 2 (15% of grade)|
|8||Dividends and share buyback decisions|
|9||Equity financing and debt financing|
|11||Mergers and Acquisitions|
|12||Corporate governance Review||Report 3 (20% of grade)|
There is no need for tutorial signup for this course as all tutorials will be recorded. You may attend any of the tutorial sessions on the timetable for live Q&A sessions with the tutor.
|Assessment task||Value||Due Date||Return of assessment||Learning Outcomes|
|Company Report 1 (Due Week 34 Friday, 21/08/2020, by 23:59: Returned with feedback by Friday 28/08/2020)||10 %||21/08/2020||28/08/2020||1,2,3|
|Company Report 2 (Due Week 39 Friday, 25/09/2020, by 23:59: Returned with feedback by Friday 02/10/2020)||15 %||25/09/2020||02/10/2020||1,2,3|
|Company Report 3 (Due Week 44 Wednesday, 28/10/2020, by 23:59: Returned with feedback by Friday 04/11/2020)||20 %||28/10/2020||04/11/2020||1,2,3|
|Final Examination – (Duration and date: TBA)||55 %||*||*|
* If the Due Date and Return of Assessment date are blank, see the Assessment Tab for specific Assessment Task details
ANU has educational policies, procedures and guidelines, which are designed to ensure that staff and students are aware of the University’s academic standards, and implement them. Students are expected to have read the Academic Misconduct Rule before the commencement of their course. Other key policies and guidelines include:
The ANU is using Turnitin to enhance student citation and referencing techniques, and to assess assignment submissions as a component of the University's approach to managing Academic Integrity. For additional information regarding Turnitin please visit the Academic Integrity . In rare cases where online submission using Turnitin software is not technically possible; or where not using Turnitin software has been justified by the Course Convener and approved by the Associate Dean (Education) on the basis of the teaching model being employed; students shall submit assessment online via ‘Wattle’ outside of Turnitin, or failing that in hard copy, or through a combination of submission methods as approved by the Associate Dean (Education). The submission method is detailed below.
Moderation of Assessment
Marks that are allocated during Semester are to be considered provisional until formalised by the College examiners meeting at the end of each Semester. If appropriate, some moderation of marks might be applied prior to final results being released.
See information above.
Assessment Task 1
Learning Outcomes: 1,2,3
Company Report 1 (Due Week 34 Friday, 21/08/2020, by 23:59: Returned with feedback by Friday 28/08/2020)
From a list of the S&P/ASX 300 index member companies (Excel spreadsheet will be provided), pick a company (your company), introduce your company and provide some basic corporate information. Detailed instructions will be provided on Wattle by week 2. The report will be returned in standard one week from submission, with feedback.
Assessment Task 2
Learning Outcomes: 1,2,3
Company Report 2 (Due Week 39 Friday, 25/09/2020, by 23:59: Returned with feedback by Friday 02/10/2020)
Following Company Report 1, your task will be to compute equity cost of capital in a real world environment. Detailed instructions will be provided on Wattle by week 6. The report will be returned in standard one week from submission, with feedback.
Assessment Task 3
Learning Outcomes: 1,2,3
Company Report 3 (Due Week 44 Wednesday, 28/10/2020, by 23:59: Returned with feedback by Friday 04/11/2020)
Following Company Reports 1 and 2, your task is to estimate the weighted cost of capital, examine payout policy of your company, and other corporate issues in the current corporate environment. Detailed instructions will be provided on Wattle by week 8. The report will be returned in standard one week from submission, with feedback.
Assessment Task 4
Final Examination – (Duration and date: TBA)
This is an open book exam. A mixture of theory and practical (numerical) questions will be asked. The exam will cover materials for weeks 1 to 12. Students will be provided with further details regarding the exam no later than week 10.
Academic integrity is a core part of the ANU culture as a community of scholars. At its heart, academic integrity is about behaving ethically, committing to honest and responsible scholarly practice and upholding these values with respect and fairness.
The ANU commits to assisting all members of our community to understand how to engage in academic work in ways that are consistent with, and actively support academic integrity. The ANU expects staff and students to be familiar with the academic integrity principle and Academic Misconduct Rule, uphold high standards of academic integrity and act ethically and honestly, to ensure the quality and value of the qualification that you will graduate with.
The Academic Misconduct Rule is in place to promote academic integrity and manage academic misconduct. Very minor breaches of the academic integrity principle may result in a reduction of marks of up to 10% of the total marks available for the assessment. The ANU offers a number of online and in person services to assist students with their assignments, examinations, and other learning activities. Visit the Academic Skills website for more information about academic integrity, your responsibilities and for assistance with your assignments, writing skills and study.
You will be required to electronically sign a declaration as part of the submission of your assignment. Please keep a copy of the assignment for your records. Unless an exemption has been approved by the Associate Dean (Education) submission must be through Turnitin.
For some forms of assessment (hand written assignments, art works, laboratory notes, etc.) hard copy submission is appropriate when approved by the Associate Dean (Education). Hard copy submissions must utilise the Assignment Cover Sheet. Please keep a copy of tasks completed for your records.
No submission of assessment tasks without an extension after the due date will be permitted. If an assessment task is not submitted by the due date, a mark of 0 will be awarded.
Accepted academic practice for referencing sources that you use in presentations can be found via the links on the Wattle site, under the file named “ANU and College Policies, Program Information, Student Support Services and Assessment”. Alternatively, you can seek help through the Students Learning Development website.
Extensions and Penalties
Extensions and late submission of assessment pieces are covered by the Student Assessment (Coursework) Policy and Procedure. Extensions may be granted for assessment pieces that are not examinations or take-home examinations. If you need an extension, you must request an extension in writing on or before the due date. If you have documented and appropriate medical evidence that demonstrates you were not able to request an extension on or before the due date, you may be able to request it after the due date.
Distribution of grades policy
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Since first semester 1994, ANU uses a grading scale for all courses. This grading scale is used by all academic areas of the University.
Support for students
The University offers students support through several different services. You may contact the services listed below directly or seek advice from your Course Convener, Student Administrators, or your College and Course representatives (if applicable).
- ANU Health, safety & wellbeing for medical services, counselling, mental health and spiritual support
- ANU Diversity and inclusion for students with a disability or ongoing or chronic illness
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- ANU Academic Skills and Learning Centre supports you make your own decisions about how you learn and manage your workload.
- ANU Counselling Centre promotes, supports and enhances mental health and wellbeing within the University student community.
- ANUSA supports and represents undergraduate and ANU College students
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Asset pricing and corporate finance, particularly focusing on Asian financial markets and institutions.
Prof Takeshi Yamada