BUSINESS FINANCE 320
FALL, 2002
Mr. Neal Turner
3249 Schneider Hall
Office Phone: 387-5794 (MESSAGES ANSWERED TWICE A WEEK - Include best times
to return call in your message)
Home Phone: Don't even think about it (except for family emergencies or illness).
E-mail:
nealtturner@hotmail.com
neal.turner@wmich.edu (MESSAGES ANSWERED TWICE A WEEK)
CLASS SCHEDULE:
Call No.
51127
35151
35096
Day(s)
TR
TR
T
Time
09:30-10:45
11:00-12:15
6:30- 9:00PM
FINAL EXAM DATE:
Call No.
51127
35151
35096
Date
Wednesday, Dec. 11
Tuesday, Dec. 10
Tuesday, Dec. 10
Location
2355 Schneider
2355 Schneider
1320 Schneider
Time
10:15 – 12:15 A.M.
8:00 – 10:00 A.M.
7:15 – 9:15 P.M.
Your final exam must be taken at the time scheduled for your
section.
OFFICE HOURS:
3249 Schneider Hall (my office)
Tuesday
01:45-04:30PM
06:00-06:30PM
Thursday
01:45-04:30PM
If you have scheduling conflicts with all of the previous
hours, you may want to consider changing to another
section of FCL 320.
TEXT:
Required:
Fundamentals of Financial Management, Concise Third
Edition, Eugene F. Brigham and Joel F. Houston, The
Dryden Press
Blueprints: A Problem Notebook
Eugene F. Brigham and Joel F. Houston
OR
Students must print lecture overheads from Text CD prior to lectures.
Strongly Recommended:
Study Guide: Fundamentals of Financial Management (B&H)
CALCULATOR:
Required model: Hewlett-Packard HP 10B. ($35-40 price range)
It is your responsibility to learn how to operate your calculator. It
is crucial that you are familiar with your calculator by the time we
begin Chapter 7
.
BUSINESS FINANCE 320
Fall, 2002
Page 2
PREREQUISITES:
COURSE
OBJECTIVE:
ACTY 210 Principles of Accounting
MATH 216 Business Statistics (Remember EXCEL?)
Contribute to the Haworth College of Business objective of delivering the
best business program in Michigan and the surrounding states by:
1. presenting students with an overview of the main facets and tools of
business finance:
2. developing an understanding of how the financial theory concepts
and techniques are applied to business decisions; and,
3. instilling the reality that a full understanding of business finance is
essential to survival in the business world.
4. reinforcing professional life skills.
Upon successful completion of the course, students will:
1. be able to apply financial theory to practical short-term and long-term
problems in corporate finance;
2. be able to understand how finance fits into the overall business
decision-making process;
3. be cognizant of the thinking process necessary to evaluate, analyze,
and comprehend financial issues;
4. have developed a working knowledge of the tools, techniques, and
theories of financial management; and,
5. have developed a familiarity with the basic technology prevalent in
the field of finance.
ATTENDANCE:
On-time attendance is required. Students missing class will forfeit any quiz
or participation points.
THE STUDENT ASSUMES SOLE RESPONSIBILITY FOR ANY
MISSED LECTURE NOTES, ASSIGNMENTS, OR
ANNOUNCEMENTS.
HOMEWORK:
Homework will be assigned at the end of each class period. In order to be
graded, homework must be handed-in at the beginning of the class period. I
strongly recommend that students make copies of their homework
submissions to use during class discussion. Your homework may be
submitted by another student in your section; please indicate on the top of
the page the student submitting your work.
READING ASSIGNMENTS:
All reading assignments should be completed prior to the first class period
in the week. (Except Week 1)
BUSINESS FINANCE 320
Winter, 2001
Page 3
COMPUTER SPREADSHEET
ASSIGNMENTS:
There will be two major computer spreadsheet assignments:
1) A simple loan amortization spreadsheet as part of Chapter 6 homework;
and,
2) A cash flow/net present value spreadsheet with Chapter 11
homework.
In addition, there may be homework problems which will require EXCEL
worksheet solutions.
These assignments will use the EXCEL skills students you learned in
MATH 216. If you are not familiar or comfortable with the basics of
typing, adding, subtracting, multiplying, and dividing using a package such
as EXCEL or LOTUS 1-2-3, the computer lab has a self-paced Microsoft
OFFICE tutorial that teaches the necessary EXCEL skills. You must use
EXCEL on WINDOWS 95 or 97 software. Files must be EXCEL 97 or
EXCEL 2000 compatible.
PROFESSIONAL LIFE SKILLS:
A professional business atmosphere is to be maintained in the classroom
setting. As an analogy to your future professional career, assume you are
attending a seminar paid by your firm. The instructor will evaluate each
participant and provide feedback (your grade) to your supervision. As a
result, mutual respect among participants and common courtesy is expected.
Behaviors such as side conversations, leaving class without prior
notification, loud snoring, or any other type of distracting behavior are to be
avoided. If a pattern of unprofessional behavior or attitude is
demonstrated, a student’s grade may be reduced one full letter grade.
EXAM POLICY:
All students are expected to take the quizzes and exams on the scheduled
dates and times. I will retain all exams.
Appendix D of your text, or a similar handout, will be distributed with each
exam (except the information on certain key ratios – Current Ratio, Quick
Ratio, Inventory Turnover, Days Sales Outstanding, and Return on Common
Equity). You will need only your calculator and pencil to complete exams.
All regular exams will be multiple choice and computer graded unless you
are notified otherwise in class.
GRADES:
Homework and class participation/attendance
Quizzes (Unannounced)
Exam 1
Exam 2
Final Exam (Comprehensive)
15%
20%
20%
20%
25%
Please note grade adjustment listed under Professional Life Skills
SCALE:
The scale shown above will be applied to the student’s weighted average test
score. If the cumulative average score falls below 72%, the scores will be
adjusted so that the average cumulative score is in the C range.
BUSINESS FINANCE 320
Winter, 2001
Page 4
COURSE OUTLINE:
The following course outline is tentative and subject to change:
LECTURE(S) BY WEEK NUMBER (Dates = Tuesday):
Week 1 (Sept 3.)
Introduction, Overview of Financial Management (Chapter 1), and
Financial Statements, Cash Flow, & Taxes (Chapter 2)
ASSIGNMENT: Read Chapters 1 & 2
HOMEWORK: None
Week 2 (Sept. 10)
Financial Statements, Cash Flow, & Taxes (Chapter 2)
Analyzing Financial Statements (Chapter 3)
ASSIGNMENT:
HOMEWORK:
Week 3 (Sept. 17)
Analyzing Financial Statements (Chapter 3)
Financial Planning & Forecasting (Chapter 4)
ASSIGNMENT:
HOMEWORK:
Week 4 (Sept. 24)
Read Chapter 5
Chapter 5 – To be assigned
EXAM – Chapters 1-5 - Tuesday, Oct. 8
Time Value of Money (Chapter 7)
ASSIGNMENT:
HOMEWORK:
Week 7 (Oct. 15)
Read Chapter 5
Chapter 4 -To be assigned
Financial Environment (Chapter 5)
Time Value of Money (Chapter 7)
ASSIGNMENT:
HOMEWORK:
Week 6 (Oct. 8)
Read Chapter 4
Chapter 3 – To Be Assigned
Financial Planning & Forecasting (Chapter 4)
Financial Environment (Chapter 5)
ASSIGNMENT:
HOMEWORK:
Week 5 (Oct. 1)
Read Chapter 3
Chapter 2 – To Be Assigned
Read Chapter 7
Exam Preparation
Time Value of Money (Chapter 7)
Bonds (Chapter 8)
ASSIGNMENT:
HOMEWORK:
Read Chapter 8
Chapter 7 - To be assigned
BUSINESS FINANCE 320
Winter, 2001
Page 5
Week 8 (Oct. 22)
Bonds (Chapter 8)
Risk & Rates of Return (Chapter 6)
ASSIGNMENT:
HOMEWORK:
Read Chapter 6
Chapter 8 - To be assigned
NOTE: MONAY, OCTOBER 28 IS THE LAST DAY TO DROP CLASSES
WITHOUT ACADEMIC PENALTY.
Week 9 (Oct. 29)
Risk & Rates of Return (Chapter 6)
Stocks & Their Valuation (Chapter 9)
ASSIGNMENT:
HOMEWORK:
Week 10 (Nov. 5)
Stocks & Their Valuation (Chapter 9)
Cost of Capital (Chapter 10)
ASSIGNMENT:
HOMEWORK:
Week 11 (Nov. 12)
Read Chapter 11
Exam Preparation
The Basics of Capital Budgeting (Chapter 11)
Cash Flow Estimation (Chapter 12)
ASSIGNMENT:
HOMEWORK:
Week 14 (Dec. 3)
Review Chapter 10
Chapter 10 - To be assigned
EXAM – CHAPTERS 6 – 10 – Tuesday, Nov. 19
The Basics of Capital Budgeting (Chapter 11)
ASSIGNMENT:
HOMEWORK:
Week 13 (Nov. 26)
Read Chapter 10
Chapter 9 - To be assigned
Cost of Capital (Chapter 10)
The Basics of Capital Budgeting (Chapter 11)
ASSIGNMENT:
HOMEWORK:
Week 12 (Nov. 19)
Read Chapter 9
Chapter 6 - To be assigned
Read Chapter 12
Chapter 11 - To be assigned (Due Nov. 26)
Cash Flow Estimation (Chapter 12)
ASSIGNMENT:
HOMEWORK:
Review Chapter 12
Chapter 12 - To be assigned
Week 15 (Dec. 9 FINAL EXAM WEEK
Monday)
BUSINESS FINANCE 320
FALL, 2002
Page 6
INCOMPLETE POLICY:
Please review the Incomplete Policy shown on page 28 of the 2001-2003
Undergraduate Student Catalog.
ACADEMIC HONESTY:
One of the key purposes of the Hayworth College of Business undergraduate
program is to prepare students to participate ethically and responsibly in the
world of commerce. A pattern of legal and ethical lapses including Enron,
Arthur Anderson, WorldCom, and even the sainted Martha Stewart suggest
that legal standards, let alone ethics, have not been sufficiently emphasized
in the preparation of individuals for business careers. I want to be clear that
ANY breach of the Academic Honesty Policy (shown on pages 268-270 of
the 2001-2003 Undergraduate Student Catalog) will not be tolerated.
Hopefully aggressive enforcement of academic honesty policies will
establish patterns of student behavior that will carry-over into professional
roles following graduation.