BA 3303 – Moore
Syllabus – Fall - 2006
Business Administration 3303 Syllabus
Fall 2006
Module Topic
- Foundations of Finance
Dr. Mark E. Moore
Department of Finance
Texas Tech University
Course Meeting Times:
Section 2
Tues/Thurs
906 Rawls School of Business (742-3185)
Email:
mark.moore@ttu.edu
Web Page: mmoore.ba.ttu.edu
2:00 – 3:20
LH 08
Office Hours: Tues/Thurs 10:30 – 12:00 Wednesday 2:00–4:00; and by appointment
Introduction
The course title for BA3303 is Foundations of Finance. This course provides a survey of
the key areas of finance and introduces a variety of many basic concepts and tools for
the purpose of financial decision making. These basic concepts and tools are useful in
many areas of business or personal life. The areas covered in this course include
financial institutions, financial statement analysis, basic corporate finance and
investments.
My point is that the material covered in this course is useful to all, regardless of major
and career choice. Much of what you can learn in this course can make you a more
savvy and effective consumer whether it be learning how to calculate loan payments
and rates or the fundamentals of security valuation. Therefore, it is my hope that you
will view BA3303 more as an opportunity to learn something useful and exciting, rather
than merely a hurdle to be cleared.
The elements of this Syllabus are designed to aid you as you undertake the study of
Finance in this course. Use the contents of this syllabus (1) to know precisely what will
be asked of you as a student in BA3303, (2) to know the exact schedule of classes,
assignments, and exams, and (3) to supplement and expand on the material presented
in the textbook.
I encourage your active participation in both lecture and discussion section. An active
approach to learning with your mind engaged will enhance the payoff for you from this
course. Be sure to relate the material of this course to the financial activity you see and
read about in the world around you. When you raise issues and ask questions, you aid
the learning process for all and emphasize the relevance of material to everyday life.
I wish you both success and fun in learning!
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BA 3303 – Moore
Syllabus – Fall - 2006
Unit objectives
BA 3303 provides an introduction to corporate financial management. Finance is
centered on the idea of valuing things. What is the value of a bond, a stock, a firm, or
even a college education?
This course is meant to teach you how to compute value and to understand the
financial institutions and markets that provide vehicles for trading, investing and
funding financial opportunities. Since this is an introductory course, we will focus on
the basics of computing value without focusing too much on the enormous number of
complicating factors that exist in the real world when we actually try to calculate value.
Broad learning outcomes
On completion of this course, you should be able to answer the following
questions and/or have the following skills:
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To understand the goal of the corporation.
To understand and apply the time value of money in order to value financial and real
asset investments.
To involve you in measuring/analyzing financial performance of a firm's management.
To show you how measure cash flow for an individual asset and firm.
To illustrate the scientific framework underlying financial decision making and how it is
coupled with sound judgment by management.
Course Prerequisites
Successful completion of BA3302 and a GPA no less than 2.75
This course presumes some background on your part in the areas of accounting,
statistics and economics. The material in this section describes the knowledge and skill
background you should have at the beginning of the course and the requirements that
will need to be completed during the semester.
It is assumed that all students taking this course will already have completed at least
the following courses or their equivalents: BA3302.
From your Accountancy class you should be familiar with the structure of basic
financial statements and the meaning of the items listed in these statements.
From Statistics you should be familiar with various measurements of distributions,
such as the mean, variance, and standard deviation.
Textbook:
Required:
Mayo, Herbet B., Basic Finance: An Introduction to Financial Institutions,
Investments & Management (Mason, OH: Thomson South-Western, 2007).
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BA 3303 – Moore
Syllabus – Fall - 2006
Grade Determination and Components:
Hourly: There will be three (3) hourly exams, each covering a logical and
integrated block of material. All three of these exams will be used in the
determination of your final course grade. Late exams or make-up exams will neither
be offered nor accepted. Exams will take place at the beginning of class period;
followed by new lecture material for the remainder of the class time. Funerals,
Deaths or Illness must be documented. Exams will take place at the beginning of
class period.
Collected Assignments: There will be unannounced quizzes, in-class assignments
(workshops), and collected homework throughout the term. Each assignment
collected will have equal weighting toward your grade determination. The lowest
score will be dropped. No late assignments or make-up work will be accepted.
Projects: The Financial Statement Analysis, Investment projects are practical
applications that integrate key aspects of material that will be presented in this
course.
Cumulative Final Exam: The comprehensive final exam will be administered
during the scheduled time set by the university.
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Hourly Exams (3 @ 100)
Financial Statement Analysis Project
Investment Project – Equity and Bonds
Comprehensive Final Examination
Collected Assignments and Pop Quizzes
Course Point Total
100 – 98
97 – 93
92 – 90
Final Course Grade Policy
A+
89 – 88 B+
A
87 – 82 B
A81 – 80 B-
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Course Points
300
100
100
200
100
--------------800
(stated as percent of total points):
79 – 78 C+
69 – 68 D+
77 – 72 C
67 – 62 D
71 – 70 C61 – 60 D-
BA 3303 – Moore
Syllabus – Fall - 2006
Timetable (Subject to Modification)
Date
Tue–Aug 29
Material Covered
1
Chapter
Chapter
Chapter
Chapter
Chapter
Chapter
Chapter
Chapter
1
2
3
3
4
4
5
5
Exam 1
Chapter
Chapter
Chapter
Chapter
Chapter
Chapter
7
7
7
8
8
8
Thu–Aug 31
Tue–Sep 05
Thu–Sep 07
Tue–Sep 12
Thu–Sep 14
Tue–Sep 19
Thu–Sep 21
2
3
4
5
6
7
8
Tue–Sep 26
9
Thu–Sep 28
Tue–Oct 03
Thu–Oct 05
Tue–Oct 10
Thu–Oct 12
Tue–Oct 17
10
11
12
13
14
15
Thu–Oct 19
Chapter 9
16 Chapter 9
Tue–Oct 24
Thu–Oct 26
17 Chapter 9
18 Exam 2
Tue–Oct 31
Thu–Nov 02
Tue–Nov 07
Thu–Nov 09
Tue-Nov 14
Thu–Nov 16
Tue-Nov 14
Thu–Nov 16
Tue-Nov 21
Thu–Nov 23
19
20
21
22
23
24
25
26
27
Tue-Nov 28
28 Chapter
Chapter
29 Chapter
30 Chapter
Thu-Nov 30
Tue-Dec 05
Tue-Dec 12
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Chapter 10
Chapter 10
Chapter 11
Chapter 11
Chapter 12
Chapter 13
Chapter 13
Chapter 13
Exam 3
No Class
18
19
22
22
Final Exam
Topic and Assignments
Financial Institutions and Markets
Course Intro. and Overview of Finance
Role of Financial Markets
Investment Banking
Securities Markets
Securities Markets
Financial Intermediaries
Financial Intermediaries
The Federal Reserve
The Federal Reserve
Financial Tools
Chapters 1-5
Time Value of Money
Time Value of Money
Time Value of Money
Risk and Its Measurement
Risk and Its Measurement
Risk and Its Measurement
Financial Accounting Review and Film
Financial Statement Analysis
Financial Statement Analysis
Control of Working Capital Film
Financial Statement Analysis
Chapters 7-9
Investments
Stock and Equity
Stock and Equity
Stock Valuation
Stock Valuation
Characteristics of Long-Term Debt
Bond Pricing and Yields
Bond Pricing and Yields
Bond Pricing and Yields
Chapters 10-13
Thanksgiving Holiday
Corporate Finance
Forms of Business and Taxation
Breakeven Analysis
Net Present Value and IRR
Net Present Value and IRR
1:30 – 4:00
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BA 3303 – Moore
Syllabus – Fall - 2006
Important Dates:
Tuesday
Thursday
Monday
Tuesday
Tuesday
Tuesday
Tuesday
Tuesday
Tuesday
Sep. 26
Oct. 24
Oct. 30
Oct. 31
Nov 07
Nov 21
Nov 28
Dec 05
Dec 12
-
Exam 1
Exam 2
Last Day to Drop Course
Formation of Project 1 Groups Due
Financial Statement Analysis Project Due
Exam 3
Formation of Project 2 Groups Due
Stock and Bond Analysis Project Due
Final Exam Period - 1:30 – 4:30 PM
Students with Disabilities and those Requiring Special Assistance
First and foremost, under Section 504 of the Rehabilitation Act of 1973 and the
Americans with Disabilities Act of 1990, "No otherwise qualified person with a disability
in the United States . . .shall, solely by reason of . . .disability, be denied the benefits
of, be excluded from participation in, or be subjected to discrimination under any
program or activity receiving federal financial assistance." I/We certainly have a legal
and moral responsibility to accommodate our disabled students. But I/we do not, and
should not, have to treat disabled students in a manner that places them at a
competitive advantage or disadvantage with their classmates. Any student claiming a
disability needs to be referred to AccessTech, which is the University's Disability Support
Program. The Faculty Guide to AccessTech, which includes faculty responsibilities in
dealing with disabled students, is available at
http://www.studentaffairs.ttu.edu/accesstech/publications/faculty_check_list.pdf.
Student Disabilities Policy:
Any student who, because of a disabling condition, may require special arrangements in
order to meet course requirements should contact the instructor as soon as possible.
Students should present the appropriate documentation from AccessTech verifying their
disability, and outlining the special arrangements required. No accommodations will be
provided disabled students prior to completion of this approved University process.
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BA 3303 – Moore
Syllabus – Fall - 2006
Student Academic Integrity Policy:
Ethical conduct is an important component of any profession. The Texas Tech
University Code of Student Conduct is in force during all elements of this course.
Students violating any portion of the Academic Code will be sanctioned and prosecuted
to the fullest extent provided by the University. Ours’ should be a self-monitoring
profession. Your reputational capital is the greatest asset you will bring to the market.
It is hard to gain, too easy to tarnish, and nearly impossible to recover. It is the
obligation of all students to report violations of the honor code in this course. The
following is taken from the Texas Tech Student Handbook. Please follow the link below
to examine relevant regulations and ruling regarding codes of Academic Integrity.
“Academic dishonesty" includes, but is not limited to, cheating, plagiarism, collusion, falsifying
academic records, misrepresenting facts, and any act designed to give unfair academic advantage
to the student (such as, but not limited to, submission of essentially the same written assignment
for two courses without the prior permission of the instructor) or the attempt to commit such an
act.
Texas Tech Student Handbook, 2005-2006, Code of Student Conduct, Part IX, Section B, item number 3.
http://www.depts.ttu.edu/studentjudicialprograms/AcademicIntegrity.htm
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