Financial Management Lectures Semester 2, 2022-23 Financial Management I MGMT2023 (FinMan1) Financial Management II MGMT3048 (FinMan2) Financial Management - Semester 2, 2020-21 Lecturers’ Particular Financial Management I Financial Management II Submission Of Assignments All submissions of assignments must be done using your designated UWI email and sent to your lectures’ UWI email Address or via the channels as directed in the assignments. Financial Management Lectures’ Semester 2, 2021-22 Contacts Harris, Kevin Course – Financial Management 2 Location – Mona Email – Kevin.Harris@uwimona.edu.jm Ellis, Fray Course – Financial Management 1 & 2 Location – Mona Email – Fray.Ellis@uwimona.edu.jm Phone – 876-317-3720 Johnson, Jomo Course – Financial Management 2 Location – WJC Email – Jomo.Johnson02@uwimona.edu.jm Email – mgmt3048.wjc@gmail.com Phone - 876-550-5059 All submissions of assignments must be done using your designated UWI email and sent to your lectures’ UWI email address. Return FINANCIAL MANAGEMENT I (MGMT2023) Course Outline MGMT2023 Return Course Outline – (MGMT2023) FinMan1 Course Details Campus (Mona) (WCJ)* Class Times: Tuesdays: 10-12Noon & Fridays: 7–8pm Fridays 5-8pm No. of credits: 3 Semester: Semester II 2022-2023 No. of contact hours: 39 hours Pre-requisite: Financial Management I – MGMT 2023 *Online Stream [M11] [W11] Lecturer Ellis Ellis Course Description & Rationale – FinMan1 This course seeks to provide the foundation of financial management. It will introduce some of the basic concepts used by financial managers in the decision-making process and provide a theoretical framework within which these concepts are applicable. The course will also draw on situations to highlight the importance of both the theory and practice of finance. The course focuses predominantly on learning the tools and techniques needed to analyze and evaluate financial information. This course focuses predominantly on learning the tools and techniques needed to analyze and evaluate financial information. This type of analysis enables the financial manager to identify and solve management problems related to the financial operations of business corporations. Learning Outcome – FinMan1 The primary goal of this course is to enable participants understand how finance works in business, how financial decisions impact upon performance and how to use finance skills to drive a business forward and take well informed decisions. It aims to inculcate in participants a working knowledge of finance principles, a comprehensive understanding of the finance landscapes, pertinent issues affecting finance globally and locally and an intelligent application to solution building. The course will also draw on situations to highlight the importance of both the theory and practice of finance. It is also intended that this course should lay the foundation for students who will be pursuing Financial Management II – MGMT 3048. Specifically, at the end of this course you will: 1. Explain the five principles of finance that form the basis of financial management. 2. Describe the structure and function of the financial markets and distinguish between different types of financial instruments. 3. Describe the content of the four basic financial statements and use these statements to evaluate the profitability of the firm, and sources of financing. 4. Compute financial ratios and use these to analyze the firm’s financial performance using appropriate benchmarks. 5. Compute present value and future value of single cash-flows, annuities, and unequal cash flows. 6. Compute the expected returns and risk for stand-alone securities and a portfolio of securities. 7. Distinguish between market risk and unique risk incorporating the concept of diversification. 8. Calculate the value of bond and equity securities using present value techniques. 9. Evaluate the profitability of investment projects using NPV, IRR, MIRR, PI and payback techniques. Mode of Delivery: - FinMan1 ONLINE Online Required Textbook – FinMan1 Financial Management – Principles and Applications(13th Edition - Global) Titman, Keown & Martin, Pearson Education Inc., 2018 (T) Recommended Reading: Financial newspapers and magazines Pedagogy – FinMan1 Lecture presentations will generally consist of notes (presentation, slides, and blackboard) and in-class discussions and problem solving. Students are expected to attempt the review questions (theoretical) at the end of the relevant text chapters. (Students must reacquaint themselves with the material covered in Financial Management I if they are to properly grasp the concepts and techniques presented here). The teaching/learning process will be interactive to a large extent; thus, students should make an effort to read/scan the topic to be covered before class. Your homework and mid-semester exam will be done on this platform. Though the objective of this course is not one of pass-fail; be advised that “if you fail to prepare, be prepared to fail!” All course material (course outline, class notes, tutorial sheets, and tutorial sheet solutions) may be accessed on the University’s Virtual Learning Environment website (OurVLE): http://ourvle.mona.uwi.edu Assignment & Class Attendance – FinMan1 Description Assignment Category Mid-term exam Final exam of Topics Examined* Percentage (%) Format A, B & C (*subject to change with notice) 40** (MCQ & Short Answers) All Topics 60 Structured Qs 15 ** This may comprise a project to be administered as a test comprising 15% of the course grade. The lecturer will discuss and decide prior to the midsemester. Marking Scheme – FinMan1 Description of grade assignment GRADE Mark as a % GRADE Mark as a % A+ 90 – 100 C+ 55 – 59 A 80 – 89 C 50 - 54 A- 75 - 79 F1 45- 49 B+ 70 - 74 F2 40 – 44 B 65 – 69 F3 0 – 39 B- 60 - 64 Course Content & Schedule – FinMan1 Weeks 1-6.. Course Content & Schedule – FinMan1 Weeks 7-10.. Course Content & Schedule – FinMan1 Weeks 11-13.. Other Matters- FinMan1 Other Matters- FinMan1 FINANCIAL MANAGEMENT II (MGMT3048) Course Outlines MGMT3048 Return Course Outline- FinMan2 Course Details Campus (Mona) (Mona) (WJC) Class Times: Mondays: 7-9pm & Wednesdays: 8–9pm Tuesdays: 12-2pm & Wednesdays: 8–9am Tuesdays: 6-9pm No. of credits: 3 Semester: Semester II 2020-2021 No. of contact hours: 39 hours Pre-requisite: Financial Management I – MGMT 2023 Stream [M12] [M11] [W11] Lecturer Ellis Harris Johnson Course Description & Rationale - FinMan2 Finance is an exciting, challenging, and ever-changing discipline. Financial Management II is an advanced managerial finance course that ties together theory and applications of financial management, covering the essential aspects of financial decisions. Financial decisions are primarily concerned with providing solutions to the following problems: (1) What assets should the enterprise acquire? (this is the capital budgeting decision); (2) How should these assets be financed? (this is the capital structure decision); and (3) How should short-term operating cash flows be managed? (this is the working capital decision). This course focuses predominantly on learning the tools and techniques needed to analyze and evaluate financial information. This type of analysis enables the financial manager to identify and solve management problems related to the financial operations of business corporations. It builds on the basic principles covered in the first course in Financial Management. Learning Outcome - FinMan2 Upon completing this course, students should be able to: 1. Analyze cash flows for investment projects by a. Forecasting incremental cash-flows. b. Incorporating inflation and risk analysis in the capital budgeting decision making process. 2. a. Describe the characteristics of the non-financial firm b. Use these characteristics to determine the optimal capital structure c. Explain how the optimal capital structure influences firm value. 3. Describe how tax consideration and clientele effects affect the firm’s dividend policy. 4. Understand the working capital policy of the firm by a. Using the cash conversion cycle measure the efficiency of the firm b. Explaining the use of self-liquidating to manage liquidity. c. Determining the factors that are used to shape the firm’s short term investment strategy. 5. Explain the risk inherent in the foreign exchange market and how this risk impacts international capital budgeting decisions. 6. Use different techniques (insurance derivatives) to hedge firm risk. Mode of Delivery: - FinMan2 ONLINE Online Required Textbook - FinMan2 Financial Management – Principles and Applications (12th Edition - International) Titman, Keown & Martin, Prentice Hall (Pearson Education Inc.), 2014 Pedagogy - FinMan2 Lecture presentations will generally consist of notes (presentation, slides, and blackboard) and in-class discussions and problem solving. Students are expected to attempt the review questions (theoretical) at the end of the relevant text chapters. (Students must reacquaint themselves with the material covered in Financial Management I if they are to properly grasp the concepts and techniques presented here). The teaching/learning process will be interactive to a large extent; thus, students should make an effort to read/scan the topic to be covered before class. Your homework and mid-semester exam will be done on this platform. Though the objective of this course is not one of pass-fail; be advised that “if you fail to prepare, be prepared to fail!” All course material (course outline, class notes, tutorial sheets, and tutorial sheet solutions) may be accessed on the University’s Virtual Learning Environment website (OurVLE): http://ourvle.mona.uwi.edu Assignment & Class Attendance - FinMan2 Description of Assignment Category Mid-term exam Final exam Topics Examined* Percentage (%) Format A, B & C (*subject to change with notice) 40*** (MCQ) All Topics 60 MCQ/Short Answer *** This may comprise a project to be administered as a test comprising 15% of the course grade. The lecturer will discuss and decide prior to the midsemester. Marking Scheme - FinMan2 Description of grade assignment GRADE Mark as a % GRADE Mark as a % A+ 90 – 100 C+ 55 – 59 A 80 – 89 C 50 - 54 A- 75 - 79 F1 45- 49 B+ 70 - 74 F2 40 – 44 B 65 – 69 F3 0 – 39 B- 60 - 64 Course Content & Schedule - FinMan2 Weeks 1-5.. Course Content & Schedule - FinMan2 Weeks 6-9.. Course Content & Schedule - FinMan2 Weeks 10-13.. Other Matters- FinMan2 Other Matters- FinMan2
