University of Texas at Dallas
School of Management
FIN 6301
FINANCIAL MANAGEMENT
Fall 2004
Course Description: The primary goal of this course is to provide an integrated overview
of the most important ideas in corporate finance from the point of view of the manager of a
non-financial corporation. The main theoretical principle of the course is the concept of
shareholder value. The topics covered include: time value of money and the net present
value rule; valuation of stocks and bonds; capital budgeting decisions; uncertainty and the
risk-return trade-off; and corporate financing and dividend policy decisions.
Instructor:
Mary C. Chaffin
Classroom:
SOM 1.217
Time:
Monday, 7:00 P.M. - 9:45 P.M.
Office:
SOM 2.208 (972-883-2646) Email: chaf@utdallas.edu
Office Hours:
Monday 4:00-6:30 p.m.
Wednesday 2:00-3:30 p.m. and by appointment.
Text:
Corporate Finance, 7th Edition, Stephen A. Ross,
Randolph W. Westerfield and Jeffrey Jaffe.
Recommended:
Calculator. A financial calculator can speed up tedious calculations.
Optional:
The Wall Street Journal. The Journal is a good way to begin a lifelong pattern of
professional reading. We will discuss significant financial events as they occur.
My Web Page:
www.utdallas.edu/~chaf
 Transparencies
 Solutions to end of chapter problems
 Old exams
Ross, Westerfield, Jaffee web page
Exams:
There will be three exams. The first two will be weighted so that the one that
you score the highest on weighs more. The final exam will be cumulative. You will be
allowed to bring a formula sheet for each exam. I will give the specifications for the
sheet in class. If you do not abide by them, you will not be allowed to use a formula
sheet. No make-up exams will be given. If you have a valid excuse and have the consent
of the instructor for missing a midterm, the final will be weighted more heavily.
Problem Sets: Three problem sets will be assigned. They are due at the beginning of
class on the date due. Some of the problems are easy and some are more
difficult. You may discuss the problems in a study group. However, the work
that you submit should be your own.
Grading:
Exam I
Exam II
Final Exam
Problem Sets
30% or 15%
30% or 15%
40%
15%
Recommended Practice Problems:
Work the examples in each chapter as well as end of chapter problems as needed.
Working problems will help you in understanding the material. Solutions to some of the
end-of-chapter problems are on my web page.
NOTICE OF POLICY ON CHEATING
Policy on Cheating: Students are expected to be above reproach in all scholastic activities.
Students who engage in scholastic dishonesty are subject to disciplinary penalties,
including the possibility of failure in the course and dismissal from the university.
"Scholastic dishonesty includes but is not limited to cheating, plagiarism, collusion, the
submission for credit of any work or materials that are attributable in whole or in part to
another person, taking an examination for another person, any act designed to give unfair
advantage to a student or the attempt to commit such acts." Regents' Rules and
Regulations, Part One, Chapter VI, Section 3, Subsection 3.2, Subdivision 3.22.
COURSE OUTLINE
DATE
8/25
CH
1, 4
TOPIC
Introduction, Time Value of Money
8/30
2, 3
Cash Flow, Financial Planning and Growth
9/6
Labor Day Holiday
9/13
5
Valuing Bonds and Stocks
9/20
6, 7
Capital Budgeting
9/27
7
Capital Budgeting
10/4
Exam I
Chapters 2, 4, 5, 6, 7
10/11
8
9, 9A
Capital Budgeting
Risk and Return
10/18
10, 10A
Risk and Return
10/25
11, 12, 13
Risk and Return
11/1
14,15
Capital Structure
11/8
Exam II
Chapters 8, 9, 10, 11, 12, 13, 14
11/15
16
Capital Structure
11/22
18, 19, 20
Dividend Policy, Long-Term Finance Revisited
11/29
31
International Corporate Finance
12/6
FINAL EXAM (Comprehensive)