National Cheng Kung University, School of Management
公司理財
Corporate Finance: the Case Study Approach
Professor Shao-Chi Chang
Tel: (06) 2757575-53506
Office: 61403
E-mail: schang@mail.ncku.edu.tw
Course Objective
This course is the second part of Financial Management. The primary objective is to enhance
students’ understandings in the financial decisions and policy through the case study approach.
The topics covered in studied cases include firm value creation, cost of capital, capital budgeting,
equity management, capital structure, dividend policy, IPOs, risk management, takeover, and
some special topics.
Before taking this class, students must possess the basic knowledge of financial management.
Textbook:
Required Textbook:
Case Studies in Finance by Bruner, McGraw-Hill, 6th ed., 2009
Reference Textbook:
1.
Financial Management by Megginson, Smart and Graham, 3rd edition, Thomson
South-Western
2.
Principles of Corporate Finance by Brealey and Myers (BW), McGraw Hill
3.
Corporate Finance by Ross, Westerfield and Jaffe (RWJ), McGraw Hill
4.
Financial Management: Theory and Practice by Brigham and Ehrhardt, Thomson
Grading policies
Participation:
Case Summary:
Presentation:
Final Exam
30%
20%
20%
30%
Course Structure

There will be about 10 cases in this course. Each case will be presented by one group.  The presenting group have to upload the presentation ppt file to MOODLE e‐learning webpage one day before the class meeting. All other students should download the presentation files from the website before the class meetings, and are expected to ask questions after each presentation.

Students are required to read cases before class and summarize the issues in one page.

Students are required to submit each assignment in the beginning of each class. Any late submission will not be graded. 
Members of the presenting group do not have to submit the one‐page summary Individual Term Paper
 Each group needs to write a case that is related to the cases discussed in this class. The details will be given in class meetings.

The due date of the term paper is the end of semester.
Other Requirements

Students are expected to attend classes on time. Any late attending or early leaving will affect your participation grade.

It is very possible to hand out some materials in class meetings. If you miss any class, you will not be given any make‐up lecture and the class materials. You are responsible to make up everything by yourself.

Cellular phone and pager are supposed to be off or at lease be in “vibrate” mode during class meetings.

Students are expected to check class website regularly. Any change or announcement about the classes will be posted on the website. * The syllabus is subjective to change, which will be announced by instructor.
Class Schedule
This will be finalized in the second week.
Group Week/Date
Topic
Case Reading
W1/Sep 20
Introduction
W2/Sep 27
Value Creation
Case preparation ;Case 3
W3/Oct 4
Case 1; G1;
W4/Oct 11
Case 4 G2
W5/Oct 18
Cost of Capital and Capital Budgeting
Case 14 (CC & EVA)
G3
Case 16 (project risk‐return)
G4
Whirlpool Europe
G5
Case 27 (early stage financing)
G6
W6/Oct 25
W7/Nov 1
Presentation
W8/Nov 8
Capital Structure
W9/Nov 15
W10/Nov 22
Dividend Policy
Case 25 G7
W11/Nov 29
IPO
Netscape IPO
G1
W12/Dec 6
Case 26 G2
W13/Dec 13
Term Project Presentation
W14/Dec 20
Risk Management
Case 36 (currency)
G3
W15/Dec 27
Case 39 (convertible bond)
G4
W16/Jan 3
Takeovers
Case 33 (financing)
G5
W17/Jan 10
Case 45 (valuation)
G6
W18/Jan 17
Case 43 (negotiation)
G7
W19/Jan 24
Term Project Due
Ford’s VEP