Załącznik nr 2
do zarządzenia Rektora nr /12
COURSE DESCRIPTION CARD
NOTE: If the course consists of lectures and classes, the Course Description applies to both forms
of teaching
1. Course title: Capital Budgeting & Investment Analysis
2. Course code …
in Polish: Budżetowanie kapitału i ocena inwestycji
Number of ECTS credits 4
Course completion method E
Course commenced / Year
2014/2015 // 2015/2016
3. Faculty: Finance and Insurance
4. Field of Study: Finance and Accounting
5. Department of the Field of Study Coordinator: Department of Investment and Real Estates
6. Name of tutor: Lectures dr Monika Foltyn-Zarychta
Zarychta
Lab classes …
Examiner dr Monika Foltyn-Zarychta
Classes dr Monika Foltyn-
7. Tutor’s department Department of Investment and Real Estates
8. Number of contact hours with students: 45
Type of course
Lectures
Classes
Foreign language classes
Lab classes
Seminars
Introductory Seminars
Other
Total hours
Examination (hours)
Full time study
Part time study
15
30
45
9. Course timeframe (no. of semesters) 1
Course commencement / Year II
Course commencement / Semester IV
10. Stage of tertiary education I
11. Course status
x Compulsory for the field of study …
Compulsory for the specialization …
Optional
12. Requirements
Compulsory: Principles of Finance
Recommended: Financial Accounting
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13. Course objectives:
• To acquire knowledge about specific features of capital investments and mechanisms of investment
decision making,
• To develop skills in application of basic tools for capital investment appraisal and risk analysis,
• To develop social competences in team working.
14. Teaching and learning methods:
A. Direct student/teacher contact hours:
No.
1.
Teaching methods
Lecture, multimedia
lecture, active lecture
Active classes using
case studies
Classes using IT tool
2.
3.
Description
PPT presentations,
discussion
Solving tasks/case
studies in teams
Development of
skills in using
investment
evaluation tools in
Excel, team work
Number of teaching hours
Full time study
Part time study
15
15
15
…
Total
AS:45
AN:
B. Self-study hours:
No.
Learning methods
1.
Analysis of lecture
handouts
2.
Cause-effect studying
with literature
3.
Individual work with
IT tools
Description
Preparation for
discussion, solving
tasks and preparation
for final test
Knowledge
development by
means of analysis
problems individually
and in teams
Knowledge
development by
means of internet and
MS Excel
Number of hours
Full time study
Part time study
15
20
20
…
Total
BS:55
Total AS+BS = 100
Examination (E) =
Total AS+BS+E= 100
BN:
Total AN+BN = …….
Examination (E) =…….
Total AN+BN+E = …….
15. Key words: investments, effectiveness evaluation, risk
16. Course content:
1. The specificity of an investment activity, classification of capital investments, project life cycle
2. The aim of investment appraisal process, documents for project appraisal procedure – feasibility
studies etc.
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3. Cash flows measurement / incremental CF
4. Financing the investment, sources of long-term financing, cost of capital measurement
5. Methods of evaluation : NPV, IRR, PP etc., problems in evaluation (mutually exclusive investments
6. Risk analysis : sensitivity, BEP, RADR, decision trees, etc.
7. Inflation in investment appraisal
8. Special topics: project finance, leasing, capital rationing etc.
17. Student learning outcome achieved in the course, as related to the outcome intended for the field of
study. Methods of outcome achievement evaluation.
Student learning
outcome
intended for the
field of study /
Symbols
FiR1_W02
FiR1_W05
FiR1_W06
FiR1_U01
FiR1_U03,
FiR1_U07
FiR1_K03
FiR1_K05,
FiR1_K06
Student learning outcome achieved in the
course
Knowledge
Student knows methods and tools of project
appraisal, and has obtained knowledge on
causes, course and consequences of the
investment process and is able to describe
and analyse it.
Skills
Student notices, observes and interprets
investment process in company, analyses
reasons and performance, proposes solutions
and is able to use sources and tools for
project appraisal effectively.
Social skills
Student notices and formulates the problems,
seeks for optimal solutions in appraisal
process, student is able to participate in
developing social and business projects,
knows legal, financial and business aspects of
the project delivery and is able to predict the
results in basic term using capital budgeting
models and methods, knows how to develop
her/his knowledge.
Methods of
assessing student
learning outcome
achieved in the
course
Documentation
Discussion, task
and case study
analyses, written
exam
Class
performance
form,
examination
questionnaire
Discussion, task
and case study
analyses, written
exam
Class
performance
form,
examination
questionnaire
Discussion, task
and case study
analyses
Class
performance
form
18. Methods of grading student performance:
No.
1.
Student
Description
performance
assessment methods
and course
completion
requirements
Task and case study Student’s performance,
analyses
methods and validity of
tasks and case studies
solutions in teams
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Percentage of the final grade
40%
2.
3.
Written exam
questionnaire
60%
* If students are required to earn credits and pass an exam, the credit accounts for at least 30% of the final
grade
19. Reading list
Compulsory reading list:
1.Pike R., Neale B. (2003): Corporate Finance And Investment. Decisions And Strategies. Prentice
Hall, 4th ed., London.
2.Peterson P. P., Fabozzi F. J. (2002): Capital Budgeting: Theory and Practice, John Wiley & Sons
3.Dayananda D., Irons R., Harrison S., Herbohn J. and Rowland P. (2002): Capital Budgeting:
Financial Appraisal of Investment Projects, Cambridge University Press
Recommended reading:
1. Brigham E.F., Houston J.F.: Fundamentals of Financial Management . Wyd. SouthWestern/Thomson, International Edition, 2009.
2. Mayes T. R., Shank T. M. : Financial Analysis with Microsoft Excel. Wyd. Cengage Learning,
2012.
3. Seitz N., Ellison M.: Capital Budgeting And Long-Term Financing Decisions. 4th ed.. Wyd.
Thomson, Mason, 2005.
4. Behrens W., Hawranek P. M.: Manual for the preparation of industrial feasibility studies. Wyd.
UNIDO, Vienna, 1991.
5. Dixit A. K., Pindyck R. S. : Investment Under Uncertainty. Wyd. Princeton University Press,
Princeton, New Jersey, 1994.
6. Boardman A.E.: Cost-Benefit Analysis: Concepts And Practice. 2nd ed.. Wyd. Prentice Hall, Inc.,
Upper Saddle River, New Jersey, 2001.
20. Language of instruction: english
21. Tutors’ recommendations: computers with MS Office, internet (classes)
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