FACULTY: BUSINESS ADMINISTRATION IN FOREIGN LANGUAGES
CHAIR: FINANCE
COURSE: CORPORATE FINANCE
PROFESSOR: CONF.DR. ANAMARIA CIOBANU
Seminar Teacher: NARCIS TULBURE for groups 121, 122, 123, 124
Lecture’s theme
1.
Introduction
Corporate Finance
Issue covered
to
Principles and the goal of
Corporate Finance
2. Balance sheet analysis
Financial equilibrium analysis
3.
Income
analysis
Margin Analysis
Breakeven point analysis
Operating leverage analysis
statements
4. Cash flow statement
analysis
Cash flow from
financing
and
activities
operating,
investing
5. Ratio analysis (I)
Liquidity ratios
Asset Management ratios
Profitability ratios
5. Ratio analysis (II)
Financial leverage ratios and
coverage ratios (Debt utilization
ratios)
Market value ratios
Payout policy ratios
6.Investment Valuation (I)
Recap of Efficiency criteria
(NPV, IRR, MIRR, DPP, IP)
COURSE AND SEMINARS STRUCTURE
Year 2008/2009
No.book/
Data
Exercices/Problemes/Case studies
No.chapter
B1/ch.1
B2/pg. 3-33
B3/pg.22-36
B4/ch.1
B3/pg.37-40
B2/pg.112-116
B4/pg.22-24
B2/pg.112-116
B2/pg.478-480
B3/pg.37-40
B4/pg.25-27
B3/pg.42-50
B2/pg.119-121
B4/pg.27-30
2 October
B2/pg.133-154
B3/ch.4
B4/pg.33-40
Ch5
B2/pg.133-154
B2/pg.560-563
B3/ch.4
B4/pg.33-40
Ch5
B5/cap.2
B1/ch.5
B1/pg.119-131
B2/pg.377-397
Art.2
Home work
9 October
Introductory Seminar
16 October
Homework check
Balance sheet analysis problems/questions
Balance
sheet
analysis
problems/questions
23 October
Homework check
Income statement analysis seminar (loaded on the
e-group)
Problems/questions
recommended in Income
statement analysis seminar
30 October
Homework check
Cash flow statement analysis seminar (loaded on
the e-group)
Problems/questions
recommended in Cash flow
statement analysis seminar
6 November
Homework check
Ratio analysis seminar (loaded on the e-group)
B7/Case 6
Problems/questions
recommended
in
Ratio
analysis seminar
Mini case (B2/pg.160)
13 November
Ratio analysis seminar (loaded on the e-group)
Problems/questions
recommended
in
analysis seminar
Ratio
7. Investment
(II)
Valuation
Estimation
of
investment
project
elements
(capital
expenditure, free cash flow,
terminal value, forecasting
period, discounting rate)
Scenario Analysis
Monte Carlo Simulation
Sensitivity Analysis
B1/ch.5
B1/pg.119-131
B2/pg.377-397
Art.2
20 November
Homework check
Investment criteria seminar (loaded on the egroup)
Problems/questions
recommended in Investment
criteria seminar (loaded on
the e-group)
B1/pg.255-259
B1/pg.263-268
B2/pg.469-473
B4/pg.206-209
27 November
Week 24-28
November
Homework check
Test 1 from the lectures and seminars about:
Principles of corporate finance; Balance sheet
analysis; Income statement analysis; Cash flow
statement analysis; Ratio Analysis
Problems/questions
recommended in Estimation
of
investment
project
elements seminar (loaded on
the e-group)
8.
Capital
budgeting
decisions under uncertainty
(II)
9.
Working
capital
management
10. Analysis of long term
financing decisions (I)
Comparison accounting
financial breakeven point
B1/pg.259-262
B2/pg.473-478
B2/pg.167-177
B2/pg.185-190
B4/pg.209-212
B1/pg.219-227
4 December
Homework check
Estimation of investment project elements seminar
(loaded on the e-group)
Case Study: Goodweek
Tires, Inc
Mini case (B2/pg.405)
11 December
Homework check
Capital budgeting decisions under uncertainty
seminar (loaded on the e-group)
Case study – Waldo
County (B1/pg.283)
Minicase (B2/pg.491)
10. Analysis of long term
financing decisions (II)
Cost of debts (loans and bond
issues)
Weighted Average Cost of
Capital
B1/pg.227-231
B2/pg.435-455
18 December
Working capital management seminar (loaded on
the e-group)
Cost of equity seminar (loaded on the e-group)
10. Analysis of long term
financing decisions (III)
Cost of Leasing
B2/pg.548-557
B4/pg.586-605
8 January
Week 5-9
January
11. Recap Lecture
Exam preparation
B3/Appendix
II (pg.433)
15 January
Test 2 from the lectures and seminars about:
Investment valuation
Capital budgeting decisions under uncertainty
Working capital management
Cost of equity and risk premium estimation
Presentation of seminar grades
Exam preparation (question from last lectures)
Problems/questions
recommended in Working
capital management seminar
and Cost of equity seminar
(loaded on the e-group)
Minicase (B2/pg.459)
Case study – Holiport
Corporation (B1/pg.250)
8.
Capital
budgeting
decisions under uncertainty
(I)
and
Cost of equity
Risk premium estimation
Books recommended:
B1. Brealey R., Myers S. –Principles of corporate finance, The McGraw Hill Companies, 2003 (search on www.esnips.com) - compulsory
B2. Brealey R., Myers S., Marcus A. – Fundamentals of Corporate Finance, The McGraw Hill Companies, 2001 (search on www.esnips.com) - compulsory
B3. Helfert, E. – Financial analysis tools and techniques, a guide for managers, The McGraw Hill Companies, 2001, (search on www.esnips.com)
B4. Ross, S., R. Westerfield, J. Jaffe – Corporate Finance, Irwin, 2002 (search on www.esnips.com)
B5. Ciobanu, A. – Analiza performantei intreprinderii, Ed. ASE, 2006
B6. Abrams, J – Quantitative Business Valuation, Irwin Library, 2001 (search on www.esnips.com)
B7. Sulock J.M, Dunkelberg J.S. – Cases in Financial Management, 2nd ed., John Wiley & Sons, 1997 (search on www.esnips.com)
Ch.5 Analysis of financial statements –Reviewing and assessing financial information - compulsory
Art.1 Graham, J., Harvey, C. – How do CFOs do capital budgeting and capital structure decisions?, Journal of Applied Corporate Finance, Spring 2002
Art.2 Kelleher, J. C., MacCormack J.J. - Internal rate of return: A cautionary tale, McKinsey on Finance, Summer 2004