COURSE SYLLABUS Raritan Valley Community College Department of Business & Public Service Intro to Financial Management (BUSI 192) Spring Semester, 2012-13 99V Section: Lecture Location: Class Day: Class Time: Instructor: Office: Office Hours: W. Michael Fagan H323 Mondays 10:30A – 11:30A Mondays 4P – 5P Wednesdays 1P – 2P Thursdays 12N – 1P Thursdays 4P – 5P Sundays 7:00P – 8:00P (on-line) 909-526-1200, x8435 909-218-8878 (Business Department office) wfagan@raritanval.edu Office Number: Email: The syllabus is subject to change on prior notice of the instructor. Course Description: Pre-requisite: Managerial Accounting (ACCT 104) This course introduces the fundamental principles of finance, leading to a sound understanding of the practice and role of financial management in contemporary business. Focuses on the concepts of financial planning and control, with emphasis on the application of financial tools and analytical techniques such as ratio analysis, funds flow management and capital budgeting processes. Student Learning Outcomes Students will be able to: 1. Explain the role of financial management and how it is connected with operational activities. 2. Assess the financial implications of proposed courses of action. 3. Analyze financial reports via ratio analysis, pro-forma statements and other financial tools. 4. Devise strategies to maximize shareholder wealth. Class Materials: Text: "Foundations of Finance"; 7th edition; Keown, Martin, Petty & Scott; Prentice-Hall (Note: comes bundled at the RVCC bookstore with MyFinanceLab). NOTE: The 7th edition is the only acceptable version of the text that may be used in this course. There have been changes in the material and its location in the text; therefore older versions will not be appropriate for the course. Use of MyFinanceLab is required for this course. Financial Calculator: The text utilizes the Texas Instruments BA II Plus or Hewlett-Packard 10bII in Appendix A. Knowing how to use a financial calculator is optional for this course, but may prove useful, not only in the course but in the “real world”. Course Routine: This class is conducted on-line. The class has been set up to cover one chapter per week in the text. In each chapter, you should: 1. Read the assigned chapter in the text. You should include in their readings the Objectives, Examples, chapter summary, and the various boxes such as: “Can You Do It / Did You Get It?” “Finance At Work” “Cautionary Tale”, and “Ethics in Financial Management”. For maximum comprehension, try the Self-Test Problem(s) at the end of the chapter (answers are at the very end of the chapter). You can ignore the Study Problems at the end of the chapter, as those included electronically in MyFinanceLab. 2. In the WebStudy session for the chapter (on the Timeline tab), look at the links at the bottom of the session for the Forum discussion questions for the chapter. You can EITHER: A. Post your thoughts/contributions for at least one question in the appropriate discussion forum OR B. Post at least one response to another student’s post, OR C. Ask a question related to the material (see the separate guidelines for discussion postings later in this syllabus). The deadline for posting is 11:30PM on Thursdays. EXCEPTION: To give you a little extra time to get started in the course, you have two weeks to complete Ch. 1. Therefore, the deadline for the Ch.1 discussion posting is 1/31/13. 3. Go to the MyFinanceLab webpage for the course. Information on how to register for MyFinanceLab appears as a link at the bottom of the Course Introduction session on the Timeline in WebStudy. If you need to, you can access an electronic version of your text (useful when traveling and you don’t want to haul the physical book with you) by clicking on the Textbook Resources button on the left hand navigation bar, clicking “Access or Purchase the full e-text”, and finally clicking “View an electronic version of your text.”. The Textbook Resources also have links to: Videos on selected topics Flash cards Tutorial demos for using the HP-10BII and TI BA II Plus Professional Financial Calculators Chapter Resources, which include the chapter objectives, student Excel templates for some of the problems at the end of the chapters, and web links. 4. In MyFinanceLab, do the on-line homework for the chapter (select from the Homework button on the left hand navigation bar). Homeworks will be available during the entire week that the chapter is on the schedule, but not beyond. A score of 70% or better on the homework for a given chapter is necessary in order to be able to take the quiz for that chapter. You can take the homeworks an unlimited number of times, and see the results, questions, and answers immediately as you finish the assignment. The deadline for homeworks each week is 11:30P on Friday. EXCEPTION: To give you a little extra time to get started in the course, you have two weeks to complete Ch. 1. Therefore, the deadline for the Ch.1 homework is 2/1/13. Take the weekly quiz for the chapter (select from the Quizzes & Tests button on the left hand navigation bar). Quizzes will be available during the entire week that chapter is on the schedule. They are open book/open notes, but you are limited to one attempt, and there is a time limit of between 45 and 90 minutes to complete the quiz, depending on the chapter. You must have scored 70% or better on the homework for a chapter to be able to take the quiz for that chapter. Quizzes will not be available beyond the week in which they are scheduled. The deadline each week is 11:30P on Friday. EXCEPTION: To give you a little extra time to get started in the course, you have two weeks to complete Ch. 1. Therefore, the deadline for the Ch.1 quiz is 2/1/13. You can see the score for your quiz as soon as you submit it; you can review the questions and answers for each quiz once the availability period has concluded. For example, the Quiz for Ch. 1 is available 1/22 through 2/1/13; that assessment will be available for your viewing beginning Saturday, 2/2/13. Please make sure you have a reliable computer and Internet connection. You only get one attempt to take any given quiz, and I will not accept (on a consistent basis) the excuse that "my computer locked up" or “I lost my Internet connection”. Please make sure you ask questions if you are confused about any concepts in the chapter, either via Email, voice mail, or visiting me at my office. Please note that all times in the course refer to the Eastern Time zone. Grades: The evaluation weighting for the final grade will be as follows: Homeworks Quizzes Discussion Postings Exams 1 and 2 Exam 3 15% 20% 15% 30% 20% (drop lowest) (drop lowest) (drop lowest) When the course is complete, grades will be assigned on the following basis: Grade A B+ B C+ C D F % range 90 – 100 85 – 89.9 80 – 84.9 75 – 79.9 70 – 74.9 60 – 69.9 0 – 59.9 The last exam (given during finals week) will be not comprehensive, but will only cover the material since the last exam. The exams (including the last one) will be some combination of fill-in-the-blank, true-false, multiple choice, and problems. Exams are open book/open notes. The numeric score for the exam will be available immediately; you won’t be able review the questions and answers on the exam until the testtaking period has expired. Exams are given in MyFinanceLab. There will be no makeup exams. Any issues you have with not being able to take the homeworks, quizzes or exams during the week they are available must be discussed with me in advance. I will not accept requests to retake homeworks, quizzes or exams, when the requests are made after their due date. Extra Credit: Extra credit is available in this course is if you participate in one of the following college programs: Service Learning RVCC Internship If you provided documentation from the coordinator of either program (Lori Moog for Service Learning; or Linda Levitt for the RVCC Internships) that you have participated, then you will receive 5% extra credit in calculating your final grade. Other extra credit opportunities may be provided to the entire class (but not to a single individual) at my discretion. Discussions: Class participation will be in the form of posting to threaded discussion topics for each chapter. Quality, not quantity, of your participation in threaded discussion will be factored into the participation grade. Each chapter will have two discussion questions. At a minimum and to receive full credit, you will be expected to: 1. Post a response to one of the chapter discussion questions, OR 2. Comment on one other student’s response OR 3. Ask a question related to chapter material discussed. Such questions should be posted to the separate Questions folder in each chapter. Make sure you address the topic that is in the discussion question. Your posts will be due one day before each week’s homework is due (Thursdays at 11:30P). At that time, the forums are usually locked, and no further postings permitted. However, even if the forums are not locked, no credit will be given for postings made after the deadline has expired. Postings should not be trivial – for example, responding to someone else’s posting that you agree with by saying “Ditto” would not earn you credit for contributing to the discussion. Try to add something to it or explain it another way. Other types of postings that do not receive credit include: "Nicely done" comments and comments of that type; Summaries of what someone else has already said. Keep to the topic at hand. Do not repeat definitions from the text, unless it is necessary to explain your point. Each posting should contribute to the discussion in some meaningful way. You’re encouraged to share relevant stories and observations from your own experience -- these make the best posts. Important: If, in response to one of your posts, I ask you a question or request a clarification, you must respond in order to earn credit. Responses to questions or requests for clarification from postings are due at the same time each week’s homework and quiz is due (Fridays at 11:30P). So, please make sure to check the postings and the WebStudy Email for this class every day, and post as early in the week as possible. Please do not post questions about the homework or exams in the discussion folders before the due date for those assessments. Receiving assistance in this way would constitute a violation of the Academic Integrity policy (copied below). Please address any questions you have before the due date directly to the instructor. Posting questions after the due date has passed is OK. The lowest set of chapter postings is dropped when calculating the final grade. Rules for Discussions: • Originality: Postings must be in your own words. You may not directly quote from any material. Direct use of material from the text, web sites, or other sources will be considered plagiarism (a violation of the Academic Integrity policy), and no credit will be awarded for the posting. Multiple violations may be handled under the Academic Integrity policy. • Friendliness: In an online course, students are expected to be supportive of each other’s efforts to learn the material. A friendly, helpful atmosphere is encouraged. • Deadlines: Deadlines are very important. Each thread will be “locked” at the end of the week in which that chapter is covered. Logging on daily to participate in the ongoing discussion is strongly recommended. Leaving all of the week's discussion until the last day is not recommended! • Topics: Messages must pertain to the topics at hand, or to related material. Deviation from this policy will result in no credit. • Politeness / Appropriateness: All messages, both public and private, are to be expressed in polite, appropriate language. • Clarity: Please use complete sentences in grammatically correct English. Do not use the kind of abbreviations that are so common to Instant Messenger conversations these days. For example: cu l8r (for “see you later”); LOL (for “lots of laughs”; “laughing out loud”). Dates of Note: 01/22/13 Class begins 02/23/13 –03/01/13 Exam #1 (Chapters 1 - 4) 03/09/13 – 03/15/13 Spring break 03/30/13 – 04/05/13 Exam #2 (Chapters 5 - 8) 05/08/13 – 05/14/13 Exam #3 (Chapters 9 - 14) Reasonable Accommodation: Students with disabilities who require accommodations (academic adjustments and/or auxiliary aids or services) for this course MUST provide documentation of accommodations from the RVCC office of Disability Services, C143. No accommodations will be made without this documentation. Attendance and Withdrawal: In all cases, the responsibility for withdrawing from the course is the individual student's. Failure to withdraw may result in an "F" grade for the course. Those who simply stop participating in the class may receive an "F" grade for the course. Getting Help: If you experience difficulties at anytime during the course, there are many ways of getting help. a. MyFinanceLab. There are “Help” and “Support” buttons in the toolbar in the upper right corner of the MyFinanceLab screen that allow you to get technical support from Pearson (the publisher) on how MyFinanceLab is working. Unfortunately, they don’t provide any support on the subject of Financial Management! b. Office Hours. The purpose of these office hours is to provide time for the instructor to help and interact with all of her/his students. If the office hours are not convenient for you, see your instructor to set up an appointment. There are also on-line office hours Sundays from 7P – 8P. c. Academic Support Center. For those within the vicinity of the college, RVCC provides its students with tutors, free of charge, in the Academic Support Center. IMPORTANT: The availability of tutors for a particular subject varies from semester to semester, so please check with the Academic Support Center to see if they have a Finance tutor the semester you are taking the class. Tutoring at the Academic Support Center generally begins in the second week of classes. When you go to the Academic Support Center, make sure you sign in at the front counter. Tutors will be at the front counter and also working at the tables. The telephone number for the Academic Support Center is 908-526-1200 Ext. 8393. d. A study group. Students can form study groups to motivate themselves and each other. Study groups can work on homework or study for tests and quizzes. e. Counseling Workshops. The RVCC Counseling Center offers workshops on many topics and concerns, including test-taking skills, math anxiety, time management, stress management. The schedules and locations of these workshops can be obtained from the Counseling Center. Academic Integrity Policy: Academic freedom is a fundamental right in any institution of higher learning. Honesty and integrity are the foundations of ethical conduct and civility and are necessary preconditions of this freedom. Consequently, the maintenance of academic integrity is the obligation of every member of the Raritan Valley community, and breaches of academic integrity constitute serious offenses. Student Academic Code of Conduct Raritan Valley Community College requires independent, honest work on the part of its students, and students are expected to conduct themselves with scholarly integrity. Academic integrity can be breached by students in one or more of (but not limited to) the following ways (from the RVCC Student Handbook): 1) Copying graded homework assignments from another student. 2) Working together on an assignment without being authorized by the faculty member to do so. 3) Looking at another student's paper during an exam. 4) Copying another student's computer program or class project and submitting it as one's own. 5) Stealing or borrowing all or part of an exam's questions or answers. 6) Entering a computer file without authorization. 7) Giving someone answers to exam question while the exam is being given. 8) Giving or selling a term paper, report, drawing, or computer program to another student for submission to the faculty member. 9) Deceiving a faculty member to improve one's grade. 10) Falsifying data or a source of information. 11) Use of any technology to gain access to test answers, test questions or prohibited materials such as notes, online data bases and web sites during a test. 12) Submitting work for a grade that was executed in another class or previous semester without the instructor's permission. Examples of plagiarism include, but are not limited to: 1) Copying answers from a textbook to submit for a grade. 2) Quoting text or other works without citation when requested by the faculty member to present one's own work. 3) Submitting a paper or essay obtained from a term paper service or taken from the Internet. 4) Submitting a paper or report written by another student, a spouse, or a colleague as one's own. 5) Submitting another student's project, essay, research paper, or computer program as one's own. 6) Submitting a paper wholly or in substantial part using the exact phrasing of source material. 7) Submitting a paper closely paraphrased from source material, where the original source material is simply edited with perhaps minor word changes occurring. 8) Submitting a paper closely paraphrased from source material, splicing together sentences from scattered segments of the original. TOPICS COVERED Period covered 01/22 – 02/01/13 01/26 – 02/01/13 02/02 – 02/08/13 02/09 – 02/15/13 02/16 – 02/22/13 02/23 – 03/01/13 03/02 – 03/08/13 03/16 – 03/22/13 03/23 – 03/29/13 03/30 – 04/05/13 04/06 – 04/12/13 04/13 – 04/19/13 04/20 – 04/26/13 04/27 – 05/03/13 Chapter 1 2 3 4 5 6 7 8 9 10 11 12 13 14 Topic An Introduction to the Foundations of Financial Management The Financial Markets and Interest Rates Understanding Financial Statements and Cash Flows Evaluating a Firm’s Financial Performance The Time Value of Money The Meaning and Measurement of Risk and Return The Valuation and Characteristics of Bonds The Valuation and Characteristics of Stocks The Cost of Capital Capital-Budgeting Techniques and Practice Cash Flows and Other Topics in Capital Budgeting Determining the Financing Mix Dividend Policy and Internal Financing Short-term Financial Planning