University of South Florida
Principles of Finance (FIN3403 Sections 001-009, 3 credits) — Spring, 2016
Meeting Time: 12:30 pm – 1:45 pm (BSN1100 M/W)
Breakout Sessions: Friday (BSN 2208, 124, 120, 118)
Instructor: Kelsey Syvrud
E-mail: ksyvrud@usf.edu
Office Phone: 813-974-6310
Office: BSN 3130
Office hours:
Mon/Wed: 2:00 – 3:00 pm or by Appt
Required Material
CFIN, 4th Edition, by Besley/Brigham.
United States: South-Western Cengage Learning, 2015
An electronic version of the textbook is included with a subscription to Aplia, which is
described in the next section. The CourseMate platform, access to which is included with
purchase of the textbook, is different from the Aplia platform, which is described next. You
are not required to buy a hard copy of the textbook, but you are required to subscribe to
Aplia. But, you must have access to the textbook, which is provided with a subscription to
Aplia.
Aplia, online tool
Aplia, will be used in (is required for) this course (20% of your course grade). Aplia is an
electronic platform that tests students conceptual and analytical grasp of course material,
outside of the classroom. Aplia contains both an electronic version of the textbook and
interactive assignments. You will be required to complete graded Aplia assignments each week
(except exam weeks), which are primarily multiple-choice, true-or-false, and fill-in-the-blank
questions and problems. Aplia assignments are due every Sunday by 11:45 pm (after the
week you completed the corresponding chapter). The scores you receive on the graded
assignments will be used to determine the grade that you receive for the Aplia assignment
portion of this course. A discussion as to how your assignment grade will be determined is
given later in this syllabus. Please see the “Aplia” folder on Canvas for more detailed
information regarding the program.
Financial Calculator
It is highly recommended that you purchase a financial calculator if you have not already done
so. Students in the past that did not purchase calculators found that they were at a considerable
disadvantage in tests and had to work much harder at certain homework problems.
Recommended calculator types: HP 10bII+ or Texas Instruments BAII Plus.
GRAPHING CALCULATORS ARE NOT ALLOWED IN THIS COURSE ON EXAMS.
REEF Education, online in-class tool
REEF polling, will be used in (is required for) this course (20% of your course grade). REEF
polling uses your Android, Apple, or other portable electronic platform (tablets, laptops, etc)
to quickly answer questions asked in class. You will be required to use REEF (via the app on
your electronic platform) for the in-class assignments each week (except exam week). It will
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be used for participation in class, eliminating the issue with hand raising in large lecture
classes. It will also be used to grade your weekly in-class TA question (explained later).
Further, REEF will serve as attendance which will be used for extra credit purposes (explained
later). The scores you receive on the graded assignments will be used to determine the grade
that you receive for the in-class assignment portion of this course. A discussion as to how your
assignment grade will be determined is given later in this syllabus. Please see the “REEF”
folder on Canvas for more detailed information regarding the program.
Course Objectives
This is an introductory course in managerial finance in which you should attain a clear, basic
understanding of the essentials of financial decision making. Emphasis is given to the
underlying principles of corporate finance and their effects on the decision-making framework
faced by financial managers who are charged with maximizing shareholders’ wealth. In
essence the course covers topics related to financing and investment decisions—that is, how
to raise funds and where to invest funds. The focus of the course is to provide an understanding
of the basic tools and techniques required to make informed decisions about which assets a
firm should purchase and how such purchases should be financed. At the end of the course you
should understand the basics of how analytics can be applied to make informed decisions about
your personal finances as well as corporate finance decisions.
Course Prerequisites
Each of the following course must be completed with a grade of C- or better: Principles of
Managerial Accounting (ACG 2071) or Economic Principles—Microeconomics (ECO 2023),
and Economic Principles—Macroeconomics (ECO 2013). Additionally, you should have a
solid understanding of high school level algebra, which you will frequently need in this course.
These prerequisites are chosen carefully and meaningfully. If you have not taken these courses,
or are trying to take one or both of these courses contemporaneously, you should consider
carefully the implications of such a strategy. Any special circumstances should be discussed
with me before proceeding.
Learning Outcomes
When you finish this course, you should be able to
1.
2.
3.
4.
Apply the general framework for financial decision making to various business scenarios,
Determine what actions maximize the value of a firm,
Determine the value of an asset and decide whether it should be purchased,
Identify an investment’s basic risk and determine how its return is affected when this risk
changes, and
5. Explain how external factors, such as financial markets, affect financial decisions made by
the firm.
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Grading
20%
20%
20%
20%
20%
Exam 1 (Chpt 01-04)
Exam 2 (Chpt 05-08)
Exam 3 (Chpt 09-11)—FINAL
Aplia Assignments (Online)
REEF Assignments (In-Class)
Grades will be determined by the following scale:
A+
94.6 and up
B+
84.6 - 86.5
C+
74.6 - 76.5
D+
64.6 - 66.5
A
89.6 – 94.5
B
79.6 - 84.5
C
69.6 - 74.5
D
59.6 - 64.5
A-
86.6 - 89.5
B-
76.6 - 79.5
C-
66.6 - 69.5
DF
56.6 - 59.5
0 – 56.5
*There will be no extra credit given to any individual students for any reason other than the REEF attendance.
**Any questions or concerns about grades must be submitted to me in person during office hours or an
appointment. All e-mails or inquiries during class concerning grades will be rerouted to an in-person office
visit.
Class Format
The structure of this course is twofold: (1) live lectures are presented in the auditorium on
Monday and Wednesday and (2) a breakout section, or lab, is presented on Friday. The
concepts for which you are responsible will be discussed in the lectures. In the breakout
section, a teaching assistant will provide solutions to the assigned problems from the textbook,
and you will be required to complete problems that are assigned in class (termed textbook
questions). The breakout section will be covered by a student who is enrolled in one of the
College of Business graduate programs.
Breakout Session Meeting Times:
Section
Number
Meeting Time
Room
Section
Number
Meeting Time
Room
001
8:00 - 8:50 a.m.
BSN 118
006
12:30 - 1:20 p.m.
BSN 118
002
8:00 - 8:50 a.m.
BSN 2208
007
2:00 - 2:50 p.m.
BSN 120
003
9:30 – 10:20 a.m.
BSN 118
008
2:00 – 2:50 p.m.
BSN 118
004
9:30 – 10:20 a.m.
BSN 124
009
3:30 - 4:20 p.m.
BSN 118
005
11:00 – 11:50 a.m.
BSN 118
Office Hours for the TAs: TA office hours will be held in addition to the professors scheduled
office hours. The location, phone number, and hours that the TAs will be available will be
posted on Canvas under the “Office Hour” page.
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Exams
There will be no make-up exams for any reason. Should you provide a reasonable excuse
as deemed by me and are able to verify excuse (on official letterhead, with dates/times that you
are excused with a good reason - a note from the health center saying you have been seen is
NOT sufficient), the weight of the excused exam will be shifted to a cumulative final exam.
This is not an option for replacing grades. This option is only for those students who have a
legitimate reason to miss an exam and must be determined BEFORE the exam. Further, this
is not a suggested alternative – doing so puts a 40% weight on a comprehensive final exam!
“There are two categories of excused absences for which accommodations will be made:
scheduled and unscheduled. Scheduled absences involve time conflicts that are known in
advance, for which students have notified their instructors. Acceptable reasons for scheduled
absences include observation of religious holy days, court-imposed legal obligations (e.g., jury
duty and subpoenas), special requirements of other courses and university-sponsored events
(e.g., performances, athletic events, judging trips), and requirements of military service.
Employment schedules, athletic training and practice schedules, and personal appointments
are not valid reasons for scheduled absences. Unscheduled absences involve unforeseen
emergencies such as illness, injury, hospitalization, deaths in the immediate family,
consequences of severe weather, and other crises. Students should contact instructors as soon
as possible in these cases.” (Source: 2015-2016 Undergraduate Catalog of the University of
South Florida, page 24). Students who miss exams due to unexcused absences are not eligible
to take make-up exams.
All exams are problem-oriented but will also include theoretical questions to ensure
understanding of the conceptual material. The second exam will focus on material since the
first exam, and so on. However, since some material from the first exam is essential in solving
problems on the second exam, you will need to be comfortable with material from the first
exam. All cell phones must be put away during exams. Any phones out will be confiscated by
the professor until after the exam has finished.
Final Exam
The final exam is scheduled to be administered as a common exam during final exam week,
which means that all students, regardless of the sections for which they are registered, are
required to take the exam at the same time. The final exam, which is mandatory for all students,
is scheduled for Saturday, April 30th at 3:00 p.m. The final exam will not be given at any
other time, so make your end-of-semester plans accordingly.
Real World Link
You should keep current with business and economic information by reading business
publications, such as The Wall Street Journal, BusinessWeek, Fortune, and Forbes, as well as
business news on such Websites as Bloomberg.com, CNNMoney.com, and msnbc
BUSINESS. Clearly you do not have time to read articles from each source every day. But, as
a student in the College of Business you must keep informed about business news.
Subscriptions for the print media are available at discounted student rates.
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Assignments/Quizzes
In-Class Assignments:



Each week, except when exams are given, problems will be given in live lecture class
(taught by professor) that must be completed using REEF, which records your
responses for a grade. Your grade here will be based on your effort, rather than on
the correct response. This is to keep you actively engaged in the course. Each day has
a possible 1 participation points, for 2 points total (sessions taught by professor).
During each TA session, you will be given one in-class REEF problem to solve. The
in-class problem will be similar to one of the problems assigned from the textbook, and
it will be representative of a problem you might see on the exam. The in-class TA
problem will be graded based on getting the correct response and for
participation. Each problem is worth 8 points (3 for participating, 5 for correct).
You can receive a total 10 points each week (except exam weeks) for the combined
live lectures and TA in-class assignments.
Textbook Assignments: You should complete all of the problems assigned from the textbook
each week prior to coming to the TA class the week the problems are assigned (see the course
outline at the end of this syllabus). Complete the problems to the best of your ability. Textbook
questions will not be collected for a grade, but are assigned for extra practice and to
prepare you for your in-class TA question.
Aplia Assignments: To ensure that you are keeping up with the material presented in the
course, you will be required to complete graded assignments posted on the Aplia platform. All
weekly assignments will be evaluated on a 10-point scale based on the number of questions
you answer correctly.
Assignment Grades: At the end of the semester, each of your assignment grades will drop
your lowest week of scores. In other words, the lowest week your scores for both the In-class
and Aplia assignments will be dropped before determining the overall average score you
receive for the assignment portions of the course. These weeks do not have to be the same, for
example, if you miss the Aplia assignment in week 3, and the in-class assignment in week 10,
your Aplia scores for week 3 will be dropped in computing the online assignment grade, and
the in-class score for week 10 will be dropped in computing the in-class assignment grade.
You will receive a score of zero (0) for any assignment you do not complete.
The reason some of the assignments/quizzes scores are dropped is to mitigate those
situations in which you miss class, whether you were absent as the result of a valid excusable
reason or for any other reason. If you are unable to complete an assignment because you start
it at the last minute or you have connectivity issues due to a computer problem, electrical
outage, or any other reasons, the assignment will not be restarted for you. The due date for an
assignment will only be adjusted if the Aplia organization experiences an extended problem
(outage). You will be notified via e-mail if the due date for an assignment is changed
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Extra Credit Attendance
Attendance will be taken during each class using REEF. By participating in REEF questions,
your device will register you as present. Corrections of historic class attendance will not be
made. Any student who does not participate in REEF assignments will be counted as absent.
Students missing TWO OR LESS classes throughout the semester will receive 2% added to
their final course average. Having another student sign in for you will result in automatic
disqualification for extra credit.
Course Materials
Some course materials will be posted on Canvas. I highly recommend printing out or
downloading the lecture notes prior to coming to class, as you may then use them in taking
notes in class. Please check this web site regularly for updates. To get the most out of class,
you must come to class having read the assigned chapter. You are responsible for any
announcements made in class and / or on the course web site.
Student Responsibilities
Your primary responsibility is to be prepared for class. To get the most out of this course, you
should attend every class meeting of both the lecture and the breakout (lab) section. Much of
the understanding of the material contained in the text will be presented in the lectures and any
difficulties you have solving the assigned problems will be addressed in both the lectures and
the breakout section. Therefore, it is important that you make every effort to attend all class
meetings.
Class time will be used to clarify, support, and enhance the material presented in the text.
In class, we will discuss the concepts described in the text and work problems that are not
contained in the book. Exercises completed in class will help prepare you for the exams. If you
miss class, it is your responsibility to get the information covered during your absence.
Information given in the lectures and material from assigned readings and problems will be
included on exams.
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Important University/College Policies
Information regarding most universities policies that affect undergraduate students can be
found in the 2015-2016 Undergraduate Catalog, which can be accessed online at
http://www.ugs.usf.edu/catalog/?catyr=1516&category=selpol. Following are some important
policies you should understand:
 Students who entered USF under the 2001-2002, or later, catalog are required to earn a
grade of C-, or better, in every core business class (including this one) and an overall GPA
of 2.0 for all core classes.
 Students who anticipate the necessity of being absent from class due to major religious
observances must provide notice of the dates to the instructor, in writing, by January 18,
2016. http://regulationspolicies.usf.edu/policies-and-procedures/pdfs/policy-10-045.pdf
 Final exam policy—all final examinations must be scheduled in accordance with the
University's final examination policy:
http://ugs.usf.edu/catalogs/1415/pdf/FinalExaminations.pdf
 General attendance policy: http://ugs.usf.edu/catalogs/1516/pdf/GeneralAttendance.pdf
 Academic integrity—see http://regulationspolicies.usf.edu/regulations/pdfs/regulationusf3.027.pdf for the ramifications of academic dishonesty.
 Disruption of the academic process:
http://regulationspolicies.usf.edu/regulations/pdfs/regulation-usf3.025.pdf
 Gender-based crimes—The Center for Victim Advocacy and Violence Prevention (813974-5757) is a confidential resource where you can talk about such situations and receive
assistance in confidence. Additional confidential resources on campus are: the
Counseling Center (813-974-2831) and Student Health Services (813-974-2331).
 Student academic grievance procedures:
http://ugs.usf.edu/catalogs/1516/pdf/StudentAcademicGrievanceProcedures.pdf
 “Students in need of academic accommodations for a disability may consult with the
office of Students with Disabilities Services to arrange appropriate accommodations.
Students are required to give reasonable notice prior to requesting an accommodation.
Contact SDS at 974-4309 or http://www.sds.usf.edu.” (Office of Students with
Disabilities Services)
 In the event of an emergency, it might be necessary for USF to suspend normal
operations. During this time, USF might opt to continue delivery of instruction through
methods that include but are not limited to Canvas, Skype, and e-mail messaging and/or
using an alternative schedule. It is your responsibility to monitor the Canvas site for each
class for course-specific communication, and the main USF, college, and department
Websites, e-mails, and MoBull messages for important general information. Suspension
of operations at USF should not affect your ability to complete Aplia assignments and
quizzes, because Aplia is not housed at USF. As a result, you should ensure that the Aplia
assignments and quizzes are completed by the due dates unless advised otherwise.
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Class Schedule
This is a guide only and is subject to change by the professor
Textbook
Questions
REEF (InClass)
Aplia (Online)
4, 10, 13, 16,
19
REEF #1
Aplia Ch 1 & Ch 2 (Due
1/24)
8, 9, 13, 20
REEF #2
Aplia Ch 3 (Due 1/31)
Ch 4: Time Value of Money
3, 4, 5, 8
REEF #3
Aplia Ch 4 Pt 1 (Due 2/7)
Ch 4: Time Value of Money
10, 11, 15, 17,
18, 22, 23
REEF #4
Aplia Ch 4 Pt 2 (Due 2/14)
Ch 5: The Cost of Money (Interest
Rates)
5, 7, 10, 12, 20
REEF #5
Aplia Ch 5 (Due 2/28)
Ch 6: Bonds
Valuation
2,6,10,11,15
REEF #6
Aplia Ch 6(Due 3/6)
1, 8, 13, 16,
17, 19
REEF #7
Aplia Ch 7 (Due 3/13)
7, 8, 10, 13, 14,
19
REEF #8
Aplia Ch 8 (Due 3/27)
2, 3, 6, 8
REEF #9
Aplia Ch 9 Pt 1(Due 4/10)
Ch. 10: Capital Budgeting--Project
Cash Flows and Risk
Ch 9:13, 16,
17, 18
REEF #10
Aplia Ch 9 Pt 2(Due 4/17)
Ch. 10: Capital Budgeting--Project
Cash Flows and Risk
2, 5, 8, 13, 15
REEF #11
Aplia Chpt 10 Pt 2 (Due
4/24)
Ch. 11: Cost of Capital
3, 5, 9, 10, 14
NO REEFReading
Day
Date
Chapter: Content
11-Jan
Introduction
Ch 1: An Overview of Managerial
Finance
MLK DAY- NO CLASS
Ch. 2:
Analysis of Financial
Statements
Ch.3:
Financial
Markets,
Institutions, and the Investment
Banking Process
13-Jan
18-Jan
20-Jan;
25-Jan
27-Jan
1-Feb;
3-Feb
8-Feb;
10-Feb
15-Feb
17-Feb
22Feb;
24-Feb
29Feb; 2Mar
7-Mar;
9-Mar
14Mar;
16Mar
21Mar;
23Mar
28Mar
30Mar
4-Apr;
6-Apr
11Apr;
13-Apr
18Apr;
20-Apr
25Apr;
27-Apr
30-Apr
4, 5, 11, 13
Exam I (Ch 01-04)- CONCEPTS
(50%- 15 MC)
Exam
I
(Ch
01-04)MATHEMATICS (50%-10 Math)
Characteristics/
Ch
7:
Characteristics/Valuation
Stock
SPRING BREAK - NO CLASS
Ch 8: Risk and Rates of Return
Exam II (Ch 05-08) CONCEPTS
(50%- 15 MC)
Exam
II
(Ch
05-08)
MATHEMATICS (50%-10 Math)
Ch.
9:
Capital
Budgeting
Techniques
Final Exam (Ch 09-11) @ 3:00 pm
8
9