Finance 320 Financial Management I
M-W 4:00pm - 5:15pm
/Instructor: Marcia Clark
Classroom: SGMH 1313 /Office: SGMH 5189
Section 05 (#15423) / Office Hours: M, T, W 2:30pm – 3:30pmPhone: 657–278–8179 /
Course Description:
Using a lecture and discussion teaching format, this course provides a background in the concepts, processes, and institutions involved in financing business enterprises. Topics covered include: financial statement analysis; interest rates and valuing cash flows (time value of money); valuing stocks & bonds; investment decision rules and capital budgeting; risk and return (CAPM); and cost of capital. Concepts of international corporate finance are integrated throughout the course.
Required Materials:
· Fundamentals of Corporate Finance, First Custom Edition for CSUF Finance 320, by Berk, DeMarzo, and Harford. Pearson Custom Publishing (2012) – you must purchase a new book from the CSUF bookstore to get access to the online homework website ‘MyFinanceLab’
· Financial Calculator (Texas Instruments BA II PLUS preferred); access to Microsoft Excel
Prerequisite: ACCTG 201A
Classes are subject to administrative audit at anytime during the semester. Any unqualified student will be administratively dropped.
COURSE POLICIES
CHANGES TO THE SYLLABUS MAY BE MADE DURING THE TERM – STUDENTS ARE RESPONSIBLE FOR ATTENDING CLASS AND BEING AWARE OF ANY RELEVANT CHANGES.
1. Quizzes and Homework: See instructions on page 4. Homework and quizzes are accessed online at www.pearsonmylab.com. Students must complete at least 7 homework assignments and 8 quizzes out of 26 total assignments for a maximum of 120 points. Completing ALL homework and quizzes is highly recommended. The best homework and quiz scores will be counted toward your grade. Homework and quizzes must be completed by 11:00pm on the due date.
2. Exams: MAKE-UP EXAMS ARE NOT GIVEN. You must take the exams as scheduled. Notes are not allowed during the exams. A study guide and formula sheet will be provided by the instructor.
3. Investment Project and Oral Report: Each student must complete a comprehensive term project over the semester. Projects may be completed individually or as a team, up to a maximum 15 projects per class, maximum 6 students per team. Each team will present an oral report once per semester, selected by lottery or on a volunteer basis on designated class dates.
Points will be allocated across assignments as detailed below:
Points / Percentage‘MyFinanceLab’ Homework & Quizzes / 120 / 19%
Midterm Exams (2 @ 75 points each) / 180 / 29%
Valuation Exam (online via MyFinanceLab) / 60 / 10%
Semester Project (3 parts @ 30 points each) / 90 / 14%
Oral Report / 30 / 5%
Participation / 20 / 3%
Final Exam (cumulative) / 125 / 20%
Total / 625 / 100.0%
4. Plus /minus grading will be used in this course. You are guaranteed at least the following grade if your weighted average course score falls within the following percentiles. A curve may be applied.
LetterGrade / GPA / % Range / Letter
Grade / GPA / % Range / Letter
Grade / GPA / % Range
A+ / 4.0 / 98 – 100% / A / 4.0 / 94 – 97.9% / A- / 3.7 / 90 – 93.9%
B+ / 3.3 / 88 – 89.9% / B / 3.0 / 84 – 87.9% / B- / 2.7 / 80 – 83.9%
C+ / 2.3 / 78 – 79.9% / C / 2.0 / 74 – 77.9% / C- / 1.7 / 70 – 73.9%
D+ / 1.3 / 68 – 69.9% / D / 1.0 / 64 – 67.9% / D- / 0.7 / 60 – 63.9%
F / 0.0 / < 60%
5. CSUF Policy on Academic Dishonesty: Academic dishonesty will not be tolerated. The University Catalog and the Class Schedule provide a detailed description of Academic Dishonesty under `University Regulations.’ (Or read this link on CSUF’s policy on Academic Dishonesty.)
6. The main purpose of the degree program at Mihaylo College of Business and Economics (MCBE) at CSU Fullerton is to provide you with the knowledge and skills that prepare you for a successful career in business. In order to assist us in achieving this goal, we will use a number of assessment tools to track your progress throughout the MCBE curriculum. Please expect to participate in MCBE assessment activities in several of your courses while at MCBE. As you do so, you will assist us in identifying our program’s strengths and weaknesses as well as areas for improvement. In other words, you are making an important investment in the value of your degree.
7. CSUF Policy on Disabled Students: The University requires students with disabilities to register within the first week of classes with the Office of Disabled Student Services (DSS), located in UH-101 and at (657) 278 – 3112 in order to receive prescribed accommodations and support services appropriate to their disability. Students requesting accommodations should inform their instructors during the first week of classes about any disability or special needs that may require specific arrangements/accommodations related to attending class sessions, completing course assignments, writing papers, or quizzes, tests or examinations. Click on the links for information about the services provided by DSS to students and the obligations of faculty to make accommodations for students registered with the DSS office.
8. Emergency Policies: All students should be aware of what needs to be done in the case of an emergency, such as an earthquake, a fire, or other disasters, natural or otherwise. Be sure to look at the CSUF Emergency Preparedness website for critical information about your safety.
COURSE OUTLINE
Day / Chapter / Topic/AssignmentJan. 28, 30 / 1 / Corporate Finance and the Financial Manager
Feb. 4, 6 / 2 / Introduction to Financial Statement Analysis
Feb. 4 - Submit project ideas
Feb. 6 - Bring skills worksheets for the project team ‘draft’
Feb. 11, 13 / 3 / Time Value of Money: An Introduction
Feb. 18 / PRESIDENT’S DAY – NO CLASS
Feb. 20 / 3, 4 / Time Value of Money Workshop;
Oral Reports #1: Creating a Business Plan
Feb. 25 / 4 / Time Value of Money: Valuing Cash Flow Streams
Feb. 27 / 4 / Time Value of Money (con’t.) / Midterm Exam Jeopardy!
Project Part 1 due Sunday
Mar. 4 / Chp. 1 - 4 / Midterm Exam 1 (Scantron form F-288-PAR-L: wide, red version)
Mar. 6 / 5, 6, 7 / Excel Workshop – Preparing your spreadsheet for Part 2
Mar. 11, 13 / 5 / Interest Rates
Mar. 18, 20 / 6 / Bonds
Mar. 25, 27 / 7 / Stocks (Int’l Corp Fin)
Oral Reports #2: Financing a Business
Apr. 1 - 5 / SPRING RECESS
Apr. 8, 10 / 8 / Investment Decision Rules / Midterm Exam Review
Project Part 2 due Sunday
Apr. 15 / Chp. 5 - 8 / Midterm Exam 2 (Scantron form F-288-PAR-L: wide, red version)
Apr. 17 / 10 / Stock Valuation
Apr. 22, 24 / 9 / Fundamentals of Capital Budgeting
Valuation Exam (Chp. 3,4,6,7 via MyFinanceLab, due TBD)
Apr. 29,
May 1 / 11 / Risk and Return in Capital Markets
Project Part 3 due Sunday
May 6, 8 / 12, 13 / Systematic Risk and the Equity Risk Premium;
The Cost of Capital
May 13, 15 / 13 / The Cost of Capital / Final Exam Review
Oral Reports #3: Expanding Your Business
May 20 - 24 / TBD / FINAL EXAM (Scantron form F-288-PAR-L: wide, red version)
MyLab / Mastering
Student Registration Instructions
To register for Fin320 Spring 2013 MClark:
1. Go to pearsonmylabandmastering.com.
2. Under Register, click Student.
3. Enter your instructor’s course ID: clark94317, and click Continue.
4. Sign in with an existing Pearson account or create an account:
a. If you have used a Pearson website (for example, MyITLab, Mastering, MyMathLab, or MyPsychLab), enter your Pearson username and password and click Sign In.
b. If you do not have a Pearson account, click Create. Write down your new Pearson username and password to help you remember them.
2. Select an option to access your instructor’s online course:
a. Use the access code that came with your textbook or that you purchased separately from the bookstore.
b. Buy access using a credit card or PayPal.
c. If available, get 17 days of temporary access. (Look for a link near the bottom of the page.)
3. Click Go To Your Course on the Confirmation page.
a. Under MyLab / Mastering New Design on the left, click Fin320 Spring 2013 MClark to start your work.
Retaking or continuing a course?
If you are retaking this course or enrolling in another course with the same book, be sure to use your existing Pearson username and password. You will not need to pay again.
To sign in later:
1. Go to pearsonmylabandmastering.com.
2. Click Sign In.
3. Enter your Pearson account username and password. Click Sign In.
4. Under MyLab / Mastering New Design on the left, click Fin320 Spring 2013 MClark to start your work.
Additional Information:
See Students > Get Started on the website for detailed instructions on registering with an access code, credit card, PayPal, or temporary access.
Written Communication Rubric
Presenting Person / Group:______Evaluator:______
Criteria: / Very Poor (0) / Poor (1) / Average (2) / Good (3) / Excellent (4) / ScoreC
CONTENT/ CASE:
Clarity, completeness / Misses two or more elements of the case; major factual errors misinterprets case assignments. / Misses one major element of the case; leaves out essential information; some minor factual errors. / Handles case material competently; includes essential information; factually correct. / Handles all elements of the case with skill; develops and supports ideas in a better- than- average way. / Handles all elements of the case professionally; develops and supports ideas using well- chosen examples and creative details.
L*
LITERACY:
Grammar, spelling, punctuation / Makes repeated grammatical or syntactical errors. Frequently misspells homonyms. / Makes disruptive grammatical/ syntactical errors such as run-ons, fragments, unintelligible sentences. / Writes generally correct prose; occasionally fails to catch minor grammatical errors. / Proofreads well enough to eliminate most grammatical errors; may have minor problems with punctuation or usage. / Makes virtually no grammatical or syntactical errors. Establishes credibility with the audience.
A
AUDIENCE:
“you” attitude; awareness of reader’s needs / Lacks audience awareness. Is rude, hostile, discourteous, or insulting to the reader. / Writer- focused; lacks you attitude, positive emphasis, audience awareness. / Is polite; does not slight the reader. Uses positive emphasis. / Is courteous; addresses readers’ needs and/or concerns; makes no unreasonable demands. / Reader-focused; addresses readers’ questions and/or objections; creates goodwill.
S
STRATEGY:
Purpose, effectiveness of approach, professionalism means used. / Presents a disorganized, unprofessional document. Projects a negative image of the writer and of the organization. / Is unclear about purpose; unclear topic sentences, arrangement of ideas, and transitions. / Is clear; correctly uses the “checklist” approach; makes no serious false step; gets the job done. / Employs good strategy; finds a fresh way of solving the problem; effective sequencing of ideas. / Adopts strategy to achieve desired outcome; clearly defines purpose and uses logical and/or emotional appeal effectively.
S
STYLE:
a) tone, word choice
b) document design / a) Uses garbled style. Plagiarizes.
b) Format interferes with readability / a) Writes in a notably awkward manner: misuses words and idioms; uses slang; wordy; uses some borrowed language.
b) Imbalanced or cluttered design. / a) Writes serviceable prose; uses active voice, strong, action verbs; rarely uses jargon or clichés.
b) Readable format. / a) Writes clearly, concisely, and coherently; employs syntactical variety with general success. Creates a friendly, business-like, positive style.
______
b) Design helps readers find the information they need. / a) Demonstrates a sophisticated grasp of the language; writes in a fluid manner; varies syntax and vocabulary; uses original language.
b) Design helps readers understand and remember information.
This is what your grade would mean at work. / Your position has been posted on the Internet. / The boss is scrutinizing your work; you’re on probation. / The boss judges this document acceptable subject to minor revisions. / Your job promotion is probable. / Your job promotion is ensured.
Page 3 of 6
Oral Communication Rubric
Presenting Person / Group:______Evaluator:______
Criteria / (0) Very Poor* / (1) Poor* / (2) Acceptable* / (3) Good* / (4) Excellent* / ScoreIntroduction / No introduction used / Underdeveloped and / or irrelevant opening statement / Minimal audience engagement evident / Audience engagement; positive response to opening statement / relevant joke / High audience involvement; original, appropriate, and intelligent introduction
Main Point / No main point evident / Main idea unclear throughout presentation / Generally clear idea; further development needed / Clear topical focus and central issues / Fully developed and organized; well placed within the presentation
Supporting Material / No supporting material used / Generalized or inappropriate with no topic relevance / Relevant and essential information / Logical, relevant, and credible; complete with examples / Superior display of supporting material well integrated into the presentation
Transition
Points / No transition points used / Incoherent transitions from one point to another / Several subtopics vaguely connected / Prepared subtopics in a logical order / Smooth and natural transitions from one topic to another
Vocal
Delivery / Unintelligible speaking style; very difficult to understand / Inappropriate and / or ineffective articulation or volume / Generally clear delivery; minor articulation problems, such as, but not limited to, slurring or running words together / Effective articulation and volume level / Fluid, well-articulated, and volume-appropriate delivery throughout
Effective Language / Words or sentences are not understandable or are offensive / Muddled meaning; distracting in sentence structure or word usage / Generally correct language; an occasional sentence structure or grammatical error / Clear word choices and expressions; no grammatical errors / Clear and distinctive words, expressions, and sentence structures; rapt audience attention
Overall Organization / No organization evident / Ideas not focused or developed; unclear purpose / Main idea evident; however, weak organizational structure / Main idea clear with relevant examples and smooth flow / Clear purpose; exceptionally well organized, developed and supported ideas
Conclusion / No conclusion / Abrupt, ending without connection to subject / Acceptable work; additional development needed / Satisfying review of highlights / Outstanding topic review; strong sense of closure
* Very Poor: Does not meet any of the necessary criteria