Corporate Finance (B-KUL-D0Q42A)
Aims
The purpose of this course is to equip students with the fundamental tools and techniques essential for a financial manager or a general manager with a good understanding of corporate finance. This course is also designed to provide a foundation for more advanced courses in valuation, corporate finance, and investments. The aims of this course are:
- To understand the concept of present value in extensive detail
- To be able to apply the principles of valuation to value (a) investment projects and (b) financial securities (stocks and bonds)
- To analyze and measure risk from the perspective of modern portfolio theory
- To understand how to integrate cash flow valuation with risk to modify valuation techniques in the presence of uncertainty
- To learn about the basic budgeting techniques
- To analyze the capital structure (financing decision) and pay-out policy of firms
Previous knowledge
To successfully follow the course some basic notions of accountancy (equity, debt, depreciation,…) and statistics (normal distribution, expected value, variance, correlation) is necessary.
Order of Enrolment
This course unit is a prerequisite for taking the following course units:
L08I2B : Stage in sportbeleid en sportmanagement m.i.v. practicum en seminarie
Is included in these courses of study
- Voorbereidingsprogramma: master in de toegepaste economische wetenschappen / Master of Business Economics (Leuven) 61 ects.
- Voorbereidingsprogramma: Master in de economie, het recht en de bedrijfskunde (voor (bedrijfs)economische vooropleidingen) (Leuven) 41 ects.
- Master in de economie, het recht en de bedrijfskunde (Leuven) 120 ects.
- Master in het management (Programma voor studenten gestart vóór 2022-2023) (Leuven) 60 ects.
- Master in de beleidseconomie (programma voor studenten gestart vóór 2022-2023)(Leuven) 60 ects.
- Master in de bewegings- en sportwetenschappen (Leuven) (Major binnen de afstudeerrichting Sportbeleid en sportmanagement) 120 ects.
- Master in de beleidseconomie (programma voor studenten gestart in 2022-2023 of later) (Leuven) 60 ects.
- Master in het management (Programma voor studenten gestart in 2022-2023 of later) (Leuven) 60 ects.
- Voorbereidingsprogramma: Master handelsingenieur / Master of Business Engineering (Leuven) 99 ects.
- Voorbereidingsprogramma: Master handelsingenieur in de beleidsinformatica / Master of Business and Information Systems Engineering (Leuven) 111 ects.
Activities
4 ects. Corporate Finance (B-KUL-D0Q42a)
Course material
Used course material:
* Jonathan Berk and Peter DeMarzo, 2017, Corporate Finance The Core (4th international edition)
* Toledo is used for the provision of extra material.
Evaluation
Evaluation: Corporate Finance (B-KUL-D2Q42a)
Explanation
Features of the evaluation
The evaluation consists of assignments (problem sets) and a final exam.
The assignments are group assignments. The term of deliverance and deadlines will be determined by the lecturers.
The final exam is a written, closed book exam. Students are expected to bring a non-programmable calculator to the exam.
Determination of the final grades
The grades are determined by the lecturers as communicated via Toledo and stated in the examination schedule. The result is calculated and communicated as a whole number on a scale of 20.
The final grade is a weighted score and consists of:
20% on the assignments,
80% on the final exam.
Second examination opportunity
The features of the evaluation and/or the determination of grades differ between the first and second examination opportunity.
At the second examination period the assignments are no longer part of the evaluation. The final grade is entirely based on the written, closed-book exam.
Information about retaking exams
See 'Explanation' for further information regarding the second examination opportunity.