Course Description:
The objective of this course is to introduce students to the theories of the financial decision-making process. Students will gain an understanding of the financial markets and related products, financial statements analysis, the Discounted Cash Flow valuation method (using time value of money), basics of securities pricing, relationship between risk and return, and the Net Present Value method for projects analysis. Also students will review the concept of cost of capital, investment banking, and capital raising process.

Course Objectives:

Upon completion of this course, successful students will be able to:

• Describe the basics of corporate finance decision making.
• Compute and interpret commonly used financial ratios.
• Compute the present and future value of money.
• Determine the fair value of bonds and stocks.
• Describe the basics of risk and return relationship.
• Compute the rate of return required for a particular level of risk.
• Compute the cost of capital for a company.
• Describe the basic techniques of capital budgeting and cash flow estimation.