Students develop a basic understanding of business finance which deals with how organizations
effectively manage their operating and fixed assets and fund them with an optimal mix of debt and
equity financing. Topics include financial statement analysis; financial forecasting; working
capital management and short-term borrowing; valuing financial assets; cost of capital; capital
budgeting and risk; capital markets and sources of long-term financing; dividend policy; and
- Explain the importance of share price maximization and the influence of agency costs.
- Solve business problems that incorporate the time value of money.
- Examine the performance of an organization using different financial statement analysis
- Demonstrate how risk is incorporated into the calculation of an asset’s required rate of
- Value the stocks and bonds issued by companies to finance their operations.
- Explain the shape of the yield curve, risk-free rate, and sources of risk premium.
- Appraise the financial viability of new projects using capital budgeting techniques.
- Calculate the appropriate cost of capital for a business in different situations.
- Analyze the optimal capital structure for a company based on an assessment of its operational
leverage and other factors
- Introduction to Corporate Finance
- Financial Statement Analysis
- Time Value of Money
- Bond Valuation and Interest Rates
- Risk and Return
- Cost of Capital
- Stock Valuation
- Capital Budgeting
- Capital Structure
Required text and materials
Students will receive the following:
Ross, S. A., Westerfield, R. W., Jordan, B. D., & Roberts, G. S., Air Pandes, J., Holloway,
T., (2019). Fundamentals of corporate finance with Connect (10th Cdn. ed.). Whitby, ON:
Type: Textbook: ISBN: 9781260305869
Non-programmable financial calculator: Texas Instruments BA II Plus (strongly recommended) or
To successfully complete this course, students must achieve a passing grade of 50% or higher on
the overall course, and 50% or higher on the final mandatory exam.
|Assignment 1: Financial Statement Analysis
|Assignment 2: Time Value of Money
|Assignment 3: Cost of Capital
|Assignment 4: Stock Valuation
|Assignment 5: Capital Budgeting
|Final Exam (mandatory)
Open Learning Faculty Member
An Open Learning Faculty member is available to assist students. Primary communication is
through the Learning Environment’s “Mail” tool. Students will receive the necessary contact
information when starting the course.