BED-2032 Corporate Finance - 10 stp

Corporate managers must make important decisions to sustain and maximize value of the firm. This course provides the basic tools and frameworks for making these decisions.

The theories and methods developed in this course  builds on the basics skills taught in an introductory course in finance, like; BED-2020 Investering og finansiering

Students who have successfully completed the course should have achieved the following learning outcomes:

Knowledge and comprehension:

• Understanding of financial statements from a financial perspective.
• Knowledge and understanding of the tools that are used to value investment projects and companies
• Knowledge the basic issues involved in how firms finance their investment projects and companies
• Knowledge of how investment and financing decisions interrelate.

Skills:

The course should prepare the student to:

• Evaluate firm performance using financial statements
• Value projects and businesses
• Determine whether the firm should return cash to investors or reinvest profits in the enterprise.
• Determine the appropriate mix of equity and debt to apply to a project or business

Competence:

• The student should be able make investing and financing decisions as a corporate manager consistent with the principles of finance using pertinent tools.

Written exam at campus Tromsø lasting 4 hours, comprising 100% of the final course grade (A-F).

Course work requirements: Two hand-ins.

There will be arranged a re-sit exam for this course.