Principles of finance, present value and alternative cost of capital, net present value, valuation of bonds and stocks, investment decision and net present value, risk and alternative cost of capital, risk and return, lease or buy, taxes, inflation and return, financial and real options, option valuation and application, hedging, short term finance, cash flow management.
1.Introduction of finance, present value, opportunity cost.
2.Annuity, perpetuity, compounded and simple interests.
3.Long term finance. Stock and bonds price.
4.Investment efficiency evaluation techniques. IRR, NPV.
5.The comparing period, an equivalent annual value.
6.Decision making with NPV.
7.Inflation and tax influence to investment decision.
8.Project is not a black box.
9.Capital assets pricing model. Basics of portfolio theory.
10.Capital markets models.
11.Analysis of sensitivity and risk analysis. Financial risk.
12.Options, hedge position, option valuation.
13.Short term financial plans and decision making.
14.Other financial problems.
1.Spreadsheets revision focused on financial management.
3.Loans. Kinds of interests.
4.Depreciation. Tax shield. Homework assignment.
5.NPV and IRR calculations. Mutual eliminate investments.
6.Taxes, finance and NPV.
7.Inflation influence. Case study.
8.Bonds and stock price. Model with constant growth.
9.Expected return and standard deviation of portfolio. Risk free return.
10.Market portfolio. Securities line. Portfolio with maximal return.
11.Reading of financial news.
12.Quiz. Homework deadline.
14. Put and call options.
1.Brealey, R.A., Myers, S.C.: Principles of Corporate Finance. McGraw-Hill. 2007
2.Bodie, Z., Kane, A., Marcus, A.J.: Investments. McGraw-Hill/Irwin. 2006