Working knowledge of finance by managers is a prerequisite for commercial viability of any enterprise. The offering of this module responds to the demand from potential employers for practically oriented education in financial management, underscored by the current stresses in financial and credit markets.
This module introduces business students to the key terminology and techniques of financial management that are regularly used in today's business environment. It lays the foundation for a proper understanding of more complex financial issues and is designed to equip you with knowledge of business finance required for making informed business decisions in a management-related career. The module explains the firm's goal of value maximisation, how the firm can make investment and financing decisions that add value, and also considers competing sources of finance available to firms and the main features of capital markets, with particular emphasis on the private sector of the UK economy. Graduates with financial management skills continue to have a competitive advantage in the job market, an edge that may become even more significant in an economic downturn.
On successful completion of the module, students will be able to:
Various teaching strategies and approaches will facilitate student learning. These will include formal lectures where theoretical material will be presented and examined. The lectures will introduce students to the key features of each topic and lay the foundation for the application of knowledge and expanded discussion via group seminars, where each student will be given the opportunity to make an informal presentation on a topic of their choice. The seminars will require extensive student presentation and input. The seminar format will also stand as an opportunity for students to receive detailed peer and formative feedback on a weekly basis, so that they can develop an awareness of their rate and level of progress and of their strengths and weaknesses.
The final element in the teaching and learning method involves directed learning and independent study. The lectures will give a relatively broad framework which students will need to develop further through their individual independent study, exploring more fully the key points highlighted by the lecturer through background reading. Therefore, students will be expected to read widely, encouraged by weekly references to the academic literature and the financial press.
Materials will also be delivered via Canvas. In addition, Canvas will be used to present students with topical material from the financial press and to invite study groups and individuals to contribute to on-line discussion and critique.
Due to the experiential nature of the learning on this degree, and the importance of professional development enabling students to develop practical skills, learn from and interact with others, attendance is compulsory. Any students not attending a minimum of 80% of their timetabled sessions will be at risk of academic failure or termination from the course.
| Definitive UNISTATS Category | Indicative Description | Hours |
|---|---|---|
| Scheduled learning and teaching | 44 one-hour keynote lectures 22 one-hour seminars | 66 |
| Guided independent study | 234 | |
| Total (number of credits x 10) | 300 | |
Summative assessment is through:
A range of formative assessments of relatively short duration, undertaken both in class and during independent study, will be set on a weekly basis on content determined by the module leader. This will provide regular and detailed feedback to students so that they can develop an awareness of their rate and level of progress and of their strengths and weaknesses.
Students will be given a diagnostic progress test towards the end of the second teaching block so that they can isolate and redress their own specific areas of weaknesses.
On-going discussion via the personal tutor and module leader will assist the student in the development of strategies for improvement and enhancement.
| Learning Outcome | Assessment Strategy |
|---|---|
| 1) Describe and apply main investment appraisal techniques | Group report, in-class test and final exam |
| 2) Describe and critically evaluate the risk-return characteristics of assets and portfolios and the capital asset pricing model (CAPM) | Group report, in-class test and final exam |
| 3) Demonstrate a critical understanding of the key assumptions that underlie the cost of capital to the firm | Group report, in-class test and final exam |
| 4) Identify and critically evaluate the major types of financing used by firms, understanding and action | Group report, in-class test and final exam |
| 5) Demonstrate a critical understanding of firms' capital structure decisions and their dividend policies | Group report, in-class test and final exam |
| 6) Demonstrate confidence and flexibility in identifying, defining and solving complex problems in financial management, and the ability to apply appropriate research skills for writing practical reports | Group report, in-class test and final exam |
| Description of Assessment | Definitive UNISTATS Categories | Percentage |
|---|---|---|
| Group report | Coursework | 15% |
| In-class test | Written exam | 15% |
| Three-hour examination | Written exam | 70% |
| Total (to equal 100%) | 100% | |
It IS NOT a requirement that the assessment category must be passed separately in order to achieve an overall pass for the module.
Arnold, G., 2012. Corporate Financial Management. 5th ed. Financial Times/Prentice Hall.
McLaney, E. J., 2011. Business Finance: Theory and Practice. 9th ed. Pearson Education.
Arnold, G., 2008. Essentials of Corporate Financial Management. Financial Times/Prentice Hall.
Berk, J. and DeMarzo, P., 2007. Corporate Finance. Pearson/Addison Wesley.
Brealey, R., Myers, S. and Allen, F., 2006. Principles of Corporate Finance. 8th ed. McGraw Hill/Irwin.
Damodaran, A., 2001. Corporate Finance: Theory and Practice. 2nd ed. John Wiley & Sons.
Lumby, S. and Jones, C., 2003. Corporate Finance: Theory and Practice. 7th ed. Thomson Learning.
Megginson, W., and Smart, S., 2008. Introduction to Corporate Finance. South-Western.
Pike, R. and Neale, B., 2006. Corporate Finance and Investment: Decisions and Strategies, 4th ed. Financial Times/Prentice Hall.