Department of Finance
FIN 320: Financial Management I
Course Syllabus
Professor Velicer /
Phone: 657–278–(TBD – office moved) , email:
Office: SGMH 5113 /Section: 4
/Meetings: M/W 2:30pm – 3:45 pm; SGMH1313
OFFICE HOURS: M/W 4:00 – 5:00 pm or by scheduled appointment
Course Description
Using a lecture and discussion teaching format, this course provides a background in the concepts, processes and institutions in the financing of business enterprises. Topics covered include: Financial statement analysis. Interest rates and valuing cash flows (Time Value of Money; valuing stocks & bonds). Investment decision rules and capital budgeting. Risk and return (CAPM) and cost of capital. Integrate international corporate finance.
Required Text:
Fundamentals of Corporate Finance,First Custom Edition for Finance 320, CSUF, by Berk, DeMarzo and Harford. Pearson Custom Publishing (2012). Purchase the package which includes MyFinanceLab.
Required Materials:
- Financial Calculator (HP 10B II or Texas Instruments BAII PLUS)
- Required: purchase and use of MyFinanceLab,a computerized on—line homework software package. If you purchase your text new with MyFinLab, the book and software price is about $100.
Prerequisite: ACCTG 201A Classes are subject to administrative audit at any time during the semester. Any unqualified student will be administratively dropped.
Course Objective
To learn and understand the fundamental principles and applications of corporate finance, which are outlined in theGuide to Finance 320, Required Competencies and Study Tips, in the textbook. These competencies are described in detail along with focus questions, related reading and study problems.
Assessment
The main purpose of the degree program at the College of Business & Economics (College) at Cal State Fullerton is to provide you with the knowledge and skills that prepare you for a successful career in business. In order to assist us in achieving this goal, we will use a number of assessment tools to track your progress throughout the College curriculum. Please expect to participate in College assessment activities in several of your courses while at CSU, Fullerton. As you do so, you will assist us in identifying our program’s strengths and weaknesses as well as areas for potential improvement. In other words, you are making an important investment in the value of your degree.
Evaluation (MAKE–UP EXAMS ARE NOT GIVEN)
- Quizzes and Homework Assignments15%
(onMyFinanceLab)
- 2 MIDTERM EXAMS – In Class40% total (20% each)
- Valuation Exam15%
(on MyFinanceLab) - COMPREHENSIVE FINAL
(chapters 1,2,3,4,5,6,7,8,9,11,12, & 13)30%
100%
Course Policies – IMPORTANT
- CHANGES TO THE SYLLABUS MAY BE MADE DURING THE TERM – STUDENTS ARE RESPONSIBLE FOR ATTENDING CLASS AND BEING AWARE OF ANY RELEVANT CHANGES.
- Plus/minus grading will be used in this course. Please remember, that because FIN 320 is a College Core Course, you need a minimum grade of a C to keep from having to retake the course. You will earn the following grade if your weighted average course score falls within the following percentiles:
- Grading Scale
Grade / GPA / % Range / Grade / GPA / % Range / Grade / GPA / % Range
A+ / 4.0 / 98 – 100% / A / 4.0 / 94 – 97.99% / A- / 3.7 / 90 – 93.99%
B+ / 3.3 / 88 – 89.99% / B / 3.0 / 84 – 87.99% / B- / 2.7 / 80 – 83.99%
C+ / 2.3 / 78 – 79.99% / C / 2.0 / 74 – 77.99% / C- / 1.7 / 70 – 73.99%
D+ / 1.3 / 68 – 69.99% / D / 1.0 / 64 – 67.99% / D- / 0.7 / 60 – 63.99%
F / 0.0 / < 60%
- Quizzes and Homework: There are weekly quizzes and homework assignments.20 of the 24 quizzes and homework will be counted toward your grade (the 2 lowest scores of each will be dropped at the end of the term). Use (register and complete quizzes and homework on-line).
- A sample Valuation Exam and a sample Department Final exam will be available on the Finance Department FIN320 webpage at: The Valuation Examis a departmental requirement and will be administered through MyFinanceLab.You will be allowed 2 attempts, and your best grade is recorded.The Guide to Finance 320 in the textbook, contains information about these exams.
- A formula sheet will be provided to you during the exams. No other notes (“cheat sheet”) will be allowed.
- MAKE-UP EXAMS ARE NOT GIVEN. Valid excuses (typed, signed and verified) for missed exams will be considered in the final grading. The course outline lists dates for the exams. You are responsible to take the exams whenever they are given, even if the date changes from this syllabus. You must take each exam with the section in which you are enrolled.
- Dates and terms for withdrawal are as outlined for the CSUF in the Course Schedule.
- CSUF student ID must be displayed during all exams; exams will only be given to enrolled students that show a valid picture ID.
- Academic dishonesty, as defined by University policy in the 2009-2011 CSUF Catalog, will result in appropriate University level disciplinary and academic action. The Department of Finance requires that students engaging in academic dishonesty receive a grade of F. In addition, Department policy requires that all individuals engaging in academic dishonesty be reported to the Vice President, Student Affairs.
Academic dishonesty takes place whenever a student attempts to take credit for work that is not his/her own or violates test-taking rules. Examples of academic dishonesty during test taking include looking at other student's work, passing answers among students or using unauthorized notes. When students sitting next to each other have identical answers, especially the same mistakes, this may indicate academic dishonesty.
11. Attendance and participation counts. Students who do not attend class will miss subject matter that will allow them to successfully pass the course. Students who participate during and outside of class time will be given consideration for their efforts. Communicate effectively with the professor when crucial outside activities will impact your attendance or grades so that we can work together to avoid any negative outcomes and help you succeed.
COURSE OUTLINE
Week / Chapter / Topic/Assigned Reading / AssignmentsJanuary 28
February 4 / 1
2 / Corporate Finance and the Financial Manageri, iii
Introduction to Financial Statement Analysisii, iii, iv / Homework & Quizzes
February 11
February 25 (holiday Feb 18) / 3
4 / Time Value of Money: An Introduction
Time Value of Money: Valuing Cash Flow Streams
March 4 / 3 & 4
1 – 4 / Time Value of Money – Focus on Timelines/Formulas and Excel
EXAM 1 – MARCH 6th / Homework & Quizzes
Exam in Class
March 11 / 5 / Interest Rates / Homework & Quizzes
March 18 / 6 / Bonds / Homework & Quizzes
March 25 / 7 / Stocks(Int’l Corp Fin) ii / Homework & Quizzes
April 8 (April 1-7 Spring Break) / 8 / Investment Decision Rules / Homework & Quizzes
April 5-12 / 3,4,6,7
9 / Valuation Exam Administered through MyFinanceLab – common exam for the Department of Finance
Fundamentals of Capital Budgeting / Homework & Quizzes
April 15 / 9 / Fundamentals of Capital Budgeting / Homework & Quizzes
April 22 / 5 – 10
11 / EXAM 2
Risk and Return in Capital Markets / Exam in Class
April 29 / 11
12 / Risk and Return in Capital Markets, continued
Systematic Risk and the Equity Risk Premium / Homework & Quizzes
May 6 / 12 / Systematic Risk and the Equity Risk Premium, continued / Homework & Quizzes
May 13 / 13 / The Cost of Capital Homework & Quizzes
Final Exam Week - 5/22
2:30 - 4:20 p.m. / FINAL EXAM IN CLASS (chapters 1,2,3,4,5,6,7,8,9,11,12, & 13)
The Final Exam is a common exam for the Department of Finance.
The roman numeral code following most topics indicates coverage of the following business perspectives: i) Ethical issues;ii) Global issues; iii) Political, social, legal, regulatory, and environmental issues; and iv) Technological issues.
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