CALIFORNIA STATE UNIVERSITY, CHICO
DEPARTMENT OF FINANCE & MARKETING
FALL
2004
Syllabus
Office: Tehama 453
Phone: (530) 898-5138
FAX: (530) 898-6360 (FNMK Dept.)
E-mail: lthengvall@csuchico.edu
NOTE: Students who
miss the first two class meetings without prior notification of their planned
absence will be disenrolled.
An
introduction to financial management, providing a background in the areas of
financial institutions, the time value of money, analysis of financial
statements, working capital management, financial structure of the firm,
capital budgeting, and related tools of financial analysis.
· Prerequisite:
Intro to Financial Accounting (ACCT 015), not being taken concurrently.
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Working knowledge of Excel and Word.
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A working knowledge of college algebra is strongly recommended.
Required: Fundamentals
of Corporate Finance, Brealey, McGraw-Hill/Irwin, 4th ed.,
2004.
Regular readings in journals such as The
Wall Street Journal, Forbes, Fortune, Business Week,
etc.
Financial calculator with the following
time value of money functions: n, i, PV, FV, PMT, IRR, and NPV. The
student is required to become proficient in the use of his/her calculator. The instructor will presume your working
knowledge of your own calculator. A
Texas Instruments BAII Plus is recommended.
Calculators will be used to work homework and exam problems. It
is expected that the student will bring the calculator to each class session.
Optional: Study
Guide to Fundamentals of Corporate Finance, Will, McGraw-Hill/Irwin, 4th
ed., 2004. A copy is on reserve at the
library.
http://www.mhhe.com/bmm4e
features e-Learning sessions with fully interactive study sessions. Also included in an Online Tutor to help with
concepts of difficulty to students.
All PowerPoint presentation slides are
available via the class WebCT at http://online.csuchico.edu. In addition, important class information may
be posted at this site. The student
should check it regularly.
The
course objective is to introduce the student to the fundamental theories and
practices applied to practical situations which require decisions by the
typical financial manager in a nonfinancial (manufacturing or service)
firm. The course is designed primarily
for the student who has had no previous course work in finance and will provide
satisfactory background for students who elect to study Business in more
advanced courses.
At
the end of this class, you should . . .
· Know the role of the financial manager and the financial markets in which the manager operates.
· Know valuation, the concept that drives
financial decisions.
· Understand the concepts of risk and return.
Lecture: Basic
concepts will be summarized in the lecture.
The student is expected to respond to questions on the readings,
assignments, and current discussion topics.
This is intended to minimize the amount of actual lecture time used by
the instructor. The actual lecture
portion of the class will give ample opportunity for questions and discussion.
Class Preparation: All assignments (reading and written)
should be completed before
the class period for which they are assigned.
Students should be prepared to discuss the assigned reading material and
problem solutions. The instructor will
not collect homework assignments unless it is specifically announced, but will
provide the student with a basis for his/her participation in class discussion,
whether or not collected.
The student should bring the text to each class meeting, as it will be
referred to frequently in class discussion.
Attendance: The
student will benefit by regular attendance in the class. It
is the responsibility of the student to obtain any class notes and assignments
given in his/her absence. The
student should check his WebCT e-mail account at least weekly, as the
instructor will use this to communicate any changes or updates to the syllabus
or particular assignments.
Grading: The
semester grade for this course will be determined as follows:
Grade Points Needed
3 exams @ 20% 60% A 94%+
6 quizzes 20% A- 90-93%
5 article reviews 20% B+ 87-89%
Total
100% B 83-86%
B-
80-82%, etc.
Article
Reviews:
During the semester, the student is required to read one or more of the
business journals suggested above on a regular basis. The student will choose five articles of
interest throughout the semester on which to write a one-page review. Articles must be at least one full newspaper
column or one-page minimum. The student
will read the article thoroughly, then prepare a summary in the format shown at
the end of this syllabus. No handwritten work will be accepted. Specific dates are listed on the
Tentative Course Schedule to turn in the reviews. No late submissions will be accepted, but
early submissions are acceptable.
The
student will submit these article reviews to Turnitin.com, which will screen
them for plagiarism. You can create your
class account by going to http://www.turnitin.com
and clicking on the “Create a User Profile” link in the upper right hand corner
of the home page. This will take you to
Step One where you will select “student”.
In Step Two, you will need to type in XXXXXXX for the class ID and FIN150
for the class enrollment password. In
Step Three, you will create your user profile and choose a password. Turnitin’s database contains over 4.5 billion
pages of Web information in addition to all student work that is
submitted. Please be careful to properly
credit your sources and also to guard your work so that it is not misused by
others in this or subsequent semesters. You will also submit a hard copy of your
work to the instructor, and must include a copy of the article you read.
· Quizzes may be announced or unannounced. The lowest of the six quiz scores will be
dropped.
· Exams will
not be cumulative, except where prior material is integral to the current
material. Exams will consist of a
combination of objective questions (e.g. multiple choice, matching, etc.) and
short problems/essays. Scantrons will be
required. The student should bring a No.
2 pencil and financial calculator to each exam.
· In certain circumstances, if the student is
aware of a serious conflict with an exam time, he or she may make arrangements
to take the exam at an earlier
time. The instructor must be notified of
this conflict at least two weeks in
advance of the scheduled exam. No
makeup or advance quizzes will be given.
A missed quiz will be the one dropped.
Note that finals week is part of the regular semester. Students should not schedule plane, train or
automobile departures prior to their scheduled final times.
· No make-up exams will be offered. If the student misses an exam and can offer
documentation for a compelling excuse, the remaining exam grades will be
reweighted to compensate for the missed exam.
Without a documented compelling excuse, the missed exam will count as a
‘0’.
· No extra-credit work will be accepted.
· Assignments which are not turned in when
collected will not be
accepted late.
· Students are expected to maintain the ethical
standards set by the University in the University catalogue on page 47. Students found cheating on any quiz or exam
or appropriating another’s work will be referred to Student Judicial
Affairs. Penalty for these offenses can
result, at a minimum, in receiving an ‘F’ in the course.
· Graded exams will be reviewed in class and
must be returned to the instructor before leaving the classroom. Failure to return the exam prior to leaving
the classroom will result in a referral to Student Judicial Affairs for
unethical behavior.
· All unretrieved work will be thrown away
after the second semester following the end of this course.
· This
syllabus is subject to change without notice.
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TENTATIVE COURSE SCHEDULE
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Date
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Reading
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Topic
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Assignment
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M 8/23 |
----- |
Introduction;
review of syllabus |
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W 8/25 |
Ch. 1 |
The Firm and
the Financial Manager |
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F 8/ F 8/27 |
Ch. 1, 2 |
The Financial
Environment |
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M 8/30 |
Ch. 2 |
" " " |
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W 9/1 |
Ch. 3 |
Accounting and
Finance |
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F 9/3 |
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" " " |
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M 9/6 |
Labor Day |
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W 9/8 |
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" " " |
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F 9/10 |
Ch. 17 |
Financial
Statement Analysis |
Article Review
#1 |
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M 9/13 |
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" " " |
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W 9/15 |
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" " " |
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F 9/17 |
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" " " |
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M 9/20 |
Ch. 19 |
Working Capital
Management and Short-Term Planning |
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W 9/22 |
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F 9/24 |
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Article Review
#2 |
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M 9/27 |
MIDTERM #1-- |
Chapters
1-3, 17, 19
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W 9/29 |
Ch. 4 |
Time Value of
Money |
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F 10/1 |
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M 10/4 |
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W 10/6 |
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" " " |
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F 10/8 |
Ch. 5 |
Valuing Bonds |
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M 10/11 |
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W 10/13 |
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" " " |
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F 10/15 |
Ch. 6 |
Valuing Stocks |
Article Review
#3 |
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M 10/18 |
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W 10/20 |
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" " " |
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F 10/22 |
Ch. 7 |
Net Present
Value and Other Investment Criteria |
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M 10/25 |
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W 10/27 |
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F 10/29 |
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Article Review
#4 |
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M 11/1 |
MIDTERM #2-- |
Chapters 4-7 |
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W 11/3 |
Ch. 10 |
Introduction To
Risk, Return, and the Opportunity Cost of Capital |
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F 11/5 |
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M 11/8 |
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W 11/10 |
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F 11/12 |
Ch. 11 |
Risk, Return
& Capital Budgeting |
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M 11/15 |
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W 11/17 |
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F 11/19 |
Ch. 12 |
The Cost of
Capital |
Article Review
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Date
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Reading
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Topic
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Assignment
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11/22-11/26 |
Thanksgiving |
Break
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M 11/29 |
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W 12/1 |
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F 12/3 |
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M 12/6 |
Ch. 13 |
An Overview of
Corporate of Corporate Financing |
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W 12/8 |
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F 12/10 |
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12/13-12/17 |
FINALS |
WEEK;
Final Exam, Chapters 10-13; time to be announced
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Title of Article Student’s
Name
Name of Journal Review
#
Date of Publication
Main Topic
One to two paragraphs summarizing
the contents of the article.
One to two paragraphs identifying
the financial principals addressed by the article.
Font size no larger than 12
point.
One page maximum—make it count.