Year
2020
Units
4.5
Contact
1 x 3-hour seminar weekly
Prerequisites
1 Admission into MBUSWS-Master of Business
1a Admission into MBUSFN-Master of Business (Finance)
1b Admission into MBUSHR-Master of Business (Human Resource Management)
1c Admission into MBUSIB-Master of Business (International Business)
1d Admission into MBUSMK-Master of Business (Marketing)
Must Satisfy: ((1 or 1a or 1b or 1c or 1d))
Enrolment not permitted
1 of BUSN2006, BUSN2016, BUSN3026, COMP3200, ECON2014, ECON2015, ECON3038 has been successfully completed
Course context
Master of Business and specialisations
Topic description
This topic assumes no prior work experience in Finance. Building on the Business Accounting topic it introduces student to the major concepts and analytical tools used in the theory and practice of financial management. The topic will cover the role and objectives of financial management, business financial planning and ratio analysis, working capital management, risk and return, capital budgeting, the capital market, sources of finance, the cost of capital, operating and financial leverage, the financial structure decision and the dividend decision.
Educational aims
This topic aims to:
  • Demonstrate the application of Business Finance principles in the workplace
  • identify the major concepts and analytical tools used in the theory and practice of financial management
  • examine the role and objectives of sound financial planning and management in business organisations.
Expected learning outcomes
On successful completion of this topic, students will be able to:
  1. Perform financial statement analysis
  2. Describe the procedures for assessing and measuring the risk of investment assets
  3. Value long-term debt (bonds/debentures), preference shares and ordinary shares
  4. Apply capital budgeting techniques in capital investment decisions
  5. Determine the cost of capital of a firm
  6. Define and calculate operating, financial and total leverage, and understand their implications for the target capital structure of a firm
  7. Discuss the importance of managing working capital
  8. Work collaboratively to conduct research and present the findings in report format.