Description
FINANCIAL MANAGEMENT 1
The main objective of this course is to gain understanding of the theory and practice of financial decision making. This course develops the tools and framework necessary to address the question what investment projects should be undertaken to maximize shareholder wealth? To examine this question, we will learn how to value an uncertain stream of cash flows and apply the concept of the time value of money in valuing bonds and equity. The course covers a number of market-based investment criteria and develops an entity valuation model, based on discounted cash flows (DCF) used for standard capital budgeting decisions. We will conclude with a short introduction to the concept of risk and return, resulting in the cost of capital. We will cover a case discussion on capital budgeting to put our framework in a more realistic environment.
Details
Grading Basis
Grad LG/SNC Basis
Units
1.5
Component
Lecture - Required
Offering
Course
BFIN 2409
Academic Group
Katz Grad School of Business
Academic Organization
KGSB - Business Admin
Campus
Pittsburgh Campus
Enrollment Requirements
CREQ: BACC 2401 or BQOM 2401; PROG: Joseph M. Katz Grad Sch Bus
Typically Offered
Fall, Spring, Summer