This action might not be possible to undo. Are you sure you want to continue?
Professor Kenneth A. Kavajecz 4329 Grainger Hall Phone: 608-890-2496 Email: email@example.com Web: http://courses.bus.wisc.edu/course/view.php?id=1768 Office Hours: Tuesday and Thursday 12:30-1:30 PM and by appointment. Class Time Lectures FNCE 700 001 Tuesday-Thursday FNCE 700 002 Tuesday-Thursday Finance 700 Intro. to Financial Management Fall 2010
9:30 -10:45PM Grainger Hall 2510 11:00 -12:15PM Grainger Hall 2510
Lecture notes, additional readings, projects, problem sets, and old exams, all of which are available for downloading from my instruction website listed above. While a regular calculator is all that is required, you may opt for a financial calculator. Problem sets and exam will require you to show all your work (i.e. show the formula and its solution), although a financial calculator may be useful in checking your solutions. In the event that you decide on a financial calculator, Casio, Hewlett-Packard and Texas Instruments produce acceptable models. Note that some models use reverse polish notation (RPN).
No textbook is required for this course. However, should you want a textbook I recommend, and will most closely follow Berk and DeMarzo, Corporate Finance, 1st Edition. Note that there are many other perfectly fine corporate finance texts available that students can use, e.g. Brealy and Myers, Principles of Corporate Finance, 7th Edition; Ross, Westerfield and Jaffe, Corporate Finance, 7th Edition.
Materials on Reserve Berk and DeMarzo, Corporate Finance, 1st Edition. Solutions Manual for Berk and DeMarzo, Corporate Finance, 1st Edition. Teaching Assistants: Chris Casteleyn (CorpFin) Email: firstname.lastname@example.org Office Hours: TBD Office Hour Location: TBD Grainger Todd Johnson (CorpFin) Email: email@example.com Office Hrs: TBD firstname.lastname@example.org Business Learning Center http://www.bus.wisc.edu/blc/finance.htm Travis Dowden (CorpFin) email@example.com TBD TBD Grainger
The second group project which is due at the end of the semester (December 14. Exams The course grade will be based on one midterm exam. Both exams are closed book. if a group receives 80 points for their project and your group members award you 75% in terms of overall contribution. The projects will require some library work as well as require some facility with a spreadsheet. including but not limited to. 2010) is an integrated company analysis where your team will analyze a publicly traded company using the ideas and concepts within each of the core classes (accounting. 2010 30% 1100 Grainger Group Project 1 Due Thursday. quality and quantity of work. That said. In order to ensure a fair distribution of the overall project grade each group member will provide me with their estimate of each group member’s (including their own) overall contribution to the work. Thus explicit requests to reapportion the weighting scheme or implicit requests due to retesting or supplementary work will be denied. otherwise the student must take the exam at the scheduled time. In rating your group members you should consider all aspects of the work. November 11. data analysis. but a formula sheet will be allowed. Evaluations will be averaged across group members and will determine the fraction of the project grade that you will receive.wisc. you will receive 60 points. There will be no other rescheduling of exams for any reason. Be advised that late projects will not be accepted. creativity. Peer evaluations are due the same day as the respective project is due. For those students unable to take either the midterm or final exam because: (i) they are ill and have a doctors confirmation. Project write-ups are to be typed doublespaced with specific page limitations although appendices are allowed. In case of scheduling conflicts. For example.edu/course/view. finance and marketing). The first group project is a finance case study due on November 11. Group Projects There are two group projects during the semester and descriptions of both are listed on my website. Both group projects are to be done with the previously assigned teams of students within your cohort. two group projects and a final exam with the following weights applied to each: Midterm exam 7:15-9:15 PM Monday. December 14. (ii) they have three or more exams scheduled that day. Evaluations are listed as a percentage (0% to 100%).php?id=1768. or. I anticipate the following distribution of final grades for this course: A’s 25-30%. All evaluations are completely confidential. preparation. In handing in your project make sure to provide both a paper and electronic copy. You will need a calculator. 2010. You may download a peer evaluation form from my website.bus.Grading Policy Keep in mind that students’ performances may vary from one year to the next and that I retain complete discretion in altering the final grade distribution. 2010 40% TBA The weights placed on the following requirements are not negotiable and will not be changed. 2010 15% 8:00AM Final exam 10:05-12:05PM Friday. December 17. October 25. 2010 15% In Class Group Project 2 Due Tuesday. Any necessary materials can be downloaded off the internet from http://courses. B’s 20-25% and BC or lower 0-5%. AB’s 45%. cooperation. . the makeup exam will occur at the start of the Spring Semester of 2010. an alternate exam will be allowed if the student notifies the instructor of the problem within the first 2 weeks of class.
2:00-3:00 PM. for each piece of work that will be evaluated for a grade you will be required to attach the following statement: “On my honor. Monday. rather they are provided as an aid for students to help them practice applying the material covered in class. October 18. Note that problem sets will not be collected. These review sessions are scheduled as follows: Review I: Review II: Review III: Review IV: Monday. . additional measures will be implemented in all MBA classes to keep academic integrity in the forefront. Second. 7:00-9:00 PM. These questions are representative of what you are likely to encounter on this semester’s midterm and final exam. Please note that the practice problems from BD are at times elementary and should not be used to measure the difficulty of the midterm and final exams. First. old midterms and an old final exam. problems sets. 2010. Attendance As a good learning environment depends critically on your involvement. Note if an exam/group project is submitted for regrade.” Please note that any suspected violation of the Honor Code will be reviewed by. Final Exams: 2 weeks after the beginning of the following semester. 2010. The teaching assistants and I will be available in office hours to go over any of the practice problems. why you are not able to make class. Supplementary materials for the BD text may also be found at http://www. my website contains problems sets. the entire exam/group project will be regarded by me. 7:00-9:00 PM. December 10. Midterm Exams: 2 weeks from the day the exam was returned. Each session entails a short structured overview of the material since the last review session as well as time for student questions and problem solving.myfinancelab. Friday. September 27. the decision and recommended punishment of the Honor Board. both the specific honor code is listed below for your review. I expect that you will make an effort to attend class on time. and subject to. Should you not be able to attend class I expect that you will notify me. Review Sessions There will be four review sessions held throughout the semester. While I know that you have signed a personal statement verifying that you understand the honor code and promise to abide by it. or old exams. Monday. 2120 Grainger 2120 Grainger 2120 Grainger 2120 Grainger Regrade Policy Exams and group projects will be accepted for regrade only if they are accompanied by a signed Regrade Request Form (downloadable from my website) and are submitted within the timetable outlined below. in advance if at all possible. I have neither given nor received unauthorized aid in completing this academic work.com In addition to the BD’s practice problems. 2010. November 15. 7:00-9:00 PM. 2010. Deadlines for regrade requests: Group Projects: 2 weeks from the day the project was returned. Solutions to all of BD’s problems are on reserve in the UW-Madison Business Library located in Grainger 2200.Practice Problems and Problem Sets The Berk and DeMarzo (BD) book contains some practice problems. Academic Integrity Academic Integrity is an important part of all of the classes you take at the Wisconsin School of Business and this one is no exception.
they must in fact be my own. coverage. If I am unsure about the proper ways to give credit to sources.wisc."” Excerpt taken from http://www. color. religion. I will be certain that anyone with whom I discuss the examination has previously handed in their examination. I may ask my instructor or consult the Writing Center at 6171 Helen C. I may put someone else’s idea in my own words as long as I indicate whose idea it was. race. disability. Moreover. or sexual orientation. If I feel that some form of discrimination has been directed toward me or another during class time. • Plagiarism I understand that plagiarism is a major offense at this University and that it is my duty to understand what plagiarism is and actively seek out advice when I have a question about my work. they should be enclosed in quotation marks with the exact source listed. I support this policy and will not tolerate any deviations from it in the classroom. if my [work] implies that I am the originator of words or ideas.edu/students/saja/misconduct/misconduct. [Specifically]. national or ethnic origin. I should know the principles of plagiarism and the correct rules for citing sources. content. White Hall (phone: 608/263-1992. it is my right to contact the Honor Board (or Dean) immediately.School of Business MBA Academic Integrity Policy Honor Code • Discrimination I understand that it is the policy of the University of Wisconsin-Madison to not discriminate on any grounds. . and especially not on the basis of gender. if I use someone else’s exact words. I will not communicate with any student regarding any aspect of the exam such as. Paraphrasing and Acknowledging Sources.. until all students have taken the exam. e-mail: firstname.lastname@example.org) for a copy of their handout "Quoting. etc. Plagiarism is defined by this University as: “Plagiarism means presenting the words or ideas of others without giving credit.html • Exams I understand that all exams whether in-class or take-home are strictly individual efforts. In general.
or online. • Cases and Case Discussions: I understand that case write-ups are to be done individually. such as other faculty members. or within your assigned group. under no circumstances am I to use sources outside the allowed set. as your professor/instructor designates. with those in other cohorts. This may include company or knowledgeable sources interviews or library/online searches. If that did not happen for some individual. Thus. whether written. 2nd year students or students in other sections/cohorts who have already reviewed the case. however. On Consulting with Others: I may not discuss the group work with anyone outside my group. However. graded and ungraded work may always be directed to the instructor of the class. etc. That necessarily means that I will have no discussions with other groups.. homework or group work. with the exception of my professor or TA. alumni. logic. Using Sources: The set of materials to be used in completing the group work will be clearly defined by the professor. In addition. . not explicitly assigned to the class are strictly prohibited. etc. or with anyone who may have previously studied the case. that go into the case compromises the equitable distribution of class participation and more importantly. must be cited properly. Difficulties with. the use of any internet materials to complete an exam. since the path taken to arrive at an answer is as important as the answer itself. indeed. unless specified by the instructor. it is critical that case discussions are a product of my own thinking. I must contribute equitably in the assignment’s/case preparation if I am to take full credit for it.• Individual Homework I understand that homework that is not handed in for a grade may be discussed with the professor and other students. arguments. Discussing the analyses. Even in this case. All sources. I am obligated to be sure my work is not too similar to another group’s work in its completed version. • Group Work Basic Rules: I understand that group work must be done solely within the group and when required I must hand in a single set of answers for my group. It means that I should make a significant contribution to the overall process. Note on the Internet: I understand that unless explicitly instructed. This does not mean that my ideas must be included. I may NOT access solutions from any source for those previous semesters. individual homework assignments that are to be handed in for a grade may not be discussed with students or others outside the class. case discussions conducted in class are to be done within my section or cohort unaided by alumni. oral. I can include in my report an estimate of that person’s contribution relative to others in my group. The only exception may be if my professor allows cross-group discussion as part of an assignment. undermines the learning process. Note that similar or identical homework may have been assigned in previous semesters. or questions regarding. I am encouraged to do so.
In such cases.• If you are unsure about a rule or policy: Finally and very importantly. it is important that I contact my Professor/instructor immediately for clarification. I recognize that the principle ingredient in the successful operations of the honor code is good faith among all parties. . From time to time. situations will arise in which the application of the honor code is unclear.
Returns and Capital Asset Pricing Model Statistics Reminder Statistics and Stock Portfolios Risk-Return Relationship The Effect of Diversification The Capital Asset Pricing Model Efficient Portfolios Effect of Borrowing and Lending CAPM Empirical Tests of the CAPM [1 Lecture] Module 2 [2. A module is best described as a collection of ideas that are best presented as a unit.Course Outline The goal of this course is to provide you with an introduction to core ideas in finance as well as provide a solid foundation for further study.5 Lectures] Module 3 [2 Lectures] Module 4 [3. The course is broken down into a series of modules.5 Lectures] Module 5 [4 Lectures] . An outline of the course topics follows. Module 1 Introduction to Finance Finance within the Business Core The Financing Function and the Financial Manager Players and Perspectives Goals and Objectives of the Course The Time Value of Money Compounding and Future Value Discounting and Present Value Perpetuities Annuities Nominal versus Real Interest Rates The Net Present Value (NPV) Rule Theoretical Background Alternatives to the NPV Investment Rule Payback Average Return on Book Internal Rate of Return Profitability Index Applications of NPV: Valuation of Safe Cash Flows Valuing Treasury Securities Term Structure of Interest Rates Forward Rates Pricing Treasury Securities Capital Budgeting under Certainty Using the NPV Rule for Capital Budgeting How to Treat Inflation Project Interaction Capital Budgeting under Resource Constraints Risk.
5 Lectures] Module 9 Capital Structure [2.5 Lectures] The Sources of Long-term Financing How Corporations Issue Securities Debt Policy Leverage in Perfect Capital Markets Where to Look for Violations of MM’s Propositions Corporate Taxes Personal Taxes Bankruptcy Costs Agency Costs The Pecking Order Theory of Capital Structure Payout Policies Dividend Policy How Dividends are Paid Litner Dividend Model Stock Repurchases Dividends in Perfect Capital Markets Dividends and Market Perfections Dividends as Signals The Effect of Taxes The Effect of Agency Costs Interaction of Investment and Financing Decisions The Adjusted Present Value Rule [2 Lectures] Module 10 Module 11 [1 Lecture] Module 12 Hedging and Derivative Securities [3 Lectures] Review of Arbitrage Pricing Option Contracts Strategies Pricing: Binomial Model and Black-Scholes Model Applications Corporate Securities and Firm Valuation Executive Compensation .Module 6 Arbitrage Pricing The Law of One Price and the Law of No Arbitrage An Arbitrage Pricing Application: Foreign currencies The Arbitrage Pricing Theory (APT) Application of the NPV Rule under Uncertainty: Valuation of Risky Cash Flows The Valuations of Stocks Capital Budgeting under Uncertainty Weighted Average Cost of Capital Market Efficiency Efficient Capital Markets: Theory and Evidence The Three Forms of Market Efficiency Technical Analysis Efficiency and Current Information [1 Lecture] Module 7 [3 Lectures] Module 8 [1.
This action might not be possible to undo. Are you sure you want to continue?
We've moved you to where you read on your other device.
Get the full title to continue reading from where you left off, or restart the preview.