University of Economics Hochiminh City Capital budgeting -Subject Outline 2020

CAPITAL BUDGETING

COURSE OUTLINE

Number of credits: 03
Time: Semester 1, 2020
Venue: Room E501
Pre-requisites: Corporate Finance 1

Teaching Staff:

Teaching Role Lecturer

Name Dr. Le Thi Phuong Vi

Telephone +84 933542255 (Ms. Vy)

Email phuongvyqt@ueh.edu.vn

1. Learning Resources:

 Required textbook

Corporate Finance by Ross, Westerfield, and Jaffe (2010) 10e Edition, McGraw-Hill Irwin.

 Additional materials

Additional study materials including slices and homework solutions will be provided in class.

A financial calculator which is capable of calculating financial functions is required. Calculators

that meet such requirements are Casio fx-570ES, TI BAII Plus, among others. Students are
responsible for being skillful in the use of the calculator. Excel may also be used as supplement
to the financial calculator to make computations.

2. Lecture program

Chapter 4: Discounted Cash Flow Valuation

Chapter 5: Net Present Value and Other Investment Rules
Chapter 6: Making Capital Investment Decisions
Chapter 7: Risk Analysis, Real Options, and Capital Budgeting
Chapter 13: Risk, Cost of Capital, and Valuation

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 University of Economics Hochiminh City Capital budgeting -Subject Outline 2020

Chapter 18: Valuation and Capital Budgeting for the Levered Firm
Chapter 21: Leasing

3. Tentative detailed schedule of activities:

Session Content

1 Chapter 4

2 Chapter 5

3 Chapter 6

4 Chapter 7

5 Chapter 13

6 Chapter 18

7 Chapter 21

8 Mid-term

9 Revision+ submit mini cases (4, 6,7,13, 21)

Note: the above teaching schedule may be changed due to certain reality. But any
proposed changes must be notified to students in advance.

3. Learning Assessment

Assessment Item Form of Assessment Collaboration Type Weight

Assess mark In class mid-term test (60 minutes), Individual 50%

including: 30%
- Multiple choice questions
Cases: 20%

Bonus or penalty mark:

- Bonus mark is only given to
students who actively contribute to
the class lectures (i.e. asking
and/or answering questions,
volunteering to solve assignments,
etc.)
- Penalty mark is based on

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 University of Economics Hochiminh City Capital budgeting -Subject Outline 2020

attendance check. (See article 5.1

below)

Final Exam: (60 minutes), including:

- Multiple choice questions
Final exam Individual 50%
- Concept questions
- Problem solving

Total weights 100%

 All of two exams (mid-term and final) or this course are mandatory.

 The weights shown above determine the final numerical grade for the course.

 Passing grade must be equal or greater than 5 marks over 10 marks.

- Important Note:

- If final exam mark is equal or below 3, assess mark is just taken as a half.

4. Make-up Exam Policy

We have NO make-up mid-term exams policy. Make-up mid-term exams might only be given in
extremely exceptional circumstances. For final exam, students are responsible to check and
understand the UEH current policy on this issue.

5. Class policies and Rules

5.1 Attendance Requirement

 To comply with UEH class policy, class attendance is Mandatory. In this course, you
are allowed to miss maximum TWO classes at most without any affects to your final
grade. After two misses, your assess mark will be deducted 1 mark as penalty for each
additional absence. Roll will be taken at any time before class dismissed.

 Students are expected to remain until the class is finished. If you have a suitable reason
for leaving before the class finishes, contacting the lecturer in person or via email before
class is appropriate, except for emergency situation at which you should have a proof
later on. Otherwise, an early leaving will be counted as an absence.

5.2 Electronic Device Use and other class policy

Electronic devices such as cell phones need to be turned off or set in silent mode before class
begins. Use of cell phones or other electronic devices for any purposes other than learning for
this course is NOT allowed. Private conversations should be held outside the classroom.

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