10/13/2022

Financial
management and
control systems
Dr. Mahmoud Otaify
Assistant Professor of Finance

Course Instructor - Dr. Mahmoud Otaify

• Assistant Professor of Finance at E-JUST University

• Founder and Director of E-JUST Finance Simulations Hub
• Independent Non-executive Board Member at Horizon
Security Brokerage Company
• Mahmoud.Otaify@ejust.edu.eg
• Office 330 HQ Building

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Course Specification

Course Course Outline Teaching Course Course

Objective Methods & Tools Assessment Textbooks

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Teaching Methods & Tools

Book Lecture Lecture

Chapters Notes Worksheet

Exercises
on Lectures
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Course Assessment

Group Project Midterm Exam Quizzes & Final Exam

(60) (60) Participation (30) (150)

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Corporate Report - Guidelines

Report is financial
analysis of a • Presentation 10 marks
Team 2 – 5 students • Report Quality 10
company listed on marks
Egyptian exchange • Content 40 marks

Deadline of Project
Submission: Week
12
• Presentation in week
15

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Search Search for Egyptian exchange website

Look Look for EGX30 index’s constituents

Selection of Subject Choose Choose a non-financial company

Company
Confirm Confirm with the Professor

Start Start your report calculation

Changes in Weight of each

source of capital over the period
Capital
structure
Check for any capital raising
development decisions
over last 5
years
Check for any Capital
restructuring decisions

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Course Textbooks

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Sources of Capital Debt, equity

Cost of Capital

Long-term funds
suitable mix of debt and
Capital Capital Structure equity to finance
investments

Capital Budgeting

the portion of the firm’s

Working Capital assets used in day-to-
day transactions.
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Assets Liabilities and Shareholders Equity

Short-term
Financing
Working Current Assets XXXX Current Liabilities XXXX
Capital
Debt Financing

Long-term Long-term XXXX Long-term Liabilities XXXX

investments Assets
Equity Financing
Shareholders Equity XXXX

Total Assets XXXX Total Liabilities and XXXX

Shareholders Equity

Uses of Funds Sources of Funds

(Investing) (Financing)

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Financing
Decisions
Good
decisions
Maximize
? Poor
Investing
decisions
Decisions

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Financing Good decisions

Decisions
increase the
stock value
Maximize
Firm Poor decisions
Value decrease the
Investing
stock value
Decisions

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What are Financial Controls? Why Do You Need Financial Controls?

ensuring the accuracy of reporting,

eliminating fraud
• directed
Firm’s
resources • Monitored protecting the organization’s
• measured resources, both physical and
intangible.

reduce process variation, leading to

more predictable outcomes.
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Next Lecture
Leverage

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