Corporate Finance (ACCA) 2400-ZEWW930(ACCA)
The Corporate Finance (ACCA) course, together with the Finance I (ACCA) course and the Finance II (ACCA) course, provide students on programmes accredited by ACCA (the Association of Chartered Certified Accountants) with the opportunity to obtain an exemption from one of the ACCA qualification exams - the ‘Financial Management’ module.
The course covers the following topics:
The nature and purpose of financial management
Working capital management – definition and importance of working capital, management of inventories, accounts receivable, accounts payable and cash
Investment appraisal – use of different investment appraisal techniques, taking into account inflation and taxation as well as risk and uncertainty
Leasing, factoring and asset replacement
Business finance – sources of business finance, capital structure theories, M-M theorem, cost of capital, WACC
The analysis of equity – efficient market hypothesis (EMH), valuation of shares, cost of equity
The analysis of debt – cost of different forms of debt
Valuation of business – comparative analysis, free cash flow models (FCFF and FCFE)
Classes are taught in a computer lab using mostly spreadsheets.
Type of course
Course coordinators
Learning outcomes
KNOWLEDGE:
After completing the course the student is aware of the nature and types of risk and approaches to risk management, knows how inflation, taxes and risk are reflected in investment appraisal, knows what working capital is and how important it is, knows how to estimate the cost of capital, as well as how to justify using leasing and factoring.
SKILLS:
The student is able to assess the cost of equity and debt, perform an investment appraisal taking inflation, taxes and risk into account. He or she is capable of assessing whether leasing or factoring is a good option and can determine working capital needs.
COMPETENCES:
The student correctly identifies and resolves dilemmas related to performing business activities. He or she is able to broaden the acquired knowledge and skills so as to expand them to the extent required for professional work. With a broad look at a variety of financial problems, the student can think and act in an entrepreneurial way
Assessment criteria
To complete the course, the student has to pass a written exam. The exam is divided into two sections: Section A consisting of 10 multiple choice questions, either theoretical or short calculations (each question is worth 1 point) and Section B consisting of 2 open questions (each question is worth 10 points). The passing threshold is 50% (15 points).
Active participation in classes is additionally awarded.
Additional information
Additional information (registration calendar, class conductors, localization and schedules of classes), might be available in the USOSweb system: