ÇANKAYA UNIVERSITY

2016-2017 ACADEMIC YEAR SPRING TERM

MAN-306 BUSINESS FINANCE-II

INSTRUCTOR         : Prof. Dr. M. Mete DOÄžANAY

TIME AND PLACE            :

                                     1st Section Monday, 14:20-17:10, KA03

                                     2nd Section, Tuesday,14:20-17:10, KA03

COURSE DESCRIPTION: This is the second of two-course sequence in business finance. Topics included are: stock valuation, capital budgeting, project evaluation methods, working capital management, operating leverage, financial leverage, combined leverage, short-term and long-term financing alternatives.

OBJECTIVES OF THE COURSE:  The objective of the course is to equip the students with basic business and corporate finance knowledge so that they can make rational financial decisions while they are running their businesses.

EVALUATION         : There are two exams that will be equally weighted (each one’s weigh is 0.5).

REFERENCES       : Problem sets and tables will be distributed by the instructor. Lecture notes can be reached from the web site of the course. http://man306.cankaya.edu.tr/

Students may use any financial management or corporate finance textbook as supplement.

WEEK

TOPICS

1-2

Stock Valuation

- Zero growth method

- Constant growth method

- Non-constant growth method

3

Basics of investment in fixed assets

4

Cash flow tables for expansion, and new products and markets projects

5-6

 Fixed investment project evaluation methods

6

Cash flow tables for replacement projects

7

Midterm Exam

8

Basics of working capital

9

Calculating the investment in working capital

 

10

Working capital management

- Cash management

- Receivables management

- Inventory management

 

11

 

Leverages

- Operating leverage

- Financial leverage

- Combined leverage

12

Short-term financing

13

Long-term financing

14

Finance laboratory