Information Package
baskent.edu.tr

Master's of Accounting and Finance with Thesis

MANT550

FINANCIAL MANAGEMENT

Course Code
MANT550
Semester
Second Term (Spring)
Theory+Practice
3 + 0
ECTS
10
Course TypeCompulsory Course
Course LevelMaster's Degree With Thesis
Year of Study1
SemesterSecond Term (Spring)
ECTS10
Name of Lecturer(s)
Learning Outcomes

At the end of this course, the students;

  1. Estimate the cost of capital for the whole firm, individual divisions as well as the specific projects with advanced techniques such as the marginal cost of capital (MCC) schedule
  2. Solve capital budgeting problems by risk-adjusted discount rate approach and certainty equivalent approach
  3. Explain and evaluate the Modigliani and Miller (MM) capital structure model (with and without taxes) and the Miller model
  4. Describe the impact of financial distress, agency costs and asymmetric information on capital structure
  5. Explain dividend theories such as the residual theory of dividends and the Miller and Modigliani's irrelevance argument
  6. Identify other factors that influence dividend policy
  7. Apply the principles of working capital management
Mode of DeliveryFace to face
PrerequisitesNo
Recommended Optional Programme ComponentsNone
Course DescriptionFinancial decision making process, financial decisions that influence the firm, the relation of these issues between each other, financing policies for investments under risk and inflation, methods used to determine these financing policies, the influence of financial decision making to the cost of capital, cash flows, time value of money, fundamental investment criteria and the relationship between risk and return consist of the content of this course.
Course Contents
WEEK TOPICS
1st Week The Firm and the Financial Manager, Accounting and Finance
2nd Week Time Value of Money
3rd Week Valuing Bonds
4th Week Valuing Stocks
5th Week Net Present Value and Other Investment Criteria
6th Week Discounted Cash Flow Analysis
7th Week Project Analysis
8th Week Midterm examination
9th Week Intro. to Risk, Return, and the Opp. Cost of Capital, Return and Capital Budgeting
10th Week The Cost of Capital
11th Week The Capital Structure Decision
12th Week Dividend Policy
13th Week İstanbul Stock Exchange
14th Week Financial Instruments in Turkey
15th Week General Review
Recommended or Required ReadingBrealey, Myers & Marcus, Fundamentals of Corporate Finance, McGraw Hill, 6. Baskı
Planned Learning Activities and Teaching Methods
  • Lecture
  • Discussion
Assessment Methods and Criteria
Quantity Percentage (%)
Mid-term 1 40
Total(%) 40
Contribution of In-term Studies to Overall Grade(%) 40
Contribution of Final Examination to Overall Grade(%) 60
Total(%) 100
ECTS Allocated Based on Student Workload
Activities Quantity Duration (Hour) Total Workload (Hour)
Midterm exam 1 2 2
Preparation for Quiz
Individual or group work 14 6 84
Preparation for Final exam 1 60 60
Course hours 14 3 42
Preparation for Midterm exam 1 50 50
Laboratory (including preparation)
Final exam 1 2 2
Homework 10 6 60
Total Work Load300
Total Work Load / 30 (h)10
ECTS Credit of the Course10
Language of InstructionTurkish
Work Placement(s)No

Programme Qualifications / Learning Outcomes

LO1 LO2 LO3 LO4 LO5 LO6 LO7
K1 X X X X X X X
K2 X X X X X
K3 X X X
K4 X X X X X
K5 X X X X X
K6 X X X
K7 X X X
K8 X X X X X
K9 X X X X X
K10 X X X X X
K11 X X X X X
K12 X X X X X
K13 X X X X X X X