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
Solve capital budgeting problems by risk-adjusted discount rate approach and certainty equivalent approach
Explain and evaluate the Modigliani and Miller (MM) capital structure model (with and without taxes) and the Miller model
Describe the impact of financial distress, agency costs and asymmetric information on capital structure
Explain dividend theories such as the residual theory of dividends and the Miller and Modigliani's irrelevance argument
Identify other factors that influence dividend policy
Apply the principles of working capital management
Mode of Delivery
E-Learning
Prerequisites
No
Recommended Optional Programme Components
MAN517 Project Preperation and Evaluatıon
Course Description
An understanding of the nature and the importance of money. Comprehensive survey of the role of each of the major financial institutions; such as commercial banks, investment banks, central bank, stock markets. The emphasis of the course is on management of these institutions and the role of money in the financial system of the country.
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
Intro. to Risk, Return, and the Opp. Cost of Capital
9th Week
Risk, 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
Recommended or Required Reading
Brealey, Myers & Marcus, Fundamentals of Corporate Finance, McGraw Hill, 6. Baskı
Planned Learning Activities and Teaching Methods
Lecture
Discussion
Assessment Methods and Criteria
Quantity
Percentage (%)
Assignment
1
20
Other
1
20
Total(%)
40
Contribution of In-term Studies to Overall Grade(%)
40
Contribution of Final Examination to Overall Grade(%)