DOKUZ EYLL UNIVERSITY FACULTY OF BUSINESS COURSE SYLLABUS 9/14/2011

Offered by Offered to Offered to Course Title Course Level Undergraduate/ First Cycle Instruction Language Prerequisite Department of Business MAN MAN ECN ECN IRL IRL THM THM IBT IBT Course Status Compulsory Elective

Managerial Finance Course Code FIN 3001 English FIN 2002 Year 3 Semester Fall Mode of Delivery Prerequisite to ECTS 5 Weekly Course Hours T 3 In Class None A L

COURSE DESCRIPTION COURSE OBJECTIVE The objective of this course is to help the students to understand the relationship between risk and return, comprehend the long-term investment decisions, highlight the cost of capital and capital structure issues, dividend policies and business failures. LEARNING OUTCOMES The students will be expected to be able to 1. Calculate risk and return for a security and a portfolio through risk and return concepts. 2. Evaluate capital investment projects of a corporation through basic capital budgeting techniques. 3. Determine the cost of equity and debt to calculate the weighted average cost of capital. 4. Identify the optimal capital structure through financial leverage, break-even analysis, and capital structure concepts and theories. 5. Review types of dividend policies. 6. Examine the types and major causes of business failure.

LEARNING AND TEACHING STRATEGIES 1. Lectures 2. Presentations 3. Solving the assigned cases and problems

ASSESSMENT METHODS 1. Mid-Term 2. Projects + Assignments + Quizzes 3. Final

GRADING % 30% 30% 40%

ASSESSMENT CRITERIA 1. The learner will calculate risk and return of securities and portfolios. 2. The learner will apply capital budgeting techniques to evaluate capital investment decisions of firms. 3. The learner will calculate the cost of debt, cost of equity and weighted average cost of capital.

DOKUZ EYLL UNIVERSITY FACULTY OF BUSINESS COURSE SYLLABUS 9/14/2011

4. The learner will evaluate the optimal capital structure of a corporation. 5. The learner will clearly differentiate between the basic types of dividend policies. 6. The learner will describe the underlying causes of business failures.

TEXT BOOK(S)/ REFERENCES / MATERIALS 1. Fundamentals of Financial Management. Brigham, E.F. and Houston, J.F. Thompson One, 12th Edition.

COURSE POLICIES AND RULES 1. Attending at least 70 percent of the lectures is mandatory. 2. Violations of plagiarism of any kind will result in a disciplinary action.

COURSE OUTLINE WEEK 1 2 3 4 5 6 7 8 9 10 11 12 TOPICS Risk and Return Risk and Return Capital Budgeting Techniques Capital Budgeting Cash Flows The Cost of Capital Leverage Financial Leverage- Operating Leverage Capital Structure Dividend Policy Business Failure Project Presentations Project Presentations NOTES