Financial Management

Vaughn College MGT230 (hereinafter, the Course) is the financial management course delivered by Vaughn College of Aeronautics and Technology (hereinafter, the College). MAT120 and Vaughn College MGT120 are the prerequisites to the Course.

Description

This Course provides a working knowledge of the tools and analytical techniques used in the theory and practice of corporate finance. The emphasis is on establishing an understanding of the basic elements of financial theory to be use in the application of analytical reasoning to business finance problems. Accordingly, it is geared to students of Management rather than students who intend to follow a career specializing in financial matters.

The Course is taught using a variety of techniques including lecture, text readings, class examples and discussions, case analysis, supplemental article readings, problem simulations.

Course objectives

After successful completion of this Course, students shall be able to:

1. Understand how financial markets and institutions work
2. Exhibit a working knowledge of the analysis of financial statements
3. Understand how interest rates affect the time value of money
4. Understand stocks, bonds and how they are valued
5. Understand the quantitative relationship between risk and rate of return
6. Understand the Capital Budgeting process

Course outcomes

As the Course outcomes, the students shall be able to:

1. Explain how financial markets and institutions work
2. Apply a working knowledge of the analysis of financial statements to a business
3. Calculate the effect of interest rate changes on the time value of money
4. Explain the value of a balanced portfolio comprised of stocks and bonds
5. Explain and demonstrate the quantitative relationship between risk and rate of return
6. Explain and apply the Capital Budgeting process to business problems

Course requirements

1. Individual Assignment. Read and present (i.e., summarize, discuss, critique) an article from a current publication on a management issue. Students are required to make this presentation on the notified date. If you do not present on that date, you will not have a chance to make up this assignment.
2. Group Assignment. This assignment requires work in groups of 4 to 5 members. You will study either a specific company choosing one or more of the topics discussed in class, or choose a topic and do a comparative analysis of two or three companies for that topic. Present your complete project as a group. Presentations should last 15 to 20 minutes and will be followed by questions from your classmates.
3. Examinations. An examination is given for each chapter covered in the text.

Required text(s)

• Fundamentals of Financial Management, 13th ed. by Brigham, Eugene F. and Houston, Joel F., ISBN: 978-0-538-48243-1

Suggested text(s)

Lectures, tests, videos, and other materials tend to be posted on CNM Digital at https://friendsofcnm.org/

Required materials

Textbook(s) as noted above, pen and notebook or a computer device running the standard office suite with a document processor, presentation program, spreadsheet editor, and (optionally) colored highlighter pens. No additional materials required unless specified by the instructor or directed by the assignments.

Grading policy

Area	Percentage
Examinations	65%
Group case / discussion / presentation	15%
Critical Review of a Financial Management Article	10%
Class participation	5%
Attendance	5%
Total	100%

Late work policy

If a student turns in an assignment following the scheduled due date, the student will receive minimal feedback and a lower grade. Assignments turned in late will be assessed with a grade penalty. Late work will not be accepted if overdue by more than seven days.

Academic honesty

The College is committed to ensuring quality and integrity in all its academic and evaluative activities. A learning environment that promotes high academic standards is beneficial to students and faculty alike. Academic dishonesty such as cheating and plagiarism is in opposition to the values and mission of the institution and will not be tolerated.

Disability support services

It is the policy and practice of the College to promote inclusive learning environments. If you have a documented disability, you may be eligible for reasonable accommodations in compliance with the College policy, the Americans with Disabilities Act, and/ or Section 504 of the Rehabilitation Act. Please note, students should not negotiate accommodations directly with professors; however, professors may assist students in providing information about the self- identification process and the College-based services.

Absences and lateness

Regular attendance is essential for satisfactory academic performance. Institutional policy mandates students missing more than three classes are subject to an overall grade decrease. Students are also advised that additional attendance requirements may be mandated depending on the faculty member and/ or the department from which a particular course is taken. The final grade in any subject may be reduced in proportion to the number of unexcused absences.

Discrimination and harassment

The College does not discriminate on the basis of age, race, color, creed, religion, national origin, citizenship status, gender, sexual orientation, marital status, disability, or status as a military veteran, or for any other category recognized by local, state or federal law. In the programs, activities, and services offered, including but not limited to admissions, recognition of performance, and achievement, which the College provides to students, staff, and applicants, it continually strives to maintain a nondiscriminatory environment.

Course modules

The course schedule established for this semester is a guide. The schedule is subject to change and will vary accordingly. After the 15-module schedule all required material will be covered and reviewed for the final exam.

Module 1.

Course Schedule

• Course Schedule is subject to change

Estimated Assignment Times

Week Sessio n

Topics Text Chapters

Read Homework: Answer Questions Assigned (all chapters)

Study: Review Notes for Exams (all chapters)

1 1 Overview of Financial Management

1 1 1 1

2 Overview of Financial Management

1 1 1 1

2 3 Financial Markets and Institutions 2 1 1 1 4 Financial Markets and Institutions 2 1 1 1

3 5 Analysis of Financial Statements 3 1 1 1 6 Analysis of Financial Statements 3 1 1 1

4 7 Analysis of Financial Statements 4 1 1 1 8 Analysis of Financial Statements 4 1 1 1 5 9 Time Value of Money 5 1 1 1 10 Time Value of Money 5 1 1 1 6 11 Interest Rates 6 1 1 1 12 Interest Rates 6 1 1 1

Financial Management Page 6 of 7 Vaughn College of Aeronautics & Technology 7 13 Bonds and Their Valuation 7 1 1 1

14 Bonds and Their Valuation 7 1 1

Complete Preparation of Article Review

1

8 15 Risk and Rates of Return 8 1 1 1 16 Risk and Rates of Return 8 1 1 1

9 17 Stocks and Their Valuation 9 1 1 1 18 Stocks and Their Valuation 9 1 1 1

10 19 Cost of Capital 10 1 1 1 20 Cost of Capital 10 1 1 1

11 21 Basics of Capital Budgeting 11 1 1 1 22 Basics of Capital Budgeting 11 1 1 1

12 23 Distributions to Stockholders: Dividends

15 1 1 1

24 Distributions to Stockholders: Repurchases

15 1 1 1

13 25 Management of Working Capital 16 1 1

Complete Team Projects

1

26 Management of Working Capital 16 1 1 1 14 27 Financial Planning and

Forecasting

17 1 1 1

Financial Management Page 7 of 7 Vaughn College of Aeronautics & Technology 28 Financial Planning and Forecasting

17 1 1 1

15 29 Multinational Financial Management

19 1 1 1

30 Multinational Financial Management

19 1 1 1