Lectures - Communication of knowledge and ideas from the lecturer to the student.
Problem Solving Exercises - Students will work as part of a team and will work together to resolve various business scenarios.
Class Discussion/Debate - Students will be encouraged to actively participate in the class sessions which will develop their analytical and communication skills.
E-Learning - It is envisaged that the module will be supported with on-line learning materials.
Self-Direct Independent Learning - The emphasis on independent learning will develop strong and autonomous work and learning practices.
Module Aim:
The aim of this module is to further develop the theoretical and practical skills and knowledge introduced in the module Corporate Finance. Students will be able to carry out effective investment appraisal, discuss and apply dividend policy analysis and discuss and apply financial risk management techniques using microsoft excel. The depth and breadth of the module content and assessment are designed to gain maximum exemptions from professional accountancy bodies, appropriate to a B.A. (Honours) in Accounting programme.
Learning Outcomes
On successful completion of this module the learner should be able to:
LO1
Define and explain the key terms, concepts, theories and practices associated with: The allocation of resources to investment opportunities; dividend policy analysis and the management of foreign currency and interest rate risk.
LO2
Identify and apply relevant advanced corporate finance 1 techniques when presented with defined and undefined practical business problems using traditional methods and Microsoft Excel spreadsheets.
LO3
Analyse, prepare and evaluate results within an advanced corporate finance 1 framework and present recommendations using traditional methods and Microsoft Excel spreadsheets.
LO4
Critically evaluate the key theories, practices and techniques that are used to aid decision making in the area of advanced corporate finance 1.
Pre-requisite learning
Module Recommendations
This is prior learning (or a practical skill) that is recommended before enrolment in this module.
No recommendations listed
Incompatible Modules
These are modules which have learning outcomes that are too similar to the learning outcomes of this module.
No incompatible modules listed
Co-requisite Modules
No Co-requisite modules listed
Requirements
This is prior learning (or a practical skill) that is mandatory before enrolment in this module is allowed.
No requirements listed
Module Content & Assessment
Indicative Content
Advanced Investment Appraisal
The investment process; Investment appraisal techniques - payback period, accounting rate of return, net present value, internal rate of return and discounted payback period (application, comparison and evaluation); Identification of project relevant cash flows (including taxation and inflation effects); Qualitative issues; Single-period capital rationing; Adjusting for risk and uncertainty.
Dividend Policy Analysis
Effect of dividend decisions on financing and investment decisions; Effect of dividends on shareholder wealth; Dividend relevance and irrelevance theories; Practical influences on the level of dividends; Dividend policies.
Financial Risk Management
Nature and types of foreign currency and interest rate risk; Causes of exchange rate differences and interest rate fluctuations; Traditional foreign currency and interest rate risk management techniques (discussion and application); Foreign currency and interest rate derivatives (identification and explanation only).
Spreadsheet Analysis, Data Analytics and Visualisation