BUS202: PRINCIPLES OF FINANCE
Details
Finance is a broad term; you will find that both managers that compile the financial reports we discussed in financial accounting and stockbrokers working on Wall Street will claim that they work in finance. So what exactly is finance? Finance is the science of fund management. It is distinct from accounting in that, whereas accounting aims at organizing and compiling past information, finance is geared towards deciding what to do with that information.
Learning OutcomesUpon successful completion of this course, the student will be able to:
- Explain the objectives of the financial manager and how the structure of a corporation affects financial decisions.
- Explain how the financial manager uses and analyzes the income statement, the balance sheet statement, and the statement of cash flows to make better informed decisions.
- Explain the concept of time value of money and how the present value calculation is related to the future value calculation.
- Explain the rules and methods in capital budgeting when making financial decisions.
- Explain how the financial manager makes financial investment decisions when confronted with issues of risk and uncertainty while considering different risk preferences.
- Explain the different components of a company’s capital structure.
- Explain the Modigliani-Miller theorem in finance.
- Apply the WACC formula for estimating a company’s cost of capital.
- Explain the use of the CAPM model for estimating valuations of a company’s rate of return.
- Use Excel to prepare an analysis of a company’s financial statements and stock data.
Course Requirements
In order to take this course you must:
√ Have access to a computer.
√ Have continuous broadband Internet access.
√ Have the ability/permission to install plug-ins or software (e.g., Adobe Reader or Flash).
√ Have the ability to download and save files and documents to a computer.
√ Have the ability to open Microsoft files and documents (.doc, .ppt,.xls, etc.).
√ Be competent in the English language.
√ Have read the Saylor Student Handbook.
Saylor Academy’s mission is to open education to all.
Saylor Academy’s mission is sustained by the continued evolution of an open educational ecosystem, and we are dedicated partners in this movement. Saylor’s commitment to the open education ecosystem is founded not just on open educational resources and open source learning technologies, but also on open access to credentials, and ongoing open learning opportunities.
Guided by these beliefs, Saylor Academy is currently focused on the following projects:
Open Courses: Maintenance and Learner-Centered Improvements
- A commitment to the OER community means that we’ll continue to replace open access materials with openly licensed ones in an effort to make Saylor courseware as reusable and remixable as possible.
- Open courses require more instructional supports for learners, so our current improvements focus on ensuring better and more frequent opportunities for Saylor students to practice what they’re learning.
Open Credentials: Adding New Opportunities and Bolstering Existing Ones
- We’re working on expanding our suite of Saylor Direct credit recommended exams, and we’re also keen on working with university partners to develop innovative and flexible partner degree launching and completion programs. ...
