BØA2040 Corporate Finance

This course serves as an integral part of an international program for exchange students. Norwegian students will also be admitted. Note that there are restrictions for students specializing in Finance.

Objective

To give the students an understanding of the theory of financial decision making and the behaviour of the capital markets in which these decisions are taken.

Prerequisites

Elementary economics and quantitative methods.

Restrictions

This course must not be chosen by stydents on the third year specialization in Financial Management in the third year, due to overlapping contents with BØA3010.

Tuition

Lectures, excercises and examination of excercises.

Assessment

The two mandatory written assignments during the semester needs to be passed in order to qualify for the final exam. Individual written examination (4h).

Aid: Approved calculator

Contents

• Valuation
• Risk
• Practical Problems in Capital Budgeting
• Financing Decisions and Market Efficiency
• Payout Policy and Capital Structure
• Options
• Dept Financing
• Risk Management
• Financial Planning and the Management of Working Capital
• Mergers, Corporate Control and Governance

Syllabus literature

• R. Brealy, S. Meyers, F Allen: Principles of Corporate Finance McGraw-Hill international 8th edition (2006).
• Selected articles and chapters from other books.