Description: |
This course centers on how a firm is funded, and on how financial management can help maximize the financial rewards to those who own the firm, while meeting the obligations of the firm to other stakeholders. The effect of timing on the value of cash flows is developed at length, and is applied to the valuation of bonds and stocks. Various facets of stocks and bonds are also introduced, and a brief overview of the stock market is presented. Cash flow concepts are then incorporated into a development of how investment opportunities are analyzed, which includes a discussion of the strengths and weaknesses associated with different analytical methods. The topics of capital market efficiency and portfolio theory are then discussed and tied in to the concept of what investors have sacrificed in order to invest in a firm. This, in turn, is tied in to which investments are worthwhile to a firm's owners. In covering this material, recent business examples and financial research will be featured to supplement the textbook. Prerequisites: ECON108 or equivalent and one statistics course. ** If the section is full, please request the course here on UR Student and then email ugbusiness@rochester.edu to be added to the waitlist. Professor Mohr will not be able to override additional students; all requests must go through the ugbusiness@rochester.edu email. |