Winter Term 19/20

Corporate Finance

Vorlesung

Corporate Finance

Lecturer:
  • Prof. Dr. Heiko Jacobs
Contact:
Term:
Winter Semester 2019/2020
Cycle:
Wintersemester
Time:
mittwochs, 14:15 - 15:45 Uhr
Room:
T03 R02 D39
Start:
16.10.2019
End:
29.01.2020
Language:
English
Moodle:
Lecture in Moodle
LSF:
Lecture in LSF
Participants:
Linked Lectures:

Description:

Structured presentation of the theory and practice of how corporations make financial decisions

Learning Targets:

Students

  • get familiar with modern concepts and methods of analyzing optimal financial decision making in corporations,
  • can evaluate the empirical validity of leading models and apply them to solve real-world problems in corporate financial decision making,
  • are able to understand and explain discrepancies between the theory and the practice of corporate finance,
  • can evaluate scientific studies accurately, understand the methodology used in leading papers of the field, can interpret estimation results correctly and analyze them critically,
  • can communicate and debate topics of the lecture in a structured and professional way.

Outline:

  • Statement Analysis
  • Investments Capital Budgeting, and DCF Valuation
  • Valuation of Bonds and Stocks
  • Risk and Return
  • Capital Market Equilibrium and Cost of Capital
  • Project Analysis and Real Options
  • Capital Structure and Payout Policy
  • Behavioral Corporate Finance

Literature:

  • Brealey/ Myers / Allen: “Principles of Corporate Finance”, McGraw-Hill, New York.
  • Ross/Westerfield/Jaffe: “Corporate Finance”, McGraw-Hill, New York.
  • Berk/DeMarzo: “Corporate Finance”, Pearson Prentice Hall, Boston.

Methods of Assessment:

The module-related examination is performed by a written test (usually 60-90 minutes).

Formalities:

Students are assumed to have undergraduate level knowledge of finance and economics. Some basic knowledge of statistics/econometrics is helpful to understand empirical research conducted in the research papers. A sufficient level of spoken and written English language skills is necessary.