Corporate Financial Management

It is not possible to register for the course 32BC-P-POFI-01 if the student is concurrently registered for or has already completed the course U63C4302 (mutually exclusive courses).

During a review of study plans, the course U63C4302 can be substituted for the course 32BC-P-POFI-01.

Garant předmětu:

Miroslav Sponer

Lecturer:

Arnošt Klesla, Igor Kukliš, Miroslav Sponer, Jiří Svoboda

Tutor:

Arnošt Klesla, Igor Kukliš, Miroslav Sponer, Jiří Svoboda

Supervisor:

Institute of Economic Studies

Synopsis:

The aim is to widen and deepen knowledge and skills in the field of financial engineering instruments, the financing needs of the company, as well as performance analysis. The main emphasis will be placed on understanding the company in its entirety and complexity, particularly with regard to the basic function of the target enterprise, increase market value and maximize wealth for shareholders.

Requirements:

Syllabus of lectures:

1. Basics of corporate finance. Principles of financial management of the company. Objectives of financial management of the company. Basic documents of financial management of the company.

2. Property and financial structure of the company and their optimization.

3. Short-term financial management of the company. Management of current assets, liquidity and working capital.

4. Sources and forms of short-term business financing. Liquidity and cash flow management.

5. Long-term financial management of the company. The company's financial strategy and long-term financial plan. Capital planning. Cost of capital, WACC.

6. Investment decision-making of the company, the concept of investments, investment projects and their preparation, planning of cash flows from investments, the influence of interest, taxes and inflation on investment decisions.

7. Evaluation of the effectiveness of investment projects. Net present value, profitability index, internal rate of return, average rate of return and payback period.

8. Internal sources of investment financing. Depreciation as an internal source of financing, depreciation methods, depreciation policy in the Czech Republic, retained earnings, creation of reserve funds.

9. External sources of investment financing. Business and the financial market. Financing through ordinary and priority shares, corporate bonds, banking instruments, project financing.

10. Leasing financing, alternative sources of financing (factoring, forfaiting). Evaluation of the effectiveness of leasing financing, advantages and disadvantages of leasing. Use of factoring and forfaiting as alternative financial sources.

11. Modern concepts of measuring and managing business performance, VBM. market value added (MVA), ER, TSR, economic value added (EVA). Identification of key factors influencing business performance. KPIs

12. Capital concentration, mergers, acquisitions, investment rating, concept of proper Corporate Governance

13. Corporate finance in international exchange, exchange rate and exchange rate risk, foreign exchange operations, the euro and the euroization of corporate financing

Syllabus of tutorials:

Introductory exercises, organization. Basics of corporate finance. Principles of financial management of the company.

2. Property and financial structure of the company. Cost of equity and debt capital, WACC. Optimizing the financial structure of the company.

3. Cash flow of the company. Essence and meaning of CF, indirect and direct method of constructing CF.

4. The time value of money in the company's financial decision-making. Future and present value of money. Comparison of interest rates with different compounding of interest, real interest rate.

5. Future and present value, future and present value of an annuity.

6. I. credit test.

7. Determining the expected cash flows as a basis for the real definition and assessment of the effectiveness of business investment: investment decision criteria, static indicators, and dynamic indicators.

8. Evaluation of investment projects. Cost criteria for investment evaluation (average annual cost method, discounted cost method). Net present value method, profitability index.

9. Method of internal rate of return, average rate of return and payback period of the investment project.

10. Effectiveness of leasing financing. Expression of the leasing price using the leasing factor and the internal interest rate. Comparison of leasing costs with a loan.

11. Ways of measuring and managing business performance, use of traditional financial analysis methods in business management.

12. Modern concepts of measuring and managing business performance, market value added (MVA), ER, TSR, and economic value added (EVA).

13. II. credit test.

Study Objective:

The subject aims to show students a comprehensive view of the field of corporate finance and to familiarize them with the theory, principles and practical procedures of financial management in a modern market economy. Students will acquire knowledge and skills in the use of analytical tools and methods for evaluating the company's performance and investment activities, which can help in the further improvement of the company's financial management

Study materials:

ČIŽINSKÁ, R. Základy finančního řízení podniku. Praha: Grada Publishing, 2018. Prosperita firmy. ISBN 978-80-271-0194-8.

HRDÝ, M., KRECHOVSKÁ, M. Podnikové finance v teorii a praxi: moderní metody a trendy. Praha: Wolters Kluwer Česká republika, 2013. Prosperita firmy. ISBN 978-80-7478-011-0.

KNÁPKOVÁ, A., PAVELKOVÁ, D., ŠTEKER, K. Finanční analýza: komplexní průvodce s příklady. 3. rozšířené vydání. Praha: Grada Publishing, 2017. 236 s. ISBN 978-80-271-0563-2.

NÝVLTOVÁ, R., MARINIČ, P. Finanční řízení podniku: moderní metody a trendy. Praha: Grada, 2010. Prosperita firmy. ISBN 978-80-247-3158-2.

SCHOLLEOVÁ, Hana. Ekonomické a finanční řízení pro neekonomy. 3., aktualizované vydání. Expert (Grada). Praha: Grada Publishing, 2017. ISBN 978-80-271-0413-0.

SCHOLLEOVÁ, H., ŠTAMFESTOVÁ, P. Finance podniku. Sbírka řešených příkladů a otázek. Praha: Grada Publishing, 2015. 176 s. ISBN 978-80-247-5544-1.

MAREK, Petr. Studijní průvodce financemi podniku. 2., aktualiz. vyd. Praha: Ekopress, 2009. ISBN 978-80-86929-49-1.

Note:

Time-table for winter semester 2023/2024:

Time-table is not available yet

Time-table for summer semester 2023/2024:

	06:00–08:0008:00–10:0010:00–12:0012:00–14:0014:00–16:0016:00–18:0018:00–20:0020:00–22:0022:00–24:00
Mon
Tue	roomDEJ:408 09:00–10:30 (parallel nr.101) Dejvice UčebnaroomDEJ:408 10:45–12:15 (parallel nr.102) Dejvice UčebnaroomDEJ:408 12:30–14:00 (parallel nr.103) Dejvice Učebna
Wed	roomJP:B-771 10:45–12:15 (lecture parallel1) Jugoslávských partyzánů 3roomJP:B-771 12:30–14:00 (lecture parallel2) Jugoslávských partyzánů 3
Thu	roomDEJ:102 09:00–10:30 (parallel nr.104) Dejvice 102roomDEJ:102 10:45–12:15 (parallel nr.105) Dejvice 102roomDEJ:421 14:15–15:45 (parallel nr.106) Dejvice UčebnaroomDEJ:102 16:00–17:30 (parallel nr.107) Dejvice 102 roomDEJ:102 14:15–15:45 (parallel nr.106) Dejvice 102
Fri

The course is a part of the following study plans:

• B-EM-P prezenční studium od 22/23 (compulsory course)