Corporate Finance

It is not possible to register for the course AE0B16FIP if the student is concurrently registered for or has already completed the course B1B16ZFM (mutually exclusive courses).

It is not possible to register for the course AE0B16FIP if the student is concurrently registered for or has already completed the course B1B16ZFM1 (mutually exclusive courses).

Garant předmětu:

Martin Beneš

Lecturer:

Martin Beneš

Tutor:

Martin Beneš

Supervisor:

Department of Economics, Management and Humanities

Synopsis:

Principles of finance, present value and alternative cost of capital, financial calculus, long-term finance, valuation of bonds and stocks, investment decision and net present value, IRR, comparison time period, annual equivalent value, inflation and return, capital asset pricing model, portfolio, sensitivity analysis and risk, WACC.

Requirements:

No prerequisites.

Syllabus of lectures:

1.Introduction of finance, present value, opportunity cost.

2.Annuity, perpetuitty, compounded and simple interests.

3.Long term finance. Stock and bonds price.

4.Investment efficiency evaluation techniques. IRR, NPV.

5.Complex financian evaluation.

6.The comparison period, an equivalent annual value.

7.Decision making with NPV.

8.Inflation and tax influence to investment decision.

9.Project is not a black box.

10.Capital assets pricing model. Introduction to the theory of portfolio.

11.Sensitivity and risk analysis. Financial risk.

12.Discount rate, debt, taxes, WACC.

13.Other financial problems.Reserve.

Syllabus of tutorials:

1.Introduction of spreadsheets use focused on financial management.

2.Financial calculus.

3.Loans. Kinds of interests calculation.

4.Depreciation. Tax shield. Group project assignment.

5.NPV and IRR calculations. Mutually exclusive investments.

6.Taxes, finance and NPV.

7.Comparison period. Complex projects.

8.Complex case of multiple variant evaluation.

9.Bonds and stock price. Model with contant growth.

10.Expected return and standart deviation of portfolio.

11.Risk free return. Market portfolio. Securities market line.

12.Discount rate - debt, taxes, WACC

13.Assesment. Reserve.

Study Objective:

Study materials:

1.Brealey, R.A., Myers, S.C. Allen F. Principles of Corporate Finance. McGraw-Hill. 2007

2.Sharpe, W.F., Alexander G.J. Investments. USA: Prentice-Hall, Inc. 1990

Note:

Further information:

https://moodle.fel.cvut.cz/courses/AE0B16FIP

Time-table for winter semester 2024/2025:

Time-table is not available yet

Time-table for summer semester 2024/2025:

Time-table is not available yet

The course is a part of the following study plans: