Advanced Corporate Finance
| Module title | Advanced Corporate Finance |
|---|---|
| Module code | BEAM050 |
| Academic year | 2019/0 |
| Credits | 15 |
| Module staff | Ms Claire Lavers (Convenor) |
| Duration: Term | 1 | 2 | 3 |
|---|---|---|---|
| Duration: Weeks | 11 |
| Number students taking module (anticipated) | 308 |
|---|
Module description
Summary:
This module has two aims. Firstly, it extends the material covered in BEAM047, introducing students to a number of additional topics in corporate finance theory, including debt financing, mergers and acquisitions and pensions. Secondly, the module illustrates the application of corporate finance theory to practical problems in corporate valuation and strategy, through the use of practical exercises and external speakers.
Additional Information:
Internationalisation
This is a theoretical module discussing various aspects of financial theory which is relevant across the world, and covers current issues appearing in the news.
External Engagement
In the past we have had visiting speakers. Last year this included and an Exeter alumni discussing project finance.
Employability
Students will have the opportunity to develop a number of valuable skills, including essay writing, critical thinking, and the ability to apply finance theory to the real-world.
Module aims - intentions of the module
This module has two aims. Firstly, it extends the material covered in BEAM047, introducing students to a
number of additional topics in corporate finance theory, including debt financing, mergers and acquisitions and pensions. Secondly, the module illustrates the application of corporate finance theory to practical problems in corporate valuation and strategy, through the use of practical exercises and external speakers.
Intended Learning Outcomes (ILOs)
ILO: Module-specific skills
On successfully completing the module you will be able to...
- 1. evaluation of real options and default adjusted bond yields
- 2. understand the strategic and financial issues involved in project finance, agency theory, financial distress prediction, mergers and acquisitions, advanced capital structure and dividend policy
- 3. understand the principles of, and the current issues involved in, project finance and pension funding
ILO: Discipline-specific skills
On successfully completing the module you will be able to...
- 4. rigorously analyse quantitative problems in finance
- 5. evaluate and explain competing financial theories of firm and investor behaviour
- 6. interpret financial data in the light of established theories
ILO: Personal and key skills
On successfully completing the module you will be able to...
- 7. analyse and evaluate quantitative problems
- 8. understand and explain competing financial theories and models
Syllabus plan
- Advanced capital structure I & II
- Financial distress I: debt financing and financial distress prediction
- Financial distress II: estimating default adjusted bond yields
- Dividend policy
- Agency theory
- Pension funding
- Mergers and acquisitions
- Real options
- Project Finance
Learning activities and teaching methods (given in hours of study time)
| Scheduled Learning and Teaching Activities | Guided independent study | Placement / study abroad |
|---|---|---|
| 33 | 117 | 0 |
Details of learning activities and teaching methods
| Category | Hours of study time | Description |
|---|---|---|
| Contact hours | 22 | Lectures |
| Contact hours | 11 | Tutorials |
| Contact hours | 10 | Review class (optional) |
Formative assessment
| Form of assessment | Size of the assessment (eg length / duration) | ILOs assessed | Feedback method |
|---|---|---|---|
| Mock examination | 2 hours | 1-8 | Model exam paper solutions and feedback during tutorial. |
| Practice short-answer exam questions | Variable | 1-8 | Written individual feedback |
| MCQ | Variable | 1-8 | Correct answers given in class |
Summative assessment (% of credit)
| Coursework | Written exams | Practical exams |
|---|---|---|
| 0 | 100 | 0 |
Details of summative assessment
| Form of assessment | % of credit | Size of the assessment (eg length / duration) | ILOs assessed | Feedback method |
|---|---|---|---|---|
| Final exam | 100 | 2 hours | 1-8 | Model exam paper solutions and individual verbal feedback, upon request. |
Details of re-assessment (where required by referral or deferral)
| Original form of assessment | Form of re-assessment | ILOs re-assessed | Timescale for re-assessment |
|---|---|---|---|
| Examination | Examination (100%) 2 hours | 1-8 | Aug/Sep |
Indicative learning resources - Basic reading
Hillier, D. Ross, S. Westerfield, R. Jaffe, J. and Jordan, B. Corporate Finance 2013. 2nd Ed. McGraw Hill.
Benninga, S. 2008. Financial Modeling, 3rd edition, Cambridge
Indicative learning resources - Web based and electronic resources
All lecture and tutorial material is posted on the intranet.
| Credit value | 15 |
|---|---|
| Module ECTS | 7.5 |
| Module pre-requisites | None |
| Module co-requisites | BEAM047 Fundamentals of Financial Management or BEAM072 Principles of Finance. |
| NQF level (module) | 7 |
| Available as distance learning? | No |
| Origin date | 17/07/2014 |
| Last revision date | 03/10/2018 |
