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Unformatted text preview: Fins 3625 Applied Corporate Finance 3/2/2010 Kingsley Y. Fong 1 Fins 3625 Applied Corporate Finance Week 1 Introduction, Corporate Goals and Governance Chapter 1 1 FINS 3625 ACFL1 by Kingsley Fong Course staffs Lecturer-in-charge: Dr. Kingsley Fong Email: [email protected] Location: ASB 344B Consultation: Mon 15-17 FINS 3625 ACFL1 by Kingsley Fong 2 Week 6, 8-12 Dr. Kyung Shim Tutors Albert Chung (TIC) [email protected] Tauseef Quazi Aaron Chan FINS 3625 Learning Outcomes Upon completion of this course students will be able to 1. Forecast and evaluate corporate cash flows; 2. Estimate the cost of capital; 3. Apply the multiples and discounted cash flow methods to value business; FINS 3625 ACFL1 by Kingsley Fong 3 4. Discuss the motivations, payoffs, regulation and procedures in corporate mergers and acquisitions; 5. Compute a project's free cash flows by identifying Incremental and Relevant Cash Flow and evaluate NPV analysis from a risk management perspective. 6. Apply the incremental cash flow approach to compute a project's NPV and analyze project risks. 7. Understand qualitatively and quantitatively the major features of preferred shares, warrants and convertible securities and why firms may decide to use these hybrid securities to raise capital. 8. Explain the process, costs and issues related to initial public offerings, seasoned equity offerings, rights offerings and their evidence on the value of the firm and shareholders' wealth. FINS 3625 ACFL1 by Kingsley Fong 4 9. Quantitatively show the effects of financial leverage on the risks and returns of the firm's equity, debt and real assets in the presence and absence of tax shields and bankruptcy costs. 10. Describe the different ways the firm distributes cash to shareholders, their motivation and effects on shareholder's wealth and understand how firms establish dividend payout policies. 11. Analyse and present a case and response to questions professionally as a team. FINS 3625 ACFL1 by Kingsley Fong 5 Assessments Assessment task % Tutorial Participation 10 Case study report and presentation 20 FINS 3625 ACFL1 by Kingsley Fong 6 Case study discussion 5 Mid session exam 30 Apr 21 Final exam* 35 Fins 3625 Applied Corporate Finance 3/2/2010 Kingsley Y. Fong 2 Tutorials Fortnightly, start in week 2 2-hour Each tutorial (except the first) consists of 1. Role playing case studies (4 members) i Presenting “investment bankers” (20% FINS 3625 ACFL1 by Kingsley Fong 7 i. Presenting investment bankers (20%) ii. Board of directors (5%) 2. Discussion of topical corporate events and problem solving (10%) Each component requires approximately 50 minutes....
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- Three '08
- Corporate Finance, Dr. Kingsley Fong, Kingsley Fong