As noted in the course syllabus, the written assignments will consist of both problem sets and cases. The problem sets should be fairly straightforward. The cases are more difficult and longer, and we will typically discuss them in class. Students should work together on the assignments in groups of four.
| WEEK # | SES # | TOPICS | ASSIGNMENTS DUE |
|---|---|---|---|
| Part 1 - Introduction | |||
| 1 | 1 | Introduction | |
| 2 | Principles Of Valuation | ||
| Part 2 - Project and Firm Valuation | |||
| 3 | Evaluating Projects (1) | Problem Set 1 (PDF) Financial Functions Spreadsheet (XLS) |
|
| 2 | 4 | Case: Acid Rain: The Southern Co. | Problem Set 2: Case (PDF) |
| 5 | Evaluating Projects (2) | ||
| 6 | Firm Valuation (1) | ||
| 3 | 7 | Firm Valuation (2) | |
| 8 | Case: Cooper Industries, Inc. | Problem Set 3: Case (PDF) | |
| Part 3 - Risk and Return | |||
| 3 | 9 | Introduction to Risk and Return | |
| 10 | Portfolio Theory | ||
| 11 | CAPM | ||
| 12 | Discount Rates in Practice | Problem Set 4 (PDF) Selectronics Spreadsheet (XLS) Portfolio Spreadsheet (XLS) |
|
| 13 | Case: Cost of Capital at Ameritrade | Problem Set 5: Case (PDF) | |
| Part 4 - Financing Policy | |||
| 14 | Raising Capital | ||
| 15 | Capital Structure (1) | ||
| 16 | Capital Structure (2) | ||
| 5 | 17 | Two Cases: Debt Policy at UST, Inc. and Massey-Ferguson Ltd. - 1980 | Problem Set 6: Case (PDF) Problem Set 7: Case (PDF) |
| 18 | Market Efficiency | ||
| 19 | Options (1) | ||
| 20 | Options (2) Final Exam |
Exam | |