Course

Corporate Finance

Faculty
Commerce & Business Administration
Department
Finance
Course Code
FINC 2340
Credits
3.00
Semester Length
15 Weeks
Max Class Size
35
Method(s) Of Instruction
Lecture
Seminar
Course Designation
None
Industry Designation
None
Typically Offered
To be determined

Overview

Course Description
This course provides an introduction to the principles and tools required in financial decision making. Quantitative analysis involving time-value of money, risk return trade-off, capital budgeting, cost of capital, and corporate financing decisions will be covered.
Course Content

1. Introduction to corporate finance, financial statement analysis, valuation of cash flows.

2. Security valuation for stocks and bonds including time-value of money, discounting, expected risk/return, Capital Asset Pricing Model (CAPM) and diversification.

3. Cost of capital for project decision making, including working capital and discounted cash flow analysis.

4. Financing decisions including; capital structure; debt and dividend policy decisions; mergers and acquisitions.

Learning Activities

Material will be presented within a lecture/discussion environment and may include online work.

Means of Assessment
Term Tests (Minimum 2)         40-50%
Final Examination   30-40%
Assignments (Minimum 2)   10-15%
Projects   0-10%
Total   100%

Assessment will be based on course objectives and will be carried out in accordance with the Douglas College Evaluation Policy. 

No single assessment will be worth more than 40%.

Students must achieve a minimum grade of 50% on the combined invigilated components to pass the course.

Students may conduct research as part of their coursework in this class. Instructors for the course are responsible for ensuring that student research projects comply with College policies on ethical conduct for research involving humans, which can require obtaining Informed Consent from participants and getting the approval of the Douglas College Research Ethics Board prior to conducting the research.

Learning Outcomes

At the end of the course, the successful student should be able to:

1. Describe the financial environment within which the financial manager must operate;

2. Analyse financial statements to determine a company's performance relative to its industry or competitors;

3. Apply time value of money concepts, cash flow valuation, and risk premiums in making financing and capital budgeting decisions;

4. Apply cost of capital (before and after tax) and net working capital analysis (before and after tax), as well as debt versus equity financing considerations (including projected interest and foreign exchange rates) in financial management decisions;

5. Demonstrate a broad understanding of the theory of capital structure and its impact on management decision-making including corporate restructuring activities; and

6. Assess valuations of stocks and bonds.

Textbook Materials

Textbooks and materials to be purchased by students

1. Ross, S.; Westerfield, R.W. et al, Fundamentals of Corporate Finance, latest Canadian Edition, McGraw Hill

or Berk, J; DeMarzo, P.: et al. Fundamentals of Corporate Finance, latest Canadian Edition, Pearson

or alternate textbook determined by the department.

2.  Calculator: Texas Instruments BA II Plus or as approved by Department.

Requisites

Prerequisites

[ACCT 1210 or ACCT 1235 or approved substitute] 
AND
[FINC 1231 or FINC 1230 or MATH 1125, or with permission of the instructor, MATH 1120 or other substitute]
OR
Currently active in one of the following:

PBD Accounting
PBD Accounting and Finance
PBD Finance
PDD Accounting
PDD Financial Planning
PDD Financial Analysis
PDD Global Banking and Economics

CSIS 1190 is highly recommended.

Corequisites

No corequisite courses.

Equivalencies

Course Guidelines

Course Guidelines for previous years are viewable by selecting the version desired. If you took this course and do not see a listing for the starting semester / year of the course, consider the previous version as the applicable version.

Course Transfers

These are for current course guidelines only. For a full list of archived courses please see https://www.bctransferguide.ca

Institution Transfer Details for FINC 2340
Athabasca University (AU) AU FNCE 370 (3)
Camosun College (CAMO) CAMO FIN 210 (3)
Capilano University (CAPU) CAPU BFIN 241 (3)
Kwantlen Polytechnic University (KPU) KPU ACCT 3380 (3)
Langara College (LANG) LANG FMGT 2474 (3)
North Island College (NIC) NIC BUS 244 (3)
Okanagan College (OC) OC BUAD 195 (3)
Simon Fraser University (SFU) No credit
Thompson Rivers University (TRU) TRU FNCE 2120 (3)
Trinity Western University (TWU) No credit
University of Northern BC (UNBC) UNBC COMM 220 (3)
University of the Fraser Valley (UFV) UFV BUS 349 (3)
University of Victoria (UVIC) UVIC COM 240 (1.5)
Vancouver Community College (VCC) VCC MGMT 2014 (3)
Vancouver Island University (VIU) VIU FNCE 2nd (3)

Course Offerings

Winter 2025

CRN
12292
section details
CRN Days Instructor Status More details
Maximum Seats
35
Currently Enrolled
6
Remaining Seats:
29
On Waitlist
0
Building
Anvil Office Tower
Room
624
Times:
Start Time
18:30
-
End Time
21:20
CRN
13049
section details
CRN Days Instructor Status More details
Maximum Seats
35
Currently Enrolled
2
Remaining Seats:
33
On Waitlist
0
Building
Anvil Office Tower
Room
708
Times:
Start Time
15:30
-
End Time
18:20
CRN
14060
section details
CRN Days Instructor Status More details
Maximum Seats
35
Currently Enrolled
4
Remaining Seats:
31
On Waitlist
0
Building
Anvil Office Tower
Room
708
Times:
Start Time
15:30
-
End Time
18:20
CRN
14834
section details
CRN Days Instructor Status More details
Maximum Seats
35
Currently Enrolled
23
Remaining Seats:
12
On Waitlist
0
Building
Anvil Office Tower
Room
624
Times:
Start Time
12:30
-
End Time
15:20