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MIHAYLO COLLEGE OF BUSINESS AND ECONOMICS

Department of Finance

Finance 321-50 Financial Management II

Please read this syllabus carefully, and check with the instructor if you have any questions.

Students are responsible for ALL the information contained in this syllabus.

It is strongly recommended that you read this syllabus at least twice and refer to it often.

This Course is Copyrighted.

All lectures and study guides are copyrighted material.

You may not record lectures or sell notes taken during this course.

Course Description:

Using a lecture and discussion teaching format, this course provides a background in the concepts, processes and institutions in the financing of business enterprises. Topics covered include: brief review of valuing cash flows and estimating cost of capital, long-term financing, capital structure and payout policy, financial planning and forecasting, with a focus on firm valuation. Additional topics if time permits.

Communication:

The main means of communication is via e-mail. You should check your e-mail regularly. On all e-mails to the instructor, please begin the subject with ONLINE FIN 321 followed by the subject of your e-mail, e.g. ONLINE FIN 321 question on valuation. You should receive a response to your e-mail the same day or next business day if applicable. Please check announcements and course documents in Titanium regularly . You are responsible for any information that is posted there and for staying well-informed of due dates, course expectations, and updates. Telephone calls and web seminar meetings can also be arranged on an as-needed basis by contacting the instructor.

Required Text:

Fundamentals of Corporate Finance , Third Custom Edition for Finance 321, , by Berk, DeMarzo and Harford. Pearson Custom Publishing (2018). Purchase the package which includes MyFinanceLab. Please note that this custom text is a continuation of the text for FIN 320, but is not the same text.

Other Required Materials:

Financial Calculator (Texas Instruments BAII PLUS preferred)

MyFinanceLab, a computerized on—line homework software package. If you purchase your text new with MyFinLab, the book and software price is about $100.

Prerequisite: BUAD301, FIN320 and classified MCBE status

Classes are subject to administrative audit at anytime during the semester. Any unqualified student will be administratively dropped.

Course Objectives and Student Learning Goals

You should complete the course with a better understanding of the actual problems that real firms face in controlling their financial functions with a focus on creating value for the firm.  Such functions include the decisions to: declare dividends, assign risk to and invest in a new project, plan long-term, issue stock or bonds, or manage cash-flows.  Assigned projects enable you to understand a company from a manager's perspective.

Course Requirements

Minimum Hardware and Software Specifications:

	Recommended	Minimum
Operating System:	Windows XP, Vista, or 7 or Macintosh OS X (10.5)	Windows XP or Macintosh OS X
Processor:	2 GHz	1.5 GHz
Memory:	2GB	512MB
Plug-ins:	Adobe PDF Reader, Flash Player, QuickTime, Java	Adobe PDF Reader, Flash Player, QuickTime, Java
Browser:	Firefox 7 or Internet Explorer 8 /9	Firefox 6 or Internet Explorer 7.0
Display:	1024x768	800x600
Software:	Microsoft Office 2007/2010	Microsoft Office 2003 or Open Office, PowerPoint 2007 Viewer
Internet Connection:	DSL/CABLE	DSL/CABLE
E-mail Account:	student e-mail account	student e-mail account
Sound Card:	Required	Required
External Webcam	Required	Required
Headset Microphone	Required	Required

Computer Skills

In order to participate successfully in this class, you must have strong general computer skills. Minimally, you must be proficient in the use of MS Office (MS Word and PowerPoint); use of internet; sending e-mail and attaching files; uploading files; cutting and pasting; downloading and opening files with Acrobat Reader, PowerPoint, and MS Word; and viewing multimedia files. This course utilizes the Titanium course delivery system as the learning and teaching environment. Please refer to the Tech Support section on the contacts for Tech Support if you have an issue with the system.

Course Format

Lectures are conducted online and two exams are given on campus. Each week, students need to follow the roadmap to watch the course video, read textbook, and complete assignments. On the day of the campus exam, students are expected to come to campus to take the exam.

Assessment

The programs offered in Mihaylo College of Business and Economics (MCBE) at Cal State Fullerton are designed to provide every student with the knowledge and skills essential for a successful career in business. Since assessment plays a vital role in Mihaylo College’s drive to offer the best, several assessment tools are implemented to constantly evaluate our program as well as our students’ progress. Students, faculty, and staff should expect to participate in MCBE assessment activities. In doing so, Mihaylo College is able to measure its strengths and weaknesses, and continue to cultivate a climate of excellence in its students and programs.

Evaluation Procedure

Quizzes and Homework Assignments 10%

Midterm Exam 30%

Final Exam 35%

Project

Spreadsheet 20%

Peer Evaluation 5%

100%

+/- grading will be used in this course. Please be aware that the final grade for the course will be based on a curve of the distribution of total points earned in the class and not on the percentage of total points earned.  While ordinarily a grade of 94 or above will be assigned an A and 84 or above will be assigned a B and so on, this may not always be true based on the distribution of total points.  Final grades are non-negotiable.

There are frequent quizzes and homework assignments. 8 of the 10 Homework Assignments and 8 of the 10 Quizzes will be counted toward your grade (the lowest 2 scores of each will be dropped at the end of the term). Use www.myfinancelab.com (register and complete quizzes and homework on-line).

A large amount of important material is on TITANium, including lecture notes. All course announcements and individual email are sent through Titanium, which only uses email accounts. Therefore, you MUST check your email on a regular basis (several times a week) for the duration of the course.

NO MAKE-UP EXAMS WILL BE GIVEN. Valid excuses (typed, signed and verified) for missed exams will be considered in the final grading. The course outline lists dates for the exams. You are responsible to take the exams whenever it is given, even if the date changes. You must take each exam with the section in which you are enrolled.

Only a financial calculator and limited number of hand-written notes are allowed for the exams.

TENTATIVE SCHEDULE

Week	Date	Contents	Chapter	Assignments	Due Dates
1	5/28-29	1. Introduction	1	HW1, QZ1	6/29 (Saturday)
1	5/30-31	2. Time Value of Money, Bond/Stock Valuation (FIN320 Review)	4, 6,7	HW2, QZ2
2	6/2-3	3. Cost of Capital, Risk and Return (FIN320 Review)	12,13	HW3, QZ3
2	6/4-5	4. Financial Modeling and Pro Forma Analysis	18	HW4, QZ4
2	6/6-7	5. Corporation/Equity Valuation	10	HW5, QZ5
3	6/9-11	Midterm Exam Review Project Work
3	6/12 Wednesday	Midterm Exam (Related lectures: 1-5), 1-2:15pm Project Workshop, 2:30-3:45pm (Optional) SGMH 1108
3	6/13-14	6. Capital Structure	16	HW6, QZ6
4	6/16-17	7. Payout Policy	17	HW7, QZ7
4	6/18-19	8. Debt Financing	15	HW8, QZ8
4	6/20-21	9. Raising Equity Capital	14	HW9, QZ9
5	6/23-24	10. Corporate Governance	29	HW10, QZ10
5	6/25-27 6/26 Wednesday	Final Exam Review, Project Work Project Workshop, 1-3pm (Optional) SGMH 1108
5	6/28 Friday	Final Exam (Related lectures: 6-10), 10-11:50am SGMH 1108		Project Spreadsheet