BUSI 530 Managerial Finance Professor s Notes* As of July 15, 2007

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1 BUSI 530 Managerial Finance Professor s Notes* As of July 15, 2007 Note: All content is based on the professor s opinion and may vary from professor to professor and student to student. All content may be changed without notice. This information is furnished to provide an analysis, but is not binding in any form. rate the overall difficulty of this course? Level of demand = 9 This course requires four Discussion Board exercises, four Problem Sets of short answer essay and quantitative problems, and a Final Exam consisting of quantitative problems. This course should be taken with other courses within an 8-week format with less level of difficulty. rate the level of reading requirements in this course? Level of demand = 9 Students are responsible for reading three 35 page chapters each week and mastering the qualitative information and quantitative formulas included in those chapters. rate the level of lecture requirement s in this course? Level of demand = 4 The course contains no video lectures, however students are responsible for lecture notes, power point presentations, and optional internet readings provided by the instructor. rate the level of online exams in this course? Level of demand = 10 Although the exam is open book and open notes, students are responsible for all material in the assigned portions of the text. The exam is rigorous ands students report spending quite a bit of time completing it. rate the level of the Discussion Board requirements? Level of demand = 8 In weeks 1, 3, 5, and 7 students will respond to subjective questions posed by the instructor. The questions are designed to illustrate key concepts from the text. They may be from a secular or Biblical perspective but will all be focused on the issues encountered in financial management. As part of the assignments student will also respond to the postings of other students, answering questions raised, adding value to the discussions, and expanding the knowledge of the entire class. rate level of written requirements in this course? Level of demand = 8 In addition to the Discussion Board requirements (see above) students will be asked to respond to miniessay questions on the four Problem Sets (weeks 2, 4, 6, and 8). The questions are designed to ensure the students have a mastery of financial concepts covered in the text.

2 Additional Comments: This course moves quickly, therefore students should expect to be very busy for the course duration. There are assignments due each week. Though the material is demanding student who follow instructions and complete the assignments should expect to understand the basics of Financial Management.

3 COURSE SYLLABUS SCHOOL OF BUSINESS BUSI 530 MANAGERIAL FINANCE COURSE DESCRIPTION A treatment of the theory and practice of financial decision making in the firm, with emphasis on the practical application of financial analysis, the course is based on the principle that a firm should be managed to increase the wealth of its shareholders. The target audience is managers, at all levels and in all functional areas. Beginning with an overview of financial analysis, the course topics include financial management, capital investment decisions, financing decisions, and managing for value creation. Importance is placed on the concept of the time value of money. A firm is an on-going concern. Financial decisions and the value of a firm must be evaluated in terms of the sequencing and amount of the cash flows generated. RATIONALE This course directly supports AIMS 1-10 of Liberty University s Statement of Purpose. One of the primary objectives of this course is to provide managers, or those aspiring to that level, with the understanding required to manage the financial decision making process effectively. Understanding the operations of a firm or a specific capital project from a financial perspective is critical to being a well-rounded manager. I. PREREQUISITES Acceptance, or conditional acceptance, to the MBA program. II. III. IV. REQUIRED RESOURCE PURCHASE Moyer, C. R., McGuigan, J. R., & Kretlow, W. J. (2006). Contemporary financial management. (10 th ed.). South-Western. ISBN: RECOMMENDED READING Shim, J. K., & Siegel, J. G. (1998). Schaum's outlines: Financial management. (2 nd ed.). New York: McGraw Hill. ISBN: ADDITIONAL MATERIALS FOR LEARNING A. Computer with basic audio and video equipment B. Internet access (broadband recommended) C. Microsoft Word (Microsoft Office is available at a special discount to LU students.) D. A financial calculator (either Hewlett Packard 10B, Texas Instruments BA II Plus, or similar) will make many of the calculations easier to perform. However, many can be performed manually, on an ordinary calculator, or by use of the tables utilized and explained in the recommended textbook above.

4 V. COURSE OBJECTIVES Upon successful completion of this course, the student will be able to: A. Describe the fundamental responsibility management has for the creation of organizational value. B. Explain the concept of managing for value creation. C. Describe the processes by which a business is valued. D. Describe the financial environment in which businesses operate. E. Measure and evaluate the risk/return tradeoff for various investment opportunities. F. Explain the concept of the time value of money and its managerial implications. G. Perform financial statement analysis. H. Compute and apply a company's cost of capital. I. Explain how firms raise the funds needed to finance their investments. J. Describe the basics of multinational financial management. K. Demonstrate the ability to integrate theory and application through the analysis of management scenarios and case studies and to communicate the results in clear, concise, written reports. VI. VII. COURSE REQUIREMENTS AND ASSIGNMENTS A. Textbook readings and PowerPoint presentations B. Discussion Boards (4) By Wednesday of Weeks 1, 3, 5, and 7, students will be expected to post 300 words, complete with references and specifics, in relation to the week's Discussion Board topic. Students will then be expected to submit a response to another classmate's posting by Saturday of the same week. C. Problem Sets (4) In Weeks 2, 4, 6, and 8, students will be expected to work with their group to complete a series of problems that have been posted in the Learning Activities and Group Discussion Board Areas. Each Problem Set is due by Saturday of the week it is assigned. D. Peer Evaluation Each group/team will evaluate the performance of each member at the end of the course. The evaluation will focus on the team member s cooperation with the team on the Problem Sets. E. Final Exam In Module 8, students will complete a comprehensive final exam. The exam will be open book, and must be submitted by Sunday of Week 8. Any late exams will receive a grade of 0. COURSE GRADING AND POLICIES A. Points

5 B. Scale Discussion Board Posts (4 at pts. each) 200 Discussion Board Responses (4 at pts. each) 100 Problem Sets (4 at 100 pts. each) 400 Peer Evaluation 100 Final Exam 200 Total 1000 A = B = C = F = C. Disability Assistance Students with a documented disability may contact the DLP Office of Disability Academic Support (ODAS) at dlpodas@liberty.edu to make arrangements for academic accommodations.

6 Textbook: Moyer, McGuigan, & Kretlow, Contemporary Financial Management (2006) COURSE CHART BUSI 530 WEEK/ MODULE READING & STUDY LEARNING ACTIVITIES POINTS 1 Chs. 1 5 PPts 1 5 DB 1 posting DB 1 response 2 Review Chs. 1 5 Review PPts 1 5 Problem Set Chs PPts 6 10 DB 2 posting DB 2 response 4 Review Chs Review PPts 6 10 Problem Set Chs PPts DB 3 posting DB 3 response 6 Review Chs Review PPts Problem Set Chs , PPts 16 18, DB 4 posting DB 4 response 8 Review Chs , Review PPts 16 18, Problem Set 4 FINAL EXAM Peer Evaluation Course Evaluation DB = Discussion Board PPts = PowerPoints TOTAL 1000 NOTE: Each course week begins on Monday morning at 12:00 a.m. (ET) and ends on Sunday night at 11:59 p.m. (ET).

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