EPN

ØABED4000 Corporate Finance Course description

Course name in Norwegian
Corporate Finance
Study programme
Masterstudium i økonomi og administrasjon
Weight
10.0 ECTS
Year of study
2021/2022
Curriculum
FALL 2021
Schedule
Course history

Introduction

Managers have to make three types of key decisions in the financial area, namely decisions about:

  • Investments
  • Funding
  • Dividends

This course develops the students' ability to make good decisions and identifies incentives that stimulate managers to make decisions that are in the owner's best interests. The course builds on compulsory bachelor's degree level investment and finance courses.

Required preliminary courses

None.

Learning outcomes

After completing the course, students will acquired the learning outcomes defined in knowledge, skills and general competence:

Knowledge

The student has

  • in-depth knowledge of theory and practice in strategic corporate finance
  • detailed knowledge and understanding of enterprise value and how it can be influenced by the enterprise¿s investments, finances and decisions to declare dividend
  • insight into financial markets, their influence on financial decisions and internal and external investment strategies

Skills

The student is capable of

  • analysing complex financial decisions
  • identifying incentives capable of encouraging managers to make decisions that are in line with the best interests of the owners

Content

  • Risk and return on investment and financial decisions
  • Market efficiency and financing decisions
  • Project analysis and investment strategy
  • Agency problems, performance measurement and incentives
  • Dividend policy, debt policy, debt capacity and enterprise value
  • Financial planning and working capital management
  • Mergers, acquisitions and their impact on enterprise value

Teaching and learning methods

The students require a lot of practice in order to develop their analytical abilities. The subject matter is taught through ordinary lectures, guest lectures, group work and discussions relating to case exercises.

Course requirements

In order to be able to register for the exam, the student must have the following approved work requirements:

A written assignment (approx. 10 pages). Problem set may be submitted individually or in groups of up to four students. If the assignment is not approved, the student will be given one opportunity to submit an improved version. The lecturer will inform students of deadlines for submission.

Assessment

Written school exam (4 hours).

Permitted exam materials and equipment

Calculator (see separate regulations).

All handwritten and printed support material is allowed.

Grading scale

Grading scale A-F. 

Examiners

An internal and an external examiner will grade the exam.

A selection of at least 25% of the exam papers will be assessed by two examiners. The grades awarded to exam papers assessed by the external and internal examiner will be used to determine the level of all exam papers.