English   Danish

2012/2013  KAN-AEF_51  Corporate Finance

English Title
Corporate Finance

Course information
Language English
Exam ECTS 7.5 ECTS
Type Mandatory
Level Full Degree Master
Duration One Semester
Course period Spring
Time Table Please see course schedule at e-Campus
Study board
Study Board for MSc in Economics and Business Administration
Course coordinator
  • Søren Hvidkjær - Department of Finance
Mario Bersem - Dept. of Finance
Main Category of the Course
  • Finance
  • Financial and management accounting
Last updated on 15-10-2012
Learning objectives
The purpose of the course is to provide students with a solid knowledge of theories and models of investment issues and financial problem of firms. At the end of the course, students are expected to:
  • Analyse whether and where to invest a firm’s resources.
  • Explain what the funding options for a firm are and analyse what the best option is in the given context.
  • Analyse how corporate decision are influenced by agency problems and how agency problems can be countered.
Examination
Corporate Finance:
Type of test Written Exam
Marking scale 7-step scale
Second examiner External examiner
Exam period April and May/June, the retake will take place in June.
Aids Please, see the detailed regulations below
Duration 4 Hours
4-hour written, open book exam with a 2-day preparatory case analysis.
Course content
Aim of the course
The aim of the course is to provide students with a solid knowledge of theories and models of investment issues and financial problems of firms.

Contents
The objective of the firm is discussed from the point of view of owners, of creditors, of management and of employees: concurrent and conflicting interests as well as the possibilities for the design of the corporate structure and contractual form via incentives and control mechanisms are analysed.
The following topics regarding corporate decisions are treated: investment planning, incentives, risk and the cost of capital, dividend policy, capital structure, options, and mergers. Within this, valuation models incorporating taxes and risk are treated.
Teaching methods
Lectures with exercices.
Expected literature
Preliminary literature.
Brealey, R., S. Myers & F. Allen (2008). Principles of Corporate Finance, 9th Edition. McGraw-Hill.
Collection of journal articles
Last updated on 15-10-2012