48144 - Corporate Finance

Academic Year 2016/2017

  • Teaching Mode: Traditional lectures
  • Campus: Rimini
  • Corso: Second cycle degree programme (LM) in Business Administration and Management (cod. 8842)

Learning outcomes

The course provides a framework for understanding and analyzing investment and financial decisions of corporations. Lectures and readings provide an introduction to present value techniques, capital budgeting, company valuation, capital structure decisions, corporate cost of capital. The goal is to provide students with a solid understanding of the theories underlying the firm investment and financing decisions as well as with the practical skills needed to solve real-life cases.

Course contents

Theoretical framework

Approaches and methods of valuation

Estimating the cost of capital

Discounted Cash Flow (DCF): typical procedures

Relative valuation: theoretical framework and practical issues

Readings/Bibliography

Damodaran on Valuation: Security Analysis for Investment and Corporate Finance, Second Edition. Chapters 1, 2, 4, 5, 7, 8 and 9.

Principle of Corporate Finance, R. Brealey, S. Myers and F. Allen, 2014.

Teaching methods

Lectures

Practical exercises

Case studies

Assessment methods

Valuation is based on a written exam and the final mark is expressed in thirties.

The structure of the exam is composed of 11 multiple choices (maximum 22 points) and 1 open-ended questions or an exercise (maximum 10 points).

The exam lasts 1 hour.

Office hours

See the website of Barbara Petracci