Finance 620, often titled something similar to “Advanced Corporate Finance” or “Financial Decision Making,” typically represents a core course in many MBA and specialized finance master’s programs. It delves deeper into the theoretical frameworks and practical applications of financial concepts initially introduced in introductory finance courses. The emphasis shifts from basic definitions to complex problem-solving and strategic thinking from a corporate perspective.
A central theme of Finance 620 revolves around capital budgeting and investment decisions. Students learn to evaluate potential projects using sophisticated techniques like discounted cash flow (DCF) analysis, incorporating concepts like weighted average cost of capital (WACC), terminal value estimation, and sensitivity analysis. The limitations of these models are also critically examined, and alternative methods such as real options analysis, which accounts for the flexibility management has to adapt to changing circumstances, are explored.
Capital structure decisions are another key area of focus. Students analyze the trade-offs between debt and equity financing, considering factors like tax shields, agency costs, and financial distress costs. Modigliani-Miller’s theorem, with and without taxes, serves as a foundational concept, followed by more nuanced discussions of optimal capital structure design in various industry contexts. Dividend policy and its impact on shareholder value are also often addressed.
The course frequently examines mergers and acquisitions (M&A). Students learn the motivations behind M&A activity, different valuation methodologies employed to assess target companies, and the intricacies of deal structuring. They also analyze the potential synergies and risks associated with mergers, and evaluate the impact of M&A on shareholder wealth. Corporate restructuring strategies, including divestitures, spin-offs, and bankruptcies, may also be discussed.
Risk management plays a vital role in corporate finance, and Finance 620 typically covers various aspects of financial risk. This includes analyzing different types of risk, such as market risk, credit risk, and operational risk, and exploring techniques to mitigate these risks. Students may learn about hedging strategies using derivatives, like futures, options, and swaps, and the importance of enterprise risk management (ERM) in a modern corporate environment.
Furthermore, ethical considerations in financial decision-making are often emphasized. The course will likely include case studies that require students to apply their analytical skills to real-world scenarios, often involving ethical dilemmas. This helps students develop critical thinking skills and understand the broader implications of their financial decisions.
Overall, Finance 620 equips students with the advanced knowledge and analytical tools necessary to make informed financial decisions in a complex and dynamic business environment. It provides a solid foundation for careers in corporate finance, investment banking, consulting, and other finance-related fields.
2365×1454 rover from betterparts.org 
1600×1200 rover image from betterparts.org 
180×234 int syllabuspdf graduate syllabus int global from www.coursehero.com 
180×233 bfin final exam formula sheet business finance final exam from www.coursehero.com 
1024×768 financial management fin powerpoint from www.slideserve.com 
600×849 acc milestone leases financial position snhu from newsstand.joomag.com