Required Text and Equipment
                1. Brealey, Myers, and Marcus, Fundamentals of Corporate Finance, 4rd edition, McGraw-Hill Irwin, 2004.  Available as a regular book in a special package, ISBN #0073881775 from the bookstore.  Included in the book package are:
                    a.  CDROM with access to PowerPoint slides (published—slides I will use are on the “n” drive under Managerial Finance),   practice quizzes, and many other resources.  Contains many web-based resources that you may use with Internet connection.
                    b.  Solutions Manual to Brealey—Contains end-of-chapter problem solutions.
                    c.  Access code to Market Insight database. Access to list of companies (population) and extensive company data used in class.  If you choose to not buy the "package," purchase access code to MI via the link above

               2. The Wall Street Journal, available from Professor. Includes both paper and online editions with one student-priced subscription.
                3. A financial calculator. Discussed below.
                4. Easy, reliable access to the Internet. Obtain zip ID.

Course Objective: As a foundation course to the MBA curriculum, this course serves to provide the student an opportunity to learn and apply the theory and terminology of finance from both a classic text and an current applications learning environment.  Learning objectives for each class period are part of the written list of assignments distributed for each coming class period.  I will focus on these learning objectives when writing exam questions.

Learning/Assessment Process: Learning is accomplished by concentrated study, reinforcement, and application. Text chapters, end-of-chapter questions and problems, mini-cases, and an applications term project will all serve to help you learn and apply financial concepts to decision making. The assessment of your learning will use weekly written assignments, participation in class and in threaded discussions and email activities, a mid-term and comprehensive final exam, and via a written term-long research project. (All of the are discussed below). We will proceed with a series of weekly modules (chapter assignments). The student is expected to complete all the assignments for the week, before continuing the class to the next week. In summary, the course offers a wide range of methods to learn and apply. To encourage you to work with all methods, the final grade will be proportioned as followed:
 

A ten point differential grading scale will apply for “A,” “B,” etc. and the plus/minus scale will be used in determining final grades.  Final grades will be determined on a total points basis.  No grade is assigned for each component of the course.  Students are expected to take their exams at the assigned period.  Exceptions are made only with arrangements made prior to the scheduled exam.  The mid-term will be given at a class period approximately in the middle of the term, and the final exam will be given at 6:00-8:00 on Tuesday of Final Exam Week.

Class Procedures/Assignments

Written Assignments: Assigned chapter reading/learning, written assignments, web assignments, weekly term project assignments, etc. are due at class time (Tuesday PM) each week. If not in class, submit via MSWord file and email by deadline.

Attendance/Participation: Learning is finalized when you can say it and do it! Responding to questions posed in class (threaded discussion on web course) is also important for developing and conditioning your communications skills. Work hard at making a meaningful contribution to the class. It is expected and a subjective evaluation of such will be made in assessing your performance.

Withdrawal From Class: Students may withdraw from this class up to the end of the eight week or after the mid-term. No withdrawals will be approved after the eighth week. All withdrawals must be processed immediately to meet University deadlines. See the published class listings for University deadlines each term.

Assignments: Assignments for the coming week(s) will be written on a tablet and distributed in each class. Please sign the tablet, indicating your attendance and your understanding of the assignment and due dates. Class absences beyond two adversely impact your class participation grade.

Calculators: Every person should have, and be proficient with, a financial calculator with NPV/IRR functions. The TI BAII Plus, the HP 10-B II or higher versions, or the Sharp EL 733 or higher versions are capable of computing NPV/IRR. Do not delay the purchase of your calculator until an assignment is made. Give yourself plenty of time to develop a working proficiency with the calculator.

Power Point Slides: The Power Point presentation slides for the chapters is available from the "N" drive in the CBA Computer Lab. Students are advised to print the "notes" version of the slides, so that more time is available for your participation and your thoughts, which may be penned in the note taking area. Arrangements will be made to provide the Power Point slides from remote locations.Download Dr. Durst's Power Point Class Presentations
 

Term Research Project.

This course surveys the theory and practice of corporate managerial finance.  The purpose of this term project is to:

1. Develop an awareness and ability to research business organizations via the Internet.
2. Research and analyze the financial policies of a major corporation.
3. Study the current economic conditions of the economy/industry and the financial market evaluation (stock and other securities) of your selected company.
4. Present your findings in a professional business report with an accompanying Power Point summary presentation.

The Project

1. Select a company, not previously used, from the Market Insight database population. One should be an industry leader by some criteria. Reviews the Population and/or Industries and companies in the MI database. Make a list of companies of interest to you.  Review the list of Companies Previously Used  posted on my Classroom Links web page.  Companies previously used cannot be chosen for study.

2. Research your company/industry extensively from the sources on my homepage (Company Research Page), the Company Research area of the Online WSJ, on the Market Insight database, or other sources.  If you prefer paper-based financial statements and company data, request annual reports for the last three years from the company.  Otherwise obtain updated financials (three years) including 2001, (2001-2003)(2003 annual reports should be available in March) from the EDGAR and other Internet sources.

3. Set up a stock price tracking system for your company, perhaps using one of the portfolio tracking programs found on the Internet or in your “Personal Journal” in your online Wall Street Journal or Yahoo Finance.  You may add the stocks of other, similar companies for benchmarking purposes.  Many services provide graphic plots of stock price performance.  Set up your tracking system, including general market news, industry news, company news, and stock performance so that you can generate a bi-weekly report efficiently.

4. Develop one or more “push” set ups, such as in your “Personal Journal,” from the Online Version of the WSJ,  or My Yahoo which will push information about your company to you on a daily basis.

5. Analyze and write a concise stock performance report and submit it to the professor every two weeks, beginning with the first report on January 27th, 2004.  The report should summarize the stocks performance over the last two weeks relative to the market and the significant factors that had an impact on the stock value of the company and/or their industry.  In addition, the professor will make specific chapter-based assignments related to financial policies, cost of capital calculation, etc., that will be turned in with the weekly chapter assignments.

6. As we proceed through the various topics related to financial management, analyze your companies’ financial policies and their financial performance (financial ratios and stock performance) in detail for the last three years.  Your final report, due on Friday, April 30, 2004 by 5:00 pm, will combine your analyses and findings related to the financial policies of your companies and industry.  Paper must be presented in paper form, not online.

7. The final report should include a title page, table of contents, executive summary, 12 point font, standard margins, bibliography (including business periodicals, not just Internet sources), and your best Power Point summary of major points made (appendix).  The scope and focus of your paper might include the following:

a. Include critical analysis, not just description.
b. Industry analysis and trends.
c. Major companies in industry.
d. Three-year scope for financial analysis and stock performance.  Thompson Disclosure, available via my Company Research page, provides three years of ratios and financial data; Market Insight does as well.  Review databases for last three years related to significant events.  Most charting services cover this period.
e. A significant part of the paper should include a three-year review of stock performance and the factors influencing the stock price including the general economy (MACRO) factors, industry/competitor factors, and company-specific factors.  The bi-weekly reports have been practice for making this three-year analysis but will not be a part of this final report.
f.   Review handout, Measuring Company Performance for discussion of a variety of performance measures.

Important Links:

     Dr. Durst's Home Page - http://gozips.uakron.edu/~drd/
     McGraw-Hill Irwin Text Online Support - http://highered.mcgraw-hill.com/sites/0072557524/information_center_view0/
     Business & Law Databases (Disclosure and FIS Online -
     http://www.uakron.edu/library/gateway/look-for-articles/biz.html
     The Wall Street Journal - http://interactive.wsj.com/offers/student/
     List of Homepages of Local Companies - http://gozips.uakron.edu/~drd/beacon.html
     New Media Center Web-based Learning Downloads:  http://www.uakron.edu/nmc/things.html
     Company Research Links - http://gozips.uakron.edu/~drd/companyresearch.html
     Fortune Magazine Site - http://www.pathfinder.com/fortune/
 

Last updated on December 16, 2003