Wirtschaftswissenschaftliche Fakultät


Course Details


Corporate Finance I: Tools and Basic Valuation (not in 18/19)

Lecturer: Diether Maack
Type: Lecture
Exam: Written exam
Term: Winter
Level: Bachelor
Limitation: None

Course not available in winter 18/19. After a short introduction of corporations and the role of a financial manager, the Law of One Price and net present value are introduced as the basis of the unifying framework that will guide students through the course. Following up with the time value of money, methods for estimating the timing of cash flows and computing the net present value of various types of cash flow patterns are described. As interest rates are key to discounting, the course provides an extensive overview of issues that arise in estimating the appropriate discount rate. Continuing with critique alternatives to net present value for evaluating projects, the course covers the internal rate of return as well as the payback rule. After a thorough look on the fundamentals of capital budgeting, students will learn the basics of valuation for capital projects, bonds, and stocks.

For further information or application procedure please check the module manual and the website of the chair.