At the end of this course, the students; 1) Will have knowledge of basic finance theories needed for macro investment 2) Will have knowledge about risk and risk pricing within the framework of time and uncertainty 3) Will have knowledge about asset pricing models arbitrage pricing models 4) Make capital budgeting decisions according to the theories 5) Make decisions about capital structure 6) Understand risk, return, opportunity cost and capital cost. 7) Understand dividend policy 8) Understand and discuss efficient markets hypothesis 9) Understand exchange rate thories
MODE OF DELIVERY
Face to face
PRE-REQUISITES OF THE COURSE
No
RECOMMENDED OPTIONAL PROGRAMME COMPONENT
No
COURSE DEFINITION
In this course basic finance theories, financial assets, time and uncertainty, risk and pricing risk, efficient market hypothesis, capital asset pricing model, arbitrage pricing theory, exchange rate theories will be presented.
COURSE CONTENTS
WEEK
TOPICS
1st Week
1 Introduction: Finance Theories
2nd Week
2 Investment, financement and dividend decisions
3rd Week
3 Cash Inflows
4th Week
4 Risk, return, capital cost
5th Week
5 Asset Pricing Models: CAPM, APT
6th Week
6 Capital Budgeting ve project evaluation
7th Week
7 Capital structure ve firm value
8th Week
8 Mid term exam
9th Week
9 Bankruptcy ve financial turmoil
10th Week
10 Tax and capital structure
11th Week
11 Agent problems, assymetric information problems and capital structure
12th Week
12 Borrowing policies
13th Week
13 Dividend policy
14th Week
14 Public offering
15th Week
RECOMENDED OR REQUIRED READING
Investments / Bodie, Kane and Marcus Fundamentals of financial management / Eugene F. Brigham An introduction to financial management / Ezra Solomon, John J. Pringle.
PLANNED LEARNING ACTIVITIES AND TEACHING METHODS
Lecture,Discussion,Presentation,Questions/Answers
ASSESSMENT METHODS AND CRITERIA
Quantity
Percentage(%)
Mid-term
1
40
Total(%)
40
Contribution of In-term Studies to Overall Grade(%)
40
Contribution of Final Examination to Overall Grade(%)
60
Total(%)
100
ECTS WORKLOAD
Activities
Number
Hours
Workload
Midterm exam
Preparation for Quiz
Individual or group work
14
15
210
Preparation for Final exam
1
80
80
Course hours
14
3
42
Preparation for Midterm exam
Laboratory (including preparation)
Final exam
1
2
2
Homework
3
40
120
Total Workload
454
Total Workload / 30
15,13
ECTS Credits of the Course
15
LANGUAGE OF INSTRUCTION
Turkish
WORK PLACEMENT(S)
No
KEY LEARNING OUTCOMES (KLO) / MATRIX OF LEARNING OUTCOMES (LO)