Corporate Finance (MSB309)

The course is a Master level corporate finance class that emphasizes real-life decision-making. Inorder to make insightful financial decisions, it is important to comprehend the implications of various financial theories. Thus, the first half of the course covers important financial theories,corporate governance systems and mechanisms, the functioning of financial markets and risk assessments. Emphasis is placed on managerial financial decision-making and the roles of information asymmetries, economic incentives and behavioral biases. This is then followed by more in-depth analyses of classic corporate finance decisions such as capital structure, payout policy and investment appraisals, before leading to more specialized decisions including various forms of corporate restructuring.


Course description for study year 2024-2025. Please note that changes may occur.

Facts

Course code

MSB309

Version

1

Credits (ECTS)

10

Semester tution start

Autumn

Number of semesters

1

Exam semester

Autumn

Language of instruction

English

Content

(1-4) Basics - NPV without risk

Bonds

Investment criteria

Stock valuation

(5-6) Risk and Return

Portfolio

Capital market equilibrium (CAPM)

(7) Cost of Capital

(8) Financial structure

(9) Payout policy

(10) Mergers and Acquisitions

Learning outcome

Knowledge

Upon completion of the course, students will have knowledge of

  • The theories necessary to understand various financial decisions.
  • The structuring and functioning of corporate governance systems used to control widely held companies.
  • The functioning of financial markets, both local and international, and how managers use them in financial decision-making.
  • The key drivers of important financial policy decisions, including capital structure, payout, risk management, and investment decisions.
  • The role of information asymmetries, economic incentives and behavioral biases for financial decision-making.
  • Independently analyze and assess the financial and governance positions of real-life companies, including ethical and sustainability perspectives.

Skills

Upon completion of the course, students will have the ability to

  • Analyze, assess and make suggestions of what are appropriate financials decisions of real-life companies, including capital structure, payout policy and capital allocation decisions.
  • Present and discuss remedies for concrete financial problems and, in so doing, integrate different perspectives to produce a balanced overall decision.
  • Solve problems through group work and present case solutions.
  • Set up and use basic financial modeling tools.

Required prerequisite knowledge

None

Exam

Form of assessment Weight Duration Marks Aid
Written exam 1/1 4 Hours Letter grades All written and printed means are allowed. Definite, basic calculator allowed

Further details about course requirements are given in the syllabus available at the beginning ofthe teaching semester.

Coursework requirements

Handins of problem sets

Course teacher(s)

Course coordinator:

Jean Paul Rabanal Sobrino

Course coordinator:

Bernt Arne Ødegaard

Study Program Director:

Yuko Onozaka

Overlapping courses

Course Reduction (SP)
Corporate Finance and Governance (MØA309_1) 10

Open for

Admission to Single Courses at UiS Business School
Industrial Economics - Master of Science Degree Programme Master of Science in Accounting and Auditing Business Administration - Master of Science
Exchange programmes at UIS Business School

Course assessment

There must be an early dialogue between the course coordinator, the student representative and the students. The purpose is feedback from the students for changes and adjustments in the course for the current semester.In addition, a digital course evaluation must be carried out at least every three years. Its purpose is to gather the students experiences with the course.

Literature

Search for literature in Leganto