Course syllabus adopted 2024-02-19 by Head of Programme (or corresponding).
Overview
- Swedish nameCorporate finance
- CodeTEK755
- Credits7.5 Credits
- OwnerMPMEI
- Education cycleSecond-cycle
- Main field of studyIndustrial Engineering and Management
- DepartmentTECHNOLOGY MANAGEMENT AND ECONOMICS
- GradingTH - Pass with distinction (5), Pass with credit (4), Pass (3), Fail
Course round 1
- Teaching language English
- Application code 26117
- Minimum participants10
- Block schedule
- Open for exchange studentsYes
Credit distribution
Module | Sp1 | Sp2 | Sp3 | Sp4 | Summer | Not Sp | Examination dates |
|---|---|---|---|---|---|---|---|
| 0122 Examination 7.5 c Grading: TH | 7.5 c | 0 c | 0 c | 0 c | 0 c | 0 c |
|
In programmes
- MPMEI - MANAGEMENT AND ECONOMICS OF INNOVATION, MSC PROGR, Year 1 (compulsory elective)
- MPMEI - MANAGEMENT AND ECONOMICS OF INNOVATION, MSC PROGR, Year 2 (elective)
Examiner
Gunnar Wramsby- Lecturer, Entrepreneurship and Strategy, Technology Management and Economics
Eligibility
General entry requirements for Master's level (second cycle)Applicants enrolled in a programme at Chalmers where the course is included in the study programme are exempted from fulfilling the requirements above.
Specific entry requirements
English 6 (or by other approved means with the equivalent proficiency level)Applicants enrolled in a programme at Chalmers where the course is included in the study programme are exempted from fulfilling the requirements above.
Course specific prerequisites
Successfully finished a basic course in Financial Management that includes Budgeting as well as Capital BudgetingAim
Corporate Finance is strongly theory-based subject within economy studies, but at the same time with strong practical, real world implications. It is a theory that deals with the intersection of value creation, risk identification and transfer, as well as human behaviour.Learning outcomes (after completion of the course the student should be able to)
understand corporate finance from a cashflow perspective understand the concept of Capital Asset Pricing Model as well as portfolio theory and risk transfer
be able to describe theoretical concepts like perfect markets, agent theory and optimal capital structure from a Modigliani Miller perspective
be able to analyze advanced financial instruments and their applications
be able to analyze short- and longterm financing decisions
be able to use financial theory when approaching special situations like mergers and acquisitions, international finance or financial distress
Content
Course content includes- Time value of money concept
- Estimating company cost of capital Valuation methods
- Methods of capital budgeting and valuation techniques
- Capital Asset Pricing Model and portfolio theory
- Risk and return
- Capital structure decisions in perfect markets and with taxes
- Dividend policy
- Financial instruments i.e. bonds and options
- Special topics like M&A, distress and international finance
Organisation
Lectures Mandatory seminars with opposition Mandatory guest lecturesLiterature
J Berk & DeMarzo P: Corporate Finance (global edition)Examination including compulsory elements
Individual written exam 7,5 credits (Fail or 3, 4, 5)The course examiner may assess individual students in other ways than what is stated above if there are special reasons for doing so, for example if a student has a decision from Chalmers on educational support due to disability.