Financial Analysis for Managers II
Course Description
This course is designed to frame financial issues for non-financial managers. Basic accounting and financial terminology and concepts are introduced and practiced. Topics covered include: time value of money, capital budgeting, capital structure-equity, planning and budgets, and mergers, acquisitions, and international finance.
Topics and Objectives
Time Value of Money
- Explain how annuities and compounding interest rates affect Time Value of Money (TVM) problems and investment outcomes.
- Calculate present and future value transactions.
- Calculate the valuation and yield to maturity of a bond.
- Prepare a simple loan amortization schedule.
Capital Budgeting
- Compare and contrast the advantages and disadvantages of a lease decision versus a buy decision.
- Explain the impact of risk and uncertainty in capital budgeting.
- Analyze investment decisions using various discounted cash flow valuation methods.
Capital Structure-Equity
- Calculate stock valuation.
- Examine issues that impact dividend policies.
- Use Weighted Average Cost of Capital (WACC) to analyze capital structure and investment related decisions.
- Describe the financing issues that an organization faces when it goes public.
Planning and Budgets
- Outline the steps in financial planning and forecasting.
- Prepare forecasted financial statements using multiple methods.
- Explain the impact of outsourcing on planning and budgeting.
Mergers, Acquisitions, and International Finance
- Assess the impact of mergers and acquisitions on business.
- Examine the financial risks of conducting business internationally.
