Module overview
In this module we begin by looking at the types and sources of finance for a company. Next we seek to understand the cost of capital and the major theories that guide us. Next comes sources of long-term finance: capital, debt and hybrid finance. Finally, we study Asset-Backed Securitisation and Covered Bonds which are newer sources of long-term finance.
Aims and Objectives
Learning Outcomes
Knowledge and Understanding
Having successfully completed this module, you will be able to demonstrate knowledge and understanding of:
- bond and stock valuation, and raising capital through debt and equity financing;
- convertible bonds and their uses, and asset securitisation.
- capital structure and the associated cost of capital;
- companies, their sources of finance, and sustainable finance;
- present and future values, and their uses;
Subject Specific Intellectual and Research Skills
Having successfully completed this module you will be able to:
- develop logical and concise arguments and engage in independent enquiry grounded in appropriate source material.
- analyse critically theoretical material and case study evidence on the basis of an informed knowledge;
Transferable and Generic Skills
Having successfully completed this module you will be able to:
- Develop clear logical thinking;
- Compose and communicate ideas effectively
Syllabus
• An Introduction to Business Finance.
• Present and Future Values (Time Value of Money).
• Bond and Stock Valuation.
• Cost of Capital and Capital Structure.
• Sources of long-term finance.
• Convertibles, Exchangeables and Warrants.
• Asset Securitisation.
Learning and Teaching
Teaching and learning methods
Teaching methods include:
• 24 contact hours over a six-week period.
• Lectures are used to introduce and develop knowledge of individual topics.
• Lectures may involve formal lecture using OHP, case studies, with the remaining time being devoted to class exercises.
Learning activities include:
Six 4-hour lectures with the remaining time being devoted to class exercises.
| Type | Hours |
|---|---|
| Independent Study | 126 |
| Teaching | 24 |
| Total study time | 150 |
Assessment
Formative
This is how we’ll give you feedback as you are learning. It is not a formal test or exam.
Peer assessment
- Assessment Type: Formative
- Feedback: Peer and self-assessment method will be used to help students assess their understanding; exercises, which students will be recommended to attempt by themselves, will be available in lectures or on online blackboard and the answer is available one week after.
- Final Assessment: No
- Group Work: No
Summative
This is how we’ll formally assess what you have learned in this module.
| Method | Percentage contribution |
|---|---|
| Closed book Examination | 100% |
Referral
This is how we’ll assess you if you don’t meet the criteria to pass this module.
| Method | Percentage contribution |
|---|---|
| Closed book Examination | 100% |
Repeat
An internal repeat is where you take all of your modules again, including any you passed. An external repeat is where you only re-take the modules you failed.
| Method | Percentage contribution |
|---|---|
| Closed book Examination | 100% |
Repeat Information
Repeat type: Internal & External