AFF5220 - Finance and banking relations

Leader: Ms Kym Brown

Offered

Caulfield First semester 2007 (Evening)
Caulfield Second semester 2007 (Evening)

Synopsis

Topics include banking requirements; the banking relationship; bank account executive; debt issues, arranging the facility and revolving term, facilities; guarantees; cost of capital and debt capacity; dividend policy; investment appraisal and project financing.

Objectives

The learning goals associated with this unit are to:

• master the relevant theories, principles, concepts and postulates in finance and banking relations
• develop skills in the application of finance and banking relations theories which include mathematical finance, utility function for investments, value creation and wealth maximisation theory, theory of risk and returns, market efficiency theorems, valuation of securities and firms, theories of the cost of capital and capital structure, relationship banking, calculation of various loans and interest costs, and various financial products that are used in the Australian and international banking sector
• develop skills in the correct use of theories, techniques and calculation methods in evaluating various financial instruments including shares, bonds, loans and other debt
• develop academic skills by preparing and writing formal report that requires basic research using the textbooks, case book, journal articles, lecture materials and sources from the web
• develop oral presentation and review skills by requiring group class presentation and class review using a range of materials available on MUSO and including the textbooks, case book, journal articles, lecture materials and sources from the web.

Assessment

Assignment and coursework: 50%
Examination (3 hours): 50%

Contact hours

3 hours per week

Prohibitions

AFF4220