Creighton University

Department of Economics and Finance

FIN 301: Managerial Finance Online
Course Syllabus

SEMESTER: Summer (4-week course)

INSTRUCTOR: Professor Lee M. Dunham, Ph.D., CFA

Phone: (402) 280-2637
E-mail: LeeDunham@creighton.edu
Note: Students are more likely to have success contacting me via
e-mail. I check e-mail frequently and will typically respond quickly.

RECOMMENDED TEXTBOOK & MATERIALS FOR CLASS:

1) Fundamentals of Corporate Finance (recommended textbook)
Ross, Westerfield and Jordan 11th Edition
McGraw-Hill ISBN 978-0-07-7861704

2) A financial calculator is required for this course (bring to every class)

Students are required to use the TI BA II Plus financial calculator.

COURSE DESCRIPTION & PREREQUISITE INFORMATION:

Prerequisites: ACC 202; ECO 205; BUS 229 or equivalent.

In FIN 301 Managerial Finance, we study the financial decisions made by managers of firms.
Particularly, in this class, we focus on the financial decisions made by managers at
corporations. Corporate finance is the study of decisions made by the firm that affect firm value.
The goal of corporate management is to maximize shareholder wealth, and managers attempt
to do so by making decisions relating to three basic questions. This course provides survey
level coverage of fundamental topics in finance, including financial statement analysis, time
value of money, valuation of bonds and stocks, analysis of capital management problems, and
development of criteria for financial decision-making.

GRADE DETERMINATION:
The course grade will be based on your weighted average performance on exams and other
work as follows:

Component Points
Homework assignments 6 total 10 points each
Quizzes 6 total 10 points each
Discussion boards 6 total 10 points each
Exams 3 total 100 points each

NO EXTRA CREDIT OPPORTUNITIES WILL BE AVAILABLE!

NO LATE WORK WILL BE ACCEPTED!

GRADING SCALE:

A 92% - 100% C 70% - 74%

B+: 87% - 91% D 60% - 69%
B: 80% - 86% F 59% & below
C+ 75% - 79%

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 Creighton University
Department of Economics and Finance
FIN 301: Managerial Finance Online
Course Syllabus

The grading policy is subject to adjustment by the instructor depending on the overall
performance of the class. The above schedule represents the maximum possible requirement
for each letter grade.

COURSE LAYOUT AND REQUIREMENTS:

The course is divided into six topical modules over the four-week course. We will cover the first
four modules over the first two weeks (two modules each week). Weeks 3 and 4 will cover the
fifth and sixth module, respectively (one module each week). Each module contains a
homework assignment, quiz and a discussion board assignment. In addition, there will be three
exams, where each exam covers two modules.

For the first two weeks of class (two modules each week), the general course sequence for
each week is as follows:

Homework assignment for first weekly module is due on Tuesday evening by 11:00 PM
Quiz for first weekly module is due on Wednesday evening by 11:00 PM.
Homework assignment for second weekly module is due on Thursday evening by 11:00 PM.
Quiz for second weekly module is due on Friday evening by 11:00 PM.
Exam, covering the two weekly modules, is due by Sunday evening by 11:00 PM.

For the last two weeks of class (one modules each week), the general course sequence for
each week is as follows:

Homework assignment for weekly module is due on Wednesday evening by 11:00 PM

Quiz for weekly module is due on Friday evening by 11:00 PM.
The last exam, covering the last two modules, will be due on the Sunday of Week 4 (last
weekend of class) by 11:00 PM.

Students are encouraged to follow the following study sequence for each module:
1. Read the assigned chapter(s).
2. Read through the lecture notes for that module.
3. Watch the videos for that module.
4. Make an initial post on the modules discussion board.
5. Complete the modules practice homework assignment. Use posted solutions to learn from
your mistakes.
6. Complete the modules required (graded) homework assignment.
7. Make a reply post to another students post on the modules discussion board.
8. Complete the modules required (graded) quiz.

It is important to note that the practice homework assignment and the required homework
assignment are designed to prepare students for that modules quiz. The combination of the
homework assignments and the quiz prepares students for the weekly exam.

DISCUSSION BOARD ASSIGNMENTS: For each module, there will be a discussion board in
which students must participate. Discussion forums are meant to replicate a face-to-face
classroom discussion. For each discussion, each student is required to make an initial post and

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 Creighton University
Department of Economics and Finance
FIN 301: Managerial Finance Online
Course Syllabus

also make two reply posts to other students posts. Please reference the Discussion Forum
Grading Rubric below for more information.

Due dates for discussion board assignments are as follows: in Weeks 1 and 2 when two
modules are covered each week, the student's initial post for the first module is due by
Tuesday evening at 11:00 PM CST, and the reply post is due by Wednesday evening at
11:00 PM CST. For the second weekly module, the student's initial post is due by
Thursday evening at 11:00 PM CST, and the reply post is due by Friday evening at 11:00
PM CST. The due dates for Module 5 (Week 3) and Module 6 (Week 4) are as follows: the
student's initial post is due by Wednesday evening at 11:00 PM CST, and the reply post is
due by Friday evening at 11:00 PM CST. Discussion board assignments will be graded 1-2
days following the close of each module.

The rubric below serves as the basis for assessing student participation in the Discussion
forums. Please note that this assessment is conducted regarding your initial post, and your
primary responding post (in which you respond to another students post). Additional
participation throughout the course of a week, beyond these two posts, is certainly invited and
encouraged; worthy additional contributions over the course of a week can be taken into
account to improve the grade given to your primary responding post of that week. Based on the
quality of your work, you might be assigned a grade somewhere in between the different points
on the grading scale presented below.

You are required to post for 5 points possible and then respond to another post for an additional
5 points. Each discussion thread is worth a possible 10 points per week.

Points Discussion Posting Grading Rubric

For five points, a posting will thoughtfully consider and respond to the
question (or classmate's message), using sound argumentation and
clear prose. Stellar posting that it is, it will contain virtually no
grammatical errors or typos. Not only will such a post engage with the
ongoing conversation in a rhetorically suitable fashion, it will foster
10
further discussion on the topic, perhaps exploring new lines of
argument or different perspectives. The five-pointer isn't just a
response; it's proof that you are facilitating learning both for yourself
and your fellow students. As you might imagine, this corresponds to
an A (100 percent).

The four-point posting is a competent response to the subject: it's

100 words long, more or less, it addresses the question, without going
9 into much detail, and it contributes to the overall conversation as
another voice on the subject. A four-point posting amounts to a B-
(80 percent).

This posting reflects a less-than-adequate engagement with the

8 subject, or is noticeably under the required word count. It does little
to advance the discussion underway, and may even detract from it.

No posting, late posting, or a post that is but the briefest nod toward
0
a response. (zero percent)

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 Creighton University
Department of Economics and Finance
FIN 301: Managerial Finance Online
Course Syllabus

HOMEWORK ASSIGNMENTS: There will be a required homework assignment for each

module. Students will download the homework assignment document and first complete the
assignment offline. Once complete, students will post their answers on Blueline2 by accessing
the weekly homework assignment item. The homework assignment is not a timed assignment.
Due dates for homework assignments are as follows: in Weeks 1 and 2 when two
modules are covered each week, the homework for the first module is due by Tuesday
evening at 11:00 PM CST, and the homework for the second weekly module is due by
Thursday evening at 11:00 PM CST. The due dates for the Module 5 and Module 6
homework assignments are Wednesday evenings at 11:00 PM CST in Week 3 and Week
4, respectively. Homework assignments are auto-graded immediately upon completion in
Blueline.

QUIZZES: There will be a required quiz for each module. The quiz will be timed (approximately
45 minutes) and will mostly take the form of fill-in-the-blank or multiple-choice. Once you begin
the quiz, you must complete it in that setting; that may not log off and then log back on and
restart. Due dates for quizzes are as follows: in Weeks 1 and 2 when two modules are
covered each week, the quiz for the first module is due by Wednesday evening at 11:00
PM CST, and the quiz for the second weekly module is due by Friday evening at 11:00 PM
CST. The due dates for the Module 5 and Module 6 quizzes are Friday evenings at 11:00
PM CST in Week 3 and Week 4, respectively. Quizzes are auto-graded immediately upon
completion in Blueline.

EXAMS:
There will be three exams in this online course. Each exam will cover two modules. Each exam
will be timed (approximately 75-90 minutes, depending on exam material), and will consist of
approximately 25 multiple-choice or fill-in-the-blank questions. The due date for the weekly
exam is the Sunday evening by 11:00 PM CST at the end of Week 1 (Exam 1), Week 2
(Exam 2) and Week 4 (Exam 3). Exams are auto-graded immediately upon completion in
Blueline.

COURSE CONDUCT NETIQUETTE:

Everyone understands the "code of conduct" implicit in a traditional classroom setting. Online
classes also have their own "code of conduct" which consists of the traditional classroom code
PLUS what is called "netiquette" - a practical code of behavior for working virtually on the
Internet. You should follow these in addition to normal rules of behavior for a classroom setting.

Etiquette
Be yourself. Do not attempt to be overly formal, overly persuasive or overly eager to
belong.
Be willing to accept the views of others, even if they have quite different backgrounds or
positions, are not as knowledgeable or capable of expressing themselves in writing, or
seem to break some of the rules of netiquette.
All voices are equal. Bullying any classmate is unacceptable behavior and can result in
your dismissal from this course.

Participation
Behave as you would in a face-to-face classroom.

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 Creighton University
Department of Economics and Finance
FIN 301: Managerial Finance Online
Course Syllabus

Challenge ideas, not people.

Be forgiving of other people's mistakes.
Use proper and respectful language and refrain from any off-color jokes, insults, or
threats.
In a web-only course, the instructor is dependent upon your communication. Other
students only know of your presence by your communication within the class.
Respect other people's time and bandwidth.

Tone
Never resort to flaming (insults or personal attacks).
WRITING IN ALL CAPS is the equivalent of yelling.
Any derogatory or inappropriate comments are unacceptable and subject to the same
disciplinary action that they would receive if they occurred in the physical classroom.

Content
Keep your responses jargon-free.
Think about what you have written before you submit it.
Keep responses on-topic.
Respect other people's privacy by not sharing or spreading inappropriate information. If
someone posts information that you think may have been posted accidentally, let them
know about it privately.
Share expert knowledge rather than "keeping it to yourself." And share this knowledge
with respect rather than using it to put others down.
But be sure to spend time reviewing your messages before posting to be sure that they
are clearly written.
Remember that the recipient is a human being whose culture, language, and humor
have different points of reference from your own. Be especially careful with sarcasm.

COURSE OBJECTIVES:
Detail course objectives for each module are outlined in each modules Overview page. This
course will provide students with a fundamental knowledge and competency in various topics in
finance. After taking this class, students should be able to:

Understand the financial implications of the different forms of business organization;

Understand the conflicts of interest exist in typically arise between managers and
shareholders of large corporations;
Read and interpret a company's balance sheet and income statement;
Distinguish between a companys cash flow and net income;
Calculate a company's operating cash flow (OCF), net capital spending (capex), change
in net working capital, cash flow from assets, cash flow to creditors, and cash flow to
stockholders;
Create a company's statement of cash flows from information provided on the
company's year-over-year changes in balance sheet and current year income statement;
Calculate the future value (FV) of a single cash flow;
Calculate the present value (PV) of a single cash flow;
Calculate the future value (FV) of a series of cash flows;
Calculate the present value (PV) of a series of cash flows;

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 Creighton University
Department of Economics and Finance
FIN 301: Managerial Finance Online
Course Syllabus

Understand how frequency of compounding affects FV or PV calculations;

Distinguish between an ordinary annuity and an annuity due;
Calculate the implied interest rate (I/Y) required to compound a present value to a future
value;
Compute the equivalent annuity rate (EAR) on an investment or loan;
Calculate the number of periods (N) it takes to compound a present value to a future
value;
Understand the Rule of 72;
Calculate the periodic payment for a loan given the loan amount, maturity of loan, and
interest rate on the loan;
Value a fixed-rate bond with annual and semiannual payments;
Value a zero-coupon bond assuming semiannual compounding;
Understand the inverse relationship between interest rates and bond prices;
Distinguish between a bonds coupon rate and its yield to maturity (YTM);
Calculate and interpret a bonds YTM and current yield (CY);
Understand that a firms true cost of debt is the YTM;
Value a bond with deferred coupons;
Calculate the value a stock using the discounted dividend model (DDM), and assess
whether it is overvalued, fairly valued, or undervalued;
Estimate an implied growth derived from the constant-growth DDM (given a price);
Estimate an implied required return from the constant-growth DDM (given a price);
Calculate and interpret a stocks dividend yield;
Calculate a companys present value of growth opportunities (PVGO) implied by the
stock price;
Value a preferred stock; and estimate the implied required return for a preferred stock;
Calculate the sustainable growth rate given a companys ROE and retention rate;
Calculate a project's NPV, IRR, payback period, discounted payback period, and MIRR
given a project's expected cash flows;
Calculate a project's profitability index given the project's initial cost and NPV;
Calculate a project's equivalent annual annuity;
Estimate and calculate a project's expected annual cash flows (capital expenditures,
working capital investment, and operating cash flows) given a set of assumptions for the
project;
Assess whether a company should accept or reject a capital budgeting project using
NPV, IRR, payback period, and discounted payback period;
Compute a holding period return (HPR), and also be able to convert the HPR into
annualized rate of return for an investment over any given investment horizon;
Compute a geometric return given a sequence of historic returns for an investment;
Calculate a stock's required return using the CAPM given a risk-free rate, the stock's
beta, and the market risk premium;
Assess whether a stock underperformed or outperformed on a risk-adjusted basis
(assess the stock's alpha);
Estimate a company's weighted average cost of capital given necessary information
relating to the company's capital structure.

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 Creighton University
Department of Economics and Finance
FIN 301: Managerial Finance Online
Course Syllabus

ACADEMIC INTEGRITY:
Academic integrity is fundamental to the process of learning and evaluating academic
performance. Academic dishonesty will not be tolerated. Creighton Universitys Academic
Honesty Policy will apply in this course. Academic dishonesty includes, but is not limited to, the
following: cheating, plagiarism, tampering with academic records and examinations, falsifying
identity, and being an accessory to acts of academic dishonesty. Academic dishonesty will
result at a minimum in a failing grade for the particular assignment or exam, and may lead to a
failing grade for the entire course, or suspension or expulsion from the university. Refer to the
Creighton University Student Handbook for further information. The Creighton University
Student Handbook can be found on the Universitys Center for Academic Integrity web site at:
http://www.creighton.edu/studentservices/centerforstudentintegrity/

STUDENT ACCOMMODATIONS:
Creighton University is committed to providing all students equal access to educational
opportunities, programs, and activities. Students with disabilities seeking accommodations
must register with the Office of Disability Accommodations, complete a written needs
assessment, and provide the ODA with documentation by a qualified evaluator. The ODA
evaluates accommodation requests and ensures that reasonable accommodations are provided
in a timely manner. Contact information for the ODA is available online at

https://www.creighton.edu/disabilitysupportservices/

CREIGHTON UNIVERSITY COLLEGE OF BUSINESS MISSION STATEMENT:

Guided by our Jesuit heritage, we form leaders who promote justice and use their business
knowledge to improve the world.

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 Creighton University
Department of Economics and Finance
FIN 301: Managerial Finance Online
Course Syllabus

TENTATIVE COURSE SCHEDULE

(Course syllabus may be subject to change by the instructor)

DATE TOPIC DELIVERABLES

Week 1
Module 1
Chapter 1 Introduction to Corporate Finance Homework 1
Chapter 2 Financial Statements, Taxes & CF Quiz 1
6/5 Chapter 3 Working with Financial Statements Discussion Board 1
6/7
Module 1 Assignment Due Dates:
Discussion Board Initial Post: Tuesday, June 6
Homework 1: Tuesday, June 6
Quiz 1: Wednesday, June 7
Discussion Board Reply Post: Wednesday, June 7

Module 2
Chapter 5 Time Value of Money
Chapter 6 Discounted Cash Flow Valuation
6/7
6/9 Module 2 Assignment Due Dates:
Discussion Board Initial Post: Thursday, June 8
Homework 2: Thursday, June 8 Homework 2
Quiz 2: Friday, June 9 Quiz 2
Discussion Board Reply Post: Friday, June 9 Discussion Board 2

Exam 1 Due Date: Sunday, June 11

6/11 Covers Modules 1 and 2: Chapters 1, 2, 3, 5, 6 Exam 1

Week 2

Module 3
Chapter 7 Interest Rates and Bond Valuation

Module 3 Assignment Due Dates:

6/12 Discussion Board Initial Post: Tuesday, June 13 Homework 3
6/14 Homework 3: Tuesday, June 13 Quiz 3
Quiz 3: Wednesday, June 14 Discussion Board 3
Discussion Board Initial Post: Wednesday, June 14

Module 4
6/14 Chapter 8 Stock Valuation
6/16
Module 4 Assignment Due Dates:
Discussion Board Initial Post: Thursday, June 15 Homework 4
Homework 4: Thursday, June 15 Quiz 4
Quiz 4: Friday, June 16 Discussion Board 4
Discussion Board Reply Post: Friday, June 16

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 Creighton University
Department of Economics and Finance
FIN 301: Managerial Finance Online
Course Syllabus

Exam 2 Due Date: Sunday, June 18

6/18 Covers Modules 3 and 4: Chapters 7, 8 Exam 2

Week 3

Module 5
Chapter 9 NPV and Other Investment Criteria
Chapter 10 Making Capital Investment Decisions

Module 5 Assignment Due Dates:

6/19 Discussion Board Initial Post: Wednesday, June 21 Homework 5
6/25 Homework 5: Wednesday, June 21 Quiz 5
Quiz 5: Friday, June 22 Discussion Board 5
Discussion Board Reply Post: Friday, June 23

Week 4

Module 6
Chapter 12 Some Lessons from Market History
Chapter 14 Cost of Capital
6/26
6/30 Module 6 Assignment Due Dates:
Discussion Board Initial Post: Wednesday, June 28 Homework 6
Homework 6: Wednesday, June 28 Quiz 6
Quiz 6: Friday, June 30 Discussion Board 6
Discussion Board Reply Post: Friday, June 30

Exam 3 Due Date: Sunday, July 2

7/2 Covers Modules 5 and 6: Chapters 9, 10, 12, 14 Exam 3

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