Formerly known as LBC204 Financial Management 1

Effective 2010

This is a prescribed unit of study in the Business Major/s. It may also be undertaken as a unit of study in any other Swinburne degree program, subject to the prerequisite and degree requirements.

 

This unit focuses upon the goals and functions of corporate financial management. It is designed to enable students to acquire:
• An understanding of the scope and nature of the finance function and its role within corporate management
• An understanding of the theory of finance and how it underpins the evaluation of investment, financing and dividend policies
• Practical skills in the identification and analysis of financial problems
• A basic understanding of the major sources of corporate finance

After completing LBC208 students should be able to:
• Discuss corporate goals and explain how conflicting agendas may hinder their achievement
• Review and evaluate independent and mutually exclusive investment projects
• Calculate and evaluate the value of shares and debentures and determine an organisation's cost of capital
• Discuss sources of business finance and the respective advantages and disadvantages of each
• Review and evaluate the use of lease finance in investment projects
• Discuss the issues surrounding the determination of a firm's capital structure

Corporate Finance will provide discipline-based knowledge and professional capabilities and experiences contributing to student’s progress in attaining generic skills such as:
• teamwork skills
• analysis skills
• problem solving skills
• communications skills
• ability to tackle unfamiliar problems
• ability to work independently

Petty, J.W., Titman, S., Keown, A.J., Martin, J.D., 2012, Financial Management: Principles and Applications, 6th Edition, Pearson Australia, Frenchs Forres, NSW, Australia.