Professional Documents
Culture Documents
Management
Administrative Issues
Course Overview
Todays plan
Administrative issues
Course overview
Team formation
prerequisite
add, drop and withdraw
projects
case writing and discussion
final exam
final grade
The instructor
My name is George Li
Office: DTC 582 and BUS 315
Email: li123456@sfsu.edu
Office hours:
Monday: 1:30 p.m. to 3:30 p.m. at BUS 315
Thursday: 3:30 a.m. to 5:30 p.m. at DTC 582
Research interest:
Corporate finance: real options
Asset pricing: information and stock prices
FIN 819: Lecture 1
My website
Textbook
Prerequisite
Homework problems
The cases
Two cases:
Nike Corporation
The min-case in chapter 22
Valuing a writing-report
The instructor will use the following criteria
to value a writing-report
pts)
Understand the concepts and theories (2 pts)
Have convincing arguments (2 pts)
Total points
Curve grading
Grading policy:
Your ranking
Top 15%
15% - 75%
75% - 95%
Bottom 5%
Letter grades
A range (A-, A, A+)
B range (B-, B, B+)
C range (C-, C, C+)
D range (D+, D, D-)
Module 2
Module 3
Module 4
Fundamentals of valuation
Fundamentals of PV
Financial decision
Interest rates
Portfolio theory
Diversification and covariance
Types of securities
Stocks, bonds and other
Perpetuities and
annuities calculation
Modigliani-Miller theorem 1
Pizza size is independent of
how sliced
Valuing stocks
and bonds
NPV and other criteria
Effect of leverage
WACC and discount rate
Modigliani-Miller theorem 2
WACC
Module 1
Financial decisions
Equity
Debt
Risk management
Course organization
Valuation
Assets pricing theory
Option pricing theory and its applications
Capital structure theory
Valuation
It covers
It covers