COURSE SYLLABUS
SOUTHEAST MISSOURI STATE UNIVERSITY

Department of Economics and Finance                                Course No.  FI362
Title of Course:  Advanced Financial Management            Revision:  Spring 2001

  I.      Catalog Description and Credit Hours of Course:

Emphasis is placed on the examination of the long-term and short-term financial policies of corporations pertaining to finance, capital costs, capital structure and asset acquisition.  (3 hours)

II.      Prerequisites:  FI361 Financial Management with a minimum grade of "C".
         

III.    Purposes or Objectives of Course:

A.        General:  To continue the study of principles underlying the financial practices and the financial management of modern business organizations introduced in FI361.

B.        To learn fundamental financial principles, generalizations and theories.  (Demonstrate the ability to locate and gather information.)

C.        To gain knowledge:  terminology, classifications, methods and trends. (Demonstrate an understanding of human experiences and the ability to relate them to the present.)

D.        To learn to apply course material to improve rational thinking, problem solving and decision-making.  (Demonstrate capabilities for critical thinking, reasoning and analyzing.)

E.         To develop specific financial skills, competencies and their applications. (Demonstrate the ability to function responsibly in one's natural, social and political environment.)

F.         To emphasize the importance of financial management as it applies to financial activities and how financing decision impact company profitability.  (1.  Demonstrate ability to make informed, intelligent value decisions.  2.  Demonstrate the ability to make informed, sensitive aesthetic responses.)

G.        To overview capital markets, institutions, investments and their role in financing business organizations.  (Demonstrate the ability to integrate the breadth and diversity of knowledge and experience.)

H.        To develop writing communication skills in financial management.  (Demonstrate effective communication skills.)

 IV.    Expectations of Students:

A.        General:  This course is concerned with the financial principles and practices involved in the organization and administration of corporations. The course is based upon the premise that an understanding of finance is important to the student preparing for participation in any phase of management.  It is expected that the student will take advantage of the opportunities provided in the course for the development of professional attitudes and competencies.  This can be done only by diligent application to the assigned work, careful analysis of the material presented in the lectures, completion of assigned research projects and constructive participation in the classroom discussion.

B.        Examinations:  A minimum of three examinations including a final examination.

V.                 Course Content or Outline:       

 
 Suggested Time In
50-Minute  Periods
 
A.  Corporate Objectives Ethical  Issues                                 
 4
 
B.     Risk, Valuation, Capital Structure         
        1.    Risk and return   
        2.    Valuation concepts
        3.    Cost of capital
        4.    Capital structure theory                               
 8
 
C.   Capital Budgeting                                                              
        1.    Review
        2.    Cash flow estimation
        3.    Risk analysis
 6
 
D.    Long-Term Financing                                                          
        1.    Dividend policy
        2.    Debt and equity financing
        3.    Specialized financing (options, lease)
 8
 
E.    Working Capital Management
        1. Policy                                                            
        2.    Management of current assets and current liabilities
 5

 
F.    Financial Analysis and Planning                                              
        1.    Financial statements
        2.    Planning and control
 9
 
G.    Special Topics                                                                       
        1.    Merger and divestitures
        2.    Bankruptcy
        3.    Multinational/International finance
 5
 
TOTAL
 45
 

 VI.    Text (s) or Other Required Materials or Equipment:

A.          Brigham, Eugene F., and Gapenski, Louis C., Intermediate Financial Management, 6th Edition.  Fort Worth, TX:  Dryden, 1999.

B.           Each student will be expected to read the current issues of the Wall Street Journal and become familiar with other financial/business publications--Fortune, Business Week, etc.

VII.    Basis for Student Evaluation:

A.    Performance on all examinations.   
B.    Performance on assigned activities-research, communication, quizzes, etc.