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Module (6 Credits)

Corporate Finance

Name in diploma supplement
Corporate Finance
Responsible
Admission criteria
See exam regulations.
Workload
180 hours of student workload, in detail:
  • Attendance: 60 hours
  • Preparation, follow up: 75 hours
  • Exam preparation: 45 hours
Duration
The module takes 1 semester(s).
Qualification Targets

Students

  • get familiar with modern concepts and methods of analyzing optimal financial decision making in corporations
  • can evaluate the empirical validity of leading models and apply them to solve real-world problems in corporate financial decision making
  • are able to understand and explain discrepancies between the theory and the practice of corporate finance
  • can evaluate scientific studies accurately, understand the methodology used in leading papers of the field, can interpret estimation results correctly and analyze them critically
  • can communicate and debate topics of the lecture in a structured and professional way
Relevance

The module is practically relevant since it teaches some of the fundamental models, methods, and best practices used by financial managers working in large corporations. 

Module Exam

The module-related examination is performed by a written test (usually 60-90 minutes).

Usage in different degree programs
  • BWL EaFPflichtbereich1st-2nd Sem, Compulsory
  • LA gbF/kbF BKMasterprüfung in der kleinen beruflichen FachrichtungFinanz- und Rechnungswesen, SteuernWahlpflichtbereich Kleine berufliche Fachrichtung "Finanz- und Rechnungswesen, Steuern"1st-3rd Sem, Elective
  • MuUWahlpflichtbereich IIIWahlpflichtbereich III A.: Märkte und Unternehmen aus Unternehmensperspektive1st-3rd Sem, Elective
  • VWLWahlpflichtbereich II1st-3rd Sem, Elective
Elements
Name in diploma supplement
Corporate Finance
Organisational Unit
Lecturers
SPW
2
Language
English
Cycle
winter semester
Participants at most
no limit
Preliminary knowledge

Students are assumed to have an undergraduate level knowledge of finance and of statistics/econometrics. A sufficient level of spoken and written English language skills is necessary. 

Abstract

Structured presentation of the theory and practice of how corporations make financial decisions

Contents
  • Statement Analysis
  • Investments, Capital Budgeting, and DCF Valuation
  • Valuation of Bonds and Stocks
  • Risk and Return
  • Capital Market Equilibrium and Cost of Capital
  • Project Analysis and Real Options
  • Capital Structure and Payout Policy
  • Behavioral Corporate Finance
Literature

The course is based on material from the following corporate finance books:

  • Berk/DeMarzo: Corporate Finance
  • Brealey/Myers/Allen: Principles of Corporate Finance
  • Welch: Corporate Finance
  • Ross/Westerfield/Jaffe: Corporate Finance
Some additional material (mostly in the form of academic papers) will be given in the lecture.
Teaching concept

The course is held in the form of lectures.

Participants
  • BWL EaFPflichtbereich1st-2nd Sem, CompulsoryModul "Corporate Finance"
  • LA gbF/kbF BKMasterprüfung in der kleinen beruflichen FachrichtungFinanz- und Rechnungswesen, SteuernWahlpflichtbereich Kleine berufliche Fachrichtung "Finanz- und Rechnungswesen, Steuern"1st-3rd Sem, ElectiveModul "Corporate Finance"
  • MuUWahlpflichtbereich IIIWahlpflichtbereich III A.: Märkte und Unternehmen aus Unternehmensperspektive1st-3rd Sem, ElectiveModul "Corporate Finance"
  • VWLWahlpflichtbereich II1st-3rd Sem, ElectiveModul "Corporate Finance"
Lecture: Corporate Finance (WIWI‑C1122)
Name in diploma supplement
Corporate Finance
Organisational Unit
Lecturers
SPW
2
Language
English
Cycle
winter semester
Participants at most
no limit
Preliminary knowledge

See lecture

Contents

See lecture

Literature

See lecture

Teaching concept

The theory, methodology, and concepts from the lecture are applied with case studies, numerical examples, and additional material. Excerpts from key scientific papers are presented to the students and are discussed together.

Participants
  • BWL EaFPflichtbereich1st-2nd Sem, CompulsoryModul "Corporate Finance"
  • LA gbF/kbF BKMasterprüfung in der kleinen beruflichen FachrichtungFinanz- und Rechnungswesen, SteuernWahlpflichtbereich Kleine berufliche Fachrichtung "Finanz- und Rechnungswesen, Steuern"1st-3rd Sem, ElectiveModul "Corporate Finance"
  • MuUWahlpflichtbereich IIIWahlpflichtbereich III A.: Märkte und Unternehmen aus Unternehmensperspektive1st-3rd Sem, ElectiveModul "Corporate Finance"
  • VWLWahlpflichtbereich II1st-3rd Sem, ElectiveModul "Corporate Finance"
Exercise: Corporate Finance (WIWI‑C1123)
Module: Corporate Finance (WIWI‑M0878)