INTRODUCTION TO FINANCIAL MANAGEMENT (30223Z)

Course Description:

Finance is a science that is related to value the firm and make decisions. Financial functions contain long-tem investment, long-term financing, and managing daily financial activities. Clearly, financial management is how to implement the financial principles to maximize value of the firm. In this course, long-term investment decisions are discussed in capital budgeting section, long-term financing decisions are discussed in capital structure section, and managing daily financial activities is discussed in working capital management section.

Course Objectives:

In this course, students are expected to not only be able to know and to understand principle concepts, theories, and tools in financial management area, but also to implement it on simple financial management problems as well as to conduct simple analyses.

Prerequisite Course:

Introduction to Business

Textbook and other essentials:

1. Gitman, Lawrence J., 2009, Principles of Managerial Finance, 12^th edition, Addison Wesley, Massachusetts

Course Methods:

1. Lecturing

2. Discussion

Course Schedule

This course is conducted on every Thuesday on 01.00 pm at P.S.1.3.

Course Outline:

Week	Topics	Ref.	Assign. (Problems)	Instructor
1	Introduction to Managerial Finance			PA
2	Introduction: The Role and Environment of Managerial Finance	Ch. 1	P1.2 & 1.3	DM
3	Introduction: Financial Statement and Analysis	Ch. 2	P2.4 & 2.20	WM
4	Important Financial Concepts: Time value of money	Ch. 4	P4.20; 4.30; 4.46	PA
5	Important Financial Concepts: Risk & Return	Ch. 5	P5.11 & 5.13	DM
6	Long-term Investment Decisions: Capital Budgeting & CF Principles	Ch. 8	P8.2; 8.12	PA
7	Long-term Investment Decisions: Capital Budgeting Techniques	Ch. 9	P9.23	DM
Ujian Tengah Semester
8	Long-term Investment Decisions: Risk & Refinement in Capital Budgeting	Ch. 10	P10.15	DM
9	Long-term Financial Decisions: Cost of Capital	Ch. 11	P11.9; 11.10; 11.14	PA
10	Long-term Financial Decisions: Leverage & Capital Structure	Ch. 12	P12.17 & 12.21	DM
11	Long-term Financial Decisions: Dividend Policy	Ch. 13	P13.15; 13.17	PA
12	Short-tem Financial Decisions: Working Capital & Current Asset Management	Ch. 14	P14.2; 14.10; 14.13	WM
13	Short-tem Financial Decisions: Current Liabilities Management	Ch. 15	P15.3 ; 15.9 ; 15.11	PA
14	Review & Summarizing			DM
Ujian Akhir Semester

Grading Policy:

1. Individual assignments (problem and assistants) : 30%

2. Mid-term and Final-term Exam : 70%

Instructors:

Coordinator : Dr. Deddy Marciano (DM)

Members : Dr. Werner R. Murhadi (WM)

Dr. Putu Anom Mahadwarta (PA)

Dra.ec. Liliana Inggrit Wijaya, M.M., RFP-I, CFP