Course Materials

Cornett, Adair, and Nofsinger. M: Finance, 6e, McGraw-Hill Irwin, ISBN: 978-1265290825.

Connect 1 Semester Access Card for M: Finance homework.

1.   Required digital materials for this course are included as part of the Courseware Access and Affordability Program at MSU Texas. Your materials will be available the first day of class, for all students in your class. To access your materials, please log into D2L and navigate to your course.

2.   The charges for this material have been posted to your student account at the Business Office. If you want to “opt out” of this program and the cost savings, you will receive the “opt out” instructions in your my.msutexas.edu email on the second day of class.

If you have any questions or need assistance, please feel free to contact the MSU Bookstore (940) 397-4303.

Course Description

Introduction to the principles of financial management applied by domestic and international firms. Core topics include financial analysis, time value of money, risk and return, asset valuation, cost of capital and capital budgeting.

Course Prerequisite(s)

Junior standing or above or consent of the chair, ACCT 2143, and ECON 2433.

Other Requirements

Each student also needs to have a financial calculator capable of calculating the time value of money and will need to bring it to each class. A student is expected to be familiar with his/her own calculator’s functions. I will be using a Texas Instruments BAII Plus Professional for in-class examples. The “Professional” model performs some finance functions that other models cannot. Note: The BA II Plus has also been approved for use on the following professional exams: Chartered Financial Analyst® (CFA®), Certified Financial Planner® (CFP®), GARP® Financial Risk Manager (FRM®), and the Certified Management Accountants exam. “Don’t leave home without it!” Graphing calculators such as TI-83 or TI NSpire are not allowed on exams. Cell phones are not allowed on exams.

Learning Goals

I.     General Learning Goals: 

●       Demonstrate problem solving and decision-making abilities through the critical analysis, evaluation, and interpretation of business information.

●       Demonstrate a competency in speaking and writing for common business scenarios.

●       Be able to utilize available technology for common business applications.

●       Demonstrate ethical reasoning skills within a business environment.

●       Have an understanding of the influence of global and multicultural issues on business activities.

These general learning goals are among those established by the Dillard College of Business Administration. General learning goals represent the skills that graduates will carry with them into their careers. While assessing student performance in obtaining these general learning goals, the Dillard College is assessing its programs. The assessments assist us as we improve our curriculum and curriculum delivery.

II.   Course Specific Learning Goals: After completing this course, students should be able to:

●       Firm organization and principal-agent relationships.

●       Fundamental financial statement analysis.

●       Time value of money, asset valuation, and the risk-return relation.

●       Cost of capital and capital budgeting.

Course Policies

Attendance Policy: Regular attendance is expected. Participation in class discussion is graded, so reading the assigned material and completing assignments prior to coming to class is also expected.  See the university catalog for the University Class Attendance Policy.

Class attendance, Midwestern State University Undergraduate Catalog:

Students are expected to attend all meetings of the classes in which they are enrolled. Although in general students are graded on intellectual effort and performance rather than attendance, absences may lower the student’s grade where class attendance and class participation are deemed essential by the faculty member. In those classes where attendance is considered as part of the grade, the instructor should so inform students of the specifics in writing at the beginning of the semester in a syllabus or separate attendance policy statement. An instructor who has an attendance policy must keep records on a daily basis. The instructor must give the student a verbal or written warning prior to being dropped from the class. An instructor’s records will stand as evidence of absences. A student with excessive absences may be dropped from a course by the instructor. Any individual faculty member or college has the authority to establish an attendance policy, providing the policy is in accordance with the General University Policies.

For the record keeping purpose, each class period a roll sheet will be passed through the class and students need to make sure that they sign on the roll sheet. Signing any other student’s name on the roll sheet is considered as an act of disruptive conduct in this course.

Instructor Drop, Midwestern State University Undergraduate Catalog:

An instructor may drop a student any time during the semester for excessive absences, for consistently failing to meet class assignments, for an indifferent attitude, or for disruptive conduct. The instructor must give the student a verbal or written warning prior to dropping the student from the class. An instructor’s drop of a student takes precedence over the student-initiated course drop of a later date. The instructor will assign a grade of either WF or F through the first 8 weeks of a long semester, the first 6 weeks of a 10 week summer term, or the 11th class day of a 4 or 5 week summer term consisting of 20 days. After these periods the grade will be an F. The date the instructor drop form is received in the Office of the Registrar is the official drop date.

Students who fail to show up for class meetings more than three times without valid excuses will be dropped from this course with a failing grade. A valid excuse is defined as an authorized absence (see Midwestern State University Undergraduate Catalog for the definition) or an unforeseeable, proved, and documented event that requires the student’s presence in a place other than the classroom during the class period, and such event is deemed acceptable by the instructor. In the case of an excused absence, the document justifying the absence must be turned to the instructor within one week from the absence.

Students who fail to meet class assignments, show indifferent attitudes, or reveal disruptive conducts will be given warnings each time such instance occurs. Students with more than two warnings will be dropped from this course with a failing grade.

Other Related Policies

The exams must be taken as scheduled. There are no make-up exams in this course and students missing an exam without a valid excuse will receive an exam grade of zero for the specific exam. A valid excuse is defined as an authorized absence (see Midwestern State University Undergraduate Catalog for the definition) or an unforeseeable, proved, and documented event that requires the student’s presence in a place other than the classroom during the class period, and such event is deemed acceptable by the instructor. In the case of an excused absence, the document justifying the absence must be turned to the instructor within one week from the absence, and the weight assigned for the missed exam will be redistributed to the other exams. No student will be allowed to miss the final exam.

Grading and Evaluation:

Exams: There will be four exams during this semester in the assigned classroom. The first three exams will be held during the regular class hours. The final exam will be held by the university schedule. Each of the three midterm exams consists of 30 multiple-choice questions. The final exam consists of 40 multiple-choice questions. The exams will include questions on any covered material, e.g., lecture notes, classroom discussions, and reading assignments. Each student will need a calculator and Scantron for the exams. The use of cell phones is not allowed during the exams.

Online homework: For the chapters we cover this semester, there are online assignments on the textbook companion website. I recommend you finish the chapter reading assignment before we cover that chapter in class, and work on the practice assignment while we cover that chapter. The assignments allow multiple attempts, so you can try and submit your results as many times as you want for each assignment, and I will record your highest score.

Mid Term Grades

In order to help students keep track of their progress toward course objectives, the instructor for this class will provide a Midterm Progress Report through each student’s D2L account. Midterm grades will not be reported on the students’ transcript; nor will they be calculated in the cumulative GPA. They simply give students an idea of where they stand at the midpoint of the semester. Students earning below a C at the midway point should schedule a meeting with the professor and seek out tutoring.

Other Course Policies

●       The instructor cannot provide technical support to a student’s hardware/software problems other than making sure that the provided course material is in working order. For problems related to D2L, please check the link to MSU technical support or contact the University at distance.ed@msutexas.edu.

●       Students have the responsibility to check regularly the course pages on D2L for new postings and course material. New material for the coverage of each exam will be posted over time. Redistribution of any course material provided by the instructor in any form outside this class constitutes copyright infringement and is prohibited.

Academic Integrity

Students shall follow the “Student Honor Creed” on the Midwestern State University Undergraduate Catalog. A student who commits academic dishonesty is subject to conduct sanctions (please refer to the Midwestern State University Student Handbook for the definitions of Academic Dishonesty, Conduct Sanctions, and Academic

Misconduct Procedures).

Americans with Disabilities Act

This course follows the university policies and guidelines suggested by the Disability Support Services Office for qualified students. Students are referred to the Midwestern State University Undergraduate Catalog for details.

Campus Carry Policy

Senate Bill 11 passed by the 84th Texas Legislature allows licensed handgun holders to carry concealed handguns on campus, effective August 1, 2016. Areas excluded from concealed carry are appropriately marked, in accordance with state law. For more information regarding campus carry, please refer to the University’s webpage at link to MSU campus carry rules and policies.

Syllabus Change Policy

This syllabus is a guide for this course and is subject to change with advanced notice.

References

Midwestern State University Student Handbook

Midwestern State University Undergraduate Catalog

Course Content and Outline

I. Introduction

Chapter 1: Introduction to Financial Management

II. Financial Statements

Chapter 2: Reviewing Financial Statements

Chapter 3: Analyzing Financial Statements

III. Valuing of Future Cash Flows

Chapter 4: Time Value of Money 1: Analyzing Single Cash Flows

Chapter 5: Time Value of Money 2: Analyzing Annuity Cash Flows

IV. Valuing of Bonds and Stocks

Chapter 7: Valuing Bonds

Chapter 8: Valuing Stocks

V. Risk and Return

Chapter 9: Characterizing Risk and Return

Chapter 10: Estimating Risk and Return

VI. Capital Budgeting

Chapter 11: Calculating the Cost of Capital

Chapter 12: Estimating Cash Flows on Capital Budgeting Projects

Chapter 13: Weighing Net Present Value and Other Capital Budgeting Criteria

Note: You may not submit a paper for a grade in this class that already has been (or will be) submitted for a grade in another course, unless you obtain the explicit written permission of me and the other instructor involved in advance.

Plagiarism is the use of someone else's thoughts, words, ideas, or lines of argument in your own work without appropriate documentation (a parenthetical citation at the end and a listing in "Works Cited")-whether you use that material in a quote, paraphrase, or summary. It is a theft of intellectual property and will not be tolerated, whether intentional or not.

Student Honor Creed

As an MSU Student, I pledge not to lie, cheat, steal, or help anyone else do so."

As students at MSU, we recognize that any great society must be composed of empowered, responsible citizens. We also recognize universities play an important role in helping mold these responsible citizens. We believe students themselves play an important part in developing responsible citizenship by maintaining a community where integrity and honorable character are the norm, not the exception.

Thus, We, the Students of Midwestern State University, resolve to uphold the honor of the University by affirming our commitment to complete academic honesty. We resolve not only to be honest but also to hold our peers accountable for complete honesty in all university matters.

We consider it dishonest to ask for, give, or receive help in examinations or quizzes, to use any unauthorized material in examinations, or to present, as one's own, work or ideas which are not entirely one's own. We recognize that any instructor has the right to expect that all student work is honest, original work. We accept and acknowledge that responsibility for lying, cheating, stealing, plagiarism, and other forms of academic dishonesty fundamentally rests within each individual student.

We expect of ourselves academic integrity, personal professionalism, and ethical character. We appreciate steps taken by University officials to protect the honor of the University against any who would disgrace the MSU student body by violating the spirit of this creed.

Written and adopted by the 2002-2003 MSU Student Senate.

The Americans with Disabilities Act (ADA) is a federal anti-discrimination statute that provides comprehensive civil rights protection for persons with disabilities. Among other things, this legislation requires that all students with disabilities be guaranteed a learning environment that provides for reasonable accommodation of their disabilities. If you believe you have a disability requiring an accommodation, please contact the Disability Support Services in Room 168 of the Clark Student Center, (940) 397-4140.

The professor considers this classroom to be a place where you will be treated with respect as a human being - regardless of gender, race, ethnicity, national origin, religious affiliation, sexual orientation, political beliefs, age, or ability. Additionally, diversity of thought is appreciated and encouraged, provided you can agree to disagree. It is the professor's expectation that ALL students consider the classroom a safe environment.

All instructors in the Department have voicemail in their offices and MSUTexas e-mail addresses. Make sure you add your instructor's phone number and e-mail address to both email and cell phone lists of contacts.

Obligation to Report Sex Discrimination under State and Federal Law

Midwestern State University is committed to providing and strengthening an educational, working, and living environment where students, faculty, staff, and visitors are free from sex discrimination of any kind. State and federal law require University employees to report sex discrimination and sexual misconduct to the University’s Office of Title IX. As a faculty member, I am required to report to the Title IX Coordinator any allegations, personally observed behavior, or other direct or indirect knowledge of conduct that reasonably may constitute sex discrimination or sexual misconduct, which includes sexual assault, sexual harassment, dating violence, or stalking, involving a student or employee. After a report is made, the office of Title IX will reach out to the affected student or employee in an effort to connect such person(s) with resources and options in addressing the allegations made in the report. You are also encouraged to report any incidents to the office of Title IX. You may do so by contacting:

Laura Hetrick

Title IX Coordinator
Sunwatcher Village Clubhouse
940-397-4213

laura.hetrick@msutexas.edu

You may also file an online report 24/7 at Maxient 

Should you wish to visit with someone about your experience in confidence, you may contact the MSU Counseling Center at 940-397-4618. For more information on the University’s policy on Title IX or sexual misconduct, please visit MSU Texas Title IX

Senate Bill 11 passed by the 84th Texas Legislature allows licensed handgun holders to carry concealed handguns on campus, effective August 1, 2016. Areas excluded from concealed carry are appropriately marked, in accordance with state law. For more information regarding campus carry, please refer to the University’s webpage at https://msutexas.edu/campus-carry/rules-policies.

If you have questions or concerns, please contact MSU Chief of Police at police@msutexas.edu.