In MGT 712 Managerial Finance, you will explore the proper financial management of an organization. The scope of the course includes historical, theoretical, and procedural analysis of the firm’s finance function with specific emphasis on maximizing shareholder value. Focus areas include capital structure, dividend policy, working capital management, and valuation. Through analyzing cases, as well as completing assigned exercises and problems, you will further develop and strengthen your financial management skills required to meet the challenges facing today's complex organizations.
Coursework combines research, analysis, and critical thinking. Here are examples of some assignments you may complete as part of MGT 712 Managerial Finance.
- Review and respond to mini-case study questions with astute observations and financially sound solutions.
- Author thought-provoking responses to weekly topics for forum essays and collaborative discussion board posts.
- Submit a comprehensive and comparative company financial analysis, along with presentation and peer review.
Each week of the course focuses on a different theme. Your research assignments, forum essays, and group discussions will align with the week’s theme as well as its primary objectives. Weekly themes and course material are subject to change based on professor.
Week 1 – Introduction to Managerial Finance
During the introduction week, you’ll explore corporate finance as the basis of value creation. You’ll be able to:
- Understand corporate accounting and how to determine cash flow from accounting statements.
- Describe the strategic importance of the finance function.
- Analyze and interpret financial statements.
- Comprehend the value and management of cash flow to the firm.
Week 2 – Valuation and Capital Budgeting, Part I
In week two, you’ll be introduced to the concepts of discounted cash flow valuation, future and present value, and net present value (NPV) in the context of capital budgeting. You’ll be able to:
- Explain the concept of valuation and the use of time value of money.
- Construct a spreadsheet for time value of money calculations.
- Compare and contrast capital investment decisions.
- Apply net present value and other investment rules.
Week 3 – Valuation and Capital Budgeting, Part II
Throughout week three, you’ll discuss practical applications and evaluation of capital budgeting, along with buying, selling, and valuation of bonds. You’ll be able to:
- Recap lessons learned from Valuation and Capital Budgeting, Part I.
- Explain practical applications of capital budgeting.
- Understand why capital budgeting must be evaluated on an incremental basis.
- Examine bond valuation techniques, features, and the process of buying and selling.
Week 4 – Risk and Return, Part I
During the midpoint of the course, you’ll examine common stock as a major source for corporate external financing. In addition to understanding dividend policies and lessons from market history, you’ll be able to:
- Recap lessons learned from Valuation and Capital Budgeting, Part I and II.
- Examine why common stock is a major source of corporation external financing.
- Describe cash flows associated with stock valuation.
- Explore the dividend policy and its purpose.
- Review market history in terms of returns for different asset classes, including stocks and bonds.
Week 5 – Risk and Return, Part II
As you progress to week five, you’ll learn fundamental precepts of modern portfolio theory, including the concepts of expected return and variance. By using theories and methodology, you’ll be able to:
- Understand the cost of each type of capital, debt, and equity.
- Evaluate risk and return concepts.
- Interpret the capital asset pricing model.
- Examine risk, as well as explain the cost of capital and its use in managing the financial structure of the firm.
Week 6 – Capital Structure and Dividend Policy, Part I
In week six, you’ll examine the operation of efficient capital stock markets. By using the capital asset pricing model to evaluate risk and return, you’ll be able to:
- Describe long-term corporate financing vs debt, and preferred vs common stock.
- Review and understand the general management of the capital structure of the firm.
- Examine the significance of the firm’s dividend policy.
- Describe the meaning and implications of market efficiency.
Week 7 – Capital Structure and Dividend Policy, Part II
Throughout this week, capital structure concepts and questions are reviewed in the context of the firm’s capital structure decisions. You’ll be able to:
- Explain and utilize Modigliani and Miller’s pioneering capital structure theory.
- Study the relevance of the firm’s dividend policy (cash distribution of earnings).
- Examine and debate the messaging and signaling content of dividends.
- Describe the meaning and implications of market efficiency based on the capital structure of the firm.
Week 8 – Long- and Short-Term Financing
During the last week, you’ll examine raising capital and how firms access capital in the real world. As the course concludes, you’ll be able to:
- Understand and analyze short-term financing and its options.
- Make decisions that affect current assets and liabilities.
- Explain objective of cash management in the context of operating efficiency and effectiveness.
- Appraise leasing as a financing objective.
To learn more about MGT 712 Managerial Finance , or other courses in the online MBA program from the University of Saint Mary, call 877-307-4915 to speak with an admissions advisor or request more information.