Corporate Finance

Department

Bachelor's program Management & Law

Course unit code

M&R-B-5-B_35-CFI-SE

Number of ECTS credits allocated

4.0

Name of lecturer(s)

Mag. Paier Martin, Haas Wolfgang, MA LL.M.

Mode of delivery

face-to-face

Recommended optional program components

none

Recommended or required reading

Books:
Berk, J., & DeMarzo, P. (2020). Corporate finance (5th ed.). Pearson.
Brealey, R. A., Myers, S. C., & Allen, F. (2020). Principles of corporate finance (13th
ed.). McGraw-Hill.
Koller, T., Goedhart, M., & Wessels, D. (2020). Valuation: Measuring and Managing the
Value of Companies (7th ed.). Wiley.
Ross, S. A., Westerfield, R., Jaffe, J. F., & Jordan, B. D. (2022). Corporate finance
(13th ed.). McGraw Hill.
Vernimmen, P., Quiry, P., & Le Fur, Y. (2022). Corporate Finance: Theory and Practice
(6th ed.). Wiley.

Journals:
International Journal of Finance
Journal of Business Finance and Accounting
Journal of Corporate Finance
Journal of Derivatives
Journal of Empirical Finance
Journal of Finance
Journal of Portfolio Management
Mandatory reading for part 2:
- participants manualBerk J., & DeMarzo P. (2017). Corporate Finance (4th ed.). Edinburgh: Pearson-
Addison Wesley. remaining chapters
Brealey R. A., Myers S. C., & Allen F. (2014) Principles of Corporate Finance
(11th ed.). New York: McGraw-Hill Irwin. remaining chapters

Additional information about examination modalities

Exam, Course immanent examination
- Evaluation:
Paper-based written exam on introductory part / fundamentals (45 minutes;
60%)
Results from desk-based business game (40%)
- Absence in business game and Re-Take:
final grade = exam grade (!)
exam = paper-based written exam on introductory part / fundamentals (60
minutes, 100%)

Level of course unit

Bachelor

Year of study

Fall 2025

Semester when the course unit is delivered

5

Language of instruction

English

Learning outcomes of the course unit

Part 1:
Students know the basics of financing and are familiarized with financial management concepts such as the time value of money, interest rates and investment decisions (capital budgeting). They are familiar with the most important and most frequently used debt and equity instruments and their effects on cashflow, income and balance sheet of a company. Finally, the theoretical concepts of Modern Portfolio Theory (MPT) and the Capital Asset Pricing Model (CAPM) are discussed and examined for their practical applicability.
Part 2:
After completion of this course, students are able:
to identify the most important interactions between the various decisions to be
made by running an enterprise.
to indentify the threats of uncertainty in the group.
to make a competition/competitor analyses
to explain and evaluate the term value analysis.
to calculate the economic order quantity by taking into account the transport
costs as well as the costs of tied capital
to perform a break-even-analysis in a multi product enterprise
to interpret market situations and results and to transfer the findings into goal
oriented decisions
to decide in an entrepreneurial way by handling various factors such as
uncertainty and time in accordance with strategic and profit-oriented
management

Course contents

- The basics of financing
- Time value of money, interest rates and investments
- Debt and equity financing: instruments & implications
- Modern Portfolio Theory (MPT) & Capital Asset Pricing Model (CAPM)
- Introduction to derivatives (options, forwards, futures and swaps)

Planned learning activities and teaching methods

The course comprises an interactive mix of lectures, discussions and individual and group work.

In part 2 students will manage all aspects of a company by paticipating in a
board game simulation and compete with each other in a common market.
Preparation: Reading participants manual

Work placement(s)

none