Students
AFIN102 – Finance 1B
2016 – S1 Day
General Information
Download as PDF
| Unit convenor and teaching staff |
Unit convenor and teaching staff
Lecturer and coordinator
Keith Woodward
Lecturer
Fan Yu
Angela Chow
|
|---|---|
| Credit points |
Credit points
3
|
| Prerequisites |
Prerequisites
ACST101
|
| Corequisites |
Corequisites
|
| Co-badged status |
Co-badged status
|
| Unit description |
Unit description
This unit introduces students to the financial sector, preparing them for more advanced studies in finance, and developing their interest in a career in finance. It explains the theories, principles and methods used in financial decision-making by individuals, financial institutions and companies, and applies them to the real world using current examples and market data. It further explores financial institutions and markets, and other real world considerations that affect financial transactions of individuals, financial institutions, companies and governments in a modern economy.
This is an interesting and relevant unit for students intending to undertake further studies in any area of business and economics, and is required for further studies in finance.
Students without a background of at least HSC Mathematics (2 Unit) or equivalent are strongly advised to have studied MATH123 prior to enrolling in this unit.
|
Important Academic Dates
Information about important academic dates including deadlines for withdrawing from units are available at https://www.mq.edu.au/study/calendar-of-dates
Learning Outcomes
On successful completion of this unit, you will be able to:
- Understand how financial concepts are expressed in mathematical formulas and then applied in valuing equity, debt, property and business projects.
- Understand the importance of law, independence and objectivity of information when working in the finance industry.
- Apply financial theory to real world corporate and personal financial decisions.
- Confidently read and discuss financial publications.
General Assessment Information
Consultation: Teacher consultation times will be posted to iLearn.
Questions: Subject-related questions whose answer is useful to everyone should be posted to the iLearn discussion board. Questions of a personal nature can be emailed to the teachers.
Extensions: No extensions will be granted. Students who are unable to attend the test will be awarded a mark of 0 for the test, except for cases where an application for special consideration has been made and approved. Late tasks will be accepted up to 72 hours after the submission deadline. There will be a deduction of 20% of the total available marks made from the total awarded mark for each 24 hour period or part thereof that the submission is late (for example, 25 hours late in submission – 40% penalty). This penalty does not apply for cases in which an application for special consideration is made and approved.
Marks in gradebook: It is the responsibility of students to view their marks for each assessment on iLearn within 20 working days of posting. If there are any discrepancies, students must contact the unit convenor immediately. Failure to do so will mean that queries received after the release of final results regarding assessment tasks (not including the final exam mark) will not be addressed.
Assessment Tasks
| Name | Weighting | Due |
|---|---|---|
| Week 4 class test | 5% | Week 4 |
| Mid semester class test | 20% | Week 6 |
| Group assignment | 25% | Week 10 |
| Final Exam | 50% | See Exam Timetable |
Week 4 class test
Due: Week 4
Weighting: 5%
This test will be held during tutorials.
On successful completion you will be able to:
- Understand how financial concepts are expressed in mathematical formulas and then applied in valuing equity, debt, property and business projects.
- Understand the importance of law, independence and objectivity of information when working in the finance industry.
- Confidently read and discuss financial publications.
Mid semester class test
Due: Week 6
Weighting: 20%
This test will be held during lectures.
On successful completion you will be able to:
- Understand how financial concepts are expressed in mathematical formulas and then applied in valuing equity, debt, property and business projects.
- Understand the importance of law, independence and objectivity of information when working in the finance industry.
- Apply financial theory to real world corporate and personal financial decisions.
- Confidently read and discuss financial publications.
Group assignment
Due: Week 10
Weighting: 25%
The assignment topic will be announced during the course of the semester. Groups may contain 1 to 4 members, but no more. Details will be released on ilearn.
On successful completion you will be able to:
- Understand how financial concepts are expressed in mathematical formulas and then applied in valuing equity, debt, property and business projects.
- Understand the importance of law, independence and objectivity of information when working in the finance industry.
- Apply financial theory to real world corporate and personal financial decisions.
- Confidently read and discuss financial publications.
Final Exam
Due: See Exam Timetable
Weighting: 50%
The exam will be based on the entire course.
On successful completion you will be able to:
- Understand how financial concepts are expressed in mathematical formulas and then applied in valuing equity, debt, property and business projects.
- Understand the importance of law, independence and objectivity of information when working in the finance industry.
- Apply financial theory to real world corporate and personal financial decisions.
- Confidently read and discuss financial publications.
Delivery and Resources
Course materials are available on ilearn including lecture notes, tutorial questions, answers and readings.
Many questions will be sourced from the free web site fight finance which you are encouraged to try.
For students who are looking for an another learning resource, the following textbook is recommended but not compulsory:
Fundamentals of Corporate Finance (2nd Edition) by Berk, Demarzo, Harford, Ford, Mollica and Finch, published by Pearson.
The Charted Financial Analysis (CFA) institute also has useful resources to learn from: http://www.cfainstitute.org/learning/products/onlinelearning/Pages/60499.aspx?WPID=BrowseProducts
Unit Schedule
| Week | Date (Monday) | Topic |
| 1 | 29.2.16 | Investment assets, effective returns and inflation. Tutorials scheduled in first week. |
| 2 | 7.3.16 | Discounted cash flow and multiples valuation. |
| 3 | 14.3.16 | Debt valuation, annualised percentage rates and yield curves. |
| 4 | 21.3.16 |
Cash flows and unlevered project valuation. Tutorial test (5%). Census date 26.3.15. |
| 5 | 28.3.16 | Interest tax shields, cost of capital and levered business project valuation. |
| 6 | 4.4.16 |
Mid semester test in lectures (20%). |
| Break | Monday 11.4.16 to Friday 22.4.16 | |
| 7 | 25.4.16 | Return, risk, diversification and Markowitz portfolio theory. |
| 8 | 2.5.16 | Utility functions and general equilibrium. |
| 9 | 9.5.16 | Capital asset pricing model. |
| 10 | 16.5.16 | Market efficiency, ethics and regulatory bodies. Assignment (25%). |
| 11 | 23.5.16 | Capital raising and payout policy. |
| 12 | 30.5.16 | Return distributions. |
| 13 | 6.6.16 | Revision. |
Tutorial questions will be made available on ilearn.
Learning and Teaching Activities
Lectures and Tutorials
Expectation from Students
Policies and Procedures
Macquarie University policies and procedures are accessible from Policy Central. Students should be aware of the following policies in particular with regard to Learning and Teaching:
Academic Honesty Policy http://mq.edu.au/policy/docs/academic_honesty/policy.html
New Assessment Policy in effect from Session 2 2016 http://mq.edu.au/policy/docs/assessment/policy_2016.html. For more information visit http://students.mq.edu.au/events/2016/07/19/new_assessment_policy_in_place_from_session_2/
Assessment Policy prior to Session 2 2016 http://mq.edu.au/policy/docs/assessment/policy.html
Grading Policy prior to Session 2 2016 http://mq.edu.au/policy/docs/grading/policy.html
Grade Appeal Policy http://mq.edu.au/policy/docs/gradeappeal/policy.html
Complaint Management Procedure for Students and Members of the Public http://www.mq.edu.au/policy/docs/complaint_management/procedure.html
Disruption to Studies Policy http://www.mq.edu.au/policy/docs/disruption_studies/policy.html The Disruption to Studies Policy is effective from March 3 2014 and replaces the Special Consideration Policy.
In addition, a number of other policies can be found in the Learning and Teaching Category of Policy Central.
Student Code of Conduct
Macquarie University students have a responsibility to be familiar with the Student Code of Conduct: https://students.mq.edu.au/support/student_conduct/
Results
Results shown in iLearn, or released directly by your Unit Convenor, are not confirmed as they are subject to final approval by the University. Once approved, final results will be sent to your student email address and will be made available in eStudent. For more information visit ask.mq.edu.au.
Supplementary Exams
Further information regarding supplementary exams, including dates, is available here
Student Support
Macquarie University provides a range of support services for students. For details, visit http://students.mq.edu.au/support/
Learning Skills
Learning Skills (mq.edu.au/learningskills) provides academic writing resources and study strategies to improve your marks and take control of your study.
Student Services and Support
Students with a disability are encouraged to contact the Disability Service who can provide appropriate help with any issues that arise during their studies.
Student Enquiries
For all student enquiries, visit Student Connect at ask.mq.edu.au
IT Help
For help with University computer systems and technology, visit http://www.mq.edu.au/about_us/offices_and_units/information_technology/help/.
When using the University's IT, you must adhere to the Acceptable Use of IT Resources Policy. The policy applies to all who connect to the MQ network including students.
Graduate Capabilities
Discipline Specific Knowledge and Skills
Our graduates will take with them the intellectual development, depth and breadth of knowledge, scholarly understanding, and specific subject content in their chosen fields to make them competent and confident in their subject or profession. They will be able to demonstrate, where relevant, professional technical competence and meet professional standards. They will be able to articulate the structure of knowledge of their discipline, be able to adapt discipline-specific knowledge to novel situations, and be able to contribute from their discipline to inter-disciplinary solutions to problems.
This graduate capability is supported by:
Learning outcomes
- Understand how financial concepts are expressed in mathematical formulas and then applied in valuing equity, debt, property and business projects.
- Understand the importance of law, independence and objectivity of information when working in the finance industry.
- Apply financial theory to real world corporate and personal financial decisions.
- Confidently read and discuss financial publications.
Assessment tasks
- Week 4 class test
- Mid semester class test
- Group assignment
- Final Exam
Learning and teaching activities
- The unit is delivered through weekly lectures and tutorial classes. Tutorial questions will be posted to ilearn. Students should complete tutorial questions in advance since teachers will progress at the rate preferred by those students who have attempted the work. Teachers welcome questions and enjoy discussions of the concepts. Answers to the tutorial questions will be posted on iLearn after each week.
- To achieve the best possible results in this unit: Try not to miss a lecture or tutorial class. This subject moves very fast and each week builds on the one before. Do as many practice questions as possible. Bring the lecture notes and tutorial questions to class and raise questions with your teachers. Talk about the topics with your friends and relatives. Many people enjoy friendly discussions about property, shares, leverage, taxes and interest rates.
Critical, Analytical and Integrative Thinking
We want our graduates to be capable of reasoning, questioning and analysing, and to integrate and synthesise learning and knowledge from a range of sources and environments; to be able to critique constraints, assumptions and limitations; to be able to think independently and systemically in relation to scholarly activity, in the workplace, and in the world. We want them to have a level of scientific and information technology literacy.
This graduate capability is supported by:
Learning outcomes
- Understand how financial concepts are expressed in mathematical formulas and then applied in valuing equity, debt, property and business projects.
- Understand the importance of law, independence and objectivity of information when working in the finance industry.
- Apply financial theory to real world corporate and personal financial decisions.
- Confidently read and discuss financial publications.
Assessment tasks
- Week 4 class test
- Mid semester class test
- Group assignment
- Final Exam
Learning and teaching activities
- The unit is delivered through weekly lectures and tutorial classes. Tutorial questions will be posted to ilearn. Students should complete tutorial questions in advance since teachers will progress at the rate preferred by those students who have attempted the work. Teachers welcome questions and enjoy discussions of the concepts. Answers to the tutorial questions will be posted on iLearn after each week.
- To achieve the best possible results in this unit: Try not to miss a lecture or tutorial class. This subject moves very fast and each week builds on the one before. Do as many practice questions as possible. Bring the lecture notes and tutorial questions to class and raise questions with your teachers. Talk about the topics with your friends and relatives. Many people enjoy friendly discussions about property, shares, leverage, taxes and interest rates.
Problem Solving and Research Capability
Our graduates should be capable of researching; of analysing, and interpreting and assessing data and information in various forms; of drawing connections across fields of knowledge; and they should be able to relate their knowledge to complex situations at work or in the world, in order to diagnose and solve problems. We want them to have the confidence to take the initiative in doing so, within an awareness of their own limitations.
This graduate capability is supported by:
Learning outcomes
- Understand how financial concepts are expressed in mathematical formulas and then applied in valuing equity, debt, property and business projects.
- Understand the importance of law, independence and objectivity of information when working in the finance industry.
- Apply financial theory to real world corporate and personal financial decisions.
- Confidently read and discuss financial publications.
Assessment tasks
- Week 4 class test
- Mid semester class test
- Group assignment
- Final Exam
Learning and teaching activities
- The unit is delivered through weekly lectures and tutorial classes. Tutorial questions will be posted to ilearn. Students should complete tutorial questions in advance since teachers will progress at the rate preferred by those students who have attempted the work. Teachers welcome questions and enjoy discussions of the concepts. Answers to the tutorial questions will be posted on iLearn after each week.
- To achieve the best possible results in this unit: Try not to miss a lecture or tutorial class. This subject moves very fast and each week builds on the one before. Do as many practice questions as possible. Bring the lecture notes and tutorial questions to class and raise questions with your teachers. Talk about the topics with your friends and relatives. Many people enjoy friendly discussions about property, shares, leverage, taxes and interest rates.
Changes from Previous Offering
This course is a re-worked version of AFIN100 Introduction to Finance. It is broadly very similar.
Changes since First Published
| Date | Description |
|---|---|
| 17/03/2016 | Error in mid-sem exam week in one section. It wrongly showed week 7. I changed it to week 6. This is now consistent with the unit schedule where it always said week 6. |