Students

AFIN3012 – PACE: Issues in Corporate Finance

2022 – Session 1, Online-scheduled-In person assessment, North Ryde

General Information

Download as PDF
Unit convenor and teaching staff Unit convenor and teaching staff Unit Convenor
Yanlin Li
Clara Zhou
Credit points Credit points
10
Prerequisites Prerequisites
ACCG350 or ACCG3050 or AFIN352 or AFIN3052 or AFIN353 or AFIN3053
Corequisites Corequisites
Co-badged status Co-badged status
Unit description Unit description

This unit comprises a series of academic lectures and industry seminars accompanied by a case study. The aim of the unit is to provide an up-to-date, integrated treatment of the valuation of businesses and investment opportunities that seriously considers industry practice and recent advances in valuation methods. This unit takes you inside the valuation process, learning it step by step, which resembles the industry valuation practice. You will emerge with the skills to understand the fundamentals of market pricing, perform intrinsic valuations, and make and/or suggest investment decisions with due diligence. The unit will showcase several lectures presented by senior industry specialists.

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:

  • ULO1: Explain the principles and theory behind each valuation technique.
  • ULO2: Evaluate business valuation techniques and apply appropriately to real-world problems.
  • ULO3: Critically reflect on the process of business valuation practices and on working productively in teams when undertaking corporate financial analysis and valuation.
  • ULO4: Communicate professionally such as in making investment recommendations and providing consultancy advice.

General Assessment Information

Late submissions of assessments

Unless a Special Consideration request has been submitted and approved, no extensions will be granted. There will be a deduction of 10% of the total available assessment-task marks made from the total awarded mark for each 24-hour period or part thereof that the submission is late. Late submissions will only be accepted up to 96 hours after the due date and time.

No late submissions will be accepted for timed assessments – e.g., quizzes, online tests.

Table 1: Penalty calculation based on submission time

Submission time after the due date (including weekends)

Penalty (% of available assessment task mark)

Example: for a non-timed assessment task marked out of 30

<  24 hours

10%

10% x 30 marks = 3-mark deduction

24-48 hours

20%

20% x 30 marks = 6-mark deduction

48-72 hours

30%

30% x 30 marks = 9-mark deduction

72-96 hours

40%

40%  x 30 marks = 12-mark deduction

> 96 hours

100%

Assignment won't be accepted

Other assessment criteria for assessment tasks will be provided on the unit iLearn site.

Assessment Tasks

Name Weighting Hurdle Due
Online quizzes 15% No Week 4 & 9
Group Report 40% No Week 12-13
Final Examination 45% No University Examination Period

Online quizzes

Assessment Type 1: Quiz/Test
Indicative Time on Task 2: 5 hours
Due: Week 4 & 9
Weighting: 15%

 

There are two online quizzes, which aim to assess student progress in the course. The first online quiz (weighting 5%) will comprise 5 - 10 questions. The second quiz (weighting 10%) will comprise 10 - 15 questions.

 


On successful completion you will be able to:
  • Explain the principles and theory behind each valuation technique.
  • Evaluate business valuation techniques and apply appropriately to real-world problems.

Group Report

Assessment Type 1: Report
Indicative Time on Task 2: 30 hours
Due: Week 12-13
Weighting: 40%

 

Students will work in groups to prepare a professional analysis report. 50% of this assessment mark will be allocated to a student’s individual performance, e.g. individual contribution to the report, individual video presentation etc.

 


On successful completion you will be able to:
  • Explain the principles and theory behind each valuation technique.
  • Evaluate business valuation techniques and apply appropriately to real-world problems.
  • Critically reflect on the process of business valuation practices and on working productively in teams when undertaking corporate financial analysis and valuation.
  • Communicate professionally such as in making investment recommendations and providing consultancy advice.

Final Examination

Assessment Type 1: Examination
Indicative Time on Task 2: 20 hours
Due: University Examination Period
Weighting: 45%

 

A two hour exam will be held during the University Examination Period.

 


On successful completion you will be able to:
  • Explain the principles and theory behind each valuation technique.
  • Evaluate business valuation techniques and apply appropriately to real-world problems.

1 If you need help with your assignment, please contact:

  • the academic teaching staff in your unit for guidance in understanding or completing this type of assessment
  • the Writing Centre for academic skills support.

2 Indicative time-on-task is an estimate of the time required for completion of the assessment task and is subject to individual variation

Delivery and Resources

Classes

  • 2-hour lecture plus a 1-hour tutorial. 
  • Please note that attendance is highly recommended to interact with industry speakers. 
  • See timetable for classes on the University web site at: Timetable 2022

Recommended Textbook (Available at the Macquarie University library)

Damodaran on Valuation (2nd Edition) by Aswath Damodaran. ISBN: 978-0471751212

Investment Valuation: Tools and Techniques for Determining the Value of Any Asset, 3ed, Wiley (ISBN: 9781118011522)

Technology Used and Required

Students will require a calculator (scientific or financial) capable of handling exponents. Simple financial functions (as found on financial calculators) will not be required. If the calculator is to be used in exams then it must NOT be capable of storing text or formulae OR it must easily be demonstrated that all memory has been cleared.

Students must be familiar with spreadsheet technology (eg MS Excel or equivalent)

Unit Web Page

Course material is available on the learning management system at  http://iLearn.mq.edu.au

You are strongly encouraged to regularly visit the website and use it as a resource centre to assist with your learning. All lecture material and examples, homework questions and answers, administration issues, and supplementary readings will be available on this site as the course progresses.

Students are encouraged to ask questions, initiate discussions, and provide input from relevant personal experience.

Unit Schedule

Week Topic
1

Introduction to the Unit

2

Industry analysis and Financial Ratios

3

Industry Lecturer Demonstration 1

4

Relative Valuation

5

Industry Lecturer Demonstration 2

6

Discount Rate (Part 1)

7

Discount Rate (Part 2)

8

Measuring Free Cash Flows

9

Growth Rate and Terminal Value

10

Group Assignment Q&A

11

Industry Lecturer Demonstration 3: Wind Farm

12

Industry Lecturer Demonstration 4: ESG Case Studies

13

Revision

 

Policies and Procedures

Macquarie University policies and procedures are accessible from Policy Central (https://policies.mq.edu.au). Students should be aware of the following policies in particular with regard to Learning and Teaching:

Students seeking more policy resources can visit Student Policies (https://students.mq.edu.au/support/study/policies). It is your one-stop-shop for the key policies you need to know about throughout your undergraduate student journey.

To find other policies relating to Teaching and Learning, visit Policy Central (https://policies.mq.edu.au) and use the search tool.

Student Code of Conduct

Macquarie University students have a responsibility to be familiar with the Student Code of Conduct: https://students.mq.edu.au/admin/other-resources/student-conduct

Results

Results published on platform other than eStudent, (eg. iLearn, Coursera etc.) 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 or if you are a Global MBA student contact globalmba.support@mq.edu.au

Academic Integrity

At Macquarie, we believe academic integrity – honesty, respect, trust, responsibility, fairness and courage – is at the core of learning, teaching and research. We recognise that meeting the expectations required to complete your assessments can be challenging. So, we offer you a range of resources and services to help you reach your potential, including free online writing and maths support, academic skills development and wellbeing consultations.

Student Support

Macquarie University provides a range of support services for students. For details, visit http://students.mq.edu.au/support/

The Writing Centre

The Writing Centre provides resources to develop your English language proficiency, academic writing, and communication skills.

The Library provides online and face to face support to help you find and use relevant information resources. 

Student Services and Support

Macquarie University offers a range of Student Support Services including:

Student Enquiries

Got a question? Ask us via AskMQ, or contact Service Connect.

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.


Unit information based on version 2022.04 of the Handbook