Corporate finance is the subject which deals with both sides of the corporate balance sheet: which projects should a corporation take on and what is the best way to finance them? In corporate finance we study how corporation s take investment decisions, but especially how they should take them. What return should a corporation make on its investments? How do you value options in an investment project? How do you deal with risk in an investment project? How do you value a corporation? If a project is worthwhile, in an efficient capital market a corporation should always be able to find funding for it. Are capital markets efficient? How do you value bonds and stocks? Does it matter how much dividend a corporation pays out to its shareholder? Are hostile takeovers a good or a bad thing? In this course we will focus on the big questions in corporate finance.
By the end of this course, the student should be able to:
1. use the basic techniques for investment evaluation
2. ink the major debates in corporate finance to real life cases
3. have a real understanding of the major debates in corporate finance
- Market efficiency
- Dividend Policy
- Option valuation
- Debt structure and its relevance
The schedule can be found on the LIACS website
Detailed table of contents can be found in blackboard.
Mode of instruction
3 hours interactive lectures every week, 6 weeks long. Several guest speakers will be part of the lectures.
Active Participation (25%)
Presentations/Cases Studies (25%)
Final (written) Exam (25%)
Van Horne: Fundamentals of Financial Management, 13/E
Publisher: Financial Times Press
Signing up for classes and exams
You have to sign up for classes and examinations (including resits) in uSis. Check this link for more information and activity codes.
There is a limited capacity for students from outside the master ICT in Business. Please contact the Programme Co-ordinator.
Programme Co-ordinator ms. Judith Havelaar LL.M