BC's Indigenous Public Post-Secondary Institute

BUSM-211 - Introduction to Finance - 3.00 Credits

BUSM-211 - Introduction to Finance - 3.00 Credits

Course Details
The objective of this course is to develop a framework within which financial decisions can be examined. This framework broadly covers the theoretical foundations of finance, the Canadian institutional framework and the techniques used in financial management.
Part of the:
  • BUSINESS Department
  • Continuing Education Department
  • Administrative Studies Department
  • Available/Required in the following Programs:
  • Administrative Studies Diploma - Diploma Completion Plan
  • Aboriginal Community Economic Development Diploma - Diploma Completion Plan
  • First Nations Public Administration Certificate - FNPA Diploma (2Year) Completion Plan
  • Prerequisites : BUSM 210, BUSM-207 , STAT-203 , MATH-120 , MATH-110 , BUSM 200,
    Corequisites : BUSM 207, corequisite or prerequisite
    Transferability: BCOU Individual assessment.
    Course Outline
    Instructors Qualifications: Relevant Master's Degree.
    Office Hours: 1.5 Per week
    Contact Hours: 45
    Student Evaluation
    Procedure:
    Assignments 50 - 70%, Final 30 - 50%, Total 100 %. Grading procedures follow NVIT policy.
    Learning Outcomes: Upon successful completion of this course students should be able to:
  • explain the basic terms, concepts, and principles of finance;

  • describe appropriate strategies for working capital management;

  • analyze financial statements using financial ratios;

  • prepare financial forecasts;

  • explain and calculate the time value of money;

  • explain how the cost of capital is determined and how assets are valued;

  • evaluate capital investment opportunities using alternative methods; and

  • utilize financial management concepts in solving business problems.
  • Text and Materials:
  • Alfred Davis, George Pinches. Canadian Financial Management. 4th Edition.

  • Financial Calculator.
  • Other Resources:
    Transfer Credits: For more information visit: www.bctransferguide.ca
    Other Information: Midterm exams are schedule outside class time to allow for a 2 hour exam.

    Week
    1. Introduction
  • What is financial management;
  • Objective of the firm;
  • Role of the Financial Manager;
  • Forms of Business Organization;
  • Canadian Financial System;
  • Term Structure of Interest Rates;
  • Risk, Return and Market Efficiency.

  • 2. Financial Analysis
  • Financial Statements;
  • Ratio Analysis;
  • Cashflows Taxes.

  • 3. And 4.
  • Time Value of Money.

  • 5. Valuation of Stocks and Bonds.
    6. Risk and Return.
  • Risk;
  • Portfolio Risk and Diversification;
  • Capital Asset Pricing Model;
  • Beta Risk.
    7. Long-Term Financing.
    8. Cost of Capital.
    9. And 10. Capital Budgeting.
    11. Capital Structure.
    12. Short-term Financial Planning.
    13. Review for Final Exam.

    Education Council approved November 2001.