Syllabus UGBA 103 Introduction to Finance Fall 2010 instructor office office hours class time Professor Marcus M Opp marcus opp berkeley edu F647 Mondays 12 pm 1pm in F647 Mon and Wed 09 30 am 11 00am F295 Andersen Auditorium GSIs Isaac Hacamo isaac hacamo haas berkeley edu OH Tu 9 30am 11am F621 James McLoughlin jmcloughlin haas berkeley edu OH Th 1pm 2 30pm F621 Thomas Reyes tomas reyes haas berkeley edu OH Fr 11am 12 30pm F621 Class Reps TBD sections Sections are a good time for students to get help with problem sets review course concepts and ask questions in a relaxed environment The first section is on Friday September 03 2010 overview This is an introductory course in finance Students learn how to value assets and businesses given forecasts of future cash flows The course also concentrates on the risk characteristics of different asset classes The first part of the course focuses on stocks bonds and interest rates The second part of the course deals with measuring and pricing risk The third part of the course introduces students to valuation The final part of the course introduces students to derivative instruments This course will combine the theoretical underpinnings of finance with real world examples including several case discussions Syllabus for UGBA 103 Fall 2010 page 1 required text Corporate Finance by Jonathan Berk and Peter DeMarzo 2nd Edition published by Pearson 1 Hardcopy most expensive or 2 Looseleaf edition or 3 Etext IMPORTANT NOTE You will need the My Finance Lab Access Kit see below This kit is already included in the book versions you can buy on campus Important note If you buy a used book or international version of the book you need to buy a separate license at http www myfinancelab com register myFinanceLab also required Register at http www myfinancelab com register Course ID XL0H I1PF 901Y 6UB2 USE EXACTLY the NAME listed in the BERKELEY REGISTRAR Any calculator that can calculate an IRR internal rate of return is sufficient for this class Some financial calculators like the HPC 12C have other functions that are helpful but these functions are NOT necessary for the purpose of this class The GSIs will ONLY support the calculator HPC 12C Access to a computer with Internet access and Microsoft Excel or comparable spreadsheet program to complete homeworks and the group project homepage readings We will be using bspace You are expected to do the assigned readings before each class Some topics that are very important e g CAPM will be covered in great detail In these cases the readings serve to reinforce what is covered in class However time does not allow all topics to be covered in such detail Therefore the readings are necessary Reading ahead is expected as it will aid your understanding of material presented in class Re reading after class is encouraged as it will help solidify the concepts just presented attendance Attending class and GSI sessions will help you learn the material aid class discussions and benefit your fellow students Please attend all classes and be in your seats ready to work by 09 40am Of course a few students might miss class on rare occasions due to illness or family emergencies This is to be expected Sorry but attending part of a class arriving late or leaving early is not an option Attendance of the GSI session is mandatory time We expect the median student to spend at least 2 hrs per day studying finance outside of class everyday based on a six day week Time should be spent doing practice problems preparing case studies reading the textbook and reviewing class notes grades Your overall course grade will be based on homeworks My finance lab one midterm 4 group projects 2 3 members and a final exam Questions about the grading of any exam or assignment including but not limited to requests for re grading must be made to the GSI within one week of the time that the exam or assignment is returned to you All questions and requests must be in writing Homeworks Attendance GSI section mid term Group Project final exam total Syllabus for UGBA 103 Fall 2010 10 0 5 0 25 0 10 0 50 0 100 0 page 2 homeworks The assigned homeworks see bspace and MFL have to be completed by the due date The two lowest scores on the homework will not enter your homework grade sections GSI run sections are provided to help students review the course material on a weekly basis You need to attend at least 10 out of 13 sessions to get full credit You get 0 5 for each GSI session This is an excellent time to ask questions outside the classroom mid term There is one in class midterm on October 13 2010 All students must take the exam at this time no exception The midterm is worth 25 of the course grade group project A group should consist of 2 3 students You get a 10 point bonus if you form a group of 2 3 Groups of 1 and 4 are tolerated but not encouraged i e no point bonus You CANNOT switch groups The group project consists of several subprojects o Berk DeMarzo Data Case chapter 10 due November 5 o Berk DeMarzo Data Case chapter 11 due November 12 o Berk DeMarzo Data Case chapter 12 due November 19 o Firm Valuation not in the book due December 03 This case will be posted on Bspace You have to hand in hardcopy solutions to your GSI PDFs will not be accepted We pick random groups to check their Excel files There will be no partial credit for any question You have time to ensure accuracy of results The best group will be awarded a 100 Amazon Gift card per member of the group final exam There is a final exam in this course scheduled by the university for Thursday 16 Dec 2010 from 08 00am 11 00am All students will take the exam at this time no exceptions Grade options Students have two mutually exclusive options 1 Drop mid term and having the final count for 75 of the final grade 2 Drop Homeworks Attendance GSI section Group project and having the final count 75 of the final grade NOTE Midterm participation is mandatory If you do not attend the midterm and also miss the final you cannot opt for an incomplete The most beneficial option is automatically invoked at the end of the course cheating If you are caught cheating in one exam midterm or final you will automatically fail the class No excuses ethics and etiquette Students who take this class are bound by the Haas code of ethics For reference please see http www haas berkeley edu Undergrad ethicscode html Nothing less than strict adherence will be accepted In certain situations homework problems sets case preparations