WeekAssignmentWeb Application #1: www.ibm.com/investorExcel Application #1:Construct financial statements using Excel - due 4/12Parts One & TwoProblems: 1,3,5,8,9,25,26due 4/19WeekAssignmentWeb Application #3:MIDTERMWeekAssignmentIn Class ProblemIn Class Problem:FINAL EXAMWeek Chapter Learning Objectives Assignment4/3Chapter 1Financial Management Understand the role of financial management in the firm. Understand the internal & external structure of businesses.  Define course layout & coverage.Questions: 1,3,7Excel Tutorial: OSU Library reserve4/5Chapter 10Financial Statements  Review & analyze income stmt, balance sheet, cash flow stmt. Interpret operating, investing, & financing sections of cash flow statement Summarize differences between debt & equity financing. Construct financial statements in Excel spreadsheets.Problems: 5,10 Web Application #1: www.ibm.com/investor Excel Application #1: Construct financial statements using Excel - due 4/124/10Chapters 2 & 3Time Value of MoneyParts One & Two Understand the compounding/discounting process. Find the present value and future value for a single cash flow, series of cash flows, annuity, and perpetuity Solve for rates of return and number of compounding periods in time value of money applications.  Build loan amortization tables.Problems, Chapter 2: 1bc,3c,5bd,7,13,15,17Problems, Chapter 3:3,7,11,12,13,15,18,19,20,214/12Chapter 4Interest Rates Calculate & understand Annual Percentage Rates (APR) versus Effective Annual Rates (EAR) Calculate PV, FV, or PMT using semiannual or other compounding periods. Explain the determinants of interest rates and the yield curve. Analyze & graph the current US Treasury yield curve.Web Application #2:http://finance.yahoo.com/ due 4/194/174/19Chapter 5Risk and ReturnChapter 8Portfolio ManagementInvestco Case – Part 1 Define and measure historical & expected rates of return on a security and a portfolio. Define risk & calculate standard deviation for a probability distribution. Explain portfolio diversification and distinguish between diversifiable risk and non-diversifiable (market) risk. Understand the basic relationships between risk & return.Problems, Chapter 5:3,17Problems, Chapter 8:1,3 4/24Chapter 6Bonds & Bond Pricing Identify key characteristics of a bond. Apply discounted cash flow techniques to the valuation of annualand semiannual bonds. Calculate the PV and the yield to maturity of a bond. Solve for PMT or n on a bond. Understand bond ratings and criteria for ratings.Problems: 1,2,5,6,11BA 340H – HONORS FINANCE*COURSE OUTLINE & SCHEDULEWeek Chapter Learning Objectives Assignment4/265/1Chapter 7Stock ValuationInvestco Case – Part 2 Identify the rights & features of common & preferred stock.  Explain the significance and estimation of a stock’s beta coefficient.  Interpret the Capital Asset Pricing Model & explain how and why a portfolio’s risk may be reduced. Use the SML to calculate a stock’s required rate of return. Integrate CAPM to estimate required return on equity and apply to stock valuation. Determine the value of common stock using the Dividend PricingModel (Discounted Cash Flow). Calculate value & required rate of return on preferred stock. Research Internet financial market data on US companies. Investigate Internet data on stock analyst recommendations.Problems: 1,5,11,15,17e-h,19Web Application #3: www.NYSE.com due 5/8Web Application #4:www.zacks.com due 5/85/3 Chapters 1-8 & 105/8Stock Market &Investments Comprehend workings of stock markets & composition of major indices Describe investment securities, including stocks, bonds, and mutual funds Identify and use resources (such as Morningstar) to assess risk and research performance of various investment alternatives.Web Application #5:http://www.investopedia.com/university/beginner/ 5/105/15Stock Valuation & Initial Public Offerings Conceptualize the process of issuing stock and determine the role of the investment banker. Explore the costs and benefits associated with public share offerings. Discuss various valuation methods for eBay, including the price-earnings multiple approach, constant growth model, and discounted cash flow techniques.  Explore performance of IPOs using Internet resources. Present data and analysis of recent IPO’seBAY Inc. Case (A) & (B): In-depth Class Discussion and individual IPO presentations5/175/22Chapter 9Capital Budgeting Decision Models Understand the capital budgeting process; identify different typesof capital budgeting projects. Understand calculation, accept/reject criteria, and strengths/weaknesses of each of the following capital budgeting techniques: payback period, NPV, IRR Explain weaknesses of IRR relative to NPV technique. Construct and interpret an NPV profile.Problems: 1,7,9,11,15,17,19Week Chapter Learning Objectives Assignment5/245/29Chapter 10Project Cash Flow-Incremental Cash FlowsIn Class Problem  Generate cash flow forecasts for project decisions. Identify relevant cash flows. Correctly incorporate each of the following in a capital budgeting analysis: Initial investment; Depreciation; Salvage value; Operating cash flow; Change in net working capital. Apply and demonstrate capital budgeting analysis utilizing Excel spreadsheets. Using Excel data tables, evaluate capital budgeting risk through sensitivity analyses.Problems: 11,15,17,20 Excel Capital Budgeting Case Study due 6/55/31Chapter 11Weighted Average Costof CapitalIn Class Problem:Buffed Weight Lifting Understand & calculate the component cost of debt, preferred stock, and common equity. Calculate WACC estimate for a firm given the component costs and target capital structure weights. Apply the cost of capital concept to the selection of capital budgeting projects. Problems: 1,3,5,7ab,9,11,13ab,196/5Chapter 12Capital Structure Understand the determinants of business risk of a firm, including operating leverage. Illustrate the effect of financial leverage on EPS & ROE. Conceptually discuss optimal capital structure, within the framework of risk vs. return and cost of capital. Explain factors that affect a firm’s choice of capital structure, including debt tax benefits, bankruptcy costs, & other factors. Contrast actual companies’ financial leverage using Internetdata.Problem: 9Web Application