BAFN200 - Principles of Finance

10 cp
Prerequisites ACCT100 Introduction to Accounting Or BUSN104 Money Matters; BUSN111 Working with Technology, BUSN112 Managing Markets, BUSN113 Managing People and Organisations
Teaching Organisation 3 hours per week for twelve weeks or equivalent.

Financial decision- making skills is a knowledge set that is essential, not only for finance professionals, but also for employees at any level. Everybody needs some basic finance knowledge for decisions involving borrowing money, making investments, comparing alternative financing alternatives, etc. This unit is designed to develop your understanding the finance function and help you make more informed financial management decisions using real-life business finance practices.

This unit provides you with an opportunity to develop an understanding of concepts, techniques, and practices that are needed to make financial decisions in a competitive business environment. You will gain knowledge of the major issues in business finance and the models and theories that have been developed to help us understand how the financial world works. The focus of the unit is on common investment and financing decisions and related financial concepts such as the time-value of money and valuation of different types of securities. The nature of investment decisions will be addressed, including topics such as capital budgeting, portfolio theory and the capital asset pricing model. Having considered how businesses invest their funds, students will learn how those funds are financed and their costs, including the cost of capital, capital structure decisions, dividend policy and current assets management.

The unit aims to equip you with theoretical and practical knowledge about contemporary financial management practices and tools utilized to make financial management decisions. Another notable aim of the unit is to develop an understanding of the role of finance function in generating sustainable and socially responsible outcomes.