UNIVERSITY OF MANITOBA I.H. ASPER SCHOOL OF BUSINESS

UNIVERSITY OF MANITOBA
I.H. ASPER SCHOOL OF BUSINESS
DEPARTMENT OF ACCOUNTING AND FINANCE
FIN 2200 - CORPORATION FINANCE (3 credit hours)
Fall 2013:
A02 Tuesdays & Thursdays, 1:00 pm -2:15 pm, 103 Drake
Instructor:
Jerrod Falk
Office:
368 Drake Centre
E-mail:
[email protected]
Phone:
(204) 474-6723
Office Hours:
Tuesdays & Thursdays 10:00 am to 10:45 am or by appointment
PREREQUISITES & COREQUISITES:
Required Prerequisites:
[ACC 1100 (or 009.110) (D)] and [MATH 1500 or MATH 1520 (C)] and
[STAT 1000 or STAT 1001 (C)] and [ECON 1010 (C) and ECON 1020 (C)
or the former ECON 1200 (or 018.120) (C)].
Note: All students are required to have completed Calculus and Linear Algebra before entering the
Bachelor of Commerce program through track 1; track 2 students are to have completed these
courses immediately upon entry into the Bachelor of Commerce program. Knowledge of Calculus
and Linear Algebra is assumed and required for FIN 2200. Non-Commerce students who do not
have this background are encouraged to consult with the professor as needed when concepts from
these subjects are used in class.
COURSE OBJECTIVE:
This course introduces students to the fundamentals of finance and presents theories and tools to be used
in addressing corporate finance problems and issues.
REQUIRED MATERIALS:
1. J. Berk, P. DeMarzo, and D. Stangeland, Corporate Finance, Second Canadian Edition, Pearson
Canada, 2011
2. HP 10bII Financial Calculator (I will use this calculator for examples in class) or Texas
Instruments BAII Plus financial calculator.
MYFINANCELAB
MyFinanceLab software allows students to practice course material without limit. The software will also
help you to identify topics you still need to work on and will create a personalized study plan.
We require that you complete a series of online homework assignments in MyFinanceLab. You will need
a code to access MyFinanceLab assignments. There are two ways to acquire an access code:
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1. A code is included with the purchase of a new textbook. New textbooks may be purchased from
the Book Store.
2. Students not wishing to use a new hardcopy of the textbook may instead purchase a
MyFinanceLab code separately on the internet from MyFinanceLab web page (see below).
Course Name
FIN 2200 A02 Fall 2013
FIN 2200 A03 Fall 2013
FIN 2200 A04 Fall 2013
MyFinanceLab Course ID
XL1B-21LD-301Z-7DW2
XL1B-21LE-301Z-8DW2
XL1B-21LG-401Z-0DW2
How to Register and Enroll in Your MyFinanceLab Course
To join your instructor's course, please complete the following steps:
Steps to Register:
1. Go to http://www.myfinancelab.com and click the Student button, in the Register section.
2. Enter the course ID, XL1B-21L… (see table above for your Course ID), and click Next.
3. Choose to register an access code (came with your new textbook) or purchase access if you don’t
have an access kit/code.
4. Click the button to proceed to registration.
5. Follow the instructions to create your account.
6. Click the link to login. You’ll be directed to http://www.myfinancelab.com, where you can enter
the user name and password you just created. Click the login button.
7. The first time you enter the site you’ll be asked to enter your course ID. Enter your course ID
XL1B-21L… (see table above for your Course ID).
To log into MyFinanceLab:
1. Go to http://www.myfinancelab.com
2. Enter the user name and password you just created, and click Log In (or hit the enter key).
If you purchased access, visit the Textbook Resources inside your Instructor's Course for
additional purchase options.
Need Help? For assistance, please visit http://www.myfinancelab.com/support or see your instructor for
help.
Important Note:
If you want to email me, DO NOT EMAIL ME THROUGH THE D2L SYSTEM! There is a problem
with D2L email system in that it does not allow me to reply to you directly from my regular email.
If you want to email me, email me directly at: [email protected]
Student email policy: Effective September 1, 2013, the U of M will only use your university email
account for official communications, including messages from your instructors, department or faculty,
academic advisors, and other administrative offices.
Refer to this link for details: http://umanitoba.ca/registrar/e-mail_policy
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GRADING AND EXAMINATIONS:
Final grades are based on the student’s weighted mark and performance relative to other students.
Assignments
(homework)
Midterm Exam
available on MyFinance Lab
10%
(http://myfinancelab.mathxl.com/login_finance.htm)
Saturday, Nov 2, 2013, 9:00am to 11:30am, rooms 117 and 343 40%
Drake Centre
Location and time TBA
50%
Final Exam
COURSE MATERIALS
Most supplemental material to the course (lecture notes, textbook solutions, old exams, etc.) will be
available on the course’s Desire2Learn (D2L) site. Students are responsible for checking D2L and
downloading the relevant material before each class. Follow the instructions below to log on to D2L:
1. Go to https://universityofmanitoba.desire2learn.com/
2. Log into D2L using your UMnetID (formerly called your ccu account) account. You must have
previously claimed your UMnetID account in order to log into D2L. If you have not done so,
claim your UMnetID account by clicking on the “ClaimID” link under “Current Students” on the
University of Manitoba homepage (www.umanitoba.ca). If you are having problems logging into
your course visit the Accounts Office in 010 Dafoe Tunnel, contact the support desk by phone
(204) 474-8600 or email [email protected].
3. Once logged on to your “D2L” page, click on the FIN 2200 course title. For more information on
how to use D2L read Student D2L Help Files when you are logged into D2L.
Homework Assignments (these are graded!)
Assignments will be provided regularly throughout the course using the MyFinanceLab software. These
assignments are meant to prepare students for examinations. Students must pay attention to the dates and
times that assignments are available and assignment due dates. Late assignments will not be accepted.
Check for course announcements regularly.
Students experiencing difficulties with assignments are further encouraged, after thoroughly reading the
text and reviewing class notes, to contact their instructors for assistance (see office hours).
Tentative availability dates are as follows:
Assignment
1
2
3
4
5
6
7
8
Date Available
8:00 am
Sep 5
Sep 19
Sep 26
Oct 3
Oct 17
Nov 7
Nov 21
Nov 28
Date Due
7:00 pm
Sep 19
Sep 26
Oct 3
Oct 17
Oct 31
Nov 21
Nov 28
Dec 4
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Material Covered
Chapters 1, 2, 3
Chapters 4,5
Chapters 4, 5
Chapters 8, 9
Chapters 6, 7
Chapter 10, 11
Chapters 12
Chapter 14, 15, 16
Extra Practice on D2L (these are optional but highly recommended):
For your added benefit, you will have access to eight extra practice assignments and eight extra
practice quizzes based on these assignments on D2L in “Extra Practice” and “Quizzes” folders,
respectively. Neither these assignments nor quizzes are graded. You will have unlimited attempts at the
quizzes. Once a practice set or a quiz shows up on D2L, it will stay there for the rest of the course (for
your unlimited use). Even though quiz attempts are unlimited, there will be a time limit for each attempt.
You will be able to see all this information (number of questions, time limit, etc.) when you click on a
quiz and before you press “Begin” button to start taking it.
Below is the availability of the quizzes and practice sets:
Ungraded
Practice Sets
and Quizzes
1
2
3
4
5
6
7
8
Date Available
12:00 am
Material Covered
Sep 5
Sep 19
Sep 26
Oct 3
Oct 18
Nov 7
Nov 21
Nov 28
Chapter 1,2,3
Chapter 4
Chapters 4, 5, 5A
Chapters 8, 8A, 9
Chapters 6, 7, 7A
Chapters 10, 11
Chapter 12, 13.1
Chapters 14, 15, 16
Labs:
Corporate Finance Labs will be held on Fridays. Labs begin on Friday, September 13th. Each lab
corresponds to a course section. Students are to show up for the lab that corresponds to the course section
they are registered for. The structure of a typical lab will be solving one to six or so problems (depending
on the size of the problems). Note that since most of the problems discussed at the labs are more advanced
than and do not overlap with those on the assignments, you miss those labs at your own peril. Lab
instructors may reserve, at their discretion, 10-20 min at the end of labs to answer student questions. Labs are there to help students to prepare for tests in a less formal environment than lectures themselves.
It is essential for students to prepare for labs by working through extra practice problem sets and quizzes
(see above) in advance and to show up for labs regularly. Tentative lab schedule is given below:
Lab
Lab #1
Lab #2
Lab #3
Lab #4
Lab #5
Lab #6
Lab #7
Lab #8
Lab #9
Lab #10
Lab #11
Lab #12
Date
September 13
September 20
September 27
October 4
October 11
October 18
October 25
November 1
November 8
November 15
November 22
November 29
Material Tested
Chapter 3
Chapter 4, 5, 5A
Chapter 4, 5, 5A
Chapter 8, 8A, 9
Chapters 8, 8A, 9
Chapter 6, 7, 7A
Chapter 6, 7, 7A
Chapter 10, 11
Chapter 10, 11
Chapter 10, 11
Chapter 12
Chapter 14, 15, 16
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Exams:
Formula sheets will not be provided for the examinations. Instead, students are permitted to bring in one
8.5 by 11 inch sheet of paper on which they can write anything on both sides. For the final examination,
each student may bring in an additional sheet of paper (8.5 x 11 inches) on which he/she can write
anything. (Thus for the final, you may bring in a total of two sheets of paper.) You should begin preparing
your “formula” sheet immediately. Formula sheets must be hand written (both sides permitted). NO
word-processed or photocopied material is allowed on your formula sheet. Improper formula sheets
will be confiscated; offending students will be allowed to complete the exam without any formula sheet.
After the exam, offending students will be referred to the Dean’s office on a violation of academic
integrity.
General Academic Regulations on Missed Exams
If you miss a mid-term examination or any other graded component of the course for personal or medical
reasons, you must report to your instructor as soon as possible and provide written proof supporting your
absence from the test or mid-term examination.
Missing an examination is serious. Students who miss a component and have a valid medical excuse will
have the weight of that component added to the final examination (for the definition of a valid medical
excuse see policy, in bold, for final exams below). Students who miss a component without a valid
medical excuse will receive a mark of 0% for this component of the course.
If you miss a final examination for medical or compassionate reasons, you may be granted a deferred
examination. Travel plans are not an acceptable reason to miss examinations. University 1 or your home
faculty/school, as appropriate, can arrange a deferred examination for you. To make this arrangement, you
must report to University 1 or your home faculty or school, normally, no later than seven working days
after the end of the examination series in which the examination was scheduled, and provide written proof
(such as a medical certificate) supporting your reason for the missed examination. The dates of your
illness or affliction must correspond to the dates of the examination. Students with valid medical excuse
must complete and submit the “Medical Absenteeism Form” attached at the end of this syllabus.
Both the student and the attending physician must sign this document, otherwise the excuse will be
deemed invalid.
If your request is approved, you will, in most cases, be offered the opportunity to write another
examination within 30 working days from the end of the examination series from which the examination
was deferred. More information about this may be found in the General Academic Regulations and
Requirements of the Calendar.
PROFESSIONAL CONDUCT
Students are expected to demonstrate professional conduct for the duration of the course. Some aspects of
this include the following: attending each class and arriving on time, restricting discussions in class to the
current course material, keeping mobile phones in the “off” or “silent” modes, and not placing or
answering calls, text messages, or emails during class time. Unprofessional conduct is disruptive to the
learning environment and makes mastering the course material more difficult for all students.
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TENTATIVE COURSE SCHEDULE:
You will find that the course progresses quickly and the material covered builds on earlier material. It is
important to stay current in your studies otherwise you will not understand the new material as it is
presented. If you read the text in advance of the relevant classes, you will have a much better chance of
understanding the material as it is taught. It is the student’s responsibility to read the assigned material
prior to the relevant class.
Lecture
Sep. 5-10
Sep. 12-26
Oct. 1-10
Topic
Chapter
Course outline (read it thoroughly!).
1, 2 (self-study)
Chapter 1 is a self-study. To refresh the material from
the prerequisite accounting course, ACC 1100, study
Chapter 2 on your own. The knowledge of material
from chapters 1 and 2 will be assumed; it will not be
covered in class.
Arbitrage and Financial Decision Making
Chapter 3, 3A
(appendix, except for
Arbitrage with
Transaction Costs)
Time Value of Money, Interest Rates
4 (skip 4.6), 5, 5A
Valuation of Bonds and Stocks
8, 8A, 9(skip 9.3-9.4)
Oct. 15-24
Capital Budgeting
Oct. 29– Nov.12
Risk, Return, and Portfolio Theory
Saturday, Nov. 2 Midterm exam from 9:00am to 11:30am
Rooms 117 and 343 Drake Centre
Nov. 13 Last date for voluntary withdrawal
Nov.14-19
Capital Asset Pricing Model (CAPM)
Nov. 21- 26
Capital Structure
Nov. 28-Dec. 3
Options, Futures and Forwards
TBA
Final Exam: 3 hours
6
6, 7 (skip 7.5), 7A
10,11
1, 2, 3, 4, 5, 5A, 6, 7,
7A, 8, 8A, 9
12 (skip 12.5-12.6, only
WACC from 12.7), 13.1
14 (skip 14.4-14.5), 15
(skip 15.5), 16 (skip
16.8, 16.9)
20 (skip 20.5), 30.2
(only “Hedging with
Futures Contracts”)
Cumulative
Academic Integrity
It is critical to the reputation of the I. H. Asper School of Business and of our degrees, that everyone
associated with our faculty behaves with the highest academic integrity. As the faculty that helps create
business and government leaders, we have a special obligation to ensure that our ethical standards are
beyond reproach. Any dishonesty in our academic transactions violates this trust. The University of
Manitoba Undergraduate Calendar addresses the issue of academic dishonesty under the heading
“Plagiarism and Cheating.” Specifically, acts of academic dishonesty include, but are not limited to:
• using the exact words of a published or unpublished author without quotation marks and without
referencing the source of these words
• duplicating a table, graph or diagram, in whole or in part, without referencing the source
• paraphrasing the conceptual framework, research design, interpretation, or any other ideas of
another person, whether written or verbal (e.g., personal communications, ideas from a verbal
presentation) without referencing the source
• copying the answers of another student in any test, examination, or take-home assignment
• providing answers to another student in any test, examination, or take-home assignment
• taking any unauthorized materials into an examination or term test (crib notes)
• impersonating another student or allowing another person to impersonate oneself for the purpose
of submitting academic work or writing any test or examination
• stealing or mutilating library materials
• accessing tests prior to the time and date of the sitting
• changing name or answer(s) on a test after that test has been graded and returned
• submitting the same paper or portions thereof for more than one assignment, without discussions
with the instructors involved.
Group Projects and Group Work
Many courses in the I. H. Asper School of Business require group projects. Students should be aware that
group projects are subject to the same rules regarding academic dishonesty. Because of the unique nature of
group projects, all group members should exercise special care to insure that the group project does not
violate the policy on Academic Integrity. Should a violation occur, group members are jointly accountable
unless the violation can be attributed to a specific individual(s).
Some courses, while not requiring group projects, encourage students to work together in groups (or at least
do not prohibit it) before submitting individual assignments. Students are encouraged to discuss this issue
as it related to academic integrity with their instructor to avoid violating this policy.
In the I. H. Asper School of Business, all suspected cases of academic dishonesty are passed to the Dean’s
office in order to ensure consistency of treatment.
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UNIVERSITY OF MANITOBA
I. H. Asper School of Business
Medical Absenteeism Form
Student Identification: (please print clearly)
______________________________
Last Name
___________________ ___________ _______________________________
First Name
Middle Initial U of M Student Identification Number
I hereby authorize ________________________________ to verify with the attending physician or his/her
(Name of Instructor/Administrator)
staff or colleagues that the contents of this form are true.
________________________________________
Student’s Signature
_______________________________________
Date
To be completed by the attending physician: (after the above section is completed)
________________________________________
Physician’s Last Name (please print clearly)
______________________________ ________________
Physician’s First Name
Middle Initial
___________________________________________
Street Address
________________________________
City, Province
___________________________________________
Telephone Number
_________________________________
Fax Number
__________________
Postal Code
To the attention of the physician: Your evaluation of the student’s condition is being used for the purpose of determining
whether or not the student has a valid reason to miss an important exam or assignment. Your professional evaluation is
necessary to ensure that only valid cases are excused.
I certify that the nature of the student’s condition is severe enough to prevent the student from taking an exam or completing an
assignment. If requested, my associates or I will verify for the above-named instructor/administrator that this information is
accurate.
The student’s condition will likely span the following dates:
____________________________
(indicate start date)
until ____________________________
(indicate end date)
_________________________________
Date
___________________________________
Physician’s Signature
Notes to physician:
• Please make a note in the student/patient’s file indicating that the student has given the above-named
instructor/administrator permission to verify with you, your staff, or your colleagues, that the information contained on this
form is correct. Thank you for your professional evaluation of this student’s condition.
• PLEASE ATTACH THIS FORM TO YOUR REGULAR OFFICE STATIONERY THAT INDICATES THE
STUDENT VISITED YOUR OFFICE.
Note to student:
• The use of this form is at the option of the student. However, in order to obtain an excused absence for an
assignment or exam, the student must obtain a doctor’s certification that the student’s condition is severe enough to
prevent the student from taking the exam or completing the assignment.
• It is NOT SUFFICIENT to provide a note that only indicates the student visited the doctor’s office.
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