COURSE TITLE BASIC FINANCE (Asas Kewangan) COURSE ...

Faculty of Economics and Business, UNIMAS
COURSE TITLE
COURSE CODE
BASIC FINANCE
(Asas Kewangan)
EBF1023
CREDIT 3
PREREQUISITE/S
SYNOPSIS
N/A
This course covers the basic principles of Finance and introduces
students to financial decision making. The focus is on sound
financial decision making based on the existing theories and
prevailing practices.
(Kursus ini meliputi prinsip-prinsip asas kewangan dan
perkenalkan pelajar kepada pembuatan keputusan kewangan.
Menekanan akan diberi kepada cara membuat keputusan
kewangan yang berkesan berasaskan teori-teori sedia ada dan
amalan-amalan semasa.
)
LEARNING
OUTCOMES
By the end of this course, students will be able to:
o Understand financial statement, taxes and cash flows,
evaluating a firms financial performance, financial
forecasting, planning and budgeting. (C1, P3, A2, CS, CT,
TS)
o Explain the value of money, risk and rates of returns,
valuations of stocks and bonds. (C2, P3, A2, CT, TS)
o Apply the concept of capital budgeting, cash flows and risk
analysis for investment in long-term assets.
(C3, P3, A2, CT, TS)
o Understand the role of financial markets, working capital,
cash and marketable securities in Financial Management.
(C3, P3, A2, CT, TS)
EBF1023 Basic Finance 1 / 4

Faculty of Economics and Business, UNIMAS
STUDENT
LEARNING
HOURS
Lectures
Tutorials
Student-Centered Learning
Self-Study
Quizzes, Tests, & Examinations
Total
28 Hour/s
10 Hour/s
4 Hour/s
70 Hour/s
8 Hour/s
120 Hour/s
LEARNING
UNITS
Supervised
Learning Hours
1. An Introduction to Financial Management
Definition of Finance
Goal of the Firm
Legal Forms of Business Organization
Ten Principles of Financial Management
3
2. Understanding Financial Statements, Taxes, and cash
Flows
Measuring a Company's Profit
Measuring a Firm's Book Value
Computing a Company's Taxes
Measuring Free Cash Flows
3
3. Evaluating a Firm's Financial Performance
3
Financial Ratio Analisis
Integative Approach to Ratio Analysis
4. Financial Forecasting, Planning, and Budgeting
The Percentage of Sales Forecast Method
The Sustainable Rate of Growth
Financial Planning and Budgeting
3
5. The Value of Money
Compound Interest and Future Value
Cpmpound Interest with Nonannual Periods
Present Value
Ordinary Annuities and Annuaties Due
Perpetuities and Infinite Annuaties
Amortized Loans
3
6. Risk and Rates of Return
6
Rates of Return in the Financial Markets
EBF1023 Basic Finance 2 / 4

Faculty of Economics and Business, UNIMAS
The Effects of Inflation on Rates of Return
Expected Return
Risk and Diversification
Measuring Market Risk
Measuring a Portfolio's Beta
The Investor's Required Rate of Return
Kadar pulangan dikehendaki pelabur
Pelabur dalam pasaran modal
7. Valuation and Characteristics of Bonds
Types, Terminology and Characteristics of bonds
Definition and Determinants of Value
Bond Valuation
The Bondholders Expected Rate of Return
Kadar pulangan dikehendaki pemegang saham
6
8. Stock Valuation
Features and Types of Preferred Stock
Valuing Preferred Stock
Characteristics of Common Stock
Valuing Common Stock
Stockholders Expected Rate of Return
6
9. Capital Budgeting Decision Criteria
Finding Profitable Projects
Payback Period
Net Present Value
Profitability Index
Internal Rate of Return
Ethics in Capital Budgeting
Capital-Budgeting Practices
0
ASSESSMENT Final Examination
40 %
Mid-term Examination
30 %
Case Studies/Projects and Oral Presentation 20 %
Assignment
10 %
Total
100 %
EBF1023 Basic Finance 3 / 4

Faculty of Economics and Business, UNIMAS
REFERENCES 1. Keown, A., Martin, J., Petty, J., and Scott, D. (2005).
Financial
Management (10th ed.). New Jersey: Pearson Prentice
Hall.
2. Van Horne, J., Wachowicz, J. (2005). Fundamentals of
Financial Management (12th ed.). Essex: Pearson Prentice
Hall.
3. Brigham, E., Houston, J. (2007). Essentials of Financial
Management. Singapore: Thomson.
4. Smart, S., Megginson, W. (2009). Introduction To
Financial Management (2nd ed.). Mason:
South-Western-Cengage Learning.
5. Saiful Bahri Sufar, Muhamad Muda & Dr. Othman Yong,
(1995), Pengurusan Kewangan, Dewan Bahasa dan
Pustaka
Last updated: April 26, 2011, Tue, 10:50 AM
EBF1023 Basic Finance 4 / 4