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General Information
π§ Study Guide
π§ Getting Oriented
π¨βπ« Solution Recordings, Formula Sheet, etc.
More General Info.
π Study tips for this class
π¨βπ« Watching Lectures and Sections
π₯ Section Recordings, This Website, and TimeStamps
β How is this course different?
π₯οΈ MyLab Recommendations
Weeks 1-6 and Midterm
Week 1 - Introduction
β Sections
π Student Questions & Answers
Week 2 - Four Types of Firms
π¨βπ« Notes
π§ Going forward
π Market to Book Ratio
π Rounding Rules
βοΈ Two types of corporate taxation
π Plug and Chug (algebra)
β Sections
π Student Questions & Answers
Week 3 - Accounting Concepts
π¨βπ« Notes
π The "after-tax" shortcut: multiply by (1-t)
π What is Enterprise Value?
π Operating Cash Flow
β Sections
π Student Questions & Answers
Week 4 - Capital Budgeting I
π§ Learning Excel
π¨βπ« Notes
βοΈ Payback Period when you must prorate
βοΈ How to handle a "construction period" in the timing of cash flows
π Accounting Rate of Return
π Excel's NPV and IRR built-in functions
β Sections
π Student Questions and Answers
Week 5 - Capital Budgeting II
π§ Sign Conventions
π§ PS 3 Question Interpretation
β Sections
π Student Questions & Answers
Week 6 - Project Analysis
π§ PS4 Question Interpretation
π How to interpret the sensitivity analysis diagram
π Monte Carlo
β Sections
π Student Questions & Answers
Midterm
β Section Agendas For Midterm Solutions
π Student Questions and Answers
Week 7 - WACC
π Understanding WACC
π General Advice
π What is a risk premium?
βοΈ EV Example
βοΈ WACC Practice
βοΈ Full Example: Watson Co.
β Sections
π Student Questions and Answers
Additional Pages for L7
π The Corporate Finance Perspective
Week 8 - Equity
π¨βπ« Notes
βοΈ Ownership Fractions and Post Money Valuation
π Prospectus
π Auction IPOs
βοΈ Analyzing the Rights Issue
βοΈ Equity Practice
β Sections
π Student Questions and Answers
Additional Pages for L8
π° Book Recommendation
π Angel Investor vs Venture Capital vs Private Equity
Week 9 - Bonds
π¨βπ« Notes
π Using EXCEL for bond price, YTM, coupon rate, and semiannual coupon problems
βοΈ Bond Pricing and Yield Examples
β Sections
π Student Questions and Answers
Additional Pages for L9
π° The Fed is tightening its belt
π° Rapid transformations in how bonds are traded
π° Bonds at the center of the financial crisis
π° Bonds Q and A
Week 10 - Capital Structure
π¨βπ« Notes
π Big Picture
π Coffee Shop Spreadsheet
βοΈ Present value of tax shield from permanent debt
βοΈ Second Example MM Problem with Expected Value
βοΈ Core Example
β Sections
π Student Questions and Answers
Week 11 - Capital Structure II
π¨βπ« Notes
π Can leverage increase risk appetite?
π The Bottom Line
β The Four Steps
βοΈ Capital Structure Practice
β Sections 11
π Student Questions and Answers
Additional Pages for L11
π° Bankruptcy Example
Week 12 - Mergers and Acquisitions
π¨βπ« Notes
π Core Example
π Calculating Market Cap/Share Price with Both Synergies and a Premium
βοΈ Merger Announcement Example in Excel
π Example 22.4 - Sprint
βοΈ How do share prices change after the announcement of a merger?
π Tax savings and Diversification as reasons for merging
βοΈ Synergies
β Sections
π Student Questions and Answers
Week 13 - Exam Review
β Sections
π Student Questions and Answers
βοΈ Warmup Multiple Choice Questions
Week 14 - Post Exam Review
π Student Questions and Answers
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π Student Questions and Answers
Email office hour questions to
robmgmte2700@gmail.com
. PS1Q2=βQuestion 2 of Problem Set 1β