Bangladesh University of Professionals

Faculty of Business Studies

Master of Business Administration (MBA)
Course Outline

Part A:

Course Title : Financial Management

Course Code : FIN-7302
Course Type : Advanced Course
Term & Section : MBA 5th Trimester, Batch 33 Section A
Course Instructor : Sadman Kabir, Assistant Professor
Department of Business Administration-General, FBS, BUP
Email: sadman.kabir@bup.edu.bd
Contact No: +880-1769028335 (Office), +880-1738777997 (WhatsApp)
Office Address: FBS Tower, 12th floor, Room- BS-1203
Pre-requisite : N/A
Credit Value : 03
Total Marks : 100

Course Summary
This course serves as an introduction to the core concepts of finance and will introduce the students
to the world of modern finance, especially to the financial operations of business organizations.
Students will learn the nature and workings of financial markets and their use by corporations,
investors and others, and the relevance of theory for financial and investment decision making.
This course covers the fundamental concepts of finance including but not limited to time value of
money, capital budgeting, cost of capital, and valuation of basic financial instruments. Upon
completion of this course, students will develop the ability to think about business decision from
the perspective of finance.
Course Learning Outcomes (CLO)
On successful completion of this course, students will be able to-
CLO 1 Understand the concepts of finance from a managerial perspective.
CLO 2 Explain the roles of a financial markets and institutions.
CLO 3 Realize and apply the concepts of time value of money to estimate cash flows for
different timeline.
CLO 4 Conduct basic valuation of capital market instruments.
CLO 5 Take investment decision by evaluating long term investments with different capital
budgeting techniques.
CLO 6 Calculate cost of capital of a firm and take financing decision accordingly.
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CLO 7 Develop insights and apply skills to make working capital management decisions for a
corporation.

Alignment of CLOs with Program Learning Outcomes (PLO)

PLO 1 PLO 2 PLO 3 PLO 4 PLO 5 PLO 6 PLO 7

CLO 1 3 1
CLO 2 3
CLO 3 1 3
CLO 4 1 2 2
CLO 5 3 1 3
CLO 6 3 1 3
CLO 7 2 1 3
Correlation: 3=High, 2=Medium, 1=Low

Course Content
Corresponding
Class Session Chapter Topics
CLO(s)
Course  Course outline
Instructions and  Concept of finance
1
Introduction to  Concept of Financial Management
1 Finance  Area of Finance CLO 1
 Role of finance
Introduction to
2  Profit vs Wealth maximization
Finance
 Agency theory
Class Test 01
 Define Financial Markets
 Importance of Financial Markets
Overview of  Types of Financial Markets
3 Financial  Define Financial Institutions
Institutions and  Importance of Financial CLO 2
2 Markets Institutions CLO 3
 Types of Financial Institutions
 Financial System of Bangladesh
 Concept of Time value of money
Time Value of
4  Future value of Single Sum
Money
 Present value of Single Sum
 Future value of ordinary annuity
Time Value of  Present value of ordinary annuity
5
Money  Future value of annuity due
3 CLO 3
 Present value of annuity due
Time Value of  PV of Perpetuity
6
Money  Find out the time period
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  Determine rate of return
Class Test 02
7 Time Value of  Effective Annual Rate
4 Money  Loan amortization schedule
Time Value of  Solving Mathematical Problems CLO 3
8
Money
 Concept of bond
9 Bond Valuation  Types of Bond
 Valuation of Bond
5  Yield to Maturity CLO 4
 Yield to Call
10 Bond Valuation
 Current Yield
 Solving Mathematical Problems
Mid-Term Exam
11  Define Stock
Stock Valuation
6  Types of Stock CLO 4
 Valuation of Common Stock
12 Stock Valuation
 Zero Growth Model
 Constant Growth Model
13 Stock Valuation
 Variable Growth Model
7 CLO 4
 Valuation of Preferred Stock
14 Stock Valuation
 Solving Mathematical Problems
 Define Capital Budgeting
Capital  Capital Budgeting Process
15 Budgeting  Importance of Capital Budgeting
8
Techniques  Terminologies of Capital CLO 5
Budgeting
Capital  Payback Period
16 Budgeting  Discounted Payback Period
Techniques
Capital  Net Present Value
17 Budgeting  Internal Rate of Return
Techniques  Profitability Index
9 CLO 5
Capital  Comparison of Capital Budgeting
18 Budgeting Techniques
Techniques  Solving Mathematical Problems
19 Class Test 03
 Concept of Cost of Capital
 Before tax cost of debt
 After tax cost of debt
10  Cost of Preferred Stock CLO 6
20 Cost of Capital
 Cost of Common Stock
 Weighted Average Cost of Capital
(WACC)
 Solving Mathematical Problems
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  Concept of Working Capital
Working Capital Management
21 CLO 7
Management  Calculating CCC
 Requirements of CCC
11
 Optimizing CCC
Working Capital  5 Cs of Credit CLO 7
22
Management  Relaxing Credit Standard
 Credit Monitoring
23 Presentation  Individual presentation on cases
12
24 Class Test 04

Mapping Course Learning Outcomes (CLOs) with the Teaching-Learning & Assessment
Strategy
CLOs Teaching-Learning Strategy Assessment Strategy
CLO 1 Lecture, Group Discussion Class Test, Midterm, Final Exam
CLO 2 Problem Solving, Hands-on activities Assignment, Midterm, Final Exam
CLO 3 Problem Solving, Hands-on activities Class Test, Midterm, Final Exam
CLO 4 Problem Solving, Hands-on activities Term Paper, Midterm, Final Exam
CLO 5 Case Study, Group Discussion Class Test, Midterm, Final Exam

Continuous Internal Evaluation (40 Marks)

Bloom’s Class Test Assignment Term Attitude Class Class
Category (12) (05) Paper /Conduct Participation Attendance
(10) /Manners (05) (05)
(03)
Remember 3
Understand 3
Apply 3 5
3 5 5
Analyze 3 5
Evaluate 5
Create

Summative Evaluation (60 Marks)

Bloom’s Midterm Term Final
Category (20) (40)
Remember 2 4
Understand 4 8
Apply 4 8
Analyze 4 8
Evaluate 4 8
Create 2 4

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Text Book
 Principles of Managerial Finance, Lawrence J. Gitman and Chad J. Zutter, 13th Edition

Reference Books
 Fundamentals of Financial Management, Brigham E., Houston J., 15th Edition
 Fundamentals of Financial Management, James C. Van Horne and John M Wachowicz, 12th
Edition
 Financial Management, I.M. Pandey, 11th Edition

Assignment Details

Assignment Topic Description/Instruction Submission Date &

Process
th
1. Time Value of Money Mathematical Problem 5 Class,
Solution Handwritten,
Hard Copy.

Term Paper and Final Presentation

Term Paper Topic Description/Instruction Submission Date &

Process
th
1. Bond Valuation Mathematical Problem 11 Class,
2. Stock Valuation Solution Handwritten,
3. Capital Budgeting Hard Copy.
4. Cost of Capital

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