Course description

Finance 2 develops the concepts introduced in Finance 1 and focuses on short-term and long-term financing decisions. The course covers liability management, working capital, capital markets, shares and long-term debt.

Learning outcomes

After completing the course, students should be able to:

• explain current-liability management;
• analyse short-term financing alternatives;
• evaluate working-capital decisions;
• describe the role of financial and capital markets;
• explain the characteristics of common and preferred shares;
• compare equity and debt financing;
• analyse long-term debt instruments; and
• evaluate financing choices within a company.

Course content

• Current-liability management
• Short-term financing
• Working-capital management
• Finance and capital markets
• Common shares
• Preferred shares
• Long-term debt
• Sources of business finance
• Financing decisions

Teaching and learning methods

Teaching includes lectures, calculations, financial cases, group exercises and applied discussions.

Assessment