ULMS Electronic Module Catalogue

The information contained in this module specification was correct at the time of publication but may be subject to change, either during the session because of unforeseen circumstances, or following review of the module at the end of the session. Queries about the module should be directed to the member of staff with responsibility for the module.
Title FINANCIAL MANAGEMENT
Code ACFI204
Coordinator Dr MT Ellington
Finance and Accounting
M.Ellington@liverpool.ac.uk
Year CATS Level Semester CATS Value
Session 2021-22 Level 5 FHEQ First Semester 15

Pre-requisites before taking this module (other modules and/or general educational/academic requirements):

ACFI103 INTRODUCTION TO FINANCE; ACFI102 INTRODUCTION TO MANAGEMENT ACCOUNTING; ECON111 MATHEMATICS FOR ECONOMICS AND BUSINESS; ACFI111 QUANTITATIVE METHODS FOR ACCOUNTING AND FINANCE 

Modules for which this module is a pre-requisite:

 

Programme(s) (including Year of Study) to which this module is available on a required basis:

 

Programme(s) (including Year of Study) to which this module is available on an optional basis:

 

Teaching Schedule

  Lectures Seminars Tutorials Lab Practicals Fieldwork Placement Other TOTAL
Study Hours 24

6

      6

6

42
Timetable (if known) 120 mins X 1 totaling 24
 
60 mins X 1 totaling 6
 
      60 mins X 1 totaling 6
120 mins X 1 totaling 24
 
 
Private Study 108
TOTAL HOURS 150

Assessment

EXAM Duration Timing
(Semester)
% of
final
mark
Resit/resubmission
opportunity
Penalty for late
submission
Notes
Assessment 1: Written Timed Unseen Examination Assessment Type: Written Exam Duration: 2.5 hours Weighting: 100% Reassessment Opportunity: Yes Penalty for Late Submission: Standard UoL Pen  2.5 hours    100       
CONTINUOUS Duration Timing
(Semester)
% of
final
mark
Resit/resubmission
opportunity
Penalty for late
submission
Notes
             

Aims

The module aims to introduce students to the modern theory of finance and financial management. Theoretical concepts like the net present value, decision making under uncertainty, portfolio selection and the capital asset pricing model are introduced. These concepts serve as prerequisites for investment and financing decisions which are exemplified by an analysis of valuation of firms, capital structure decisions and dividend policy. More specifically, the topics covered are the value and capital budgeting, portfolio theory, models of security valuation, efficient markets, long-term financing, company dividend decisions, capital structure, and interactions of investment and financing decisions. In all cases contemporary examples will be used to make theory come to life.


Learning Outcomes

(LO1) Facilitate understanding of the main themes of modern financial management.

(LO2) Equip students with the tools and techniques of financial management.

(LO3) Enable students to interpret and critically examine financial management issues and controversies.

(LO4) Provide the necessary knowledge to allow students to progress to studying Business Finance in the third year.

(S1) Problem solving skills

(S2) Numeracy

(S3) Commercial awareness

(S4) Organisational skills

(S5) Communication skills

(S6) IT skills

(S7) International awareness

(S8) Lifelong learning skills

(S9) Ethical awareness


Teaching and Learning Strategies

Teaching Method: Online asynchronous learning materials
Delivery: Asynchronous chunked recordings with exercises for students to complete as they progress throughout the Virtual Learning Environment (VLE)
Unscheduled Directed Student Hours: 6
Attendance Recorded: No

Teaching Method: Synchronous Lecture
Description: 12 x 2 hour sessions
Scheduled Directed Student Hours: 24
Attendance Recorded: No

Teaching Method: Seminar
Description: First session will be introductory providing a discussion about what Financial Management Entails and what is expected of the students for this module and the skills they will build in undertaking the module. The remaining sessions will be scenario-based questions much like exam style questions that develop student understanding of key concepts in contemporary Financial Management. The final two sessions will go through the style of the exam and what to expect in more detail. For example they will be shown the tem plate that I will provide to assist students in completing the exam in the given time frame.
Scheduled Directed Student Hours: 6
Attendance Recorded: Yes

Teaching Method: Group Study
Description: 6 x set of weekly questions to be answered in groups. Students will post answers on Discussion Forums and solutions will be provided for students to go through in comparison to their answers. To foster student community and engagement by working with others on their ‘active learning’ activities
Scheduled Student Hours: 6
Attendance Recorded: No

Self-Directed Learning Hours: 108
Description: These independent learning hours are aimed at supporting the directed student learning. The module leader will provide guidance in the form of suggested readings and topics to examine with the expectation that students are well prepared to contribute to the tutorial activities and to understand the content of lectures. Self-Directed Learning will include research activity, developing academic writing skills, and wider reading to support the module

Costs Information:
There are no specific costs attached to this module.

There are the following non-modular requirements:
ACFI102 or ACFI103 and either ACFI111 or ECON111 (or equivalent).

Skills/Other Attributes Mapping

Skills / attributes: Lifelong learning skills
How this is developed: Taught
Mode of assessment (if applicable)

Skills / attributes: International awareness
How this is developed: Taught
Mode of assessment (if applicable)

Skills / attributes: IT skills
How this is developed: Where appropriate videos will be utilised to help students recreate in class examples.
Mode of assessment (if applicable)

Skills / attributes: Communication skills
How this is developed: The module will make use of a discussion forum where students will be expected to behave in a collegiate manner and help each other resolve que ries
Mode of assessment (if applicable)

Skills / attributes: Organisational skills
How this is developed: The module moves at a fast pace and it is essential that students take control of their studies.
Mode of assessment (if applicable)

Skills / attributes: Commercial awareness
How this is developed: Wherever possible lecture material will be related to the “real world"
Mode of assessment (if applicable)

Skills / attributes: Numeracy
How this is developed: Taught
Mode of assessment (if applicable): Assessment 1

Skills / attributes: Problem solving skills
How this is developed: Taught
Mode of assessment (if applicable)


Syllabus

 

An introduction to equity markets Laws: Ch 1. Further information in Arnold: Ch 9 & Ch 10;
Risk versus Return Laws: Ch2. Further information in Arnold: Ch 7;
The Capital Asset Pricing Model and Factor Models Laws: Ch2. Further information in Arnold: Ch 8;
The time value of money, dividend discount modeland the market and valuation of bonds Laws: Ch3 and Ch4. Further information in Arnold: Ch 2;
Capital Structure and the weighted average cost of capital Laws: Ch6. Further information in Arnold: Ch 10;
Valuation and Investment Decision Rules Laws: Ch5 and Ch6. Further information in Arnold: Ch 2;
Dividend Policy Laws: Ch3. Further information in Arnold: Ch 19;
Market Efficiency Laws: Ch1 and Arnold: Ch 13;
An introduction to FX markets, risk, hedging usingforward, futures, trading and hedging using futures Laws: Ch7 Ch8 Ch9. Further information in Arnold: Ch 21;
An introduction to equity options, fx options andhedging using fx options Laws: C h7 Ch8 Ch9. Further information in Arnold: Ch 21.


Recommended Texts

Reading lists are managed at readinglists.liverpool.ac.uk. Click here to access the reading lists for this module.