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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 Business Finance
Code ECON304
Coordinator Dr EM Apps
Economics
E.Apps@liverpool.ac.uk
Year CATS Level Semester CATS Value
Session 2025-26 Level 6 FHEQ First Semester 15

Pre-requisites before taking this module (other modules and/or general educational/academic requirements):
ACFI103 INTRODUCTION TO FINANCE 2023-24 

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

         30
Timetable (if known)              
Private Study 120
TOTAL HOURS 150

Assessment
EXAM Duration Timing
(Semester)		 % of
final
mark		 Resit/resubmission
opportunity		 Penalty for late
submission		 Notes
Assessment 1: Written Unseen Examination Assessment Type: Written Exam Duration: 2 hours Weighting: 70% Reassessment Opportunity: Yes Penalty for Late Submission: Standard UoL Penalty Ap  2    70       
CONTINUOUS Duration Timing
(Semester)		 % of
final
mark		 Resit/resubmission
opportunity		 Penalty for late
submission		 Notes
Assessment 2: Video recorded interview Assessment Type: Practical Assessment Duration: 5 Minutes Weighting: 30% Reassessment Opportunity: Yes Penalty for Late Submission: Standard UoL Pe  5    30       

Aims

To provide students with a fundamental understanding of the core theoretical and empirical aspects involved in corporate finance. The course aims to build transferrable skills of students by concentrating on the fundamental theoretical and empirical principles.

Learning Outcomes

(LO1) Students will be able to determine and apply the principles of bonds and stocks valuation.

(LO2) Students will be able to undertake assessment of the term structure of interest rates.

(LO3) Students will be able to demonstrate an appreciation of and apply empirical and theoretical aspects of capital budgeting under uncertainty, market efficiency.

(LO4) Students will be able to demonstrate an understanding of portfolio theory and asset pricing models (CAPM,APT), and their applications to portfolio management and cost of capital.

(LO5) Students will be able to demonstrate an understanding of issues involved in Capital Structure and Dividend policy and their applications to Financing and the return of capital to shareholders

(LO6) Students will be able to apply the principles and practices involved in leasing, mergers and acquisitions and their relevance to contemporary situations.

(LO7) Students will be able to demonstrate an understanding of the functions and valuation principles of options, futures, and swaps.

(S1) Problem Solving Skills

(S2) Numeracy

(S3) Commercial Awareness

(S4) Communication Skills

Teaching and Learning Strategies

Teaching Method: Lecture
Scheduled Directed Student Hours: 24
Attendance Recorded: Yes

Teaching Method: Seminar
Scheduled Directed Student Hours: 6
Attendance Recorded: Yes

Self-Directed Learning Hours: 120
Description: Self-Directed Learning will include research activity, developing academic writing skills, and wider reading to support the module

This module is a pre-requisite for the following modules:
ACFI341, ACFI342

Skills/Other Attributes Mapping

Skills / attributes: Communication skills
How this is developed: Lectures and seminars, Articulating answers to questions in seminars and class and through both modes of assessment
Mode of assessment (if applicable): Examination and Coursework

Skills / attributes: Commercial Awareness
How this is developed: Lectures and seminars, problems facing SMEs and MNEs
Mode of assessment (if applicable): Examination and Coursework

Skills / at tributes: Numeracy
How this is developed: Lectures and seminars
Mode of assessment (if applicable): Examination

Skills / attributes: Problem solving skills
How this is developed: Lectures and seminars, matching class / homework questions to real world and contemporary scenarios
Mode of assessment (if applicable): Examination

Syllabus
 

Topics being covered over 12 weeks (In no particular order):
1) Bond & stock valuation; term structure of interest rates; raising finance
2) Capital budgeting
3) Capital structure and dividend policy: theories and empirical evidences
4) Asset pricing (CAPM and APT) – theories and empirical evidence
5) Multi-factor models and applications in practice (within the context of portfolio management
6) Mergers and Acquisitions
7) Leasing Contracts
8) Valuing Options and applications in hedging
9) Hedging foreign exchange and interest rate risk
10) Module round-up and assessment brief and preparation

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