Course No:           Act 621

Course Name:      Financial Management

Course Description:      

Introduction to Financial management, Concepts and Models in valuation. The time value of money. Fundamentals of Risks and portfolio analysis. Valuation of Standard bonds. The Capital Asset Pricing Model. The Arbitrage Pricing Model, and other valuation Models.

The Cost of Capital structure and Dividend Policy. The Cost of Capital, Capital structure theory, Capital structure policy and optimal Capital structure. Internal financing and dividends policy.

Capital Budgeting, The basis of Capital budgeting, the determination and use of cash flow, mutually exclusive investments and capital rationing. Annual equivalent cost and replacement decisions. Risk analysis and the optimal capital budget

Islamic guidelines for financial management. The rational of prohibition of interest, Alternate capital structure, capital budgeting in an Interest free economy, working capital management in 100% equity Capital structure.
 
Course Review:      

This course is a step ahead of the core accounting and basic finance course, it aims to enhance the concepts of model valuation, time value of money, fundamentals of risk and portfolio analysis, valuation of standard bonds, CAPM, Arbitrage pricing model, cost of capital structure and dividend policy, Capital budgeting, determination and uses of cash flow, mutually exclusive investments and capital rationing, annual equivalent cost and replacement decisions, risk analysis and the optimal capital budget.