ECO684 - CORPORATE FINANCE
| Course Name | Code | Semester | Theory (hours/week) |
Application (hours/week) |
Credit | ECTS |
|---|---|---|---|---|---|---|
| CORPORATE FINANCE | ECO684 | Any Semester/Year | 3 | 0 | 3 | 7 |
| Prequisites | None | |||||
| Course language | Turkish | |||||
| Course type | Elective | |||||
| Mode of Delivery | Face-to-Face | |||||
| Learning and teaching strategies | Lecture Problem Solving | |||||
| Instructor (s) | Academic Staff | |||||
| Course objective | The goal of this course is to provide an introduction, at graduate level, to current theoretical research in corporate finance. | |||||
| Learning outcomes |
| |||||
| Course Content | Introduction to game theory. Corporate governance. Corporate financing: some stylized facts. Corporate financing: agency costs and financing capacity. Determinants of borrowing capacity. Liquidity and risk management. Corporate financing under asymmetric information. Monitoring in corporate finance. Control rights and corporate governance. Takeovers. Consumer liquidity demand. Credit rationing. Mergers and acquisitions. Aggregate liquidity shortages and liquidity asset pricing. | |||||
| References | Tirole, J. The Theory of Corporate Finance. Princeton, NJ: Princeton University Press, 2006. Matos, J. A. de. Theoretical Foundations of Corporate Finance, Princeton, NJ: Princeton University Press, 2002. | |||||
Course outline weekly
| Weeks | Topics |
|---|---|
| Week 1 | Introduction to game theory |
| Week 2 | Corporate governance |
| Week 3 | Corporate financing: some stylized facts |
| Week 4 | Corporate financing: agency costs and financing capacity |
| Week 5 | Determinants of borrowing capacity |
| Week 6 | Midterm exam 1 |
| Week 7 | Liquidity and risk management |
| Week 8 | Corporate financing under asymmetric information |
| Week 9 | Monitoring in corporate finance |
| Week 10 | Control rights and corporate governance |
| Week 11 | Midterm exam 2 |
| Week 12 | Takeovers |
| Week 13 | Consumer liquidity demand |
| Week 14 | Credit rationing |
| Week 15 | Mergers and acquisitions |
| Week 16 | Aggregate liquidity shortages and liquidity asset pricing |
Assesment methods
| Course activities | Number | Percentage |
|---|---|---|
| Attendance | 0 | 0 |
| Laboratory | 0 | 0 |
| Application | 0 | 0 |
| Field activities | 0 | 0 |
| Specific practical training | 0 | 0 |
| Assignments | 0 | 0 |
| Presentation | 0 | 0 |
| Project | 0 | 0 |
| Seminar | 0 | 0 |
| Midterms | 2 | 50 |
| Final exam | 1 | 50 |
| Total | 100 | |
| Percentage of semester activities contributing grade succes | 1 | 50 |
| Percentage of final exam contributing grade succes | 1 | 50 |
| Total | 100 | |
WORKLOAD AND ECTS CALCULATION
| Activities | Number | Duration (hour) | Total Work Load |
|---|---|---|---|
| Course Duration (x14) | 14 | 3 | 42 |
| Laboratory | 0 | 0 | 0 |
| Application | 0 | 0 | 0 |
| Specific practical training | 0 | 0 | 0 |
| Field activities | 0 | 0 | 0 |
| Study Hours Out of Class (Preliminary work, reinforcement, ect) | 16 | 7 | 112 |
| Presentation / Seminar Preparation | 0 | 0 | 0 |
| Project | 0 | 0 | 0 |
| Homework assignment | 0 | 0 | 0 |
| Midterms (Study duration) | 2 | 15 | 30 |
| Final Exam (Study duration) | 1 | 26 | 26 |
| Total Workload | 33 | 51 | 210 |
Matrix Of The Course Learning Outcomes Versus Program Outcomes
| D.9. Key Learning Outcomes | Contrubition level* | ||||
|---|---|---|---|---|---|
| 1 | 2 | 3 | 4 | 5 | |
| 1. To understand theoretical developments in financial economics. | X | ||||
| 2. To have a good grasp in methods and techniques to use and test theoretical approaches in the field. | X | ||||
| 3. To understand the interdisciplinary nature of financial economics. | X | ||||
| 4. To know the applications in the field of financial economics and propose appropriate solutions to practical problems. | X | ||||
| 5. To offer appropriate policy suggestions in response to new financial developments. | X | ||||
| 6. To understand and explain the effects of international financial developments on national economy and the interdependencies between the two. | X | ||||
| 7. To comprehend pricing and diversification of financial assets and risk management. | X | ||||
| 8. To understand country risk and rating analysis and evaluate their effects on national economy. | X | ||||
| 9. To know theoretical and empirical concepts in financial economics to follow the related literature. | X | ||||
| 10. To access and evaluate financial data and interpret them. | X | ||||
| 11. To conduct independent empirical studies in financial economics by using software. | X | ||||
| 12. To understand different market structures in which financial firms operate and their impacts on firm behavior. | X | ||||
| 13. To suggest policies for financial markets depending on their significance and distinctive features. | X | ||||
| 14. To develop the capacity to construct unique ideas in their research without ethical breaches such as plagiarism, forgery and distortion. | X | ||||
*1 Lowest, 2 Low, 3 Average, 4 High, 5 Highest