Financial Management (FNCE90060)
Graduate courseworkPoints: 12.5Dual-Delivery (Parkville)
From 2023 most subjects will be taught on campus only with flexible options limited to a select number of postgraduate programs and individual subjects.
To learn more, visit COVID-19 course and subject delivery.
Overview
| Availability | Semester 1 - Dual-Delivery Semester 2 - Dual-Delivery |
|---|---|
| Fees | Look up fees |
This subject is designed to equip students with the tools necessary to enable them to make the core decisions faced by managers and investors. The first part of the subject deals with establishing the environment in which organizations operate, namely the objectives of the suppliers of financial and human capital. The subject then considers the basic tools commonly employed by financial managers and investors including discounted cash flow techniques and financial mathematics. Measures and definitions of alternative forms of risk are considered and the relation between risk and expected reward in capital markets is established. Finally, the subject considers the important decisions faced by firms (such as investment, financing and dividend policy) and by investors (the composition of their optimal portfolio of stocks).
Intended learning outcomes
On successful completion of this subject, students should be able to:
- Analyse the environment in which organizations operate, namely the objectives of suppliers of financial and human capital;
- Apply basic financial mathematical techniques;
- Recognise the fundamentals of capital budgeting; the foundation for the use discounted cash flow techniques and the contribution of alternative methods of project evaluation;
- Explain the benefits of diversification and the main drivers of those benefits;
- Differentiate between alternative forms of risk and understand the link between risk and return in a competitive market;
- Describe the nature of leverage and the constraints borrowers face in its use;
- Evaluate the alternatives available to a firm when deciding how to distribute its profits;
- Analyse hedging decisions and their effect on investor and/or manager utility; and
- Understand the costs and incentive effects of alternate executive compensation packages.
Generic skills
On successful completion of this subject, students should have improved the following generic skills:
- An in-depth knowledge of capital markets through an interpretation and analysis of the environments in which these markets operate;
- Critical and evaluative thinking in relation to alternate forms of risk;
- Communication skills which will be developed through an engagement with business press reporting;
- Problem solving skills through discussion of decisions in relation to optimal debt levels for firms; optimal investment decision and optimal dividend policy;
- Synthesis of data and other information through discussion of alternatives in financial decision making;
- Evaluation of data and other information through differentiation of forms of risk;
- Interpersonal and decision-making skills and receptiveness to alternative ideas through tutorial and team work/collaborative exercises; and
- Ethical thinking and work practice skills in financial decision making through case studies.
Last updated: 31 January 2024
Eligibility and requirements
Prerequisites
None
Corequisites
None
Non-allowed subjects
| Code | Name | Teaching period | Credit Points |
|---|---|---|---|
| FNCE90065 | Fundamentals of Finance |
Semester 1 (Dual-Delivery - Parkville)
Semester 2 (Dual-Delivery - Parkville)
|
12.5 |
This subject is not available to students enrolled in MC-MGMTAFN Master of Management (Accounting and Finance).
Inherent requirements (core participation requirements)
The University of Melbourne is committed to providing students with reasonable adjustments to assessment and participation under the Disability Standards for Education (2005), and the Assessment and Results Policy (MPF1326). Students are expected to meet the core participation requirements for their course. These can be viewed under Entry and Participation Requirements for the course outlines in the Handbook.
Further details on how to seek academic adjustments can be found on the Student Equity and Disability Support website: http://services.unimelb.edu.au/student-equity/home
Last updated: 31 January 2024
Assessment
| Description | Timing | Percentage |
|---|---|---|
Group (normally 3-4 students per group) homework assignments to be assessed online via the LMS
| From Week 5 to Week 7 | 10% |
Group (normally 3-4 students per group) homework assignments to be assessed online via the LMS
| From Week 9 to Week 11 | 10% |
Mid-semester exam.
| Mid semester | 20% |
End-of-semester examination.
| During the examination period | 60% |
Last updated: 31 January 2024
Dates & times
- Semester 1
Principal coordinator Maurice McCourt Mode of delivery Dual-Delivery (Parkville) Contact hours One 3-hour lecture per week Total time commitment 170 hours Teaching period 28 February 2022 to 29 May 2022 Last self-enrol date 11 March 2022 Census date 31 March 2022 Last date to withdraw without fail 6 May 2022 Assessment period ends 24 June 2022 - Semester 2
Principal coordinator Yoon Kang Lee Mode of delivery Dual-Delivery (Parkville) Contact hours One 3-hour lecture per week Total time commitment 170 hours Teaching period 25 July 2022 to 23 October 2022 Last self-enrol date 5 August 2022 Census date 31 August 2022 Last date to withdraw without fail 23 September 2022 Assessment period ends 18 November 2022
Time commitment details
Estimated total time commitment of 170 hours per semester
Last updated: 31 January 2024
Further information
- Texts
- Related Handbook entries
This subject contributes to the following:
- Available through the Community Access Program
About the Community Access Program (CAP)
This subject is available through the Community Access Program (also called Single Subject Studies) which allows you to enrol in single subjects offered by the University of Melbourne, without the commitment required to complete a whole degree.
Please note Single Subject Studies via Community Access Program is not available to student visa holders or applicants
Entry requirements including prerequisites may apply. Please refer to the CAP applications page for further information.
- Available to Study Abroad and/or Study Exchange Students
Last updated: 31 January 2024