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Essentials of Corporate Valuation (FNCE30011)
Undergraduate level 3Points: 12.5On Campus (Parkville)
To learn more, visit 2023 Course and subject delivery.
About this subject
- Overview
- Eligibility and requirements
- Assessment
- Dates and times
- Further information
- Timetable(opens in new window)
Contact information
Semester 1
John Handley: handleyj@unimelb.edu.au
Overview
Availability | Semester 1 |
---|---|
Fees | Look up fees |
This subject examines the key concepts and methodologies used in the valuation of corporations and other business interests including stand‐alone projects, joint ventures and private equity. Topics include: cashflow‐based approaches, multiples‐based approaches, forecasting cashflows and earnings, estimating discount rates, adjustments for leverage, adjustments for imputation, the valuation of franking credits, adjustments for flexibility, valuation by replication, valuation in the digital economy. There will be an extensive use of real‐world examples and cases throughout the course.
Intended learning outcomes
On successful completion of this subject a student should be able to:
- Identify and explain the role of valuation in the economy
- Understand and apply cashflow-based valuation methods
- Understand and apply multiples-based valuation methods
- Analyse and interpret discount rates and earnings multiples
- Demonstrate and explain how to properly account for leverage and flexibility
- Examine the impact of imputation on alternative valuation methods
- Apply the principle of replication to value complex financial securities
- Critically evaluate the use of alternative valuation methods in the digital economy
Generic skills
- High level of development: written communication; problem solving; application of theory to practice;
critical thinking; interpretation and analysis; evaluation of data and other information - Moderate level of development: collaborative learning; statistical reasoning and analysis; synthesis of
data and other information; use of computer software; accessing data and other information from a
range of sources
Last updated: 31 January 2024
Eligibility and requirements
Prerequisites
One of
Code | Name | Teaching period | Credit Points |
---|---|---|---|
FNCE20005 | Corporate Financial Decision Making |
Semester 1 (On Campus - Parkville)
Summer Term (On Campus - Parkville)
Semester 2 (On Campus - Parkville)
|
12.5 |
FNCE20001 Business Finance
AND
One of
Code | Name | Teaching period | Credit Points |
---|---|---|---|
ECOM20001 | Econometrics 1 |
Semester 2 (On Campus - Parkville)
Semester 1 (On Campus - Parkville)
|
12.5 |
ECON20003 | Quantitative Methods 2 |
Semester 2 (On Campus - Parkville)
Semester 1 (On Campus - Parkville)
Summer Term (On Campus - Parkville)
|
12.5 |
MAST20004 | Probability |
Semester 2 (On Campus - Parkville)
Semester 1 (On Campus - Parkville)
|
12.5 |
MAST20005 | Statistics |
Semester 2 (On Campus - Parkville)
Summer Term (Dual-Delivery - Parkville)
|
12.5 |
MAST20006 | Probability for Statistics | Semester 1 (On Campus - Parkville) |
12.5 |
MAST20018 | Discrete Maths and Operations Research | Semester 2 (On Campus - Parkville) |
12.5 |
MAST20029 | Engineering Mathematics |
Summer Term (Dual-Delivery - Parkville)
Semester 1 (On Campus - Parkville)
Semester 2 (On Campus - Parkville)
|
12.5 |
Corequisites
None
Non-allowed subjects
None
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 |
---|---|---|
Take Home Exam
| From Week 4 to Week 6 | 10% |
Group assignment (in groups of 3 students)
| From Week 8 to Week 10 | 25% |
End-of-semester examination
| During the examination period | 65% |
Last updated: 31 January 2024
Dates & times
- Semester 1
Principal coordinator John Handley Mode of delivery On Campus (Parkville) Contact hours One 3‐hour seminar per week Total time commitment 170 hours Teaching period 27 February 2023 to 28 May 2023 Last self-enrol date 10 March 2023 Census date 31 March 2023 Last date to withdraw without fail 5 May 2023 Assessment period ends 23 June 2023 Semester 1 contact information
John Handley: handleyj@unimelb.edu.au
What do these dates mean
Visit this webpage to find out about these key dates, including how they impact on:
- Your tuition fees, academic transcript and statements.
- And for Commonwealth Supported students, your:
- Student Learning Entitlement. This applies to all students enrolled in a Commonwealth Supported Place (CSP).
Subjects withdrawn after the census date (including up to the ‘last day to withdraw without fail’) count toward the Student Learning Entitlement.
Last updated: 31 January 2024
Further information
- Texts
Prescribed texts
You will be advised of prescribed texts by the subject coordinator
- Breadth options
This subject is available as breadth in the following courses:
- Bachelor of Arts
- Bachelor of Biomedicine
- Bachelor of Fine Arts (Acting)
- Bachelor of Fine Arts (Animation)
- Bachelor of Fine Arts (Dance)
- Bachelor of Fine Arts (Film and Television)
- Bachelor of Fine Arts (Music Theatre)
- Bachelor of Fine Arts (Production)
- Bachelor of Fine Arts (Screenwriting)
- Bachelor of Fine Arts (Theatre)
- Bachelor of Fine Arts (Visual Art)
- Bachelor of Music
- Bachelor of Science
- Available to Study Abroad and/or Study Exchange Students
This subject is available to students studying at the University from eligible overseas institutions on exchange and study abroad. Students are required to satisfy any listed requirements, such as pre- and co-requisites, for enrolment in the subject.
Last updated: 31 January 2024