21596 Investment and Financing Decisions
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Subject handbook information prior to 2025 is available in the Archives.
Credit points: 6 cp
Subject level: Undergraduate
Result type: Grade and marksRequisite(s): 21597 Principles of Money and Finance
There are course requisites for this subject. See access conditions.
Description
This subject aims to enhance students' financial skills, better enabling them to make the key decisions required in business, in particular the techniques required for the investment and financing decisions. Risk and time value of money concepts continue to be incorporated to ensure informed decisions are made.
Subject learning objectives (SLOs)
| 1. | Apply analytical techniques to make informed financial decisions |
|---|---|
| 2. | Explain the risk implications in both investment and financing decisions |
| 3. | Demonstrate an understanding of the different funding sources, and relate to appropriate contexts |
| 4. | Explain the different funding models including not for profit |
Contribution to the development of graduate attributes
This subject introduces students to the key decisions in financial management; the investment decision and the financing decision. It enhances their understanding of how risk and time value of money are incorporated into these important decisions.
This subject contributes to developing the following graduate attribute(s):
- Intellectual rigour and innovative problem solving
- Communication and collaboration
This subject also contributes specifically to develop the following Program Learning Objective(s):
- Identify, evaluate and analyse relevant information to creatively solve business problems (1.1)
Teaching and learning strategies
The subject is presented in seminar format. Essential principles are presented and analysed and students are lead through practical application exercises.
Content (topics)
- Project evaluation principles and methods
- The application of project methods
- Sources of funds – risks and returns
- Equity
- Debt
- Not for profit financing
Assessment
Assessment task 1: In-class tests (Individual)*
| Objective(s): | This addresses subject learning objective(s): 1, 2, 3 and 4 |
|---|---|
| Weight: | 30% |
| Criteria: | *Note: Late submission of the assessment task will not be marked and awarded a mark of zero. |
Assessment task 2: In-class project (Group)*
| Objective(s): | This addresses subject learning objective(s): 1 |
|---|---|
| Weight: | 30% |
| Criteria: | *Note: Late submission of the assessment task will not be marked and awarded a mark of zero. |
Assessment task 3: Project (Individual)
| Objective(s): | This addresses subject learning objective(s): 2, 3 and 4 |
|---|---|
| Weight: | 40% |
Minimum requirements
Students must achieve at least 50% of the subject’s total marks
Recommended texts
Ross, S.A., Trayler, R., Hambusch, G., Koh, C., Westerfield, R.W., and Jordan, B.D., 2020, Essentials of Corporate Finance, 5th edition, McGraw-Hill, Australia.