FI360 Financial Management

for S1T 2010

Printer Friendly

Mission Statement: The mission of Park University, an entrepreneurial institution of learning, is to provide access to academic excellence, which will prepare learners to think critically, communicate effectively and engage in lifelong learning while serving a global community.

Vision Statement: Park University will be a renowned international leader in providing innovative educational opportunities for learners within the global society.


FI 360 Financial Management


S1T 2010 DLD


Siu, Alfred C.


Adjunct Faculty


Doctor in Business Administration
Master in International Management
Bachelor of Commerce

Office Location

San Leandro, California

Office Hours

Monday to Friday 3:30 to 4:30 PM

Daytime Phone

(510) 895-8086

Other Phone

(510) 599-8086


Semester Dates

1/11/2010 to 3/07/2010

Class Days


Class Time



AC201 and AC202

Credit Hours



 Introduction to Corporate Finance, 2nd Edition


William L. Megginson --University of Oklahoma
Scott B. Smart --
IndianaUniversity, Bloominton


2nd Ed, 2009


South-Western Cengage Learning





Textbooks can be purchased through the MBS bookstore

Textbooks can be purchased through the Parkville Bookstore

Additional Resources:

In addition, you will need a financial calculator.  It is recommended that you use a Texas Instruments BA II Plus.  This is the model that is used in the textbook examples.  There are other financial calculators that will work (Sharp, HP etc.) however, they will not work exactly the same as the TI. The text also shows examples of how to solve problems using Excel.  However, it will not be possible to use a computer during the final protored exam. Recommended Readings: The Wall Street Journal Interactive Edition- Business Week - Fortune - The Economist -

McAfee Memorial Library - Online information, links, electronic databases and the Online catalog. Contact the library for further assistance via email or at 800-270-4347.
Career Counseling - The Career Development Center (CDC) provides services for all stages of career development.  The mission of the CDC is to provide the career planning tools to ensure a lifetime of career success.
Park Helpdesk - If you have forgotten your OPEN ID or Password, or need assistance with your PirateMail account, please email or call 800-927-3024
Resources for Current Students - A great place to look for all kinds of information
Advising - Park University would like to assist you in achieving your educational goals. Please contact your Campus Center for advising or enrollment adjustment information.
Online Classroom Technical Support - For technical assistance with the Online classroom, email or call the helpdesk at 866-301-PARK (7275). To see the technical requirements for Online courses, please visit the website, and click on the "Technical Requirements" link, and click on "BROWSER Test" to see if your system is ready.
FAQ's for Online Students - You might find the answer to your questions here.

Course Description:
The role of financial management through the development of a framework appropriate for financial decision making. Emphasis on obtaining and effectively utilizing the funds necessary for the operation of an enterprise. Elements of financial planning, capital budgeting, and consideration of alternative sources of funds. Prerequisites: AC201 and AC202 3:0:3

Educational Philosophy:

The facilitator’s educational philosophy is one of interactiveness based on lectures, readings, quizzes, dialogues, examinations, internet, web sites and writings. The facilitator will engage each learner in what is referred to as disputatious learning to encourage the lively exploration of ideas and issues.

Learning Outcomes:
  Core Learning Outcomes

  1. Describe the financial goals of the firm.
  2. Demonstrate an understanding of the principles that form the foundation of financial management.
  3. Evaluate financial statements including critical financial ratios.
  4. Calculate interest, rate, present value, and term of financial instruments.
  5. Determine values for stocks and bonds.
  6. Perform capital budgeting using more than one method.

Core Assessment:

The final exam for FI 360 will be the assessment tool used for this course. The exam will be comprehensive and the grade used to determine competency levels achieved by the students. The exam will be closed book and closed notes. The exam consists of multiple choice questions covering the chapter readings in the course and problems that examine the critical thinking, effective communication skills and technical skills of the student. Partial credit will be given for the problems.

Class Assessment:

Each student is responsible for:

  • Completing weekly reading assignments
  • Completing weekly homework application problems with teams
  • Participating in weekly online discussions
  • Completing a midterm exam
  • Completing a closed book final proctored exam

What is the homework Application Problems? - A number of application problems will be assigned each week to provide practical applications of financial techniques and methods of analysis. These problems will be selected from the end of chapters in the textbook. The solutions and analyses for these problems should be in detail, not just a reporting of final answers. This assignment is to be posted in the class Dropbox as one file at the end of each week.

What are the Online Discussion Questions? - A number of discussion questions will be posted weekly in a thread titled Discussion. Each student is required to answer each question, develop a complete answer, and post it in the thread. Also, the student must provide a substantive response to their peers, that goes beyond "I agree" or “I see what you mean"

Midterm Exam - The midterm will be administered during Week 4.  It will cover in the readings for weeks 1 thru 4.  The midterm will post in the Doc Sharing section of the course for review on Monday of that week.  You have until midnight Sunday to return the midterm to the Dropbox labeled "wk 4 midterm".  The exam will be open book, open notes, etc., please do not use your classmates as assistance to your completing this assignment.

Final Exam - The final exam will be taken in person during the 8th week of instruction at one of Park university sites around the country or at an alternate location approved by the instructor where ParkUniversity sites are not available.  Specific instructions regarding the exam will be posted later in the term.  It will be the student responsibility to arrange for a proctor by the 6th week of the term.  The proctor will be accepted and approved by the Instructor.  Park University site administrators, certified librarians, test centers at accredited colleges or universities are acceptable.  Approved Proctors may also include U.S. Embassy officials, military education officers, or testing control officers at U.S. military bases.  Excluded from approval as proctors are family members, relatives, neighbors, friends, clergy, employers, supervisors and co-workers. 

For proctored exams, photo identification is required at the time of the test.  A proctor request form will be made available to you during the first week of class so that you can send your requested proctor form in for approval.  Failure to take a final proctored exam will result in an automatic letter grade of "F" for the course.  Guidelines for selecting an acceptable proctor can be found on the Park University Website.

NOTE:  All written assignments and online postings in this course will be evaluated by the instructor using the following criteria:  thoroughness, application financial management concepts discussed in the readings, clarity, and creative thinking.


Evaluation The following table shows the points assigned for each component of required work in this course:   % of Grade

Weekly Homework Assignments:   40%
Weekly Discussion Questions:  15%
Midterm Examination:  15% 
Final Examination:  30%
Total:  100%
Grading Scale 
A = 90 - 100%
B = 80 - 89%
C = 70 - 79%
D = 60 - 69%
F = 59% or below

The course grade for students will be based on the overall average of homework and tests taken during the course in accordance with the weighting of the various requirements as stated in the syllabus.

All final exams in all School of Business courses will be comprehensive and will be closed book and closed notes. They will constitute 30% of the total course grade and will not be a take-home exam. They will be completed during the test week in the period designated by the registrar or by the Proctor in the case online courses. If calculators are allowed, they will not be multifunctional electronic devices that include features such as: phones, cameras, instant messaging, pagers, and so forth. Electronic Computers will not be allowed on final exams unless an exception is made by the Dean of the School of Business.

Late Submission of Course Materials:

Late assignments will only be accepted for week one homework.  The latest that week one homework will be accepted is by the end of week 2.  Late assignments will only be accepted for those of you who has not yet received your text by the start of class or by the end of week one.

 Any other late work will have 10% deduction in score per day late.

Classroom Rules of Conduct:

Students are expected to spend a substantial amount of time online and offline each week including but not limited to responding to the weekly conference discussions, sending/receiving Email, reading and viewing online lectures, completing online quizzes and tests, and conducting research over the World Wide Web.  A rule of thumb is that you should spend approximately 4-5 hours per week online reviewing course content and engaging in group work and discussion and an additional 4-6 hours per week on readings, preparing assignments, or completing papers or examinations.

Course Topic/Dates/Assignments:

Welcome to Financial Management (FI360), on line! This course focuses on the actions and interactions of financial management. Each week we'll focus on two or three chapters in our text.  

During Week 1, Chapters 1-2--our objective is to understand the goal of the firm, followed by a review of the legal forms of business organization, and a discussion of the tax implications relating to financial decisions. Ten Principles that form the foundations of financial management then follow. The market environment in which long-term capital is raised. The underlying rationale for the existence of security markets is presented, investment banking services and procedures are detailed, private placements are discussed, and security market regulation is reviewed. Further discussions cover rates of return over long periods and recent periods, interest rate determinants, and theories of the term structure of interest rates. 

During Week 2, Chapters 3-5--We review the contents and meaning of a firm’s income statement and balance sheet. We also look very carefully at how to compute a firm’s cash flows from a finance perspective, rather than from an accountant’s view, which in finance speak is called free cash flows. We will provide a set of key financial ratios and a discussion of their effective use. The concept of a time value of money is introduced; that is, a dollar today is worth more than a dollar received a year from now. 

During Week 3, Chapters 6-8--we examine the factors that determine rates of return (discount rates) in the capital markets. We also look at risk both in terms of the riskiness of an individual security and that of a portfolio of securities. We introduce the concepts that underlie asset valuation. We are specifically concerned with bonds. We also look at the concept of the bondholder's expected rate of return on an investment. We introduce concepts of underlying asset valuation; specifically with valuing preferred stock and common stock. We also look at the concept of a stockholder’s expected rate of return on an investment. 

During Week 4, Chapters 9-10, we'll have a Mid Term Exam and look at Capital budgeting and decision making. 

During Week 5 Chapters 11-13, We will determine the required rate of return to be used in evaluating investment projects. We then will focuse on useful aids to the financial manager in his or her determination of the firm’s proper financial structure. Lastly, we will determine the firm’s dividend policy. 

During Week 6, Chapters 14-15, We review an overview of the role played by forecasting in the firm’s planning process and focuse on the construction of detailed financial plans. We introduce working-capital management in terms of managing the firm’s liquidity.  

During Week 7, Chapters 16-17, we look at liquidity management and introduce some of the financial techniques and strategies necessary for the efficient operation of an international business.  

During the final week, we will assess the course itself, the contribution of each team member to the team's efforts, and have an assignment to review what has happened during the 8 weeks we were in this class. We will also have a significant exam review. The policy at ParkUniversity is for each of you to take a significant, proctored exam during the Eighth week of the class. Unless you are more then two hours from the nearest Park site, you are expected to take the exam at one of the Park sites. (People overseas or other wise out of the area of a Park site will be handled on an individual basis. If you think this applies to you, contact me before you submit your proctor form with details of your situation.) I will send the exam to your proctor; you will have to arrange a time to meet with the proctor and to take the exam, and then have the proctor send it to me. There is additional information below.  

Academic Honesty:
Academic integrity is the foundation of the academic community. Because each student has the primary responsibility for being academically honest, students are advised to read and understand all sections of this policy relating to standards of conduct and academic life.   Park University 2008-2009 Undergraduate Catalog Page 87

Plagiarism involves the use of quotations without quotation marks, the use of quotations without indication of the source, the use of another's idea without acknowledging the source, the submission of a paper, laboratory report, project, or class assignment (any portion of such) prepared by another person, or incorrect paraphrasing. Park University 2009-2010 Undergraduate Catalog Page 92

Attendance Policy:
Instructors are required to maintain attendance records and to report absences via the online attendance reporting system.

  1. The instructor may excuse absences for valid reasons, but missed work must be made up within the semester/term of enrollment.
  2. Work missed through unexcused absences must also be made up within the semester/term of enrollment, but unexcused absences may carry further penalties.
  3. In the event of two consecutive weeks of unexcused absences in a semester/term of enrollment, the student will be administratively withdrawn, resulting in a grade of "F".
  4. A "Contract for Incomplete" will not be issued to a student who has unexcused or excessive absences recorded for a course.
  5. Students receiving Military Tuition Assistance or Veterans Administration educational benefits must not exceed three unexcused absences in the semester/term of enrollment. Excessive absences will be reported to the appropriate agency and may result in a monetary penalty to the student.
  6. Report of a "F" grade (attendance or academic) resulting from excessive absence for those students who are receiving financial assistance from agencies not mentioned in item 5 above will be reported to the appropriate agency.
ONLINE NOTE: An attendance report of "P" (present) will be recorded for students who have logged in to the Online classroom at least once during each week of the term. Recording of attendance is not equivalent to participation. Participation grades will be assigned by each instructor according to the criteria in the Grading Policy section of the syllabus.

Park University 2009-2010 Undergraduate Catalog Page 95

Disability Guidelines:
Park University is committed to meeting the needs of all students that meet the criteria for special assistance. These guidelines are designed to supply directions to students concerning the information necessary to accomplish this goal. It is Park University's policy to comply fully with federal and state law, including Section 504 of the Rehabilitation Act of 1973 and the Americans with Disabilities Act of 1990, regarding students with disabilities. In the case of any inconsistency between these guidelines and federal and/or state law, the provisions of the law will apply. Additional information concerning Park University's policies and procedures related to disability can be found on the Park University web page: .


This material is protected by copyright and can not be reused without author permission.

Last Updated:12/7/2009 12:52:21 PM