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Canyon College

online Financial Planning for Operations course at Canyon College

COURSE SYLLABUS: Financial Planning for Operations


Course Title:
Department:
Instructor:
HT491 - Financial Planning for Operations
Hospitality and Tourism
Catherine Moriarty, PhD (c), MS, BA - E-Mail - Vitae


Course Objectives:

In the field of finance, the goal is to create wealth. This course provides students not only with the tools and techniques of finance, but also with a conceptual understanding of the financial decision-making process. A look at the underlying principles of finance serve as a springboard for an interrelated problem-solving approach to application for the financial manager.

Required Textbook: Online Bookstore

The textbook for this class is Foundations of Finance: The Logic and Practice of Financial Management by Arthur Keown, John Martin, William Petty, and David Scott. Prentice Hall Publishing. Fourth Edition, 2003
ISBN #: 0130479829

Other Requirements:
  1. There will be two exams (one mid-term and one final). The format of the tests will be primarily multiple-choice but this is up to the instructor and may be changed and will cover the material that has been presented up to that point. Specifics of exam length and coverage will be dealt with prior to the exam dates. The exams will be completed no later than the last day of the week on week five and ten respectively.


    1. Exam one will cover fifty items and will end with chapter 8.

    2. Exam two will cover fifty items and will cover from chapter 9 to chapter 17.

    Hint: Exams will be taken online and graded by computer. The best way to prepare for exams is to read all assignments and to prepare for all assignments ahead of time. The easiest way to make a poor grade on an exam is to get behind and stay behind early. Also please note, exams are comprised primarily of multiple-choice questions so the answer is there. Make sure that if a question has a choice of two of the above, all of the above, or none of the above, you answer carefully and completely. Questions are not meant to be confusing, but read them carefully, looking closely at questions that say “not”.

  2. There will several written assignments as well for this class. The material that shall be covered will come directly from the readings in the text. The readings will be of specified length and should be properly documented. This class will take ten weeks to complete. At the end of week one, two, three, four, six, seven, eight, and nine there will be a written assignment due. At the end of the fifth and tenth week, there will be no written assignment due because of the exams. ***This is done to help the student. You may take the exam anytime after the assignment for week three and seven respectively, but you cannot start the written assignment for the next half of the class until the exam is taken. Potentially this class has a range of length. It could last 8 weeks up to but not over 10 weeks.


  3. Each of the written assignments are outlined below. They are due no later than the week they are given and no earlier than the week they are given as well. Grammar is very important. Please make sure that all assignments would be presentable in a business situation. In your work, take the perspective that I am the president of your company and the reports are meant to be used in our business. Please be consistent with documentation. Questions concerning the assignments should be sent to the instructor immediately when class starts and if they arise during the course, as soon as possible.
  1. Written assignment #1 - Chapters 1 and 2 - A) Answer Study Questions 1 – 10, page 26, and Study Questions 2 – 19, beginning on page 67. B) Work Self-Test Problem, page 26.


  2. Written assignment #2 - Chapters 3, 4, and 5 - A) In chapter 3, complete Study Questions 1 – 8 on page 90 and Study Problem 3-1 on page 91. B) Complete Self-Test Problems ST-1 and ST-2 of Chapter 4, page 124. C) In a half page essay, explain the limitations of ration analysis.

  3. Written assignment #3 - Chapters 6 and 7 - A) In an essay format, compare the historical relationship between risk and rates of return in the capital markets. Explain how diversifying investments affects the risk and expected rate of return of a portfolio or combination of assets. B) In chapter 7, summarize the main points regarding bonds. Distinguish between different kinds of bonds. Explain the more popular features of bonds. Explain three important relationships that exist in bond evaluation


  4. Written assignment #4 - Chapters 8 and 9 - A) C) Chapter 8 – Compare and contrast preferred stock with common stock. Complete Self-Test Problems ST-1 through ST-5 on page 243, chapter 8. B) Chapter 9 – Discuss the difficulty encountered in finding profitable projects in competitive markets and the importance of the search. Discuss the trends in the use of different capital-budgeting criteria. Explain how foreign markets provide opportunities for finding new capital-budgeting projects. B) Work Chapter 9, Self-Test Problem ST-1 on page 272


  5. Written assignment #5 - Chapters 10 and 11 - A) In chapter 10, explain the importance of “cash flows”. Identify guidelines by which we measure cash flows. Explain how a project’s benefits and costs, “free cash flows” are calculated. B) Work Self-Test Problem ST-1 on page 305. C) Discuss “cost of capital” . Describe the concepts underlying the firm’s cost of capital (technically its weighted average cost of capital) and the purpose for its calculation.


  6. Written assignment #6 - Chapters 12 and 13 - A) For Chapter 12, discuss the determination of the financing mix. Distinguish between business risk and financial risk. Explain the concept of an optimal capital structure. What are the main underpinnings of capital structure theory? B) Work Self-Test Problem ST-1, page 387. C) For Chapter 13, describe the trade-off between paying dividends and retaining the profits within the company. D) Work Self-Test Problems ST-1 and ST-2 on page 418.


  7. Written assignment #7 - Chapter 14 and 15 - A) For Chapter 14, Discuss financial forecasting. B) Work Self-Test Problems ST-1 and ST-2. Work Study Problems 14-1, 14-2, 14-3 and 14-4, page 439. C) Describe the risk-return trade-off involved in managing a firm’s working capital. Explain the determinants of net working capital. D) Work Self-Test problem ST-1 and ST-2, page 464.


  8. Written assignment #8 - Chapters 16 and 17 - A) For Chapter 16, Discuss why a firm holds cash. Discuss various cash management objectives and decisions that might occur. B) Work Self-Study problems St-1 and ST-2, page 496. C) Work Study Problem 16-3, page 497. D) For Chapter 17, discuss the internationalization of business. E) Discuss the risks in direct foreign investment.

Instructor availability:

I am available periodically at the e-mail address above. Please e-mail me any questions. That is why I am here. I will do everything to help you as much as possible. Please do not wait until the end of the class to try to get help. It will be too late. Anytime your grade falls below C, I will try to contact you about it. If I do not, please do not hesitate to contact me through e-mail.

Attendance requirements and submission deadlines:

You must submit all assignments on time as listed above. Other interactions are encouraged, but not necessary. Late assignments will result in point deductions for the written assignments. Late exams will only be allowed to be remade if the student has obtained an excuse before the exam. Warnings are given about exams prior to the beginning of the class. Interactions may be made with the instructor through "chat rooms" during the class. These are not required, but can be set up. E-mail usually is the easiest method to work with the instructor on material and the message boards. These appointments need to be made early and preparation is key here. Please ask questions early and often.

Grades and distribution: (points)

* Eight assignments, 100 points each
* Mid-term exam 100 total points
* Final exam 100 total points
Total points available 1000 total points for the class

Grading scale:

A
B
C
D
F
- Excellent
- Good
- Average
- Below average
- Failing
90% or more
80% or more up to 90%
70% or more up to 80%
60% or more up to 70%
Below 60%