Corporate Finance

Teachers

Included in study programs

Teaching results

- understand the selected key areas of financial management of a company. We will put special focus on capital structure and financial stability.
- apply the acquired theoretical knowledge to the solution of practical examples also in connection with the integration of the Slovak economy into the European and world economy.
- Develop analytical skills of students.
I. Knowledge and understanding
After studying this subject, students will be able to:
- Apply the acquired knowledge to analyse and understand the key issues, theories and conceptual frameworks related to corporate finance and financial management;
- Discuss a variety of theories of corporate finance and financial management to produce recommendations and support effective decision making in practice;
- Understand the role and importance of financial management in a company;
- Evaluate, justify and apply research in the field of corporate finance.
II. Skills
After studying this subject, students will be able to:
- communicate key issues and arguments related to corporate finance and financial management;
- describe problems and issues related to corporate finance in new and diverse situations, clearly argument on them and draw appropriate and useful recommendations,
- Apply and synthesize knowledge from the field of corporate finance.
III. Competence
After studying this subject, students will be able to:
- work as an individual or as a member of a professional team or as a team leader in the field of corporate finance,
- critically analyze financial management issues and draw conclusions.

Indicative content

• Financial and capital structure and their determinants, financial stability
• Balance sheet structure, rules of financing, basic financial calculations
• Financial analysis as instrument for reviewing financial stability, Financial indicators, cash-flow analysis
• The cost of capital, Cost of capital components, average cost of capital, Optimal level of capital budget
• Impact of risk on capital structure (operating and financial risk, risk of financial distress),
• Models of the optimal capital structure,
• Dividend theory and policy,
• Company valuation and methods of their calculation,
• Mergers and their relation to capital structure,
• Financial problems and termination of company

Support literature

SIVÁK, R. a kol.: Kapitálová štruktúra podnikateľských subjektov. Bratislava: Sprint dva, 2019.
BREALEY, R. A. - MYERS, S. C. - ALLEN, F. Principles of corporate finance. 9th ed. New York : McGraw-Hill/Irwin.
BRIGHAM, E. F. - DAVES, P. R. Intermediate financial management. 9. ed. Mason: Thomson/South-Western, 2007.
ROSS, S. A. Corporate Finance: Core Principles and Applications. New York: McGraw-Hill Education, 2017.

Requirements to complete the course

Independent work, ongoing tests, Written exam
Mid-term test = 20%
Semester-end test = 20%
Written exam = 60%

Student workload

156 h
External study: Participation in consultations = 24, Preparation for consultations = 12, Preparation for exam = 120

Language whose command is required to complete the course

slovak

Date of approval: 06.02.2023

Date of the latest change: 27.01.2022