Finance Track

This course acquaints students with the conceptual and practical problems in measuring revenues and expenses, assets and liabilities. The principal objective is to make students proficient in assessing the financial position of a company, its cash flow, liquidity, capital structure, hidden liabilities, and reserves through an understanding of generally accepted accounting principles (GAAP). The course provides a practical overview of the structure of accounting and its relation to finance and economics that should continue to be valuable as the accounting environment changes.

Prerequisites: ACC 401 and FIN 402

This course addresses the accounting for mergers and acquisitions, foreign operations, and derivative financial instruments. Emphasis is placed on developing an appreciation of the forces shaping accounting, including the effects of organizational arrangements, information and taxes. The interdependency of the accounting methods, organizational structure, and tax decisions are investigated.

Prerequisites: ACC 401 and FIN 402

Macroeconomics is the study of how economies grow and fluctuate over time, and how they interact with one another. In this course, we discuss economic measurement, economic growth, and the business cycle. We also discuss the implication of modern theories of growth and fluctuation for the conduct of monetary policy and fiscal policy. There is a strong emphasis on the international linkage among economies and the implications of macroeconomics for the business environment.

This course provides intensive study of the fundamental ideas of option-pricing theory and their application to options, financial futures and other securities; analysis of hedging with forward and futures contracts; development of the Black-Scholes option-pricing formula, its uses and modifications, and generalizations of the model; and discussion of the structure and organization of options and futures markets, and the exploration of empirical evidence on the validity of option-pricing models. Analyses of the pricing of options on futures, foreign currency, portfolios and indexes, commodity prices, bond prices, and interest rates are included as time permits.

Prerequisites: FIN 402 and FIN 411

This course provides intensive exercise in valuation methods and the economic analysis of problems of corporate financial policy. A variety of other topics, including insider trading, portfolio performance and asset allocation, are also explored. Specific case topics include: corporate valuations; M&A transactions (tender offers, mergers, proxy fights); recapitalizations; stock repurchases; and novel securities. Case reports are done in teams and judged on clarity and usefulness to practitioners in understanding and resolving strategic problems.

This course provides an introduction to the evolving use of technology in financial markets and applications. One area of focus is “blockchain” technology in financial transactions, markets, permanent historical records and cryptocurrencies. The other major area of focus is innovations such as peer-to-peer transactions and the use of artificial intelligence in evaluating and funding investments. Throughout we will consider the prospects for the success of the new technologies, asking questions such as: How revolutionary are the various parts of Fintech? What are the hidden pitfalls of the technology/business models to individuals, companies and/or society? How will major financial institutions and governments react? What changes are required in legal rules (including internationally) to accommodate Fintech? The course will require working with large data sets (the blockchain) and specific cryptocurrency implementations. While computer programming skills are not required as a pre-requisite, success in the course will require that students learn the basics of the computer science concepts of public-key cryptography, data verification, and simple programming structures (loops, branching).

Pre-requisites: FIN 402 or equivalent

The objective of this course is to undertake a rigorous study of fixed-income securities and markets. A variety of fixed-income securities will be discussed including coupon bonds, callable and puttable bonds, sinking fund provisions, and floating rate notes. Interest rate derivatives such as forwards and futures on fixed-income securities, bond options, options on bond futures, caps, floors, and collars will also be discussed. In addition, we will study some tools that are useful in bond portfolio management including horizon analysis, duration, optimization techniques for constructing bond portfolios and modes for pricing fixed-income securities. While the perspective of this course is from the viewpoint of a bond investor, a person in corporate finance needs to understand similar material. Evaluating an investment in a fixed-income security is the mirror image of the problem faced by a corporation in deciding whether or not to issue a bond.

Prerequisites: FIN 402 and FIN 411

This course acquaints students with the conceptual and practical problems in measuring revenues and expenses, assets and liabilities. The principal objective is to make students proficient in assessing the financial position of a company, its cash flow, liquidity, capital structure, hidden liabilities, and reserves through an understanding of generally accepted accounting principles (GAAP). The course provides a practical overview of the structure of accounting and its relation to finance and economics that should continue to be valuable as the accounting environment changes.

This course draws on a mix of concepts from economics, strategy, and technology to frame and understand issues relating to the management of digital products, services, and platforms. It is targeted at students who wish to pursue product management or similar roles in technology firms, or in firms that invest in technology companies. The course focuses on the interconnections between technology, business models, and user experience. Topics covered include the economics of digital products, innovation, platform architecture, design, monetization, and growth.

The focus of ENT 423 is learning how to prepare an effective business plan that will communicate the inherent value of the concept. Among the critical issues that will be addressed are: competitive conditions and industry trends, sustainable competitive advantages, management team, marketing plan, financial plan, exit possibilities, franchising, legal entities. The approach used is appropriate for start-ups and for corporate venturing. It is also suitable for both profit and for not-for-profit organizations. Also included is a social entrepreneurship module. At the same time plans are prepared, other entrepreneurial issues are studied, such as assembly resources, launching and building new ventures and harvesting results. Lectures, cases and guest speakers are utilized. The speakers will address a range of new venture topics from the development of management teams, marketing, finance, venture capitalists and legal issues. The completion of a business plan for a proposed new venture is required.

This course provides intensive study of the fundamental ideas of option-pricing theory and their application to options, financial futures and other securities; analysis of hedging with forward and futures contracts; development of the Black-Scholes option-pricing formula, its uses and modifications, and generalizations of the model; and discussion of the structure and organization of options and futures markets, and the exploration of empirical evidence on the validity of option-pricing models. Analyses of the pricing of options on futures, foreign currency, portfolios and indexes, commodity prices, bond prices, and interest rates are included as time permits.

This course provides intensive exercise in valuation methods and the economic analysis of problems of corporate financial policy. A variety of other topics, including insider trading, portfolio performance and asset allocation, are also explored. Specific case topics include: corporate valuations; M&A transactions (tender offers, mergers, proxy fights); recapitalizations; stock repurchases; and novel securities. Case reports are done in teams and judged on clarity and usefulness to practitioners in understanding and resolving strategic problems.

This course provides an introduction to the evolving use of technology in financial markets and applications. One area of focus is “blockchain” technology in financial transactions, markets, permanent historical records and cryptocurrencies. The other major area of focus is innovations such as peer-to-peer transactions and the use of artificial intelligence in evaluating and funding investments. Throughout we will consider the prospects for the success of the new technologies, asking questions such as: How revolutionary are the various parts of Fintech? What are the hidden pitfalls of the technology/business models to individuals, companies and/or society? How will major financial institutions and governments react? What changes are required in legal rules (including internationally) to accommodate Fintech? The course will require working with large data sets (the blockchain) and specific cryptocurrency implementations. While computer programming skills are not required as a pre-requisite, success in the course will require that students learn the basics of the computer science concepts of public-key cryptography, data verification, and simple programming structures (loops, branching).

This course builds on STR 403 Organization and Strategy to provide a more in-depth analysis of organizational choice and governance mechanisms. Topics include: the choice of organizational form; corporate charter (voting rules, anti-takeover provisions, and so on); proxy process; board of directors; ownership structure; banks and other financial institutions as organizational monitors; CEO selection, retention and succession; and governance in entrepreneurial firms. The class presents the important issues relating to these topics and examines the relevant empirical research. Emphasis is placed on how optimal practices can vary across industry, strategy, and country and on how they might evolve through time. The course complements FIN 411 (Investments) and FIN 423 (Corporate Financial Policy and Control) in helping students understand how corporate policies affect security prices and value.