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UnitLevel 2Undergraduate

BFX2140 Corporate finance

Faculty of Business and Economics

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BFX2140 Corporate finance is a level 2, 6-credit-point, undergraduate unit from the Faculty of Business and Economics. It isn't offered in 2023. It needs ECW1101, ECB1101, ECX2953, ECC1000 or ECF1100 and unlocks 16 units, leading on to 25 units in all.

Credit points
6
Offered in 2023
Not offered
Assessment
Exam 50%
and 1 other task
Workload
144 hours
per semester

This is the 2023 handbook entry. See the 2027 entry.

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Requisites

Before BFX2140

Prerequisites

Pass these before you enrol.

One of

Prohibitions

You can't enrol if you have passed any of these.

One of

After BFX2140

16 units list BFX2140 as a prerequisite or corequisite.

Show 8 more

Equivalent units

The same content under another code. Only one of them counts.

Overview

The aim of this unit is to introduce you to the theory and application of why and how value enhancing corporate financial decisions are made and implemented. With the emphasis on publicly listed companies, topics covered include: the corporate objective of management; investment evaluation models; valuation of equity and debt instruments; sources and types of funding; issues in risk and return; portfolio theory; asset pricing models; issues in capital structure and dividend policy; and the efficiency of capital markets. The unit is designed to ensure you gain the necessary skill set for making value-changing financial decisions to maximise firm value.

Offerings in 2023

The 2023 handbook lists no offerings for BFX2140.

Assessment

  • Within semester assessment
    50%
  • ExaminationThreshold hurdle
    50%

Learning outcomes

When you finish this unit, you should be able to:

  1. 1

    evaluate investment options and value of equity and debt instruments

  2. 2

    explain portfolio theory and show how the theory can be extended to price risky assets

  3. 3

    estimate the appropriate cost of capital for investment appraisal purposes

  4. 4

    analyse issues determining capital structure and dividend policy

  5. 5

    apply critical thinking, problem solving and presentation skills to individual and/or group activities dealing with corporate finance, and demonstrate in an individual summative assessment task the acquisition of a comprehensive understanding of the topics covered by BFF2140.

Workload and teaching

  • Lectures24 hours
  • Tutorials20 hours
  • Teaching approachActive learning

Minimum total expected workload to achieve the learning outcomes for this unit is 144 hours per semester typically comprising a mixture of scheduled learning activities and independent study. Independent study may include associated readings, assessment and preparation for scheduled activities. The unit requires on average three/four hours of scheduled activities per week. Scheduled activities may include a combination of teacher directed learning, peer directed learning and online engagement.

This unit engages you in actively applying your knowledge, skills and attributes in interactive, collaborative and reflective activities.

Learning resources

Required resources

Berk, J., DeMarzo, P., Harford, J., Ford, G., Mollica, V. and Finch, N. (2018). Fundamentals of Corporate Finance (3rd edition) Pearson Australia, Frenchs Forest, NSW.

Technology resources

There may be an additional cost associated with purchasing a physical and/or virtual calculator. Specific details will be provided in the Learning Management System by commencement of Orientation week.

Where it fits

BFX2140 is part of 9 areas of study in the 2023 handbook.

Contacts

Chief Examiners
Joshua Shemesh

Common questions

What are the prerequisites for BFX2140?

You need ECW1101, ECB1101, ECX2953, ECC1000 or ECF1100 before you enrol.

What can I take after BFX2140?

BFX2140 is a prerequisite or corequisite for 16 units, including ACX3150, BFB3121, BFC2751, BFC3140, BFC3170 and BFC3240. Those lead on to 25 units in all.

When is BFX2140 offered?

BFX2140 has no offerings listed in the 2023 handbook.

How much work is BFX2140?

The handbook expects about 144 hours of study across the semester. No students have rated its difficulty yet.

Does BFX2140 have an exam?

Yes. The exam is worth 50% of the final mark, alongside 1 other task.

Which majors and minors include BFX2140?

BFX2140 is part of Accounting; Actuarial studies; Banking and finance; Finance; and Finance and economics, and 1 other area of study.

More details

Credit points
6
Level
2
Study level
Undergraduate
Faculty
Faculty of Business and Economics
Organisational unit
Department of Banking and Finance
Type
Coursework
EFTSL
0.125
Student contribution
SCA Band 4
Study abroad
Available
Handbook years
2021202220232024202520262027