MMM041-Business Finance

Module Provider: Business Informatics, Systems and Accounting
Number of credits: 20 [10 ECTS credits]
Level:7
Terms in which taught: Autumn term module
Pre-requisites:
Non-modular pre-requisites:
Co-requisites:
Modules excluded:
Current from: 2023/4

Module Convenor: Prof Jessica Yang
Email: j.h.yang@henley.ac.uk

Type of module:

Summary module description:

This module aims to introduce students to the nature of business finance and its role in business decision-making and provide a suitable foundation for advanced study.Ìý

Aims:

By the end of the module students should understand and be able to apply theories relating to capital investment, risk assessment and corporate financing choices.Ìý

Assessable learning outcomes:

By the end of the module it is expected that students will be able to:Ìý

1. Explain the role and essential features of business finance.ÌýÌý


2. Compare and contrast the main sources of finance available to a business and assess their costs and benefits from a management perspective.Ìý


3. Explain the nature and importance of capital investment decision-making, apply various techniques of investment appraisal to a range ofinvestment scenarios and make business recommendations thereon.Ìý


4. Explain the concept of risk, return and diversification in relation to investment and discuss methods proposed for dealing with risk.ÌýÌý


5. Explain and demonstrate how the capital structure of a business impacts on investment decision-making.Ìý


6. Explain and critically evaluate corporate dividend decisionsÌý


7. Discuss the factors which must beÌýtaken into accountÌýwhen managing the working capital of a businessÌý

Additional outcomes:

The module also aims to encourage the development of oral communication skills, and the students’ effectiveness in group situations. Structured activities are designed to develop independent learning skills. Students are encouraged to develop additional IT skills by use of relevant web resources and communication techniques, including Blackboard.Ìý

Outline content:

1. The nature of business financeÌý


2. ÌýCapital investment decision-makingÌý


3. ÌýSources of finance and capital structureÌý


4. ÌýRisk and returnÌý


5. ÌýDiversification and portfolio theoryÌý


6. ÌýCost of capital, capital structure and decision makingÌý


7. ÌýDividend policyÌý


8. ÌýWorking capital managementÌý

Brief description of teaching and learning methods:

Lectures will be used for the exposition of the major concepts, principles and techniques under consideration. Workshops will focus on student driven application.ÌýÌý

Contact hours:

Ìý	Autumn	Spring	Summer
Lectures	20		4
Seminars	12
Guided independent study:	Ìý	Ìý	Ìý
Ìý Ìý Wider reading (independent)	40
Ìý Ìý Advance preparation for classes	20
Ìý Ìý Preparation for tutorials	34
Ìý Ìý Revision and preparation	30
Ìý Ìý Essay preparation	30
Ìý Ìý Reflection	10
Ìý	Ìý	Ìý	Ìý
Total hours by term	196	0	4
Ìý	Ìý	Ìý	Ìý
Total hours for module	200

Summative Assessment Methods:

Method	Percentage
Written exam	70
Written assignment including essay	15
Class test administered by School	15

Summative assessment- Examinations:

One 2.5 hour closed book unseen written exam in the Summer term.

The examination for this module will require a narrowly defined time window and is likely to be held in a dedicated exam venue.

Summative assessment- Coursework and in-class tests:

OneÌý1 hourÌýMCQ testÌýin the Autumn term.

One groupÌýessay or case studyÌýassignment in Spring term (Week 2). TheÌýupper word limit for the written assignment is 3,000 wordsÌý(+/- 10%ÌýisÌýallowed). Penalties will be applied to coursework which exceeds the maximum word count.Ìý

Formative assessment methods:

Formative assessments are available in the textbook for all topics.ÌýÌý

InÌýadditionÌýquestions are available on Blackboard and students will practise questions in workshops. Marking guides and feedback are provided where appropriate so that students can assess their own performance.Ìý

Penalties for late submission:

The below information applies to students on taught programmes except those on Postgraduate Flexible programmes. Penalties for late submission, and the associated procedures, which apply to Postgraduate Flexible programmes are specified in the policy 'Penalties for late submission for Postgraduate Flexible programmes', which can be found here: /cqsd/-/media/project/functions/cqsd/documents/cqsd-old-site-documents/penaltiesforlatesubmissionpgflexible.pdf
The Support Centres will apply the following penalties for work submitted late:

• where the piece of work is submitted after the original deadline (or any formally agreed extension to the deadline): 10% of the total marks available for that piece of work will be deducted from the mark for each working day (or part thereof) following the deadline up to a total of five working days;
• where the piece of work is submitted more than five working days after the original deadline (or any formally agreed extension to the deadline): a mark of zero will be recorded.

The University policy statement on penalties for late submission can be found at: /cqsd/-/media/project/functions/cqsd/documents/cqsd-old-site-documents/penaltiesforlatesubmission.pdf
You are strongly advised to ensure that coursework is submitted by the relevant deadline. You should note that it is advisable to submit work in an unfinished state rather than to fail to submit any work.

Assessment requirements for a pass:
A weighted average mark of coursework and examination of 50%.

Reassessment arrangements:

By examination only (one 2.5-hour unseen written paper). Coursework will not be included in the re-assessment.ÌýÌý

Additional Costs (specified where applicable):

Cost	Amount
Ìý Ìý Ìý Required text books	£50
Ìý Ìý Ìý Printing and binding	£10

Last updated: 30 March 2023