BA3341

Sec 501

BUSINESS FINANCE
Spring 2006

Instructor: Amal El-Ashmawi

Office: SOM 3.228 / 972-883-6276 (E-mail is a better way to contact me)
Email: Through WebCT / ahe0013000@utdallas.edu

Classroom: SOM 2.115

Time: Tuesday 7:00 PM – 9:45 PM

Office Hours: Tuesday 6:00 – 7:00 PM and after class

Prerequisites: AIM-2301(Intro to Financial Accounting)

AIM-2302(Into to Managerial Accounting)
MATH-1326 & MATH-2333
Co-requisite: STAT-3360

Text: Fundamentals of Corporate Finance by Ross, Westerfield and

Jordan, 7th Edition.

Calculator: A financial calculator is not required for this class, but is very
highly recommended. I will work with students on using the TI BA
II PLUS. It should help with homework problems and exams.

Drop/Withdrawal Deadlines and other dates to remember:

Last day to drop without a “W” is Wednesday, January 25, 06
WP/WF withdraw period begins Monday, February 13, 06
Last day to withdraw with WP/WF is Thursday, March 16, 06

Grading:
EXAM I 25%
EXAM II 25%
FINAL EXAM 40%
PARTICIPATION 10%
Exams will be conceptual and problem solving multiple choice questions. Bring a
calculator, scantron and pencil with you to each exam. Formula sheets (Appendix B) and
time value tables (Appendix A) will be provided. Financial calculators are permitted.
No electronics, other than calculators are allowed during exams. Cell phones and PDAs
must be turned off and tucked away. All exams are closed book and closed notes.
No makeup exams will be
given. If you miss one of the first two exams due to an emergency your final will count
for 65% of your semester grade, provided you make arrangements with me prior to
missing the exam.
Final exam is comprehensive and you must attend it to receive a passing grade in this
class. Final grades awarded will be letter grades (no +/- will be given)
Participation includes assignments, which will be posted on WebCT, attendance and
short quizzes and will count for 10% of your total semester grade. There will be a quiz at
the beginning of each class over the material covered in the previous meeting.
If you miss a class it is your responsibility to get your assignment turned in and makeup
what you missed. It is also your responsibility to sign the class roll which will be passed
during each class meeting.

I believe that all distractions to students and instructor should be avoided for the
benefit of all.
Cell phones must be turned off during class meetings.
I require, and expect, all students to properly conduct themselves and show courtesy
and respect at all times.
No group talking is allowed in class, unless specifically permitted by the instructor.
If you need to leave class before being dismissed, make sure to choose a seat close to
the door where you can leave with minimal disruption to the class.

NOTICE OF POLICY OF CHEATING:

Policy on Cheating: Students are expected to be above reproach in all scholastic
activities. Students who engage in scholastic dishonesty are subject to disciplinary
penalties, including the possibility of failure in the course and dismissal from the
university. “Scholastic dishonesty includes but not limited to cheating, plagiarism,
collusion, the submission for credit of any work or materials that are attributable in whole
or in part to another person, taking an examination for another person, any act designed
to give unfair advantage to a student or the attempt to commit such acts.” Regents’ Rules
and Regulations, Part One, Chapter VI, Section 3, Subsection 3.2, Subdivision 3.22.

End-of chapter problems:

Even though links to end-of-chapter problems solutions will be available on my webpage,
it is strongly recommended that you work them yourself first. These problems are not to
be turned in, but the more problems you work the better understanding of the material
you will gain.
 TENTATIVE COURSE OUTLINE

DATE TOPIC CHAPTERS

1/10/06 Introduction and overview 1

Financial Statements Review parts of 2, 3

1/17/06 Time Value of Money 5, 6

1/24/06 Time Value of Money continued 6

Use of Financial Calculator
Exercise and Practice Problems

1/31/06 Bond Valuation 7

2/7/06 Exam I

2/14/06 Exam I Review

Stock Valuation 8

2/21/06 Capital Budgeting Under Certainty 9, 10

2/28/06 Capital Budgeting Continued 10, 11

Exercise and Practice Problems

3/7/06 Spring Break (No Class)

3/14/06 Risk and Return 12

3/21/06 Exam II

3/28/06 Risk Analysis Continued 13

Capital Budgeting Under Risk
Exercise and Practice Problems

4/4/06 Cost of Capital 15

4/11/06 Leverage & Capital Structure 16, 17

4/18/06 Discussion and Review

4/25/06 Final Exam Comprehensive