Academic year/semester: 2025/26/2

ECTS Credits: 4

Available for: All OU students

Lecture hours: 2
Seminarium:0
Practice: 2
Laboratory: 0
Consultation: 0

Prerequisites: -

Course Leader: Prof. Dr. Csiszárik-Kocsir Ágnes

Faculty: Keleti Károly Faculty of Business and Management, 1084 Budapest, Tavaszmező utca 17.

Course Description:
Financial conditions for businesses. Main types and characteristics of financial decisions. The objectives of financial decisions. Interests of management and owners. Corporate assets. Equity capital and its components. External capital and its elements. Corporate financing decisions. Financing strategy, principles of financing. Internal and external financing of companies. Interpretation and calculation of the cost of capital for a company. Investment decisions of companies. Valuation of investments. Decision problems, decision criteria. Investment calculations. Static and dynamic capital investment calculations and their methods. Risks associated with investment. Working capital decisions: inventory and cash management. Liquidity of companies. Assessing corporate financial performance.

Competences:
-

Topics:
1. Financial decisions in enterprises
2. Financing decisions
3. Sources of finance
4. The role of depreciation in financing
5. Capital structure
6. Cost of Capital and Leverage / Mid-term exam
7. The concept of investment
8. Investment economics calculations and investment risk
9. Valuation of financial performance - assets, liquidity
10. Evaluation of financial performance - return, profitability, efficiency
11. Working capital management - funds, inventory management
12. Working capital management - receivables management, cash management
13. Exam I.
14. Exam II.

Assessment: The signature is subject to the successful completion of the written exam, followed by the successful passing of the exam. - Writing 1 theoretical final examination with a minimum level of 50% during the semester, - 2 practical final examinations with a minimum of 50% in the semester, - writing of the final tests of the theoretical unit of study with a minimum level of 50% by the given deadline, - Absence from classes must not exceed the level specified in the TVSZ. - Semester performance is assessed on a five-point scale

Exam Types:

Written Exam

Compulsory bibliography: Brealey, R. A., Myers, S. C., Allen, F. (2016): Principles of Corporate Finance, 12th Edition. Irwin/McGraw-Hill. Jonathan Berk, Peter DeMarzo (2019): Corporate Finance, Pearson Education Limited Aswath Damodaran (2010): Applied corporate finance, Panem

Recommended bibliography: -

Additional bibliography: -

Additional Information: -