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363-0560-00L 3 Credits MSC D-MTEC , D-USYS

Introduction to Finance

Lecturers & Examiners: Dr. Silke Klara Waterstraat
Not for MAS students belonging to D-MTEC!
VVZ CR n/a

Last Updated: 2026-06-03 00:07:20

Abstract

The course explores fundamental financial decisions encountered by corporate managers and demonstrates how financial theory can be applied to address practical, real-world challenges.

Objective

After taking this course, students will be able to: • Analyze how organizations make investment and financing decisions using core financial principles. • Apply various valuation techniques to assess business opportunities. • Evaluate the limitations of financial tools and theories when applied to real-world scenarios. • Critically examine corporate policies such as capital budgeting, cost of capital, capital structure, and dividend decisions. • Assess the interplay between sustainability and finance, identifying risks and opportunities

Content

Financial management plays a crucial role in shaping a company's future, as today's capital investment decisions can define the industries and opportunities the firm will engage in 10, 20, or more years from now. This course focuses on the key financial decisions corporate managers face, covering major topics such as investment valuation, capital budgeting, capital structure, and payout policy. Students will not only develop the tools and mindset of a financial practitioner based on financial theory but also explore practical applications through real-world examples. Introduction to Finance is structured in five parts: The introductory part puts value topics into the spotlight, such as the time value of money concept, the valuation of bonds and stocks as well as the net present value and other investment criteria. The second part takes up risk and return and the third part capital budgeting. The fourth part focuses on different corporate financing options followed by lectures on capital structure and payout policies (part five). All lecture topics are complemented with real-world examples and sustainability aspects given its increasing importance in financial management.

Resources

Literature

Richard Brealey, Stewart Myers, Franklin Allen and Alex Edmans: Principles of Corporate Finance. International Student's Edition, 14th Edition

General Information

Language
English
Levels
MSC
Frequency
Yearly recurring

Examination

Type
end-of-semester examination
Mode
written 90 minutes
Aids
A non-programmable calculator. 1 DIN A4 Sheet to be completed by the student (content to be chosen by the student, both sides of the sheet can be used)
The grade will be based on a comprehensive final exam.

Course Components

Type Title Time & Place Hours
lecture Introduction to Finance
On the following date, the lesson will take place online: 28 September & 5 October 2026. The lecture takes place in presence and will be recorded. Please note that room HG D1.1 has 158 seats. The recordings can also be followed. We would like to point out that this lecture was read under the title "363-0560-00 Financial Management" in previous semesters. Students, who have already successfully completed the course "363-0560-00 Financial Management" in previous semesters can't register again.
No time listed 2 h weekly

Offered In