CORPORATE FINANCE

The course provides the theoretical guidelines and methods necessary to carry out a detailed analysis of business performance and the cost of capital, as well as for realizing investment decisions that consider the firm's financial structure, all in light of the principle of creating value for shareholders and company stakeholders.

Topics that will be covered include: introduction to corporate finance and its role within the firm; financial statements reclassification; cash flow statement and financial analysis (determination of financial ratios, cash flows and outlook); the financial value of time, the opportunity cost of capital and the net present value criterion; the cost of equity and other forms of financing; investment evaluation criteria; analysis of relevant flows and incentives to create value; risk analysis in the evaluation of investments; principles of capital structure decisions.

Knowledge and understanding
At the end of the course, the student will have acquired basic knowledge necessary to analyze, understand and interpret the main theoretical models in the field of corporate finance and their main applications in business reality. More specifically, the student will have acquired knowledge of the elements relating to financial analysis, the evaluation of corporate investments, the cost of corporate capital and the principles of financial structures.

Autonomy of judgment
At the end of the course, the student will be able to understand and employ the main tools to produce and interpret relevant measures of business performance and the cost of capital, as well as to make decisions on investment projects. Finally, the student will be able to interpret the logic underlying the corporate financial structure, in order to create value for shareholders.

Communication skills
Through the theoretical notions acquired, the student will be able to express qualitative / quantitative judgments regarding the conditions of investment feasibility, their profitability, as well as the efficiency of the related financial structure.

For an adeguate understanding of the phenomena that will be explored throughout the course, students are advised to have a basic knowledge of management and accounting.

Lesson 1 / 4 November 2021 [14.30-16.30] : The role of corporate finance within the firm (Chapters 1, 2 & 3)
Lesson 2 / 5 November 2021 [14.00-16.30] : Reclassification for financial statements (Chapters 4 & 5)
Lesson 3 / 11 November 2021 [14.30-16.30] : Financial dynamics and cash flow statements (Chapters 6 & 7)
Lesson 4 / 12 November 2021 [14.00-16.30] : Financial analysis (Chapters 8, 9)
Lesson 5 / 18 November 2021 [14.30-16.30] : Financial analysis (Chapters 12 & 13)
Lesson 6 / 19 November 2021 [14.00-16.30] : Investment valuation (Chapter 26)
Lesson 7 / 25 November 2021 [14.30-16.30] : Cost of capital (Chapter 28)
Lesson 8 / 26 November 2021 [14.00-16.30] : Corporate valuation (Chapter 30)
Lesson 9 / 2 December 2021 [14.30-16.30] : Capital Structure decisions (Chapters 31 & 32)
Lesson 10 / 3 December 2021 [14.00-16.30] : Sustainable Finance & new financial products and processes
Lesson 11 / 9 December 2021 [14.30-16.30] : Recap

• Maurizio Dallocchio e Antonio Salvi (2021), Finanza d'azienda. Quarta Edizione, Egea, Milano
-Chapters indicated in the detailed presentation of the course content and program
• Slides (elaborated by the professor)
• Case studies (elaborated by the professor)

The exam will take place in written form. The exam will have a duration of 60 minutes and comprise both multiple-choice and open-end questions. Both categories of questions can be either based on theory or exercises.

The teaching methodology consists of lectures held by the teacher and the discussion of concrete cases. Lessons will be supported by cases and material made available on the university's e-learning platform. Lessons will be available for a limited duration on the platform, following the dual teaching modality that will apply for this semester.

Italian

written

This subject deals with topics related to the macro-area "Circular economy, innovation, work" and contributes to the achievement of one or more goals of U. N. Agenda for Sustainable Development