1. Introduction
2. Investment decisions
3. Overview of valuation approaches
4. Derivation and projection of cash flows
5. Value, capital structure and the cost of capital
6. Discounted cash flow approaches
7. Advanced issues in corporate valuation

The objective of this course is to learn firm, debt and equity valuation methods from both a conceptual and practical framework. The approach combines both accounting and finance into a practical framework for valuing firms, debt and equity. While there is some new finance theory introduced in this course, the emphasis is on the practical application and integration of finance and accounting concepts to valuing companies.

Students with weak accounting and finance backgrounds will be at a disadvantage in this course. The course also familiarises students with the usage of spread sheets to build financial models for valuation and appreciate the linkages between valuation and strategy of firms.

The first two lessons are used to familiarise the students with the basic valuation methods and other requirements to value companies. The rest of the course, however, is built almost exclusively around a case study. Three groups of students have to value a company and present their outcomes.

In addition, there will be three different guest lectures on advanced topics in valuation. Our guests also discuss the outcomes of the case studies.

Three items are considered when assigning final grades:

1. class participation (30 %)
2. case study (40 %)
3. final exam (30 %)