Theory of Financial Management
Lecturer:
Dr Ping Wang
Module description:
This module aims to provide a sound knowledge in the analytical tools for financial management. It therefore focuses on the theory relating to investment and financing decisions. Practical issues are also considered.
Learning outcomes:
Upon successful completion of this module, students should be able to:
- Evaluate shareholders’ wealth maximisation as the financial objective of the firm; discuss the key issues in the theory of financial management;
- Apply net present value model to valuing securities;
- Analyse the models which tie down the relationship between the returns on a security and its risk;
- Understand the efficient capital markets hypothesis and its implications to financial managers
- Discuss the theories on the relevance of dividends and capital structure