PERFORMING ARTS
Bachelor	TR-NQF-HE: Level 6	QF-EHEA: First Cycle	EQF-LLL: Level 6

Course Introduction and Application Information

Course Code	Course Name	Semester	Theoretical	Practical	Credit	ECTS
IB2221	Corporate Finance	Spring Fall	3	0	3	7

This catalog is for information purposes. Course status is determined by the relevant department at the beginning of semester.

Basic information

Language of instruction:	English
Type of course:	Non-Departmental Elective
Course Level:	Bachelor’s Degree (First Cycle)
Mode of Delivery:	Face to face
Course Coordinator :	Prof. Dr. NİYAZİ BERK
Course Lecturer(s):	Dr. Öğr. Üyesi HAKKI ÖZTÜRK
Recommended Optional Program Components:	None
Course Objectives:	This is the first course of two consecutive corporate finance courses in the second year which aims to provide the student with the basic tools for making financial decisions. This course will introduce the student to basic financial theory and concepts of corporate finance. This course will also ensure an understanding of relationship between financial theory and its practices. It will cover some of the theory and practice of decision-making within the corporation More of the emphasis will be on financial valuation, capital budgeting and cash flow analysis.

Learning Outcomes

The students who have succeeded in this course;
I.To be able to understand what corporate finance is and how financial managers decide.

II.To be able to analyze the financial statements of a firm.
III.To be able to identify market cap, financial leverage and operating leverage.
IV.To be able to figure out the essentials of short term financial policy.
V.To be able to understand the logic behind the pricing of securities.
VI.To be able to understand weighted average cost of capital
VII.To be able to evaluate investment projects with capital budgeting methods.

Course Content

1st Week: Introduction to Corporate Finance, What is Corporate Finance, The Goal of Financial Management, Financial Management Decisions, Capital Budgeting, Capital Structure, Working Capital Management.

2nd Week: Overview of Financial Statements: The Balance Sheet: Assets, Liabilities and Owners’ Equity, Net Working Capital, Debt versus Equity, Income Statement.

3rd Week: Some Primary Concepts: Market Value, Book Value, Nominal Value, Asset Value, Net Asset Value. Financial Leverage, Operating Leverage.

4th Week: Short Term Financial Management and Working Capital Management: Short Term Financial Planning, Some Aspects of Short-Term Financial Policy.

5th Week: Short Term Borrowing, Cash Management, Credit and Receivables, Inventory Mangement: The Economic Order Quantity Model

6th Week: Time Value of Money, Present Value, Future Value, Annuity, Perpetuity. Concepts of Risk, Return and Discount Factor

7th Week: Introduction to Valuation: Bonds and Bills. Differences Between Bonds and Bills. Pricing of Bonds and Bills

8th Week: The Relationship Between Bond Prices and Interest Rates Duration, Modified Duration and Bond Price Volatility, Trading Strategies.

9th Week: Valuation of Common Stocks: Basic Characteristics of Stocks, Capitalization Rate, The Basic Issues About Common Stock Valuation, Dividend Based Stock Valuation Models (DDM)

10th Week: Cost Of Capital: Cost of Debt, Cost of Equity, Weighted Average Cost of Capital (WACC)

11th Week: Capital Budgeting: Project Appraisal Essentials, Free Cash Flow Concept, Earnings Before Interest and Tax (EBIT), Corporate Tax, Non-Cash Net Working Capital, Depreciation, Amortization, Capital Expenditures (Capex)

12th Week: The Process of Evaluating Capital Budgeting Projects: Payback Rule, Accounting Rate of Return (ARR), Discounted Payback, Net Present Value (NPV), Internal Rate of Return (IRR), Profitability Index, Conflicts Between NPV and IRR and How to Resolve These Conflicts.

13th Week: The Process of Evaluating Capital Budgeting Projects: Payback Rule, Accounting Rate of Return (ARR),Discounted Payback, Net Present Value (NPV), Internal Rate of Return (IRR), Profitability Index, Conflicts Between NPV and IRR and How to Resolve These Conflicts.

14th Week: Cash-Flow Analysis: Preparing a Cash-Flow Chart, Project Feasibility Analysis with DCF, Sensitivity Analysis, Break-Even Analysis.

Weekly Detailed Course Contents

Week	Subject	Related Preparation
1)	1st Week: Introduction to Corporate Finance, What is Corporate Finance, The Goal of Financial Management, Financial Management Decisions, Capital Budgeting, Capital Structure, Working Capital Management.
2)	2nd Week: Overview of Financial Statements: The Balance Sheet: Assets, Liabilities and Owners’ Equity, Net Working Capital, Debt versus Equity, Income Statement.
3)	3rd Week: Some Primary Concepts: Market Value, Book Value, Nominal Value, Asset Value, Net Asset Value. Financial Leverage, Operating Leverage.
4)	4th Week: Short Term Financial Management and Working Capital Management: Short Term Financial Planning, Some Aspects of Short-Term Financial Policy.
5)	5th Week: Short Term Borrowing, Cash Management, Credit and Receivables, Inventory Mangement: The Economic Order Quantity Model
6)	6th Week: Time Value of Money, Present Value, Future Value, Annuity, Perpetuity. Concepts of Risk, Return and Discount Factor
7)	7th Week: Introduction to Valuation: Bonds and Bills. Differences Between Bonds and Bills. Pricing of Bonds and Bills
8)	8th Week: The Relationship Between Bond Prices and Interest Rates Duration, Modified Duration and Bond Price Volatility, Trading Strategies.
9)	9th Week: Valuation of Common Stocks: Basic Characteristics of Stocks, Capitalization Rate, The Basic Issues About Common Stock Valuation, Dividend Based Stock Valuation Models (DDM)
10)	10th Week: Cost Of Capital: Cost of Debt, Cost of Equity, Weighted Average Cost of Capital (WACC)
11)	11th Week: Capital Budgeting: Project Appraisal Essentials, Free Cash Flow Concept, Earnings Before Interest and Tax (EBIT), Corporate Tax, Non-Cash Net Working Capital, Depreciation, Amortization, Capital Expenditures (Capex)
12)	12th Week: The Process of Evaluating Capital Budgeting Projects: Payback Rule, Accounting Rate of Return (ARR), Discounted Payback, Net Present Value (NPV), Internal Rate of Return (IRR), Profitability Index, Conflicts Between NPV and IRR and How to Resolve These Conflicts.
13)	13th Week: The Process of Evaluating Capital Budgeting Projects: Payback Rule, Accounting Rate of Return (ARR),Discounted Payback, Net Present Value (NPV), Internal Rate of Return (IRR), Profitability Index, Conflicts Between NPV and IRR and How to Resolve These Conflicts.

Sources

Course Notes / Textbooks:	Essentials of Corporate Finance by Ross, Westerfield and Jordan, 6th Edition.
References:	Principles of Corporate Finance by Brealey and Myres, 7th Edition. Berk,N. Finansal Yönetim, 10. baskı, İstanbul.

Evaluation System

Semester Requirements	Number of Activities	Level of Contribution
Midterms	1	% 40
Final	1	% 50
Total		% 90
PERCENTAGE OF SEMESTER WORK		% 40
PERCENTAGE OF FINAL WORK		% 50
Total		% 90

ECTS / Workload Table

Activities	Number of Activities	Workload
Course Hours	14	41
Study Hours Out of Class	15	28
Final	1	28
Total Workload		97

Contribution of Learning Outcomes to Programme Outcomes

No Effect	1 Lowest	2 Low	3 Average	4 High	5 Highest

	Program Outcomes	Level of Contribution
1)	They acquire theoretical, historical and aesthetic knowledge specific to their field by using methods and techniques related to performing arts (acting, dance, music, etc.).	2
2)	They have knowledge about art culture and aesthetics and they provide the unity of theory and practice in their field.	2
3)	They are aware of national and international values in performing arts.	2
4)	Abstract and concrete concepts of performing arts; can transform it into creative thinking, innovative and original works.	1
5)	They have the sensitivity to run a business successfully in their field.	3
6)	Develops the ability to perceive, think, design and implement multidimensional from local to universal.	3
7)	They have knowledge about the disciplines that the performing arts field is related to and can evaluate the interaction of the sub-disciplines within their field.	2
8)	They develop the ability to perceive, design, and apply multidimensionality by having knowledge about artistic criticism methods.	3
9)	They can share original works related to their field with the society and evaluate their results and question their own work by using critical methods.	1
10)	They follow English language resources related to their field and can communicate with foreign colleagues in their field.	1
11)	By becoming aware of national and international values in the field of performing arts, they can transform abstract and concrete concepts into creative thinking, innovative and original works.	3
12)	They can produce original works within the framework of an interdisciplinary understanding of art.	2
13)	Within the framework of the Performing Arts Program and the units within it, they become individuals who are equipped to take part in the universal platform in their field.	3
14)	Within the Performing Arts Program, according to the field of study; have competent technical knowledge in the field of acting and musical theater.	2
15)	They use information and communication technologies together with computer software that is at least at the Advanced Level of the European Computer Use License as required by the field.	3