Curricula Guides

Uusi opinto-opas (sisältäen myös opetusohjelmat) lukuvuodelle 2018-2019 sijaitsee osoitteessa https://opas.peppi.utu.fi . Tältä sivustolta löytyvät enää vanhat opinto-oppaat ja opetusohjelmat.

The new study guide (incl. teaching schedules) for academic year 2018-2019 can be found at https://studyguide.utu.fi. This site contains only previous years' guides.

x !
Archived Curricula Guide 2016–2018
Curricula Guide is archieved. Please refer to current Curricula Guides
LT012017 LR07,12 Corporate Debt Financing 3 ECTS
Organised by
Accounting and Finance
Person in charge
Mika Vaihekoski
Preceding studies
Completion of the course LR05 Rahoituksen jatkokurssi (Intermediate Finance) or equivalent is recommended. This course is suitable for students interested in corporate finance, financial services marketing, debt markets or international finance.

Learning outcomes

The specific learning targets are as follows: 1. Understanding of various debt instruments and concepts of credit analysis, 2. Development of debt capacity analysis skills, and 3. Assessing a company's debt situation and alternatives for it.

Contents

The course provides students an overview of different kinds of debt instruments, their role in a firm's funding mix, and how firms and investors assess a company's debt capacity. The course work involves combining financial statement and qualitative business model analysis for assessing credit risk and debt capacity. Students will explore the role of the corporate capital structure, and marketing of a firm's credit quality. It takes the perspective of debt investors as well as a firm's management, and provides complementary views to the dominant shareholder value maximization perspective.

Teaching methods

The course involves no classroom instruction but is interactive, and consists of the following three parts all of which have to be finished by the end of the fourth period.
1. An electronic exam (e-exam) based on the literature listed below. The exam has to be taken before doing the other two parts, and it can be taken between 1 November 2017 and 31 January 2018. Three attempts to take the e-exam are allowed. The exam literature serves as preparation for the two other parts.
2. Group assignment: Students will be assigned into groups to prepare a debt capacity analysis on a firm selected by the teacher. The analysis will be discussed with the teacher over skype or similar media, and the end product is a text explaining the case company, methodology used for debt capacity assessment, and its conclusions about the company's funding structure.
3. Individual essay: Each student will be assigned one to three newspaper articles on a specific debt product or a company with a particular debt situation. The student has to write an essay explaining the phenomena in the articles, and relate it to finance theory, as per guidance by the teacher. The essay will be prepared in steps, with the student being able to receive teacher feedback on drafts.

Modes of study

Option 1
Available for:
  • Degree Programme Students
  • Other Students
  • Doctoral Students
  • Exchange Students
Participation in classroom work
  • In English

Group and personal assignments and exam.

Evaluation and evaluation criteria

Numeric 0-5.
Grading based on equal weight (1/3, 1/3, 1/3) to all three parts of the course.

Recommended year of study

3rd

THE COURSE IS NOT OFFERED IN THE ACADEMIC YEAR 2016-17.

Study materials

GANGUIN, BLAISE; BILARDELLO, JOHN, Fundamentals of Corporate Credit Analysis. USA, McGraw-Hill 2005.
TEINILÄ, TIMO, Corporate debt marketing, Turun kauppakorkeakoulun julkaisusarja A-9, Turku 2012. Chapter 2.
Articles and other material specified by the lecturer.
Lecture notes.

Further information

THE COURSE IS MOST LIKELY OFFERED EVERY OTHER YEAR.

Students are required to register for this course in Nettiopsu during the first period. Maximum number of students accepted for the course is 25. If there are open places for more students, the registration period is extended. If there are still available places available at the end of the second period (information shown on course page in Moodle), students are asked to contact the lecturer directly. All accepted students get an email from the lecturer. Lecture notes and required articles as well as more detailed information on teaching methods can be found from Moodle.

Belongs to following study modules

Department of Accounting and Finance
Department of Accounting and Finance
Aineopinnot (Accounting and Finance)
Department of Accounting and Finance
2018–2019
Teaching
Archived Teaching Schedule. Please refer to current Teaching Shedule.
Implementation details are unavailable.
Department of Accounting and Finance
Accounting and Finance
Quantitative Methods in Management
Business Law