Financial Management

A compulsory course of the first semester of the Master’s Programme “Banking-Insurance and Finance”.

Course details

Code: MBAF04
Semester: 1st
Credits: 5 ECTS
Teaching hours: 2 per week (lectures and practical exercises)
Course type: Specialisation Course (ME)
Prerequisites: none
Language of teaching and examinations: Greek and/or English
Offered to Erasmus students: yes, upon relevant request
Mode of delivery: distance learning, synchronous and asynchronous
Total workload: 150 hours
Taught by: Georgios Kyriazopoulos

Learning outcomes

The Financial Management course seeks to give students an understanding of, and familiarity with, the way in which the most important financial decisions are taken in an undertaking. For this reason the student must know and understand the following basic concepts of financial management: Financial statements, Ratios, Financing needs, Break-even point, Operating leverage, Capital structure, Financial leverage, Inventories, Cash and securities, Receivables, Credit policy, Short-term borrowing. On successful completion of the course, the student should:

Understand the objective of financial management
Understand which the bodies of financial management are and what their functions are
Become familiar with the financial environment in which financial management is exercised
Be in a position to carry out financial planning and the forecasting of financing needs
Manage inventories and credit rationally
Understand how cash and negotiable securities are managed
Understand financial structure and leverage. The theory is based on selected chapters of theory and exercises from the recommended reading. The theoretical background of each exercise coincides with the content of the theoretical part of the course. Each time new theoretical concepts are introduced, they are analysed with a view to their better understanding, and exercises are solved as an application of that theory

Syllabus

The financial function (structure, operation, objectives and maximisation of the value of the undertaking)
The time value of money
Cost of capital
Financial planning and control (procedures, break-even point, cash budget)
Working capital policy (management of working capital, effects on the balance sheet)
Inventory models (definitions, analysis and management, classification of costs)
Credit management and policy (accounts receivable, evaluation of changes in credit policy, credit information)
Management of cash and negotiable securities
Short-term sources of financing (types of loan, financing of inventories and receivables, loan collateral)
Evaluation of undertakings using ratios
Financial structure and leverage
Dividend policy
Bankruptcy models

Assessment

Assessment is carried out in two ways: the preparation of assignments, counting for up to 30% of the total mark — the structure and presentation of the text, the quality of the analysis and the bibliographical references are taken into account above all — and a written final examination, counting for 70%. Language of assessment: Greek.