Free online courseCorporate Finance

Course Description

Dive into the intricate world of corporate finance with a comprehensive course that spans over 9 hours and 50 minutes. Whether you are a business administration student or a seasoned professional looking to deepen your understanding of corporate finances, this course has all the essential topics covered.

The course begins by exploring the foundational concept of the Time Value of Money, ensuring a thorough comprehension of how and why the value of money changes over time. Understanding the Effective Annual Rate of Interest (EAR) is next, with clear explanations and practical methods to calculate it. Learners will also delve into Future and Present Value calculations, essential for assessing single cash flows and annuities, including Growing Annuities and Perpetuities.

Corporate dividend policies are examined, revealing why firms might choose not to distribute all their earnings as dividends. Moving on to valuation, the course covers the critical calculations for determining a firm's Enterprise Value and teaches Net Present Value (NPV) computation, even taking taxes into consideration. Comparisons between NPV and IRR (Internal Rate of Return) highlight scenarios where each method excels or fails, equipping learners with a nuanced understanding of investment decision-making.

The course also provides detailed instruction on calculating Free Cash Flow, using Walmart as a case study, and introduces learners to the Payback Method. The differences between NPV and the Payback Method are clarified, and an in-depth look at Incremental IRR is included.

Bond yields, whether from coupon bonds or zero-coupon bonds, are demystified through Excel-based calculations. Concepts like Forward Rates and the Dividend Discount Model (DDM) come into play, with limitations and alternative valuation models like the Total Payout Model and the use of multiples discussed.

Volatility, risk premiums, and the critical concept of diversification are dissected, alongside common and independent risks. Beta calculation is tackled from multiple angles, including regression analysis, to give learners a practical toolkit for risk assessment.

Understanding market dynamics is furthered through lessons on the Market Risk Premium, efficient vs. inefficient portfolios, and performance metrics like the Sharpe and Treynor Ratios. The Capital Asset Pricing Model (CAPM) is broken down, from its assumptions to calculating the cost of equity. Learners are also introduced to advanced models like the Fama-French and Carhart multifactor models.

Merger and acquisition strategies form another core part of the curriculum. The course elucidates the 3 types of mergers, negotiation processes, various defensive measures against hostile takeovers, and sophisticated structures like SPACs and dual-class stocks.

Finally, the course addresses the nuanced Quality of Earnings Report, highlighting its importance in various financial assessments and adjustments.

This Corporate Finance course is a robust and detailed guide, perfect for those looking to master the financial strategies that are pivotal in the business world. Its thorough coverage ensures that learners finish the course well-equipped to handle complex financial scenarios in real-world corporate environments.