COURSE INFORMATION
Course Title: INTRODUCTION TO FINANCE
Code Course Type Regular Semester Theory Practice Lab Credits ECTS
BAF 104 B 2 3 0 0 3 5
Academic staff member responsible for the design of the course syllabus (name, surname, academic title/scientific degree, email address and signature) NA
Lecturer (name, surname, academic title/scientific degree, email address and signature) and Office Hours: Erjon Gjoçi , E309
Second Lecturer(s) (name, surname, academic title/scientific degree, email address and signature) and Office Hours: NA
Teaching Assistant(s) and Office Hours: NA
Language: English
Compulsory/Elective: Compulsory
Classroom and Meeting Time: E110 | E012
Course Description: Primary emphasis is given on financial markets and tools and skills required to understand how those markets work. Finance and the role of financial system (including banks, other financial intermediaries and central bank) to the nation’s economy will be also discussed. Investment is another important discipline, which will be thoroughly discussed. Savings, interest rates and the flow of funds will be of special importance.
Course Objectives: The objective of this course is to provide a comprehensive introduction of the fundamental principles of finance, with emphasis on topics in the corporate finance area. The concepts developed in this course form the foundation for all successive finance courses, such as investments and corporate finance. After the course, the students are expected to: (1) consolidate the basic finance concepts involved in the course to prepare for the further study in finance; (2) develop problem-solving ability with the philosophy of finance such that they can handle the financial problems in new environment with the tools and techniques learnt from the course.
COURSE OUTLINE
Week Topics
1 Introduction
2 Syllabus & Introduction to finance (Chapter 1)
3 Financial markets and interest rate (Chapter 2)
4 The time value of money (Chapter 5)
5 The time value of money - Practical Session
6 Decision-Making Criteria (Chapter 10)
7 Practical Session & Midterm Review
8 Midterm
9 Valuation and Characteristics of Bonds (Chapter 7)
10 Valuation and Characteristics of Stocks (Chapter 8)
11 Measurement of risk and return (Chapter 6)
12 Financial Statements (Balance Sheet and Income Statement) (Chapter 3)
13 Project Presentations
14 Final Exam Review
Prerequisite(s):
Textbook: Foundations of Finance (9e), Keown. Martin. Petty, from Pearson.
Other References:
Laboratory Work:
Computer Usage:
Others: No
COURSE LEARNING OUTCOMES
1 Understand fundamental principles of finance
2 Understand time value of money and apply correctly valuation methods
3 Understand relationship between risk and return
4 Understand and apply properly the decision making criteria
5 Develop problem-solving ability with the tools and techniques learnt from the course.
COURSE CONTRIBUTION TO... PROGRAM COMPETENCIES
(Blank : no contribution, 1: least contribution ... 5: highest contribution)
No Program Competencies Cont.
Bachelor in Banking and Finance (3 years) Program
1 The students are gained the ability to look at the problems of daily life from a broader perspective. They gain the needed skills not only to understand economic problems in banking and finance but also to construct a model and defend in meaningful way. 4
2 They have knowledge about the finance and banking. 5
3 They have knowledge about the money and banking. 5
4 They have knowledge about the international finance and banking. 4
5 They have ability to use mathematical and statistical methods in banking and finance. 3
6 They know how to use computer programs in both daily office usage and statistical data evaluations in banking and finance department. 2
7 They have necessary banking and finance skills that needed in private and public sector. 4
8 They are intended to be specialist in one of departmental fields that they choose from the list of general economics, finance economics, public finance, corporate finance, finance management, international finance markets and institutions, banking and central banking, international finance and banking, money and banking, international trade and banking. 3
9 They have ability to utilize fundamental economic theories and tools to solve economic problems in banking and finance. 4
10 They are aware of the fact that banking and finance is a social science and they respect the social perspectives and social values of the society’s ethics. 4
COURSE EVALUATION METHOD
Method Quantity Percentage
Homework
2
5
Midterm Exam(s)
1
25
Project
1
30
Quiz
1
5
Final Exam
1
30
Total Percent: 100%
ECTS (ALLOCATED BASED ON STUDENT WORKLOAD)
Activities Quantity Duration(Hours) Total Workload(Hours)
Course Duration (Including the exam week: 16x Total course hours) 16 3 48
Hours for off-the-classroom study (Pre-study, practice) 16 3 48
Mid-terms 1 9 9
Assignments 1 10 10
Final examination 1 10 10
Other 0
Total Work Load:
125
Total Work Load/25(h):
5
ECTS Credit of the Course:
5