This course examines the corporate finance issues confronting entrepreneurial firms. The primary areas of study for the course are: financial forecasting, identification and evaluation of real options, assessment of financial needs, and valuation. This course is intended to be 'hands on' and provide a theoretical and practical framework useful for addressing typical financial issues of entrepreneurial ventures.Course offered by Department of Business studies, Aarhus School of Business, AU.
Period
04-07-2011 - 29-07-2011 (4 weeks)
Target group
The prerequisites for this course are: microeconomics, corporate finance, and principles of accounting through financial statement preparation and analysis. Corporate finance topics that students will be assumed to be familiar with include: risk, diversification, cost of capital, capital structure, capital budgeting, and information economics (including signaling and reputational issues). These topics will be reviewed as necessary depending on the background of the class. Valuation, financial needs assessment, and forecasting objectives require students understand balance sheets, income statements, and cash flow statements.
Course aim
By the conclusion of this course, you should be able to: Forecast Financial Needs - Use simulation and scenario analysis to analyze strategic financial options available to a firm, identify and communicate the optimal option, and estimate and describe a firms financial needs based on the recommended course of action. Identify and Evaluate Real Options Qualitatively identify real options available with firms or projects, identify the parameters that are important to the valuation of the options, indicate how these options will affect the value of the project or the firm, and use quantitative techniques to provide approximate valuations for these options. Value the Venture Understand and be able to explain the difference between the venture valuation models and the standard corporate finance evaluation model from both the investor and entrepreneurs points of views. Identify situations where the theories of financial management can be applied to developing decisions. Recommend and justify decisions, including decisions arising from ambiguous or unfamiliar information. Orally present your analysis, recommendations, and justification.
Credits
10.0 ECTS credits
Course fee
EUR 0[Convert to USD]Visit website for information regarding fees
Course leader
Frank Kerins, Montana State University
Aarhus University International Centre
Address: Hoeg Guldbergs Gade 4, building 1650 Aarhus C
Postal code: 8000
City: Aarhus
Country: Denmark
Website: http://www.au.dk/summeruniversity
E-mail: SummerUniversity@adm.au.dk
Phone: +45 8942 2320
Entrepreneurial Finance
