Course detail

Business Activities Financing

FP-VfpcPAcad. year: 2017/2018

• Introduction to the course: Principles of financial decision-making. The content of corporate financial management.
• Analysis of the results of business activities (financial analysis, operations results analysis, pyramidal analysis, methods of deviations analysis)
• Planning of income and costs. Capital planning.
• Sources of funding - internal, external, private, external foreign (bank loans, leasing, bond).
• Criteria of decision making for selection of funding sources.

Language of instruction

Czech

Number of ECTS credits

5

Mode of study

Not applicable.

Learning outcomes of the course unit

Student will be able to:
- Define individual requirements necessary for business activity,
- Assess the financial structure of the company in relation to the property structure,
- Understand methods for evaluating of the economic efficiency of investment projects
- Apply the methods of assessment of the financial situation of the company.

Prerequisites

Not required.

Co-requisites

Not applicable.

Planned learning activities and teaching methods

The course contains lectures that explain principles, decisions problems and methodology of the discipline, and exercises that promote the practical knowledge of the subject presented in the lectures.

Assesment methods and criteria linked to learning outcomes

Requirements for awarding of credit:
a) Active participation in seminars: the student has a duty to actively participate in a minimum of five seminars. Not being prepared for a seminar is penalised - 2 points for each seminar, which are subtracted from the points gained from tests on examples. Being excused from participation in seminars is governed by the internal regulations of BUT.
b) Credit examination: At the end of the seminar the student will take a test on examples, the score from which will account for a maximum of 40 % of the overall assessment.
Students will be awarded the credit if they have at least 50 % of the possible number of points from the seminars. The assessment from the seminars contributes to the overall assessment of the course.

Examination requirements:
Knowledge is tested by a written examination. Only students who have applied for the examination in IS and have the credit entered will be allowed to take the examination. The examination is made up of open questions, closed questions with a choice of more correct answers and examples. The examination lasts 60 minutes. There is a maximum of 60 points in the examination and a minimum of 30 points is needed to pass. The resulting assessment for the course is the sum of points from the seminars and the examination. The result is classified according to the ECTS scale. Incorrect or illegible answers are assessed as unsatisfactory.

Course curriculum

Financial goals, property and financial structure (internal and external sources of funding), cash flow business, investment decision making, financial analysis methods.

Work placements

Not applicable.

Aims

The aim of the course is to provide to students the necessary theoretical knowledge in the field of corporate finance. To define potential sources of funding for business needs, to be familiarized with methods for assessing business data, as well as planning and evaluation of investment projects.

Specification of controlled education, way of implementation and compensation for absences

The attendance at lectures is not mandatory, but it is recommended. The attendance at seminars is checked by the teacher. Compensation of absence is fully in the responsibility of the teacher.

Recommended optional programme components

Not applicable.

Prerequisites and corequisites

Not applicable.

Basic literature

DYKOVSKÁ, M. Zakladatelský rozpočet a následné zřízení firmy. 3. vyd. Brno: Miroslav Nehyba, 1999, 102 s. ISBN 80-902645-2-2. (CS)
FOTR, J. a I. SOUČEK. Investiční rozhodování a řízení projektů: jak připravovat, financovat a hodnotit projekty, řídit jejich riziko a vytvářet portfolio projektů. Praha: Grada, 2011, 408 s. ISBN 978-80-247-3293-0. (CS)
KISLINGEROVÁ, E. Manažerské finance. 3. vyd. Praha: C. H. Beck, 2010, 811 s. ISBN 978-80-7400-194-9. (CS)
REŽŇÁKOVÁ, M. Efektivní financování rozvoje podnikání. Praha: Grada, 2012, 142 s. ISBN 978-80-247-1835-4. (CS)
REŽŇÁKOVÁ, M. Řízení platební schopnosti podniku: řízení platební schopnosti… a praktických aplikací. Praha: Grada publishing, 2010, 191 s. ISBN 978-80-247-3441-5. (CS)
SYNEK, M. Manažerská ekonomika. 5., aktualiz. a dopl. vyd. Praha: Grada, 2011, 471 s. ISBN 978-80-247-3494-1. (CS)
SYNEK, M. a E. KISLINGEROVÁ. Podniková ekonomika. 6., přeprac. a dopl. vyd. V Praze: C.H. Beck, 2015, 526 s. ISBN 978-80-7400-274-8. (CS)
VALACH, J. Investiční rozhodování a dlouhodobé financování. 3., přeprac. a rozš. vyd. Praha: Ekopress, 2010, 465 s. ISBN 978-80-86929-71-2. (CS)

Recommended reading

SÁGHY ESTÉLYI, K. a kol. Finance podniku: Sbírka příkladů. Brno, 2016. 20 s. (CS)
FOTR, J. a I. SOUČEK. Podnikatelský záměr a investiční rozhodování. 1. vyd. Praha, 2006. 356 s. ISBN 80-247-0939-2. (CS)
MAREK, P. a kol. Studijní průvodce financemi podniku. 2. vyd. Praha: Ekopress. 2009. 634 s. ISBN 978-80-86929-49-1 (CS)
REŽŇÁKOVÁ, M. Efektivní financování rozvoje podnikání. Praha: Grada, 2012, 142 s. ISBN 978-80-247-1835-4 (CS)
ZINECKER, M. Základy financí podniku. 1. vyd. Brno: Akademické nakladatelství CERM, 2008. 194 s. ISBN: 978-80-214-3704-3. (CS)

Classification of course in study plans

  • Programme BAK-KME Bachelor's

    branch BAK-MME , 3. year of study, winter semester, compulsory

Type of course unit

 

Lecture

26 hours, optionally

Teacher / Lecturer

Syllabus

The basic topics covered in the lectures are as follows:
1. Course introduction. The business and its mission.
2. Corporate finance. Founding budget of an enterprise.
3. Managing capital invested in fixed assets.
4. Methods of evaluating investment projects – cost and revenue methods.
5. Managing capital invested in current assets.
6. Economic criteria for evaluating inventory management.
7. Managing receivables.
8. External own sources of corporate finance.
9. External sources of corporate finance.
10. Support programmes for financing.
11. Internal sources of financing.
12. Corporate cash flow – expenditure, income, methods for establishing cash flow.
13. Corporate financial objectives and their evaluation.

Exercise

13 hours, compulsory

Teacher / Lecturer

Syllabus

The seminars involve practicing the topics from lectures and working on assigned tasks.
1. Founding budget
2. Investment activities of the enterprise
3. Inventory management
4. Loan instalment plans
5. Comparing the advantages of loans and leasing
6. Credit examination