SCHOOL OF ECONOMICS, FINANCE AND BANKING (SEFB)

UUM COLLEGE OF BUSINESS

UNIVERSITI UTARA MALAYSIA

No. Information on Course

1. Course Name: FINANCIAL MANAGEMENT

2. Course Code: BWFF2033

3. Name of Academic Staff:

Dr. Mohd Yushairi bin Mat Yusoff
Dr. Halima Begum
Dr. Syed Mohd Naim
Dr. Hanita Kadir @ Shahar
Dr. Muhammad Airil Syafiq Mohd Khalid
Prof. Madya Dr. Angappan A/L Regupathi
Puspakaran A/L Kesayan
Dr. Ooi Chai Aun
Dr. Faizah Ismail
Dr. Fikriyah binti Abdullah
Dr. Noor Maimun binti Abdul Wahab
Dr. Raji Jimoh Olajide
Dr. Md Shahin Mia

4. Rationale for the inclusion of the course in the programme:

This is a core course offered for B. Fin students.

5. Semester/Year Offered: 2/1

6. Total Student Learning Face to face Online SLPA TLT

Time (SLT) Learning

TL = Traditional Lecture TL T P SCL/O A OL OA

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Semester 2 Session 2021/2022 (A212)
 T = Tutorial
P = Practical
SCL/O = Student Cantered
Learning/Others
A = Assessment
28 14 0 0 3.78 0 4.2 70 120
OL= Online Learning
OA = Online Assessment
SLPA= Self Learning
Preparation and Assessment
TLT = Total Learning Time

7. Credit Value: 3

8. Pre-requisite (if any):

BKAF 1023 – Introduction to Financial Accounting (for B.Fin, B.Bank & B.RMI)
BKAL 1023 – Introduction to Business Accounting (others)

9. Objective(s) of Course:
After completing this course, students should be able to:
i. understand the goal of the firm and the basic principles in financial management.
ii. use the financial data to perform firm valuation as well as to forecast and plan
firm’s financing.
iii. develop analytical skills in working capital management and short-term financing
for the firm.
iv. fully understand the risk and return concept.
v. apply the time value of money concept in the real context of financial decision
making.
10. Course Learning Outcomes:
Upon completion of the course, students are able to
i. To explain the fundamental concepts of financial management. (C2, A3, P2)
ii. To apply financial management techniques in performing analysis. (C3)
iii. To apply financial management techniques in decision making process. (C3)

11. Transferable Skills:

Practical skills

12. Teaching-learning and assessment strategy:

Mixed method between teacher-centred and student-centred.

13. Synopsis:
This introductory course to financial management provides the students with the
theoretical, conceptual and practical aspects of financial management. Specifically,
it focuses on short-term financial management and the financial instruments used
in financial decision-making. Overall, this course covers short-term financing and

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Semester 2 Session 2021/2022 (A212)
 current asset management which includes cash, marketable securities, accounts
receivable and inventories. The financial concepts and tools to be discussed in this
course are financial statement analysis, risk and return, and time value of money.

14. Mode of Delivery:

Lectures, Tutorial and Discussions.

15.
Assessment Methods and Types:

Continuous Assessment 50%

- Individual Practice(s) – 10%
- Group Assignment(s) – 20%
- Mid-term Exam – 20%

Final Assessment 50%

- Final Exam - 50%

16. Mapping of the course/module to the Programme Aims

Programme Aims Course Learning Outcomes

1 2 3

The aims of the Bachelor of Finance

(Honours) programme are to produce
competent and knowledgeable grandaunts in
√ √ √
the area of finance in accordance with the
human capital needs of the domestic and
financial industry.

17. Mapping of the course/module to the Programme Learning Outcomes

Course Learning Outcomes

Programme Learning Outcomes

1 2 3

Knowledge √ √ √

Practical/Technical/Psychomotor Skills √ √

Social skills and responsibilities

Values, Attitudes, Ethics and

Professionalism

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Semester 2 Session 2021/2022 (A212)
 Communications (C), leadership (L) and
team skills (TS)

Problem solving and scientific skills.

Information management (IM) and lifelong

learning (LLL) skills.

Managerial and entrepreneurial skills.

18. Content outline of the course/module and the SLT per topic

Face to Face
Learning
Topics/Weeks OL SL TLT
Outcomes SCL
TL T P
/O

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Semester 2 Session 2021/2022 (A212)
1. Introduction to Financial Management
1.1 What are finance and financial 1 2 1 3 6
management?

1.2 Legal forms of business

organization

1.3 The goal of financial

management

1.4 The agency problems

1.5 Financial markets and institutions

2. Financial Statements
2.1 The importance of financial 1, 2 2 1 3 6

statements

2.2 Understanding financial

statements

2.2.1 Income Statement

2.2.2 Balance Sheet
2.2.3 Statement of Retained
Earnings
2.2.4 Statement of cash flow
2.3 Taxation and depreciation from
financial perspective

2.3.1 Marginal vs. Average

taxation
2.3.2 Accelerated vs. Straight
line method
3. Assessing Firm’s Financial
Performance
3.1 Uses of financial statements 1,2,3 2 1 6 12

3.2 Standardized financial statements

3.2.1 Common-size analysis

3.2.2 Trend analysis
3.3 Financial ratio analysis

3.3.1 Liquidity ratios

3.3.2 Long term solvency ratios
3.3.3 Asset management ratios
3.3.4 Profitability ratios
3.3.5 Market value ratios
3.4 Du Pont analysis

3.5 Limitations to ratio analysis

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Semester 2 Session 2021/2022 (A212)
4. Financial Forecasting And Planning

4.1 Financial planning 1,2,3 4 2 3 6

4.1.1 Dimensions of financial
planning
4.2 Percent of sales method

4.2.1 The income statement

4.2.2 The balance sheet
4.2.3 External financing needed
(EFN
4.2.4 Internal and Sustainable
growth rates
5. Time Value Of Money

5.1 Introduction to time value of 1,2,3 4 2 6 12

money

5.2 Simple interest

5.3 Compound interest

5.3.1 Single amount

5.3.1.1 Future value
5.3.1.2 Present value
5.3.1.3 Finding period and
interest rate
5.3.1.4 Effective and
nominal interest
rate
5.4 Annuity
5.4.1 Ordinary annuity
5.4.2 Annuity due
5.4.3 Growing Annuity
5.4.4 Finding payment, period and
interest rate
5.5 Uneven cash flow
5.6 Perpetuity
5.7 Application of time value of money:
Loan amortization

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Semester 2 Session 2021/2022 (A212)
6. Risk and Return
6.1 Basics of risk and return 1,2,3 4 2 6 12

6.2 Expected returns and variances

6.2.1 Expected return

6.2.2 Calculating variance and
standard deviation
6.2.3 Calculating the coefficient of
variation
6.3 Diversification and portfolio risk

6.3.1 The principle of

diversification
6.3.2 Systematic vs unsystematic
risk
6.4 Systematic risk and beta

6.4.1 The systematic risk principle

6.4.2 Measuring systematic risk
6.4.3 Calculating the beta
coefficient
6.4.4 Portfolio beta
6.5 The Capital Assets Pricing Model
and the Security Market Line (SML)
7. Short-Term Financing and Planning
7.1 Importance of working capital 1,2,3 4 2 6 12

7.2 Working capital management

7.3 Cash conversion cycle

7.4 Strategies in working capital

management

7.5 The cash budget

7.6 Sources of short-term financing

7.7 Cost of short-term financing

8. Management of Cash and Marketable
Securities
1,2,3 2 1 3 6
8.1 Difference between cash and

marketable securities

8.2 Motives for holding cash

8.3 Cash management objectives

8.4 Understanding float

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Semester 2 Session 2021/2022 (A212)
 8.5 Characteristics of short-term

securities

8.6 Types of marketable securities

8.7 Application Fintech in financial

Management

9. Management of Accounts Receivable

9.1 Importance of accounts receivable 1,2,3 2 1 3 6

9.2 Terms of credit

9.3 Credit analysis

9.3.1 The 5C’s of credit

9.3.2 Credit scoring

9.4 Monitoring of accounts receivable

9.4.1 Aging schedule

9.4.2 Average collection period

9.5 Credit collection

9.6 Analysis of credit policy changes

10. Inventory Management

10.1 Purposes and types of inventory 1,2,3 2 1 3 6

10.2 Inventory management technique –
the EOQ model

10.3 Reorder point and safety stock

10.4 Other inventory management

techniques

28 14 42 84

Student Learning & Online Online

Face to Face SLPA TLT
Assessment Learning Assessment

Course Delivery and

42 0 42 84
Preparation

Coursework
0.6 4.2 14.2 19
50%

Final Examination
3.2 0 13.8 17
50%

Total Notional Hours 45.8 0 4.2 70 120

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Semester 2 Session 2021/2022 (A212)
 Credit Hours 3
Main References:
Ross, S., Westerfield, R.W., Jordan, B.D. (2022). Fundamentals of Corporate Finance (13th ed.).
McGraw-Hill Education.

Additional References:

Ross, S., Westerfield, R.W., Jordan, B.D. (2019). Fundamentals of Corporate Finance (12th ed.).
McGraw-Hill Education.

Sheridan. T, Keown, A. J, Martin, J. D, (2018). Financial Management, Principles and

Applications. London: Pearson.
Gittman, L., & Zutter, C. (2015). Principles of Managerial Finance (14th ed.). London: Pearson.

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Semester 2 Session 2021/2022 (A212)