FUNDAMENTALS OF FINANCE

FIN1FOF

2021

Credit points: 15

Subject outline

Finance defines the process by which individuals and businesses raise and manage funds. As such financial skills are a prerequisite for success not only if you are seeking a career in banking and finance, but equally for success in any business career. Indeed, financial literacy is a necessary skill required to successfully manage your own personal financial well-being. In this subject, through lessons in our financial trading room, you will examine the nature of the financial environment and the types of financial decision-making required to succeed, both from a business and an individual perspective. You will develop an understanding of the concept of the time value of money, methods of valuing various financial assets such as shares and bonds, and methods of project evaluation. Finally, you will consider the trade-off between risk and return in relation to investment assets, and its importance in understanding portfolio theory, and the cost of capital for a business.

SchoolLa Trobe Business School

Credit points15

Subject Co-ordinatorGreg Jamieson

Available to Study Abroad/Exchange StudentsYes

Subject year levelYear Level 1 - UG

Available as ElectiveYes

Learning ActivitiesViewing the online lessons relevant to the topic, attempting the online quizzes, home study, reading, attending and participating in the weekly seminars, and attempting the seminar quizzes

Capstone subjectNo

Subject particulars

Subject rules

PrerequisitesN/A

Co-requisitesN/A

Incompatible subjectsFIN2FIN

Equivalent subjectsN/A

Quota Management StrategyN/A

Quota-conditions or rulesN/A

Special conditionsN/A

Minimum credit point requirementN/A

Assumed knowledgeN/A

Learning resources

Financial Management: Principles and Applications

Resource TypeBook

Resource RequirementPrescribed

AuthorTitman, et al.

Year2019

Edition/Volume8th Edition

PublisherPearson Education

ISBNN/A

Chapter/article titleN/A

Chapter/issueN/A

URLN/A

Other descriptionN/A

Source locationN/A

Career Ready

Career-focusedNo

Work-based learningNo

Self sourced or Uni sourcedN/A

Entire subject or partial subjectN/A

Total hours/days requiredN/A

Location of WBL activity (region)N/A

WBL addtional requirementsN/A

Graduate capabilities & intended learning outcomes

Graduate Capabilities

Intended Learning Outcomes

01. Demonstrate an understanding of the fundamental concepts of finance necessary for sound financial decision-making.
02. Apply the concept of the time value of money in the calculation of present and future values of single cash flows, annuities and perpetuities.
03. Explain the differences between debt and equity, calculate the value of bonds and shares using various valuation techniques and appropriate digital and information tools.
04. Calculate the realised return for individual investments and portfolios of investments, the expected return and risk of individual investments and portfolios of investments, and explain the key elements of portfolio theory.
05. Report, compute and explain the different investment decision rules, as they relate to the funding and investment decisions of the firm.
06. Define a study plan and potential career path, by exploring the range of learning opportunities at La Trobe and the numerous different career opportunities that exist for finance graduates.

Subject options

Select to view your study options…

Start date between: and    Key dates

Melbourne (Bundoora), 2021, Semester 1, Blended

Overview

Online enrolmentYes

Maximum enrolment sizeN/A

Subject Instance Co-ordinatorTony Martin

Class requirements

SeminarWeek: 10 - 22
One 2.00 hours seminar per week on weekdays during the day from week 10 to week 22 and delivered via face-to-face.

Unscheduled Online ClassWeek: 10 - 22
One 2.00 hours unscheduled online class per week on any day including weekend during the day from week 10 to week 22 and delivered via online.
The length of time required to view the online lessons will vary from topic to topic and from student to student. There is, on average, about 45 minutes of online videos per week, plus additional online material. 2 hours is the estimated average time to view each week's lessons and attempt the online quizzes.

Assessments

Assessment elementCommentsCategoryContributionHurdle% ILO*

Online and/or in class formative assessment tasks 500 words equivalent

N/AOtherIndividualNo20 SILO6

1-hour mid-semester formative examination 1,000 words equivalent

N/AOther written examIndividualNo10 SILO1, SILO2, SILO3, SILO4, SILO5

1,000-word individual assignment

N/AAssignmentIndividualNo20 SILO2, SILO3, SILO4, SILO5

2-hour final examination 2,000 words equivalent 50% hurdle requirement

N/AOther written examIndividualYes50 SILO1, SILO2, SILO3, SILO4, SILO5

Chisholm 311 (Chisholm Institute), 2021, Semester 1, Blended

Overview

Online enrolmentYes

Maximum enrolment sizeN/A

Subject Instance Co-ordinatorTony Martin

Class requirements

SeminarWeek: 10 - 22
One 2.00 hours seminar per week on weekdays during the day from week 10 to week 22 and delivered via face-to-face.

Unscheduled Online ClassWeek: 10 - 22
One 2.00 hours unscheduled online class per week on any day including weekend during the day from week 10 to week 22 and delivered via online.
The length of time required to view the online lessons will vary from topic to topic and from student to student. There is, on average, about 45 minutes of online videos per week, plus additional online material. 2 hours is the estimated average time to view each week's lessons and attempt the online quizzes.

Assessments

Assessment elementCommentsCategoryContributionHurdle% ILO*

Online and/or in class formative assessment tasks 500 words equivalent

N/AOtherIndividualNo20 SILO6

1-hour mid-semester formative examination 1,000 words equivalent

N/AOther written examIndividualNo10 SILO1, SILO2, SILO3, SILO4, SILO5

1,000-word individual assignment

N/AAssignmentIndividualNo20 SILO2, SILO3, SILO4, SILO5

2-hour final examination 2,000 words equivalent 50% hurdle requirement

N/AOther written examIndividualYes50 SILO1, SILO2, SILO3, SILO4, SILO5

China (Si Chuan Uni), 2021, Semester 1, Blended

Overview

Online enrolmentYes

Maximum enrolment sizeN/A

Subject Instance Co-ordinatorTony Martin

Class requirements

SeminarWeek: 10 - 22
One 2.00 hours seminar per week on weekdays during the day from week 10 to week 22 and delivered via face-to-face.

Unscheduled Online ClassWeek: 10 - 22
One 2.00 hours unscheduled online class per week on any day including weekend during the day from week 10 to week 22 and delivered via online.
The length of time required to view the online lessons will vary from topic to topic and from student to student. There is, on average, about 45 minutes of online videos per week, plus additional online material. 2 hours is the estimated average time to view each week's lessons and attempt the online quizzes.

Assessments

Assessment elementCommentsCategoryContributionHurdle% ILO*

Online and/or in class formative assessment tasks 500 words equivalent

N/AOtherIndividualNo20 SILO6

1-hour mid-semester formative examination 1,000 words equivalent

N/AOther written examIndividualNo10 SILO1, SILO2, SILO3, SILO4, SILO5

1,000-word individual assignment

N/AAssignmentIndividualNo20 SILO2, SILO3, SILO4, SILO5

2-hour final examination 2,000 words equivalent 50% hurdle requirement

N/AOther written examIndividualYes50 SILO1, SILO2, SILO3, SILO4, SILO5

Sydney, 2021, Semester 1, Blended

Overview

Online enrolmentYes

Maximum enrolment sizeN/A

Subject Instance Co-ordinatorTony Martin

Class requirements

SeminarWeek: 10 - 22
One 2.00 hours seminar per week on weekdays during the day from week 10 to week 22 and delivered via face-to-face.

Unscheduled Online ClassWeek: 10 - 22
One 2.00 hours unscheduled online class per week on any day including weekend during the day from week 10 to week 22 and delivered via online.
The length of time required to view the online lessons will vary from topic to topic and from student to student. There is, on average, about 45 minutes of online videos per week, plus additional online material. 2 hours is the estimated average time to view each week's lessons and attempt the online quizzes.

Assessments

Assessment elementCommentsCategoryContributionHurdle% ILO*

Online and/or in class formative assessment tasks 500 words equivalent

N/AOtherIndividualNo20 SILO6

1-hour mid-semester formative examination 1,000 words equivalent

N/AOther written examIndividualNo10 SILO1, SILO2, SILO3, SILO4, SILO5

1,000-word individual assignment

N/AAssignmentIndividualNo20 SILO2, SILO3, SILO4, SILO5

2-hour final examination 2,000 words equivalent 50% hurdle requirement

N/AOther written examIndividualYes50 SILO1, SILO2, SILO3, SILO4, SILO5

Vietnam (Hanoi University), 2021, Semester 1, Blended

Overview

Online enrolmentYes

Maximum enrolment sizeN/A

Subject Instance Co-ordinatorTony Martin

Class requirements

SeminarWeek: 10 - 22
One 2.00 hours seminar per week on weekdays during the day from week 10 to week 22 and delivered via face-to-face.

Unscheduled Online ClassWeek: 10 - 22
One 2.00 hours unscheduled online class per week on any day including weekend during the day from week 10 to week 22 and delivered via online.
The length of time required to view the online lessons will vary from topic to topic and from student to student. There is, on average, about 45 minutes of online videos per week, plus additional online material. 2 hours is the estimated average time to view each week's lessons and attempt the online quizzes.

Assessments

Assessment elementCommentsCategoryContributionHurdle% ILO*

Online and/or in class formative assessment tasks 500 words equivalent

N/AOtherIndividualNo20 SILO6

1-hour mid-semester formative examination 1,000 words equivalent

N/AOther written examIndividualNo10 SILO1, SILO2, SILO3, SILO4, SILO5

1,000-word individual assignment

N/AAssignmentIndividualNo20 SILO2, SILO3, SILO4, SILO5

2-hour final examination 2,000 words equivalent 50% hurdle requirement

N/AOther written examIndividualYes50 SILO1, SILO2, SILO3, SILO4, SILO5

Albury-Wodonga, 2021, Semester 2, Blended

Overview

Online enrolmentYes

Maximum enrolment sizeN/A

Subject Instance Co-ordinatorGreg Jamieson

Class requirements

SeminarWeek: 30 - 42
One 2.00 hours seminar per week on weekdays during the day from week 30 to week 42 and delivered via face-to-face.

Unscheduled Online ClassWeek: 31 - 43
One 2.00 hours unscheduled online class per week on any day including weekend during the day from week 31 to week 43 and delivered via online.
The length of time required to view the online lessons will vary from topic to topic and from student to student. There is, on average, about 45 minutes of online videos per week, plus additional online material. 2 hours is the estimated average time to view each week's lessons and attempt the online quizzes.

Assessments

Assessment elementCommentsCategoryContributionHurdle% ILO*

Online and/or in class formative assessment tasks 500 words equivalent

N/AOtherIndividualNo20 SILO6

1-hour mid-semester formative examination 1,000 words equivalent

N/AOther written examIndividualNo10 SILO1, SILO2, SILO3, SILO4, SILO5

1,000-word individual assignment

N/AAssignmentIndividualNo20 SILO2, SILO3, SILO4, SILO5

2-hour final examination 2,000 words equivalent 50% hurdle requirement

N/AOther written examIndividualYes50 SILO1, SILO2, SILO3, SILO4, SILO5

Bendigo, 2021, Semester 2, Blended

Overview

Online enrolmentYes

Maximum enrolment sizeN/A

Subject Instance Co-ordinatorGreg Jamieson

Class requirements

SeminarWeek: 30 - 42
One 2.00 hours seminar per week on weekdays during the day from week 30 to week 42 and delivered via face-to-face.

Unscheduled Online ClassWeek: 31 - 43
One 2.00 hours unscheduled online class per week on any day including weekend during the day from week 31 to week 43 and delivered via online.
The length of time required to view the online lessons will vary from topic to topic and from student to student. There is, on average, about 45 minutes of online videos per week, plus additional online material. 2 hours is the estimated average time to view each week's lessons and attempt the online quizzes.

Assessments

Assessment elementCommentsCategoryContributionHurdle% ILO*

Online and/or in class formative assessment tasks 500 words equivalent

N/AOtherIndividualNo20 SILO6

1-hour mid-semester formative examination 1,000 words equivalent

N/AOther written examIndividualNo10 SILO1, SILO2, SILO3, SILO4, SILO5

1,000-word individual assignment

N/AAssignmentIndividualNo20 SILO2, SILO3, SILO4, SILO5

2-hour final examination 2,000 words equivalent 50% hurdle requirement

N/AOther written examIndividualYes50 SILO1, SILO2, SILO3, SILO4, SILO5

Melbourne (Bundoora), 2021, Semester 2, Blended

Overview

Online enrolmentYes

Maximum enrolment sizeN/A

Subject Instance Co-ordinatorGreg Jamieson

Class requirements

SeminarWeek: 30 - 42
One 2.00 hours seminar per week on weekdays during the day from week 30 to week 42 and delivered via face-to-face.

Unscheduled Online ClassWeek: 31 - 43
One 2.00 hours unscheduled online class per week on any day including weekend during the day from week 31 to week 43 and delivered via online.
The length of time required to view the online lessons will vary from topic to topic and from student to student. There is, on average, about 45 minutes of online videos per week, plus additional online material. 2 hours is the estimated average time to view each week's lessons and attempt the online quizzes.

Assessments

Assessment elementCommentsCategoryContributionHurdle% ILO*

Online and/or in class formative assessment tasks 500 words equivalent

N/AOtherIndividualNo20 SILO6

1-hour mid-semester formative examination 1,000 words equivalent

N/AOther written examIndividualNo10 SILO1, SILO2, SILO3, SILO4, SILO5

1,000-word individual assignment

N/AAssignmentIndividualNo20 SILO2, SILO3, SILO4, SILO5

2-hour final examination 2,000 words equivalent 50% hurdle requirement

N/AOther written examIndividualYes50 SILO1, SILO2, SILO3, SILO4, SILO5

Chisholm 311 (Chisholm Institute), 2021, Semester 2, Blended

Overview

Online enrolmentYes

Maximum enrolment sizeN/A

Subject Instance Co-ordinatorGreg Jamieson

Class requirements

SeminarWeek: 30 - 42
One 2.00 hours seminar per week on weekdays during the day from week 30 to week 42 and delivered via face-to-face.

Unscheduled Online ClassWeek: 31 - 43
One 2.00 hours unscheduled online class per week on any day including weekend during the day from week 31 to week 43 and delivered via online.
The length of time required to view the online lessons will vary from topic to topic and from student to student. There is, on average, about 45 minutes of online videos per week, plus additional online material. 2 hours is the estimated average time to view each week's lessons and attempt the online quizzes.

Assessments

Assessment elementCommentsCategoryContributionHurdle% ILO*

Online and/or in class formative assessment tasks 500 words equivalent

N/AOtherIndividualNo20 SILO6

1-hour mid-semester formative examination 1,000 words equivalent

N/AOther written examIndividualNo10 SILO1, SILO2, SILO3, SILO4, SILO5

1,000-word individual assignment

N/AAssignmentIndividualNo20 SILO2, SILO3, SILO4, SILO5

2-hour final examination 2,000 words equivalent 50% hurdle requirement

N/AOther written examIndividualYes50 SILO1, SILO2, SILO3, SILO4, SILO5

China (Si Chuan Uni), 2021, Semester 2, Blended

Overview

Online enrolmentYes

Maximum enrolment sizeN/A

Subject Instance Co-ordinatorGreg Jamieson

Class requirements

SeminarWeek: 30 - 42
One 2.00 hours seminar per week on weekdays during the day from week 30 to week 42 and delivered via face-to-face.

Unscheduled Online ClassWeek: 31 - 43
One 2.00 hours unscheduled online class per week on any day including weekend during the day from week 31 to week 43 and delivered via online.
The length of time required to view the online lessons will vary from topic to topic and from student to student. There is, on average, about 45 minutes of online videos per week, plus additional online material. 2 hours is the estimated average time to view each week's lessons and attempt the online quizzes.

Assessments

Assessment elementCommentsCategoryContributionHurdle% ILO*

Online and/or in class formative assessment tasks 500 words equivalent

N/AOtherIndividualNo20 SILO6

1-hour mid-semester formative examination 1,000 words equivalent

N/AOther written examIndividualNo10 SILO1, SILO2, SILO3, SILO4, SILO5

1,000-word individual assignment

N/AAssignmentIndividualNo20 SILO2, SILO3, SILO4, SILO5

2-hour final examination 2,000 words equivalent 50% hurdle requirement

N/AOther written examIndividualYes50 SILO1, SILO2, SILO3, SILO4, SILO5

Mildura, 2021, Semester 2, Blended

Overview

Online enrolmentYes

Maximum enrolment sizeN/A

Subject Instance Co-ordinatorGreg Jamieson

Class requirements

SeminarWeek: 30 - 42
One 2.00 hours seminar per week on weekdays during the day from week 30 to week 42 and delivered via face-to-face.

Unscheduled Online ClassWeek: 31 - 43
One 2.00 hours unscheduled online class per week on any day including weekend during the day from week 31 to week 43 and delivered via online.
The length of time required to view the online lessons will vary from topic to topic and from student to student. There is, on average, about 45 minutes of online videos per week, plus additional online material. 2 hours is the estimated average time to view each week's lessons and attempt the online quizzes.

Assessments

Assessment elementCommentsCategoryContributionHurdle% ILO*

Online and/or in class formative assessment tasks 500 words equivalent

N/AOtherIndividualNo20 SILO6

1-hour mid-semester formative examination 1,000 words equivalent

N/AOther written examIndividualNo10 SILO1, SILO2, SILO3, SILO4, SILO5

1,000-word individual assignment

N/AAssignmentIndividualNo20 SILO2, SILO3, SILO4, SILO5

2-hour final examination 2,000 words equivalent 50% hurdle requirement

N/AOther written examIndividualYes50 SILO1, SILO2, SILO3, SILO4, SILO5

Shepparton, 2021, Semester 2, Blended

Overview

Online enrolmentYes

Maximum enrolment sizeN/A

Subject Instance Co-ordinatorGreg Jamieson

Class requirements

SeminarWeek: 30 - 42
One 2.00 hours seminar per week on weekdays during the day from week 30 to week 42 and delivered via face-to-face.

Unscheduled Online ClassWeek: 31 - 43
One 2.00 hours unscheduled online class per week on any day including weekend during the day from week 31 to week 43 and delivered via online.
The length of time required to view the online lessons will vary from topic to topic and from student to student. There is, on average, about 45 minutes of online videos per week, plus additional online material. 2 hours is the estimated average time to view each week's lessons and attempt the online quizzes.

Assessments

Assessment elementCommentsCategoryContributionHurdle% ILO*

Online and/or in class formative assessment tasks 500 words equivalent

N/AOtherIndividualNo20 SILO6

1-hour mid-semester formative examination 1,000 words equivalent

N/AOther written examIndividualNo10 SILO1, SILO2, SILO3, SILO4, SILO5

1,000-word individual assignment

N/AAssignmentIndividualNo20 SILO2, SILO3, SILO4, SILO5

2-hour final examination 2,000 words equivalent 50% hurdle requirement

N/AOther written examIndividualYes50 SILO1, SILO2, SILO3, SILO4, SILO5

Sydney, 2021, Semester 2, Blended

Overview

Online enrolmentYes

Maximum enrolment sizeN/A

Subject Instance Co-ordinatorTony Martin

Class requirements

SeminarWeek: 30 - 42
One 2.00 hours seminar per week on weekdays during the day from week 30 to week 42 and delivered via face-to-face.

Unscheduled Online ClassWeek: 31 - 42
One 2.00 hours unscheduled online class per week on any day including weekend during the day from week 31 to week 42 and delivered via online.
The length of time required to view the online lessons will vary from topic to topic and from student to student. There is, on average, about 45 minutes of online videos per week, plus additional online material. 2 hours is the estimated average time to view each week's lessons and attempt the online quizzes.

Assessments

Assessment elementCommentsCategoryContributionHurdle% ILO*

Online and/or in class formative assessment tasks 500 words equivalent

N/AOtherIndividualNo20 SILO6

1-hour mid-semester formative examination 1,000 words equivalent

N/AOther written examIndividualNo10 SILO1, SILO2, SILO3, SILO4, SILO5

1,000-word individual assignment

N/AAssignmentIndividualNo20 SILO2, SILO3, SILO4, SILO5

2-hour final examination 2,000 words equivalent 50% hurdle requirement

N/AOther written examIndividualYes50 SILO1, SILO2, SILO3, SILO4, SILO5

Vietnam (Hanoi University), 2021, Semester 2, Blended

Overview

Online enrolmentYes

Maximum enrolment sizeN/A

Subject Instance Co-ordinatorGreg Jamieson

Class requirements

SeminarWeek: 30 - 42
One 2.00 hours seminar per week on weekdays during the day from week 30 to week 42 and delivered via face-to-face.

Unscheduled Online ClassWeek: 31 - 43
One 2.00 hours unscheduled online class per week on any day including weekend during the day from week 31 to week 43 and delivered via online.
The length of time required to view the online lessons will vary from topic to topic and from student to student. There is, on average, about 45 minutes of online videos per week, plus additional online material. 2 hours is the estimated average time to view each week's lessons and attempt the online quizzes.

Assessments

Assessment elementCommentsCategoryContributionHurdle% ILO*

Online and/or in class formative assessment tasks 500 words equivalent

N/AOtherIndividualNo20 SILO6

1-hour mid-semester formative examination 1,000 words equivalent

N/AOther written examIndividualNo10 SILO1, SILO2, SILO3, SILO4, SILO5

1,000-word individual assignment

N/AAssignmentIndividualNo20 SILO2, SILO3, SILO4, SILO5

2-hour final examination 2,000 words equivalent 50% hurdle requirement

N/AOther written examIndividualYes50 SILO1, SILO2, SILO3, SILO4, SILO5

China (ECNU), 2021, Week 37-52, Blended

Overview

Online enrolmentYes

Maximum enrolment sizeN/A

Subject Instance Co-ordinatorTony Martin

Class requirements

SeminarWeek: 37 - 52
One 2.00 hours seminar per week on weekdays during the day from week 37 to week 52 and delivered via face-to-face.

Unscheduled Online ClassWeek: 37 - 52
One 2.00 hours unscheduled online class per week on any day including weekend during the day from week 37 to week 52 and delivered via online.
The length of time required to view the online lessons will vary from topic to topic and from student to student. There is, on average, about 45 minutes of online videos per week, plus additional online material. 2 hours is the estimated average time to view each week's lessons and attempt the online quizzes.

Assessments

Assessment elementCommentsCategoryContributionHurdle% ILO*

Online and/or in class formative assessment tasks 500 words equivalent

N/AOtherIndividualNo20 SILO6

1-hour mid-semester formative examination 1,000 words equivalent

N/AOther written examIndividualNo10 SILO1, SILO2, SILO3, SILO4, SILO5

1,000-word individual assignment

N/AAssignmentIndividualNo20 SILO2, SILO3, SILO4, SILO5

2-hour final examination 2,000 words equivalent 50% hurdle requirement

N/AOther written examIndividualYes50 SILO1, SILO2, SILO3, SILO4, SILO5