USAC University of San Carlos of Guatemala – USAC-

TRICENTENARY
GoEdnmnl SEN ChIda Umtcnity
Eastern University Center –CUNORI-
MASTER IN FINANCIAL ADMINISTRATION
COURSE PROGRAM
Professor: M.Sc. Adery Luciano Pérez
Yoc
Course name: FINANCE I

General objective That the student applies fundamental tools that allow him to make decisions in the financial field,
especially regarding market finances.

Specific objectives o Familiarize the student with the concepts related to financial markets and their development in
Guatemala.

o Conceptual and practical application of the time value of money and cost of money, as well as
understanding the importance of these topics in corporate finance.

o Differentiate between the sources of financing that a company can have, understanding the
advantages and disadvantages of each of them.

o Have the appropriate financial knowledge to understand the risk-return in an investment portfolio.

M.Sc. Adery Luciano Pérez Yoc Finance I – Year 2020

 University of San Carlos of Guatemala – USAC-
Eastern University Center –CUNORI-

Session I:
Financial administration: The company and financial statements as a tool for decision making

Unit I: Importance of financial information

Contents Activities
1.1. economic organizations - Create a mind map or mental outline.
1.2. Types of profit-making economic organizations
1.3. Financial information as a competitiveness tool
1.4. Types of users

Bibliographic reference
Guajardo Cantú, Gerardo. 2008. Financial Accounting. 5th. Ed. McGraw-Hill.

Unit II: Generalities of financial management

Contents Activities
2.1. Finance and financial management - Prepare an essay on the importance of management
2.2. Principles of finance finance and the role of the financial manager.
2.3. Importance of financial management
2.4. The role of financial management
2.5. Role of the financial manager
2.6. Profitability, risk and liquidity

Bibliographic reference
Córdoba Padilla, Marcial. 2012. Financial management. 1st. Ed. Ecoe.

Unit III: The goals and functions of finance

Content Activities
3.1. The creation of value - Prepare an essay about the decisions in which
3.2. The investment decision A financial administrator must intervene and his
3.3. The decision on financing involvement in the company's finances.

M.Sc. Adery Luciano Pérez Yoc Finance I – Year 2020

 University of San Carlos of Guatemala – USAC-
Eastern University Center –CUNORI-

3.4 The decision on dividends

Bibliographic reference
Van Horne, James C. 1997. Financial administration. 11th. Ed. Prentice Hall

Unit IV: Financial statements

Contents Activities
4.1. financial statements - In a group, define the name of a company
4.2. Statement of income (commerce, productive or services)
4.3. Statement of changes in stockholders' equity - Define the investment needs of the company
4.4. Statement of financial position (balance sheet) - Indicate the way in which the
4.5. Cash flow statement investments.
- Prepare the balance sheet and statement of
results.
Bibliographic reference
Guajardo Cantú, Gerardo. 2008. Financial Accounting. 5th. Ed. McGraw-Hill.

Unit V: Financial statements and analysis of financial ratios

Contents Activities
5.1. Report for shareholders - Using Excel and taking the exercise data
5.2. Use of financial ratios previous, apply the use of financial ratios.
5.3. Liquidity ratios - Interpret the financial statements.
5.4. Activity indices
5.5. Debt ratios
5.6. Profitability indices

Bibliographic reference
Gitman, Lawrence J. and Zutter, Chad J. 2012. Principles of financial administration. 12th. Ed. Pearson Education.

Activity 1: Participate in the forum “The importance of the financial administrator within organizations”, integrating the five
units of which this session is made up.

M.Sc. Adery Luciano Pérez Yoc Finance I – Year 2020

 USAC University of San Carlos of Guatemala – USAC-
3 TRICENTENARY Eastern University Center –CUNORI-
GoEdnmnl Sensation Utcnity

Activity 2: In the Excel document provided, apply vertical analysis, horizontal analysis and financial indicators to a
company categorized as MSME and do the respective analysis (for this it is necessary to have the 2018 and 2019
financial statements (or 2017 if not available), You can use a fictitious name for the exercise.

Session 2:
Cash flow and financial planning

Unit VI: Cash Management

Contents Activities
6.1. Cash management - Preparation of a cash flow, which must be delivered in an
6.2. Cash Flow Excel file.
6.3. The liquidity
6.4. Basic principles for cash management
6.5. Cash conversion cycle
6.6. Cash flow
6.7. Cash cycle
6.8. Opportunity cost

Bibliographic reference
Córdoba Padilla, Marcial. 2012. Financial management. 1st. Ed. Ecoe.

Unit VII: Financial planning and growth

Contents Activities
8.1. What is financial planning? - Prepare an essay on the importance of
8.2. A financial planning model: the ingredients financial planning within the activities of the financial
8.3. Sales percentage method administrator.
8.4. What determines growth?

Bibliographic reference
Ross, Stephen A., Westerfield, Randolph W. and Jordan, Bradford D. 2008. Corporate finance. 7th. Ed. McGraw-Hill.

M.Sc. Adery Luciano Pérez Yoc Finance I – Year 2020

 University of San Carlos of Guatemala – USAC-
Eastern University Center –CUNORI-

Unit VIII: Cash flow and financial planning

Contents Activities
8.1. Analysis of the company's cash flow - Preparation of the balance sheet and income
8.2. The financial planning process statement
8.3. Cash Planning: Cash Budget shape.
8.4. Profit Planning: Pro Forma Financial Statements
8.5. Preparation of pro forma income statement
8.6. Preparation of the pro forma balance sheet
8.7. Evaluation of pro forma statements

Bibliographic reference
Gitman, Lawrence J. and Zutter, Chad J. 2012. Principles of financial administration. 12th. Ed. Pearson Education.

Activity 1: Participate in the forum “Financial planning and cash flow as a forecasting tool in the use, allocation and needs
of financing”, integrating the three units of which this session is made up.
Activity 2: In the Excel document provided, create the pro forma financial statements and cash flow for a company
categorized as MSME and do the respective analysis (for this it is necessary to have the 2018 and 2019 financial
statements (or 2017, failing that). ), you can use a fictitious name for the exercise.

Session 3:
Financial markets, the value and cost of money

Unit IX: Financial system

Content Activities
9.1. Finance system - Summary
9.2. Functions of the financial system
9.3. Components of the financial system

M.Sc. Adery Luciano Pérez Yoc Finance I – Year 2020

 University of San Carlos of Guatemala – USAC-
Eastern University Center –CUNORI-

9.4. Financial assets

9.5. Financial instruments
9.6. Financial derivatives
9.7. Financial markets
9.8. Capital markets
9.9. Mediators and financial intermediaries

Bibliographic reference
Córdoba Padilla, Marcial. 2012. Financial management. 1st. Ed. Ecoe.

Unit X: Financial valuation

Contents Activities
10.1. Financial valuation - Laboratories
10.2. Interest: simple and compound
10.3. Equivalent rates
10.4. the value of money in the time
10.5. Cash Flow Timeline
10.6. Annuities
10.7. Amortization
10.8. Financial valuation
10.9. Added Economic Value –SEE-
10.10. Market Value Added –VMA-
10.11. Net Present Value –NPV-
10.12. Internal Rate of Return –IRR-

Bibliographic reference
Córdoba Padilla, Marcial. 2012. Financial management. 1st. Ed. Ecoe.

Activity 1: Participate in the forum “Financial markets”

Activity 2: Send the exercise based on the Excel template on financial evaluation applied to information from an MSME.

M.Sc. Adery Luciano Pérez Yoc Finance I – Year 2020

 University of San Carlos of Guatemala – USAC-
Eastern University Center –CUNORI-

Session 4:
Fixed income instruments and variable income instruments

Unit XI: Fixed income instruments

Contents Activities
11.1. Bond Valuation Summary
11.2. Interest rate and required returns
11.3. Corporate bonds
11.4. Valuation Fundamentals
11.5. Bond Valuation
11.6. Other types of fixed income instruments
Promissory notes, mortgage bills, corporate and bank bonds,
central bank or treasury bonds, savings accounts,
debentures, fixed-term deposits.

Bibliographic reference
Gitman, Lawrence J. and Zutter, Chad J. 2012. Principles of financial administration. 12th. Ed. Pearson Education.

Unit XII: Variable income instruments

Contents Activities
12.1. Stock Valuation Summary
12.2. Differences between debt capital and equity capital
12.3. Common and preferred shares
12.4. Common Stock Valuation
12.5. Decision Making and Common Stock Value
12.6. Other variable income instruments
Stocks, investment funds, bonds and convertible debentures

M.Sc. Adery Luciano Pérez Yoc Finance I – Year 2020

 University of San Carlos of Guatemala – USAC-
Eastern University Center –CUNORI-

Bibliographic reference
Gitman, Lawrence J. and Zutter, Chad J. 2012. Principles of financial administration. 12th. Ed. Pearson Education.

Activity 1: Participate in the forum “Fixed and variable income instruments”

Session 5:
Risk and return

Unit XIII: Uncertainty and financial risk

Contents Activities
13.1. Uncertainty and risk - Essay on “Financial risk in the face of
13.2. Uncertainty in finance uncertainty due to misinformation”
13.3. Using probabilities
13.4. Risk aversion in investment
13.5. Uncertainty and managerial decision

Bibliographic reference
Bautista Mena, Rafael. 2012. Uncertainty and risks in financial decisions. 1st. Ed. Ecoe.

Unit XIV: Risk and performance

Contents Activities
14.1. Risk and Return Fundamentals - Summary
14.2. Single asset risk
14.3. Portfolio risk
14.4. Risk and return

Bibliographic reference
Gitman, Lawrence J. and Zutter, Chad J. 2012. Principles of financial administration. 12th. Ed. Pearson Education.

Activity 1: Participate in the forum “Uncertainty and business risks in financial transactions”

M.Sc. Adery Luciano Pérez Yoc Finance I – Year 2020

 University of San Carlos of Guatemala – USAC-
Eastern University Center –CUNORI-

Note:

Activities (70 pts)

- Essays (10 pts)
- Summaries (5 pts)
- Mind map (2 pts)
- Laboratories and exercises (40 pts)
- Forums (10 pts)
- Participation and contributions (3pts)
Project (30 pts)

Bibliographic reference

1. Bautista Mena, Rafael de Jesús. 2012. Uncertainty and risks in financial decisions. 1a. Ed. Ecoe
2. Besley, Scott and Brigham Eugene F. 2016. Fundamentals of financial administration. 14th. Ed. Cengage Learning.
3. Córdoba Padilla, Marcial. 2012. Financial management. 1st. Ed. Ecoe.
4. Ehrhardt, Michael C. and Brigham Eugene F. 2007. Corporate finance. 2nd. Ed. Cengage Learning, Mexico.
5. Gitman, Lawrence J. and Zutter, Chad J. 2016. Principles of financial administration. 14th. Ed. Pearson Education.
6. Guajardo Cantú, Gerardo. 2008. Financial Accounting. 5th. Ed. McGraw-Hill.
7. Kozikowski Zarska, Zbigniew. 2013. International finances. 3a. Ed. McGraw-Hill.
8. Ross, Stephen A., Westerfield, Randolph W. and Jordan, Bradford D. 2008. Corporate finance. 7th. Ed. McGraw-Hill.
9. Van Horne, James C. 1997. Financial administration. 11th. Ed. Prentice Hall

Note:
What is not foreseen in this document will be discussed in classes, some unforeseen activities can be integrated
throughout the course, as necessary.

M.Sc. Adery Luciano Pérez Yoc Finance I – Year 2020