PRINCIPLES OF FINANCE

Course Orientation Material

First Term SY 2020-2021
Course Title: Principles of Finance
Course Number: ECON3167
Credit Units: 3
Contact Hours: 3 hours/week
Course Facilitator: ATTY. REY S. RABAGO, CPA
Course Description:

This course introduces to the students the importance of financing in

facilitating smooth business operation. Discussion will focus mainly on the basic
concepts of finance, i.e. financial markets, investments risk and returns,
Philippine monetary system, and functions of different financial institutions.
Rudimentary tools in analyzing and forecasting investment outcome will be taken
up. Some related laws and jurisprudence will also be discussed to emphasize the
necessity of adhering to existing rules and ethical standards.

 
Course Intended Learning Outcome
 Explain and elaborate basic financial concepts.
 Assess the risk in investment.
 Forecast the returns of investment.
 Prepare reports guided by existing laws and ethical standards.
 Determine the best option among various means of financing.
 Assess the ethical compliance of finance related reports.
 Recommend a possible solution for business financing problem.
 Communicate the result of financing forecast analysis to the
stakeholders.
 Identify the areas in finance department that needs improvement.
 Weekly Expectations
Week Main Topics
Week 1 Introduction to Basic Finance
Week 2 Understanding the role of financial markets
Week 3 Understanding investment banking
Week 4 Securities markets
Week 5 Risk and its measurement
Week 6 Philippine monetary system
Week 7 Financial institution Part 1
Week 8 Prelim Exam
 Weekly Expectations
Week Main Topics
Week 9 Financial institution Part 2
Week 10 Financial institution Part 3
Week 11 Financial institution Part 4
Week 12 Financial institution Part 5
Week 13 Common stock
Week 14 Preferred stock
Week 15 Long term debt instruments
Week 16 Truth in Lending Act
Final Exam
 Grading System:
Prelims (50%) Finals (50%)

Class Participation and quizzes 60% Class Participation and quizzes 60%

Preliminary Examination 40% Final Examination 40%

Total 100% Total 100%

Final grade = 50% Prelims + 50% Finals

GRADE EQUIVALENT:
 96-100 = 1.00
94-95 = 1.25
92-93 = 1.50
89-91 = 1.75
87-88 = 2.00
84-86 = 2.25
82-83 = 2.50
79-81 = 2.75
75-78 = 3.00
BELOW 75 = 5.00
INC = INCOMPLETE
FA = FAILURE DUE TO