RIPHAH INTERNATIONAL COLLEGE
Associate Degree Program
Course Title : Finance for Computer Science
Course Number :
Credit Hours :3
Course Pre-requisite : N/A
Course Duration : 16 weeks
Course Description:
Financial markets form the source of a vast number of challenging computational problems. These
are not only intellectually challenging from the point of view of computational modelling, but the
financial sector is also an employer of a significant fraction of students of Computer Science. This
course covers the use of computational processing in Finance such as the use of computation in the
analysis of finance algorithmic instruments.
Learning Outcomes
Students will able to:
Identify the primary goal of finance to maximize shareholder wealth and not profits and its
relationship to decision-making within the firm.
Identify key components of the financial market system and the role of different market
players, costs, vehicles, efficient markets, interest rate determinant, and risk-return tradeoffs.
Evaluate a company's financial performance, using a comprehensive set of financial tools.
Analyze the use of time value of money in present value and future value models for
investment/project decision-making purposes.
Define and measure the expected rate of return and risk for an individual investment, to
explain the relationship between risk and return, and how diversification affects risk and
return.
Describe a firm's financing process, including concepts underlying a firm's cost of capital, the
difference between internally and externally generated funds, a firm's financing needs,
working capital, and optimum financing mix.
Educational Methodology to be used:
1. Interactive Lecture
2. Group Discussion
3. Presentation
4. Lab work
Assignments / Projects Criterion:
a. Submission on time
b. Free of spelling and grammatical errors
c. Appropriate length
d. Appropriate presentation (font type and size, margin, stapled)
e. Identical or partially identical assignments / projects will get a Zero in the assignment.
The repetition of such kind may lead to an “F” grade in the course
f. Plagiarism of any sort will not be tolerated
General Classroom Norms:
Class attendance is mandatory. You may miss up to 25% (8 out of 32 sessions) class sessions but save
it for emergency only. In case you exceed this level, you will be withdrawn from the course. As a
courtesy to the instructor and other students, be prepared to arrive at class and be in your seat on time.
In addition, please note that each class lasts for 90 minutes (1.5 Hours).
Also keep in mind some general rules in the class as given below:
Cell phones should be powered off.
Eatables are not allowed in the class.
The teacher will not tolerate any disruptive behavior in the class.
The University Dress Code has to be observed, no warnings will be given, and violators will
be asked politely to leave the class and consequently will be marked absent.
Participation:
Students are required to attend all classes and read all the assigned material in advance of class
(although not necessarily with perfect comprehension). Advanced preparation and class participation
are crucial for proper conceptual understanding. During discussion sessions, the instructor generally
keeps track of the insightful and useful comments students make. (Irrelevant and Unproductive
contribution is not rewarded)
Grade Distribution:
Evaluation Type Percentage (%) Activities
Quizzes 10 Minimum 4
Assignments 10 Minimum 4
Project 10 Minimum 1
Mid Term 30
Final Term 40
Total Points 100
Technology / Equipment / Models / Physical Support:
1. Multimedia
2. White Board
3. Movies
4. Audio Visual Lab
5. Websites
Week Contents Activities
1 An Introduction to the Foundations of Financial Management:
Five Principles That Form the Foundations of Finance
The Role of Finance in Business
The Legal Forms of Business Organization
2-3 Assignment 1
Understanding Financial Statements and Cash Flows: (Week 2)
The Income Statement
Measuring Cash Flows Quiz 1
(Week 3)
4 Evaluating a Firm’s Financial Performance
The Purpose of Financial Analysis
Measuring Key Financial Relationships
The Limitations of Financial Ratio Analysis
5-6 The Time Value of Money Assignment 2
Compound Interest, Future, and Present Value (Week 5)
Annuities
Quiz 2
Making Interest Rates Comparable (Week 6)
The Present Value of an Uneven Stream and Perpetuities
7-8 The Meaning and Measurement of Risk and Return
Expected Return Defined and Measured
Risk Defined and Measured
Rates of Return: The Investor’s Experience
Risk and Diversification
The Investor’s Required Rate of Return
MID TERM
10 The Valuation and Characteristics of Bonds Assignment 3
Types of Bonds
Terminology and Characteristics of Bonds
Defining Value
What Determines Value?
Valuation: The Basic Process
Valuing Bonds
Bond Yields
Bond Valuation: Three Important Relationships
11 The Valuation and Characteristics of Stock
Preferred Stock
Valuing Preferred Stock
Common Stock
Valuing Common Stock
The Expected Rate of Return of Stockholders
12-13 Capital-Budgeting Techniques and Practice Quiz 3
(Week 12)
Finding Profitable Projects
Capital-Budgeting Decision Criteria
Capital Rationing
Ranking Mutually Exclusive Projects
14-15 Short-Term Financial Planning Assignment 4
Financial Forecasting (Week 14)
Limitations of the Percent of Sales Forecasting Method
Constructing and Using a Cash Budget Quiz 4
(Week 15)
16-17 Working-Capital Management
Managing Current Assets and Liabilities
Determining the Appropriate Level of Working Capital
The Cash Conversion Cycle
Estimating the Cost of Short-Term Credit Using the Approximate
Cost-of-Credit Formula
Sources of Short-Term Credit
FINAL TERM