The Students

• solve financial mathematical problems (compounding, discounting, perpetuity) and explain them in a practical context
  

• derive and argue investment decisions on the basis of static and dynamic calculation procedures
  

• present the advantages and disadvantages of equity and debt financing instruments
  

• work out repayment plans (loans) and to calculate the costs associated with them
  

• Explain short-term forms of financing
  

• develop new forms of budgeting in liquidity controlling in a self-organized manner.
  

• identify the different effects of the selected (core) instruments of liquidity controlling and are able to assess their benefits.
  

• are able to assess the results of the selected (core) instruments in terms of their effectiveness.
  

none

• Introduction to financial mathematics
  

• Fundamentals of the financial cycle
  

• Static investment calculation methods (cost, profit, profitability and amortization comparison calculation)
  

• Dynamic investment calculation methods (net present value method, annuity method, internal rate of return method)
  

• Equity vs. debt (liability function, liquidity burden, optimal financing structure, leverage effect)
  

• Loans (repayment types, repayment schedules, variable vs. fixed interest rates)
  

• Overdraft
  

• Credit collateral
  

• Short-term forms of financing (supplier credit, etc.)
  

• ESG criteria
  

Atrill, P.: Financial Management for Decision Makers, 7th edition, 2014. London: Pearson.

Brealey, R. / Myers, S. / Allen, F. (2008): Principles of Corporate Finance. New York: McGraw-Hill/Irwin.

IPEV (2018): The International Private Equity and Venture Capital Valuation (IPEV) Guidelines. URL.: http://www.privateequityvaluation.com/Valuation-Guidelines, abgerufen (Stand: 27.04.2023).

Ross, S. / Westerfield, R. / Jordan, B. (2008): essentials of Corporate Finance. New York: McGraw-Hill/Irwin.

Lecture, discussion, case management

Cumulative module grade: The individual course grade of ILV "Investment & Financing I" is incorporated into the overall module grade and is weighted in accordance with its assigned ECTS Credits.
Assessment type: final assessment
Assessment method/s: written examination