Skagit Valley College

Catalog Course Search Details

New Course: this course was added after the last catalog

 Course Title:   Principles of Finance

 Title Abbreviation:   PRINCIPLES OF FINANCE

 Department:    BASAM

 Course #:    422

 Credits:    5

 Variable:     No

 IUs:    5

 CIP:    520201

 EPC:    50B

 REV:    2018


 Course Description  

Introduction to the application of financial management principles. Includes the analysis of financial statements for planning and control, cash and capital budgeting, risk and return, capital structure, and financing the short- and long-term requirements of the firm. Apply basic tools and techniques used to value a firm and evaluate and fund prospective investment opportunities.

 Prerequisite  

Prerequisite: Admission to BASAM program and BASAM Director permission.

Additional Course Details

Contact Hours (based on 11 week quarter)

Lecture: 55

Lab: 0

Other: 0

Systems: 0

Clinical: 0


Intent: Distribution Requirement(s) Status:  

Vocational Preparatory Required for ATA degree  

Equivalencies At Other Institutions

Other Institution Equivalencies Table
Institution Course # Remarks
N/A

Learning Outcomes

After completing this course, the student will be able to:

  1. Apply capital market theory in financial decision making.
  2. Evaluate company performance based on financial statements and other measures and using key financial ratios to provide recommendations.
  3. Apply long-term investment management concepts to capital budgeting decision making.
  4. Demonstrate the management of working capital to achieve the appropriate value for the firm.
  5. Examine primary risk/return criteria regarding financial management in business environments.
  6. Analyze applicable legal and regulatory requirements to determine whether organizations meet legal responsibilities and act with social responsibility.
  7. Apply valuation skills such as NPV, IRR and ARR, to evaluate capital investment projects and overall value of a firm.

General Education Learning Values & Outcomes

Revised August 2008 and affects outlines for 2008 year 1 and later.

1. Information Literacy

Definition: Recognizing when information is needed and have the ability to locate, evaluate, and use effectively the needed information.

Outcomes: Students will be able to . . .
1.1 Determine the extent of information needed.

2. Critical Thinking

Definition: The ability to think critically about the nature of knowledge within a discipline and about the ways in which that knowledge is constructed and validated and to be sensitive to the ways these processes often vary among disciplines.

Outcomes: Students will be able to . . .
2.4 Evaluate decisions by analyzing outcomes and the impact of actions.
2.9 Apply and/or create problem-solving strategies to successfully adapt to unpredictable and/or changing environments.

3. Communication

Definition: Understanding and producing effective written, spoken, visual, and non-verbal communication.

Outcomes: Students will be able to . . .
3.1 Recognize, read, and comprehend academic and/or professional writing.

5. Global & Local Awareness & Responsibility

Definition: Understanding the complexity and interdependence of, and stewardship responsibilities to, local and global communities and environments.

Outcomes: Students will be able to . . .

5.5 Demonstrate ethical practices as part of stewardship to local/global communities and environments.

6. Individual Awareness & Responsibility

Definition: Understanding, managing, and taking responsibility for one’s learning and behavior in varied and changing environments.

Outcomes: Students will be able to . . .
6.2 Demonstrate standards of professionalism in manner, appearance, and setting appropriate to the context, including the classroom, workplace, and community.

8. Mathematical Reasoning

Definition: Understanding and applying concepts of mathematics and logical reasoning in a variety of contexts, both academic and non-academic.

Outcomes: Students will be able to . . .
8.3 Interpret information and reasoning expressed mathematically (for example in spreadsheets, diagrams, charts, formulas, etc.).

10. Technology

Definition: Understanding the role of technology in society and using technology appropriately and effectively.

Outcomes: Students will be able to . . .
10.3 Use technology appropriate to the context and task to effectively retrieve and manage information, solve problems, and facilitate communication.

Course Contents

  1. Capital market theory in financial decision making.
  2. Company performance based on financial statements and other measures and using key financial ratios to provide recommendations.
  3. Long-term investment management concepts to capital budgeting decision making.
  4. Management of working capital to achieve the appropriate value for the firm.
  5. Primary risk/return criteria regarding financial management in business environments.
  6. Applicable legal and regulatory requirements to determine whether organizations meet legal responsibilities and act with social responsibility.
  7. Valuation skills such as NPV, IRR and ARR, to evaluate capital investment projects and overall value of a firm.