Course Objectives
FINM7044  Applied Valuation
The purpose of this course is to offer students an applicationoriented approach to understanding how concepts and
theories of finance are applied to investment decisions.
Students will learn to value corporate entities using various
techniques, including discounted cash flow and multiple
based valuations. The methods and analytical techniques
discussed in this course are heavily used in practice, which
are helpful not only to financial managers in modern
corporations but also to investors in financial markets.

Semester 1, 2015
Instructor:  Dr Xianming Zhou
Consultation hours:  Thursday 2‐4pm
Jan Drienkou (
Xiang Gao (

Introduction  2

Textbook and Course Materials

Study Groups

 Prescribed textbook: Damodaran, A. (2012), Investment
Valuation, Wiley & Sons (3rd University edition)

 All assignments and case reports are group-based.

 Lecture notes: available on the course Wattle site

 Form your study team by the end of week 2, each
consisting 4 to 6 students.

 Valuation cases: Darden Business School cases to be
distributed in class

 Students attendance is required for case discussions.
A 2% penalty applies to each absence.

 Recommended reading: Ross, S., Westerfield, R., and
Jaffe, J., (2013) Corporate Finance. McGraw-Hill (10th
edition) (RWJ)

 At the conclusion of this course, each student will submit a
confidential assessment of each group member’s overall
contribution to the group’s work and performance.

Introduction  3

Introduction  4

Course Assessment

Course Assessment

 Assessment Summary
Two assignments:
Two case reports:
Final exam:

 Usual Grade Distribution
High Distinction (HD)
Distinction (D)
Credit (CR)
Pass (P)
Fail (N)


 Scaling
Scaling may apply to your final mark for the course, which
will preserve the rank...