Information on this page, including unit offerings, is from the 2019 academic year.
Foundational Mathematics for Business (BUS1301)
|School||School of Business and Governance|
|Description||This unit aims to show students how quantitative analysis facilitates personal and corporate financial decisions by focusing on financial mathematics to value debt and equity securities. The valuation process considers the respective security's cash flows, time value of money and the associated risk. The unit introduces techniques used to collect, calculate, and interpret information used as the basis for pricing mortgage loans, evaluating superannuation performance and quantifying and selecting investment alternatives.|
|Unit Learning Outcomes||On successful completion of the unit you should be able to:
1. Appreciate that trends in the financial and economic environment affect business and financial success and enhance the need for numeracy, financial literacy and planning.
2. Explain the time value of money concept and use your financial calculator to solve time value of money problems.
3. Value bonds, debentures, preference shares and ordinary shares.
4. Organise data and construct and interpret visual displays of data relevant to particular situations.
5. Input data and use Excel to generate summary statistics.
6. Interpret probabilities.
7. Generate scatterplots and related statistics using Excel and interpret the results.
8. Explain issues of information asymmetry in relation to financial structure, credit markets, and venture capital firms.
|Timetabled Learning Activities||(12 weeks x 4 hours face-to-face learning per teaching week)
1 x 2-hour Lecture per week
1 x 1-hour Tutorial per week
1 x 1-hour Workshop per week
All offerings of this unit include the equivalent of 30 hours of structured learning.
|Unit Learning Experiences||To provide all students with opportunities to develop good work habits individually and in groups. * To enable students to understand the relevance of mathematics in financial decision making. * To equip students with required mathematical and numeracy skills to define and solve problems in a business context.|
|Assessment||Workshop participation Quality of preparation and contribution 15% Mid-Trimester Test 2 Hours + 10 mins reading. Topics 1-4 (25%). Assignment Topics 5-8 Available on unit page. (15%). Final Examination Closed Book. Topics 1-11 (45%).|
|Exclusions||Students who have successfully completed BUS140 Principles of Finance and Banking or BUS140 Introduction to Finance may not enrol in this unit for credit.|
|Appears in these Courses/Majors:
see individual structures for context
|Internet Access Requirements||Murdoch units normally include an online component comprising materials, discussions, lecture recordings and assessment activities. All students, regardless of their location or mode of study, need to have access to and be able to use computing devices with browsing capability and a connection to the Internet via Broadband (Cable, ADSL or Mobile) or Wireless. The Internet connection should be readily available and allow large amounts of data to be streamed or downloaded (approximately 100MB per lecture recording). Students also need to be able to enter into online discussions and submit assignments online.|