BUS 082 Lecture Notes - Lecture 1: Financial Analyst, Cash Flow, Accounting Scandals

• School: College of The Sequoias
• Department: Business (BUS)
• Course: BUS 082
• Professor: Cordero

Document Summary

Overall goal in finance is to measure/maximise share price. Size of company is measured by the market capitalisation. Biggest company in the world (by stock market value) is apple. Share price x number of shares equals the market capitalisation (stock market value) When a financial analyst values" stock at a higher price than the market value, they will buy it as they believe it is undervalued . In finance we measure the value of something, compare the price to the market value, then decided whether to buy, sell or hold it. Corporate finance: basic theories and ideas of finance. Investments: financial assets such as shares and bonds, how we value shares (equity) and bonds (debt) Financial institutions: firms dealing in financial matters. International finance: covers the above areas in a global context. We will mainly be dealing with corporate and investment finance. We need to work out the value of real and financial assets.