This course introduces students to the academic research in corporate finance. Corporate finance theory deals with the roles of corporations in the capital market and the interactions between investors, managers, regulators and other stakeholders. The objectives of this course are to learn the theories of corporate finance, analyse the research questions, and critically evaluate the academic papers.

This course focuses on selected classic and contemporary theoretical and empirical academic papers and provides students with an advanced and rigorous background in mainstream issues in modern corporate finance research. 

At the end of the course, it is expected that the students have developed an appreciation of the role of theory in corporate finance research, an in-depth knowledge of the research methods and philosophies employed in researching a wide range of corporate finance problems and issues, and an ability to critically analyse, and evaluate the literature in corporate finance.

Learning Outcomes

Upon successful completion, students will have the knowledge and skills to:

1. Use an appropriate framework for considering corporate finance problems and issues;
2. Develop and test corporate finance research questions and communicate the results; and,
3. Critically analyse, and evaluate the corporate finance literature.

Research-Led Teaching

This course introduces students to the world of research in corporate finance through a selection of classic and contemporary papers from top academic journals. It aims to help students gain knowledge from both theoretical and empirical perspectives while building essential research skills in communication, presentation, analysis, writing, and critical thinking.

Required Resources

All required materials can be accessed via Wattle.

Staff Feedback

Students will be given feedback in the following forms in this course:

• In-class feedback on students' responses to short-answer and multiple-choice questions in each lectures;
• In-class feedback to each group presentation;
• Discussion with group members and individual feedback during consultations;
• Individual feedback on student performance in assessment tasks is available on request.

Student Feedback

ANU is committed to the demonstration of educational excellence and regularly seeks feedback from students. Students are encouraged to offer feedback directly to their Course Convener or through their College and Course representatives (if applicable). Feedback can also be provided to Course Conveners and teachers via the Student Experience of Learning & Teaching (SELT) feedback program. SELT surveys are confidential and also provide the Colleges and ANU Executive with opportunities to recognise excellent teaching, and opportunities for improvement.

Other Information

Announcements: Students are expected to check the Wattle site for announcements about this course, e.g. changes to timetables or notifications of cancellations.

Support for Students: The University offers a number of support services for students. Information on these is available online from http://students.anu.edu.au/studentlife/ .

Class Schedule

Week/Session	Summary of Activities	Assessment
1	Introduction - Overview
2	Introduction - Empirical method	Participation
3	Capital Structure	Participation, Group presentation
4	Equity and Debt Financing	Participation, Group presentation
5	Capital investment	Participation, Group presentation
6	Corporate governance	Participation, Group presentation
7	CEO compensation	Participation, Group presentation
8	Shareholder litigation	Participation, Group presentation, and Data project due
9	Corporate bankruptcy	Participation, Group presentation
10	Mergers and acquisitions	Participation, Group presentation
11	Course Review	Participation, Group Presentation
12	COVID and financial crisis	Participation, Group Presentation

Tutorial Registration

There are no tutorials.

Assessment Summary

Assessment task	Value	Due Date	Return of assessment	Learning Outcomes
Participation	10 %	28/02/2025	26/05/2025	1,2,3
Presentation	15 %	04/03/2025	26/05/2025	1,2,3
Data project	20 %	25/04/2025	12/05/2025	1,2,3
Final exam	55 %	29/05/2025	26/06/2025	1,2,3

* If the Due Date and Return of Assessment date are blank, see the Assessment Tab for specific Assessment Task details

Policies

ANU has educational policies, procedures and guidelines , which are designed to ensure that staff and students are aware of the University’s academic standards, and implement them. Students are expected to have read the Academic Integrity Rule before the commencement of their course. Other key policies and guidelines include:

• Academic Integrity Policy and Procedure
• Student Assessment (Coursework) Policy and Procedure
• Extenuating Circumstances Application
• Student Surveys and Evaluations
• Deferred Examinations
• Student Complaint Resolution Policy and Procedure
• Code of practice for teaching and learning

Assessment Requirements

The ANU is using Turnitin to enhance student citation and referencing techniques, and to assess assignment submissions as a component of the University's approach to managing Academic Integrity. For additional information regarding Turnitin please visit the Academic Skills website. In rare cases where online submission using Turnitin software is not technically possible; or where not using Turnitin software has been justified by the Course Convener and approved by the Associate Dean (Education) on the basis of the teaching model being employed; students shall submit assessment online via ‘Wattle’ outside of Turnitin, or failing that in hard copy, or through a combination of submission methods as approved by the Associate Dean (Education). The submission method is detailed below.

Moderation of Assessment

Marks that are allocated during Semester are to be considered provisional until formalised by the College examiners meeting at the end of each Semester. If appropriate, some moderation of marks might be applied prior to final results being released.

Participation

The course content will be delivered through weekly on-campus lectures, which will also be recorded and made available via Echo360 on Wattle. There are no tutorials nor workshops. Students can schedule weekly consultations with the lecturer, conducted either in person or via Zoom, to address any questions or seek further clarification.

Examination(s)

The exam will be centrally scheduled ahead of the examination period. Students are advised to check the ANU Timetabling system for the official schedule and further details. The exam will be conducted in person, is closed-book, and will have a duration of 120 minutes.

Assessment Task 1

Participation

From Week 3 to Week 12, a short-answer or multiple-choice question will be posted on Wattle during the weekly lecture hours, with each question directly relating to the content of that week’s lecture. Students will have 5 minutes to complete and submit their answer on Wattle. Each question is worth 1% of the total course grade, collectively contributing 10% to the final grade.

Feedback for the first two questions will be provided by Week 6, allowing students to gauge their progress. Participation in this assessment is compulsory and non-redeemable.

Assessment Task 2

Presentation

The presentation will be completed in a group of 4-5 students. Groups will be randomly formed by the instructor during the first week of class. Students who are considering dropping the course are strongly encouraged to make their decision as early as possible to avoid disruptions. This assessment is compulsory and non-redeemable, contributing 15% to the final grade.

Presentations will be video recorded, which will enable later validation and verification of assessment if required (in accordance with point 7 in the ANU Student Assessment (Coursework) 

policy)

Starting from Week 3, two student groups will present each week, with each presentation lasting 30 minutes. Each group is required to critically evaluate an assigned academic paper by summarizing its content, providing commentary, and discussing its weaknesses as well as potential improvements or extensions (e.g., in terms of motivation, contributions, and research design). The assigned paper for each group will be announced on Wattle two weeks before their scheduled presentation.

Groups must submit their presentation slides in PDF format via email to the instructor, one day before their scheduled presentation. The submission should include a cover sheet listing all group members’ names and university ID. The slides and the subject of the submission email should be named: "Presentation Slides - Group #". All group members are expected to actively participate in the presentation. The instructor will outline the marking scheme for this assignment during Week 1.

Assessment Task 3

Data project

The data project will be completed in the same groups formed for the presentation. Each group is required to conduct an empirical analysis using the provided dataset. The data project is due on 25 Apr 2025. This assessment is compulsory and non-redeemable, contributing 20% to the final grade.

The submission must include a mini report outlining the research question, sample construction procedures, empirical model, exhibits (tables and/or figures), and a discussion of the empirical findings. Detailed instructions and the dataset will be made available on Wattle in Week 2.

The reports should be double-spaced, converted into PDF, use a 12 point font and 10-page limit (excluding tables, figures and references). Both the cleaned dataset (used for analysis) and the final report must be uploaded to Wattle through Turnitin. The report must include a cover sheet listing all group members’ names, university ID, and be named following the convention: “Data Project - Group #.”

The submission must be completed by 5 p.m. Canberra time on the due date. Each member is also required to provide a peer review of the contributions made by other members. Of the total 25%, 10% will be scaled based on the average score of the peer reviews. The remaining 15% will be allocated equally to each member, regardless of individual contributions.

Assessment Task 4

Final exam

This is an on-campus, invigilated, closed-book exam (no dictionary or calculator allowed), scheduled during the official final exam period. The exam will have a duration of 120 minutes and is compulsory and non-redeemable, contributing 55% to the final grade. Students are advised to check the ANU Timetabling system for the official schedule and further details.

The purpose of the exam is to assess students’ understanding and comprehension of the course material. It will consist of discussion-based questions that cover content from throughout the semester. Detailed information about the exam structure and content will be provided by Week 10.

Academic Integrity

Academic integrity is a core part of the ANU culture as a community of scholars. The University’s students are an integral part of that community. The academic integrity principle commits all students to engage in academic work in ways that are consistent with, and actively support, academic integrity, and to uphold this commitment by behaving honestly, responsibly and ethically, and with respect and fairness, in scholarly practice.

The University expects all staff and students to be familiar with the academic integrity principle, the Academic Integrity Rule 2021, the Policy: Student Academic Integrity and Procedure: Student Academic Integrity, and to uphold high standards of academic integrity to ensure the quality and value of our qualifications.

The Academic Integrity Rule 2021 is a legal document that the University uses to promote academic integrity, and manage breaches of the academic integrity principle. The Policy and Procedure support the Rule by outlining overarching principles, responsibilities and processes. The Academic Integrity Rule 2021 commences on 1 December 2021 and applies to courses commencing on or after that date, as well as to research conduct occurring on or after that date. Prior to this, the Academic Misconduct Rule 2015 applies.

 

The University commits to assisting all students to understand how to engage in academic work in ways that are consistent with, and actively support academic integrity. All coursework students must complete the online Academic Integrity Module (Epigeum), and Higher Degree Research (HDR) students are required to complete research integrity training. The Academic Integrity website provides information about services available to assist students with their assignments, examinations and other learning activities, as well as understanding and upholding academic integrity.

Online Submission

Assignments for this course are submitted using Turnitin in the course Wattle site. You will be required to electronically sign a declaration as part of the submission of your assignment. Please keep a copy of tasks completed for your records.

The ANU is using Turnitin to enhance student citation and referencing techniques, and to assess assignment submissions as a component of the University's approach to managing Academic Integrity. For additional information regarding Turnitin please visit http://online.anu.edu.au/turnitin.

Hardcopy Submission

No hardcopy submission is required.

Late Submission

No submission of assessment tasks without an extension after the due date will be permitted. If an assessment task is not submitted by the due date, a mark of zero will be awarded.

Referencing Requirements

The Academic Skills website has information to assist you with your writing and assessments. The website includes information about Academic Integrity including referencing requirements for different disciplines. There is also information on Plagiarism and different ways to use source material. Any use of artificial intelligence must be properly referenced. Failure to properly cite use of Generative AI will be considered a breach of academic integrity.

Extensions and Penalties

Extensions and late submission of assessment pieces are covered by the Student Assessment (Coursework) Policy and Procedure. Extensions may be granted for assessment pieces that are not examinations or take-home examinations. If you need an extension, you must request an extension in writing on or before the due date. If you have documented and appropriate medical evidence that demonstrates you were not able to request an extension on or before the due date, you may be able to request it after the due date.

Privacy Notice

The ANU has made a number of third party, online, databases available for students to use. Use of each online database is conditional on student end users first agreeing to the database licensor’s terms of service and/or privacy policy. Students should read these carefully. In some cases student end users will be required to register an account with the database licensor and submit personal information, including their: first name; last name; ANU email address; and other information.
In cases where student end users are asked to submit ‘content’ to a database, such as an assignment or short answers, the database licensor may only use the student’s ‘content’ in accordance with the terms of service – including any (copyright) licence the student grants to the database licensor. Any personal information or content a student submits may be stored by the licensor, potentially offshore, and will be used to process the database service in accordance with the licensors terms of service and/or privacy policy.
If any student chooses not to agree to the database licensor’s terms of service or privacy policy, the student will not be able to access and use the database. In these circumstances students should contact their lecturer to enquire about alternative arrangements that are available.

Distribution of grades policy

Academic Quality Assurance Committee monitors the performance of students, including attrition, further study and employment rates and grade distribution, and College reports on quality assurance processes for assessment activities, including alignment with national and international disciplinary and interdisciplinary standards, as well as qualification type learning outcomes.

Since first semester 1994, ANU uses a grading scale for all courses. This grading scale is used by all academic areas of the University.

Support for students

The University offers students support through several different services. You may contact the services listed below directly or seek advice from your Course Convener, Student Administrators, or your College and Course representatives (if applicable).

• ANU Health, safety & wellbeing for medical services, counselling, mental health and spiritual support
• ANU Accessibility for students with a disability or ongoing or chronic illness
• ANU Dean of Students for confidential, impartial advice and help to resolve problems between students and the academic or administrative areas of the University
• ANU Academic Skills supports you make your own decisions about how you learn and manage your workload.
• ANU Counselling promotes, supports and enhances mental health and wellbeing within the University student community.
• ANUSA supports and represents all ANU students