Professors: F. J. Navratil, L. D. Brooks, D. C. Schirm; Associate Professor: G. E. Porter; Assistant Professor: S. B. Moore
The primary goal of the finance program is to extend the understanding of financial theory and practice among our students, the University, and the broader community. We pursue this goal through quality teaching and advising, significant research, and appropriate community involvement.
The general goal of the department’s undergraduate finance program is to cultivate students’ critical thinking skills and to aid them in developing a logical, ordered approach to solving business problems. Students completing a finance program offered by the department should gain the knowledge and understanding of financial theory and practice so that they can:
- Demonstrate proficiency in the use of the language of finance in both oral and written form.
- Demonstrate the ability to apply financial analysis to a wide range of personal and business problems.
- Consider ethical issues raised in business situations in the context of their moral and spiritual values.
- Make a successful transition into the workforce or further professional education.
- Develop the ability to evaluate personal and business financial decisions within the context of their moral and spiritual principles.
Finance applies economics, accounting, and mathematics to financial decision-making. Corporate finance analyzes how firms should manage and fund their assets. Courses in finance deal with a wide array of companies, including small firms, companies regulated by governmental bodies, and large corporations that engage in complex international operations. Classes in international finance teach students to assess complex international operations. Classes in corporate finance teach students to assess firm financial decisions as well as their financial health and future. Investment courses prepare students to analyze different mediums of savings and investments. Courses in financial institutions inform students about how such firms manage their assets and liabilities in light of macroeconomic considerations and regulatory restrictions.
Because the discipline of finance is intellectually challenging and rigorous, it not only prepares students for a large number of today’s appealing and rewarding careers in business and industry, but also provides excellent background for graduate programs. Students in the University’s finance program are actively sought by corporate recruiters, who know the students have been well prepared for the world of contemporary finance. Many finance students become financial analysts and managers. Others enter the consulting or legal professions or develop careers in the various occupations related to investment activity or financial institutions. Many John Carroll University graduates in finance have become high-ranking financial officers of prominent and successful companies or have achieved important positions in banks and governmental agencies active in financial matters.
Major in Finance: A total of 64-70 credit hours as described below.
Business Core: 40-43 credit hours, including AC 201-202 and MN 461 or MN 463-464.
FN 312: Prospective finance majors must complete FN 312 with a minimum grade of C.
Major Courses: 24-27 credit hours. AC 310 or 303-304; EC 301, and 302 or 311; FN 316, 342, 440, 441; plus one of the following seven courses: FN 405, 418, 439, 442, 444, 452, or 498.
142. PERSONAL FINANCE 2 cr. Cannot be counted as part of the business minor or finance major. Focuses on personal financial decision-making, including use of credit, use of insurance products, use of banking and other financial services, and investing for future financial goals.
312. BUSINESS FINANCE 3 cr. Prerequisites: two semesters each of accounting and economics (EC 201-202), and EC 208. Financial problems in organization, operation, expansion, and reconstruction of business concerns, particularly the corporate type.
316. MANAGEMENT OF FINANCIAL INSTITUTIONS 3 cr. Prerequisite: FN 312. Management strategies and operating policies of financial institutions, management effects of regulatory policies, and the theory of financial intermediation. Use of financial markets and instruments in managing financial institution assets and liabilities.
342. INVESTMENTS 3 cr. Prerequisite: minimum grade of C in FN 312. Principles governing selection and management of investments, from the viewpoints of large and small investors.
405. SEMINAR IN FINANCE 3 cr. Prerequisites: minimum grade of C in FN 312 and/or as announced. Contemporary issues in finance not covered in depth in other departmental courses. Topics, method of presentation, and requirements designated by the seminar leader.
418. REAL ESTATE FINANCE 3 cr. Prerequisite: minimum grade of C in FN 312. Introduction to real estate, with a focus on financial aspects; theory and measurement of returns and risks on real estate and real estate-related assets; valuation theory for owner-occupied and income-producing properties.
439. INTERNATIONAL BUSINESS FINANCE 3 cr. Prerequisite: minimum grade of C in FN 312. Tools and techniques necessary to understand the financial management of the firm in an international environment. Exchange rate determination, risk analysis, transactions denominated in foreign currency, nontraditional trading practices, and the unique problems faced by multinational firms. Exchange rate risk in foreign securities investments.
440. INTERMEDIATE CORPORATE FINANCE 3 cr. Prerequisite: minimum grade of C in FN 312. Expands knowledge of corporate finance developed in FN 312. Students make extensive use of spreadsheet modeling and simulation software to address complex financial problems. Topics include capital budgeting, financial planning, working capital management, capital structure, and dividend payout policy.
441. PROBLEMS IN BUSINESS FINANCE 3 cr. Prerequisite: FN 440 and one other FN course. Practice in the analysis of typical problems arising in the financial management of business enterprises. Capstone course in the finance sequence, incorporating examples and case studies.
442. RISK MANAGEMENT AND INSURANCE FUNDAMENTALS 3 cr. Prerequisite: minimum grade of C in FN 312. Focuses on the management of business risks whose outcomes are subject to some degree of direct control (e.g., fire damage that may be preventable), as compared to risks whose outcomes are a result of changing market forces.
444. MANAGING FINANCIAL RISK WITH DERIVATIVES 3 cr. Prerequisite: minimum grade of C in FN 312. Introduction to analytical and decision-making processes used to transfer risk with futures and options. Theory and application of pricing, speculating, and hedging techniques in financial markets.
452. PORTFOLIO MANAGEMENT 3 cr. Prerequisites: FN 342 and instructor permission. Focuses on the Dornam Fund, a student-managed investment portfolio. The course provides students with theory and experience in professional money management, including identification of investment objectives, assessment of information for security selection, and evaluation of fund performance.
498. INDEPENDENT STUDY 1-3 cr. Prerequisites: finance major with 3.0 average in finance; consent of chair and instructor. Research project supervised by a member of the department willing to act as advisor. The student selects an aspect of finance, establishes goals, and develops a plan of study. Plan must be approved by the chair and filed with the dean’s office. Consult the chair for departmental guidelines established for such study.