FIN 374C Financial Planning and Policy for Large Corporations : Valuation of Energy Projects and Firms

Dr. John C. Butler
butlerjc@mccombs.utexas.edu
CBA 6.438, 232-6821
Office Hours: Tuesday & Thursday 1:00 - 2:30 pm and by appointment
 

Description: This course is primarily focused on the initiation, evaluation, financing and hedging of major investments with a focus on the energy industry.  The theory behind these decisions will be featured but practical issues involving application of the concepts will be emphasized, including scenario analysis and simulation.
Key questions addressed include:

Materials Course Requirements and Grading


Submitted Materials and Class Discussion


Policies


Students with Disabilities

Upon request, the University of Texas at Austin provides appropriate academic accommodations for qualified students with disabilities. Services for Students with Disabilities (SSD) is housed in the Office of the Dean of Students, located on the fourth floor of the Student Services Building. Information on how to register, downloadable forms, including guidelines for documentation, accommodation request letters, and releases of information are available online at http://deanofstudents.utexas.edu/ssd/index.php. Please do not hesitate to contact SSD at (512) 471-6259, VP: (512) 232-2937 or via e-mail if you have any questions.

Religious Holidays

By University policy you must notify me of your pending absence at least fourteen days prior to the date of observance of a religious holy day.  If you miss the due date for an assignment due to your observance of a holy day you will be given an opportunity to complete the missed work within a reasonable time after the absence.
 

Tentative Schedule (all dates but Midterm are subject to change)
Meeting Date Topic Readings
1 Jan 18 Course Introduction  & Valuation process Chap1
2 Jan 20 Valuation Methodologies Chap 2
3 Jan 25 Cash Flows / Simulation and Scenarios Chap 2-3
4 Jan 27 Simulation and Scenario analysis Chap 3
5 Feb 01 Simulation and Scenario analysis Chap 3
6 Feb 03 Cost of Capital Chap 4
7 Feb 08 Cost of Capital Chap 4
8 Feb 10 Cost of Capital Chap 4
9 Feb 15 Estimating Required Rates of Return  Chap 5
10 Feb 17 Estimating Required Rates of Return  Chap 5
11 Feb 22 Forecasting Financial Performance Chap 6
12 Feb 24 Forecasting Financial Performance Chap 6
13 Mar 01 Accounting and Valuation Chap 7
14 Mar 03 Review / Advanced Excel
15 Mar 08 Mid term Chapters 1-6
16 Mar 10 Accounting and Valuation Chap 7
Mar 15-17 Spring Break
17 Mar 22 Valuation with Comparables Chap 8
18 Mar 24 Valuation with Comparables Chap 8
19 Mar 29 Enterprise Valuation Chap 9
20 Mar 31 Enterprise Valuation Chap 9
21 Apr 05 Private Equity Chap 10
22 Apr 07 Decision Trees Chap 11
23 Apr 12 Intro to Real Options Chap 11
24 Apr 14 Intro to Real Options Chap 11-12
25 Apr 19 Real Options continued Chap 12
26 Apr 21 Real Options continued Chap 12
27 Apr 26 Real Options continued Chap 11-12
28 Apr 28 Real Options continued Chap 12
29 May 03 Real Options continued Chap 13
30 May 05 Real Options continued Chap 13