Derivatives are an integral 75% of students should score Out of a class of 35: The results are shared component of financial 70% or higher on the 89% scored 70% or higher with the finance faculty management. Various types and measurement instruments. on knowledge of futures. each fall. 3.Describe and price different applications of derivatives are 89% scored 70% or higher types of derivatives, and included in FIN 3730, 3750, and on knowledge of options. No exceptions were apply derivatives to manage 3780.Examinations and projects 94% scored 70% or higher risk. in these courses are used. The on pricing futures. derivatives assessment rubric 77% scored 70% or higher evaluates 1) knowledge of on pricing of options. derivatives, 2) pricing of 86% scored 70% or higher derivatives, and 3) applications on hedging with futures. of derivatives. 77% scored 70% or higher on hedging with options. 80% scored 70% or higher on options investment strategies. 4. Explain and apply the Examinations and projects in 75% of students should score Out of a of 28: The results are shared determinants of asset FIN 3720. 70% or higher on time value 75% scored 70% or higher with the finance faculty valuation. of money, cash flow on time value of money. each fall. estimation, determination of 79% scored 70% or higher risk, and determination of on cash flow estimation. Determination of required return. 86% scored 70% or higher required return was on determination of risk. slightly below the goal of 71% scored 70% or higher 75%. on determination of required return. Examinations and projects in 75% of students should score Out of a class of 26: The results are shared FIN 3780. 70% or higher on perfect 81% scored 70% or higher with the finance faculty 5. Analyze the determinants capital markets, costs of on perfect capital markets. each fall. of the financing decision of financial distress, agency 89% scored 70% or higher the firm. costs, and dividend policy. on costs of financial No exceptions were distress. noted. 92% scored 70% or higher on agency costs. 77% scored 70% or higher on dividend policy.
3.Describe and price different types of derivatives, and apply derivatives to manage risk. Derivatives are an integral component of financial management. Various types and applications of derivatives are included in FIN 3730, 3750, and 3780.Examinations and projects in these courses are used. The derivatives assessment rubric evaluates 1) knowledge of derivatives, 2) pricing of derivatives, and 3) applications of derivatives. 75% of students should score 70% or higher on the measurement instruments. Out of a class of 35: 89% scored 70% or higher on knowledge of futures. 89% scored 70% or higher on knowledge of options. 94% scored 70% or higher on pricing futures. 77% scored 70% or higher on pricing of options. 86% scored 70% or higher on hedging with futures. 77% scored 70% or higher on hedging with options. 80% scored 70% or higher on options investment strategies. The results are shared with the finance faculty each fall. No exceptions were 4. Explain and apply the determinants of asset valuation. Examinations and projects in FIN 3720. 75% of students should score 70% or higher on time value of money, cash flow estimation, determination of risk, and determination of required return. Out of a of 28: 75% scored 70% or higher on time value of money. 79% scored 70% or higher on cash flow estimation. 86% scored 70% or higher on determination of risk. 71% scored 70% or higher on determination of required return. The results are shared with the finance faculty each fall. Determination of required return was slightly below the goal of 75%. 5. Analyze the determinants of the financing decision of the firm. Examinations and projects in FIN 3780. 75% of students should score 70% or higher on perfect capital markets, costs of financial distress, agency costs, and dividend policy. Out of a class of 26: 81% scored 70% or higher on perfect capital markets. 89% scored 70% or higher on costs of financial distress. 92% scored 70% or higher on agency costs. 77% scored 70% or higher on dividend policy. The results are shared with the finance faculty each fall. No exceptions were noted.