Finance 1

Subject FNCE10001 (2016)

Note: This is an archived Handbook entry from 2016.

Credit Points: 12.5
Level: 1 (Undergraduate)
Dates & Locations:

This subject has the following teaching availabilities in 2016:

January, Parkville - Taught on campus.
Pre-teaching Period Start not applicable
Teaching Period 13-Jan-2016 to 05-Feb-2016
Assessment Period End 19-Feb-2016
Last date to Self-Enrol 18-Jan-2016
Census Date 22-Jan-2016
Last date to Withdraw without fail 05-Feb-2016

Semester 1, Parkville - Taught on campus.
Pre-teaching Period Start not applicable
Teaching Period 29-Feb-2016 to 29-May-2016
Assessment Period End 24-Jun-2016
Last date to Self-Enrol 11-Mar-2016
Census Date 31-Mar-2016
Last date to Withdraw without fail 06-May-2016

Semester 2, Parkville - Taught on campus.
Pre-teaching Period Start not applicable
Teaching Period 25-Jul-2016 to 23-Oct-2016
Assessment Period End 18-Nov-2016
Last date to Self-Enrol 05-Aug-2016
Census Date 31-Aug-2016
Last date to Withdraw without fail 23-Sep-2016

Timetable can be viewed here. For information about these dates, click here.
Time Commitment: Contact Hours: Two hours of lectures and a 1-hour tutorial per week (Sem 1, 2) Summer: 24 hours of lectures and 12 hours of tutorials
Total Time Commitment:

170 hours


A study score of at least 25 in English (any) or equivalent and Mathematical Methods in VCE Units 3 & 4 or equivalent


MAST10012 Introduction to Mathematics


Entry into the Bachelor of Commerce


Entry into the Bachelor of Science


Entry into the Bachelor of Biomedicine



Recommended Background Knowledge:

Please refer to Prerequisites and Corequisites.

Non Allowed Subjects:

Students who have completed FNCE20001 Business Finance will not be permitted to enrol in this subject.

Core Participation Requirements:

For the purposes of considering request for Reasonable Adjustments under the Disability Standards for Education (Cwth 2005), and Student Support and Engagement Policy, academic requirements for this subject are articulated in the Subject Overview, Learning Outcomes, Assessment and Generic Skills sections of this entry.

It is University policy to take all reasonable steps to minimise the impact of disability upon academic study, and reasonable adjustments will be made to enhance a student's participation in the University's programs. Students who feel their disability may impact on meeting the requirements of this subject are encouraged to discuss this matter with a Faculty Student Adviser and Student Equity and Disability Support:


Dr Jordan Neyland, Mr David Robinson, Mr Zhuo Zhong


Semester 1:
Semester 2:

Subject Overview:

This subject introduces students to finance and provides them with fundamental principles and institutional knowledge to progress in the discipline. Topics include direct financing and security yields, banking and the money market, the bond and equity markets, offshore finance and foreign exchange, the behaviour of financial variables, interest rate risk management and derivative securities. These topics will be used to illustrate fundamental financial concepts such as risk, return, and present value.

Learning Outcomes:
  • Provide an overview of a `developed' financial system
  • Distinguish between the basic types of financial instruments and their main institutional users and issuers
  • Appreciate basic concepts in finance, including risk, return, arbitrage, primary claims and contingent claims
  • Apply financial mathematical techniques to financial instruments
  • Explain the operation of capital and derivatives markets reflect upon the process of financial innovation

Assignments not exceeding 2000 words (20%) and a 2-hour end-of-semester examination (80%). To pass this subject, students must pass the end-of-semester examination.

Prescribed Texts:

Financial Institutions and Markets (B Hunt and C Terry), (7th edn), Thomson, Australia, 2015.

Breadth Options:

This subject potentially can be taken as a breadth subject component for the following courses:

You should visit learn more about breadth subjects and read the breadth requirements for your degree, and should discuss your choice with your student adviser, before deciding on your subjects.

Fees Information: Subject EFTSL, Level, Discipline & Census Date
Generic Skills:
  • High level of development: interpretation and analysis; critical thinking; synthesis of data and other information; accessing data and other information from a range of sources.

  • Moderate level of development: oral communication; written communication; problem solving; statistical reasoning; application of theory to practice; evaluation of data and other information.

  • Some level of development: collaborative learning; team work; use of computer software.

Related Breadth Track(s): Your Money or Your Life
Real Estate and the Australian Dream
Fundamentals of Finance and Accounting
Ethics &&&&& Investing
Economics && Finance

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