This course is an extension of Corporate Finance Part I. Major topics covered include capital budgeting techniques including net present value and internal rate of return, estimation of cost of capital and its application in capital budgeting, implications of financial leverage and capital structure policy, overview of puts, calls, and hedging and speculating with options.

By the end of the course, participants should be able to estimate the future cash flows and take a decision between alternative investment projects. They should be able also to determine the optimal capital structure given different financial risk applications, and discus the interaction between schedules of investment opportunities curve and marginal cost of capital.