REGINA MONDI COLLEGE, INC.

National Highway, San Jose Iriga City

CP No. 0961 7276968
Email: [email protected]

“We mean business to educate!”

BACHELOR OF SCIENCE IN ACCOUNTANCY

1ST Semester, A/Y 2024-2025

COURSE CODE: Elec 2

COURSE TITLE: VALUATION CONCEPTS and METHODS

COURSE DESCRIPTION: This course will provide the students with practical tools and methods to value a broad range of assets within a business entity. It covers business valuation, equity
valuation, fixed-income valuation, and option valuation. Students should be able to utilize various capital and investment management and techniques in making long-
term business decisions. Students should be able to differentiate the types and measurements of risk and apply their relationships with the rate of returns.

CREDITS: 3 units

PRE-REQUISITE: Financial Management

CLASS SCHEDULE: 12:30 – 2:00 pm/TTh

VENUE: Sci Lab

INSTRUCTOR: MRS. BENILDA N. CASTANEDA, CTT, CPA, MMAc

Institutional Learning Outcomes Programs Outcomes Course Outcomes

1. Creative and Critical Thinking Students will be able to know different methodologies used in determining business and equity valuation Upon completion of the course, the
with the broad range of assets. students will be able to:

2. Effective Communication Students will be able to articulate and describe the different valuation methodologies and communicate a. Describe the different
the results, or its potential at the very least. methodologies and techniques in
valuation
3. Strong Service Orientation Students will be able to create opportunities to provide consultative services, particularly in financial
modelling b. Use different tools using IT
platforms
4. Passion to Life-Long Learning Students will be exposed with various methodologies that will open the gateway to explore and innovative
techniques to evaluate series of business assumptions and estimates c. Recommend the most suitable
techniques on valuation
5. Sense of personal and Students must demonstrate a capable management consultant and will affect the top or senior
professional ethics management long term decision d. Determine and recommend the
best option among the set of
6. Sense of nationalism and Students must participate through contributing the skills earned by allowing then to be part of contributors alternative available to the
global preparedness of growth in the industry through the provision of quality financial management through financial markets. investors.

7. Community engagement Students must understand the relevance of the services in the development of their communities,
particularly the advise that they can extend to the stakeholders.

8. Adeptness in the responsible Students must know how to the use of technology in financial modelling and business valuation
use of technology

9. High level of Leadership and Students is expected to form part of the leadership team, advisory at the very least, of the firm will engage
organization skills in the future and make strategic business directions. The maturity is expected to be further demonstrated
at all time
DETAILED LEARNING PLAN

No. of
Week No. TOPIC Learning Outcomes Methodologies Resources/References Assessment
Hrs

Classroom Management: The learner will be able to:  Lecture and  Copy of the  Summary of
a. Introduction to the  Have an appreciation of the discussion syllabus student reflection
Course coverage of the course  Manage  Student and expectation
b. Discussion of the syllabus  Establish order in the class expectations handbook
c. Classroom Policies by sharing
1 2
insights of
the
instructor
and the
students
Overview of Valuation Concepts After the session the students is
and Methods: expected to  Lectures  Textbooks  Recitation
a. Foundation of Value  Discuss the importance of  Activities  Instructional  Presentation
b. Framework of Valuation valuation in accountancy Materials  Quiz
c. Definition of valuation profession  Online references
2 3
d. Concepts of valuation  Discuss why people needs to
e. Importance/Rationale of apply valuation techniques
valuation  Identify the appropriate
f. Fundamental principles valuation techniques
of value creation
3-5 9 Asset based approach After the session, the learner must:
 Going Concern  Compare and contrast the  Lecture  Textbooks  Recitation
o DCF analysis different asset-based  Problem  Instructional  Reaction paper
o Comparable valuation methods for going Solving Materials  Quiz
Company Analysis concern  Online
o Earning Accretion  Justify the reasonableness of References
and Dilution the value based on the
o Economic Value methods
Added  Prepare a financial model
 o Equity Control that will be used for the
Premiums valuation decision
o Precedent  Assess projects or
Transactions investment opportunities
 Liquidation Concern with the use of financial
o Business models
Combination
(Mergers &
Acquisition)
o Divestitures
o Business Failures
6 PRELIMINARY DEPARTMENTAL EXAMINATION
Earnings Value Approach After the session, the learner must:
 Capitalizing past earnings  Understand the liquidation  Lecture  Textbooks  Recitation
 Discounted Future value and its importance to  Activities  Instructional  Presentation
Earnings business decision-making Materials  Quiz
7-8 6
 Apply liquidation value  Online references
appropriately when
surrounding circumstances
require it
a. Market Value Approach After the session. The learner must:
b. Cost Based Method  Enumerate the advantages  Lectures  Textbooks  Recitation
c. Base Stock Method and disadvantages of Market  Activities  Instructional  Presentation
9-10 6 d. Standard Cost Method Based Approach Materials  Quiz
e. Other internally accepted  Describe the difference
approaches Market Based Approaches

11 MID TERM DEPARTMENTAL EXAMINATION

Applying the concepts of After the session, the learner must
financial modeling be able to prepare his/her own  Instructional CASE STUDY
12-18 18
financial model to be used for Materials
valuation
19 FINAL DEPARTMENTAL EXAMINATION
The whole term activities include but not limited to the following:
 Lecture
 Discussion
 Exercises/Quiz
 Case Study Analysis
 Group Activity
 Project Presentation
Course Requirements: 1. Regular Attendance in class
2. Periodical Examination
3. Assignments/Quizzes
4. Recitation/Practical Skill Demo
5. Group Activity/Group Discussion
6. Project/Portfolio
EVALUATION/GRADING SYSTEM: This course will follow the standard grading system of the school as:
EXAMINATION 60%
Pre Lim 10%
Mid-Term 20%
Pre-Final 10%
Finals 20%

CLASSROOM STANDING 40%

Attendance 10%
Assignments/Quiz 10%
Recitation/Practical Skill Demo 10%
Project/Case Study 10%
TOTAL 100%

Passing Grade: Transmuted Grade of 75%

REFERENCES: Recommended Textbook/Reading Materials as required