Principles of Finance

I.     Course Prefix/Number: BUS 230

       Course Name: Principles of Finance

       Credits: 3 (3 lecture; 0 lab)

II.    Prerequisite


III.   Course (Catalog) Description

Course examines financial principles. Content includes proper buying, saving, investing and borrowing of monetary funds and financial assets to maximize the enterprise’s profit, while minimizing the risk of insolvency; fixed and working capital requirements, and the source of such funds.

IV.   Learning Objectives

Students who successfully complete this course will have an understanding of the role of finance in the management of a business firm and about the various financial methods that are employed to raise and use money efficiently in the firm.

V.    Academic Integrity and Student Conduct

Students and employees at Oakton Community College are required to demonstrate academic integrity and follow Oakton's Code of Academic Conduct. This code prohibits:

• cheating,
• plagiarism (turning in work not written by you, or lacking proper citation),
• falsification and fabrication (lying or distorting the truth),
• helping others to cheat,
• unauthorized changes on official documents,
• pretending to be someone else or having someone else pretend to be you,
• making or accepting bribes, special favors, or threats, and
• any other behavior that violates academic integrity.

There are serious consequences to violations of the academic integrity policy. Oakton's policies and procedures provide students a fair hearing if a complaint is made against you. If you are found to have violated the policy, the minimum penalty is failure on the assignment and, a disciplinary record will be established and kept on file in the office of the Vice President for Student Affairs for a period of 3 years.

Please review the Code of Academic Conduct and the Code of Student Conduct, both located online at

VI.   Sequence of Topics

  1. Overview of Finance: Analysis, Planning and Control
    1. Scope and Nature of Managerial Finance
    2. The Tax Environment
    3. Ratio Analysis
    4. Financial Planning and Control
  2. Working Capital Management
    1. Working Capital Policy
    2. Current Asset Management
    3. Sources of Short-Term Financing
  3. Long-Term Assets
    1. The Interest Factor in Decisions
    2. Capital Budgeting
    3. Investment Decisions
  4. Sources of Long-Term Financing
    1. Common Stocks
    2. Fixed Income Securities
    3. Term Loans and Leases
    4. Warrants and Convertibles

VII.  Methods of Instruction

Lecture combined with discussion and practical exercises, supplemented with case studies.
Course may be taught as face-to-face, hybrid or online course.

VIII. Course Practices Required

  1. Reading Assignments
  2. Writing Assignments
  3. Case Studies
  4. Homework Assignments

IX.   Instructional Materials

Note: Current textbook information for each course and section is available on Oakton's Schedule of Classes.

Text: Foundations of Financial Management

X.    Methods of Evaluating Student Progress

Evaluation will include three comprehensive exams, several short quizzes, and assessment of the quality of work on exercises and case studies.

XI.   Other Course Information

If you have a documented learning, psychological, or physical disability you may be entitled to reasonable academic accommodations or services. To request accommodations or services, contact the Access and Disability Resource Center at the Des Plaines or Skokie campus. All students are expected to fulfill essential course requirements. The College will not waive any essential skill or requirement of a course or degree program.

Oakton Community College is committed to maintaining a campus environment emphasizing the dignity and worth of all members of the community, and complies with all federal and state Title IX requirements.

Resources and support for
  • pregnancy-related and parenting accommodations; and
  • victims of sexual misconduct
can be found at

Resources and support for LGBTQ+ students can be found at