The Mastering Finance series offers students exciting new ways to learn basic financial principles. The interactive approach used in this series allows students to use a number of approaches to learning. While most traditional introductory finance topics will be found in the series, Mastering Finance is unique in that it adds a number of dimensions to the process, including the application of financial theory to realistic business situations, online exercises with immediate feedback, and the use of technology for financial problem solving.

Participation in Real Decision Making

In the Mastering Finance series, students will watch as CanGo's management team works through critical financial decisions that include raising capital, expanding into new areas of business, evaluating financial performance, going public, valuing stocks and bonds, managing inventory, determining compensation, and understanding international financial markets.

But Mastering Finance is not just a matter of passively watching video clips. Students participate in the decision making process through interactive exercises that are designed to help students master key financial concepts as they help CanGo make key decisions. Immediate feedback is offered once the students have completed the exercises.

Just as technology is becoming increasingly important in all aspects of finance, Mastering Finance allows and encourages students to use technology as a learning tool and as a way to solve problems. Since most of a student's time will be spent on a computer as they work through the series, they will be encouraged to use the computer's capabilities to solve the financial problems encountered in the series.

Through the video clips, the student will come to know the management team of CanGo. These characters bring a sense of realism and personality to the series and help to personalize finance. Students will be able to identify with the Chief Financial Officer as he helps steer CanGo through a complex financial jungle. They will also learn the interdisciplinary nature of business as the entire CanGo management team learns to deal with challenges in marketing, management, accounting, production, economics, and strategy.

The Goal of the Firm and Social Responsibility
	The issue of corporate social responsibility is raised as the CanGo management team discusses the potentially adverse effects of violent online games. They search for a way to balance the company's reputation and the market's demands.
Raising Capital
	CanGo has reached a plateau in its development and needs a large amount of capital to expand its operations. The managers talk about how to take the next step with an investment banker. Without the cash infusion, the company faces other unexpected problems. The CanGo team learns that when a firm accepts capital from investors it agrees to certain restrictions as well.
The Time Value of Money
	Besides a company's operations, financial planning also covers personal investment. Maria discusses retirement planning with her parents. They discuss both current investment and future spending. This episode explains time value mathematics, also known as discounted cash flow analysis.
Stocks and Bonds
	The CanGo management team is concerned with how its stock compares to that of other companies. This episode explains how dividends and other factors affect a stock's value and the dividend discount model as Maria learns more about the realities of the stock market. The team also discusses the difference between stocks and bonds.
Risk and Return
	Clark helps Liz understand the value of diversified investment and beta measurements. Nick explains his investment strategy, much to Clark's amusement. This episode explains the Capital Asset Pricing Model (CAPM).
Cash Flow for Capital Budgeting
	Ethel and Clark discuss how to allocate costs for promotions and building upgrades. They then explain to Liz the manner in which they attribute relevant project costs, using the "with and without rule." A discussion with Warren addresses projected revenues and investment returns.
Capital Budgeting Decisions
	The management team must chart their path into online gaming. Should they buy a company or create a separate division from the ground up? They consider how either decision might affect the company's operations, image, and stock price. This episode considers the Internal Rate of Return and Payback methods for choosing projects.
Cost of Capital
	Warren, Ethel, and Andrew discuss entering the college textbook market. They discuss the potential risks that need to be considered since this market is different from their regular online book sales. Ethel and Warren use weighted average cost of capital (WACC) to evaluate another possible project for the company.
Capital Structure
	Andrew wants to fund increased marketing by acquiring more debt. Clark explains the use of debt to equity ratios for different industries. He and Liz consider how the dot.com industry arrived at its own average and its effectiveness.
Dividend Policy
	Before the IPO, CanGo has to decide how the investors will be rewarded for their faith in the company. Should they pay cash dividends from the profits or reinvest all profits into further growth? Traditional investors expect cash dividends, but dot.com companies do not operate according to traditional rules.
Inventory Management
	Warren and Clark discuss inventory problems and decide CanGo needs better in-house inventory tracking or they need to use their distributor's systems. They also compare the economic order quantity method and just-in-time inventory.
Performance Evaluation
	CanGo's stock performance is lagging and the board wants to know why. The management team discusses how to compare CanGo, a combination of Internet, retail and entertainment services, to other companies. To do so, Clark suggests using the economic value added model. This episode addresses the concept of industry norms.