Agency, ethics and governance

Agency, ethics and governance

Bachelor of Business Studies (BBS) — Fourth Year

Subject: Fundamentals of Corporate Finance (FIN 250)

Unit 1: Introduction to Corporate Finance

Academic Year: 2083/84

Topic Objectives

After studying this topic, students should be able to:

• Explain the scope and key elements of agency, ethics and governance.
• Apply the relevant financial concepts or calculations and explain their assumptions, risks and analytical limits.

Curriculum Scope

• The agency problem: stockholders versus managers and stockholders versus creditors
• Ethics in financial decisions
• Corporate governance and corporate social responsibilities

Detailed Microsyllabus

1. Agency relationships

   1. Shareholders versus managers.
   2. Shareholders versus creditors.
   3. Incentives, information and conflicting interests.

2. Governance and ethics

   1. Corporate governance mechanisms.
   2. Ethical financial decisions.
   3. Corporate social responsibility and stakeholder effects.

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Curriculum reference: Tribhuvan University, Faculty of Management, revised four-year BBS curriculum, PDF pages 80–82.

Source note: The curriculum scope above is retained from the existing TU syllabus breakdown. The numbered study subtopics are editorial elaborations for teaching and study, rather than a separately issued TU syllabus. Unit or component allocations apply at their stated level; no separate topic hours or marks are assigned here. Examples involving current laws, rates, institutional products or Nepalese status must identify the relevant period and official materials; no changing numerical or legal requirements are invented here.