1. 10/13/2022
Financial
management and
control systems
Dr. Mahmoud Otaify
Assistant Professor of Finance
Course Instructor - Dr. Mahmoud Otaify
• Assistant Professor of Finance at E-JUST University
• Founder and Director of E-JUST Finance Simulations Hub
• Independent Non-executive Board Member at Horizon
Security Brokerage Company
• Mahmoud.Otaify@ejust.edu.eg
• Office 330 HQ Building
Financial Markets & Institutions - Dr. M. Otaify 2
1
2

2. 10/13/2022
Course Specification
Financial Markets & Institutions - Dr. M. Otaify 3
Course
Objective
Course Outline Teaching
Methods & Tools
Course
Assessment
Course
Textbooks
Teaching Methods & Tools
Book
Chapters
Lecture
Notes
Lecture
Worksheet
Exercises
on Lectures
Financial Markets & Institutions - Dr. M. Otaify 4
3
4

3. 10/13/2022
Course Assessment
Financial Markets & Institutions - Dr. M. Otaify 5
Group Project
(60)
Midterm Exam
(60)
Quizzes &
Participation (30)
Final Exam
(150)
Corporate Report - Guidelines
Report is financial
analysis of a
company listed on
Egyptian exchange
Team 2 – 5 students
• Presentation 10 marks
• Report Quality 10
marks
• Content 40 marks
Deadline of Project
Submission: Week
12
• Presentation in week
15
Financial Markets & Institutions - Dr. M. Otaify 6
5
6

4. 10/13/2022
Selection of Subject
Company
Search for Egyptian exchange website
Search
Look for EGX30 index’s constituents
Look
Choose a non-financial company
Choose
Confirm with the Professor
Confirm
Start your report calculation
Start
Capital
structure
development
over last 5
years
Changes in Weight of each
source of capital over the period
Check for any capital raising
decisions
Check for any Capital
restructuring decisions
7
8

5. 10/13/2022
Course Textbooks
Financial Markets & Institutions - Dr. M. Otaify 9
Capital
Sources of Capital Debt, equity
Cost of Capital
Capital Structure
suitable mix of debt and
equity to finance
investments
Capital Budgeting
Working Capital
the portion of the firm’s
assets used in day-to-
day transactions.
Long-term funds
Dr. Mahmoud Otaify - FMCS: Introductory Lecture 10
9
10

6. 10/13/2022
Dr. Mahmoud Otaify - FMCS: Introductory Lecture 11
Assets Liabilities and Shareholders Equity
Current Assets XXXX Current Liabilities XXXX
Long-term
Assets
XXXX Long-term Liabilities XXXX
Shareholders Equity XXXX
Total Assets XXXX Total Liabilities and
Shareholders Equity
XXXX
Debt Financing
Equity Financing
Long-term
investments
Uses of Funds
(Investing)
Sources of Funds
(Financing)
Short-term
Financing
Working
Capital
11
12

7. 10/13/2022
Financing
Decisions
Investing
Decisions
Maximize
?
Dr. Mahmoud Otaify - FMCS: Introductory Lecture 13
Good
decisions
Poor
decisions
Financing
Decisions
Investing
Decisions
Maximize
Firm
Value
Dr. Mahmoud Otaify - FMCS: Introductory Lecture 14
Good decisions
increase the
stock value
Poor decisions
decrease the
stock value
13
14

8. 10/13/2022
What are Financial Controls?
•directed
•Monitored
•measured
Firm’s
resources
Why Do You Need Financial Controls?
ensuring the accuracy of reporting,
eliminating fraud
protecting the organization’s
resources, both physical and
intangible.
reduce process variation, leading to
more predictable outcomes.
Dr. Mahmoud Otaify - FMCS: Introductory Lecture 15
Next Lecture
Leverage
Financial Markets & Institutions - Dr. M. Otaify 16
15
16