UNIVERSITAS INDONESIA

FACULTY OF ECONOMICS AND BUSINESS

DEPARTMENT OF ACCOUNTING
UNDERGRADUATE PROGRAM

SYLLABUS
ANALISIS DAN VALUASI BISNIS
(BUSINESS ANALYSIS AND VALUATION)
ECAU601421
SEMESTER I 2018-2019

No. Lecturers E-mail

Class in Bahasa Indonesia :

1 Catur Sasongko / Sihol Aritonang catur_sasongko76@yahoo.com/
sihol.aritonang@gmail.com
2 D.A Rosmianingrum Nainggolan / Edward Tanujaya casman1516@gmail.com/
edward_tanujaya@yahoo.com
3. Kurnia I. Rais / Darminto kurnia.i.rais@gmail.com/
d.darminto13@gmail.com
4. Cut Saskia Rachman / Reynardo Nainggolan kikiamitra@yahoo.com/
reynardo.nainggolan@gmail.com
5. Evony Silvino / Rallyati Anas evony.silvino@gmail.com/
rally222@gmail.com
6. Catur Sasongko / Sylvia Veronica catur_sasongko76@yahoo.com/
sylvia.veronica@ui.ac.id
7. Elok Tresnaningsih elok.tres@gmail.com
8. Arman Hendiyanto / Helen Hendiyanto arman.hendiyanto@gmail.com/
helenhendiyanto@yahoo.com

Class in English:
9. Kurnia I. Rais kurnia.i.rais@gmail.com
10. Widhi Astono widhiastono17@gmail.com
11. Hilda Rossieta /Ratna Wardhani enjum9@yahoo.co.uk/
ratnawardhani@yahoo.com

Subject Code ECAU601421

Subject Title Business Analysis and Valuation
Credit Value 3
Pre-requisite / Advanced Financial Accounting 1
Co-requisite / Investment and Capital Market
Exclusion Strategy and Performance Management of Organization
Role and Purposes This course is part of the financial accounting class. The course aims at giving
thorough understanding to the students about financial statements and notes
to the financial statement with an emphasis on how to interpret, analyze,
compare, and justify arguments on the financial statements and notes to
financial statement. This course will help students to develop strong analytical
skills and critical thinking (Outcome 4). The analyses focus on the
appropriateness of accounting policies used in operating, investing, and
 financing activities, as well as cash flow, profitability, prospective and credit
analysis. Students will be provided by concept and framework to analyze the
financial statements quality of earnings, and make a presentation and
communicate it in English (Outcome 1).

Subject Upon completion of the subject, the student will be able to:
Learning 1. Interpret financial statements and related disclosures (T5)
Outcomes a) Understand the concept and framework to analyze and interpret the
financial statements.
b) Analyze and explain the income statement, financial position, and
cash flow statement.
2. Interpret reports that include non-financial data, for example, sustainability
reports and integrated reports (T6)
c) Analyze and explain the integrated financial statements.
3. Demonstrate, evaluate, analyze and compare alternatives choices (C2)
d) Understand and compare the financial analysis techniques.
4. Demonstrate to justify an argument or solution with supporting
evidence/relevant references (C3)
e) Understand, evaluate, and justify arguments on the financial report
quality.

Additional/Special Learning Outcomes:

A. To develop the ability to forecast the company’s future profitability and
solvency and incorporating information about expected changes in the
economics of the industry.
B. To develop the understanding on how to value the firm using various
valuation methods, making an equity investment decision by comparing likely
ranges of the value of the share to the share price observed in the capital
market.
Detailed
Course Work Week # Topic LO Required Reading
Plan
PART I: FRAMEWORK
1 A Framework for Business Analysis and Palepu 1
Valuations using Financial Statement

PART II: BUSINESS ANALYSIS AND VALUATION

TOOLS
2 Accounting Analysis: The Basics Palepu 3, 4
Accounting Analysis: Accounting Adjustments PSAK

Weekly Assignment 1
3 Strategy Analysis Palepu 2

Weekly Assignment 2
4 Financial Analysis Palepu 5

Weekly Assignment 3
5 Prospective Analysis: Forecasting Palepu 6

Weekly Assignment 4
 6 Valuation Theory and Concepts Palepu 7

Weekly Assignment 5
7 General Lecturing
Learning from the expert: sustainability
reporting and integrated reporting

Submission of Final Assignment - Progress

Report 1

8 Prospective Analysis: Valuation Palepu 8

Implementation

Weekly Assignment 6

PART III: BUSINESS ANALYSIS AND VALUATION

APPLICATIONS
9 Equity Security Analysis Palepu 9

Weekly Assignment 7
10 General Lecturing
Learning from the expert: Equity Analyst

Submission of Final Assignment - Progress

Report 2
11 Credit Analysis and Distress Prediction Palepu 10

12 Mergers & Acquisitions Palepu 11

Submission of Final Assignment - Final Report

13 Group presentation – Final Assignment

14 Group Presentation – Final Assignment

Teaching/Lear Teaching method uses student active learning, lecturing and class discussions, in
ning which students achieve the study objectives by discussing and completing related
Methodology cases under the guidance of lecturer. The cases are related to the topics for the
session and can be downloaded from IDX, or from current developing issues.
Students must make a group, which consists of 3 (three) students.

Weekly Assignments
Each group must submit one publicly listed company (excluding financial
industry) in session 2, and use that company annual report (for example, 31
December 2017) as a basis for analysis of the topic in discussed in the session. It is
suggested to pick one comparable (public company) operating in the same
industry.

Maximum two teams per week will be randomly selected by the lecturer to
deliver a presentation (maximum 15 minutes including the Q&A). The lecturer will
see the depth of analysis (60%), the flow of the presentation (20%), and the
delivery of the presentation (20%).

This weekly assignment should be compiled throughout the semester and

 lecturer will make sure that each group has to deliver 1 (one) weekly
presentation. At the end of the semester, 5 out of 7 weekly assignments will be
regarded as a group task.

Final Assignment
Each group must use the chosen public company as a basis for final assignment
throughout the semester.

Each group has to write a complete report, which consists of following items:
- Summary of financial statement analysis based on weekly assignments
- Financial performance comparison with another company in the same
industry
- Three years – forecasted financial statement, supported by underlying
assumptions and analysis
- Equity valuation
- Recommendation (buy/sell/hold)

Each group must submit progress report 1 (session 7), progress report 2 (session
10) and final report (session 12).

Each group will present the final report during session 13 and 14 (maximum 30
minutes each including the Q&A). The lecturer will see the depth of analysis
(60%), the flow of the presentation (20%), and the delivery of the presentation
(20%).

Guest Lecture
There will be two guest lectures in session 7 (on sustainability reporting and
integrated reporting) and in session 10 (on equity analysis). Student should
submit a report of each guest lecture (the format will be shared later).

Assessment
Method in Specific Assessment %
Alignment Methods/Tasks Weighting
with Intended
a b c d e
Learning
Continuous Assessment 100%
Outcomes
GROUP 40%
Presentation (20%) √ √ √ √ √
Final Assignment (20%) √ √ √ √ √
INDIVIDUAL 60%
Mid Term Exam (30%) 20% 20% 20% 20% 20%
Final Term Exam (30%) 40% 45% 15%
Details of The specific learning methods used in this subject are :
Learning 1. Active Student Centered Learning : every week students have to submit their
Methods understanding on the topic discussed and relate the topic to the chosen
Company
2. Lecturing
3. Problem/Case-Based Learning
In most of the sessions uses case-based learning, in which students are
divided into groups and discuss the specific cases in a team. Each group is
responsible for a particular topic, and the case must be related to the theme
of the session. Finally, each group will present the case and discuss with other
group facilitated by the lecturer. The result of the presentation and discussion
are expected to improve students understanding the concept and the
implementation based on cases. These presentation sessions are also
supposed to benefit the students to learn the analysis from other groups’
cases.

Student Study
Effort Class Contact :
Expected Lectures 15 Hours
Case-Based Learning 27 Hours
Presentation 4 Hours
Other Student Study Effort :
Preparation for Project/Assignment/Tests 40 Hours

Reading List Required Readings :

and 1. Palepu, Krishna G., Paul M. Healey & Erik Peek, Business Analysis and
References Valuation: IFRS Edition, Text and Cases. Fourth Edition. Cengage Learning,
2016 (Palepu)
2. Standar Akuntansi Keuangan. Ikatan Akuntan Indonesia, 2018. (PSAK)

Supplementary Readings :
3. Damodaran, Aswath, Investment Valuation. Third Edition. New Jersey: John
Wiley and Sons, 2012. (Damodaran)
4. Robinson, T.R., Henry, E., Pirie, W.L., Broihahn, M.A., and Cope., A.t. (2015).
International Financial Statement Analysis, 3rd Edition. New Jersey: John
Wiley and Sons (RHP)
5. Wild, John J., and K.R. Subramanyan. Financial Statement Analysis, 10th
Edition, McGraw-Hill, 2009. (WSH)