11040 (v.3) Bank Lending 306

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Area:	School of Economics and Finance
Credits:	25.0
Contact Hours:	3.0
Lecture:	1 x 2 Hours Weekly
Tutorial:	1 x 1 Hours Weekly
Equivalent(s):	300669 (v.2) BAN22 Credit and Lending Decisions or any previous version
Prerequisite(s):	10987 (v.4) Accounting 100 or any previous version AND 11001 (v.3) Economics (Macro) 101 or any previous version
Syllabus:	Risk assessment and risk management practices in commercial bank lending for, consumers and, small businesses lending practices for making prudent lending decisions for consumer and small business borrowers. Readings and case studies.
Unit Outcomes:	On completion of this unit students will have - Explained credit risk and how it arises. Described common forms of lending to personal and small business clients of financial institutions. Demonstrated an understanding of sound underwriting practices by analysing simplified lending proposals and making correct lending decisions. Explained how to measure credit risk in individual loans and loan portfolios. Described techniques for managing credit risk.
Text and references listed above are for your information only and current as of September 30, 2003. Please check with the unit coordinator for up-to-date information.
Unit References:	The Journal of Banking and Financial Services (previously the Australian Banker), bi-monthly. Bank Marketing Journal, monthly. ABA Banking Journal, United States, monthly. Banking Strategies, United States, monthly. Banking World, United Kingdom, monthly. Journal of Retail Banking, quarterly. The Journal of Lending and Credit Risk Management, United States, bi-monthly. Moore D., et al, Financial Institutions and Markets, latest ed., Law Book Co., Australia. Hogan W., Avram K.J., Brown C., Ralston D., Skully M., Hempel G. and Simonson D., (2001), Management of Financial Institutions, Brisbane, Wiley. Hempel G.H. and Simonson D.G., (1999), Bank Management Text and Cases, NY, Wiley and Sons.
Unit Texts:	Saunders A. and Cornett M.M.,( 2003), Financial Institutions Management - A Risk Management Approach, 4th ed., Boston, Irwin McGraw-Hill. Weaver P. and Kingsley C., (2001), Banking and Lending Practice, 4th ed., Sydney, LBC Information Services.
Unit Assessment Breakdown:	Final Examination 50%. Mid-Semester Test 20%. Report on Lending Case Study 30%. This is by grade/mark assessment.
Year Location Period Internal Area External Central External 2004 Bentley Campus Semester 1 Y   Y 2004 Bentley Campus Semester 2 Y     2004 Joondalup Campus Semester 1 Y     2004 Joondalup Campus Semester 2 Y