Corporate Finance

Full Name
Corporate Finance: Theory and Practice

Corporate Finance is the intended textbook at the MBA level as well as undergraduates at higher-level schools. Throughout the text, real companies and real data are used in examples and exercises. It asks you to combine theory and data in order to make an investment, financing, and dividend decisions. But rather than making these decisions in a hypothetical environment, you analyze real data for real companies.

The Second Edition additional resources include:

  • Links and support from the Real Companies, Real Time in-text exercises

  • Extra practice problems and solutions

  • Periodically updated data for the companies analyzed in the text

  • Excel Worksheets for problems in the text

  • Wall Street Journal Business Extra Reading Room (A set of articles and discussion questions related to various topics cited within the text.)

  • Online Study Guide (Students can purchase this eGrade-based tutorial online via the text's web site.)

  • Numerous instructor resources

Table of Contents

  1. Introduction to Corporate Finance

  2. The Objective in Corporate Finance

  3. The Time Value of Money

  4. Understanding Financial Statements

  5. Value and Price: An Introduction

  6. The Basics of Risk

  7. Estimating Hurdle Rates for Firms

  8. Estimating Hurdle Rates for Projects

  9. Estimating Earnings and Cash Flows on Projects

  10. Investment Decision Rules

  11. Investment Analysis with Inflation and Exchange Rate Risk

  12. Project Interactions, Side Benefits and Side Costs

  13. Investments in Non-Cash working Capital

  14. Investments in Cash and Marketable Securities

  15. Investment Returns and Corporate Strategy

  16. An Overview of Financing Choices

  17. The Financing Process

  18. The Financing Mix

  19. The Optimal Financing Mix

  20. Financing Mix and Choices Dividend Policy

  21. Analyzing Cash Returned to Stockholders

  22. Beyond Cash Dividends: Buybacks, Spin Offs and Divestitures

  23. Valuation: Principles and Practice

  24. Value Enhancement: Tools and Techniques

  25. Acquisitions and Takeovers

  26. Option Applications in Corporate Finance