05277nam 2200697Ia 450 991082167540332120200520144314.01-281-28451-397866112845100-470-22371-5(CKB)1000000000413678(EBL)335716(OCoLC)476150280(SSID)ssj0000131178(PQKBManifestationID)11132580(PQKBTitleCode)TC0000131178(PQKBWorkID)10018311(PQKB)10372205(MiAaPQ)EBC335716(Au-PeEL)EBL335716(CaPaEBR)ebr10295880(CaONFJC)MIL128451(EXLCZ)99100000000041367820070517d2008 uy 0engurcn|||||||||txtccrCost of capital applications and examples /Shannon P. Pratt, Roger J. Grabowski3rd ed.Hoboken, N.J. John Wiley & Sonsc20081 online resource (818 p.)Previous editions had subtitle: Estimation and applications.0-470-17115-4 Includes bibliographical references (p. 655-681) and index.COST OF CAPITAL: Applications and Examples, Third Edition; Contents; About the Authors; Foreword; Preface; WHAT'S NEW IN THIS EDITION; AUDIENCES FOR THE BOOK; PRACTICAL APPLICATIONS; Acknowledgments; Introduction; PURPOSE AND OBJECTIVE OF THIS BOOK; OVERVIEW; IMPORTANCE OF THE COST OF CAPITAL; COST OF CAPITAL ESSENTIAL IN THE MARKETPLACE; SOUND SUPPORT ESSENTIAL IN THE COURTROOM; ORGANIZATION OF THIS BOOK; SUMMARY; Notation System and Abbreviations Used in This Book; VALUE AT A POINT IN TIME; COST OF CAPITAL AND RATE OF RETURN VARIABLES; INCOME VARIABLES; PERIODS OR VARIABLES IN A SERIESWEIGHTINGS GROWTH; MATHEMATICAL FUNCTIONS; NOTATION FOR REAL PROPERTY VALUATION (CHAPTER 36); ABBREVIATIONS; Part 1: Cost of Capital Basics; Chapter 1: Defining Cost of Capital; INTRODUCTION; COMPONENTS OF A COMPANY'S CAPITAL STRUCTURE; COST OF CAPITAL IS A FUNCTION OF THE INVESTMENT; COST OF CAPITAL IS FORWARD LOOKING; COST OF CAPITAL IS BASED ON MARKET VALUE, NOT BOOK VALUE; COST OF CAPITAL IS USUALLY STATED IN NOMINAL TERMS; COST OF CAPITAL EQUALS THE DISCOUNT RATE; DISCOUNT RATE IS NOT THE SAME AS CAPITALIZATION RATE; SUMMARYChapter 2: Introduction to Cost of Capital Applications: Valuation and Project Selection INTRODUCTION; NET CASH FLOW IS THE PREFERRED ECONOMIC INCOME MEASURE; COST OF CAPITAL IS THE PROPER DISCOUNT RATE; PRESENT VALUE FORMULA; EXAMPLE: VALUING A BOND; APPLICATIONS TO BUSINESSES, BUSINESS INTERESTS, PROJECTS, AND DIVISIONS; SUMMARY; Chapter 3: Net Cash Flow: Preferred Measure of Economic Income; INTRODUCTION; DEFINING NET CASH FLOW; NET CASH FLOWS SHOULD BE PROBABILITY-WEIGHTED EXPECTED VALUES; WHY NET CASH FLOW IS THE PREFERRED MEASURE OF ECONOMIC INCOME; RESIDUAL EARNINGS; SUMMARYADDITIONAL READING Chapter 4: Discounting versus Capitalizing; INTRODUCTION; CAPITALIZATION FORMULA; EXAMPLE: VALUING A PREFERRED STOCK; FUNCTIONAL RELATIONSHIP BETWEEN DISCOUNT RATE AND CAPITALIZATION RATE; MAJOR DIFFERENCE BETWEEN DISCOUNTING AND CAPITALIZING; CONSTANT GROWTH OR GORDON GROWTH MODEL; COMBINING DISCOUNTING AND CAPITALIZING (TWO-STAGE MODEL); EQUIVALENCY OF DISCOUNTING AND CAPITALIZING MODELS; MIDYEAR CONVENTION; MATCHING PROJECTION PERIODS TO FINANCIAL STATEMENTS: PARTIAL FIRST YEAR; CAPITALIZING RESIDUAL EARNINGS; SUMMARYChapter 5: Relationship between Risk and the Cost of Capital INTRODUCTION; DEFINING RISK; HOW RISK IMPACTS THE COST OF CAPITAL; TYPES OF RISK; COST OF EQUITY CAPITAL; COST OF INVESTED CAPITAL OR OVERALL COST OF CAPITAL; SUMMARY; Chapter 5A: FASB's Concepts Statement No. 7: Cash Flows and Present Value Discount Rates; Chapter 6: Cost Components of a Company's Capital Structure; INTRODUCTION; DEBT CAPITAL; PREFERRED EQUITY; CONVERTIBLE DEBT AND PREFERRED EQUITY; EMPLOYEE STOCK OPTIONS; COMMON EQUITY; SUMMARY; Part 2: Estimating the Cost of Equity Capital and the Overall Cost of CapitalChapter 7: Build-up MethodIn this long-awaited Third Edition of Cost of Capital: Applications and Examples, renowned valuation experts and authors Shannon Pratt and Roger Grabowski address the most controversial issues and problems in estimating the cost of capital. This authoritative book makes a timely and significant contribution to the business valuation body of knowledge and is an essential part of the expert's library.Capital investmentsBusiness enterprisesValuationCapital investmentsUnited StatesBusiness enterprisesValuationUnited StatesCapital investments.Business enterprisesValuation.Capital investmentsBusiness enterprisesValuation658.15/2Pratt Shannon P116635Grabowski Roger J925460MiAaPQMiAaPQMiAaPQBOOK9910821675403321Cost of capital2078064UNINA