Essentials of corporate financial management / / Glen Arnold

• Autore: Arnold Glen
• Pubblicazione: Harlow, England ; ; New York, United States : , : Pearson, , [2013]; ©2013
• Edizione: Second edition.
• Descrizione fisica: 1 online resource (569 pages) : illustrations (some color), charts, graphs
• Disciplina: 658.15
• Soggetto topico: Corporations - Finance; Corporations - Finance - Management
• Note generali: Bibliographic Level Mode of Issuance: Monograph
• Nota di bibliografia: Includes bibliographical references and index.
• Nota di contenuto: Cover -- Contents -- Guided tour -- Guided tour of MyFinanceLab -- Preface -- Acknowledgements -- 1 The financial world -- Learning outcomes -- Introduction -- What is corporate finance? -- A simple model of the interactions between the financial manager and the capital markets -- The flow of funds and financial intermediation -- The financial system -- The objective of the firm -- Ownership and control -- Concluding comments -- Key points and concepts -- Further reading -- Websites -- Case study recommendations -- Self-review questions -- Questions and problems -- Assignments -- 2 Project appraisal: Net present value and internal rate of return -- Learning outcomes -- Introduction -- Value creation and corporate investment -- Net present value and internal rate of return -- Concluding comments -- Key points and concepts -- Appendix 2.1 Mathematical tools for finance -- Mathematical tools exercises -- Websites -- Case study recommendations -- Self-review questions -- Questions and problems -- Assignments -- 3 Practical project appraisal -- Learning outcomes -- Introduction -- Quality of information -- Are profit calculations useful for estimating project viability? -- Evidence on the employment of appraisal techniques -- Payback -- Accounting rate of return -- Internal rate of return: reasons for continued popularity -- The managerial art of investment appraisal -- The investment process -- Capital rationing -- Taxation and investment appraisal -- Inflation -- Concluding comments -- Key points and concepts -- Further reading -- Case study recommendations -- Self-review questions -- Quick numerical questions -- Questions and problems -- Assignments -- 4 Risk and project appraisal -- Learning outcomes -- Introduction -- What is risk? -- Adjusting for risk through the discount rate -- Sensitivity analysis -- Scenario analysis -- Probability analysis. ; The risk of insolvency -- Problems in using probability analysis -- Evidence of risk analysis in practice -- Real options (managerial options) -- Concluding comments -- Key points and concepts -- Further reading -- Case study recommendations -- Self-review questions -- Quick numerical questions -- Questions and problems -- Assignments -- 5 Portfolio theory and the capital asset pricing model -- Learning outcomes -- Introduction -- Holding period returns -- Expected return and standard deviation for shares -- Combinations of investments -- Portfolio expected return and standard deviation -- Diversification -- Some fundamental ideas and problems -- Systematic risk -- The Security Market Line (SML) -- Risk premiums across the world -- Estimating some expected returns -- Calculating beta -- Applications of the CAPM -- Accepted theory and controversial theory -- Technical problems with the CAPM -- Does the CAPM work in practice? -- Factor models -- Fundamental beta -- Concluding comments -- Key points and concepts -- Further reading -- Case study recommendations -- Self-review questions -- Quick numerical questions -- Questions and problems -- Assignments -- 6 Equity capital -- Learning outcomes -- Introduction -- What is equity capital? -- Preference shares -- The London Stock Exchange -- Floating on the Main Market (Official List) -- Methods of issue -- The Alternative Investment Market (AIM) -- TechMARK -- PLUS-quoted shares -- The ownership of UK quoted shares -- Rights issues -- Other equity issues -- Equity finance for unquoted firms -- Disillusionment and dissatisfaction with quotation -- The efficient market hypothesis -- Understanding the figures in the financial pages -- Concluding comments -- Key points and concepts -- Further reading -- Websites -- Case study recommendations -- Self-review questions -- Questions and problems -- Assignments. ; 7 Debt finance -- Learning outcomes -- Introduction -- Some fundamental features of debt finance -- Bonds -- Bank borrowing -- Syndicated loans -- Credit rating -- Mezzanine debt and high-yield (junk) bonds -- Convertible bonds -- Valuing bonds -- Trade credit -- Factoring -- Hire purchase -- Leasing -- International sources of debt finance -- Medium-term notes -- Commercial paper -- The term structure of interest rates -- Is it better to borrow long or short? -- Concluding comments -- Key points and concepts -- Further reading -- Websites -- Case study recommendations -- Self-review questions -- Quick numerical questions -- Questions and problems -- Assignments -- 8 The cost of capital -- Learning outcomes -- Introduction -- A word of warning -- The required rate of return -- The weighted average cost of capital (WACC) -- The cost of equity capital -- The cost of retained earnings -- The cost of debt capital -- The cost of preference share capital -- Hybrid securities -- Calculating the weights -- Applying the WACC to projects and SBUs -- Empirical evidence of corporate practice -- How large is the equity risk premium? -- Some thoughts on the cost of capital -- Concluding comments -- Key points and concepts -- Further reading -- Websites -- Case study recommendations -- Self-review questions -- Quick numerical questions -- Questions and problems -- Assignments -- 9 Value-based management -- Learning outcomes -- Introduction -- The pervasiveness of the value approach -- Confusing objectives -- Three steps of value -- Earning-based management -- How a business creates value -- Using value principles in strategic business unit management -- The impact of value principles on corporate strategy -- Value-creation metrics -- Using cash flow to measure value -- Shareholder value analysis -- Economic profit -- Economic value added (EVA®). ; Total shareholder return (TSR) -- Market value added (MVA) -- Concluding comments -- Key points and concepts -- Further reading -- Website -- Case study recommendations -- Self-review questions -- Quick numerical questions -- Questions and problems -- Assignments -- 10 Valuing shares and companies -- Learning outcomes -- Introduction -- The two skills -- Valuation using net asset value (NAV) -- Valuation using income-flow models -- Dividend valuation models -- The price-earnings ratio (PER) model -- Valuation using cash flow -- Valuation using owner earnings -- EBITDA -- Valuing unquoted shares -- Managerial control and valuation -- Concluding comments -- Key points and concepts -- Further reading -- Websites -- Case study recommendations -- Self-review questions -- Quick numerical questions -- Questions and problems -- Assignments -- 11 Capital structure -- Learning outcomes -- Introduction -- Debt finance is cheaper and riskier (for the company) -- What do we mean by 'gearing'? -- The effect of gearing -- The value of the firm and the cost of capital -- Does the cost of capital (WACC) decrease with higher debt levels? -- Modigliani and Miller's argument in a world with no taxes -- The assumptions -- The capital structure decision in a world with tax -- Additional considerations -- Some further thoughts on debt finance -- Concluding comments -- Key points and concepts -- Further reading -- Video presentations -- Case study recommendations -- Self-review questions -- Quick numerical questions -- Questions and problems -- Assignments -- 12 Dividend policy -- Learning outcomes -- Introduction -- Defining the problem -- Miller and Modigliani's dividend irrelevancy proposition -- Dividends as a residual -- Clientele effects -- Taxation -- Dividends as conveyors of information -- Resolution of uncertainty -- Owner control (agency theory). ; Scrip dividends -- Share buy-backs and special dividends -- A round-up of the arguments -- Concluding comments -- Key points and concepts -- Further reading -- Video presentations -- Case study recommendations -- Self-review questions -- Questions and problems -- Assignment -- Appendices -- I: Future value of £1 at compound interest -- II: Present value of £1 at compound interest -- III: Present value of an annuity of £1 at compound interest -- IV: Future value of an annuity of £1 at compound interest -- V: Areas under the standardised normal distribution -- VI: Answers to the mathematical tools exercises in Chapter 2, Appendix 2.1 -- VII: Solutions to selected questions and problems -- Glossary.
• Sommario/riassunto: Essentials of Corporate Financial Management supports courses designed to cover the core topics of finance in 15 to 30 hours of lectures. The step-by-step learning approach enables students to achieve a high level of financial knowledge without assuming a prior knowledge of finance. Selected core topics and key concepts are delivered with depth, allowing students to gain an understanding of the topical debates within this field, where disagreement or alternative perspectives lead to lively discussion. Need extra support? This title is supported by MyFinanceLab, an online homework and tutorial system which can be used by students for self-directed study or instructors can choose to fully integrate this eLearning technology into the delivery of their course. Instructors should get in touch with their Pearson Account Manager to learn more. &nbsp.
• Titolo autorizzato: Essentials of corporate financial management
• ISBN: 0-273-75894-2
• Formato: Materiale a stampa
• Livello bibliografico: Monografia
• Lingua di pubblicazione: Inglese
• Record Nr.: 9910150228203321
• Lo trovi qui: Univ. Federico II
• Serie: Always learning.