Finance

Chapter 1: Introduction to the Field and Goals of Financial Management

• Introducing Finance
• Goals of Financial Management
• Trends and Issues in Finance
• Ethics: An Overview
• Types of Business Organizations
• Corporate Governance
• Agency and Conflicts of Interest
• Asset Classes
• Financial Markets

Chapter 2: Financial Statements, Taxes, and Cash Flow

• Introducing Financial Statements
• The Income Statement
• The Balance Sheet
• Tax Considerations
• The Statement of Cash Flows
• Other Statements

Chapter 3: Analyzing Financial Statements

• Standardizing Financial Statements
• Overview of Ratio Analysis
• Profitability Ratios
• Asset Management Ratios
• Liquidity Ratios
• Debt Management Ratios
• Market Value Ratios
• The DuPont Equation, ROE, ROA, and Growth
• Using Financial Ratios for Analysis
• Considering Inflation’s Distortionary Effects

Chapter 4: Forecasting Financial Statements

• The Role of Financial Forecasting in Planning
• Overview of Forecasting
• Forecasting the Income Statement
• Forecasting the Balance Sheet
• Building a Cash Budget
• Analyzing Forecasts

Chapter 5: The Time Value of Money

• Introduction to the Time Value of Money
• Future Value, Single Amount
• Present Value, Single Amount
• Annuities
• Valuing Multiple Cash Flows
• Additional Detail on Present and Future Values
• Yield

Chapter 6: Bond Valuation

• The Basics of Interest Rates
• Additional Detail on Interest Rates
• Key Characteristics of Bonds
• Understanding Bonds
• Advantages and Disadvantages of Bonds
• Types of Bonds
• Bond Markets
• Valuing Bonds
• Bond Risk

Chapter 7: Stock Valuation

• Defining Stock
• Types of Stock
• Rules and Rights of Common and Preferred Stock
• Stock Markets
• Stock Valuation
• Valuing the Corporation

Chapter 8: Introduction to Risk and Return

• Understanding Return
• Portfolio Considerations
• The Impact of News of Expected Returns
• Risk
• Implications Across Portfolios
• Diversification
• Understanding the Security Market Line

Chapter 9: Security Market Efficiency and Returns

• The Security Markets
• Understanding Returns
• Market Efficiency
• Market Regulation

Chapter 10: Introduction to the Cost of Capital

• The Basics of the Cost of Capital
• Valuing Different Costs
• Approaches to Calculating the Cost of Capital
• The WACC

Chapter 11: Capital Budgeting

• Introduction to Capital Budgeting
• The Payback Method
• Internal Rate of Return
• Net Present Value
• Cash Flow Analysis and Other Factors

Chapter 12: The Role of Risk in Capital Budgeting

• The Relationship Between Risk and Capital Budgeting
• Assessing Stand-Alone Risk
• Risk and Return
• Scenario and Simulation Assessments
• Factors Impacting Capital Budgeting
• Other Considerations in Capital Budgeting

Chapter 13: Capital Structure

• Introducing Capital Structure
• Capital Structure Considerations
• Understanding the Bankruptcy Process
• Thinking About Operating Leverage
• Thinking About Financial Leverage

Chapter 14: Obtaining Capital: Methods of Long-Term Financing

• Types of Financing
• Venture Capital
• Leasing
• The Role of Investment Banks in Financing
• Distributing Stock
• Comparing Public and Private Financing

Chapter 15: Dividends

• Introduction to Dividends
• Dividend Policy
• Setting the Dividend
• Cash Dividend Alternatives

Chapter 16: Options and Corporate Finance

• Convertible Securities
• Options
• Warrants
• Derivatives
• Managing Risk with Derivatives

Chapter 17: Introduction to Working Capital

• Working Capital
• Approaches to Working Capital Financing
• Overview of the Working Capital Financing Decision

Chapter 18: Working Capital Management

• The Importance of Cash
• Cash Management
• Securities Management
• Accounts Receivable
• Inventory Management

Chapter 19: Overview of Short-Term Financing

• Short-Term Financing

Chapter 20: Mergers and Acquisitions

• Types of Transactions
• Preparing for a Merger
• The Role of Investment Bankers in M&A
• Additional Topics in M&A

Chapter 21: Financial Management Outside of the U.S.

• Types of International Business
• The International Business Environment
• Factors Impacting Exchange Rates
• Types of Rates and Transactions
• Managing Exchange Risk
• International Investment and Finance