Corporate Financial Management

MBA and intermediate undergraduate-level corporate finance or financial management courses.The authors different points of view offers students the benefits of a researcher, a practitioner, and an effective classroom instructor and, thus, is designed to help students develop financial intuition and make better decisions. It modernizes the teaching of finance by integrating the major developments made in finance in the last twenty years, such as options, agency theory and new research about the impact of asymmetric information. The organization weaves new material into the numerous examples and the traditional presentations. This edition reflects changes within the corporate world and the issues students encounter today.NEW - Options-Applies the important insights of option theory to a wide variety of topics, and provides a natural introduction into real options. For example, option concepts in agency theory, capital budgeting, and capital structure, among many others. Options analysis is one of the most valuable technologies available in finance.NEW - Agency Theory-Includes a separate chapter on agency theory and principal-agent problems. Shows how the important insights from this material can be used to solve many practical problems throughout the rest of the book.NEW - Corporate Governance-Corporate governance issues are examined in the context of agency theory. For example, describes some of the manager-stockholder conflicts that contributed to the downfall of Enron. Illustrates the importance of contracts and monitoring in the modern corporation.NEW - Capital Budgeting-In response to users and reviews capital budgeting is covered earlier in this edition. Reinforces time value of money concepts by covering this topic sooner.Fully updated end-of-chapter resources-Users continually give the text high marks for its extensive, interactive student resources including: Bulleted summaries, equation summaries, two levels of questions, problem sets organized from basic to advanced, and mini-cases for almost every chapter. Facilitates student review and practice applying the concepts of the chapter with a variety of homework material.NEW - Currency-All of the examples, tables, and figures have been updated to include the current laws, regulations, and data, along with thorough international coverage integrated throughout. Provides students with a modern, up-to-date perspective of finance.Focus on the Principles of Finance-In Chapter 2, we describe the twelve principles of finance that provide the foundation for learning finance. Helps students develop and apply financial intuition.A Practitioner's Perspective-John Finnerty has worked almost 30 years in the world of finance and, thus, brings a unique perspective to this book. Based on this first-hand experience, John brings the real world of business into the classroom.