The tenth edition by Steve Lumby and Chris Jones provides a comprehensive insight into the complex and ever-changing area of corporate finance. Covering some of the common financial decisions that face companies including investment, financing, the dividend decision and the management of risk, this text enables students to reflect on how these types of decisions are made.
The strong theoretical approach that underpins the text is enhanced with a range of real world examples which help to put the financial models and frameworks into context. Packed with diverse examples and problems, Corporate Finance provides a broad introduction to the subject in an accessible yet rigorous style.
Part I: Introduction
1. Financial Decision Making
2. Decision Objectives
Part II: Investment Decisions
3. Traditional Methods of Investment Appraisal
4. Investment?Consumption Decision Model
5. The Discounted Cash Flow Approach
6. Net Present Value and Internal Rate of Return
7. Project Cash Flows
8. Capital Rationing
Part III: Risk Analysis
9. Simple Risk Techniques
10. Risk and Return
11. Portfolio Theory
12. The Capital Asset Pricing Model
13. Option Valuation
14. Interest Rate Risk
Part IV: Financing Decisions
15. Financial Markets
16. The Cost of Capital
17. Weighted Average Cost of Capital
18. Capital Structure in a Simple World
19. Capital Structure in a Complex World
20. Investment and Financing Interactions
21. The Dividend Decision
Part V: International Issues
22. Foreign Exchange
23. Foreign Exchange Hedging
24. Foreign Direct Investment
