Corporate Finance Demystified

The simple way to master corporate finance

The math, the formulas, the problem solving . . . does corporate finance make your head spin? You're not alone. It's one of the toughest subjects for business students—which is why Corporate Finance DeMYSTiFieD is written in a way that makes learning it easier than ever.

This self-teaching guide first explains the basicprinciples of corporate finance, including accountingstatements, cash flows, and ratio analysis. Then, you'll learn all the specifics of more advanced practices like estimating future cash flows, scenario analysis, and option valuation. Filled with end-of-chapter quizzes and a final exam, Corporate Finance DeMYSTiFieD teaches you the ins-and-outs of this otherwise confounding subject in no time at all.

This fast and easy guide features:

• An overview of important concepts, such as time value of money, interest rate conversion, payment composition,and amortization schedules
• Easy-to-understand descriptions of corporate finance principles and strategies
• Chapter-ending quizzes and a comprehensive final exam to reinforce what you've learned and pinpoint problem areas
• Hundreds of updated examples with practical solutions

Simple enough for a beginner, but challenging enough for an advanced student, Corporate Finance DeMYSTiFieD is your shortcut to a working knowledge of this important business topic.

Acknowledgments;
Introduction;

Part One: Introduction;
Chapter 1. What Is Corporate Finance?;
Chapter 2. Setting the Stage;
Chapter 3. Accounting Statements and Cash Flows;
Chapter 4. Common-Size, Common-Base Year, and Ratio Analysis;

Part Two: "I Will Gladly Pay You $2 Tomorrow for $1 Today": The Time Value of Money;
Chapter 5. Present and Future Value;
Chapter 6. Compounding and Interest Rate Conversion: When What You've Got Isn't What You Need;
Chapter 7. Payment Composition and Amortization Schedules;

Part Three: Valuation;
Chapter 8. Valuing Bonds;
Chapter 9. Valuing Stocks;
Chapter 10. Valuing Projects: The Capital-Budgeting Decision Rules;

Part Four: Where Do Interest Rates Come From? Risk, Return, and the Cost of Capital;
Chapter 11. Measuring Risk and Return;
Chapter 12. Calculating Beta;
Chapter 13. Analyzing the Security Market Line;
Chapter 14. The Weighted Average Cost of Capital;

Part Five: Advanced Topics in Corporate Finance;
Chapter 15. Estimating Future Cash Flows;
Chapter 16. Scenario Analysis and Sensitivity Analysis;
Chapter 17. Option Valuation;
Appendix A. Depreciation Charts;
Appendix B. Values for the Standard Normal Cumulative Distribution Function;

Final Exam;
Answers to Quiz and Exam Questions;
Index