In the wake of fast changing economic landscape—characterized by global financial crisis, volatile equity and bond markets, rising dominance of emerging markets and increasing investor activism—the role of financial managers in an organization has assumed significant importance.
This text aims at educating the students the fundamentals of Corporate Finance, and explains how various theories can be applied for efficient decision making for the financial managers.
The book is conceptualized on practical approach, and explores various topics in an easy and step-by-step approach, backed by numerous examples, self-test exercises and India-centric cases.
The complex financial concepts related to capital structure, risk and return analysis, valuation of financial securities, market efficiency and portfolio management have been explained in a reader-friendly manner to provide a unique learning experience
This book Useful for Management students.
Part I: Introduction To Corporate Finance
1. Objectives, Scope and the Financial Environment
2. Time Value of Money
Part II: Capital Investment Decision
3. Principles of Investment Decision
4. Investment Decision DCF Methods of Appraising Projects
5. Risk Analysis for Investment Decisions
6. Investment Decision: Capital Rationing, Inflation and Real Options
Part III: Risk, Return and Valuation
7. Market Risk and Return
8. Portfolio Theory and Asset Pricing Models
9. Valuation of Bonds
10. Valuation of Shares
Part IV: Financing and Dividend Decision
11. Cost of Capital
12. Theories of Capital Structure
13. Capital Structure Decisions and Leverage Analysis
14. Dividend Payout Policy and Theories
Part V: Financial Ratios and Analysis
15. Financial Ratio and Analysis
Part VI: Working Capital Management
16. Working Capital Management 1: Operating Cycle and Financing Aspects
17. Working Capital Management 2: Inventory, Debtors and Cash Management
Part VII: Non-Profit Organizations
18. Financial Management in Non-Profit Organizations