Principles of corporate finance

Why finance matters. The concept of net present value. How to calculate presentn values. Present value of bonds and stocks. Why net present value leads to better investment. Making investment decisions with the net present value rule. Introduction to risk and return in capital budgeting. More about the relationship between risk and return. Capital budgeting and the capital asset pricing model. Where positive net present values come from. Organizing capital expenditure and evaluating performance afterwards. Corporate financing and the six lessons of market efficiency. How corporations issue securities. Does debt policy matter. Valuing risky debt. The many different kinds of debt. Warrants and convertibles. Leasing. Approaches to financial planning. Short-term financial planning. Credit management. Cash management. Short-term lending and borrowing. Mergers. International Financial management. Pension plans