{"product_id":"corporate-finance-isbn-9781119743767","title":"Corporate Finance","description":"\u003cp\u003e\u003cb\u003eThe complete guide to corporate finance, for today’s practitioners from CFA Institute \u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eAfter ten years, the third edition of the \u003ci\u003eCFA Institute Investment Series’ Corporate Finance \u003c\/i\u003etext has arrived with a decisive focus on the needs of today’s investment professionals. Now titled \u003ci\u003eCorporate Finance: Economic Foundations and Financial Modeling, \u003c\/i\u003ethis third edition outlines the essential tools, concepts, and applications within the discipline of corporate finance that businesses need to thrive.\u003c\/p\u003e \u003cp\u003eNew and refreshed content on Environmental, Social, and Governance (ESG) considerations alongside foundational coverage of capital structure and measures of leverage empower readers to support the growth of their organizations and develop the skills to succeed in our current corporate world. Six new chapters expand this updated discussion of corporate finance via topics such as corporate structures and ownership, capital investments, business models and risks, corporate restructuring, and more.\u003c\/p\u003e \u003cp\u003eThe companion workbook (sold separately) offers problems and solutions aligning with the text and allows learners to test their comprehension of key concepts.\u003c\/p\u003e \u003cp\u003eThrough \u003ci\u003eCorporate Finance: Economic Foundations and Financial Modeling, 3\u003csup\u003erd\u003c\/sup\u003e Edition,\u003c\/i\u003e readers will become proficient in the following areas:\u003c\/p\u003e \u003cul\u003e \u003cli\u003eCorporate structures and governance\u003c\/li\u003e \u003cli\u003eCapital budgeting\u003c\/li\u003e \u003cli\u003eCost of capital\u003c\/li\u003e \u003cli\u003eMeasures of leverage\u003c\/li\u003e \u003cli\u003eBusiness models, risks, and restructurings\u003c\/li\u003e \u003c\/ul\u003e \u003cp\u003eCFA Institute is the world’s premier association for investment professionals, and the governing body for the CFA® Program, CIPM® Program, CFA Institute ESG Investing Certificate, and Investment Foundations® Program. Those seeking a deeper understanding of the fundamentals behind corporate finance will value the level of expertise CFA Institute brings to the discussion, providing a clear, comprehensive resource for students and professionals alike.\u003c\/p\u003e \u003cp\u003eForeword xv\u003c\/p\u003e \u003cp\u003eAcknowledgments xix\u003c\/p\u003e \u003cp\u003eAbout the CFA Institute Investment Series xxi\u003c\/p\u003e \u003cp\u003e\u003cb\u003eCHAPTER 1 Corporate Structures and Ownership 1\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e1. Introduction 1\u003c\/p\u003e \u003cp\u003e2. Business Structures 2\u003c\/p\u003e \u003cp\u003e3. Public and Private Corporations 12\u003c\/p\u003e \u003cp\u003e4. Lenders and Owners 23\u003c\/p\u003e \u003cp\u003e5. Summary 31\u003c\/p\u003e \u003cp\u003e6. Practice Problems 32\u003c\/p\u003e \u003cp\u003e\u003cb\u003eCHAPTER 2 Introduction to Corporate Governance and Other ESG Considerations 35\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e1. Introduction 36\u003c\/p\u003e \u003cp\u003e2. Stakeholder Groups 36\u003c\/p\u003e \u003cp\u003e3. Principal--Agent and Other Relationships 41\u003c\/p\u003e \u003cp\u003e4. Corporate Governance and Mechanisms to Manage Stakeholder Risks 51\u003c\/p\u003e \u003cp\u003e5. Corporate Governance and Stakeholder Management Risks and Benefits 63\u003c\/p\u003e \u003cp\u003e6. ESG Considerations in Investment Analysis 69\u003c\/p\u003e \u003cp\u003e7. Environmental, Social, and Governance Investment Approaches 73\u003c\/p\u003e \u003cp\u003e8. Summary 77\u003c\/p\u003e \u003cp\u003e9. Practice Problems 79\u003c\/p\u003e \u003cp\u003e\u003cb\u003eCHAPTER 3 Working Capital \u0026amp; Liquidity 81\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e1. Introduction 81\u003c\/p\u003e \u003cp\u003e2. Financing Options 82\u003c\/p\u003e \u003cp\u003e3. Working Capital, Liquidity, and Short-Term Funding Needs 89\u003c\/p\u003e \u003cp\u003e4. Liquidity and Short-Term Funding 95\u003c\/p\u003e \u003cp\u003e5. Measuring Liquidity 99\u003c\/p\u003e \u003cp\u003e6. Evaluating Short-Term Financing Choices 103\u003c\/p\u003e \u003cp\u003e7. Summary 105\u003c\/p\u003e \u003cp\u003e8. Practice Problems 105\u003c\/p\u003e \u003cp\u003e\u003cb\u003eCHAPTER 4 Capital Investments 109\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e1. Introduction 109\u003c\/p\u003e \u003cp\u003e2. Types of Capital Investments 110\u003c\/p\u003e \u003cp\u003e3. The Capital Allocation Process 114\u003c\/p\u003e \u003cp\u003e4. Investment Decision Criteria 119\u003c\/p\u003e \u003cp\u003e5. Common Capital Allocation Pitfalls 125\u003c\/p\u003e \u003cp\u003e6. Corporate Use of Capital Allocation 126\u003c\/p\u003e \u003cp\u003e7. Real Options 129\u003c\/p\u003e \u003cp\u003e8. Summary 132\u003c\/p\u003e \u003cp\u003e9. Practice Problems 133\u003c\/p\u003e \u003cp\u003e\u003cb\u003eCHAPTER 5 Capital Structure 139\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e1. Introduction 139\u003c\/p\u003e \u003cp\u003e2. Factors Affecting Capital Structure 140\u003c\/p\u003e \u003cp\u003e3. Capital Structure and Company Life Cycle 151\u003c\/p\u003e \u003cp\u003e4. Modigliani--Miller Propositions 157\u003c\/p\u003e \u003cp\u003e5. Optimal and Target Capital Structures 167\u003c\/p\u003e \u003cp\u003e6. Stakeholder Interests 174\u003c\/p\u003e \u003cp\u003e7. Summary 183\u003c\/p\u003e \u003cp\u003e8. Practice Problems 183\u003c\/p\u003e \u003cp\u003e\u003cb\u003eCHAPTER 6 Measures of Leverage 189\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e1. Introduction 189\u003c\/p\u003e \u003cp\u003e2. Leverage 190\u003c\/p\u003e \u003cp\u003e3. Business and Sales Risks 192\u003c\/p\u003e \u003cp\u003e4. Operating Risk and the Degree of Operating Leverage 194\u003c\/p\u003e \u003cp\u003e5. Financial Risk, the Degree of Financial Leverage and the Leveraging Role of Debt 201\u003c\/p\u003e \u003cp\u003e6. Total Leverage and the Degree of Total Leverage 205\u003c\/p\u003e \u003cp\u003e7. Breakeven Points and Operating Breakeven Points 208\u003c\/p\u003e \u003cp\u003e8. The Risks of Creditors and Owners 211\u003c\/p\u003e \u003cp\u003e9. Summary 213\u003c\/p\u003e \u003cp\u003e10. Practice Problems 214\u003c\/p\u003e \u003cp\u003e\u003cb\u003eCHAPTER 7 Cost of Capital: Foundational Topics 219\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e1. Introduction 219\u003c\/p\u003e \u003cp\u003e2. Cost of Capital 220\u003c\/p\u003e \u003cp\u003e3. Costs of the Various Sources of Capital 223\u003c\/p\u003e \u003cp\u003e4. Estimating Beta 232\u003c\/p\u003e \u003cp\u003e5. Flotation Costs 237\u003c\/p\u003e \u003cp\u003e6. Methods in Use 239\u003c\/p\u003e \u003cp\u003e7. Summary 240\u003c\/p\u003e \u003cp\u003e8. Practice Problems 241\u003c\/p\u003e \u003cp\u003e\u003cb\u003eCHAPTER 8 Cost of Capital: Advanced Topics 249\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e1. Introduction 249\u003c\/p\u003e \u003cp\u003e2. Cost of Capital Factors 250\u003c\/p\u003e \u003cp\u003e3. Estimating the Cost of Debt 261\u003c\/p\u003e \u003cp\u003e4. The ERP 268\u003c\/p\u003e \u003cp\u003e5. The Cost of Equity (Required Return on Equity) 279\u003c\/p\u003e \u003cp\u003e6. Mini-Case 1 293\u003c\/p\u003e \u003cp\u003e7. Mini-Case 2 299\u003c\/p\u003e \u003cp\u003e8. Practice Problems 300\u003c\/p\u003e \u003cp\u003e\u003cb\u003eCHAPTER 9 Analysis of Dividends and Share Repurchases 303\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e1. Dividends: Forms and Effects on Shareholder Wealth and Financial Ratios 304\u003c\/p\u003e \u003cp\u003e2. Dividend Policy and Company Value: Theories 311\u003c\/p\u003e \u003cp\u003e3. Other Theoretical Issues: Signaling 313\u003c\/p\u003e \u003cp\u003e4. Other Theoretical Issues: Summary 320\u003c\/p\u003e \u003cp\u003e5. Factors Affecting Dividend Policy in Practice 320\u003c\/p\u003e \u003cp\u003e6. Payout Policies 327\u003c\/p\u003e \u003cp\u003e7. Share Repurchases 332\u003c\/p\u003e \u003cp\u003e8. Valuation Equivalence of Cash Dividends and Share Repurchase 338\u003c\/p\u003e \u003cp\u003e9. The Dividend versus Share Repurchase Decision 339\u003c\/p\u003e \u003cp\u003e10. Analysis of Dividend Safety 347\u003c\/p\u003e \u003cp\u003e11. Summary 351\u003c\/p\u003e \u003cp\u003e12. Practice Problems 353\u003c\/p\u003e \u003cp\u003e\u003cb\u003eCHAPTER 10 Business Models \u0026amp; Risks 359\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e1. Introductory Context\/Motivation 359\u003c\/p\u003e \u003cp\u003e2. What Is a Business Model? 359\u003c\/p\u003e \u003cp\u003e3. Business Model Types 373\u003c\/p\u003e \u003cp\u003e4. Business Models: Financial Implications 378\u003c\/p\u003e \u003cp\u003e5. Business Risks 383\u003c\/p\u003e \u003cp\u003e6. Macro Risk, Business Risk, and Financial Risk 384\u003c\/p\u003e \u003cp\u003e7. Business Risk: A Closer Look 386\u003c\/p\u003e \u003cp\u003e8. Financial Risk 389\u003c\/p\u003e \u003cp\u003e9. Summary 392\u003c\/p\u003e \u003cp\u003e10. Practice Problems 392\u003c\/p\u003e \u003cp\u003e\u003cb\u003eCHAPTER 11 The Firm and Market Structures 395\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e1. Analysis of Market Structures 395\u003c\/p\u003e \u003cp\u003e2. Perfect Competition 401\u003c\/p\u003e \u003cp\u003e3. Elasticity of Demand 403\u003c\/p\u003e \u003cp\u003e4. Other Factors Affecting Demand 406\u003c\/p\u003e \u003cp\u003e5. Consumer Surplus: Value Minus Expenditure 408\u003c\/p\u003e \u003cp\u003e6. Supply Analysis, Optimal Price, and Output in Perfectly Competitive Markets 410\u003c\/p\u003e \u003cp\u003e7. Long-Run Equilibrium In Perfectly Competitive Markets 416\u003c\/p\u003e \u003cp\u003e8. Monopolistic Competition 418\u003c\/p\u003e \u003cp\u003e9. Long-Run Equilibrium in Monopolistic Competition 421\u003c\/p\u003e \u003cp\u003e10. Oligopoly and Pricing Strategies 422\u003c\/p\u003e \u003cp\u003e11. The Cournot Assumption 425\u003c\/p\u003e \u003cp\u003e12. The Nash Equilibrium 428\u003c\/p\u003e \u003cp\u003e13. Oligopy Markets: Optimal Price, Output, and Long-Run Equilibrium 431\u003c\/p\u003e \u003cp\u003e14. Monopoly Markets: Demand\/Supply and Optimal Price\/Output 434\u003c\/p\u003e \u003cp\u003e15. Price Discrimination and Consumer Surplus 440\u003c\/p\u003e \u003cp\u003e16. Monopoly Markets: Long-Run Equilibrium 442\u003c\/p\u003e \u003cp\u003e17. Identification of Market Structure 443\u003c\/p\u003e \u003cp\u003e18. Summary 446\u003c\/p\u003e \u003cp\u003e19. Practice Problems 447\u003c\/p\u003e \u003cp\u003e\u003cb\u003eCHAPTER 12 Introduction to Industry and Company Analysis 451\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e1. Introduction 452\u003c\/p\u003e \u003cp\u003e2. Uses of Industry Analysis 452\u003c\/p\u003e \u003cp\u003e3. Approaches to Identifying Similar Companies 453\u003c\/p\u003e \u003cp\u003e4. Industry Classification Systems 457\u003c\/p\u003e \u003cp\u003e5. Describing and Analyzing an Industry and Principles of Strategic Analysis 465\u003c\/p\u003e \u003cp\u003e6. External Influences on Industry 480\u003c\/p\u003e \u003cp\u003e7. Company Analysis 489\u003c\/p\u003e \u003cp\u003e8. Summary 493\u003c\/p\u003e \u003cp\u003e9. Practice Problems 496\u003c\/p\u003e \u003cp\u003e\u003cb\u003eCHAPTER 13 Financial Statement Modeling 501\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e1. Introduction 502\u003c\/p\u003e \u003cp\u003e2. Income Statement Modeling: Operating Costs 508\u003c\/p\u003e \u003cp\u003e3. Modeling Operating Costs: Cost of Goods Sold and SG\u0026amp;A 512\u003c\/p\u003e \u003cp\u003e4. Modeling Non-operating Costs and Other Items 520\u003c\/p\u003e \u003cp\u003e5. Balance Sheet and Cash Flow Statement Modeling 525\u003c\/p\u003e \u003cp\u003e6. Building a Financial Statement Model 531\u003c\/p\u003e \u003cp\u003e7. Behavioral Finance and Analyst Forecasts 545\u003c\/p\u003e \u003cp\u003e8. The Impact of Competitive Factors in Prices and Costs 551\u003c\/p\u003e \u003cp\u003e9. Inflation and Deflation 561\u003c\/p\u003e \u003cp\u003e10. Technological Developments 570\u003c\/p\u003e \u003cp\u003e11. Long-Term Forecasting 580\u003c\/p\u003e \u003cp\u003e12. Summary 584\u003c\/p\u003e \u003cp\u003e13. Practice Problems 585\u003c\/p\u003e \u003cp\u003e\u003cb\u003eCHAPTER 14 Corporate Restructurings 593\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e1. Introduction 593\u003c\/p\u003e \u003cp\u003e2. Corporate Evolution, Actions, and Motivations 594\u003c\/p\u003e \u003cp\u003e3. Evaluating Corporate Restructurings 611\u003c\/p\u003e \u003cp\u003e4. Modeling and Valuation 620\u003c\/p\u003e \u003cp\u003e5. Evaluating Investment Actions 628\u003c\/p\u003e \u003cp\u003e6. Evaluating Divestment Actions 640\u003c\/p\u003e \u003cp\u003e7. Evaluating Restructuring Actions 647\u003c\/p\u003e \u003cp\u003e8. Summary 653\u003c\/p\u003e \u003cp\u003e9. Practice Problems 654\u003c\/p\u003e \u003cp\u003e\u003cb\u003eCHAPTER 15 Environmental, Social, and Governance (ESG) Considerations in Investment Analysis 659\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e1. Introduction 659\u003c\/p\u003e \u003cp\u003e2. Ownership Structures and Their Effects on Corporate Governance 660\u003c\/p\u003e \u003cp\u003e3. Evaluating Corporate Governance Policies and Procedures 666\u003c\/p\u003e \u003cp\u003e4. Identifying ESG-Related Risks and Opportunities 670\u003c\/p\u003e \u003cp\u003e5. Evaluating ESG-Related Risks and Opportunities 676\u003c\/p\u003e \u003cp\u003e6. Summary 685\u003c\/p\u003e \u003cp\u003e7. Practice Problems 686\u003c\/p\u003e \u003cp\u003e\u003cb\u003eCHAPTER 16 Intercorporate Investments 689\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003e1. Introduction 689\u003c\/p\u003e \u003cp\u003e2. Basic Corporate Investment Categories 690\u003c\/p\u003e \u003cp\u003e3. Investments In Financial Assets: IFRS 9 692\u003c\/p\u003e \u003cp\u003e4. Investments in Associates and Joint Ventures 695\u003c\/p\u003e \u003cp\u003e5. Amortization of Excess Purchase Price, Fair Value Option, and Impairment 700\u003c\/p\u003e \u003cp\u003e6. Transactions with Associates and Disclosure 705\u003c\/p\u003e \u003cp\u003e7. Acquisition Method 709\u003c\/p\u003e \u003cp\u003e8. The Consolidation Process 716\u003c\/p\u003e \u003cp\u003e9. Financial Statement Presentation 722\u003c\/p\u003e \u003cp\u003e10. Variable Interest and Special Purpose Entities 725\u003c\/p\u003e \u003cp\u003e11. Additional Issues in Business Combinations That impair Comparability 729\u003c\/p\u003e \u003cp\u003e12. Summary 730\u003c\/p\u003e \u003cp\u003e13. Practice Problems 731\u003c\/p\u003e \u003cp\u003eGlossary 743\u003c\/p\u003e \u003cp\u003eReferences 757\u003c\/p\u003e \u003cp\u003eAbout the Authors 763\u003c\/p\u003e \u003cp\u003eAbout the CFA Program 769\u003c\/p\u003e \u003cp\u003eIndex 771\u003c\/p\u003e  \u003cp\u003e\u003cb\u003eAbout CFA Institute\u003c\/b\u003e \u003c\/p\u003e\u003cp\u003eCFA Institute is the global association of investment professionals that sets the standard for professional excellence and credentials. The organization is a champion for ethical behavior in investment markets and a respected source of knowledge in the global financial community. The end goal: to create an environment where investors’ interests come first, markets function at their best, and economies grow. CFA Institute has more than 170,000 members in 160+ countries and territories, including 163,000 CFA\u003csup\u003e®\u003c\/sup\u003e charterholders, and 150+ member societies. For more information, visit www.cfainstitute.org.   \u003c\/p\u003e\u003cp\u003e\u003cb\u003eAbout the \u003ci\u003eCFA Institute Investment Series\u003c\/i\u003e\u003c\/b\u003e  \u003c\/p\u003e\u003cp\u003eDesigned for both students and investment professionals, the \u003ci\u003eCFA Institute Investment Series\u003c\/i\u003e distills core topics from the CFA\u003csup\u003e®\u003c\/sup\u003e  Program curriculum into digestible, practice-oriented texts and companion workbooks. Each book in the series offers the latest comprehensive coverage on concepts essential to portfolio management and the wider investment industry. The titles in this series are developed to help readers not only understand key learning objectives, but also apply the material with hands-on exercises connecting theory with real investment practice.  \u003c\/p\u003e\u003cp\u003eWritten by experts working with CFA Institute, this book includes all the information learners need to develop a fundamental understanding of corporate finance with accessible chapters on topics affecting today’s practitioner—from capital structure to ESG concerns and beyond. To enhance your mastery of the tools and techniques covered in \u003ci\u003eCorporate Finance: Economic Foundations\u003c\/i\u003e and \u003ci\u003eFinancial Modeling, 3rd Edition\u003c\/i\u003e, don’t forget to pick up \u003ci\u003eCorporate Finance: Economic Foundations and Financial Modeling Workbook, 3rd Edition\u003c\/i\u003e for added practice with specific learning outcomes, summary overview sections, and challenging questions.    \u003c\/p\u003e\u003cp\u003e\u003cb\u003eThe complete guide to corporate finance, for today’s practitioners from CFA Institute\u003c\/b\u003e \u003c\/p\u003e\u003cp\u003eAfter ten years, the third edition of the \u003ci\u003eCFA Institute Investment Series’ Corporate Finance\u003c\/i\u003e text has arrived with a decisive focus on the needs of today’s investment professionals. Now titled \u003ci\u003eCorporate Finance: Economic Foundations and Financial Modeling\u003c\/i\u003e, this third edition outlines the essential tools, concepts, and applications within the discipline of corporate finance that businesses need to thrive. \u003c\/p\u003e\u003cp\u003eNew and refreshed content on Environmental, Social, and Governance (ESG) considerations alongside foundational coverage of capital structure and measures of leverage empower readers to support the growth of their organizations and develop the skills to succeed in our current corporate world. Six new chapters expand this updated discussion of corporate finance via topics such as corporate structures and ownership, capital investments, business models and risks, corporate restructuring, and more.  \u003c\/p\u003e\u003cp\u003eThe companion workbook (sold separately) offers problems and solutions aligning with the text and allows learners to test their comprehension of key concepts. \u003c\/p\u003e\u003cp\u003eThrough \u003ci\u003eCorporate Finance: Economic Foundations and Financial Modeling, 3rd Edition,\u003c\/i\u003e readers will become proficient in the following areas:  \u003c\/p\u003e\u003cul\u003e\n\u003cli\u003eCorporate structures and governance\u003c\/li\u003e \u003cli\u003eCapital budgeting\u003c\/li\u003e \u003cli\u003eCost of capital\u003c\/li\u003e \u003cli\u003eMeasures of leverage\u003c\/li\u003e \u003cli\u003eBusiness models, risks, and restructurings\u003c\/li\u003e\n\u003c\/ul\u003e \u003cp\u003eCFA Institute is the world’s premier association for investment professionals, and the governing body for the CFA\u003csup\u003e®\u003c\/sup\u003e  Program, CIPM\u003csup\u003e®\u003c\/sup\u003e  Program, CFA Institute ESG Investing Certificate, and Investment Foundations\u003csup\u003e®\u003c\/sup\u003e  Program. Those seeking a deeper understanding of the fundamentals behind corporate finance will value the level of expertise CFA Institute brings to the discussion, providing a clear, comprehensive resource for students and professionals alike.\u003c\/p\u003e","brand":"Wiley","offers":[{"title":"Default Title","offer_id":47988993491173,"sku":"NP9781119743767","price":110.0,"currency_code":"USD","in_stock":false}],"thumbnail_url":"\/\/cdn.shopify.com\/s\/files\/1\/1842\/7735\/files\/9781119743767.jpg?v=1761782350","url":"https:\/\/k12savings.com\/products\/corporate-finance-isbn-9781119743767","provider":"K12savings","version":"1.0","type":"link"}