Corporate finance 11e ross jaffe 1

Ngày tải lên: 23/11/2016, 12:41

... (1) þ (2) 19 96 10 0,000 10 ,000 11 0,000 19 97 11 0,000 11 ,000 12 1,000 19 98 12 1,000 12 ,10 0 13 3 ,10 0 19 99 13 3 ,10 0 13 , 310 14 6, 410 2000 14 6, 410 14 ,6 41 1 61, 0 51 20 01 1 61, 0 51 16 ,10 5 17 7 ,15 6 2002 17 7 ,15 6 17 , 716 ... Exercises 1/ 10 0 /1. 05 ¼ ¼ 86.4; 10 0 /1. 1 ¼ ¼ 75 .1; 10 0 /1. 2 ¼ ¼ 57.9 C C C 2/¼ 75 .1; ¼ 62 .1; ¼ 38.6; 0.7 51; 0...

Ngày tải lên: 24/12/2013, 02:17

... Exercises 1/ P0 ¼ DIV1 = 1 þ kÞ þ DIV2 = 1 þ kÞ þ DIV3 = 1 þ kÞ þ P3 = 1 þ kÞ , where P3 ¼ DIV4 = ðk À gÞ ¼ Â 1: 04=ð0 :11 À 0:04Þ ¼ ¼ 32:6; P0 ¼ 1= 1 :11 Þ þ ð2 =1: 11 Þ þ ð3 þ 32:6Þ= C 1: 11 ¼ ¼ 37:3; P1 ... event of interest rate fluctuations? Market interest rates A B C 1% 11 9.4 15 5.5 320.7 5% 10 0 10 0 10 0 10 % 81. 0 62.0 24.8 15 % 66.5 41. 5 6.5 Note that the longer t...

Ngày tải lên: 24/12/2013, 02:17

... Chemicals 10 .3 9.8 Aerospace and defence 10 .3 Industry services 10 .5 9.4 Electronics 10 .8 10 .3 Food retail 10 .9 10 .1 Other retail 11 — Media 11 .2 10 .2 Food and beverage 11 .5 10 .5 Luxury 12 10 .2 Utilities ... 3,000 3,075 3 ,16 1 3,259 3,355 3, 415 3,472 3,492 Operating margin after 35% tax 6.0% 6.7% 7.4% 8 .1% 9.0% 9.9% 10 .7% 11 .8% ROCE after 35% tax 10 .0% 11...

Ngày tải lên: 24/12/2013, 02:17

... Brealey−Meyers: Principles of Corporate Finance, Seventh Edition Front Matter x © The McGraw−Hill Companies, 2003 Preface PREFACE same time we have rewritten Chapter 14 as a free- Of course, ... Educational Version of Other examples of expanded coverage include be- Market Insight In total there are now over a thou- havioral finance (Chapter 13 ) and new international sa...

Ngày tải lên: 06/07/2014, 08:20

... from 16 to 20 in the 19 70s to between and 11 in 19 98 The smaller boards are less unwieldy and more effective than the larger boards There are fewer insiders on the board In contrast to the or ... maximizing the price of the common stock The Objective in Decision Making In traditional corporate finance, the objective in decision making is to maximize the val...

Ngày tải lên: 05/12/2016, 20:59

... day-to-day finances of the firm? Chapter Outline • Corporate Finance and the Financial Manager • Forms of Business Organization • The Goal of Financial Management • TheAgency Problem and Control of the ... ChapterOutline Outline • Corporate Finance and the Financial Manager • Forms of Business Organization • The Goal of Financial Management • TheAgency Problem and Control...

Ngày tải lên: 08/12/2016, 17:21

... Average Tax Rate: The tax rate you are paying on all of your taxable income which averages across all of your corporate tax categories 2-22 Corporate Tax Rates 2-23 Example: Marginal Vs Average ... snapshot of the firm’s assets and liabilities at a given point in time  Assets are listed in order of decreasing liquidity  Liquidity is the ease of conversion to cash without signi...

Ngày tải lên: 08/12/2016, 17:21

... focuses on the market price of a share of stock and compares it to the Net Earnings of a company The EBITDA ratio uses the book value of the company to value all of the operating assets (the ... debt, and equity accounts, as well as dividends Sample Statement of Cash Flows (Numbers in millions of dollars) Cash, beginning of year 58 Operating Activity Financing Activity Decreas...

Ngày tải lên: 08/12/2016, 17:21

... Determinants of Growth 1.Profit margin – operating efficiency 2.Total asset turnover – asset use efficiency 3.Financial leverage – choice of optimal debt ratio 4.Dividend policy – choice of how much ... then the profit margin is constant • Depreciation and interest expense may not vary directly with sales – if this is the case, then the profit margin is not constant 4-20 Percentage of...

Ngày tải lên: 08/12/2016, 17:21

... The effect of compounding is small for a small number of periods, but increases as the number of periods increases (Simple interest would have a future value of $1,250, for a difference of $26.28.) ... between earlier money and later money  Discount rate  Cost of capital  Opportunity cost of capital  Required return or required rate of return Future Values Suppose you inve...

Ngày tải lên: 08/12/2016, 17:21

... required discount rate is 7%  What is the value of the cash flows at year 5?  What is the value of the cash flows today?  What is the value of the cash flows at year 3? 6-27 Chapter Outline ... occurs at the end of the period, it is called an ordinary annuity If the first payment occurs at the beginning of the period, it is called an annuity due Perpetuity – infinite series of...

Ngày tải lên: 08/12/2016, 17:21

... Valuation of a Bond Bond Relationships Inflation and Interest Rates Determinants of Bond Yields Bond Ratings Bond Markets Chapter Outline • • • • • • • • Bond Definition Bond Features Valuation of a ... relationships regarding time (the length of a bond’s life) and the value of a bond? Bond Valuation Chapter Outline • • • • • • • • Bond Definition Bond Features Valuation of a Bond...

Ngày tải lên: 08/12/2016, 17:21

... Features of Common Stock Features of Preferred Stock The Stock Markets Chapter Outline • • • • • 8-3 Bond and Stock Differences Common Stock Valuation Features of Common Stock Features of Preferred ... future dividend and one future selling price of a share of common stock 8-18 One-Period Example Suppose you are thinking of purchasing the stock of Moore Oil, Inc You expect it...

Ngày tải lên: 08/12/2016, 17:21

... Present Value • Profitability Index Capital Structure Dividend Policy Profits or Losses Cost of Capital Capital Budgeting Capital Structure Dividend Policy Profits or Losses Cost of Capital Capital ... Present Value • Profitability Index Chapter Outline (continued) • The Average Accounting Return • The Internal Rate of Return • Modified Internal Rate of Return • The Practice of Capi...

Ngày tải lên: 08/12/2016, 17:21