Accounting courses outline

Fundamentals of Accounting
1. Introduction to Accounting
what is Accounting?
Accounting Assumptions
Assets, Liabilities, and Equity
Accounting Principles
the Accounting Equation
2. The Balance Sheet
Accounting Equation and Balance Sheet
Business Transactions and the Balance Sheet
Classifying Assets and Liabilities
The Balance Sheet in Action
3. Financial Statements
Introduction to Financial Statements
Revisiting the Balance Sheet
The Income Statement
Statement of Owner's Equity
Generating Financial Statements
The Accounting Period
Business Entities and Financial Statements
4. Working with Accounts
The General Ledger
The Chart of Accounts
Using Accounts for Transactions
Understanding Debits and Credits

Double Entry Accounting

Account Balances
Revenue and Expense Accounts
5. The Accounting Cycle
Introduction to the Accounting Cycle
Identifying Source Documents
Recording Journal Transactions
Posting to the General Ledger
Generating a Trial Balance
Recording Adjusting Entries
Generating the Adjusted Trial Balance
Preparing Financial Statements
Recording Closing Entries
6. The Merchandising Business
Merchandising vs. Service Business
Determining Net Income
Returns and Discounts
Inventory
7. Accounting for Cash
Introduction to Internal Controls
Checking Account Controls
Bank Reconciliations
Cash Controls
The Purchase Order System

Financial Accounting
1. Introduction to Accounting

Meaning, Functions and Sub fields of Accounting

Accounting Cycle
Accounting Principles- Concepts & Conventions
Accounting Equation
Types of Accounts
Rules of Debit & Credit

2. Accounting Process

Analyzing transactions
Recording transactions
Posting to ledger
Balancing the accounts
Preparing Trial Balance

4. Financial Statement Analysis-I

Categorization of ratios
Various types of ratios including Liquidity Ratios,
Solvency Ratios, Structure Ratios, Leverage Ratios,
and Coverage Ratios.
Significance of these ratios

5. Financial Statement Analysis-II

3. Finalization of Accounts

Rectifying the erroneous entries

Journalizing adjustment entries
Preparing Adjusted Trial Balance
Passing the closing or transfer entries
Preparing financial statements

Various other types of ratios including Profitability

Ratios, Expense Ratios, Turnover Ratios, and Market
Sensitivity Ratios.

Decomposition of ROA and ROE with Dupont

Analysis
Limitations of ratio analysis

Lastly, the course describes the concept of retiring

debt and debt covenants from various perspectives.

12. Leases and Off-Balance-Sheet Debt

6. Reconciliation of Books

What actually is Bank Reconciliation?

Reasons for reconciling the books.
Procedure or steps for reconciliation.

7. Petty Cash Accounting

Petty cash and its purpose

Writing petty cash book
Types of petty cash book
Control over petty cash

The course explains the fundamentals of lease

financing and focuses on various forms of offbalance-sheet financing.
Further, it differentiates between operating and
financial leases.
It makes the user understand the impact of lease
financing on accounting system of a concern and its
ratios.
The course also expounds the lease accounting
calculations.
Also, it describes various other forms of off-balancesheet financing like sales receivables and take-or-pay
contracts.

8. Inventory Accounting

13. Analysis of Income Taxes

The basics of inventory
Inventory accounting systems
Inventory valuation methods
Accounting for inventory
Inventory and its impact on financial statements.

9. Depreciation Accounting

The basic concepts of depreciation

The methods of depreciation
Accounting for depreciation
Depreciation and its impact on cash flow and income
tax

14. Financial Reporting Standards

10. Depreciation Accounting

The basic concepts of depreciation

The methods of depreciation
Accounting for depreciation
Depreciation and its impact on cash flow and income
tax

11. Analysis of Financing Liabilities

The course provides a distinction between operating

and trade debt related to operating and financing
activities.
It explains debt issuance (in particular zero coupon
bond)/amortization effects on financial statements
and financial ratios.
Further, the course analyses the effect of issuance of
a debt with equity features on financial statements
and ratios.
The course gives an insight into various disclosures
related to financing liabilities.
The course also elaborates the effect of changing
interest rates on the market value of debt as well as
on financial statements and ratios.

Accounting policies adopted by a company (such as

method of depreciation, valuation of inventories etc.)
influences the financial statements and thereby the
pre-tax income and the income tax payable. When the
tax reporting and financial reporting differs, it leads
to differences in income and deferred tax liabilities.
The effect on income, deferred tax liability/assets,
and various related issues are discussed in this
course.

The course discusses the objective of financial

reporting and the importance of financial standards in
security analysis and valuation.
The course explores the role of financial reporting
standard-setting bodies worldwide and the
International Financial Reporting Standards (IFRS)
framework promulgated by one key body, the
International Accounting Standards Board.
The movement towards worldwide convergence of
financial reporting standards is also introduced.
Further, IFRS is compared with other alternative
reporting systems.
Finally, the course discusses the importance of
monitoring developments in financial reporting
standards

15. International Standards Convergence

The course first explains the major international

accounting standards for each asset and liability
category on the balance sheet and the key differences
from U.S. generally accepted accounting principles
(GAAP).
Then the course focuses on comparison of the major
international accounting standards with U.S. GAAP

with respect to major revenue and expense categories

on the income statement.
The course also discusses the major differences
between international and U.S. GAAP accounting

standards concerning the treatment of interest and

dividends on the cash flow statement.
Finally, the course explains the effect of differences
between international and U.S. GAAP accounting
standards on some commonly used financial ratios.

Cost Accounting
Concept and Scope of Cost Accounting:
Definition and cocept of cost. Cost object, Cost elements.
Definition, concept and scope of cost accounting. Objectives
of cost accounting. Cost Accounting Vs Financial Accounting.
Use of cost data. Chart of accounts and coding for costing
Cost Classification and Flow:
Product and period cost, direct and indirect cost, Differential
cost and revenue, Opportunity and Sunk cost, fixed and
variable cost, mixed cost, statement of cost of goods
manufactured and sold statement.
1.

2.

Material Costing, Planning and Control:

Procedure for material procurement and use
Material costing methods
Costing Procedure for spoiled, scrap and defective
work
Planning materials requirement (EOQ , Inventory
levels and reserve stocks)
Materials control (Principles and Methods)
Labour Costing, Control and Accounting:
Productivity and efficieny of labour.
Remuneration Methods (Straight piece
differential piece rate, Incentive wage plans)

rate,

Learning curve theory

Organisation for labour cost accounting and control
Accounting for labor related costs (Overtime, Bonus
payments, vacation pay, guaranteed annual wage
plans , apprenticeship and training programs,
pension, Labor related deductions).

3.

Factory Overhead Costing and Control:

Nature of factory overhead.
Procedure of factory overheads including allocation,
apportionment, reapportinment and absorption.
Repeated distribution and algebric method for
reciprocal, service department costs.
Calculation and use of Predetermined factory
overhead rate.
Applied and actual FOH, under /overapplied FOH

4.

Types of Costing Systems:

Establishment of Cost Accounting system
Principles of double entry system of costing,
integrated and interlocking cost accounts..
Job costing and batch costing.
Process Costing Cost of Production Report
Process Costing Average and FIFO method
Joint product and by-product.
Service Costing

INTRODUCTION TO BUSINESS FINANCE

1.

2.

An overview of Finance

FUNDAMENTAL CONCEPTS OF FINANCE

1.1 Scope of Finance and its Career Opportunities

1.2 Alternative form of Business Organization
1.3 Finance in the organizational structure of the firm
1.4 Managerial Actions to Maximize Shareholders
Wealth
1.5 Functions of a Finance Manager

3.

The Financial Environment: Markets,

Institutions, and Interest Rates

4.

2.1 The Financial Market

2.2 Financial Institutions
2.3 The Stock Market
2.4 The cost of Money
2.5 Interest Rate Level
2.6 The Determinants of Market Interest Rates

Time Value of Money

3.1 Future Value Concept
3.2 Present Value Concept
3.3 Future Value of an annuity
3.4 Present Value of an annuity
Risk and Return
4.1 Investment Return
4.2 The Trade-Off between Risk and Return
4.3 Risk in Portfolio Context
THE ANALYSIS OF FINANCIAL STATEMENT

5.

Analysis of Financial Statements

5.1 Ratio Analysis

5.2 Liquidity Ratio
5.3 Assets Management Ratios
5.4 Debt Management Ratios
5.5 Profitability Ratios
5.6 Market Value Ratio
5.7 Trend Analysis
5.8 Uses and Limitations of Ratio Analysis
6.

The Impact of Operating and Financial Decisions

on the Firm
6.1 Operating Leverage
6.3 Financial Leverage
6.4 Combined or Total Leverage

9.4 Capital Budgeting Decision Rules

9.5 Comparison of NPV and IRR Methods
WORKING CAPITAL MANAGEMENT
10. Working Capital Management
10.1 The importance of Working Capital
10.2 Short-term Financial Decisions and Value
Maximization
10.3 Why Current Assets and Current Liabilities are
Required
10.4 Deciding on an Appropriate Working Capital
Policy
11. Cash and Near-Cash Item Management

7.

The Framework of Financial Planning

7.1 Short-Term Financial Planning
7.2 Long-Term Financial Planning
INVESTING IN LONG-TERM ASSETS

8.

11.1 The Efficient Collection and Disbursement of

Operating Cash
11.2 The Optimal Level of Operating Cash Balance
11.3 Investment Excess Cash in Marketable
Securities
11.4 Evaluating Cash Management Strategies

The Cost of Capital

12. Accounts Receivable and Inventory
8.1 Basic Definition
8.2 Cost of Debt
8.3 Cost of Preferred Stock
8.4 Cost of Retained Earning

9.

12.1 Managing Accounts Receivable

12.2 Managing Inventory
12.3 Monitoring of Accounts Receivable, Aging and
Collection Schedules

The Basic Concept of Capital Budgeting

13. Cash and Near-Cash Item Management
9.1 Importance of Capital Budgeting
9.2 Generating Ideas for Capital Budgeting
9.3 Project Classification

13.1 General Consideration in Current Liabilities

Management
13.2 Sources of Short-term Credit

Introduction to Financial Management

I. Introduction to Financial Management
A. Goals and functions of financial management
B. Accounting concepts and financial statements
used in financial management
II. Financial Statement Analysis
A. Computing ratios
1. Liquidity ratios
2. Profitability ratios
3. Debt-management ratios
B. Using ratio analysis to evaluate the
performance of the firm
1. Longitudinal trend analysis
2. Using industry averages as benchmarks for
comparisons

III. Financial Planning

A. Forecasting techniques
B. Constructing pro forma income
statements and balance sheets
C. Preparing cash budgets
D. Using the cash budget to minimize
excess cash and to protect liquidity
IV. Leverage
A. Relationship between risk and return
B. break-even analysis
C. Operating leverage
D. Financial leverage
V. The Time-Value of Money
A. Computing the future value of a single

sum
B. Computing the present value of a single sum
C. Computing the future value of a stream of
payments (annuity)
D. Computing the present value of a stream of
payments (annuity)
E. Financial applications of the time-value of
money
VI. Working Capital Management
A. Cash management

B. Accounts receivable management

C. Inventory management
D. Short-term financing
VII. Capital Budgeting
A. Methods to rank projects
1. Payback period
2. Net present value
3. Internal rate of return
B. Selection strategies

Analysis of Financial Statements

Introduction to Investing and Valuation

Introduction to the Financial Statements

Chapter 1
Chapter 2

PART ONE Financial Statements and Valuation

How Financial Statements are Used in Valuation
Chapter 3
Cash Accounting, Accrual Accounting, and Discounted Cash Flow Valuation
Chapter 4
Accrual Accounting and Valuation: Pricing Book Values
Chapter 5
Accrual Accounting and Valuation: Pricing Earnings
Chapter 6
Valuation and Active Investing
Chapter 7
PART TWO The Analysis of Financial Statements
Viewing the Business through the Financial Statements
Chapter 8
The Analysis of the Statement of Shareholders' Equity
Chapter 9
The Analysis of the Balance Sheet and Income Statement
Chapter 10
The Analysis of the Cash Flow Statement
Chapter 11
The Analysis of Profitability
Chapter 12
The Analysis of Growth and Sustainable Earnings
Chapter 13
PART THREE Forecasting and Valuation Analysis
The Value of Operations and the Evaluation of Enterprise Price-to-Book Ratios and
Chapter 14
Price-Earnings Ratios
Anchoring on the Financial Statements: Simple Forecasting and Simple Valuation
Chapter 15
Full-Information Forecasting, Valuation, and Business Strategy Analysis
Chapter 16
PART FOUR Accounting Analysis and Valuation
Creating Accounting Value and Economic Value
Chapter 17
Analysis of the Quality of Financial Statements
Chapter 18
PART FIVE The Analysis of Risk and Return
The Analysis of Equity Risk and Return
Chapter 19
The Analysis of Credit Risk and Return
Chapter 20

Money and Banking

Part I: Money and the Financial System

Chapter 1: An Introduction to Money and the Financial System

Chapter 2: Money and the Payments System
Chapter 3: Financial Instruments, Financial Markets, and Financial Institutions

Part II: Interest Rates, Financial Instruments, and Financial Markets

Chapter 4: Future Value, Present Value, and Interest Rates

Chapter 5: Understanding Risk
Chapter 6: Bonds, Bond Prices, and the Determination of Interest Rates
Chapter 7: The Risk and Term Structure of Interest Rates
Chapter 8: Stocks, Stock Markets, and Market Efficiency
Chapter 9: Derivatives: Futures, Options, and Swaps
Chapter 10: Foreign Exchange

Part III: Financial Institutions

Chapter 11: The Economics of Financial Intermediation

Chapter 12: Depository Institutions: Banks and Bank Management
Chapter 13: Financial Industry Structure
Chapter 14: Regulating the Financial System

Part IV: Central Banks, Monetary Policy, and Financial Stability

Chapter 15: Central Banks in the World Today

Chapter 16: The Structure of Central Banks: The Federal Reserve and the European Central Bank
Chapter 17: The Central Bank Balance Sheet and the Money Supply Process
Chapter 18: Monetary Policy: Stabilizing the Domestic Economy
Chapter 19: Exchange-Rate Policy and the Central Bank

Part
h V: Modern Monetary Economics

Chapter 20: Money Growth, Money Demand, and Modern Monetary Policy
Chapter 21: Output, Inflation, and Monetary Policy
Chapter 22: Understanding Business Cycle Fluctuations
Chapter 23: Modern Monetary Policy and the Challenges Facing Central Bankers

International trade
o

Recent Trade Controversies

Ricardian Model Assumptions

The Great Depression, Smoot-Hawley, and the

The Ricardian Model Production Possibility Frontier

Reciprocal Trade Agreements Act (RTAA)

Definitions: Absolute and Comparative Advantage

The General Agreement on Tariffs and Trade

A Ricardian Numerical Example

(GATT)

Relationship between Prices and Wages

The Uruguay Round

Deriving the Autarky Terms of Trade

The World Trade Organization

The Motivation for International Trade and

Appendix A: Selected U.S. Tariffs2009

Appendix B: Bound versus Applied Tariffs

Welfare Effects of Free Trade: Real Wage Effects

Chapter 2: The Ricardian Theory of Comparative

The Welfare Effects of Free Trade: Aggregate Effects

Advantage

Appendix: Robert Torrens on Comparative

The Reasons for Trade

The Theory of Comparative Advantage: Overview

Specialization

Advantage

Chapter 3: The Pure Exchange Model of Trade

A Simple Pure Exchange Economy

Determinants of the Terms of Trade

Example of a Trade Pattern

The Heckscher-Ohlin Theorem

Three Traders and Redistribution with Trade

Depicting a Free Trade Equilibrium in the

Three Traders with International Trade

The Nondiscrimination Argument for Free Trade

Chapter 4: Factor Mobility and Income

Redistribution

The Production Possibility Frontier (Variable

Proportions)

Heckscher-Ohlin Model
o

National Welfare Effects of Free Trade in the

Heckscher-Ohlin Model

The Distributive Effects of Free Trade in the

Factor Mobility Overview

Domestic Factor Mobility

The Compensation Principle

Time and Factor Mobility

Factor-Price Equalization

Immobile Factor Model Overview and Assumptions

The Specific Factor Model: Overview

The Production Possibility Frontier in the Immobile

The Specific Factor Model

Factor Model

Dynamic Income Redistribution and Trade

Autarky Equilibrium in the Immobile Factor Model

Chapter 6: Economies of Scale and International

Depicting a Free Trade Equilibrium in the Immobile

Heckscher-Ohlin Model

Trade

Factor Model

Chapter Overview

Effect of Trade on Real Wages

Economies of Scale and Returns to Scale

Intuition of Real Wage Effects

Gains from Trade with Economies of Scale: A

Interpreting the Welfare Effects

Aggregate Welfare Effects of Free Trade in the

Monopolistic Competition

Immobile Factor Model

Model Assumptions: Monopolistic Competition

Chapter 5: The Heckscher-Ohlin (Factor

The Effects of Trade in a Monopolistically

Simple Explanation

Competitive Industry

Proportions) Model
o

Chapter Overview

Heckscher-Ohlin Model Assumptions

The Production Possibility Frontier (Fixed

The Costs and Benefits of Free Trade under

Monopolistic Competition

Proportions)

Chapter 7: Trade Policy Effects with Perfectly

Competitive Markets

The Rybczynski Theorem

Basic Assumptions of the Partial Equilibrium Model

The Magnification Effect for Quantities

Depicting a Free Trade Equilibrium: Large and Small

The Stolper-Samuelson Theorem

The Magnification Effect for Prices

Country Cases

The Welfare Effects of Trade Policies: Partial

Consumption Taxes as a Reason for Trade

Equilibrium

Consumption Tax Effects in a Small Importing

Import Tariffs: Large Country Price Effects

Import Tariffs: Large Country Welfare Effects

The Optimal Tariff

Import Tariffs: Small Country Price Effects

Import Tariffs: Small Country Welfare Effects

Retaliation and Trade Wars

Chapter Overview

Import Quotas: Large Country Price Effects

Imperfections and Distortions Defined

Administration of an Import Quota

The Theory of the Second Best

Import Quota: Large Country Welfare Effects

Unemployment and Trade Policy

Import Quota: Small Country Price Effects

The Infant Industry Argument and Dynamic

Import Quota: Small Country Welfare Effects

The Choice between Import Tariffs and Quotas

The Case of a Foreign Monopoly

Export Subsidies: Large Country Price Effects

Monopoly and Monopsony Power and Trade

Export Subsidies: Large Country Welfare Effects

Public Goods and National Security

Countervailing Duties

Trade and the Environment

Voluntary Export Restraints (VERs): Large Country

Economic Integration: Free Trade Areas, Trade

Country
o

(Consumption Tax plus Production Subsidy)

Administration of a Voluntary Export Restraint

Voluntary Export Restraints: Large Country Welfare

Chapter 9: Trade Policies with Market

Imperfections and Distortions

Comparative Advantage

Price Effects
o

Equivalence of an Import Tariff with a Domestic

Creation, and Trade Diversion

Chapter 10: Political Economy and International

Trade

Effects

Chapter Overview

Export Taxes: Large Country Price Effects

Some Features of a Democratic Society

Export Taxes: Large Country Welfare Effects

The Economic Effects of Protection: An Example

Chapter 8: Domestic Policies and International

The Consumers Lobbying Decision

Trade

The Producers Lobbying Decision

Chapter Overview

The Governments Decision

Domestic Production Subsidies

The Lobbying Problem in a Democracy

Production Subsidies as a Reason for Trade

Chapter 11: Evaluating the Controversy between

Production Subsidy Effects in a Small Importing

Free Trade and Protectionism

Country

Introduction

Domestic Consumption Taxes

Economic Efficiency Effects of Free Trade

Free Trade and the Distribution of Income

The Case for Selected Protection

The Economic Case against Selected Protection

Free Trade as the Pragmatically Optimal Policy

Choice

International finance
Part I: THE INTERNATIONAL FINANCIAL
ENVIRONMENT.
1. Multinational Financial Management: An Overview.
2. International Flow of Funds.
3. International Financial Markets.
4. Exchange Rate Determination.
5. Currency Derivatives.

Part II: EXCHANGE RATE BEHAVIOR.

6. Government Influence on Exchange Rates.
7. International Arbitrage and Interest Rate Parity.
8. Relationships among Inflation, Interest Rates, and
Exchange Rates.

Part III: EXCHANGE RATE RISK MANAGEMENT.

9. Forecasting Exchange Rates.
10. Measuring Exposure to Exchange Rate Fluctuations.

11. Managing Transaction Exposure.

12. Managing Economic Exposure and Translation Exposure.

Part IV: LONG-TERM ASSET AND LIABILITY

MANAGEMENT.
13. Direct Foreign Investment.
14. Multinational Capital Budgeting.
15. International Corporate Governance and Control.
16. Country Risk Analysis.
17. Multinational Cost of Capital and Capital Structure.
18. Long-Term Debt Financing (new chapter name).

Part V: SHORT-TERM ASSET AND LIABILITY

MANAGEMENT.
19. Financing International Trade.
20. Short-Term Financing.
21. International Cash Management.

Investment and security analyses

Part I. Introduction

Chapter 1 The Investment Environment

Chapter 2 Asset Classes and Financial Instruments
Chapter 3 How Securities are Traded
Chapter 4 Mutual Funds and Other Investment
Companies

Part II. Portfolio Theory and Practice

Chapter 5 Introduction to Risk, Return, and the

Historical Record
Chapter 6 Risk Aversion and Capital Allocation to
Risky Assets
Chapter 7 Optimal Risky Portfolios
Chapter 8 Index Models

Chapter 12 Behavioral Finance and Technical

Analysis
Chapter 13 Empirical Evidence on Security Returns

Part IV. Fixed-Income Securities

Chapter 14 Bond Prices and Yields

Chapter 15 The Term Structure of Interest Rates
Chapter 16 Managing Bond Portfolios

Part V. Security Analysis

Chapter 17 Macroeconomic and Industry Analysis

Chapter 18 Equity Valuation Models
Chapter 19 Financial Statement Analysis

Part VI. Options, Futures, and Other Derivatives

Part III. Equilibrium in Capital Markets

Chapter 9 The Capital Asset Pricing Model

Chapter 10 Arbitrage Pricing Theory and Multifactor
Models of Risk and Return
Chapter 11 The Efficient Market Hypothesis

Chapter 20 Options Markets: Introduction

Chapter 21 Option Valuation
Chapter 22 Futures Markets
Chapter 23 Futures, Swaps, and Risk Management

Part VII. Applied Portfolio Management

Chapter 24 Portfolio Performance Evaluation

Chapter 25 International Diversification

Chapter 26 Hedge Funds

Chapter 27 The Theory of Active Portfolio
Management
Chapter 28 Investment Policy and the Framework of
the CFA Institute

Portfolio management
Part I: Introduction
1.
2.
3.

Overview: A Broad Map of the Territory

Investment Alternatives: Choices Galore
Securities Market: The Battlefield

Part II: Basic Concepts and Methods

4.
5.
6.

Risk and Return: Two Sides of the Investment Coin

The Time Value of Money: The Magic of
Compounding
Financial Statement Analysis: The Information Maze

Part V: Equity Shares

13. Equity Valuation: How to Find Your Bearings
14. Macroeconomic and Industry Analysis:
Understanding the Broad Picture
15. Company Analysis: Establishing the Value
Benchmark
16. Technical Analysis: The Visual Clue
17. Options: The Upside Without the Downside
18. Futures: Where the Hedges and the Speculators Meet

Part VII: Other Investment Options

Part III: Modern Portfolio Theory
7.
8.

Portfolio Theory: The Benefits of Diversification

Capital Asset Pricing Model and Arbitrage Pricing
Theory: The Risk Reward Relationship
9. Efficient Market Hypothesis: The Collective Wisdom
10. Behavioural Finance: The Irrational Influences

19.
20.
21.
22.
23.
24.

Part IV: Fixed Income Securities

25.
11. Bond Prices and Yields: Figuring out the Assured
Returns
12. Bond Portfolio Management: The Passive and Active
Stances

26.

Mutual Funds: Indirect Investing

Investment in Real Assets: The Tangible Thing
International Investing: The Global Search
Portfolio Management: Investment Policy and
Strategy: The Grand Design
Portfolio Management: Implementation and Review:
The Specific Moves
Professional and Institutional Money Management:
Seeking the Help of Experts
Guidelines for Investment Decisions: What It All
Comes To
Strategies of the Great Masters: The Timeless
Wisdom

Corporate finance
Part One: Value

7. Making Investment Decisions with the Net Present Value

Rule

1. Finance and the Financial Manager

Part Two: Risk
2. Present Values, the Objectives of the Firm, and Corporate
Governance

8. Introduction to Risk, Return, and the Opportunity Cost of

Capital

3. How to Calculate Present Values

9. Risk and Return
4. Valuing Bonds
10. Capital Budgeting and Risk
5. The Value of Common Stocks
Part Three: Best Practices in Capital Budgeting
6. Why Net Present Value Leads to Better Investment
Decisions than Other Criteria

11. Project Analysis

12. Investment, Strategy, and Economic Rents

Part Seven: Debt Financing

13. Agency Problems, Management Compensation, and the

Measurement of Performance

24. Credit Risk and the Value of Corporate Debt

25. The Many Different Kinds of Debt

Part Four: Financing Decisions and Market Efficiency

26. Leasing
14. Efficient Markets and Behavioral Finance
Part Eight: Risk Management
15. An Overview of Corporate Financing
27. Managing Risk
16. How Corporations Issue Securities
28. Managing International Risks
Part Five: Payout Policy and Capital Structure
17. Payout Policy

Part Nine: Financial Planning and the Management of

Working Capital

18. Does Debt Policy Matter?

29. Financial Analysis and Planning

19. How Much Should a Firm Borrow?

30. Working Capital Management

20. Financing and Valuation

31. Short-Term Financial Planning

Part Six: Options

Part Ten: Mergers, Corporate Control, and Governance

21. Understanding Options

32. Mergers

22. Valuing Options

33. Corporate Restructuring

23. Real Options

34. Governance and Corporate Control around the World