PART I: Overview
1 Introduction to Corporate Finance 1
2 Financial Statements and Cash Flow 20
3 Financial Statements Analysis and Financial Models 44

PART II: Valuation and Capital Budgeting
4 Discounted Cash Flow Valuation 87
5 Net Present Value and Other Investment Rules 135
6 Making Capital Investment Decisions 171
7 Risk Analysis, Real Options, and Capital Budgeting 206
8 Interest Rates and Bond Valuation 234
9 Stock Valuation 268

PART III: Risk
10 Risk and Return: Lessons from Market History 300
11 Return and Risk: The Capital Asset Pricing Model (CAPM) 329
12 An Alternative View of Risk and Return: The Arbitrage Pricing Theory 371
13 Risk, Cost of Capital, and Capital Budgeting 392

PART IV: Capital Structure and Dividend Policy
14 Efficient Capital Markets and Behavioral Challenges 428
15 Long-Term Financing: An Introduction 467
16 Capital Structure: Basic Concepts 488
17 Capital Structure: Limits to the Use of Debt 520
18 Valuation and Capital Budgeting for the Levered Firm 553
19 Dividends and Other Payouts 575

PART V: Long-Term Financing
20 Issuing Securities to the Public 616
21 Leasing 652

PART VI: Options, Futures, and Corporate Finance
22 Options and Corporate Finance 676
23 Options and Corporate Finance: Extensions and Applications 719
24 Warrants and Convertibles 744
25 Derivatives and Hedging Risk 763

PART VII: Short-Term Finance
26 Short-Term Finance and Planning 795
27 Cash Management 824
28 Credit and Inventory Management 846

PART VIII: Special Topics
29 Mergers and Acquisitions 875
30 Financial Distress 917
31 International Corporate Finance 933
Appendix A: Mathematical Tables 963
Appendix B: Solutions to Selected End-of-Chapter Problems 972
Name Index 975
Subject Index 978