Corporate Finance

- Evaluate Corporate Financial Objectives and Stakeholder Interests

Examine the traditional goal of maximizing shareholder value versus alternative objectives, analyzing the advantages and disadvantages of different corporate financial goals and their impact on decision-making.

- Apply Time Value of Money Principles to Financial Calculations

Calculate present and future values of single sums, annuities, perpetuities, and growing cash flows, distinguishing between real and nominal rates and ordinary versus annuity due structures.

- Value Financial Securities Using Time Value of Money Applications

Analyze loan structures including amortization and balloon payments, calculate bond prices and yields, and apply dividend discount models to determine stock values using various growth assumptions.

- Assess Risk and Return Using Modern Portfolio Theory

Evaluate portfolio risk through covariance analysis, distinguish between systematic and unsystematic risk, and apply the Capital Asset Pricing Model to determine required returns for investment decisions.

- Evaluate Capital Investment Opportunities Using Multiple Techniques

Apply NPV, IRR, payback, and discounted payback methods to assess project viability, comparing the advantages and disadvantages of each capital budgeting approach.

- Construct Capital Budgeting Analyses for Strategic Decisions

Develop comprehensive project evaluations by identifying appropriate incremental cash flows, selecting suitable discount rates, and determining whether projects create or destroy firm value.

- Calculate Weighted Average Cost of Capital for Funding Decisions

Determine the cost of debt and equity components and compute WACC for use in capital budgeting and valuation decisions.

- Analyze Capital Structure Impact on Firm Value and Risk

Evaluate the advantages and disadvantages of debt versus equity financing, examining how capital structure affects WACC, financial risk, and firm value through tax shields and bankruptcy costs.