Apply the discount rate across the project timeline:
One of the most celebrated sections of the book covers the Modigliani-Miller (MM) theorems. The authors guide readers through a world without taxes to demonstrate how capital structure is irrelevant, and then layer on the realities of corporate taxes, bankruptcy costs, and agency conflicts. This framework helps managers identify the "optimal" mix of debt and equity that minimizes WACC and maximizes firm value. 4. Long-Term and Short-Term Financing Corporate Finance 10th Edition Ross Westerfield Jaffe.pdf
| Week | Chapters | Focus | |------|----------|-------| | 1 | 1–3 | Introduction & financial statements | | 2 | 4–6 | Time value of money & DCF | | 3 | 7–9 | Capital budgeting rules | | 4 | 10–12 | Risk, return, CAPM | | 5 | 13–14 | Cost of capital | | 6 | 15–17 | Capital structure theory | | 7 | 18–20 | Dividends & payout policy | | 8 | 21–24 | Short-term finance & working capital | | 9 | 25–28 | Options & risk management | | 10 | 29–31 | Mergers & international finance | Apply the discount rate across the project timeline:
True to its reputation, the text offers an accessible presentation of material to support students, a hallmark of the author team. The 10th edition enhances this with an integrated digital ecosystem designed to improve learning outcomes: It contrasts these traditional views with behavioral finance
The 10th edition covers the Efficient Market Hypothesis (EMH) in its weak, semi-strong, and strong forms. It contrasts these traditional views with behavioral finance concepts, explaining how human emotion drives market anomalies. 💼 Professional Applications
How corporations return value to shareholders. C. Working Capital Management