Call Option Right to buy an asset at a specified exercise price on or before the exercise date. Put Option Right to sell an asset at a specified exercise price on or before the exercise date

When there are no taxes and capital markets function well. it makes no difference whether the firm borrows or individual shareholders borrow. Therefore. the market value of a company does not depend on its capital structure

Venture Capital The Initial Public Offering The Underwriters General Cash Offers The Private Placement

Common Stock Preferred Stock Corporate Debt Convertible Securities Patterns of Corporate Financing

Organizing Business The Role of The Financial Manager Financial Markets Who Is The Financial Manager Corporate Goals Incentives Value Maximization

Geothermal's Cost of Capital Weighted Average Cost of Capital (WACc) Capital Structure Required Rates of Return Big Oil's WACC SInterpreting WACC Flotation Costs

Measuring Beta Portfolio Betas CAPM and Expected Return Security market Line Capital Budgeting and Project Risk

Investment Decision vs. Financing Decision Market Efficiency Weak form efficiency Semi- -strong form efficiency Strong form efficiency Lessons of Market Efficiency

Topics Covered Rates of Return 973 Years of Capital Market History Measuring Risk Risk Diversification Thinking About Risk

Topics Covered Net Present value ther Investment Criteria Project Interactions Capital Rationing IrwinMcGraw-Hill The McGraw-Hill Companies, Inc., 2001