Corporate Finance

'Corporate Finance' emphasizes the modern fundamentals of the theory of finance while providing contemporary examples to make the theory come to life. The authors present corporate finance as the working of a small number of integrated and powerful institutions, rather than a collection of unrelated topics. They develop the central concepts of modern finance: arbitrage, net present value, efficient markets, agency theory, options, and the trade-off between risk and return, and use them to explain corporate finance with a balance of theory and application. This text distills the subject of corporate finance down to its core, while leaving more specialized topics to follow-up courses.