Lessons in Corporate Finance: A Case Studies Approach to Financial Tools, Financial Policies, and Valuation (Wiley Finance)

**A discussion-based learning approach to corporate finance fundamentals**__Lessons in Corporate Finance__explains the fundamentals of the field in an intuitive way, using a unique Socratic question and answer approach. Written by award-winning professors at M.I.T. and Tufts, this book draws on years of research and teaching to deliver a truly interactive learning experience. Each case study is designed to facilitate class discussion, based on a series of increasingly detailed questions and answers that reinforce conceptual insights with numerical examples. Complete coverage of all areas of corporate finance includes capital structure and financing needs along with project and company valuation, with specific guidance on vital topics such as ratios and pro formas, dividends, debt maturity, asymmetric information, and more. Corporate finance is a complex field composed of a broad variety of sub-disciplines, each involving a specific skill set and nuanced body of knowledge. This text is designed to give you an intuitive understanding of the fundamentals to provide a solid foundation for more advanced study. * Identify sources of funding and corporate capital structure * Learn how managers increase the firm's value to shareholders * Understand the tools and analysis methods used for allocation * Explore the five methods of valuation with free cash flow to firm and equity Navigating the intricate operations of corporate finance requires a deep and instinctual understanding of the broad concepts and practical methods used every day. Interactive, discussion-based learning forces you to go beyond memorization and actually apply what you know, simultaneously developing your knowledge, skills, and instincts. __Lessons in Corporate Finance__ provides a unique opportunity to go beyond traditional textbook study and gain skills that are useful in the field. A discussion-based learning approach to corporate finance fundamentals Lessons in Corporate Finance explains the fundamentals of the field in an intuitive way, using a unique Socratic question and answer approach. Written by award-winning professors at M.I.T. and Tufts, this book draws on years of research and teaching to deliver a truly interactive learning experience. Each case study is designed to facilitate class discussion, based on a series of increasingly detailed questions and answers that reinforce conceptual insights with numerical examples. Complete coverage of all areas of corporate finance includes capital structure and financing needs along with project and company valuation, with specific guidance on vital topics such as ratios and pro formas, dividends, debt maturity, asymmetric information, and more. Corporate finance is a complex field composed of a broad variety of sub-disciplines, each involving a specific skill set and nuanced body of knowledge. This text is designed to give you an intuitive understanding of the fundamentals to provide a solid foundation for more advanced study. Identify sources of funding and corporate capital structure Learn how managers increase the firm's value to shareholders Understand the tools and analysis methods used for allocation Explore the five methods of valuation with free cash flow to firm and equity Navigating the intricate operations of corporate finance requires a deep and instinctual understanding of the broad concepts and practical methods used every day. Interactive, discussion-based learning forces you to go beyond memorization and actually apply what you know, simultaneously developing your knowledge, skills, and instincts. Lessons in Corporate Finance provides a unique opportunity to go beyond traditional textbook study and gain skills that are useful in the field. Contents 9 Preface 15 Acknowledgments 17 About the Authors 19 Introduction 21 Determining a Firm’s Financial Health (PIPES-A) 27 Pro Forma Forecasts (PIPES-B) 47 The Impact of Seasonality on a Firm’s Funding (PIPES-C) 73 Why Financing Matters (Massey Ferguson) 97 An Introduction to Capital Structure Theory 123 Capital Structure Decisions (Marriott Corporation and Gary Wilson) 151 Investment Decisions (Marriott Corporation and Gary Wilson) 173 Financial Policy Decisions (AT &T: Before and After the 1984 Divestiture) 191 The Impact of Operating Strategy on Corporate Finance Policy (MCI) 227 Dividend Policy (Apple Inc.) 259 A Continuation of Capital Structure Theory 281 The Time Value of Money: Discounting and Net Present Values 307 Valuation and Cash Flows (Sungreen A) 323 Valuation (Sungreen B) 339 Valuation Nuances 357 Leveraged Buyouts and Private Equity Financing (Congoleum) 383 Mergers and Acquisitions: Strategic Issues (The Dollar Stores) 413 Valuing an Acquisition: Free Cash Flows to the Firm (The Dollar Stores) 421 Understanding Free Cash Flows (The Dollar Stores) 443 Mergers and Acquisitions: Execution (The Dollar Stores) 453 Review 465 Glossary 481 Index 489 "Lessons in Corporate Finance explains the fundamentals of the field in an intuitive way, using a unique Socratic question and answer approach. Written by award-winning professors at M.I.T. and Tufts, this book draws on years of research and teaching to deliver a truly interactive learning experience. Each case study is designed to facilitate class discussion, based on a series of increasingly detailed questions and answers that reinforce conceptual insights with numerical examples. Complete coverage of all areas of corporate finance includes capital structure and financing needs along with project and company valuation, with specific guidance on vital topics such as ratios and pro formas, dividends, debt maturity, asymmetric information, and more. Corporate finance is a complex field composed of a broad variety of sub-disciplines, each involving a specific skill set and nuanced body of knowledge. This text is designed to give you an intuitive understanding of the fundamentals to provide a solid foundation for more advanced study"--Publisher's website