Analysis for Financial Management

Analysis for Financial Management

10th Edition

By Robert Higgins

  • Copyright: 2012

  • Publication Date: Dec 02 2011

  • ISBN 10: 007803468X

  • ISBN 13: 9780078034688

Description

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Analysis for Financial Management, 10e presents standard techniques and modern developments in a practical and intuitive manner with an emphasis on the managerial applications of financial anal

Analysis for Financial Management, 10e presents standard techniques and modern developments in a practical and intuitive manner with an emphasis on the managerial applications of financial analysis. It is intended for non-financial managers and business students interested in the practice of financial management.

  • Language: English

  • Imprint: Irwin/McGraw-Hill

  • Dimension: 8 x 9.3

  • Page Count: 480

New Features

  • Discussion of relevant aspects of the recent financial crisis, with emphasis on the possible roles played by the efficient market hypothesis, fair value accounting, and the financial rating agencies in precipitating the crisis.
  • The examination of Kraft Foods Corporation?s $23 billion hostile takeover of British confectioner Cadbury Plc, including the role played by activist investor Nelson Peltz.
  • Expanded coverage of real options analysis, including decision trees.
  • An update of the empirical evidence on corporate restructuring and shareholder value creation.
  • The use of Sensient Technologies Corporation (SXT), the world?s largest food and beverage color company, as an extended example throughout the book.
  • Fresh examples throughout the text, including new company examples and updated data to keep the text at the forefront of currency.

Key Features

  • A heavy reliance on presenting the practical implications of modern concepts such as market efficiency, beta risk, and market signaling.
  • Data on realized returns on securities, industry ratios, median rations by S&P rating category, etc. is incorporated throughout.
  • Chapter 4, Managing Growth, takes more time than other texts to explain decisions around growth strategies and especially about sustainable growth.
  • Extensive discussion of the statement of cash flows. The very thorough coverage of this challenging topic uses data from S&P?s Research Insight to illustrate key points.
  • Significant international examples dispersed throughout the text and embedded in selected appendices, especially Appendix 2A, ?International Differences in Capital Structure.?
  • Engaging and highly interesting writing style, a true hallmark of this text.
  • An assessment of the strengths and weaknesses of the internal rate of return as an acceptance criterion in capital budgeting.
  • Special emphasis on the importance of business strategy for company financing choices and on the irrelevance proposition as a foundation for capital structure decisions.
  • Extensive coverage of capital intensity and its effect on breakeven sales.
  • Annotated website references at the end of each chapter that explain where financial information can be found while providing quick access to additional material.
  • Excel problems featured in the end of chapter material indicated by an icon. Students will be able to use these problems to better understand the concepts and calculations presented in the text. The interactive Excel spreadsheets can be found on the Online Learning Center, www.mhhe.com/higgins10e.

Format

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Print

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Retail

Part I: Assessing the Financial Health of the Firm

Chapter 1: Interpreting Financial Statements

Chapter 2: Evaluating Financial Performance

Appendix: International Differenc

Table of Contents

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Part I: Assessing the Financial Health of the Firm

Chapter 1: Interpreting Financial Statements

Chapter 2: Evaluating Financial Performance

Appendix: International Differences in Financial Structure

Part II: Planning Future Financial Performance

Chapter 3: Financial Forecasting

Chapter 4: Managing Growth

Part III: Financing Operations

Chapter 5: Financial Instruments and Markets

Appendix: Using Financial Instruments to Manage Risks

Chapter 6: The Financing Decision

Appendix: The Irrelevance Proposition

Part IV: Evaluating Investment Opportunities

Chapter 7: Discounted Cash Flow Techniques

Appendix: Mutually Exclusive Alternatives and Capital Rationing

Chapter 8: Risk Analysis in Investment Decisions

Appendix: Asset Beta and Adjusted Present Value

Chapter 9: Business Valuation and Corporate Restructuring

Appendix: The Venture Capital Method of Valuation

Appendix A: Present Value of $1

Appendix B: Present Value of an Annuity of $1

Glossary

Suggested Answers to Odd-Numbered End-of-Chapter Problems

More

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About the Authors

Robert Higgins