Corporate Finance: Theory and Practice  2nd
Edition
This web site is designed to support "Corporate Finance: Theory
and Practice". The publisher is John Wiley and Sons. You can navigate
the site by either going to individual chapters and getting supporting material
by chapter, or by going to the supporting material directly. On a personal
note, I would like to apologize for a particulary buggy first printing. If
you have one, please download the update to it by clicking
here. The supporting material include:
You can read the preface to the book by clicking here. You can also look at a readers' guide by clicking here and at the corrections in the first printing here; if you have a later printing, these errors should have been fixed. If you are an instructor using this book, please click here.
Spreadsheets  Overheads  Concept Checks  Datasets  References 
Solutions  Derivations and Discussion  Critical Thinking  Real Companies, Real Time  Powerpoint Presentations 
Overheads

Introduction to Corporate Finance 
Companies: Background 
Topic  Details 
Overheads  Download as pdf file 
In Practice (Illustrations)  In Practice 2.1: Analyzing Two Boards: Boeing and Home Depot 
Answers to Concept Checks/ Critical Thinking  
Data Sets  
Spreadsheets  
Solutions to Problems  Download as pdf file 
Derivations, InPractice Questions and Discussion 

Readings  
Real Companies, Real Time  Analyzing a Company's Corporate Governance Structure 
Topic  Details 
Overheads  Download as pdf file 
In Practice (Illustrations) 
In
Practice 11.1: Nominal and Real Cash Flows  Effects on NPV 
Answers to Concept Checks/ Critical Thinking  
Data Sets  ctryprem.xls: Country risk premiums, by country, that can be used to adjust discount rates. 
Spreadsheets  currconv.xls: Estimate expected exchange rates, based upon purchasing power parity. 
Solutions to Problems  Download as pdf file 
Derivations, InPractice Questions and Discussion  
Readings  
Real Companies, Real Time  Analyzing Inflation and International Risk 
Topic  Details 
Overheads  Download as pdf file 
In Practice (Illustrations) 
In
Practice 15.1: Estimating the returns and NPV on an existing investment 
Answers to Concept Checks/ Critical Thinking  
Data Sets  EVA.xls: Summarizes, by sector, returns on equity and capital as well as costs of equity and capital. 
Spreadsheets  cfroi.xls:
Estimate the CFROI for a firm. evacalc.xls: Estimate the economic value added for a firm. 
Solutions to Problems  Download as pdf file 
Derivations, InPractice Questions and Discussion  
Readings  
Real Companies, Real Time  Analyzing A Firm's Existing Investments 
Topic  Details 
Overheads  Download as pdf file 
In Practice (Illustrations) 
In
Practice 16.1: Cash Flows on a Lease versus Buy Decision 
Answers to Concept Checks/ Critical Thinking  
Data Sets  
Spreadsheets  convbond.xls: Decompose a convertible bond into debt and equity components. 
Solutions to Problems  Download as pdf file 
Derivations, InPractice Questions and Discussion  
Readings  
Real Companies, Real Time  Analyzing A Firm's Current Financing Choices 
Topic  Details 
Overheads  Download as pdf file 
In Practice (Illustrations) 
In
Practice 17.1: The Initial Public Offering for United Parcel Service 
Answers to Concept Checks/ Critical Thinking  
Data Sets  finUS.xls: There is a dataset on the web that has aggregate internal and external financing, for US firms, from 1975 to the present. 
Spreadsheets  rights.xls: Estimate the exrights price and the value per right, in a rights issue 
Solutions to Problems  Download as pdf file 
Derivations, InPractice Questions and Discussion  
Readings  
Real Companies, Real Time  Examining a Firm's Financial Transitions 
Topic  Details 
Overheads  Download as pdf file 
In Practice (Illustrations) 
In
Practice 18.1: The Debt Trade Off at Boeing, the Home Depot and InfoSoft 
Answers to Concept Checks/ Critical Thinking  
Data Sets  
Spreadsheets  
Solutions to Problems  Download as pdf file 
Derivations, InPractice Questions and Discussion  
Readings 

Real Companies, Real Time  Capital Structure Choices 
Topic  Details 
Overheads  Download as pdf file 
In Practice (Illustrations)  
Answers to Concept Checks/ Critical Thinking  
Data Sets  divUS.xls: Dividend yields and payout ratios for U.S. companies from 1960 to the present. 
Spreadsheets  
Solutions to Problems  Download as pdf file 
Derivations, InPractice Questions and Discussion  
Readings  
Real Companies, Real Time  The Trade Off on Dividend Policy 
Topic  Details 
Overheads  Download as pdf file 
In Practice (Illustrations) 
In
Practice 23.1: Dividends versus Equity Repurchases 
Answers to Concept Checks/ Critical Thinking  
Data Sets 

Spreadsheets 

Solutions to Problems  Download as pdf file 
Derivations, InPractice Questions and Discussion  
Readings  
Real Companies, Real Time  Choosing between different ways of returning cash to the stockholders 
Topic  Details 
Overheads  Download as pdf file 
In Practice (Illustrations) 
In
Practice 26.1: A Status Quo Valuation of Digital 
Answers to Concept Checks/ Critical Thinking  
Data Sets 

Spreadsheets 
synergy.xls:
Estimate the approximate value of synergy in a merger or acquisition. 
Solutions to Problems  Download as pdf file 
Derivations, InPractice Questions and Discussion  
Readings  
Real Companies, Real Time  Acquisition Analysis 
Overheads

The Lessons of Corporate Finance 
Companies: Background 
Topic  Chapters 
The Objective of the Firm  Chapter 2 
Tools for Corporate Finance  Chapter 35 
Measuring Risk in Investments  Chapter 67 
Measuring Returns on Investments  Chapters 815 
Capital Structure  Chapter 1620 
Dividend Policy  Chapter 2123 
Valuation  Chapter 2425 
Mergers and Acquisitions  Chapter 26 
Real Options  Chapter 27 
2  3  4  5  6  
7  8  9  10  11  12  
13  14  15  16  17  18  
19  20  21  22  23  24  
25  26  27  