• Brief text - 15 chapters with 8 additional on the web site. The subject matter of this book is focused on those subjects in corporate finance that are critical to an understanding of finance.
  • Focused textbook coverage is a plus for programs 10-14 weeks long which require a brief book that concentrates on the key topics in corporate finance.
  • A web site with additional chapters gives instructors a broader array of topic chapters to fit with syllabi.
  • The menu of further topics on the Website allows instructors to customize a text based on their individual course needs.
• Additional Topics - Have been prepared for this text and may be copied from the text's homepage found at: http://www.prenhall.com/shapiro
  • Topic A - Managing Cash and Marketable Securities
  • Topic B - Managing Accounts Receivable
  • Topic C - Managing Inventories
  • Topic D - Convertible Securities and Warrants
  • Topic E - Lease Financing
  • Topic F - International Financial Management
  • Topic G - Bankruptcy and Reorganization
  • Topic H - Hedging Corporate Risk Exposure
• Emphasis on value creation integrated throughout the text - Focuses on how the financial manager can add value to the firm and looks at activities that financial managers do that interrelate to other functions within the company to create value.
  • Enables students to connect the strategic goal of creating competitive advantage and the financial goal of creating shareholder value.
  • Shows students the role of the financial manager is to understand the intricacies of the modern financial marketplace and use this knowledge to help guide the firm's activities.
  • Contains a unique chapter on how companies create value - including value-based analysis and corporate restructuring - as well as the links between return on investment, required return on capital invested, and the pricing of stocks. It also deals with issues of executive compensation from a financial standpoint (Chapter 11).
  • Features a discussion of how investment decisions can help create competitive advantage, and thereby enhance shareholder value (Chapter 9).
  • Shows the linkages between corporate growth strategies and shareholder value creation, and indicates when such growth can actually dissipate value (Chapter 5).
• Practical approach - Shows students why theories make sense, and how to use them to solve problems by citing examples from real corporations like Southwest Airlines, Time Warner, Walt Disney, etc.
  • The book relates the subject matter to material students are already familiar with or have learned in previous chapters, making it less intimidating and more interesting. Basic intuition is emphasized throughout.
• Numerous applications of finance principles - Illustrated through real-world examples and vignettes are intricately woven into the text and not as separate boxed features.
  • Promotes interest, and an understanding of basic theory for students in context, so that they can use financial analysis and reasoning to solve financial problems and make financial decisions.
• Application of financial analysis to nonfinancial problems - Highlights why nonfinance majors should care about the topics covered.
  • Supplies students with a broad application to general management, and demonstrates the financial implications of issues dealt with by non-financial executives.
• Unique chapter on strategy and financial management - Deals with the issue of executive compensation from a financial standpoint.
  • Familiarizes students with the connections between return on investments, required return on capital invested, and the pricing of stocks.
• Integrated coverage of international topics.
  • Allows students to view finance from a global perspective and understand issues related to the integration of domestic and global financial management.
  • Features a detailed presentation of financing patterns of companies around the world and discusses the evolution of these financing patterns, particularly the rise of securitization, that helps to put financing options and patterns into perspective (Chapter 12).
• Numerous chapter-end questions and problems.
  • More problems at the end of chapters than mostly any other Corporate Finance text. Problems are designed to provide students with practical insights into the types of decisions faced by financial executives, and offer practice in applying financial concepts and theories.
• Comprehensive financial statement analysis - Provides a unique discussion of the qualitative aspects of corporate control.
  • Shows students how to conduct a detailed financial analysis, and points out the numerous pitfalls involved.
• Detailed discussion of estimating project cash flows - Includes incremental versus total cash flows; the effects of inflation on cash flows; and the valuation of growth options.
  • Presents students with hands-on experience to help them gain an appreciation for the real-world difficulties in valuing projects.
• Qualitative factors that determine financial strategy.
  • Concentrates on the costs of financial distress and the value of financial flexibility, enabling students to put the design of financial packages into perspective.

Coming Soon!

1. Introduction.
2. Evaluating a Firm's Financial Condition.
3. Financial Planning and Funds Forecasting.
4. Foundations of Valuation: Time Value of Money.
5. Bond and Stock Valuation.
6. Risk and Value.
7. Options in Corporate Finance.
8. Evaluation of Investment Projects.
9. The Art and Science of Evaluating Project Cash Flows.
10. Establishing Required Rates of Return.
11. Creating Value for Shareholders.
12. Global Financial Markets and Long-Term Financing.
13. How Companies Raise Long-Term Capital.
14. Establishing a Target Capital Structure.
15. Dividend Policy.

Topic A - Managing Cash and Marketable Securities.

Topic B - Managing Accounts Receivable.

Topic C - Managing Inventories.

Topic D - Convertible Securities and Warrants.

Topic E - Lease Financing.

Topic F - International Financial Management.

Topic G - Bankruptcy and Reorganization.

Topic H - Hedging Corporate Risk Exposure.

For the Student:

• The Prentice Hall Finance Center CD (included in the back of the book)
  • This robust learning tool contains features designed to increase student awareness of what finance professionals do, insure comprehension and mastery of the financial mathematics contained in the text, and supply a direct link to the Prentice Hall Finance Center Website.

Careers Center

• "A Day in The Life of..." videos introduce the student to a vast array of opportunities in finance through interviews with professionals and insights into what they do on the job in an average day. The student will meet an Options Trader, a Mutual Fund manager, Investment Analysts, a CFO and others. Also accessible are features for personal development, resume writing, interviewing techniques, and career planning information.

FINCOACH-The Financial Math Practice Center

• This algorithmic program can generate more than 5 million problems and self-tests in virtually all math areas covered in this text and in financial management. This is a step-by-step guide to solve any corporate finance mathematics problem and allows the student to rapidly gain mastery in all mathematical challenges.
  • Finance Center Website www.prenhall.com/finance center
  • Excel Templates
• Spreadsheets for selected end-of chapter problems are downloadable from the Finance Center Website.

For the Instructor:

• Instructor's Resource Manual (0-13-015761-9); (1576A-0)
  • Prepared by the authors, this manual contains concise chapter teaching strategies, detailed chapter outlines, additional problems, and worked-out solutions. Instructors may download from Finance Center Website.
• Solutions Manual (0-13-015485-7); (1548E-6)
  • Prepared by the authors, this manual contains complete answers to end-of-chapter questions and worked out solutions to all problems in the text. This manual will be available for purchase by the student if the instructor so desires.
• Test Item File (0-13-015762-7); (1576B-8)
  • Contains over 800 true/false, multiple choice and short answer questions.
• PH Custom Test (0-13-015763-5); (1576C-6)
  • Windows PH Custom is the computerized version of the test item file. The instructor can edit, add, or delete questions and generate their own custom exams.
  • FINCOACH Test Manager and Instructor's Manual (0-13-789983-1); (78998-2)
    • Test Manager software has been developed by Puneet Handa, University of Iowa, to allow instructors to generate tests based on his FINCOACH - Math Practice Program. An Instructor's Manual is included.
  • Finance Center Website www.prenhall.financecenter
    • ID and Password designations, required for the Instructor's site, are available from the local Prentice Hall representative. These faculty sites include:
    • PowerPoint Presentation. The slides include sample problems for students to solve in class and are available from the Prentice Hall Finance Center Website.
    • Excel spreadsheet solutions to selected end-of-chapter problems, including solutions to Integrated Problems.

• Modern Corporate Finance and PH Guide to the Wall Street Journal (0-13-055020-5); (5502K-8)
  • This package ($10 plus text purchase) provides students with a ten-week subscription to the print and interactive editions of The Wall Street Journal. Faculty acquiring this package receive free subscriptions to the print and interactive editions.

• FinCoach, Version A: The Financial Management Math Practice Program (0-13-552076-2); (55207-5)
• Surfing for Success in Finance 1998-1999 (0-13-081527-6); (8152G-4)