Fundamentals of corporate finance

This book is about corporate finance. It focuses on how companies invest in real assets and how they raise the money to pay for these investments. Financial management is important, interesting, and challenging. It is important be- cause today’s capital investment decisions may determine the businesses that the firm is in 10, 20, or more years ahead. Also, a firm’s success or failure depends in large part on its ability to find the capital that it needs. Finance is interesting for several reasons. Financial decisions often involve huge sums of money. Large investment projects or acquisitions may involve billions of dol- lars. Also, the financial community is international and fast moving, with colorful he- roes and a sprinkling of unpleasant villains.