Fundamentals Of Corporate Finance Why Corporations Need Financial Markets And Institutions.ppt

chapter2 fundamentalsofcorporatefinancefifthedition slidesbymatthewwill mcgraw hill irwin copyright 2007bythemcgraw hillcompanies inc allrightsreserved whycorporationsneedfinancialmarketsandinstitutions topicscovered whyfinancematterstheflowofsavingstocorporationsfunctionsoffinancialmarketsfunctionsoffinancialintermediariesvaluemaximizationandcostofcapital financialmarkets primarymarkets secondarymarkets otcmarkets money financialmarkets financingdecisionsourceoffunds capital capitalstructuremoneymarketseuros financial manager firm s operations investors financialmarkets realassets timberland stockholderssaveandinvestincloselyheldfirm irwin mcgraw hill financialmarkets company issuedebt cash investors irwin mcgraw hill financialmarkets bankofamerica windsorfund investors sellsshares issuesshares irwin mcgraw hill financialmarkets company intermediary investor irwin mcgraw hill financialmarkets banks depositors 2 5mil cash loan deposits company intermediary investor irwin mcgraw hill financialmarkets insurancecompany policyholders 250mil cash loan sellpoliciesissuestock company intermediary investor totalu s financing holdingsofcorporateandforeignbonds qtr1 2005 totalu s financing holdingsofcorporateequities qtr1 2005 functionoffinancialmarkets transportingcashacrosstimerisktransferanddiversificationliquiditypaymentmechanismprovideinformation u s financing informationprovidedbyfinancialmarketscommoditypricesinterestratescompanyvalues valueofalaskaairgroup dataasofapril 2005 valuemaximization webresources www rba co uk sources clicktoaccesswebsitesinternetconnectionrequired weblinks ww