财务管理chapterPPT课件.ppt

CHAP1 IntroductiontoCorporateFinance 2020 3 21 1 KeyConceptsandSkills KnowthebasictypesoffinancialmanagementdecisionsandtheroleoftheFinancialManagerKnowthefinancialimplicationsofthevariousformsofbusinessorganizationKnowthegoaloffinancialmanagementUnderstandtheconflictsofinterestthatcanarisebetweenownersandmanagers 2020 3 21 2 ChapterOutline 1 1WhatisCorporateFinance 1 2TheCorporateFirm1 3TheGoalofFinancialManagement1 4TheAgencyProblemandControloftheCorporation 2020 3 21 3 1 1WhatisCorporateFinance CorporateFinanceaddressesthefollowingthreequestions Whatlong terminvestmentsshouldthefirmchoose Howshouldthefirmraisefundsfortheselectedinvestments Howshouldshort termassetsbemanagedandfinanced 2020 3 21 4 BalanceSheetModeloftheFirm 2020 3 21 5 TheCapitalBudgetingDecision CurrentAssets FixedAssets1Tangible2Intangible Shareholders Equity CurrentLiabilities Long TermDebt Whatlong terminvestmentsshouldthefirmchoose 2020 3 21 6 TheCapitalStructureDecision Howshouldthefirmraisefundsfortheselectedinvestments CurrentAssets FixedAssets1Tangible2Intangible Shareholders Equity CurrentLiabilities Long TermDebt Shareholders Equity 2020 3 21 7 Short TermAssetManagement Howshouldshort termassetsbemanagedandfinanced NetWorkingCapital CurrentLiabilities Long TermDebt CurrentAssets FixedAssets1Tangible2Intangible Shareholders Equity 2020 3 21 8 So fromthebalancesheetmodelofthefirm itiseasytoseewhyfinancecanbethoughtofasthestudyofthefollowingthreequestions 1 Capitalbudgeting2 Capitalstructure3 Networkingcapitalmanagement 2020 3 21 9 CapitalStructure Thevalueofthefirmcanbethoughtofasapie Thegoalofthemanageristoincreasethesizeofthepie TheCapitalStructuredecisioncanbeviewedashowbesttoslicethepie Ifhowyouslicethepieaffectsthesizeofthepie thenthecapitalstructuredecisionmatters 50 Debt 50 Equity 2020 3 21 10 TheFinancialManager Themostimportantjobofafinancialmanageristocreatevaluefromthefirm scapitalbudgeting financing andliquidityactivities Howdofinancialmanagerscreatevalue SelectingvaluecreatingprojectsMakingsmartfinancingdecisions 2020 3 21 11 Cashflowfromfirm C TheFirmandtheFinancialMarkets Taxes D Firmissuessecurities A Retainedcashflows F Investsinassets B Dividendsanddebtpayments E CurrentassetsFixedassets Short termdebtLong termdebtEquityshares Ultimately thefirmmustbeacashgeneratingactivity Thecashflowsfromthefirmmustexceedthecashflowsfromthefinancialmarkets 2020 3 21 12 IdentificationofCashFlows Accountingprofitversuscashflow 会计利润与现金流 example1 1TimingofCashFlows 现金流的发生时点 example1 2RiskofCashFlows 现金流的风险 example1 3 2020 3 21 13 1 2TheCorporateFirm Thecorporateformofbusinessisthestandardmethodforsolvingtheproblemsencounteredinraisinglargeamountsofcash However businessescantakeotherforms 2020 3 21 14 FormsofBusinessOrganization TheSoleProprietorshipThePartnershipGeneralPartnershipLimitedPartnershipTheCorporation 2020 3 21 15 TheSoleProprietorship 1 Thesoleproprietorshipisthecheapestbusinesstoform Noformalcharterisrequired andfewgovernmentregulationsmustbesatisfiedformostindustries 2 Asoleproprietorshippaysnocorporateincometaxes Allprofitsofthebusinessaretaxedasindividualincome 3 Thesoleproprietorshiphasunlimitedliabilityforbusinessdebtsandobligations Nodistinctionismadebetweenpersonalandbusinessassets 4 Thelifeofthesoleproprietorshipislimitedbythelifeofthesoleproprietor 5 Becausetheonlymoneyinvestedinthefirmistheproprietor s theequitymoneythatcanberaisedbythesoleproprietorislimitedtotheproprietor spersonalwealth 2020 3 21 16 ThePartnership 1 Partnershipsareusuallyinexpensiveandeasytoform Writtendocumentsarerequiredincomplicatedarrangements 2 Generalpartnershaveunlimitedliabilityforalldebts Theliabilityoflimitedpartnersisusuallylimitedtothecontributioneachhasmadetothepartnership 3 Thegeneralpartnershipisterminatedwhenageneralpartnerdiesorwithdraws butthisisnotsoforalimitedpartner 4 Itisdifficultforapartnershiptoraiselargeamountsofcash 5 Incomefromapartnershipistaxedaspersonalincometothepartners 6 Managementcontrolresideswiththegeneralpartners 2020 3 21 17 Itisverydifficultforlargebusinessorganizationstoexistassoleproprietorshipsorpartnerships Themainadvantageisthecostofgettingstarted Afterward thedisadvantages whichmaybecomesevere are 1 unlimitedliability 2 limitedlifeoftheenterprise 3 difficultyoftransferringownershipThesethreedisadvantagesleadto 4 thedifficultyinraisingcash 2020 3 21 18 TheCorporation 1 Becauseownershipinacorporationisrepresentedbysharesofstock ownershipcanbereadilytransferredtonewowners Becausethecorporationexistsindependentlyofthosewhoownitsshares thereisnolimittothetransferabilityofsharesasthereisinpartnerships 2 Thecorporationhasunlimitedlife Becausethecorporationisseparatefromitsowners thedeathorwithdrawalofanownerdoesnotaffectitslegalexistence Thecorporationcancontinueonaftertheoriginalownershavewithdrawn 3 Theshareholders liabilityislimitedtotheamountinvestedintheownershipshares 2020 3 21 19 AComparison 2020 3 21 20 1 3TheGoalofFinancialManagement Whatisthecorrectgoal Survive Avoidfinancialdistressandbankruptcy Maximizemarketshare Minimizecosts Maximizeprofit Maintainsteadyearningsgrowth 2020 3 21 21 Thegoaloffinancialmanagement Thegoaloffinancialmanagementistomaximizethecurrentvaluepershareofexistingstock AmoreGeneralGoal Maximizethemarketvalueoftheexistingowners equity 2020 3 21 22 1 4TheAgencyProblem AgencyrelationshipPrincipalhiresanagenttorepresenthis herinterestStockholders principals hiremanagers agents torunthecompanyAgencyproblemConflictofinterestbetweenprincipalandagentManagerialgoalsmaybedifferentfromshareholdergoals Expensiveperquisites Survival Independence 2020 3 21 23 Agencycost referstothecostsoftheconflictofinterestbetweenstockholdersandmanagement Thecostscanbedirectandindirect Anindirectcostisalostopportunity Directcostscomeintwoways 1 Thefirsttypeisacorporateexpenditurethatbenefitsmanagementbutcoststhestockholders 2 Thesecondtypeisanexpensethatarisesfromtheneedtomonitormanagementactions 2020 3 21 24 ManagingManagers ManagerialcompensationIncentivescanbeusedtoalignmanagementandstockholderinterestsTheincentivesneedtobestructuredcarefullytomakesurethattheyachievetheirintendedgoalControlofthefirmUnhappystockholderscanreplaceexistingmanagementThethreatofatakeovermayresultin