l01.fall10 - Lecture 1 page 2 WELCOME TO FIN 301 What will...

Info iconThis preview shows pages 1–4. Sign up to view the full content.

View Full Document Right Arrow Icon
Lecture 1 page 2 W ELCOME TO FIN 301 What will we do today? 1. My background 2. Course Goals 3. Requirements of FIN301 4. Reading materials 5. Introduction to Finance - Richard T. Bliss, Babson University and Terry D. Nixon, Miami University
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Lecture 1 page 3 Introduction to Finance Traditional Areas of Finance Financial Management 1. What investments should the firm make? 2. What types of financing should be used to pay for the investments? 3. How should the day-to-day activities of the firm be managed to satisfy cash needs? Investments portfolio selection - Financial markets financial intermediaries - Are these three independent? - Richard T. Bliss, Babson University and Terry D. Nixon, Miami University
Background image of page 2
Lecture 1 page 4 Guiding Principles of Finance 1. Maximization of Shareholder Wealth 2. Time Value of Money 3. Expected Return vs. Risk Tradeoff 4. Leverage 5. Diversification 1. Maximization of Shareholder Wealth the creation of as much wealth for shareholders as possible with the available resources
Background image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 4
This is the end of the preview. Sign up to access the rest of the document.

This document was uploaded on 11/02/2011 for the course FIN 301 at Miami University.

Page1 / 6

l01.fall10 - Lecture 1 page 2 WELCOME TO FIN 301 What will...

This preview shows document pages 1 - 4. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online