finance class 3

finance class 3 - Outline Lecture 3 Lecture Organization...

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Outline Lecture 3 Lecture Organization Agency Problem (continue) Balance Sheet The Income Statement
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The Agency Problem Agency costs is ______________________ Performance-based contracts ___________ Performance-based contracts should be designed in such a way as to
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Why it is important to interpret accounting data? Why should we bother with financial statement analysis? Financial statement information (and financial statement analysis) is important because it is often the only source of information available to the decision-maker.
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Relationship between the financial decisions and the values of the firm's financial statements All decisions in finance ultimately fall into one of two categories: investment decisions – those that involve the sale or purchase of assets. financing decisions decisions that involve obtaining funds for assets purchases
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Relationship between the financial decisions and the values of the firm's financial statements The Balance Sheet is snap shot of the firm’s current condition The Changes in Balance Sheet
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This note was uploaded on 01/26/2012 for the course FINA 365 taught by Professor Koch during the Spring '08 term at South Carolina.

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finance class 3 - Outline Lecture 3 Lecture Organization...

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