tailieunhanh - Lecture Essentials of corporate finance (2/e) – Chapter 13: Leverage and capital structure

In this chapter you will understand the effect of financial leverage on cash flows and cost of equity, understand the impact of taxes and bankruptcy on capital structure choice, understand the basic components of bankruptcy. | Leverage and capital structure Chapter 13 Key concepts and skills Understand the effect of financial leverage on cash flows and cost of equity Understand the impact of taxes and bankruptcy on capital structure choice Understand the basic components of bankruptcy 13- Copyright © 2011 McGraw-Hill Australia Pty Ltd PPTs t/a Essentials of Corporate Finance 2e by Ross et al. Slides prepared by David E. Allen and Abhay K. Singh Chapter outline The capital structure question The effect of financial leverage Capital structure and the cost of equity capital Corporate taxes and capital structure Bankruptcy costs Optimal capital structure Observed capital structures A quick look at the bankruptcy process 13- Copyright © 2011 McGraw-Hill Australia Pty Ltd PPTs t/a Essentials of Corporate Finance 2e by Ross et al. Slides prepared by David E. Allen and Abhay K. Singh Capital structure Capital structure—percentage of debt and equity used to fund the firm’s assets ‘Leverage’ = use of debt in capital structure Capital restructuring—changing the amount of leverage without changing the firm’s assets Increase leverage by issuing debt and repurchasing outstanding shares Decrease leverage by issuing new shares and retiring outstanding debt 13- Copyright © 2011 McGraw-Hill Australia Pty Ltd PPTs t/a Essentials of Corporate Finance 2e by Ross et al. Slides prepared by David E. Allen and Abhay K. Singh Capital structure and shareholder wealth What is the primary goal of financial managers? To maximise shareholder wealth We want to choose the capital structure that will maximise shareholder wealth. We can maximise shareholder wealth by maximising firm value or minimising WACC. 13- Copyright © 2011 McGraw-Hill Australia Pty Ltd PPTs t/a Essentials of Corporate Finance 2e by Ross et al. Slides prepared by David E. Allen and Abhay K. Singh Remind students that the WACC is the appropriate discount rate for the risk of the firm’s assets. We can find the value of | Leverage and capital structure Chapter 13 Key concepts and skills Understand the effect of financial leverage on cash flows and cost of equity Understand the impact of taxes and bankruptcy on capital structure choice Understand the basic components of bankruptcy 13- Copyright © 2011 McGraw-Hill Australia Pty Ltd PPTs t/a Essentials of Corporate Finance 2e by Ross et al. Slides prepared by David E. Allen and Abhay K. Singh Chapter outline The capital structure question The effect of financial leverage Capital structure and the cost of equity capital Corporate taxes and capital structure Bankruptcy costs Optimal capital structure Observed capital structures A quick look at the bankruptcy process 13- Copyright © 2011 McGraw-Hill Australia Pty Ltd PPTs t/a Essentials of Corporate Finance 2e by Ross et al. Slides prepared by David E. Allen and Abhay K. Singh Capital structure Capital structure—percentage of debt and equity used to fund the firm’s assets ‘Leverage’ = use

• Tài chính doanh nghiệp
• Corporate finance
• Essentials of corporate finance
• Financial management
• Business finance
• Business organisation
• Capital structure
• Vietnamese construction firms
• Capital structure choice
• Return on assets
• Return on equity
• Lecture Business finance
• Capital market
• Capital structure decisions
• Firm performance
• Foreign ownership
• Capital ownership form
• Relation to capital structure
• The capital structure
• Initial public offerings
• Ordinary least square
• Market timing on capital structure
• Vietnam construction industry
• Market timing on capital structureevidence
• Capital Structure Policy
• The Effect of Financial Leverage
• Corporate Taxes
• Bankruptcy Costs
• The Capital Structure Question
• Finance management
• Fundamentals of finance management
• Optimal capital structure
• Operating leverage
• Capital structure theory
• Managerial finance
• Lecture Managerial finance
• Financial statements
• Capital structure effects
• Financial risk
• Quantile regression
• Determinants of capital structure
• Listed firms in Vietnam
• Vietnamese non financial listed firms
• Provincial institutions and capital structure
• New evidence from a transitional economy
• Capital structure and SMEs
• Vietnam’s legal environment
• Firm provincial level panel dataset
• Summary of Doctoral thesis
• Capital structure of tourism service enterprises
• Tourism service enterprises
• The economic market
• Firm characteristics
• SMEs’ capital structure in Egypt
• Non quoted SMEs
• Managerial ownership
• Capital structure in corporate performance utilizing firm size
• Corporate performance utilizing firm size as moderation
• Manufacturing companies listed on the IDX
• Moderate capital structure
• Innovation on corporate performance
• Indian corporate sector
• Multi objective goal setting
• Globalised era of fierce competitions
• Capital structure controversy debate
• Summary of PhD thesis
• Thesis Summary of Doctor of Finance Banking
• Finance Banking
• Impact of capital structure
• Profitability of enterprises
• Listed enterprises
• Fundamentals of financial management
• Financial statement
• Quản lý tài chính
• Market timing
• The initial public offering
• Using ordinary least square
• Equity market timing on capital structure
• Listed companies
• Trade off hypothesis
• Debt ratio
• Leverage financing
• Listed construction companies in Malaysia
• Selected private Bank
• Leverage and Profitability
• Dividend Payout Ratio
• Appropriate capital structure
• Fixed Effect Panel Regression Mode
• Vietnam stock market
• Aquaculture model
• Enterprise capital structure
• Debt maturity structure
• Real estate construction investment
• Trading enterprises in Vietnam
• Sources of finance
• Trade off theory
• Pecking order theory
• Capital adequacy
• Global financial crisis