What Corporate Finance Is and What It Does
Corporate finance is the financial management discipline that addresses the three fundamental questions every business must answer: what investments should the business make (the capital budgeting decision), how should those investments be financed (the capital structure decision),...
The Capital Structure Decision
Capital structure — the combination of debt and equity that a company uses to finance its assets and operations — is one of the most consequential decisions in corporate finance because it affects both the cost of capital and the risk...
