Fundamentals of Financial Management, Third Edition

Part I

Fundamental Concepts of Financial Management

Part I familiarises the reader with the fundamental concepts of corporate financial management. It deals with:

1. Nature of financial decisions, factors influencing financial decisions and the objectives of financial decisions;
2. Time value of money, which incorporates the process of the computation of the future and present value of cash flows;
3. The concept of risk and return in the context of a single investment and also a portfolio of investments;
4. Various concepts of corporate valuation and the process of valuation of corporate securities.