SOLUTION MANUAL FOR
Principles Of Corporate Finance
14th Edition By Richard Brealey, stewart Myers ALL
Chapters (1 - 34)
, TABLE OF CONTENTS
ChapterH1:HIntroductionHtoHCorporateHFinance
ChapterH2:HHowHtoHCalculateHPresentHValues
ChapterH3:HValuingHBonds
ChapterH4:HValuingHStocks
ChapterH5:HNetHPresentHValueHandHOtherHInvestmentHCriteria
ChapterH6:HMakingHInvestmentHDecisionsHwithHtheHNetHPresentHValueHRuleH
ChapterH7:HIntroductionHtoHRisk,HDiversification,HandHPortfolioHSelection
ChapterH8:HTheHCapitalHAssetHPricingHModel
ChapterH9:HRiskHandHtheHCostHofHCapital
ChapterH10:HProjectHAnalysis
ChapterH11:HHowHtoHEnsureHThatHProjectsHTrulyHHaveHPositiveNPVsH
ChapterH12:HEfficientHMarketsHandHBehavioralHFinance
ChapterH13:HAnHOverviewHofHCorporateHFinancing
ChapterH14:HHowHCorporationsHIssueHSecuritiesH
ChapterH15:HPayoutHPolicy
ChapterH16:HDoesHDebtHPolicyHMatter?
ChapterH17:HHowHMuchHShouldHaHCorporationHBorrow?
ChapterH18:HFinancingHandHValuationH
ChapterH19:HAgencyHProblemsHandHCorporateHGovernance
ChapterH20:HStakeholderHCapitalismHandHResponsibleHBusinessH
ChapterH21:HUnderstandingHOptions
ChapterH22:HValuingHOptions
ChapterH23:HRealHOptionsH
ChapterH24:HCreditHRiskHandHtheHValueHofHCorporateHDebt
ChapterH25:HTheHManyHDifferentHKindsHofHDebt
ChapterH26:HLeasing
ChapterH27:HManagingHRisk
ChapterH28:HInternationalHFinancialHManagementH
ChapterH29:HFinancialHAnalysis
ChapterH30:HFinancialHPlanning
ChapterH31:HWorkingHCapitalHManagement
ChapterH32:HMergers
ChapterH33:HCorporateHRestructuringH
,ChapterH34:HConclusion:HWhatHWeHDoHandHDoHNotHKnowHaboutHFinance
CHAPTERH1
IntroductionHtoHCorporateHFinance
TheHvaluesHshownHinHtheHsolutionsHmayHbeHroundedHforHdisplayHpurposes.HHowever,HtheHanswersHwereHd
erivedHusingHaHspreadsheetHwithoutHanyHintermediateHrounding.
AnswersHtoHProblemHSets
1. a. real
b. executiveHairplanes
c. brandHnames
d. financial
e. bonds
*f. investmentHorHcapitalHexpenditure
*g. capitalHbudgetingHorHinvestment
h. financing
*NoteHthatHfHandHgHareHinterchangeableHinHtheHquestion.
EstHtime:H01-05
2. AHtrademark,HaHfactory,HundevelopedHland,HandHyourHworkHforceH(c,Hd,He,HandHg)HareHallHrealHass
ets.HRealHassetsHareHidentifiableHasHitemsHwithHintrinsicHvalue.HTheHothersHinHtheHlistHareHfinancial
Hassets,H
thatHis,HtheseHassetsHderiveHvalueHbecauseHofHaHcontractualHclaim.
EstHtime:H01-05
3. a.
FinancialHassets,HsuchHasHstocksHorHbankHloans,HareHclaimsHheldHbyH investors.HC
orporationsHsellHfinancialHassetsHtoHraiseHtheHcashHtoHinvestHinHrealHassetsHsuchHasHpla
ntHandHequipment.HSomeHrealHassetsHareHintangible.
b. CapitalHexpenditureHmeansHinvestmentHinHrealHassets.HFinancingHmeansHraisingHtheH ca
shHforHthisHinvestment.
, c. TheHsharesHofHpublicHcorporationsHareHtradedHonHstockHexchangesHandHcanHbeHpurcha
sedHbyHaHwideHrangeHofHinvestors.HTheHsharesHofHcloselyHheldHcorporationsHareHnotH pub
liclyHtradedHandHareHheldHbyHaHsmallHgroupHofHprivateHinvestors.
d. UnlimitedHliability:HInvestorsHareHresponsibleHforHallHtheHfirm‘sHdebts.HAHsoleHproprietorH
hasHunlimitedHliability.HInvestorsHinHcorporationsHhaveHlimitedHliability.HTheyHcanHloseHth
eirHinvestment,HbutHnoHmore.
EstHtime:H01-05
Principles Of Corporate Finance
14th Edition By Richard Brealey, stewart Myers ALL
Chapters (1 - 34)
, TABLE OF CONTENTS
ChapterH1:HIntroductionHtoHCorporateHFinance
ChapterH2:HHowHtoHCalculateHPresentHValues
ChapterH3:HValuingHBonds
ChapterH4:HValuingHStocks
ChapterH5:HNetHPresentHValueHandHOtherHInvestmentHCriteria
ChapterH6:HMakingHInvestmentHDecisionsHwithHtheHNetHPresentHValueHRuleH
ChapterH7:HIntroductionHtoHRisk,HDiversification,HandHPortfolioHSelection
ChapterH8:HTheHCapitalHAssetHPricingHModel
ChapterH9:HRiskHandHtheHCostHofHCapital
ChapterH10:HProjectHAnalysis
ChapterH11:HHowHtoHEnsureHThatHProjectsHTrulyHHaveHPositiveNPVsH
ChapterH12:HEfficientHMarketsHandHBehavioralHFinance
ChapterH13:HAnHOverviewHofHCorporateHFinancing
ChapterH14:HHowHCorporationsHIssueHSecuritiesH
ChapterH15:HPayoutHPolicy
ChapterH16:HDoesHDebtHPolicyHMatter?
ChapterH17:HHowHMuchHShouldHaHCorporationHBorrow?
ChapterH18:HFinancingHandHValuationH
ChapterH19:HAgencyHProblemsHandHCorporateHGovernance
ChapterH20:HStakeholderHCapitalismHandHResponsibleHBusinessH
ChapterH21:HUnderstandingHOptions
ChapterH22:HValuingHOptions
ChapterH23:HRealHOptionsH
ChapterH24:HCreditHRiskHandHtheHValueHofHCorporateHDebt
ChapterH25:HTheHManyHDifferentHKindsHofHDebt
ChapterH26:HLeasing
ChapterH27:HManagingHRisk
ChapterH28:HInternationalHFinancialHManagementH
ChapterH29:HFinancialHAnalysis
ChapterH30:HFinancialHPlanning
ChapterH31:HWorkingHCapitalHManagement
ChapterH32:HMergers
ChapterH33:HCorporateHRestructuringH
,ChapterH34:HConclusion:HWhatHWeHDoHandHDoHNotHKnowHaboutHFinance
CHAPTERH1
IntroductionHtoHCorporateHFinance
TheHvaluesHshownHinHtheHsolutionsHmayHbeHroundedHforHdisplayHpurposes.HHowever,HtheHanswersHwereHd
erivedHusingHaHspreadsheetHwithoutHanyHintermediateHrounding.
AnswersHtoHProblemHSets
1. a. real
b. executiveHairplanes
c. brandHnames
d. financial
e. bonds
*f. investmentHorHcapitalHexpenditure
*g. capitalHbudgetingHorHinvestment
h. financing
*NoteHthatHfHandHgHareHinterchangeableHinHtheHquestion.
EstHtime:H01-05
2. AHtrademark,HaHfactory,HundevelopedHland,HandHyourHworkHforceH(c,Hd,He,HandHg)HareHallHrealHass
ets.HRealHassetsHareHidentifiableHasHitemsHwithHintrinsicHvalue.HTheHothersHinHtheHlistHareHfinancial
Hassets,H
thatHis,HtheseHassetsHderiveHvalueHbecauseHofHaHcontractualHclaim.
EstHtime:H01-05
3. a.
FinancialHassets,HsuchHasHstocksHorHbankHloans,HareHclaimsHheldHbyH investors.HC
orporationsHsellHfinancialHassetsHtoHraiseHtheHcashHtoHinvestHinHrealHassetsHsuchHasHpla
ntHandHequipment.HSomeHrealHassetsHareHintangible.
b. CapitalHexpenditureHmeansHinvestmentHinHrealHassets.HFinancingHmeansHraisingHtheH ca
shHforHthisHinvestment.
, c. TheHsharesHofHpublicHcorporationsHareHtradedHonHstockHexchangesHandHcanHbeHpurcha
sedHbyHaHwideHrangeHofHinvestors.HTheHsharesHofHcloselyHheldHcorporationsHareHnotH pub
liclyHtradedHandHareHheldHbyHaHsmallHgroupHofHprivateHinvestors.
d. UnlimitedHliability:HInvestorsHareHresponsibleHforHallHtheHfirm‘sHdebts.HAHsoleHproprietorH
hasHunlimitedHliability.HInvestorsHinHcorporationsHhaveHlimitedHliability.HTheyHcanHloseHth
eirHinvestment,HbutHnoHmore.
EstHtime:H01-05
