投资评估基础 英文版PDF电子书下载

Introduction 1

The nature of investment decisions 1

The decision process 2

Investment decision making　 4

Technology and investment decision making 9

Summary 10

Notes 10

Quickie questions 11

Wealth maximation and the company 12

1 Corporate objectives,management objectives and corporate governance 12

ContentsPreface　 13

Ownership and control 14

Regulation of the relationships between directors and shareholders 14

Incentive schemes 20

Conclusion 23

Summary 24

Further reading 25

Notes 25

Quickie questions 26

Problems 26

2 Strategic planning and the finance function 27

Introduction 27

Strategic business planning 28

Competetive analysis 30

Investment and financing strategy 31

The role of financial management 32

The firm in the economy 35

Risk and return 37

Summary 38

Notes 39

Further reading 39

Quickie questions 39

Problems 40

Introduction 41

3 Traditional methods of investment appraisal 41

The payback method 42

The return on capital employed 48

Summary 52

Notes 53

Further reading 55

Quickie questions 55

Problems 56

Introduction to the model 58

4 The single-period investment consumption decision model 58

The time value of money 60

The basic graphical analysis 61

Introduction of capital markets 63

Payback and ROCE 70

Summary 70

Notes 71

Problem 74

Quickie questions 74

Further reading 74

5 The discounted cash flow approach 76

Net present value 76

Alternative interpretations of NPV 82

Internal rate of return 86

Discounted payback 92

Truncated NPV 93

Summary 93

Appendix:compounding and discounting 94

Notes 98

Further reading 99

Quickie questions 99

Problems 100

6 Net present value and internal rate of return developed 103

NPV and project interdependence 103

NPV and mutually exclusive projects 103

IRR rule and interdependent projects 107

Extending the time horizon 116

Multiple IRRs 117

The modified IRR 122

The replacement cycle problem 124

Notes 128

Further reading 129

Quickie questions 129

Problems 130

7 Project appraisal cash flows 132

Investment appraisal and inflation 132

Investment appraisal and taxation 138

Financing cash flows 139

Investment appraisal and the relevant cash flow 143

Summary 147

Appendix:the UK corporate tax system 148

Notes 148

Further reading 149

Quickie questions 150

Problems 150

Capital rationing 154

8 Capital market imperfections 154

Single-period capital rationing 158

Multi-period capital rationing 163

Lend-borrow interest differentials 173

Appendix:linear programming 177

Notes 178

Further reading 179

Quickie questions 180

Problems 180

Introduction to uncertainty 183

9 Uncertainty,risk,diversification and returns 183

Accepting more risks means expecting better returns 184

Dealing with risk 186

Unique and market risk 187

The Capital Asset Pricing Model and Beta 189

Summary 194

Apppendix 195

Further reading 196

Note 196

Quickie questions 197

Problems 197

10 Traditional and technological approaches to risk 199

Introduction 199

Expected net present value 199

The abandonment decision 206

Sensitivity analysis 210

Non-annuity cash flows 212

The risk-adjusted discount rate 214

Use of the normal distribution 217

Simulation 219

A comparison of the approaches 220

Summary 221

Further reading 222

Quickie questions 223

Problems 223

Inroduction 228

11 Overseas capital investments 228

The project cash flows 230

The Project discount rate 233

Translation risk 239

Economic risk 242

Country/political risk 245

Management charges and transfer pricing 246

Summary 247

Notes 248

Further reading 248

Quickie questions 249

Problems 249

TablesCompounding and discount tables(including mid-point discount tables) 251

Atea under the normal curve 255

Natural logarithms 256

Answers to quickie questions 257

Index 271