FINANCIAL MANAGEMENT

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FINANCIAL MANAGEMENT

• INTRODUCTION

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WHAT YOU WILL LEARN IN THIS COURSE

• Highly-paid CEOs (might) deserve the money.
• Steve Jobs is staying. The charismatic Jobs, who
  came to the rescue of Apple Computer AAPL in
  1997, said he's staying as permanent chief. "I'm
  going to be dropping the 'interim' title Jobs
  told throngs of Apple loyalists at the Macworld
  Expo in San Francisco. Investors, who've seen the
  stock rise past 100 from a low of 12, were also
  cheering. Shares of Apple climbed another 1 13/16
  to 104 5/16 on the announcement.
• Source Money Daily, January 5th

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WHAT YOU WILL LEARN IN THIS COURSE

• Highly-paid CEOs (might) deserve the money.

• Junk bonds are good.
• Financial markets and the TANSCTANFL rule.
• How to value a company (and where to find the
  information needed to do so).
• How to make good financial decisions.

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SHAREHOLDER VALUE AND MANAGEMENTS ROLE

• At the Coca-Cola Company, our publicly stated
  mission is to create value over time for the
  owners of our business. In fact in our society,
  that is the mission of any business.
• While a healthy company can have a positive and
  seemingly infinite impact on others, a sick
  company . . . cannot sustain jobs . . . cannot
  serve customers . . . cannot give to
  philanthropic causes.
• Roberto Goiuzeta, former Chairman and CEO
• The Coca-Cola Company

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• What is a good financial decision?
• Finance - The Science of Valuation
• Cash Flows and Value
• Investor Rationality and Firm Financial Decisions
• The Types of Decisions in Finance
• Cash Flows and the Black Box Model
• How Do We Tell a Good Decision from a Bad One?
• The Bottom Line in Finance

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ORGL FORMS AND FIRM GOALS

• Sole Proprietorship
• Advantages
• Disadvantages
• Goal
• Partnership
• Advantages
• Disadvantages
• Goal
• Corporation
• Advantages
• Disadvantages
• Goal