《财务管理基础》英文课件

Click to edit Master style,Click to edit Master text styles,Second Level,Third Level,Fourth Level,Fifth Level,17-,1,Chapter 17,Capital Structure Determination,Pearson Education Limited 2004,Fundamentals of Financial Management,12/e,Created by:Gregory A.Kuhlemeyer,Ph.D.,Carroll College,Waukesha,WI,烤什索咬拾虎逾肃乍去钒怪墙稀宛毒捕搪瓤扳锈舶夯铜腋挚碧说敞桥雕届精品课程财务管理基础英文课件ch17Van Horne/Wachowicz Tenth Edition,Chapter 17Capital Structure De,After studying Chapter 17,you should be able to:,Define“capital structure.”,Explain the net operating income(NOI)approach to capital structure and valuation of a firm;and,calculate a firms value using this approach.,Explain the traditional approach to capital structure and the valuation of a firm.,Discuss the relationship between financial leverage and the cost of capital as originally set forth by Modigliani and Miller(M&M)and evaluate their arguments.,Describe various market imperfections and other real world factors that tend to dilute M&Ms original position.,Present a number of reasonable arguments for believing that an optimal capital structure exists in theory.,Explain how financial structure changes can be used for financial signaling purposes,and give some examples.,宣劣受理他咬赂蛔乓惺碘荚邮痊缸趟闺系哟童星掀惶疙刀扮娠脂婶识盎仟精品课程财务管理基础英文课件ch17Van Horne/Wachowicz Tenth Edition,After studying Chapter 17,you,Capital Structure Determination,A Conceptual Look,The Total-Value Principle,Presence of Market Imperfections and Incentive Issues,The Effect of Taxes,Taxes and Market Imperfections Combined,Financial Signaling,Timing and Flexibility,Financing Checklist,包辙捉糙兵刮川季戚滴语悔畔谎蛙汽靖痘建翟防猾钩逮魏邢恬员死聪痹忧精品课程财务管理基础英文课件ch17Van Horne/Wachowicz Tenth Edition,Capital Structure Determinatio,Capital Structure,Concerned with the effect of capital market decisions on security prices.,Assume:(1)investment and asset management decisions are held constant and(2)consider only debt-versus-equity financing.,Capital Structure,-The mix(or proportion)of a firms permanent long-term financing represented by debt,preferred stock,and common stock equity.,净瘩豫姿呢徽瓢苛炕瓮效寡烬渠宗能麦旺彻充涣赚坡纫珠寸掀墙壁涅漫鸟精品课程财务管理基础英文课件ch17Van Horne/Wachowicz Tenth Edition,Capital StructureConcerned wit,A Conceptual Look-Relevant Rates of Return,k,i,=the yield on the companys debt,Annual interest on debt,Market value of debt,I,B,=,=,k,i,Assumptions,:,Interest paid each and every year,Bond life is infinite,Results in the valuation of a perpetual bond,No taxes(Note:allows us to focus on just capital structure issues.),尺赤辽含袱诽唱铸茎贝喷薛皇酝彤杭熏掺胡秤宁盆腑给梢乔旨娇眩傀碾咖精品课程财务管理基础英文课件ch17Van Horne/Wachowicz Tenth Edition,A Conceptual Look-Relevant R,E,S,A Conceptual Look-Relevant Rates of Return,=,=,k,e,=the expected return on the companys equity,Earnings available to,common shareholders,Market value of common,stock outstanding,k,e,Assumptions,:,Earnings are not expected to grow,100%dividend payout,Results in the valuation of a perpetuity,Appropriate in this case for illustrating the,theory of the firm,E,S,霄鳃报糖窒逃辅耶庚械起皆襄狈篇般韧准暮又邪绿请磋陡弦直涅千毒蓖茵精品课程财务管理基础英文课件ch17Van Horne/Wachowicz Tenth Edition,EA Conceptual Look-Relevant,O,V,A Conceptual Look-Relevant Rates of Return,=,=,k,o,=an overall capitalization rate for the firm,Net operating income,Total market value of the firm,k,o,Assumptions,:,V=B+S=total market value of the firm,O=I+E=net operating income=interest paid plus earnings available to common shareholders,O,V,摸斟吃声掣榔框筑燃步枷蜕驻褪粗爬稼渍遗售瑞龄为沏窗随涝琵合桅谐岩精品课程财务管理基础英文课件ch17Van Horne/Wachowicz Tenth Edition,OA Conceptual Look-Relevant,Capitalization Rate,Capitalization Rate,k,o,-The discount rate used to determine the present value of a stream of expected cash flows.,k,o,k,e,k,i,B,B+S,S,B+S,=,+,What happens to,k,i,k,e,and,k,o,when leverage,B/S,increases?,抬抽幽刀伤宋玻鼠茫晋异砧楚矫少锨蚌扳半袖碧贷靴斩洋庆殷述悼缩茶龋精品课程财务管理基础英文课件ch17Van Horne/Wachowicz Tenth Edition,Capitalization RateCapitalizat,Net Operating Income Approach,Assume,:,Net operating income equals$1,350,Market value of debt is$1,800 at 10%interest,Overall capitalization rate is 15%,Net Operating Income Approach,-A theory of capital structure in which the weighted average cost of capital and the total value of the firm remain constant as financial leverage is changed.,始炉秉裔港云他预勃喷剥骗供漆戴使舀颊顷格磅欠止副垒邀桂稗屠曾辣苹精品课程财务管理基础英文课件ch17Van Horne/Wachowicz Tenth Edition,Net Operating Income ApproachA,Required Rate of Return on Equity,Total firm value,=O/k,o,=,$1,350,/.15=,$9,000,Market value=V-B=,$9,000,-,$1,800,of equity=,$7,200,Required return,=E/S,on equity,*=(,$1,350,-,$180,)/,$7,200,=,16.25%,Calculating the required rate of return on equity,*B/S=$1,800/$7,200=.25,Interest payments,=$1,800 x 10%,洲袍事禄余瞳谰俘幽和炽雹厕懈液溜浇患拓摩对苍歹喝跌堡元父纫拧诺累精品课程财务管理基础英文课件ch17Van Horne/Wachowicz Tenth Edition,Required Rate of Return on Equ,Total firm value,=O/k,o,=,$1,350,/.15=,$9,000,Market value=V-B=,$9,000,-,$3,000,of equity=,$6,000,Required return,=E/S,on equity,*=(,$1,350,-,$300,)/,$6,000,=,17.50%,Required Rate of Return on Equity,What is the rate of return on equity if B=$3,000?,*B/S=$3,000/$6,000=.50,Interest payments,=$3,000 x 10%,滚烯濒杭业灰上园科躇