6 terms

engr 111 week 1

Chapter 1 1.1 What is Corporate Finance 1.2 The Corporate Firm 1.3 The Importance of Cash Flows 1.4 The Goal of Financial Management 1.5 The Agency Problem and Control of the Corporation Chapter 2 2.1 The Balance Sheet

Terms in this set (...)

capital budgeting
the process of making and managing expenditures on long-lived assets
capital structure
the proprotions of the firm's financing from current and long-term debt and eq;uity
agenccy problem
conflict of interest between the principal and the agent
net working capital
current assets minus current liabilities
goal of financial management
maximize current value per share of the existing stock
Balance Sheet Identity
Assets ≡ Liabilities + Stockholder's Equity