上海交通大学：《财务管理》教学资源（PPT课件，英文版）Final Review（Chapter 1 - Chapter 21）

Chapter 1 Introduction to Financial Management 0

0 Chapter 1 Introduction to Financial Management

Chapter Outline Finance:A Quick Look Business Finance and The Financial Manager Forms of Business Organization The Goal of Financial Management The Agency Problem and Control of the Corporation Financial Markets and the Corporation

1 Chapter Outline n Finance: A Quick Look n Business Finance and The Financial Manager n Forms of Business Organization n The Goal of Financial Management n The Agency Problem and Control of the Corporation n Financial Markets and the Corporation

Financial Management Decisions Capital budgeting 口 What long-term investments or projects should the business take on? Capital structure 0 How should we pay for our assets? Should we use debt or equity? Working capital management How do we manage the day-to-day finances of the firm?

2 Financial Management Decisions n Capital budgeting q What long-term investments or projects should the business take on? n Capital structure q How should we pay for our assets? q Should we use debt or equity? n Working capital management q How do we manage the day-to-day finances of the firm?

Hypothetical Organization Chart Board of Directors Chairman of the Board and Chief Executive Officer(CEO) President and Chief Operating Officer(COO) Vice President and Chief Financial Officer(CFO) Treasurer Controller Cash Manager Credit Manager Tax Manager Cost Accounting Capital Expenditures Financial Planning Financial Accounting Data Processing 3

3 Hypothetical Organization Chart Chairman of the Board and Chief Executive Officer (CEO) Board of Directors President and Chief Operating Officer (COO) Vice President and Chief Financial Officer (CFO) Treasurer Controller Cash Manager Capital Expenditures Credit Manager Financial Planning Tax Manager Financial Accounting Cost Accounting Data Processing

Chapter 2 Financial Statements,Taxes,and Cash Flow 4

4 Chapter 2 Financial Statements, Taxes, and Cash Flow

Chapter Outline The Balance Sheet The Income Statement Taxes Cash Flow 5

5 Chapter Outline n The Balance Sheet n The Income Statement n Taxes n Cash Flow

Taxes The one thing about taxes we can rely on is that they will always be changing Marginal vs.average tax rates Marginal-the percentage paid on the next dollar earned Average-the tax bill taxable income Other taxes 6

6 Taxes n The one thing about taxes we can rely on is that they will always be changing n Marginal vs. average tax rates q Marginal – the percentage paid on the next dollar earned q Average – the tax bill / taxable income n Other taxes

Corporate Tax Rates Taxable Income Tax Rate $ 0- 50,000 15% 50,001- 75,000 25 75,001- 100,000 34 100,001- 335,000 39 335,001-10,000,000 34 10,000,001-15,000,000 35 15,000,001-18,333,333 38 18,333,334+ 34 7

7 Corporate Tax Rates Taxable Income Tax Rate $ 0- 50,000 15% 50,001- 75,000 25 75,001- 100,000 34 100,001- 335,000 39 335,001- 10,000,000 34 10,000,001- 15,000,000 35 15,000,001- 18,333,333 38 18,333,334+ 34

Cash Flow From Assets Cash Flow From Assets Operating Cash Flow Net Capital Spending Changes in NWC OCF (I/S)=EBIT depreciation-taxes NCS B/S and I/S)=ending net fixed assets 一 beginning net fixed assets depreciation Changes in NWC (B/S)=ending NWC- beginning NWC 8

8 Cash Flow From Assets n Cash Flow From Assets = Operating Cash Flow – Net Capital Spending – Changes in NWC q OCF (I/S) = EBIT + depreciation – taxes q NCS ( B/S and I/S) = ending net fixed assets – beginning net fixed assets + depreciation q Changes in NWC (B/S) = ending NWC – beginning NWC

Cash Flow to Investors CF to Creditors (B/S and I/S)=interest paid net new borrowing CF to Stockholders(B/S and I/S)= dividends paid -net new equity raised 9

9 Cash Flow to Investors n CF to Creditors (B/S and I/S) = interest paid – net new borrowing n CF to Stockholders (B/S and I/S) = dividends paid – net new equity raised