《财务管理》课程PPT教学课件（英文版）Chapter 01 An Introduction to Financial Management

Ch.1-An Introduction to Financial Management SAVINGS AND NESTMIENU ESTMENT 2002 Prentice Hall, Inc:

Ch. 1 - An Introduction to Financial Management © 2002, Prentice Hall, Inc

Goal of the Firm 1)Profit Maximization? this goal ignores a) timing of returns (Time Value of Money-Ch 5 b UNCERTAINTY of Returns (Risk-Ch 6

Goal of the Firm 1) Profit Maximization? this goal ignores: a) TIMING of Returns (Time Value of Money - Ch. 5) b) UNCERTAINTY of Returns (Risk - Ch. 6)

Goal of the Firm 2)Shareholder Wealth Maximization? this is the same as: a) Maximizing Firm value b) Maximizing Stock Price

Goal of the Firm 2) Shareholder Wealth Maximization? this is the same as: a) Maximizing Firm Value b) Maximizing Stock Price

Legal Forms of business 1) Sole Proprietorship a business owned by a single individual. Owner maintains title to the firm's assets Owner has unlimited lia bility 2)Partnership Similar to a sole proprietorship, except that there are two or more owners

Legal Forms of Business 1) Sole Proprietorship • A business owned by a single individual. • Owner maintains title to the firm’s assets. • Owner has unlimited liability. 2) Partnership • Similar to a sole proprietorship, except that there are two or more owners

Legal Forms of business 2a) General Partnership all partners have unlimited lia bility 2b) Limited Partnership Consists of one or more general partners, who have unlimited liability, and One or more limited partners (investors) whose liability is limited to the amount of their investment in the business

2a) General Partnership • All partners have unlimited liability. 2b) Limited Partnership • Consists of one or more general partners, who have unlimited liability, and • One or more limited partners (investors) whose liability is limited to the amount of their investment in the business. Legal Forms of Business

Legal Forms of business 3)Corporation a business entity that legally functions separate and apart from its owners Owners lia bility is limited to the amount of their investment in the firm Owners hold common stock certificates and ownership can be transferred by selling the certificates

3) Corporation • A business entity that legally functions separate and apart from its owners. • Owners’ liability is limited to the amount of their investment in the firm. • Owners hold common stock certificates, and ownership can be transferred by selling the certificates. Legal Forms of Business

The Corporation and Financial Markets

The Corporation and Financial Markets

The Corporation and Financial Markets Corporation

The Corporation and Financial Markets Corporation

The Corporation and Financial Markets Corporation Investors 回田

The Corporation and Financial Markets Corporation Investors

The Corporation and Financial Markets Corporation Investors 回田 Government

The Corporation and Financial Markets Government Corporation Investors