16-1 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall Chapter 16 Managing Finances
16-2 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall Learning Objectives After reading this chapter, you should be able to: Explain the concept of the time value of money and the principle of compound growth. Identify the investment opportunities offered by mutual funds and exchange-traded funds. Describe the role of securities markets and identify the major stock exchanges and stock markets.
16-3 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall Learning Objectives After reading this chapter, you should be able to: Describe the risk-return relationship and discuss the use of diversification and asset allocation for investments. Describe the various ways that firms raise capital and identify the pros and cons of each method. Identify the reasons a company might make an initial public offering of its stock and explain how stock value is determined. Explain how securities markets are regulated.
16-4 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall Maximizing Capital Growth
16-5 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall The Time Value of Money
16-6 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall The Rule of …
16-7 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall Common Stock
16-8 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall Mutual Funds and Exchange-Traded Funds
16-9 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall The Securities and Exchange Commission
16-10 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall The Business of Trading Securities
16-11 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall Stock Exchanges
16-12 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall Non-Exchange Trading: Electronic Communication Networks
16-13 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall Individual Investor Trading
16-14 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall Tracking the Market Using Stock Indexes
16-15 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall The Risk-Return Relationship
16-16 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall Fantasy Stock Markets
16-17 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall Reducing Risk with Diversification and Asset Allocation
16-18 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall Financing the Business Firm
16-19 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall Secured Loans for Equipment
16-20 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall Working Capital and Unsecured Loans from Banks
16-21 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall Angel Investors and Venture Capital
16-22 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall Sale of Corporate Bonds
16-23 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall Becoming a Public Corporation
16-24 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall Going Public Means Selling Off Part of the Company
16-25 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall Stock Valuation
16-26 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall Market Capitalization
16-27 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall Choosing Equity Versus Debt Capital
16-28 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall Debt Financing
16-29 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall Pros and Cons for Equity Financing
16-30 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall Regulations Against Insider Trading
16-31 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall Summary of Learning Objectives
16-32 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall