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Contents
Introduction
Helping you to pass v
Introduction to the Essential reading vii
Introduction to Financial Management (FM) ix
Essential skills areas to be successful in Financial Management xiii
1 Financial management function 1
2 Financial management environment 21
3 Working capital investment 41
4 Cash management and working capital finance 73
Skills checkpoint 1 93
5 Investment decision 101
6 Allowing for tax, working capital and inflation 127
7 Project appraisal and risk 149
8 Specific investment decisions 163
Skills checkpoint 2 181
9 Sources of finance 189
10 Dividend policy 209
11 The cost of capital 221
12 Capital structure 249
Skills checkpoint 3 271
13 Business valuations 279
Skills checkpoint 4 303
14 Foreign currency risk 311
15 Interest rate risk 339
Skills checkpoint 5 357
Essential Reading
Financial management function 359
Financial management environment 371
Working capital investment 379
Cash management and working capital finance 392
Investment decision 397
Allowing for tax, working capital and inflation 408
Project appraisal and risk 412
C 416
HB2022
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