Why as a Finance Major do you have to understand corporate finance? why should every finance...

Why as a Finance Major do you have to understand corporate finance? why should every finance student know this course?

Expert Solution

Finance majors develop analytical skills in order to dissect financial statements and appraise the financial standing of companies, municipalities, and other entities. They can assess the quantitative and qualitative dimensions of business problems and evaluate the financial implications of corporate and individual actions.

Corporate finance refers to the financial activities of a private business. Finance professionals analyze revenue and expenses to contribute to the effective use of capital. They also advise managers about project costs, make capital investments, and structure acquisitions to help companies grow.

Corporate Finance actually accounts through foresight for managing sources and funds to enable the best returns on shareholder assets both for the long and short terms.

One must learn a bit about the importance of corporate finance and its scope to appreciate its importance. Corporate finance has well-defined phases of operation.

These are

1. The Planning of finances stage.

2. The capital raising stage.

3. The investments stage.

4. Risk management and financial monitoring.

jeff jeffy answered 2 hours ago

Do you think physicians should have unions? Why or why not?

how do you determine production cost in corporate finance

why does a corporate must understand corporate mission and vision in developing corporate policy?

Explain why Finance and HR should have a close working relationship.

Major concepts with which you should have some familiarity include: FINANCE Financial instrument types (e.g., stocks,...

Major concepts with which you should have some familiarity include: FINANCE Financial instrument types (e.g., stocks, bonds) and pricing concepts Financial ratio interpretation Financial criteria for evaluating projects (e.g., cash flows, NPV, payback period, etc.) Valuation of stocks and bonds Break-even – term and applicatio Goals of the corporation Market beta and risk analysis Benchmarking

Corporate Finance management - MBA why do we need to analyze the financial statement of companies?

Why do finance managers need to understand different existing options in merger deals and financial reporting...

Why do finance managers need to understand different existing options in merger deals and financial reporting of the mergers? What implications do these concepts have for corporate finance?

You are an intern for the corporate finance office of SCF, Inc. and have been tasked...

You are an intern for the corporate finance office of SCF, Inc. and have been tasked to evaluate the following potential investment projects: Project A: Initial cash outflow of $96 million followed by cash inflows of $23 million per year for the next 10 years. Project B: Initial cash outflow of $22 million followed by cash inflows for the next 10 years, starting at $5 million next year and growing at an annual rate of 3%. Project C: Initial cash...

Explain why the establishment of a futures market in a commodity should not have a major...

Explain why the establishment of a futures market in a commodity should not have a major impact on prices in the spot market for that commodity.

Discuss the benefits of any or all of the major financial statements used in corporate finance....

Discuss the benefits of any or all of the major financial statements used in corporate finance. These statements include the balance sheet, income statement and statement of cash flows. Explain how you would use these statements to plan for the budget in the next fiscal year.

Question