财务管理总结 英文

英文 考试

1. Maximizing a firm’s earnings after taxes. Problems

Could increase current profits while harming firm (e.g., defer maintenance, issue common stock to buy T-bills, etc.).

Ignores changes in the risk level of the firm. 2. Maximizing earnings after taxes divided by shares outstanding.

Does not specify timing or duration of expected returns.

Ignores changes in the risk level of the firm. Calls for a zero payout dividend policy. 3. Market value of all of assets

Principals must provide incentives so that management acts in the principals’ best interests

Incentives include, stock options（股票期权）, perquisites（额外所得）, and bonuses（奖金红利）。

4. Wealth maximization does not preclude the firm from being socially responsible. Protecting the consumer

Paying fair wages to employees

Maintaining safe working conditions Supporting education

Protecting environmental issues Corporate Governance

Corporate governance: represents the system by which corporations are managed and controlled.

Includes shareholders, board of directors, and senior management. 公司组织形式： ：Advantages：Simplicity， Low setup cost，Quick set up，Single tax filing on individual form。Disadvantages：Unlimited liability，Hard to raise additional capital，Transfer of ownership difficulties，

Can be simple，Low setup cost, higher than sole proprietorship，Relatively quick setup，Limited liability for limited partners。Disadvantages：Unlimited liability for the general partner，Difficult to raise additional capital, but easier than sole proprietorship，Transfer of ownership difficulties Corporations Advantages：Limited liability，Easy transfer of ownership，Unlimited life，Easier to raise large quantities of capital

Disadvantages：Double taxation，More difficult to establish ，More expensive to set up and maintain。

General Partnership -- all partners have unlimited liability and are liable for all obligations of the partnership.

imited Partnership -- limited partners have liability limited to their capital contribution (investors only). At least one general partner is required and all general partners have unlimited liability.

Interest paid (earned) on only the original amount, or principal（本金）, borrowed (lent). Interest paid (earned) on any previous interest earned, as well as on the principal borrowed (lent).

An Annuity represents a series of equal payments (or receipts) occurring over a specified number of equidistant periods Ordinary Annuity（普通年金）: Payments or receipts occur at the end of each period.

Annuity Due（即付年金）: Payments or receipts occur at the beginning of each period.

英文 考试

Student Loan Payments Car Loan Payments Insurance Premiums Mortgage Payments Retirement Savings

of a present amount of money, or a series of payments, evaluated at a given interest rate. amount of money, or a series of payments, evaluated at a given interest rate.

When interest rates rise, then the market required rates of return rise and bond prices will fall.

L清算价值）represents the amount of money that could be realized if an asset or group of assets is sold separately from its operating organization.

续经营价值）represents the amount a firm could be sold for as a continuing operating business.

represents either (1) an asset: the accounting value of an asset -- the asset’s cost minus its accumulated depreciation;

(2) a firm: total assets minus liabilities and preferred stock as listed on the balance sheet. represents the market price at which an asset trades.

represents the price a security “ought to have” based on all factors bearing on valuation.

A bond is a long-term debt instrument issued by a corporation or government.

[or face value，面值] of a bond is the stated value. In the case of a U.S. bond, the face value is usually $1,000. is a type of stock that promises a (usually) fixed dividend, but at the discretion of the board of directors.

Preferred Stock has preference over common stock in the payment of dividends and claims on assets.

epresents a residual ownership position in the corporation.

Cost of Capital is the required rate of return on the various types of financing. The overall cost of capital is a weighted average of the individual required rates of return (costs). 1. Weighting System Marginal Capital Costs Capital Raised in Different Proportions than WACC

2. Flotation Costs are the costs associated with issuing securities such as underwriting, legal, listing, and printing fees. a. Adjustment to Initial Outlay b. Adjustment to Discount Rate 1Transactions Motive（交易动机） -- to meet payments arising in the ordinary course of business2 Speculative Motive（投机动机） -- to take advantage of temporary opportunities 3 Precautionary Motive（预防动机）-- to maintain a cushion or buffer to meet unexpected cash needs

英文 考试

：The variability in the market price of a security caused by changes in interest rates.

2 Maturity：Refers to the remaining life of the security.

3 Safety：Refers to the likelihood of getting back the same number of dollars you originally invested (principal).

：The ability to sell a significant volume of securities in a short period of time in the secondary market without significant price concession. 1 Character – willingness to meet financial obligations

2 Capacity – ability to meet financial obligations out of operating cash flows 3 Capital – financial reserves（储备） 4 Collateral – assets pledged as security

5 Conditions – general economic conditions related to customer’s business

Strengths:

1 Easy to use and understand 2Can be used as a measure of liquidity 3Easier to forecast ST than LT flows Weaknesses:

1Does not account for …… 此处隐藏：5622字，全部文档内容请下载后查看。喜欢就下载吧 ……