Herbst, Anthony F. Capital Asset Investment Strategy, Tactics and Tools Wiley Finance Series
1. Edition October 2002 122.- Euro 2002. 334 Pages, Hardcover ISBN 978-0-470-84511-0 - John Wiley & Sons
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Short description This book ties together the theory, quantitative methods, and applications of capital budgeting. It provides a balanced treatment of the different approaches to capital project evaluation the author explores both the strengths and weaknesses of various project selection methods.
From the contents Preface.
Introduction: the big picture, environment, terminology, and preview.
The objective of capital budgeting.
Estimating basic project characteristics.
Cost of capital.
Traditional methods that ignore time-value of money.
Traditional methods that recognize time-value of money: the net present value.
Traditional methods that recognize time-value of money: the internal rate of return.
Reinvestment rate assumptions for NPV and IRR and conflicting rankings.
The MAPI method.
The problem of mixed cash flows:I.
The problem of mixed cash flows:II.
Leasing.
Leveraged leases.
Alternative investment measures.
Project abandonment analysis.
Multiple project capital budgeting.
Utility and risk aversion.
Single project analysis under risk.
Multiple project selection under risk: computer simulation and other approaches.
Multiple project selection under risk: portfolio approaches.
The capital asset pricing model.
Multiple project selection under risk.
Real options.
Appendix: Financial mathematics tables and formulas.