Corporate finance focuses on how companies make financial decisions to maximize value for shareholders. It involves managing capital, evaluating investment opportunities, analyzing risk, and optimizing funding sources. Students encounter corporate finance at both undergraduate and graduate levels, often as part of business administration, MBA, and finance programs.
What Is Corporate Finance?
- Investment decisions: capital budgeting and project evaluation
- Financing decisions: debt vs. equity structures
- Dividend decisions: cash, stock, and repurchases
- Short-term and long-term financial planning
- Risk and return trade-offs in investments
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