This course studies Corporate Finance theory, i.e., how a firm should decide on its (i) capital structure (how to raise capital) and (ii) capital budgeting (how to select investment projects). It also investigates how the firm should set its (iii) payout policy (how to return profits to shareholders); what it should do to prepare for potential (iv) mergers and acquisitions; how to (v) hedge and manage risk; and whether and when (vi) it should become publicly listed on a stock exchange.

Pre-requisites: Finance I