1. The Corporation and Financial Markets
2. Introduction to Financial Statement Analysis
3. Financial Decision Making and the Law of One Price

1. The Time Value of Money
2. Interest Rates
3. Valuing Bonds

1. Investment Decision Rules
2. Fundamentals of Capital Budgeting
3. Valuing Stocks

1. Capital Markets and the Pricing of Risk
2. Optimal Portfolio Choice and the Capital Asset Pricing Model
3. Estimating the Cost of Capital
4. Investor Behavior and Capital Market Efficiency

1. Capital Structure in a Perfect Market
2. Debt and Taxes
3. Financial Distress, Managerial Incentives, and Information
4. Payout Policy

1. Capital Budgeting and Valuation with Leverage
2. Valuation and Financial Modeling: A Case Study

1. Financial Options
2. Option Valuation
3. Real Options

1. Raising Equity Capital
2. Debt Financing
3. Leasing

1. Working Capital Management
2. Short-Term Financial Planning

1. Mergers and Acquisitions
2. Corporate Governance
3. Risk Management
4. International Corporate Finance

A Methodology that connects theory to practice

• The Law of One Price is used as a framework, unifying what might appear to students as disparate topics.
• Options for Teaching Risk and Return are introduced in chapter 3 allowing it to be used in early chapters.
• Study aids with a practical focus allow students to master the core concepts and learn to solve modern problems.

Built-in tools to encourage students to 'think finance'

• Personal Finance examples demonstrate how to apply managerial finance concepts, tools, and techniques to personal decisions.
• Common Mistakes boxes alert students to frequently made mistakes.
• Worked examples accompany every important concept using a step-by-step procedure that models the solution and process.

Authors Jonathan Berk and Peter DeMarzo shared useful tips on how to keep finance students engaged and spoke more about the interactive tools available with the textbook's new edition.

The webinar also focused on "clearing the air" regarding common misconceptions amongst students, which could impact their engagement and understanding with the subject, encouraging them to experiment with visualisation data to deepen their understanding of the subject.

Read our blog post "Bringing learning to life via interactive finance tools" for more information and watch the YouTube video of the webinar.

Updated material and added features enhance student engagement with the subject.

• General Interest boxes highlight timely material from financial publications regarding business problems, real-company practices, and the latest tax rates.
• Chapter-Opening notation boxes define the variables and acronyms used in the chapter and serve as a 'legend' for students' reference.
• Concept Check questions at the end of each section enable students to test their understanding and target areas for further review.

Additional business scenarios and interviews with notable practitioners help students understand real-world practice.

• DataCases present in-depth business scenarios with questions to guide student analysis. Many questions involve the use of Internet resources and Excel. Cases on bitcoin, JMP, and more have been added to the 5th Edition.
• Six interviews with notable practitioners, such as Janet Yellen, Susan Athey, and Anne Martin, address the effects of the financial crisis and the ongoing European sovereign debt crisis.
• Berk and DeMarzo introduce recent advances in financial research, data, events, and technologies, including fintech, cryptocurrencies, blockchain, and capital budgeting.