Complete the following Reflective Practice exercise in your Journal to consolidate your learning. When reflecting on your learning, summarise the key topic from this weeks lessons and consider:
Capital budgeting methodologies
NPVprimary decision criteria
Incremental cash flows
Inflation and capital budgeting
Cash flow of the firm.
Reading:
Ross, S., Westerfield, R., & Jaffe, B. (2022) Corporate Finance (13th Edition).McGraw-Hill Education. ISBN13: 9781260772388:
“Chapter 2: Financial Statements and Cash Flow”, pp. 27-31.
“Chapter 3: Financial Statements Analysis and Financial Models”, pp. 42-59.
“Chapter 5: Net Present Value and Other Investment Rules”, pp. 133-157.
“Chapter 6: Making Capital Investment Decisions”, pp. 169-181, pp. 187 – 192.