The “Principles of Corporate Finance” by Richard A. Brealey, Steward C. Myers and Franklin Allen is one of the recognized leaders among finance textbooks. It has earned tremendous loyalty as both a classroom tool and a professional reference work, for its blend
One of the many finance textbooks we tutor on: “Principles of Corporate Finance” by Brealy, Myers and Allen
of detailed analysis, comprehensive coverage, common sense and distinct sense of humor. Throughout the book the authors use numerous examples to demonstrate how managers apply financial theory, and show not only what managers do but also why they do it. The Principles of Corporate Finance text book acknowledges that finance theory is not perfect and is still being developed and outlines current controversies and different schools of thoughts on certain finance concepts still being debated by academicians in finance.
For practicing managers, the purpose of this textbook is based on a simple premise. In most cases, it is acceptable to learn from experience and to use time-tested rules of thumb. But what differentiates the best managers from the pack is their ability to respond to change. And to be able to do that, managers need to know why companies and financial markets behave the way they do, that is, they need to know the theory.
We provide finance tutoring to students using the text book “Principles of Corporate Finance” and “Fundamentals of Corporate Finance” by Richard A. Brealey, Steward C. Myers and Franklin Allen. Our tutors focus on helping students truly understand finance theory so they can apply it to decision making in their careers or personal lives confidently.
The Principles of Corporate Finance text book is not only a valued reference for thousands of practicing financial managers. It is also one of the most commonly used finance textbooks in top MBA programs, due to its unique ability to explain complex concepts quickly to students from a wide variety of professional backgrounds. The Principles of Corporate Finance text book can be used as a key learning tool throughout several courses, starting from Introduction to Finance, going into more advanced Corporate Finance topics, and as a valuable supplement for specialized courses such as Investments, Financial Statements Analysis and Mergers and Acquisitions.
“Fundamentals of Corporate Finance” by Richard A. Brealey, Steward C. Myers and Franklin Allen is another sibling text book to
One of the many finance textbooks we tutor on: “Principles of Corporate Finance” by Brealy, Myers and Allen
the “Principles of Corporate Finance” text book. There have been many books written by Richard A. Brealey and Steward C. Myers and the earliest ones I could find start from 1972 or 1973. Two books written by these authors in the 1970s include “Modern Developments in Investment Management: A Book of Readings” and “An Introduction to Risk and Return from Common Stocks”. The title “Principles of Corporate Finance” has been in print since atleast the early 1980s and has been updated frequently to reflect the latest developments in the world of finance.
Topics covered in the Principles of Corporate Finance Text
The Principles of Corporate Finance text book covers almost all areas of corporate finance under the following sections.
Value
- Finance and the financial manager
- Present values, the objectives of the firm, and corporate governance
- How to calculate present values
- The value of bonds and common stocks
- Why Net Present Value leads to better investment decisions than other criteria
- Making investment decisions with the Net Present Value Rule
Risk
- Introduction to risk, return and the opportunity cost of capital
- Risk and return
- Capital budgeting and risk
Practical Problems in Capital Budgeting
- A project is not a black box
- Strategy and the investment decision
- Agency problems, management compensation, and the measurement of performance
Financing Decisions in Capital Budgeting
- Corporate financing and the six lessons of market efficiency
- An overview of corporate financing
- How corporations issue securities
Payout Policy and Capital Structure
- Payout policy
- Does debt policy matter?
- How much should a firm borrow?
- Financing and valuation
Options
- Understanding options
- Valuing options
- Real options
Debt Financing
- Valuing government bonds
- Credit risk
- The many different kinds of debt
- Leasing
Risk Management
- Managing risk
- Managing international risks
Financial Planning and Working Capital
- Financial analysis and planning
- Working capital management
- Short-term financial planning
Mergers, Corporate Control and Governance
- Mergers
- Corporate restructuring
- Governance and corporate control around the world
Conclusion
- Conclusion: What we do and do not know about finance
The Authors of the Principles of Corporate Finance text book
The authors of the Principles of Corporate Finance text book are distinguished professionals and academicians.
Professor of finance at the London Business School. He is the former president of the European Finance Association and a former 
director of the American Finance Association. He is a fellow of the British Academy and has served as a special advisor to the Governor of the Bank of England and director of a number of financial institutions. Richard Brealey’s areas of research include topics in corporate finance, investment management, international finance, capital markets and intermediation. Richard A. Brealey’s other activities include being a director of the Swiss Helvetia Fund, deputy chairman of the Balancing and Settlement Code Panel, an Associate Editor of Journal of Applied Corporate Finance, an Advisory Editor for the Economic Notes and a member of Advisory Board of International Finance.
Gordon Y Billard Professor of Finance at MIT Sloan School of Management. He is a past president of the American Finance 
Association and a research associate of the National Bureau of Economic Research. His research has focused on financing decisions, valuation methods, the cost of capital, and financial aspects of government regulation of business. Dr. Myers is a director of The Brattle Group, Inc., and is active as a financial consultant. Myers’ research is focused on the valuation of real and financial assets, corporate financial policy, and the financial aspects of government regulation of business. Stewart Myers’ research papers on topics like adjusted present value, rate of return regulation, pricing and capital allocation in insurance, real options, and moral hazard and information issues in capital structure decisions have influenced the growth of finance theory over the last few decades.
Franklin Allen received his DPhil and MPhil from the University of Oxford in 1980 and 1979 respectively. He received his undergraduate degree from
the University of East Anglia in 1977. Franklin Allen is the Nippon Life Professor of Finance at the Wharton School of the University of Pennsylvania. He is past president of the American Finance Association, Western Finance Association and Society for Financial Studies. Allen does a lot of research in financial innovation, asset price bubbles, comparing financial systems and more recently the financial crises. He is a scientific adviser at the Sveriges Riksbank (Sweden’s central bank).
Email care@graduatetutor.com or call us or simply fill out the sign up form below to start live one-on-one finance tutoring using the Principles of Corporate Finance text book.