Topics include information, interest rates, risk-return relationships, efficient markets, diversification, portfolio performance measurement, and the application of financial theory to investment decisions. Capital budgeting and the determination of the cost of capital to the firm. Special study for advanced undergraduates. Financial and economic aspects of corporate mergers, restructuring, downsizing, and bankruptcy are examined. Relations between corporate structure and performance are investigated.
Specific attention is paid to the roles of top management and boards of directors.
Special issues relating to privatization and restructuring in former socialist economies are studied.