Pike Robert, Neal Bill. Corporate finance and investment: decisions and strategy
Подождите немного. Документ загружается.
.
References
3i Making an Acquisition.
3i (1993), Dividend Policy, April.
Altman, E.I. (1968) ‘Financial Ratios, Discriminant
Analysis and the Prediction of Corporate Bankruptcy’,
Journal of Finance, September.
Andersen, J.A. (1987) Currency and Interest Rate Hedging
(Prentice Hall).
Andrade, G. and S.N. Kaplan (1998) ‘How Costly is
Financial (not Economic) Distress? Evidence from
Highly-Leveraged Transactions that became Distressed’,
Journal of Finance, Vol. 53, October, pp. 1443–93.
Andrews, G.S. and C. Firer (1987) ‘Why Different
Divisions Require Different Hurdle Rates’, Long Range
Planning, October.
Ang, J. and P.P. Peterson (1984) ‘The Leasing Puzzle’,
Journal of Finance, Vol. 39, No. 4, pp. 1055–65.
Arnold, G. and P. Hatzopoulos (2000) ‘The theory-
practice gap in capital budgeting: evidence from the
United Kingdom’, Journal of Business Finance &
Accounting, June/July, pp. 603–26.
Ashkenas, R., L.J. De Monaco and S.C. Francis (1998)
‘Making the Deal Real: How GE Capital Integrates
Acquisitions’, Harvard Business Review, Vol. 76, No. 1,
January–February, pp. 165–78.
Ashton, D and Acker D (2003) ‘Establishing Bounds on
the Tax Advantage of Debt’, British Accounting Review
Vol 35, No. 4, December pp. 385–399.
Ball, J. (1991) ‘Short Termism—Myth or Reality’,
National Westminster Bank Quarterly Review, August.
Ball, R. and Brown (1968) ‘An empirical evaluation of
accounting income numbers’, Journal of Accounting
Research, Autumn, pp. 159–78.
Bank for International Settlements (2004) ‘Triennial
Central Bank Survey of Foreign Exchange and
Derivatives Market Activity in April 2004’ (www.bis.org).
Bank of England (1988) ‘Share Repurchase by Quoted
Companies’, Quarterly Bulletin, August.
Bank of England (1994) ‘Investment Appraisal Criterion
and the Impact of Low Inflation’, Quarterly Bulletin,
August.
Bank of England (2004) Finance for small firms (Bank of
England).
Barber, B. and Odean, T. (2000) ‘Trading is Hazardous
to Your Wealth: The Common Stock Investment
Performance of Individual Investors’, Journal of Finance (2)
pp. 773–806.
Barclay, M.J., C.W. Smith and R.L. Watts (1995) ‘The
Determinants of Corporate Leverage and Dividend
Policies’, Journal of Applied Corporate Finance, Winter.
Barwise, P., Marsh, P. and R. Wersley, (1989) ‘Must
Finance and Strategy Clash?’ Harvard Business Review,
September–October.
Baumol, W. (1952) ‘The Transactions Demand for Cash:
An Inventory Theoretic Approach’, Quarterly Journal of
Economics, November.
Beenstock, M. and K. Chan (1986) ‘Testing the Arbitrage
Pricing Theory in the UK’, Oxford Bulletin of Economics
and Statistics, May.
Belk, P.A. and M. Glaum (1990) ‘The Management of
Foreign Exchange Risk in UK Multinationals: An
Empirical Investigation’, Accounting and Business
Research, Winter.
Bennet, N. (2001) ‘One day we will go out of business’,
Sunday Telegraph, 9 December.
Bhattacharya, M. (1979) ‘Imperfect Information,
Dividend Policy and the Bird-in-the-Hand Fallacy’, Bell
Journal of Economics and Management Science, Spring.
Bierman Jr, H. and J.E. Hass (1973) ‘Capital Budgeting
under Uncertainty: A Reformulation’, Journal of Finance,
March.
Black, F. and M. Scholes (1973) ‘The Pricing of Options
and Corporate Liabilities’, Journal of Political Economy,
May–June.
Black, F., M.C. Jensen and M. Scholes (1972) ‘The
Capital Asset Pricing Model: Some Empirical Tests’,
in M. Jensen (ed.) Studies in the Theory of Capital
Markets (Praeger).
Bodie, Z. and R. Merton (2000) Finance (Prentice-Hall).
Bowman, R.G. (1980) ‘The Debt Equivalence of Leases:
An Empirical Investigation’, Accounting Review, Vol. 55,
No. 2, pp. 237–53.
Branson, R. (1998) Losing my Virginity (Virgin Publishing).
Brealey, R.A., S.C. Myers and F. Allen (2005) Principles of
Corporate Finance (McGraw-Hill).
Brennan, M. (1971) ‘A Note on Dividend Irrelevance
and the Gordon Valuation Model’, Journal of Finance,
December.
Brennan, M. and Trigeorgis, L. (eds) (2000) Project
Flexibility, Agency and Competition: New Developments in
CFAI_Z06.QXD 10/28/05 5:42 PM Page 735
.
736 References
the Theory and Application of Real Options (Oxford,
Oxford University Press).
Brett, M. (2003) How to Read the Financial Papers
(4th edn) (Random House).
Brickley, J., C. Smith and J. Zimmerman (1994) ‘Ethics,
Incentives, and Organisational Design’, Journal of
Applied Corporate Finance, Summer.
Brigham, E.F. and L.C. Gapenski (1996) Financial
Management Theory and Practice (Dryden).
Bromwich, M. and A. Bhimani (1991) ‘Strategic
Investment Appraisal’, Management Accounting, March.
Brooks, R. and L. Catao (2000) ‘The New Economy and
Global Stock Returns’, IMF Working Paper 216, December.
Buckley, A. (1996) International Capital Budgeting
(Prentice Hall).
Buckley, A. (2004) Multinational Finance (Prentice Hall).
Buckley, P.J. and M. Casson (1981) ‘The Optimal Timing
of a Foreign Direct Investment’, Economic Journal, Vol. 92,
No. 361, March.
Butler, R., L. Davies, R. Pike and J. Sharp (1993) Strategic
Investment Decisions (Routledge).
BZW (2005) Equity–Gilt Study, London.
Chang, K. and C. Osler (1999) ‘Methodical Madness:
Technical Analysis and the Irrationality of Exchange
Rate Forecasts’, Economic Journal, Vol. 109, Issue 458,
pp. 636–661.
Chesley, G.R. (1975) ‘Elicitation of Subjective
Probabilities: A Review’, Accounting Review, April.
Clare, A.D. and S.H. Thomas (1994) ‘Macroeconomic
Factors, the Arbitrage Pricing Theory and the UK
Stockmarket’, Journal of Business Finance and Accounting,
April.
Clark, T.M. (1978) Leasing (McGraw-Hill).
Collier, P. and E.W. Davies (1985) ‘The Management of
Currency Transaction Risk by UK Multinational
Companies’, Accounting and Business Research, Autumn.
Collier, P., T. Cooke and J. Glynn (1988) Financial and
Treasury Management (Heinemann).
Cooke, T.E. (1986) Mergers and Acquisitions (Blackwell).
Cooper, D.J. (1975) ‘Rationality and Investment
Appraisal’, Accounting and Business Research, Summer.
Copeland, T.E. and J.F. Weston (2004) Financial Theory
and Corporate Policy, (4th edn) (Addison-Wesley).
Cox, J., S. Ross and M. Rubinstein (1979) ‘Option
Pricing: A Simplified Approach’, Journal of Financial
Economics, September.
Daniels, J.D. and L.H. Radebaugh (2004) International
Business: Environments and Operations (10th edn),
(Reading, Mass., Addison-Wesley).
Day, R., D. Allen, I. Hirst and J. Kwiatkowski (1987)
‘Equity, Gilts, Treasury Bills and Inflation’, The
Investment Analyst, January, No. 83.
Dean, J. (1951) Capital Budgeting (New York, Columbia
University Press).
Department of Trade and Industry (1988) Mergers Policy
(HMSO).
Devine, M. (2002) Successful Mergers: Getting the People
Issues Right
(The Economist/Profile Books)
Dimson, E. (1993) ‘Appraisal Techniques’, Proceedings
of the Capital Projects Conference, May, Institute of
Actuaries and Faculty of Actuaries.
Dimson, E. and R.A. Brealey (1978) ‘The Risk Premium
on UK Equities’, The Investment Analyst, December.
Dimson, E. and P. Marsh (1982) ‘Calculating the Cost of
Capital’, Long Range Planning, April.
Dimson, E. and P. Marsh (1986) ‘Event Study
Methodologies and the Size Effect: The Case of UK
Press Recommendations’, Journal of Financial Economics,
September.
Dimson, E., P. Marsh and M. Staunton (2002) Triumph of
the Optimists (Princeton University Press).
Dissanaike, G. (1997) ‘Do stock market investors
overreact?’ Journal of Business Finance and Accounting,
24(1), pp. 27–49.
Dixit, A. and R. Pindyck (1995) ‘The Options Approach
to Capital Investment’, Harvard Business Review,
May–June.
Doyle, P. (1994) ‘Setting Business Objectives and
Measuring Performance’, Journal of General Management,
Winter.
Drucker, P.F. (1981) ‘Five Rules for Successful
Acquisition’, Wall Street Journal, 15 October.
Drury, J.C. and S. Braund (1990) ‘The Leasing Decision:
A Comparison of Theory and Practice’, Accounting and
Business Research, Summer.
Economist (2000) ‘Making Mergers Work’ (The
Economist Newspaper Ltd, London).
Eiteman, D.K., A.I. Stonehill and M.H. Moffet (2003)
Multinational Business Finance (10th edn), (Reading,
Mass., Addison-Wesley).
Elton, E.J. (1970) ‘Capital Rationing and External
Discount Rates’, Journal of Finance, June.
Elton, E.J. and M. Gruber (1970) ‘Marginal Stockholder
Tax Rates and the Clientele Effect’, Review of Economics
and Statistics, February.
Evans, C. (2005) ‘Private Lessons’, Accountancy, Vol. 135,
No. 1337, January, pp. 46–7.
Fama, E.F. (1970) ‘Efficient Capital Markets: A Review
of Theory and Empirical Work’, Journal of Finance, May.
Fama, E. (1980) ‘Agency Problems and the Theory of the
Firm’, Journal of Political Economy, Spring, pp. 288–307.
Fama, E.F. (1992) ‘Efficient Capital Markets’, Journal of
Finance, December.
CFAI_Z06.QXD 10/28/05 5:42 PM Page 736
.
References 737
Fama, E. (1998) ‘Market Efficiency, Long-term Returns,
and Behavioural Finance’, Journal of Finance Economics,
p. 629.
Fama, E.F. and K.R. French (1992) ‘The Cross-Section of
Expected Stock Returns’ Journal of Finance, June.
Fama, E.F. and K.R. French (2000) ‘The Equity Premium,
MIT working paper, July.
Fama, E.F. and J. McBeth (1973) ‘Risk, Return and
Equilibrium: Empirical Tests’, Journal of Political
Economy, Vol. 81.
Fama, E.F. and M.H. Miller (1972) The Theory of Finance
(Holt, Rinehart and Winston).
Ferguson, A. (1989) ‘Hostage to the Short Term’,
Management Today, March.
Finnie, J. (1988) ‘The Role of Financial Appraisal in
Decisions to Acquire Advanced Manufacturing
Technology’, Accounting and Business Research, Spring.
Firth, M. and S. Keane (1986) Issues in Finance
(Philip Allan).
Fisher, I (1930) The Theory of Interest, reprinted in 1977
by Porcupine Press.
Foley, B.J. (1991) Capital Markets (Macmillan).
Fosback, N. (1985) Stock Market Logic (The Institute for
Economic Research, Fort Lauderdale).
Franks, J. and J. Broyles (1979) Modern Managerial
Finance (Wiley).
Franks, J.R. and R.S. Harris (1989) ‘Shareholder Wealth
Effects of Corporate Takeovers: The UK Experience
1955–85’, Journal of Financial Economics, Vol. 23.
Franks, J. and C. Mayer (1996a) ‘Do Hostile Take-overs
Improve Performance?’, Business Strategy Review, Vol. 7,
No. 4, pp. 1–6.
Franks, J. and C. Mayer (1996b) ‘Hostile Take-overs and
the Correction of Managerial Failure’, Journal of
Financial Economics, Vol. 40, No. 1, pp. 163–81.
Friedman, M. (1953) ‘The Methodology of Positive
Economics’, in Essays in Positive Economics (The
University of Chicago Press).
Fuller, R.J. and H.S. Kerr (1981) ‘Estimating the
Divisional Cost of Capital: An Analysis of the Pure-Play
Technique’, Journal of Finance, December.
Gale, B.T. and D.J. Swire (1988) ‘Business Strategies
that Create Wealth’, Planning Review, March–April.
Gentry, J. (1988) ‘State of the Art of Short-Run Financial
Management’, Financial Management, Summer.
Ghosh, C. and J. Woolridge (1989) ‘Stock Market Reaction
to Growth – Induced Dividend Cuts: Are Investors
Myopic?’, Managerial & Decision Economics, March.
Giddy, I.H. (1994) Global Financial Markets (D.C. Heath).
Gluck, F.W. (1988) ‘The Real Takeover Defense’, The
McKinsey Quarterly, Winter.
Gordon, M. (1959) ‘Dividends, Earnings and Financing
Policy’, Review of Economics and Statistics, May.
Gordon, M. (1963) ‘Optimal Investment and Financing
Policy’, Journal of Finance.
Graham, B., D. Dodd and S. Cottle (1962) Security
Analysis: Principles and Techniques (4th edn)
(McGraw-Hill).
Grant, R.M. (2004) Contemporary Strategy Analysis (5th
edn, Blackwell Publishers).
Grant, R. and Soenen, L. (2004), ‘Strategic Management
of Operating Exposure’, European Management Journal,
Vol. 22, No 1, February, pp. 353–62.
Graves, S.B. (1988) ‘Institutional Ownership and
Corporate R&D in the Computer Industry’, Academy
of Management Journal, Vol. 31.
Gray, S.J. and M.C. McDermott (1989) Mega-Merger
Mayhem (Paul Chapman Publishing).
Gregory, A. (1997) ‘An Examination of the Long-Run
Performance of UK Acquiring Firms’, Journal of Business
Finance and Accounting, Vol. 24, No. 7–8, September,
pp. 971–1002.
Gregory, A. and McCorriston, S. (2004) ‘Foreign
Acquisitions by UK Limited Companies: Short and
Long-Run Performance’, University of Exeter Centre for
Finance and Investment Working Paper 04/01.
Grice, J.S. and Ingram, R.W. (2001) ‘Tests of the
Generalisability of Altman’s Bankruptcy Prediction
Model’, Journal of Business Research, Vol. 54, pp. 53–61.
Grinyer, J.R. (1986) ‘An Alternative to Maximisation of
Shareholders’ Wealth in Capital Budgeting Decisions’,
Accounting and Business Research, Autumn.
Grubb, M. (1993/4) ‘A Second Generation of Low
Inflation’, Professional Investor, December/January.
Gup, B.E. and S.W. Norwood (1982) ‘Divisional Cost of
Capital: A Practical Approach’, Financial Management,
Spring.
Hamada, R.S. (1969) ‘Portfolio Analysis: Market
Equilibrium and Corporate Finance’, Journal of Finance,
March.
Harrington, D.R. (1983) ‘Stock Prices, Beta and Strategic
Planning’, Harvard Business Review, May–June.
Harrington, D. (1987) Modern Portfolio Theory, The
Capital Asset Pricing Model and Arbitrage Pricing Theory:
A User’s Guide (Prentice Hall).
Harrison, J.S. (1987) ‘Alternatives to Merger – Joint
Ventures and Other Strategies’, Long Range Planning,
December.
Hertz, D.B. (1964) ‘Risk Analysis in Capital Investment’,
Harvard Business Review, January–February.
CFAI_Z06.QXD 10/28/05 5:42 PM Page 737
.
738 References
Hirshleifer, J. (1958) ‘On the Theory of Optimal
Investment Decision’, Journal of Political Economy, Vol. 66.
Hodgkinson, L. (1989) Taxation and Corporate Investment
(CIMA).
Horngren, C.T., Bhimani, A., Foster, G. and Datar, S.M.
(1998) Management and Cost Accounting (Prentice Hall
Europe).
Hunt, J., J. Grumber, S. Lees and P. Vivien (1987)
Acquisition – the Human Factors (London Business School
and Egon Zehnder Associates).
ICAEW (1989) Accounting for Brands, P. Barwise,
C. Higson, A. Likierman and P. Marsh (Institute of
Chartered Accountants in England and Wales, London
Business School).
Jarvis, R., J. Collis and P. Bainbridge (2000) ‘The Finance
Leasing Market in the 1990s: a Chronological Review’,
Association of Certified and Corporate Accountants
Occasional Paper No. 28.
Jensen, M.C. (1984) ‘Takeovers: Folklore and Science’,
Harvard Business Review, November–December.
Jensen, M.C. and W.H. Meckling (1976) ‘Theory of the
Firm: Managerial Behaviour, Agency Costs and
Ownership Structure’, Journal of Financial Economics,
October.
Jensen, M.C. and W.H. Meckling (1994) ‘The Nature of
Man’, Journal of Applied Corporate Finance, Summer.
Jensen, M.C. and R.S. Ruback (1983) ‘The Market for
Corporate Control: The Scientific Evidence’, Journal of
Financial Economics, April.
Johanson, J. and F. Wiedersheim-Paul (1975)
‘The Internationalisation of the Firm – Four Swedish
Cases’, Journal of Management Studies, October, pp. 305–22.
Jones, C.S. (1982) Successful Management of Acquisitions
(Derek Beattie Publishing).
Jones, C.S. (1983) The Control of Acquired Companies
(Chartered Institute of Cost and Management
Accountants).
Jones, C.S. (1986) ‘Integrating Acquired Companies’,
Management Accounting, April.
Junankar, S. (1994) ‘Realistic Returns: How do
Manufacturers Assess New Investment?’, Confederation
of British Industry, July.
Jupe, R.E. and B.A. Rutherford (1997) ‘The Disclosure of
“Free Cash Flow” in Published Financial Statements: a
Research Note’, British Accounting Review, Vol. 29, No. 3,
September.
Kahneman, D. and Tversky, A. (1979) ‘Prospect Theory:
An Analysis of Decisions Under Risk’, Economica, Vol.
47, pp. 263–91.
Kahneman, D. and Tversky, A. (1982) Judgement Under
Uncertainty: Heuristics and Biases (Cambridge University
Press).
Kanodia, C., Bushman, R. and Dickart, J. (1989)
‘Escalation Errors and the Sunk Cost Effect: An
Explanation Based on Reputation and Information
Asymmetries’, Journal of Accounting Research, Vol. 27,
No. 1, Spring, pp. 59–77.
Kaplan, R.S. (1986) ‘Must CIM be Justified by Faith
Alone?’, Harvard Business Review, March–April.
Kaplanis, E. (1997) ‘Benefits and Costs of International
Portfolio Investments’ in Financial Times Mastering
Finance (FT/Pitman Publishing, London).
Keane, S. (1974) ‘Dividends and the Resolution of
Uncertainty’, Journal of Business Finance and Accountancy,
Autumn.
Keane, S.M. (1983) Stock Market Efficiency: Theory,
Evidence, Implications (Philip Allan).
Kester, W.C. (1984) ‘Today’s Options for Tomorrow’s
Growth’, Harvard Business Review, March–April.
Kindleberger, C.P. (1978) International Economics (Irwin).
King, P. (1975) ‘Is the Emphasis of Capital Budgeting
Misplaced?’, Journal of Business Finance and Accounting,
Spring.
Klemm, M., S. Sanderson and G. Luffman (1991)
‘Mission Statements: Selling Corporate Values to
Employees’, Long-Range Planning, June.
Koller, T., Goedhart, M. and Wessels, D. (2005)
Valuation (4th edn) (McKinsey & Co. Inc.)
Lambert, R.A. and D.F. Larcker (1985) ‘Executive
Compensation, Corporate Decision-making and
Shareholder Wealth: A Review of the Evidence’, Midland
Corporate Finance Journal, Winter.
Larcker, D.F. (1983) ‘Association between Performance
Plan Adoption and Capital Investment’, Journal of
Accounting and Economics, April.
Lees, S. (1992) ‘Auditing Mergers and Acquisitions –
Caveat Emptor’, Managerial Auditing Journal, Vol. 7, No. 4,
pp. 6–11.
Lessard, D.R. and Lightstone, J.B. (1998) ‘Operating
Exposure’, in J. Rutherford, Financial Strategy: Adding
Stakeholder Value (John Wiley & Sons).
Levich, R.M. (1989) ‘Is the Foreign Exchange Market
Efficient?’, Oxford Review of Economic Policy, Vol. 5,
No. 3, pp. 40–60.
Levis, M. (1985) ‘Are Small Firms Big Performers?’,
The Investment Analyst, No. 76, April, pp. 21–7.
Levy, H. and M. Sarnat (1994) Portfolio and Investment
Selection: Theory and Practice (Prentice Hall).
Levy, H. and M. Sarnat (1994) Capital Investment and
Financial Decisions (Prentice Hall).
Limmack, R.J. (1991) ‘Corporate Mergers and Shareholder
Wealth Effects: 1977–1986’, Accounting and Business
Research, Summer.
CFAI_Z06.QXD 10/28/05 5:42 PM Page 738
.
References 739
Lintner, J. (1956) ‘The Distribution of Incomes of
Corporations among Dividends, Retained Earnings and
Taxes’, American Economic Review, May.
Lorie, J.H. and L.J. Savage (1955) ‘Three Problems in
Capital Rationing’, Journal of Business, October.
Luehrman, T.A. (1997a) ‘What’s it worth? A General
Manager’s Guide to Valuation’, Harvard Business Review,
Vol. 75, No. 3, May–June, pp. 132–42.
Luehrman, T.A. (1997b) ‘Using APV: A Better Tool for
Valuing Operations’, Harvard Business Review, Vol. 75,
No. 3, May–June, pp. 145–54.
Madura, J. (2005) International Financial Management
(West Publishing Co.).
Madura, J. and A.M. Whyte (1990) ‘Diversification
Benefits of Direct Foreign Investment’, Management
International Review, Vol. 30, No. 1.
Manson, S., A. Stark and M. Thomas (1994) ‘A Cash
Flow Analysis of the Operational Gains from
Takeovers’, ACCA Certified Research Report 35.
Mao, J.C.T. and J.F. Helliwell (1969) ‘Investment
Decisions under Uncertainty: Theory and Practice’,
Journal of Finance, May.
Marais, D. (1982) ‘Corporate Financial Strength’, Bank of
England Quarterly Bulletin, June.
Markowitz, H.M. (1952) ‘Portfolio Selection’, Journal of
Finance, March.
Markowitz, H.M. (1991) ‘Foundations of Portfolio
Theory’, Journal of Finance, June.
Marsh, P. (1990) Short-termism on Trial (International
Fund Managers Association).
Mason, C. and R. Harrison (2002) ‘Is it Worth it?The Rates
of Return for Informal Venture Capital Investments’,
Journal of Business Venturing, Vol. 17, pp. 211–36.
Mason, C.M. and Harrison, R.T. (2004) ‘Improving
Access to Early Stage Venture Capital in Regional
Economies’, Local Economy, Vol. 19, No 2, May, pp.
159–73.
Mastering finance (1998) (Pitman).
Mathur, I. (1989) ‘A Review of the Theories of and
Evidence on Returns Related to Mergers and
Takeovers’, Managerial Finance, Vol. 15, No. 4.
McDaniel, W.R., D.E. McCarty and K.A. Jessell (1988)
‘Discounted Cash Flow with Explicit Reinvestment Rates:
Tutorial and Extension’, The Financial Review, August.
McGowan, C.B. and J.C. Francis (1991) ‘Arbitrage
Pricing Theory Factors and their Relationship to
Macro-economic Variables’, in C.F. Lee, T.J. Frecka
and L.O. Scott (eds.), Advances in Quantitative Analysis
of Finance and Accounting (JAI Press).
McIntyre, A.D. and N.J. Coulthurst (1985) ‘Theory and
Practice in Capital Budgeting’, British Accounting Review,
Autumn.
McRae, T.W. (1996) International Business Finance (John
Wiley and Sons).
Meall, L. (2001) ‘Dot.com dot.gone’, Accountancy,
Vol. 128, No. 1296, August, p. 70.
Mehra, R. and E.C. Prescott (1985) ‘The Equity
Premium: A Puzzle’, Journal of Monetary Economics,
Vol. 15, pp. 145–61.
Merton, R. (1998) ‘Applications of option pricing the-
ory: twenty five years later’, American Economic Review,
pp. 323–49.
Miller, M. (1977) ‘Debt and Taxes’, American Economic
Review, May.
Miller, M. (1986) Behavioural Rationality in Finance:
The Case of Dividends’, Journal of Business, October.
Miller, M.H. (1991) ‘Leverage’, Journal of Finance, June.
Miller, M.H. and F. Modigliani (1961) ‘Dividend Policy
and the Valuation of Shares’, Journal of Business, October.
Miller, M. and D. Orr (1966) ‘A Model of the Demand
for Money by Firms’, Quarterly Journal of Economics,
August.
Mills, R.W. (1988) ‘Capital Budgeting Techniques Used
in the UK and USA’, Management Accounting, January.
Modigliani, F. and M. Miller (1958) ‘The Cost of Capital,
Corporation Finance and the Theory of Investment’,
American Economic Review, June.
Modigliani, F. and M.H. Miller (1963) ‘Corporate
Income Taxes and the Cost of Capital: A Correction’,
American Economic Review, June.
Mossin, J. (1966) ‘Equilibrium in a Capital Assets
Market’, Econometrica, October.
Murphy, J. (1989) Brand Valuation: A True and Fair View
(Hutchinson).
Myers, S.C. (1974) ‘Interactions of Corporate Financing
and Investment Decisions—Implications for Capital
Budgeting’, Journal of Finance, March.
Myers, S.C., D.A. Dill and A.J. Bautista (1976) ‘Valuation
of Lease Contracts’, Journal of Finance, June, pp. 799–820.
Myers, S.C. (1984) ‘The Capital Structure Puzzle’,
Journal of Finance, July.
Narayanaswamy, V.J. (1994) ‘The Debt Equivalence of
Leases in the UK: An Empirical Investigation, British
Accounting Review, Vol. 26, No. 1, pp. 337–51.
Neale, B., A. Milsom, C. Hills and J. Sharples (1998)
‘The Hostile Takeover Process: A Case Study of
Granada Versus Forte’, European Management Journal,
Vol. 16, No. 2, April, pp. 230–41.
Neale, C.W. and P.J. Buckley (1992) ‘Differential British
and US Adoption Rates of Investment Project
Post-Completion Auditing’, Journal of International
Business Studies.
Neale, C.W. and D.E.A. Holmes (1988) ‘Post-
Completion Audits: The Costs and Benefits’,
Management Accounting, Vol. 66, No. 3.
CFAI_Z06.QXD 10/28/05 5:42 PM Page 739
.
740 References
Neale, C.W. and D.E.A. Holmes (1990) ‘Post-auditing
Capital Investment Projects’, Long Range Planning,
Vol. 23, No. 4, August, pp. 88–96.
Neale, C.W. and D.E.A. Holmes (1991) Post-Completion
Auditing (Pitman).
O’Shea, D. (1986) Investing for Beginners, Financial Times
Business Information.
Payne, A.F. (1987) ‘Approaching Acquisitions
Strategically’, Journal of General Management, Winter.
Peacock, A. and G. Bannock (1991) Corporate Takeovers
and the Public Interest (David Hume Institute).
Pedzinski, P. (2004) ‘Despite Political Risk, the World is
Safer’, Euromoney, September, pp. 310–21.
Peel, M.J. (1995) ‘The Impact of Corporate
Re-structuring: Mergers, Divestments and MBOs’, Long
Range Planning, April.
Peters, E.E. (1991) Chaos and Order in the Capital Markets
(John Wiley).
Peters, E.E. (1993) Fractal Market Analysis (Wiley).
Pettit, J. (2001) ‘Is a Share Buyback Right for Your
Company?’, Harvard Business Review, Vol. 79, No. 4,
October, pp. 141–7.
Pike, R.H. (1982) Capital Budgeting in the 1980s
(Chartered Institute of Management Accountants).
Pike, R.H. (1983) ‘The Capital Budgeting Behaviour and
Corporate Characteristics of Capital-Constrained Firms’,
Journal of Business Finance and Accounting, Summer.
Pike, R.H. (1988) ‘An Empirical Study of the Adoption
of Sophisticated Capital Budgeting Practices and
Decision-Making Effectiveness’, Accounting and Business
Research, Autumn.
Pike, R. (1996) ‘A Longitudinal Survey on Capital
Budgeting Practices’, Journal of Business Finance and
Accounting, Vol. 23, No. 1.
Pike, R.H. and S.M. Ho (1991) ‘Risk Analysis
Techniques in Capital Budgeting Contexts’, Accounting
and Business Research, Vol. 21, No. 83.
Pike, R.H. and M. Wolfe (1988) Capital Budgeting in the
1990s (Chartered Institute of Management Accountants).
Pike, R., J. Sharp and D. Price (1989) ‘AMT Investment
in the Larger UK Firm’, International Journal of
Operations and Production Management, Vol. 9, No. 2.
Pike, R., N. Cheng and L. Chadwick (1998) Managing
Trade Credit for Competitive Advantage (CIMA).
Pinches, G. (1982) ‘Myopic Capital Budgeting and
Decision-Making’, Financial Management, Vol. 11, No. 3.
Pohlman, R.A., E.S. Santiago and F.L. Markel (1988)
‘Cash Flow Estimation Practices of Larger Firms’,
Financial Management, Summer.
Pointon, J. (1980) ‘Investment and Risk: The Effect of
Capital Allowances’, Accounting and Business Research,
Autumn.
Poon, S. and S.J. Taylor (1991) ‘Macroeconomic Factors
and the UK Stock Market’, Journal of Business Finance
and Accounting, Vol. 18, September, pp. 619–36.
Porter, M.E. (1985) Competitive Advantage (Free Press).
Porter, M.E. (1987) ‘From Competitive Advantage to
Corporate Strategy’, Harvard Business Review, May–June.
Porter, M.E. (1992) ‘Capital Disadvantage – America’s
Failing Capital Investment System’, Harvard Business
Review,
September–October.
Prasad, S.B. (1987) ‘American and European Investment
Motives in Ireland’, Management International Review
(Third quarter).
Price, J. and S.K. Henderson (1988) Currency and Interest
Rate Swaps (Butterworths).
Prindl, A. (1978) Currency Management (John Wiley).
Pruitt, S.W. and L.J. Gitman (1987) ‘Capital Budgeting
Forecast Biases: Evidence from the Fortune 500’,
Financial Management, Spring.
Rappaport, A. (1986) Creating Shareholder Value: The New
Standard for Business Performance (Macmillan).
Rappaport, A. (1987) ‘Stock Market Signals to
Managers’, Harvard Business Review,
November–December.
Redhead, K. (1990) Introduction to Financial Futures and
Options (Woodhead-Faulkner).
Reimann, B.C. (1990) ‘Why Bother with Risk-Adjusted
Hurdle Rates?’, Long Range Planning, June. Risk
Measurement Service, London Business School.
Robbins, S. and R. Stobaugh (1973) ‘The Bent Measuring
Stick for Foreign Subsidiaries’, Harvard Business Review,
September–October.
Rodriguez, R.M. (1981) ‘Corporate Exchange Risk
Management: Theme and Aberrations’, Journal of
Finance, May.
Roll, R. (1977) ‘A Critique of the Asset Pricing Theory’s
Tests; Part I: On Past and Potential Testability of the
Theory’, Journal of Financial Economics, March.
Ross, S.A. (1976) ‘The Arbitrage Theory of Capital Asset
Pricing’, Journal of Economic Theory, Vol. 13, No. 3.
Ross, S.A. (1977) ‘The Determination of Financial
Structure: the Incentive Signalling Approach’, Bell
Journal of Economics, Spring.
Ross, S., R. Westerfield and J. Jordan (2002)
Fundamentals of Corporate Finance (Irwin).
Ruback, R.S. (1988) ‘An Overview of Takeover
Defenses’, in A.J. Auerbach (ed.), Mergers and
Acquisitions (University of Chicago Press).
CFAI_Z06.QXD 10/28/05 5:42 PM Page 740
.
References 741
Rugman, A.M., D.J. Lecraw and L.D. Booth (1985) Inter-
national Business, Firm and Environment (McGraw-Hill).
Rutterford, J. (1992) Handbook of UK Corporate Finance
(Butterworths).
Sartoris, W. and N. Hill (1981) ‘Evaluating Credit Policy
Alternatives: A Present Value Framework’, Journal of
Financial Research, Spring.
Shao, L.P. (1996) ‘Capital Budgeting for the Multi-
national Enterprise’, Managerial Finance, Vol. 22, No. 1.
Shapiro, A.C. (2002) Multinational Financial Management
(Allyn and Bacon).
Sharpe, P. and T. Keelin (1998) ‘How SmithKline
Beecham Makes Better Resource-Allocation Decisions’,
Harvard Business Review, March and April, pp. 45–57.
Sharpe, W.F. (1963) ‘A Simplified Model for Portfolio
Analysis’, Management Science, January.
Sharpe, W.F. (1964) ‘Capital Asset Prices - A Theory of
Market Equilibrium under Conditions of Risk’, Journal
of Finance, September.
Sharpe, W. (1981) Investments (Prentice Hall).
Sharpe, W.F. and G.J. Alexander and Bailey (1996)
Investments (Prentice Hall).
Shefrin, H. (1999) Beyond Greed and Fear: Understanding
Behavioural Finance and the Psychology of Investing
(Harvard Business School Press).
Short, T. (2000) ‘Should Foreign Investors Buy Polish
Shares?’ in T. Kowalski and S. Letza (eds) Financial Reform
and Institutions (Poznan University of Economics).
Smith, B.M. (2001) Toward Rational Exuberance: The evolu-
tion of the Modern Stock Market (Farrar, Strauss & Giroux).
Smith, K.V. (1988) Readings in Short-term Financial
Management (West Publishing).
Solnik, B.H. (1974) ‘Why not Diversify Internationally
Rather than Domestically?’, Financial Analysts Journal,
July/August pp. 48–54.
Staw, B.M. (1976) ‘Knee-deep in the Big Muddy: A
Study of Escalating Commitment to a Chosen Course of
Action’, Organisational Behaviour and Human Performance,
Vol. 16, No. 1, pp. 27–44.
Staw, B.M. (1981) ‘The Escalation of Commitment to a
Chosen Course of Action’, Academy of Management
Review, Vol. 6, No. 4, pp. 577–87.
Staw, J. and Ross (1987) ‘Knowing When to Pull the
Plug’, Harvard Business Review, Vol. 65, No. 2, March,
pp. 68–74.
Stock Exchange Fact Book (1997) The International Stock
Exchange (published annually).
Stonham, P. (1995) ‘Reuter’s Share Re-purchase’,
European Management Journal, Vol. 13, No. 1,
pp. 99–109.
Strong, N. and X.G. Xu (1997) ‘Explaining the Cross-
Section of UK Expected Stock Returns’, British
Accounting Review, March, Vol. 29, No. 1, pp. 1–23.
Sudarsanam, P.S. (1995) The Essence of Mergers and
Acquisitions (Prentice Hall).
Sudarsanam, P., P. Holl and A. Salami (1996)
‘Shareholder Wealth Gains in Mergers: Effect of Synergy
and Ownership Structure’, Journal of Business Finance
and Accounting, Vol. 23, No. 5/6, July, pp. 673–98.
Sudarsanam, S. (2003) Creating Value Through Mergers
and Acquisitions: The Challenges (FT/Prentice Hall).
Swalm, R.O. (1966) ‘Utility Theory – Insights into Risk-
taking’, Harvard Business Review, November – December.
Taffler, R. (1991) ‘Z-scores: An Approach to the
Recession’, Accountancy, July.
Tobin, J. (1958) ‘Liquidity Preference as Behaviour
Towards Risk’, Review of Economic Studies, February.
Tomkins, C. (1991) Corporate Resource Allocation
(Blackwells).
Tomkins, C.R., J.F. Lowe and E.J. Morgan (1979) An
Economic Analysis of the Financial Leasing Industry
(Saxon House).
UNCTAD (2004) World Investment Report, United
Nations Conference on Trade and Development
(www.unctad.org).
Vaga, T. (1991) ‘The Coherent Market Hypothesis’,
Financial Analysts Journal, December.
van Horne, J. (1975) ‘Corporate Liquidity and
Bankruptcy Costs’, Research Paper 205, Stanford
University.
van Horne, J. (2001) Financial Management and Policy
(Prentice Hall).
Walters, A. (1991) Corporate Credit Analysis (Euromoney
Publications).
Wearing, R.T. (1989) ‘Cash Flow and the Eurotunnel’,
Accounting & Business Research, Winter.
Weaver, S.C., D. Peters, R. Cason and J. Daleiden (1989)
‘Capital Budgeting’, Financial Management, Spring.
Weingartner, H. (1977) ‘Capital Rationing: Authors in
Search of a Plot’, Journal of Finance, December.
Weston, J.F. and T.E. Copeland (1992) Managerial Finance
(Cassell).
Wilkie, A.D. (1994) ‘The Risk Premium on Ordinary
Shares’, Institute of Actuaries and Faculty of Actuaries,
November.
Wilson Committee (1980) ‘Report of the Committee to
Review the Functioning of Financial Institutions’,
Cmnd. 7937, HMSO.
CFAI_Z06.QXD 10/28/05 5:42 PM Page 741
.
742 References
Wilson, M. (1990) ‘Capital Budgeting for Foreign Direct
Investments’, Managerial Finance, Vol. 16, No. 2.
Wright, M. and K. Robbie (1991) ‘Corporate
Restructuring, Buy-Outs and Managerial Equity: The
European Dimension’, Journal of Applied Corporate
Finance, Winter.
Young, D. (1997) ‘Economic Value Added: A Primer for
European Managers’, European Management Journal, Vol.
15, No. 4, August.
Young, D. and B. Sutcliffe (1990) ‘Value Gaps - Who is
Right? The Raiders, the Market or the Manager?’, Long
Range Planning, Vol. 23, No. 4, August, pp. 20–34.
CFAI_Z06.QXD 10/28/05 5:42 PM Page 742
.
Index 743
Index
abandonment option 311–12
Abbey National plc 545
ABC system of stock management 363–4
ABl Leisure plc 595
acceptance credit 388–9, 726
accepting houses 27
accounting rate of return
in investment decisions 129–30
in project appraisal 159–60
Aceralia 543
‘acid test’ ratio 338
acquisitions 557–8, 572–3, 669, 726
activity beta see asset beta
activity ratios 52–3
adjusted NAV 726
adjusted present value (APV) 530–2, 726
for FDI 654–5
administration 500
advanced manufacturing technology (AMT)
investment 178–80
agency costs 11, 504
agency theory 11–3, 663
aggressive stocks 726
Airbus (company) 210–11
Al Waleed Bin Talal Bin Abdul Aziz 127
Alexander, G.J. 234
Allied Dunbar 549
allocative efficiency 34
All-Share index 45
Alternative Investment Market (AIM) 31, 424, 726
Altman, E.I. 339, 348
Amazon.com 449
Amerada Hess (company) 98, 550
‘American’ options 299, 619, 726
amortisation 51, 726
analysis of variance 247
in CAPM 267–8
Andersen, J.A. 625
Andrade, G. 502
Andrews, G.S. 292
Ang, J. 406
annual percentage rate (APR) 63–4, 726
annual writing-down allowances 156
annuities 66, 69, 726
present value of 85
valuation of 70
Apple Computers 106–7
Arbed (company) 543
arbitrage 34, 514, 726
and currency risk 604–5
impediments to 519
pricing model 260–3, 726
ARM Holdings 541
Arnold, G. 158, 160, 164, 188, 210
articles of association 414, 726
Asea Brown Boveri (ABB) 632
Ashkenas, R. 566
asset-backed securities 434–5, 726
asset beta 283, 726
asset market approach to exchange rate forecasting 607
asset restructuring 576
asset-stripping 542, 548, 726
asset turnover 52
asset value 238
asymmetric information see information asymmetry
backward vertical integration 550
balance of payments 607–10
balance sheets 48–50
balanced scorecard 39
balancing allowances 156
balancing charges 156
Ball, J. 36, 47
balloon repayment 384, 726
bancassurance 726
bank bills 388
bank credit 382–5
loans 383–4, 402, 726
for long-term finance 413–14
overdrafts 382–3
Bank of England 32, 164, 467
Bank of International Settlements 597
bank mergers 566–7
Bank of Scotland 567
banking relationships 329
Bannock, G. 567
Barclay, M.J. 534
Baring’s Bank 9, 333
barter 726
BAT Industries 466, 549
Baumol, William 374
Beenstock, M. 261, 263
CFAI_Z07.QXD 10/28/05 11:29 AM Page 743
.
744 Index
behavioural finance 665–70
Belk, P.A. 613, 625
Bennett, N. 177
Bernstein, Sanford C. 471
Bertelsmann (company) 545
beta coefficients (betas) 245–7, 277–8, 726
finding of 253
geared and ungeared 726
Bhattacharya, M. 473
Bierman, H. Jr 212
‘Big Bang’ 30, 37
bilateral netting 614, 726
bill finance 387–9
bills of exchange 26, 387–8, 404, 618, 726
bills of lading 403, 726
bird-in-the-hand fallacy 459, 726
Black, F. 260, 308, 316
Black Monday 41
Black-Scholes pricing model 308–9, 316–17
Bloch, Brian 668
BMW (company) 613–14
Bodie, Z. 316
Boeing (company) 210–11
bonds 727
valuation 71–2
yields 437
bonus issues 430, 727
Boo.com 62
book-to-market ratio 727
boot-strapping 552
Boots plc 442, 466, 549
borrowing 11
and term structure of interest rates 82–3
Bose, Kunal 636
Boston Consulting Group 176
Bowie, David 434
Bowman, R.G. 406
brand valuation 93–6
by brand strength 95
cost-based methods of 94
market observation methods of 95
role of NAV in 96
Branson, Sir Richard 100, 147, 196
Braund, S. 398, 406
break-even sensitivity analysis 245
break-up values (BUVs) 480, 727
Brealey, R.A. 138, 250, 266, 316, 374, 506
Brennan, M. 316, 452
Brett, M. 47
Brigham, E.F. 374
British Airports Authority (BAA) 483
British Airways 501–2, 653
British Telecom 92, 453
Brooks, R. 244
Broyles, J. 288
Buckley, A. 625, 657
Buckley, P.J. 190, 634, 636
buffer stocks 366
building societies 28
bullet loans 384
bullet repayments 727
Burgess, Kate 572–3
Burley plc 484–6
business angels 417–18, 727
business expansion proposals 185
Business Expansion Scheme 418, 727
business fit and focus 580
business plans 420
business restructuring 576
business risk 198–9
business strategy 17–18
Butler, R. 164, 190
buy-backs 468–9, 647, 727
Cable & Wireless 469–70
CAC-40 index 44
Cadbury Schweppes 19, 439
call options 299–300, 619
equity seen as 310
Calvin Klein (company) 435
Canary Wharf 127
Cannon plc 436
capital 727
cost of 494–6
capital allowances 46, 727
and corporation tax 156–7
capital asset pricing model (CAPM) 233–4, 277–8,
664, 727
and arbitrage pricing theory 262–3
assumptions of 255
capital market line 255–7
different equity markets 243–4
issues raised by 263–5
reservations over 259
risk and return in 239–54, 514
security market line 249–50
security values and discount rates 238
and shareholder value analysis 276–8
testing of 260–1
variance analysis in 267–8
capital budgeting 181–2
Capital for Companies Ltd 419
capital gains tax 275–6, 288, 461, 727
capital gearing 480–2, 727
CFAI_Z07.QXD 10/28/05 11:29 AM Page 744