Fundamentals of Corporate Finance

Fundamentals of Corporate Finance, 6th Edition provides a systematic framework for understanding financial decision-making in modern business organizations. Authored by Jonathan Berk, Peter DeMarzo, and Jarrad Harford, this Pearson textbook equips college students and educators with analytical tools grounded in core valuation principles.

The initial sequence examines the core responsibilities of financial managers, financial statement analysis, and time value of money calculations. It then guides readers through cash flow stream valuation, interest rate mechanics, bond pricing, stock valuation models, and investment decision rules. The analytical progression continues into capital budgeting fundamentals, risk and return relationships, systematic risk, equity risk premiums, and cost of capital determination.

By combining core economic concepts with quantitative routines, the text supports structured instruction in corporate finance programs. It establishes practical, repeatable methods for analyzing corporate investments, cash flows, and risk profiles across standard university terms.