Corporate Finance: Investment, Funding & Payout Decisions

Corporate Finance: Investment, Funding & Payout Decisions

Corporate Finance: Investment, Funding & Payout Decisions is a structured track of 15 lessons that build a complete, interview-ready understanding of the topic. Work through them in order, then use the quiz and flashcards in each lesson to revise.

What this course covers

  • The Three Corporate Finance Decisions and How They Interact - Investment, financing and payout decisions, and why they cannot be taken apart.
  • Capital Budgeting: Net Present Value, Internal Rate of Return & Payback - The appraisal methods compared on one project, with the conflicts resolved.
  • Building Project Cash Flows: Incremental, Sunk & Opportunity Costs - Which cash flows belong in an appraisal and which ones students wrongly include.
  • Cost of Equity, Cost of Debt & Calculating the Cost of Capital - Building the weighted average cost of capital component by component.
  • Capital Structure Theory: Irrelevance, Trade-Off & Pecking Order - What each capital structure theory predicts, and where reality departs from it.
  • Setting a Debt Policy: Leverage Targets, Covenants & Rating Impact - How companies decide their debt ceiling, and what enforces it.
  • Sources of Corporate Funding in India: From Term Loans to Debentures - The full Indian funding menu, with cost, tenor and dilution for each.
  • Dividend Policy, Buybacks & the Signalling They Send - Dividends versus buybacks, signalling theory and the current tax treatment.
  • Working Capital Management & the Cash Conversion Cycle - Levers on receivables, inventory and payables, and the trade-offs each carries.
  • Budgeting, Forecasting & Variance Analysis Inside a Real Company - How annual plans are built, re-forecast, and explained when actuals miss.
  • Treasury & Liquidity Management Basics - What a treasury desk does: liquidity, surplus deployment, funding and banking lines.
  • Corporate Restructuring: Demergers, Spin-Offs & Value Unlock - How demergers and spin-offs are structured, and when they genuinely create value.
  • Mergers & Acquisitions: Rationale, Structures & Synergies - Why deals happen, how they are structured, and how synergies are justified.
  • Accretion and Dilution Analysis Made Simple - The earnings impact of an acquisition, explained the way interviews ask it.
  • Leveraged Buyouts and How Private Equity Returns Are Made - Decomposing buyout returns into deleveraging, earnings growth and multiple expansion.