I-6
IndexI-6
career opportunities 6–10
carried interest 699
carrying cost 637
cash application 640 , 651
cash budget 572, 585–91
cash concentration 669 , 674
cash conversion cycle (CCC) 629 – 32
cash disbursements 587–8
cash discounts 646 – 7 , 673
cash dividends 538, 552
cash flow analysis 36–41, 64, 160, 162,
404, 664
‘cash is king’ 36
time lines 70
cash flows 314–15, 318–22, 322,
325–6, 329, 397, 478, 803
versus accounting profit 357–61
after-tax measurement 359
cash flow approach 30
future value 79–86
future value–present values,
relationship 88
as growing perpetuity see Gordon
growth model
not always considered in
decision-making 317
from operations 434–5
present value 86–95
Protect It Ltd study 371–5
sign changes in stream – IRRs
number 332
types 357–67
see also statement of cash flows
cash holdings 665 , 676–7
cash inflow 35–7, 39–40, 79, 318–22
cash management 663–6
cash managers 663–4
cash outflow 35–7, 39–40, 79, 318–22,
586
cash payments 146
cash position management 664–6
cash rate 139
cash receipts 586–7
cash settlement 266
cash transfers, mechanisms 670
cash/cash equivalents 31
CCC rating 145–6
centralised payments system 671–2
certification 443
chief executive officers (CEOs) 19, 24,
740
chief financial officers (CFOs) 7, 20–5, 22
agenda – digital 13maximisations 21–3
on options, compensation and
hedging practices 264
repurchases/dividends views 542
China
venture capital and private equity
markets 709 – 11
yuan 601–3
Chi-X Australia 181
churn (sell) 745
claims (insolvency)
establishing under deed 771
priority 775–7
clearing float 664
Clearing House Electronic Sub-register
System (CHESS) 181
closing futures price 801
clusters/clustering 447
collateral 140, 505, 648
collateral trust bonds 140
collection float 666
collection policy 648
collection systems 666–71
types 666–8
collective action problem 12
co-managers 179
commercial banking 8
‘big four’ domination 7
commercial bills 680
commitment fees 678
committee of creditors 772
commodity price risk 788 – 90
commodity prices 789
common stocks 195
common-size income statement 33
communication skills 6
Community of Interest Network
(COIN) 667
companies 4, 18–19, 445
accrual method portrayal 360
cash flows 37–40
with high P/E ratios – growth stock/
shares 52
option to abandon 417–18
organisation and operation 699–707
returned to directors 767 , 769
comparable multiples method 174–8
comparative advantage 730 , 790
compensating balance requirements 678
competing costs 633
competing interests 640
competition 168, 250, 641
anti-competitiveness 748 – 50NPV and 420–1
competitive advantage 173, 420–1, 570,
695
compound interest 69, 72, 95–8
FV changes with compounding
frequency 96–9
general equation – lump sums 97
reverse of see present value
compounding interest 129–30
comprehensive accounts payable 675
computer literacy 6
concentration bank 669
conflicts of interest 180, 443, 753
conglomerate merger 719 , 730 – 1
conservative strategy 583–4
‘consol’ bond issue 92
consolidation 728 , 741
constant dollar payout dividend policy 539
constant growth model 164–5
constant payout ratio dividend policy 539
constitution 18
consumer banking 7–8
continuous compounding 97–9
contracts 794–806
contribution margin 411, 644
controlled disbursement 674
conversion premium 295
conversion price 294, 512
conversion ratio 294
conversion value 295
convertible bonds 141, 294, 512
convertible securities 293–6, 702 ,
703 – 4
copyrights 32
corporate advisers 437
corporate bonds 137, 508–19, 614–16
international financing 514
issuing method 511–12
legal aspects 510–11
price quotations 143–4
corporate capital gains 54
corporate control 718 , 729 , 751 , 760
corporate finance 14–15, 179, 688–711
business areas interactions 5–6
ethics in 24–5
FI role in Australian corporate finance
436–8
FI role in US corporate finance 435–6
options in 292–7
scope 5–25, 28
securities markets, role of 438–9
corporate financial officers see chief
financial officers