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Foundations of Finance: The Logic and Practice of Finance Management, 5/E
Arthur J. KeownVirginia Polytechnic Instit. and State University
J. William PettyBaylor University
John H. Martin
David F. ScottUniversity of Central Florida

ISBN-10: 0131856057
ISBN-13:  9780131856059

Publisher:  Prentice Hall
Copyright:  2006
Format:  Cloth; 624 pp
Published:  06/13/2005


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Description

For the introductory Finance course, given during the junior year and required at all undergraduate business schools.

Keown enables students to see the big picture by letting them understand the logic that drives finance rather than having them memorize formulas. 

 


Features

For the introductory Finance course, given during the junior year and required at all undergraduate business schools.   

Keown enables students to see the big picture by helping them understand the logic that drives finance rather than having them memorize formulas. 

- - - -  

"Do your students often lose sight of the big picture and get caught up in memorizing and applying formulas?  What do you do to avoid this?  How do you reach your more math-phobic students? 

  • Ten Principles are presented in the first chapter.  These are insightful, easy-to-understand, core principles of finance that serve as a foundation for the rest of the course.  Throughout the rest of the text, the author refers students back to these same Ten Pricniples through inserts called "Back to the Foundations".  This enables students to stay focused on the big ideas that tie topics together, Iand avoid getting wrapped up in specific calculations that obscure topical interrelationships. 
      • Introduced on pgs. 16-22
      • Revisited (examples of): pgs. 74, 138, 332-3
  • A focus on concepts before math is a guiding philosophy of this text.  Examples include:
    • A large number of calculator solution examples that enable students to avoid getting caught up in difficult notation and calculation.
      • pgs. 148, 150, 159, 160
    • A simplified presentation of free cash flows.
      • pgs. 296-298
    • Verbal discussions of new topics before the presentation of formulas.
      • pgs. 334, 339

 OTHER POINTS OF DISTINCTION

 "What types of businesses do you believe the majority of your students will work in?  Do your non-finance majors often disengage?  Are many of your students wondering how they'll use the information once the course is over?"

  •  “An Entrepreneur’s Perspective” (new) has been systematically added to the book through a series of boxes that highlight issues faced by emerging small and medium sized firms.  These boxes look at finance from the point of view of someone who would like to start his or her own successful business.
      • pgs. 10, 24
  • "Across the Hall" boxes (new) draw upon professionals' experiences from marketing, management, and accounting, to illustrate how the specific material being taught in the book and course pertains to what they will do. 
      • pgs. 78, 266, 536

"Are you always looking for new problems and better problems to get the students to think"?  Where do you find problems to assign?"

  • “Web Works” Internet Problems (new) have been introduced at the end of each chapter.  These problems direct the student to internet sites that allow them to explore financial issues and solve financial problems using the web.  Students appreciate the interactivity. 
      • pg. 169
  •  Expanded Problem Sets (new) – the end of chapter study problem sets have been improved and expanded to allow for a wider range of student problems, extending beyond previous editions. 
      • pgs. 167-169, questions 40-50


New To This Edition

 "What types of businesses do you believe the majority of your students will work in?  Do your non-finance majors often disengage?  Are many of your students wondering how they'll use the information once the course is over?"

  •  “An Entrepreneur’s Perspective” (new) has been systematically added to the book through a series of boxes that highlight issues faced by emerging small and medium sized firms.  These boxes look at finance from the point of view of someone who would like to start his or her own successful business.
      • pgs. 10, 24
  • "Across the Hall" boxes (new) draw upon professionals' experiences from marketing, management, and accounting, to illustrate how the specific material being taught in the book and course pertains to what they will do. 
      • pgs. 78, 266, 536

"Are you always looking for new problems and better problems to get the students to think"?  Where do you find problems to assign?"

  • “Web Works” Internet Problems (new) have been introduced at the end of each chapter.  These problems direct the student to internet sites that allow them to explore financial issues and solve financial problems using the web.  Students appreciate the interactivity. 
      • pg. 169

"How do you reach your more math-phobic students in the class?"

  •  Chapter 5- The Time Value of Money has been significantly simplified to be more accessible to the math phobic student.  Without a sacrifice of rigor or content, the chapter was revised to eliminate the use of summation signs.  In addition, there was a large increase in the use of calculator examples.  The end of chapter problems were expanded and improved allowing for a significant increase in the number of end-of-chapter problems that are calculator-based.   

"What kind of examples do you bring into your class to try and make the material relevant to your students?    

  • Chapter 6- The Meaning and Measurement of Risk and Return – to make it more relevant and interesting to students, the authors added a firm students would be familiar with – Barnes & Noble – to illustrate the concepts and computations regarding market risk.


Table of Contents

1. An Introduction to the Foundations of Financial Management — The Ties That Bind

2. The Financial Markets and Interest Rates

3. Understanding Financial Statements and Cash Flows

 

4. Evaluating a Firm's Financial Performance

 

5. The Time Value of Money

 

6. Risk and Return

 

7. Bond Valuation

 

8. Stock Valuation

 

9. Capital-Budgeting Techniques and Practice

 

10. Cash Flows and Other Topics in Capital Budgeting

 

11. Cost of Capital

 

12. Determining the Financing Mix

 

13. Dividend Policy and Internal Financing

 

14. Short-term financial planning


15. Working-Capital management


16. Current Asset Management

 

17. International Business Finance


Next Edition(s)

  • Foundations of Finance, 7/E
    Keown, Martin & Petty
    ©2011  |  Prentice Hall  |  Cloth; 552 pp  |  Instock
    ISBN-10: 0136113656  |  ISBN-13: 9780136113652
    Brief Description  |  More Info

  • Foundations of Finance: Logic and Practice of Financial Management & MyFinanceLab Student Access Code Card Package, 6/E
    Keown, Martin, Petty & Scott
    ©2011  |  Prentice Hall  |  Kit/Package/ShrinkWrap  |  Instock
    ISBN-10: 0132479613  |  ISBN-13: 9780132479615
    More Info

  • Foundations of Finance: The Logic and Practice of Financial Management, 6/E
    Keown, Martin, Petty & Scott
    ©2008  |  Prentice Hall  |  Cloth; 624 pp  |  Instock
    ISBN-10: 0132339226  |  ISBN-13: 9780132339223
    Brief Description  |  More Info



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Websites and Online Courses

Companion Website for Foundations of Finance: The Logic and Practice of Finance Management, 5/E
Keown
©2006  |  Prentice Hall  |  On-line Supplement  |  Live
ISBN-10: 0131856103  |  ISBN-13: 9780131856103
More Info

CourseConnect
Pearson
©2009  |  Prentice Hall  |  On-line Supplement  |  Live
ISBN-10: 0321625250  |  ISBN-13: 9780321625250
More Info

OneKey Blackboard, Foundations of Finance, 5/E
Keown
©2006  |  On-line Supplement  |  Version 6.0.11  |  Access Code Required  |  Live
ISBN-10: 0131868535  |  ISBN-13: 9780131868533
 |  Students, buy access Instructors, request content (at no cost)  |  More Info

OneKey CourseCompass, Foundations of Finance, 5/E
Keown
©2006  |  On-line Supplement  |  Access Code Required  |  Live
ISBN-10: 0131868527  |  ISBN-13: 9780131868526
 |  Students, buy access Take a Tour  |  More Info

OneKey WebCT, Foundations of Finance, 5/E
Keown
©2006  |  On-line Supplement  |  Access Code Required  |  Version 3.8X  |  Live
ISBN-10: 0131868543  |  ISBN-13: 9780131868540
 |  Students, buy access Instructors, request content (at no cost)  |  View Demo  |  More Info

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PowerPoints, 5/E
Keown
©2006  |  Prentice Hall  |  On-line Supplement  |  Live
ISBN-10: 0131856111  |  ISBN-13: 9780131856110

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 | More Info

Test Gen, 5/E
Keown
©2006  |  Prentice Hall  |  Software  |  Instock
ISBN-10: 013185609X  |  ISBN-13: 9780131856097

Show Downloadable Files
 | More Info

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Companion Website for Foundations of Finance: The Logic and Practice of Finance Management, 5/E
Keown
©2006  |  Prentice Hall  |  On-line Supplement  |  Live
ISBN-10: 0131856103  |  ISBN-13: 9780131856103
More Info

CourseConnect
Pearson
©2009  |  Prentice Hall  |  On-line Supplement  |  Live
ISBN-10: 0321625250  |  ISBN-13: 9780321625250
More Info

OneKey Blackboard, Foundations of Finance, 5/E
Keown
©2006  |  On-line Supplement  |  Version 6.0.11  |  Access Code Required  |  Live
ISBN-10: 0131868535  |  ISBN-13: 9780131868533
 |  Students, buy access Instructors, request content (at no cost)  |  More Info

OneKey CourseCompass, Foundations of Finance, 5/E
Keown
©2006  |  On-line Supplement  |  Access Code Required  |  Live
ISBN-10: 0131868527  |  ISBN-13: 9780131868526
 |  Students, buy access Take a Tour  |  More Info

OneKey WebCT, Foundations of Finance, 5/E
Keown
©2006  |  On-line Supplement  |  Access Code Required  |  Version 3.8X  |  Live
ISBN-10: 0131868543  |  ISBN-13: 9780131868540
 |  Students, buy access Instructors, request content (at no cost)  |  View Demo  |  More Info

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Websites and online courses

Companion Website for Foundations of Finance: The Logic and Practice of Finance Management, 5/E
Keown
©2006  |  Prentice Hall  |  On-line Supplement  |  Live
ISBN-10: 0131856103  |  ISBN-13: 9780131856103
More Info

CourseConnect
Pearson
©2009  |  Prentice Hall  |  On-line Supplement  |  Live
ISBN-10: 0321625250  |  ISBN-13: 9780321625250
More Info

Excel Templates for Foundations of Finance, 5/E
Keown
©2006  |  Prentice Hall  |  On-line Supplement  |  Live
ISBN-10: 0131856138  |  ISBN-13: 9780131856134
More Info

OneKey Blackboard, Foundations of Finance, 5/E
Keown
©2006  |  On-line Supplement  |  Version 6.0.11  |  Access Code Required  |  Live
ISBN-10: 0131868535  |  ISBN-13: 9780131868533
 |  Students, buy access More Info

OneKey CourseCompass, Foundations of Finance, 5/E
Keown
©2006  |  On-line Supplement  |  Access Code Required  |  Live
ISBN-10: 0131868527  |  ISBN-13: 9780131868526
 |  Students, buy access More Info

OneKey WebCT, Foundations of Finance, 5/E
Keown
©2006  |  On-line Supplement  |  Access Code Required  |  Version 3.8X  |  Live
ISBN-10: 0131868543  |  ISBN-13: 9780131868540
 |  Students, buy access More Info


For the Finance Discipline

FinCoach 2.0: CD-ROM Edition
Handa
©2002  |  Prentice Hall  |  CD-ROM Only  |  Instock
ISBN-10: 0130606189  |  ISBN-13: 9780130606181
More Info

Research Navigator: Resources for College Research
Pearson
©2006  |  Prentice Hall  |  Paper  |  Instock
ISBN-10: 0321186079  |  ISBN-13: 9780321186072
More Info


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Websites and Online Courses

Companion Website for Foundations of Finance: The Logic and Practice of Finance Management, 5/E
Keown
©2006  |  Prentice Hall  |  On-line Supplement  |  Live
ISBN-10: 0131856103  |  ISBN-13: 9780131856103
More Info

CourseConnect
Pearson
©2009  |  Prentice Hall  |  On-line Supplement  |  Live
ISBN-10: 0321625250  |  ISBN-13: 9780321625250
More Info

OneKey Blackboard, Foundations of Finance, 5/E
Keown
©2006  |  On-line Supplement  |  Version 6.0.11  |  Access Code Required  |  Live
ISBN-10: 0131868535  |  ISBN-13: 9780131868533
 |  Students, buy access Instructors, request content (at no cost)  |  More Info

OneKey CourseCompass, Foundations of Finance, 5/E
Keown
©2006  |  On-line Supplement  |  Access Code Required  |  Live
ISBN-10: 0131868527  |  ISBN-13: 9780131868526
 |  Students, buy access Take a Tour  |  More Info

OneKey WebCT, Foundations of Finance, 5/E
Keown
©2006  |  On-line Supplement  |  Access Code Required  |  Version 3.8X  |  Live
ISBN-10: 0131868543  |  ISBN-13: 9780131868540
 |  Students, buy access Instructors, request content (at no cost)  |  View Demo  |  More Info

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