Publications
Publications
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(750)
- Faculty Publications (189)
- September 2001 (Revised April 2002)
- Case
Ocean Carriers
By: Erik Stafford, Angela Chao and Kathleen Luchs
In January 2001, Mary Linn, vice president of finance for Ocean Carriers, a shipping company with offices in New York and Hong Kong, was evaluating a proposed lease of a ship for a three-year period, beginning in early 2003. The customer was eager to finalize the... View Details
- July 2001
- Technical Note
Technical Note on LBO Valuation (A): LBO Structure and the Target IRR Method of Valuation
Explains the equity cash flow method of valuation as it applies to leveraged buyouts. Also explains: 1) earnings and cash flow forecasts, 2) debt structure and the cash sweep, 3) the cashing out horizon and terminal valuation, and 4) the target IRR method of valuation. View Details
- July 2001
- Technical Note
Technical Note on LBO Valuation (B): The Equity Cash Flow Method of Valuation using CAPM
Explains the equity cash flow method of valuation as it applies to leveraged buyouts. Also explains how to implement the changing cost of equity method using the CAPM. View Details
- May 2001 (Revised January 2003)
- Case
Calpine Corporation: The Evolution from Project to Corporate Finance
By: Benjamin C. Esty and Michael Kane
In early 1999, Calpine Corp.'s CEO Pete Cartwright adopted an aggressive growth strategy with the goal of increasing the company's aggregate generating capacity from approximately 3,000 to 15,000 megawatts (MW) by 2004. He believed there was a fleeting opportunity to... View Details
- January 2001
- Case
Valuing Project Achieve
By: Mihir A. Desai and Kathleen Luchs
Project Achieve is a start-up providing information management solutions for schools. Its founders see a need for software both to manage the volumes of information necessary to administer a school and to connect parents, teachers, and students in a more effective way.... View Details
- December 2000 (Revised December 2016)
- Technical Note
Valuing Companies in Corporate Restructurings: Technical Note
By: Stuart C. Gilson
This case provides a technical overview of different valuation techniques for use in valuing companies in corporate restructuring. Techniques covered include adjusted present value, WACC, capital cash flow, and discounted cash flow valuation. Specific numerical... View Details
- November 2000 (Revised July 2019)
- Teaching Note
Cafes Monte Bianco: Building a Profit Plan
By: Robert Simons and Indra Reinbergs
Teaching Note for (9-198-088). View Details
- October 2000 (Revised April 2001)
- Case
Cost of Capital at Ameritrade
By: Mark L. Mitchell and Erik Stafford
Ameritrade Holding Corp. is planning large marketing and technology investments to improve the company's competitive position in deep-discount brokerage by taking advantage of emerging economies of scale. In order to evaluate whether the strategy would generate... View Details
- August 2000 (Revised July 2002)
- Background Note
Fundamental Enterprise Valuation: Introduction
The purpose of this series of notes is to define the key "drivers" of the fundamental value of equity and to illustrate how these drivers determine the future cash flows and the "present value pattern" of the underlying common stock. The series includes one technical... View Details
- April 2000
- Case
Financing of Project Achieve, The (A)
By: Mihir A. Desai
An entrepreneur is forced to analyze the tradeoffs between different equity providers through a detailed analysis of venture financing terms and cash flow forecasts. The founder of a Web-based IMS for schools must negotiate a term sheet, determine funding needs, value... View Details
- April 2000
- Case
Financing of Project Achieve, The (B)
By: Mihir A. Desai
Supplements the (A) case. View Details
- 1999
- Chapter
Excess Capital Flows and the Burden of Inflation in Open Economies
By: M. A. Desai and James R. Hines Jr.
- April 1999 (Revised September 2001)
- Case
Penelope's Personal Pocket Phones
By: Paul A. Gompers
Provides students with an opportunity to use simple real options analysis to value a startup. Penelope Phillips is deciding whether to start a company to make wireless phones. Students get experience using traditional discounted cash flow valuation and a real options... View Details
- December 1998
- Background Note
Cash Management Practices in Small Companies
By: H. Kent Bowen, Andrew R. Jassy, Laurence E. Katz, Kevin E. Kelly and Baltej Kochar
Most small business managers claim that cash management is their leading concern. Often walking a tightrope between growth and illiquidity, small business managers face different cash management challenges than their counterparts in larger companies. Compared to larger... View Details
- November 1998 (Revised July 2000)
- Case
Deere & Company: Sustaining Value
By: Malcolm S. Salter and Marlowe Dayley
The question facing Deere & Co. is whether or not to adopt some of the organizational technologies of private equity investors (decentralized equity holdings, use of leverage to control the disposition of cash flows, the externalization of the capital budgeting... View Details
- February 1998 (Revised March 1998)
- Case
Marriott Corporation: The Cost of Capital
Presents recommendations for hurdle rates of Marriott's divisions to select by discounting appropriate cash flows by the appropriate hurdle rate for each division. View Details
- December 1997 (Revised December 1998)
- Case
Valuing Capital Investment Projects
By: W. Carl Kester
A collection of problems that introduces students to the application of discounted cash flow analysis in the evaluation of capital budgeting problems. View Details
- October 1997 (Revised June 2000)
- Exercise
Capital Budgeting: Discounted Cash Flow Analysis
By: Thomas R. Piper
This exercise comprises seven problems that collectively allow students to work through each type of cash flow that is encountered in capital budgeting. The instructor can also address such issues as product cannibalization and real options. View Details