In this paper, we define and analyze shareholder value creation. To help us understand this concept better, we use the example of two listed companies, General Electric and Microsoft, between 1992 and 2003. To obtain the created shareholder value, we first define the increase of equity market...

This paper contains 100 questions that students, alumni and other persons (judges, arbitrageurs, clients¿) have posed to me over the past years. They were recompiled so as to help the reader remember, clarify and, in some cases, discuss some useful concepts in finance. Most of the questions...

Mehra and Prescott (1985) argued that, according to sensible asset pricing models, stocks should provide at most a 0.35% premium over bills. However, companies use higher equity premia (average around 6%) for evaluating their investment projects, professors use in class and in their textbooks...

We analyze the results of a recent survey of executives and finance professors. We present the required equity premium used in 2008 by 216 companies and 39 professors and their comments. The range of the 216 companies goes from 2% to 30% (average 6.3%) and the range of the 39 academics goes from...

This paper contains 100 questions that students, alumni and other persons (judges, arbitrageurs, clients') have posed to me over the past years. They were recompiled so as to help the reader remember, clarify and, in some cases, discuss some useful concepts in finance. Most of the questions have...

This document has 100 questions from students, alumnae and other persons (judges, clients,...). They are useful to clarify some useful concepts in finance. Most of the questions have a clear answer. The document also has short answers to all questions

Usually financial textbooks present the financial ratio analysis. Many courses are taught in financial analysis and teachers spend lot of efforts teaching how to calculate financial ratios. Most of them are used to analyze historical financial statements. These analyses are very useful in...