Corporate Capital Structure

This course will provide an introduction to the modern practices in corporate capital structure. Participants will learn what capital structure is, why it is important to business, and how to evaluate a firm’s capital structure for opportunities for improvement. The course will cover issues ranging from understanding and calculation of WACC to capital structure timing.

Course Objectives

By the end of the course, the participants will be able to:

• Describe the what capital structure is and how it relates to businesses in the modern world
• Identify the key variables of interest in capital structure and how these variables should be related to the underlying business
• Assess a firm’s capital structure to understand if changes to that structure can enhance shareholder value and the risks associated with those changes
• Understand what WACC is, how it should be calculated, and why it matters to firms
• Explain why WACC is used to discount company free cash flows
• Calculate WACC, cost of debt and cost of equity

Suggested Prerequisites: None

Program Level:Foundational

Advance Preparation: None

Computers and Financial Calculators: N/A

Recommended CPE Credits: 7