Corporate finance deals with the capital structure of a corporation, which includes the investments, funding, borrowing, and the necessary actions management takes to increase the value of the company. By using various financial accounting tools, a company is able to identify capital expenditures, estimate cash flows from the proposed capital projects, compare planned investments with projected income, and facilitate a capital budget.
Respond to the following in a minimum of 175 words:
- Discuss the three main areas of concern in corporate finance.
- In your opinion, which area of concern is the most difficult to address?