In today's rapidly changing economic environment, many in the financial world have turned to academicians for answers, and academic researchers have made a number of important contributions. Business practitioners gain insights from the use of financial theory and, in turn, provide feedback from their realworld perspective, which has led to modifications and improvements in financial theory. Although we present both theory and practice in this book. Introduction to Financial Management focuses primarily on the practitioner, particularly one who will own or manage a small to medium-sized business.

Furthermore, we have designed this book for the general business student, not just for the finance major. Too often, introductory texts seem to be designed primarily for finance or accounting majors. These may be excellent textbooks, but in their efforts to include the latest theories (some of which seem to contain little of practical use) or detailed financial models, the nonfinance major is often lost or turned off to the study of finance. All business students should have a thorough knowledge of finance, and it is our hope that this book provides that knowledge in a manner that is interesting and enjoyable to all students, regardless of major.

Part 1 The Financial Environment and the Firm
Part 2 Financial Statements and Financial Planing
Part 3 Working Capital Management
Part 4 Capital Budgeting: Investment in Long-Term Assets
Part 5 Long-Term Financing
Part 6 Factors That Influence How The Firm Is Financed
Part 7 Other Topics in Financial Management