"Enrique Arzac has created a masterpiece—his work combines the theoretical with the practical. He has created an invaluable reference guide that is thoughtful, complete, and very user-friendly. He provides insight into the theory behind core valuation, LBO’s, and options pricing, which creates the foundation for mergers, buyouts, and restructuring. In addition to the theoretical, he provides practical insight into deal structuring and deal dynamics. His work should be standard material for all incoming associates."
—James P. McVeigh, Managing Director, Corporate & Investment Banking, Banc of America Securities

"This first-rate book of applied financial theory provides the tools for financial institutions and capital market participants seeking a methodology for comparing, contrasting, and evaluating investment opportunities and options. By incorporating over 30 years of research, teaching, and practical experience, Professor Arzac has created a text that is not only timely, but timeless in its usefulness to anyone interested in learning the applications of financial theory for the best and most useful allocation of the scarcest economic resource in the world—capital."
—William W. Priest, Co-Managing Partner, Steinberg, Priest and Sloane Capital Management, and Former Chairman and CEO of Credit Suisse Asset Management

"There are two important aspects in graduate business education. The first is acquiring a thorough understanding of the theories of modern finance, and the second is acquiring an appreciation for how these theories can be applied to important decisions. Enrique Arzac has taken on this task and made it a successful venture for readers of this book. Unlike other texts on valuation, he explains the rationale for the process and sequence he recommends rather than merely providing the ingredients and the recipe without explanation. This is a welcome addition to the literature in applied corporate finance."
—Joel M. Stern, Managing Partner, Stern, Stewart & Co.

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