5. The Organization and Scale of Private Business

Chapters in this book

1. Frontmatter i
2. Contents vii
3. Preface ix
4. I. Theories of Value
5. 1. Modern Value Quandaries 3
6. 2. Theories of Value 14
7. 3. The Failure of the Neoclassical Investment Rule 23
8. II. The Nature of the Firm
9. 4. The Nature of the Firm 45
10. 5. The Organization and Scale of Private Business 58
11. 6. Accounting for the Firm 79
12. III. Economic Theories of Value
13. 7. Value in Classical Economics 91
14. 8. Value in Neoclassical Economics 96
15. 9. Modern Recursive Equilibrium and the Basic Pricing Equation 113
16. IV. Finance Theories of Value
17. 10. Arbitrage-Free Pricing in Complete Markets 127
18. 11. Portfolio Pricing Methods 153
19. 12. Real Options and Expanded Net Present Value 166
20. V. Traditional and Value Functional Theories of Value
21. 13. Traditional Valuation Methods 201
22. 14. Practical Application of the Income Method 217
23. 15. The Value Functional: Theory 235
24. VI. Applications
25. 16. The Value Functional: Applications 263
26. 17. Applications: Finance and Valuation 295
27. 18. Applications: Law and Economics 306
28. VII. Appendices
29. Appendix A. Key Formula and Notation Summary 325
30. Appendix B. Guide to the Solutions Manual 337
31. Appendix C. Description of Subject Companies 340
32. Notes 347
33. References 391
34. Index 409