This edition of executive briefing on financial analysis presents the key methods and concepts of financial analyasis from the point of view of the parties involved - managers, owners and lenders. From an overview of the basic business system, to coverage of valuation issues, this book is a practical action guide. Managers receive guidelines for: managing operating funds and projecting financial performance; and evaluating capital investment managing for shareholder value.

A mathematical model is analyzed to determine the impact of two alternative monetary policies upon the rate of change of prices and the level of real national income. The first is a once and for all change in the rate of growth of the money supply to a new level; the second is found through an optimization analysis using the maximum principle of postaudit. It is found that the second policy not only leads to a final equilibrium position in less time than the first policy, but it also induces less variability in both prices and real income.