Investments, tenth edition

 18.5  Free Cash Flow Valuation Approaches  617

Comparing the Valuation Models / The Problem with 

DCF Models

 18.6  The Aggregate Stock Market  622

End of Chapter Material  623–634

CHAPTER 19

Financial Statement Analysis  635

 19.1  The Major Financial Statements  635

The Income Statement / The Balance Sheet / The 

Statement of Cash Flows

 19.2  Measuring Firm Performance  640

 19.3  Profitability  Measures 

641

Return on Assets, ROA / Return on Capital, ROC / 

Return on Equity, ROE / Financial Leverage and ROE / 

Economic Value Added

 19.4  Ratio  Analysis 

645

Decomposition of ROE / Turnover and Other Asset 

Utilization Ratios / Liquidity Ratios / Market Price 

Ratios: Growth versus Value / Choosing a Benchmark