Corporate finance describes the interlocking flows of activities that take place within and without the firm . It studies decision made by firms regarding investments, funding, valuation of assets and liabilities in attempt to maximize the value of the firm, the value for shareholders and stakeholders. Particular attention is given to key concepts like the cost of capital, leverage, financial structure of the firm, investment evaluation. It analyzes the functioning of international capital markets as the place where securities are issued by firms to fund their investments, are traded by investment banks and specialists, and acquired by investors. The rationale and mathematics of these decision is explored. It makes possible to evaluate external transactions like, mergers, acquisitions, private equity deals, and generally firm evaluation.