Finance is a topic that requires much computation, and in today's business world that computation is done almost entirely using Excel software. Despite this, existing finance textbooks continue to rely heavily on hand calculators. Business school students--whose background in Excel software is often weak when they come into finance courses--find that when they leave the academic environment they have to relearn both finance and the software. Addressing this issue, Principles of Finance with Excel is the only introductory finance text that comprehensively integrates the program into the teaching and practice of finance. Offering exceptional resources for students and instructors, the book combines classroom-tested pedagogy with the powerful functions of Excel software. Author Simon Benninga--one of the most recognized names in financial modeling--shows students how spreadsheets provide new and deeper insights into financial decision making.
The second edition of Principles of Finance with Excel covers the same topics as standard financial textbooks--including portfolios, capital asset pricing models, stock and bond valuation, capital structure and dividend policy, and option pricing--and can therefore be used in any introductory course. However, it also introduces Excel software as it applies to finance students and practitioners. Throughout the book, the implementation of finance concepts with Excel software is demonstrated and explained. A separate section of PFE provides thorough coverage of all Excel software topics used in the book: graphs, function data tables, dates, Goal Seek, and Solver.
New to this Edition
* Offers a streamlined structure that allows students to dive right into the heart of finance: time value of money and discounting
* Provides updated examples, most of which refer to the post-2008-crash financial world
* Uses Microsoft Excel 2007 throughout (all examples and spreadsheets are compatible with previous versions of the program)
*The free in-text CD-ROM includes electronic spreadsheets for the entire book
Principles of Finance with Excel, Second Edition, is ideal for undergraduate courses in introductory finance and graduate courses in finance and business, or as a reference for finance professionals. An author-maintained companion website (http://www.simonbenninga.com) contains lecture notes and PowerPoint-based slides.
A rare find
By Richard Teplick - January 8, 2011
It is rare to find a book that can systematically guide one with no prior knowledge of a field to feeling comfortable with many of the basic concepts of the discipline. Dr. Benninga's book accomplishes this, meeting its goal of providing an understanding of the requisite concepts and applications for making financial decisions. It is replete with examples, each clearly delineated both in text and Excel spreadsheets reprinted in the text; each building on the prior examples. Essentially every example reflects real decisions, e.g., buying versus leasing, mortgages, depreciating equipment, buying securities. It also includes clear instructions on using the revelent Excel features but its focus is financial modeling, not Excel. I found the book both relevant and a joy to read, working the examples as I progressed. I highly recommend this book to anyone who, like me, barely knew words like depreciation or annuity let alone what they meant. It would be a great textbook for a finance... read more
Terrific error laden resource
By Zooey - September 21, 2011
It's odd that a b-school professor hasn't thought to recruit a gaggle of research assistants and cobble together a book like this. Unlike other finance texts, this book does actually do a good job of teaching the ins and outs of excel. Indeed, if one were interested in learning excel alone, the medium of finance would be a terrific avenue to picking up the program (and vice versa). They make sense together; both are lifeless mechanical knowledge bases that are, sadly, critical to understand. I picked up this book as a means of shoring up Excel skills before beginning a management consulting job and it has been helpful.
That said, there are countless errors in the explanations to the chapter exercises, rendering them nearly unusable at times. In some instances, it feels like a previous edition was not properly updated and in others, there are flat out mistakes in calculations, logic, or methodology. I've worked through the first two chapters and approximately 10 of the... read more
An excellent introductory finance book
By J. Lancaster - January 29, 2011
This is my first semester teaching with Benninga's Principles of Finance with Excel, and I am finding it to be a useful, intuitive and effective alternative to traditional Finance textbooks. Benninga manages to successfully teach both finance and excel in this authoritative, yet accessible text. My students are surprised with how "easy" finance is, and I'm thrilled to see them applying relatively complex financial concepts at an early stage in the course. Benninga's instructor materials are thorough and effective, and the student CD is helpful and relevant. Perhaps my favorite thing about Benninga's approach to finance is that it makes finance accessible to students who do not love math. By using excel, Benninga takes the focus away from arithmetic and places it on analysis, thus making finance appealing to a much broader array of student. I fully recommend this text.