Corporate finance Definition
Corporate Finance is the specific area of finance dealing with the financial decisions corporations make, and the tools and analysis used to make the decisions. The discipline as a whole may be divided between long term, capital investment decisions , and short term, working capital management. The two are related in that firm value is enhanced when return on capital, a function of working capital management, exceeds cost of capital, which results from the longer term, capital decisions. Corporate Finance is closely related to managerial finance, which is slightly broader in scope, describing the financial techniques available to all forms of business enterprise, corporate or not.