Providing a balanced and practical approach to capital management and budgeting, this book covers the full spectrum of capital investments, from the basics through the latest innovations. It is aimed at managers who are involved in capital investment decisions: setting company capital investment policy; performing project analyses; and drafting recommendations. Those in top management will benefit from discussions of strong and weak points of various methods and concepts.

Included in the arsenal of capital investment tools in this book are concepts of proven usefulness, such as the MAPI method, no longer available in other works on the topic of capital budgeting, and other topics not covered elsewhere, such as abandonment analysis.

Anthony F. Herbst is Professor of Finance and holds the Charles R. and Dorothy S. Carter Chair at the University of Texas, El Paso. Prior to earning a Ph.D. in Economics at Purdue University, he was manager of operations research for the National Bank of Detroit, and previously had held positions as an industrial engineer for Koppers Corporation and Ford Motor Company.
From 1982 through 1998 he served as founding editor of the Journal of Financial Engineering (now merged with the Journal of Derivatives), where he is now an associate editor. He is also a member of the editorial boards for the Journal of Financial Research and The Global Finance Journal, and advisor on the editorial board of the Journal of Taxation of Financial Institutions. He is the author of several books including Analyzing and Forecasting Futures Prices (John Wiley & Sons Ltd.)