First published in 1996. The relationship between the present discounted value of future cash flows and discounted excess earnings should be viewed as a mathematical property of a double-entry book[1]keeping system based on clean surplus. The purpose of this anthology is to facilitate future research by highlighting these historical developments and by showing how more recent theoretical and empirical research fits into the earlier history. The book is divided into four sections: historical overview; analytical properties of clean surplus; the theory of the clean surplus equation; and empirical implications.

In this crisply written, thoroughly accessible book, educator Aaron Braxton provides parents and educators with insights and strategies for nurturing and encouraging successful students. Common sense prevails as Mr. Braxton discusses proper study habits. Get comfortable but not too comfortable (stay off that bed or you'll fall asleep before you'll retain information); get organized and have the discipline to turn off all distractions. Here parents will learn how to become aware to those teachable moments in which daily occurrences provide segues to meaningful discussions with children. He suggests ways in which to imaginatively enliven a child's learning process, and explains the full commitment required to raise a well-balance child. The goal is to give parents principles that will aid in their lives, thus aiding in the lives of their children. Mr. Braxton writes in a strong, easily understandable voice as he presents valuable concepts that empower and involve parents in their children's emotional, psychological, spiritual, and educational lives.

We review and critically examine the standard approach to equity valuation using a constant risk-adjusted cost of capital, and we develop a new valuation approach discounting risk-adjusted fundamentals, such as expected free cash flows and residual operating income, using nominal zero-coupon interest rates. We show that standard estimates of the cost of capital, based on historical stock returns, are likely to be a significantly biased measure of the firm's cost of capital, but also that the bias is almost impossible to quantify empirically. The new approach recognizes that, in practice, interest rates, expected equity returns, and inflation rates are all stochastic. We explicitly characterize the risk-adjustments to the fundamentals in an equilibrium setting. We show how the term structure of risk-adjustments depends on both the time-series properties of the free cash flows and the accounting policy. Growth, persistence, and mean reversion of residual operating income created by competition in the product markets or by the accounting policy are key determinants of the term structure of risk-adjustments.

Construct a portfolio that is sure to outperform market averages Warren Buffett had it right all along. Now it's your turn to learn how to construct a portfolio that is sure to outperform the market averages, as well as almost every professional money manager in the world. Warren Buffett's method of predictability can determine a future target price, which in turn determines his all-important purchase price. However, Buffett doesn't draw conclusions of his predictability method relative to the future total returns of portfolios. That's where Buffett and Beyond comes in, taking Buffett's method one giant step beyond, proving that if you select a portfolio of stocks using the predictability method in this book, you will outperform 96% of professional money managers over the long term. In addition to the information in the book, readers will have access to a password-protected website that includes tutorial videos, PowerPoint slides, free trial access to a video newsletter, and a trial subscription to the author's computer program, which follows the research presented in the book. Explains Clean Surplus Accounting (CSA) to determine Return on Owners' Equity (ROE) Uses CSA to determine ROE in a unique way to verify Buffett's all-important purchase price Draws conclusions between Clean Surplus Return on Equity and future total returns Shows that every portfolio selected from the S&P 500 index with above-average Clean Surplus ROEs outperformed the S&P average during the test periods from 1987 to the present If you're an investor, this book will impact your financial life forever.

"Here is an essential tool for the investor: clear, practical, insightful, and concise. This book should have a long, useful life in a professional's library." —Jeffrey P. Davis, CFA, Chief Investment Officer, Lee Munder Capital Group "This book provides a clear, comprehensive overview of equity valuation concepts and methods. It is well suited for finance practitioners who want to strengthen their understanding of equity asset valuation and as a supplemental reading in advanced undergraduate and graduate courses addressing security analysis and business valuation." —Professor Robert Parrino, CFA, PhD, Department of Finance, Red McCombs School of Business, The University of Texas at Austin "CFA Institute has done it again. This will be a 'must' reference book for anyone serious about the nuances of equity investment valuation." —Robert D. Arnott, Chairman, Research Affiliates "Equity Asset Valuation concisely and clearly explains the most widely used approaches to equity evaluation. In addition to thoroughly explaining the implementation of each valuation method, there is sophisticated discussion of the commonsense financial economics and accounting issues underlying the methods." —David Blackwell, Head and RepublicBank/James W. Aston Professor of Finance, Mays Business School, Texas A&M University

The author of the breakout hit Here Comes Everybody reveals how new technology is changing us for the better. In his bestselling Here Comes Everybody, Internet guru Clay Shirky provided readers with a much-needed primer for the digital age. Now, with Cognitive Surplus, he reveals how new digital technology is unleashing a torrent of creative production that will transform our world. For the first time, people are embracing new media that allow them to pool their efforts at vanishingly low cost. The results of this aggregated effort range from mind-expanding reference tools like Wikipedia to life-saving Web sites like Ushahidi.com, which allows Kenyans to report acts of violence in real time. Cognitive Surplus explores what's possible when people unite to use their intellect, energy, and time for the greater good.

The Model Rules of Professional Conduct provides an up-to-date resource for information on legal ethics. Federal, state and local courts in all jurisdictions look to the Rules for guidance in solving lawyer malpractice cases, disciplinary actions, disqualification issues, sanctions questions and much more. In this volume, black-letter Rules of Professional Conduct are followed by numbered Comments that explain each Rule's purpose and provide suggestions for its practical application. The Rules will help you identify proper conduct in a variety of given situations, review those instances where discretionary action is possible, and define the nature of the relationship between you and your clients, colleagues and the courts.