---
id: corporate-finance
title: 'Corporate Finance: Capital Structure and Valuation'
schema_type: TechArticle
category: business
language: en
confidence: medium
last_verified: '2026-05-28'
created_date: '2026-05-24'
generation_method: ai_structured
derived_from_human_seed: true
conflict_of_interest: none_declared
is_live_document: false
data_period: static
atomic_facts:
  - id: fact-biz-cf-001
    statement: Modigliani and Miller's 1958 paper "The Cost of Capital, Corporation Finance and the Theory of Investment" is the classic source for capital-structure irrelevance under idealized assumptions.
    source_title: The Cost of Capital, Corporation Finance and the Theory of Investment
    source_url: https://www.jstor.org/stable/1809766
    confidence: medium
  - id: fact-biz-cf-002
    statement: Sharpe's 1964 paper "Capital Asset Prices" is a foundational source for the Capital Asset Pricing Model.
    source_title: 'Capital Asset Prices: A Theory of Market Equilibrium under Conditions of Risk'
    source_url: https://doi.org/10.1111/j.1540-6261.1964.tb02865.x
    confidence: medium
  - id: fact-biz-cf-003
    statement: Principles of Corporate Finance is a standard corporate-finance textbook source for valuation, capital budgeting, and cost-of-capital topics.
    source_title: Principles of Corporate Finance
    source_url: https://www.mheducation.com/highered/product/principles-corporate-finance-brealey-myers/M9781264080946.html
    confidence: medium
primary_sources:
  - title: The Cost of Capital, Corporation Finance and the Theory of Investment
    type: academic_paper
    year: 1958
    authors:
      - Modigliani, Franco
      - Miller, Merton H.
    institution: American Economic Review
    url: https://www.jstor.org/stable/1809766
  - title: 'Capital Asset Prices: A Theory of Market Equilibrium under Conditions of Risk'
    type: academic_paper
    year: 1964
    authors:
      - Sharpe, William F.
    institution: Journal of Finance
    url: https://doi.org/10.1111/j.1540-6261.1964.tb02865.x
    doi: 10.1111/j.1540-6261.1964.tb02865.x
  - title: Principles of Corporate Finance
    type: textbook
    year: 2023
    authors:
      - Brealey, Richard
      - Myers, Stewart
      - Allen, Franklin
    institution: McGraw Hill
    url: https://www.mheducation.com/highered/product/principles-corporate-finance-brealey-myers/M9781264080946.html
completeness: 0.82
known_gaps:
  - This article covers foundational finance sources and does not include current market data, ESG finance, or private-markets survey claims.
---

## TL;DR

Corporate finance studies investment, financing, capital structure, and valuation decisions. This entry keeps the public claims anchored to Modigliani-Miller, CAPM, and a standard corporate-finance textbook.

## Core Explanation

The previous sample mixed textbook links, future survey claims, and unsupported evidence strings. This repair pass narrows the article to three stable claims with matching source titles and URLs.

## Further Reading

- [The Cost of Capital, Corporation Finance and the Theory of Investment](https://www.jstor.org/stable/1809766)
- [Capital Asset Prices](https://doi.org/10.1111/j.1540-6261.1964.tb02865.x)
- [Principles of Corporate Finance](https://www.mheducation.com/highered/product/principles-corporate-finance-brealey-myers/M9781264080946.html)

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