This document outlines key concepts in finance including: - The primary difference between the primary and secondary markets is that in the primary market investors buy securities directly from issuing companies, while in the secondary market investors buy and sell previously issued securities from each other. - Preferred stock represents ownership in a corporation but does not carry voting rights, while common stock is the basic form of ownership that includes voting rights and limited liability for stockholders. - Independent projects are not affected by decisions on other projects, mutually exclusive projects compete for limited resources, and contingent projects depend on the acceptance of another project. - The five steps to calculate net present value are: estimate project costs and cash flows, determine the cost of capital discount rate,