Fim

Download as pdf or txt
Download as pdf or txt
You are on page 1of 2

Course Title: FINANCIAL MANAGEMENT

Course Code: 11BB2301

Objective: To acquaint the students with the basic concepts of management of business finance.

Detailed Curriculum:

Unit I: Introduction: Nature and scope of financial management - finance functions-treasury vs.
controller functions - changing role of financial management

Unit II: Cost of Capital: Cost of debt, preference, equity capital and retained Earnings - Weighted
average, marginal cost of capital.

Unit III: Investment decisions: Capital budgeting process- basic principles of capital expenditure
proposals-various appraisal methods-Average rate of return, payback period, NPV, IRR and profitability
index, merits and demerits of appraisal methods-conflicts in decision making - capital rationing.

Unit - IV: Financing Decision: Sources of finance – debt, preference and equity Capitals - Operating and
financial leverage, total leverage- Capital structure - net income and net operating income approaches-
optimal capital Structure- Factors affecting capital structure - EBIT/EPS and ROI & ROE analysis. Capital
structure policies in practice.

Unit - V: Dividend decisions: Dividend theories-Modigliani-miller hypothesis - dividend policies-dividend


policy and share valuation- corporate dividend practices in India. Working capital policy-overall
considerations-importance of working capital management. Estimation of working capital.

Recommended Text Book(s):

1. Khan M.Y. and Jain P.K.: Financial Management, Text and Problems, Tata McGraw Hill, New Delhi.
Recommended Reference Books:

1. Prasanna Chandra : Financial Management Theory and Practice, Tata Mc Graw Hill, New
Delhi.
2. Pandey I.M.: Financial Management, Vikas Publishing House, New Delhi.
3. Ravi M. Kishore: Financial Management, Taxman, Delhi.

You might also like

pFad - Phonifier reborn

Pfad - The Proxy pFad of © 2024 Garber Painting. All rights reserved.

Note: This service is not intended for secure transactions such as banking, social media, email, or purchasing. Use at your own risk. We assume no liability whatsoever for broken pages.


Alternative Proxies:

Alternative Proxy

pFad Proxy

pFad v3 Proxy

pFad v4 Proxy