Financial Management

                                                                                                                                               Syllabus

                                                                      (17E00204) FINANCIAL MANAGEMENT

1)      The Finance function: Nature and Scope. Importance of Finance function – The role in the contemporary scenario – Goals of Finance function; Profit Vs Wealth                  maximization.

 2)      The Investment Decision: Investment decision process – Project generation, Project evaluation, Project selection and Project implementation. Capital Budgeting                 methods– Traditional and DCF methods. The NPV Vs IRR Debate.

3)      The Financing Decision: Sources of Finance – A brief survey of financial instruments. The Capital Structure Decision in practice: EBIT-EPS analysis. Cost of Capital:            The concept, Measurement of cost of capital – Component Costs and Weighted Average Cost. The Dividend Decision: Major forms of Dividends.

 4)      Introduction to Working Capital: Concepts and Characteristics of Working Capital, Factors determining the Working Capital, Working Capital cycle- Management of            Current Assets – Cash, Receivables and Inventory, Financing Current Assets.

5)      Corporate Restructures: Corporate Mergers and Acquisitions and Take-overs-Types of Mergers, Motives for mergers, Principles of Corporate Governance.

Unit 1: Introduction to Financial Management

Unit 2: Investment Decision

Unit 3: Financing Decision

Unit 4: Introduction to Working Capital

Unit 5: Corporate Restructures

Case Studies

Solved Paper (2014)

Solved Paper (2015)

Solved Paper (2016)

Solved Paper (2017)