MBA, Second Semester, Anna University Chennai SyllabusFINANCIALMANAGEMENTUnit-I: Foundations of Finance (9)Financial Management – An Overview – Time Value of Money – Introduction to the Concept of Risk and Return of a Single Asset and of a Portfolio – Valuation of Bonds and Shares – Option valuation. Unit-II: Investment Decisions (9)Capital Budgeting: Principles and Techniques - Nature of Capital Budgeting – Identifying Relevant Cashflows – Evaluation Techniques: Payback, Accounting Rate of Return, Net Present Value, Internal Rate of Return, Profitability Index – Comparison of DCF Techniques – Project Selection under Capital Rationing – Inflation and Capital Budgeting – Concept and Measurement of Cost of Capital – Specific Cost and Overall Cost of Capital. Unit-III: Financing and Dividend Decision (9)Financial and Operating Leverage – Capital Structure – Cost of Capital and Valuation – Designing Capital Structure. Dividend Policy – Aspects of Dividend Policy – Practical Consideration – Forms of Dividend Policy – Forms of Dividends – Share Splits. Unit-IV: Working Capital Management (9)Principles of Working Capital: Concepts, Needs, Determinants, Issues and Estimation of Working Capital – Accounts Receivables Management and Factoring – Inventory Management – Cash Management – Working Capital Finance: Trade Credit, Bank Finance and Commercial Paper. Unit-V: Long-Term Sources of Finance (9)Indian Capital and Stock Market, New Issues Market, Long-term Finance: Shares, Debentures and Term Loans, Lease, Hire Purchase, Venture Capital Financing, Private Equity.