CC09 -FINANCIAL MANAGEMENT
Module I
Financial Management - Scope - Role of Financial Management in Business-Time value of money-Risk and Return- Risk diversification.
Module II
Long-term investment decisions – Capital budgeting, Different techniques –Traditional and modern methods (DCF method) – Capital Rationing – Risk Analysis in Capital budgeting – An overview of Cost of Capital.
Module III
Financing decisions – Operating, Financial and combined leverage – Capital Structure –
Meaning and importance- Theories of capital structure – Net income, Net operating income and MM approach (Hypothesis).
Module IV
Dividend decisions – Dividend policy (Walter Gordon and MM approach) – Types of
Dividend- Legal and Procedural aspects of payment of Dividend.
Module V
An overview of Working Capital Management – Inventory, Cash and Receivable management and Management of surplus – Working Capital Financing and Long term
Financing, Current Liabilities Management – size and sources- Money Market – Banks –
Regulation of Working Capital Finance in India.
References
1. Van Horne James, Financial Management Policy, Prentice Hall India
2. I M Panday, Financial Management, Vikas Publications, New Delhi.
3. Prasanna Chandra, Financial Management, Tata Mc Graw Hill, New Delhi.
4. Khan M Y& Jain P K, Financial Management, Tata Mc Graw Hill, New Delhi.
5. Lawerence J Gitman, Principles of Managerial Finance, Pearson Education limited. New Delhi.
6.
References: 1. O’Brien, James A Management Information Systems, Tata McGraw Hill, New Delhi, 2. Marvin Gore, Elements of Systems Analysis & Design, , Galgota Publications.