Search results

CHAPTE R 31 WORKING CAPITAL FINANCE LEARNING OBJECTIVES 2 ? Explain the benefits and costs of trade credit ? Focus on the norms used by banks in financing a firm’s working capital need ? Emphasize the importance of commercial paper as a method of working capital finance in India 3...

CHAPTE R 30 CASH MANAGEMENT LEARNING OBJECTIVES ? Explain the reasons for holding cash ? Underline the need for cash management ? Discuss the techniques of preparing cash budget ? Focus on the management of cash collection and disbursement ? Emphasize the need for investing surplus cash in...

CASH MANAGEMENT FORECAST FOR CASH RECEIPTS SALES CREDIT SALES COLLECTION OF A/C RECEIVABLES CASH SALES RECEIPT FROM SALE OF EQUIPMENT INTEREST TOTAL CASH RECEIPT (4:9) FORECAST FOR CASH PAYMENTS MATERIAL PURCHASES CREDIT MATERIAL PURCHASES PAYMENT OF A/C PAYABLE MISCELLENEOUS CASH PURCHASE...

CHAPTE R 29 INVENTORY MANAGEMENT LEARNING OBJECTIVES 2 ? Highlight the need for and nature of inventory ? Explain the techniques of inventory management ? Focus on the need for analyzing inventory problem as an investment decision ? Discuss the process for managing inventory Nature of...

CHAPTE R 28 RECEIVABLES MANAGEMENT AND FACTORING LEARNING OBJECTIVES 2 Emphasize the need and goals of establishing a sound credit policy ? Show how an optimum credit policy can be established ? Explain the credit policy variables ? Indicate the credit procedure for and control of individual...

CHAPTE R 27 PRINCIPLES OF WORKING CAPITAL MANAGEMENT LEARNING OBJECTIVES 2 ? Underline the need for investing in current assets, and elaborate the concept of operating cycle ? Highlight the necessity of managing current assets and current liabilities ? Explain current asset investment and...

CHAPTE R 25 Financial Statement Analysis LEARNING OBJECTIVES 2 ? ? ? ? Show the use of financial ratios to get useful information from financial statements Recognize the diagnostic role of financial ratios Highlight the utility of financial ratios in credit analysis and competitive...

CHAPTE R 26 Financial Planning and Strategy LEARNING OBJECTIVES 2 ? ? ? ? ? ? Understand the difference between financial forecasting and financial planning Explain the components of a financial plan Discuss the technique of financial forecasting Develop an approach to construct a financial...

CHAPTE R 24 FINANCIAL STATEMENTS AND CASH FLOW ANALYSIS LEARNING OBJECTIVES 2 ? ? ? ? ? ? Introduce financial statements—balance sheet and profit and loss account Distinguish between accounting profit and economic profit Discuss the meaning of funds flow and working capital flow Highlight...

CHAPTE R 23 VENTURE CAPITAL FINANCING LEARNING OBJECTIVES 2 ? ? ? ? ? Highlight the true notion of venture capital Focus on the development of venture capital in India Discuss the steps in a venture capital investment process Explain the methods of venture capital financing Emphasize the...

CHAPTE R 22 ASSET-BASED : LEASE, HIRE PURCHASE AND PROJECT FINANCING LEARNING OBJECTIVES 2 ? Define lease and highlight its true advantages ? Explain the methods for evaluating a lease ? Discuss the concept of a leveraged lease ? Highlight the difference between hire purchase financing and...

CHAPTE R 21 CONVERTIBLE DEBENTURES AND WARRANTS LEARNING OBJECTIVES 2 ? Explain the features and valuation methods of convertible debentures ? Focus on the characteristics and valuations of warrants ? Discuss the features of capital market instruments like the zero-interest debentures or...

CHAPTE R 20 LONG TERM FINANCE: SHARES, DEBENTURES AND TERM LOANS LEARNING OBJECTIVES 2 Explain the features of ordinary shares ? Focus on the benefits and valuation of rights shares ? Discuss the pros and cons of debentures and preference shares ? Highlight the features of term loans ...

CHAPTE R 19 CAPITAL MARKET EFFICIENCY AND CAPITAL MARKETS IN INDIA LEARNING OBJECTIVES 2 ? Explain the concept of the capital market efficiency ? Discuss the features of perfect capital market ? Highlight the developments in the stock markets (secondary market) and the new issue market...

CHAPTE R 18 DIVIDEND POLICY LEARNING OBJECTIVES 2 ? Explain the objectives of dividend policy in practice ? Understand the factors that influence a firm’s dividend policy ? Focus on the importance of the stability of dividend. ? Discuss the significance and implications of bonus shares and...

CHAPTE R 17 DIVIDEND THEORY LEARNING OBJECTIVES 2 ? Highlight the issues of dividend policy ? Critically evaluate why some experts feel that dividend policy matters ? Discuss the bird-in-the-hand argument for paying current dividends ? Explain the logic of the dividend irrelevance ...

CHAPTE R 16 VALUATION AND FINANCING LEARNING OBJECTIVES 2 ? Understand the relationship between leverage, beta and the cost of capital. ? Explain the unlevering and levering of beta for calculating the cost of capital. ? Discuss the utility and limitations of WACC in evaluating an...

CHAPTE R 15 CAPITAL STRUCTURE: THEORY AND POLICY LEARNING OBJECTIVES 2 ? ? ? ? ? ? ? Understand the theories of the relationship between capital structure and the value of the firm Highlight the differences between the Modigliani-Miller view and the traditional view on the relationship...

CHAPTE R 14 FINANCIAL AND OPERATING LEVERAGE LEARNING OBJECTIVES 2 ? Explain the concept of financial leverage ? Discuss the alternative measures of financial leverage ? Understand the risk and return implications of financial leverage ? Analyze the combined effect of financial and...

CHAPTE R 13 REAL OPTIONS; INVESTMENT STRATEGY AND PROCESS LEARNING OBJECTIVES 2 ?Understand the capital budgeting process ?Document the policies and practices of companies in India and compare them with that of the companies in developed countries ?Understand the linkage between corporate...