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  • 7/28/2019 FM Session Plan SemII

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    Course outline and Session wise Interactive teaching learning PlanTerm II: Second Semester

    NCRDS STERLING INSTITUTE OF

    MANAGEMENT STUDIES(Affiliated to University of Mumbai)

    MMS 2011-13 SEMESTER - II

    COURSE WARE

    FINANCIAL MANAGEMENT

    Course facultyProf. Rakhi R. Shrivastava

    1 | F o r P r i v a t e C i r c u l a t i o n a n d c l a s s r o o m d i s c u s s i o n

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    Course outline and Session wise Interactive teaching learning PlanTerm II: Second Semester

    FINANCIAL MANAGEMENT(Session Plan)

    MMS-SECOND SEMESTER-2011-13

    COURSE CODE 2.8

    No. of sessions: 18 (2 Hrs per session) Tutorials: 8 (1

    Hr PS on Saturday)

    MAX. MARKS 100 TEACHNING FACULTY: Prof.

    Rakhi R. Shrivastava

    _____________________________________________________________________________

    ____________________________

    Module one

    Module 1: Scope and Objectives of Financial Management

    Session- 1 (Teaching Hours per Session: 2)

    A. Scope of Financial Management

    a. Why Financial Management? ( Functions of Financial Management)

    b. Major Decisions in Financial Management

    c. Importance of Financial Management in Business World

    d. Risk and Return in Financial Planning

    e. Impact of Taxation and Inflation on Business and Role of FM

    f. Impact of Depreciation and FM

    B. Objectives of Financial Management

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    Course outline and Session wise Interactive teaching learning PlanTerm II: Second Semester

    a. Profit Maximization as an objective of FM

    b. Wealth Maximization as an objective of FM

    c. Value Maximization as an objective of FM

    C. Techniques of Financial Management (An Introduction)

    Value Added Teaching: Case Study Analysis : Financial Management at Hero Honda

    Ltd.

    Module Two

    Module 2: Analysis of Financial Statement as a Technique of Financial

    Management

    Session- 2 , 3 & 4 ( Teaching Hours per Session: 2)

    A. Analysis of Financial Statement as a technique to derive value information

    for Effective and Successful Financial Management

    a. Objectives of Financial Statements, Different Types and forms of Financial

    Statements

    b. Meaning of FSA

    c. Objectives and significance of FSA

    d. Limitations of FSA

    B. Various tools / Methods used for Financial Statement Analysis

    a. Comparative Financial Statements

    b. Common Size Financial Statements

    c. Trend Analysis

    d. Ratio Analysis

    e. Funds Flow Analysis

    f. Cash flow Analysis through Cash Flow Statements

    Value Added Teaching: Case Analysis: 1. Bajaj Auto Limited: The Unprecedented

    Growth Story

    2. Practical Problems

    Module Three

    Module 3: Financing Decision Analysis: Sources of Finance

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    Course outline and Session wise Interactive teaching learning PlanTerm II: Second Semester

    No. of Sessions- 5 & 6 ( Teaching Hours Per Session: 2)

    A. Need for financing

    B. Classification of various sources of Finance

    C. Short term Sources of financing or Sources of working capital financing

    a. Implicit Cost of Cash Discount

    b. Commercial paper

    c. Trade Credit

    d. Public Deposits

    e. Bank Finance

    f. Bill of Exchange

    g. Factoring

    D. Long Term and Medium Term Sources of Financing

    a. Domestic Sources of Finance: Equity capital and Debt Capital: Various types of

    both.

    b. Foreign Capital ( FDI, Euro Issues and FCB)

    Value Added Teaching: Case Analysis Financing of NTPC

    Module Four

    Module 4: Long TermInvestment Decision Analysis I

    No. of Sessions- 7, 8 & 9 ( Teaching Hours: 2)

    A. Time Value of Money (Calculation of Interest rates and Discounting of Cash

    flows)

    a. Techniques to calculate Time Value of Money, Compounding and Discounting

    b. Application of compounding and discounting

    c. Term Structure and Interest rates

    B. Cost of Capital

    a. Cost of Equity Capital

    b. Cost of Retained Earnings

    c. Cost of Preference Capital

    d. Cost of Debt

    e. Weighted Cost of Capital

    4 | F o r P r i v a t e C i r c u l a t i o n a n d c l a s s r o o m d i s c u s s i o n

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    Course outline and Session wise Interactive teaching learning PlanTerm II: Second Semester

    f. Opportunity and Marginal Cost of Capital

    Value Added Teaching: Case Analysis: 1. Bharat Engineering Works 2. Acme

    Consultancy Ltd.

    Numericals and Practical problems

    Module Five

    Module 5: Long Term & Investment Decision Analysis II

    No. of Sessions- 10, 11 & 12 ( Teaching Hours: 2)

    A. Capital Structure Planninga. Concept of Capitalb. What is capital structure

    c. Financial Structure and Capital Structure

    d. Classification of Capital Structure

    e. Planning of Capital Structure

    f. Capital Structure Trends in Private and Public Sector of India

    B. Capital Budgeting: Principles and Techniques

    a. Nature of Capital Budgeting

    b. Evaluation (Investment Appraisal Techniques)

    c. Project selection under Capital Rationing

    d. Inflation and Capital Budgeting

    e. Taxation and Capital Budgeting

    Value Added Teaching: Case Analysis: 1. Gupta Bricks (related to Capital

    Budgeting)

    Numericals and Practical problems

    Module Six

    Module 6: Current Asset Management through Working Capital

    Management

    No. of Sessions- 13, 14 & 15 ( Teaching Hours: 2)

    A. Scope, Concepts, Forecasting and Financing of Working Capital

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    Course outline and Session wise Interactive teaching learning PlanTerm II: Second Semester

    a. Meaning and Objectives of Working Capital

    b. Working Capital: A Tradeoff between liquidity and Profitability

    c. Factors Determining WC Requirement

    d. Forecasting Working Capital Requirement

    e. Financing Current Assetsf. Estimation of Working Capital

    g. Methods of WC Estimation

    B. Management of Components of Working Capital

    a. Introduction

    b. Working Capital Management Strategies

    c. Inventory Management

    d. Cash & Marketable Securities Management

    e. Receivables Management

    Value Added Teaching: Case Analysis- 1 Bharat Heavy Electricals Ltd.

    Case Analysis- 2 TISCO & SAIL

    3. Maruti Udyog Limited.

    Practical problems

    Module Seven

    Module 7: Dividend Decision Analysis: Dividend And Retention

    PoliciesNo. of Sessions- 16 & 17 (Teaching Hours: 2)

    A. Meaning and Kinds of Dividend

    B. Determinants of Dividend Policy

    C. Some Dividend policies

    D. Formulating a Dividend Policy

    E. Dividend Distribution Procedure

    F. Theories related to Valuation of Dividend

    Value Added Teaching: Case Analysis: ICI India Limited- Buyback of Shares

    Session 18 Revision & SGD

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    Course outline and Session wise Interactive teaching learning PlanTerm II: Second Semester

    Prescribed Text Book and Additional Reference TextBooks

    1. I M Pandey, (10th Edition) Financial Management, Vikas Publication, New

    Delhi

    2. MY Khan and PK Jain (6th Edition)Financial Management Tata McGraw Hill

    Pvt Ltd.

    3. Prasanna Chandra (5th Edition) Financial Management, Tata McGraw Hill Pvt

    Ltd.

    4. Rajiv Srivastava and Anil Misra Financial Management, Oxford Higher

    Education

    Current Vista (Trends) of Finance World through:

    Daily news paper reading and reading leading business and finance magazines will bevery usefulfor the students. Students are required to come to the class with update

    knowledge about current issues in the business world, Economy and in the financial

    system.

    1. The Economic Times (Newspaper)

    2. The Financial Express (Newspaper)

    3. Business Standard (News Paper)

    4. Business Today ( Magazine

    5. Business World. (Magazine)

    Evaluation Pattern:

    This subject carries 100 marks, out of which internal evaluation is for 40 marks and 60 marks

    are for external evaluation. The internal assessment breakup for 40 marks goes as follows:

    Internal Evaluation

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    Course outline and Session wise Interactive teaching learning PlanTerm II: Second Semester

    Type of test Maximum

    marks

    Marks after

    conversion

    Home Assignment 10 10

    Quiz/Class Assignment 20 10

    Seminar & Group discussion 20 10Discipline and Attendance 10 10

    Total (A) --- 40

    Term End Examination (B) 60

    Grand Total 100

    Teaching pedagogy

    The course objectives will be achieved by lecture method, individual and group

    assignments, case discussion, quizzes, articles, presentations etc. Entire pedagogy is

    envisaged to be learner centric. The class will be divided into 10 groups. Each groupwill be responsible to accomplish various assignments given from time to time. For each

    session, topic will be announced in advance, so it is essential that students should comeprepared for the class to discuss the material due for the session. The students will be

    informed for the dates of submission and presentation of assignments.

    FINANCE NEWS ANALYSIS:

    Each group will have to identify a news related to finance field published in any

    national daily during one month. Each group will analyze the news bringing out thefinancial concepts and their application and make a presentation.

    CASE ANALYSIS: This covers the analysis of the given cases. The same case

    will be given to all the groups. Any group will be asked to make a presentation

    followed by the answering the questions by students and the faculty andexpressing the view points of the groups.

    INDIVIDUAL EXERCISES: These include class tests, quiz, , Internet

    exercises and home-assignment solutions and submission in time.

    INTERNAL ASSESSMENT ACTION PLAN

    Internal Assessment plan given below is in general. Kindly follow the above table foruniversity modes of internal evaluation.

    Quizzes & Class Assignment:

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    Course outline and Session wise Interactive teaching learning PlanTerm II: Second Semester

    There will be two quizzes of (10+10+20) questions. First quiz will be based on 1,2,3, modules

    prescribed as syllabus for this quiz. First quiz will be taken after 4 sessions tentatively. You areadvised to update yourself as soon as the topic is taught in the class for better scores.

    Second quiz will have remaining modules as syllabus. The best quiz out of two will be counted

    for assessment, so good preparation is must.

    Or

    Class Assignment will be conducted based on the two modules taught in the class. In this One

    essay type question will be given to the students and they have to write the answer it in logical

    language.

    Class Assignments:

    i. common Conceptual question (answer will be different).ii problem setiii Case Study Analysis

    iv writing a case let

    Home Assignment:

    Topics will be allotted group wise to the students for this assignment. Students are required to

    write detailed case study on the same and submit the same in hard as well as soft copy. Date ofsubmission will be displayed on the notice board.

    Topics for Home Assignment:

    To be given in the class.

    Attendance:Disciplined behavior in the class will be foremost basis to award attendance.

    Seminar & Group Discussion( Presentation): (20)

    In the SGD, students will present a case study analysis. These students will beknown as paper presenters. The other group will ask questions based on thecontent of the case study presented. This group will be called Discussion panel

    group.

    Each paper presenter group consists of 5 students. On each turn 1 group i.e. 5

    students) will present papers and a group of 5 discussion panel members will asklogical questions to them.

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    Course outline and Session wise Interactive teaching learning PlanTerm II: Second Semester

    The class will maintain proper discipline. If not, it will be taken seriously and

    negative marking will be done for those students as disciplinary action.

    Each group will be given a topic on which the group members will write the

    paper. Discussion panel is required to study the topic thoroughly so that they can

    ask suitable questions to the group. Discipline, group behavior, communication skills, query handling, language

    proficiency, clarity of thought, logical thinking, quality subject matter etc are the

    parameters on the basis of which evaluation will be done.

    The time for each group will be 20 minutes The presentation time will be 10

    minutes and 10 minutes will be for discussion.

    Topics for Seminar and Group Discussion:

    a. To be given in the Class.

    Presentation Action Plan:

    The tentative plan for seminar and group discussion will go as follows:

    Week paper presenter groups Discussion Panel group

    Wk 1 Group 1 Group 8

    Wk 2 Group 2 Group, 9

    Wk 3 Group 3 Group,10

    Wk 4 Group 4 Group ,1

    Wk 5 Group 5 Group 7

    Wk 6 Group 6 Group 3

    Wk 7 Group 7 Group 4

    Wk 8 Group 8 Group 5

    Wk 9 Group 9 Group 6

    Wk 10 Group 10 Group 2

    Question Bank:

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    Course outline and Session wise Interactive teaching learning PlanTerm II: Second Semester

    To study in systematic manner, question bank plays an important role. Dont think thatit is the information about important questions but it will cover the whole syllabus and

    will give an idea what kind of questions can be asked in the examination.

    RULES FOR ATTENDANCE, DISCIPLINE, ASSIGNMENT &GENERAL CONDUCT:

    Students are hereby informed to be punctual to come to the class. After 10 minutes of

    the scheduled time of the session, no one will be allowed to enter the class.

    Students are requested to come in proper dress code. If anybody is found in not up to the

    mark dress, will be not allowed to sit in the class.

    Silence, punctuality, regularity, assignment submission in time and discipline all are

    very essential qualities for effective class room interaction. Severe action will be takenif any student is fount deficient in these.

    In order to be eligible to appear in the term end examination, one should attendminimum 75% classes.

    25% classes one can miss to meet some exigencies such as casual sickness,

    meeting with parents, attending family functions and hospitalization up to 10

    days. Such absence must be supported by required proof in the form of

    application, medical certificate duly signed by the authority and parents.

    START STUDYING FROM DAY ONE. SO MANTRA FOR SUCCESS IS

    STUDY &PRACTICE ! STUDY & PRACTICE ! STUDY &

    PRACTICE !

    All the assignments should have to be original works of the students. Those who

    plagiarize will get 00 marks and at the same time their name will be displayed on

    the Notice Board for public scrutiny.

    No one will be allowed in the class after the arrival of the teacher. No one can

    leave the class during the lecture. Timely submission of all assignments is

    indispensable failing which students will be assessed for lower marks to the

    extent of number of days of late submission.

    Class indiscipline will not be tolerated and will attract expulsion from the class.

    Mobiles and Laptops are not allowed in the class.

    To keep track of one's attendance will be student's responsibility.

    Attendance doesn't mean physical presence in the class. Disciplined presence

    and good conduct in the class will be mark worthy criteria to award attendance.

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    Course outline and Session wise Interactive teaching learning PlanTerm II: Second Semester

    Calculators are acceptable in the examination. Students may use only scientific

    calculator but to use programmable calculator identified by the alphanumeric

    key board is strictly prohibited.

    Date of assignment submission will be informed in advance. Marks will be

    deducted for late submission.

    STUDY TIME & How to improve your performance?

    Students are expected to prepare a significant amount of material outside of theclassroom requirement.

    Read the chapter once before the lecture and, again, immediately after the

    lecture. Make your own notes. Accounting needs practice so devote sufficient

    time to practice the accounting topics.

    Devise a strategy to retain what you read, e.g. try to remember the formula and

    definitions. Basic formula will not be supplied in the examination. This will help

    you to write the discussion questions and to solve the numerical problems

    confidently.

    Work out numerical problems ON YOUR OWN. This way you develop your

    critical thinking capacity and problem solving skills, which is soessential for success in the Final Examination.

    Attend tutorials arranged from time to time as this is very important.

    Consult Course-Teaching Faculty regularly in case of any difficulty regarding

    numerical s and concepts.

    Reading newspaper and updating about current economic conditions, business

    world and Finance scenario is really essential so read newspaper and business

    magazines regularly.

    Prepared By

    Prof. Rakhi R. Shrivastava

    Teaching Faculty: Finance

    ----------------------------------------------------------

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