MBA (FINANCE)

(Course code – 37)

CURRICULUM
1st YEAR - I SEMESTER

Sl.No. Code Course Title

1 MBAC 1001 Management Concepts & Organisational Behaviour
2 MBAC 1002 Managerial Economics
3 MBAC 1003 Accounting for Managers
4 MBAC 1004 Business Environment and Law
5 MBAC 1005 Research Methodology
1st YEAR - II SEMESTER

1 MBAC 2001 Financial Management

2 MBAC 2002 Marketing Management
3 MBAC 2003 Human Resources Management
4 MBAC 2004 Operations Research and Management
5 MBAC 2005 Strategic Management
2nd YEAR - III SEMESTER

1 MBFM 3001 Strategic Financial Management

2 MBFM 3002 Banking and Indian Financial System
3 MBFM 3003 Merchant Banking and Financial Services
4 MBFM 3004 Project Management
5 MBFM 3005 Management Accounting
2nd YEAR - IV SEMESTER

1 MBFM 4001 Investment and Portfolio Management

2 MBFM 4002 Global Financial Management
3 MBFM 4003 International Trade and Finance
4 MBFM 4004 Security Market Operations
5 MBFM 4005 Financial Derivatives
6 MBFM 4006 Project Work
 MBA (FINANCE) - SYLLABUS
MBA – I Semester
PAPER – I
MANAGEMENT CONCEPTS & ORGANISATIONAL BEHAVIOUR
Paper Code: MBAC 1001
Objectives
➢ To provide conceptual understanding of Management Concepts
➢ To familiarize the students with the contemporary issues in Management
➢ To understand and appreciate the human behaviour in organisations

UNIT - I
Nature of Management - Social Responsibilities of Business - Manager and Environment
Levels in Management - Managerial Skills - Planning - Steps in Planning Process - Scope and
Limitations - Short Range and Long Range Planning - Flexibility in Planning Characteristics
of a sound Plan - Management by Objectives (MBO) - Policies and Strategies - Scope and
Formulation - Decision Making - Techniques and Processes

UNIT – II
An Overview of Staffing, Directing and Controlling Functions - Organising - Organisation
Structure and Design - Authority and Responsibility Relationships - Delegation of Authority
and Decentralisation - Interdepartmental Coordination - Emerging Trends in Corporate
Structure, Strategy and Culture - Impact of Technology on Organisational design -
Mechanistic Vs Adoptive Structures - Formal and Informal Organisation

UNIT – III
Perception and Learning - Personality and Individual Differences - Motivation and Job
Performance - Values, Attitudes and Beliefs - Stress Management - Communication Types-
Process - Barriers - Making Communication Effective

UNIT – IV
Group Dynamics - Leadership - Styles - Approaches - Power and Politics - Organisational
Structure - Organisational Climate and Culture - Organisational Change and Development.
UNIT – V
Comparative Management Styles and approaches - Japanese Management Practices
Organisational Creativity and Innovation - Management of Innovation - Entrepreneurial
Management - Benchmarking - Best Management Practices across the world - Select cases of
Domestic & International Corporations - Management of Diversity.

REFERENCES
Koontz, Weirich &Aryasri, PRINCIPLES OF MANAGEMENT, Tata McGraw-Hill,
NewDelhi,2004
Tripathi & Reddy, PRINCIPLES OF MANAGEMENT, Tata McGraw-Hill, New Delhi,2008
Laurie Mullins, MANAGEMENT AND ORGANISATIONAL BEHAVIOUR, Pearson,
NewDelhi,2007
Meenakshi Gupta, PRINCIPLES OF MANAGEMENT, PHI Learning, NewDelhi, 2009
Fred Luthans, ORGANISA TIONAL BEHAVIOUR, TataMcGraw-Hill, NewDelhi
Stephen Robbins, ORGANISATIONAL BEHAVIOUR, Pearson, New Delhi
Ricky Griffin, MANAGEMENT: PRINCIPLES & APPLICATIONS, Cengage,
NewDelhi,2008
MBA – I Semester
PAPER – II
MANAGERIAL ECONOMICS
Paper Code: MBAC 1002
Objectives
➢ To introduce the economic concepts
➢ To familiarize with the students the importance of economic approaches in
managerial decision making
➢ To understand the applications of economic theories in business decisions

UNIT – I
General Foundations of Managerial Economics - Economic Approach - Circular Flow of
Activity - Nature of the Firm - Objectives of Firms - Demand Analysis and Estimation -
Individual, Market and Firm demand - Determinants of demand - Elasticity measures and
Business Decision Making - Demand Forecasting.
UNIT-II
Law of Variable Proportions - Theory of the Firm - Production Functions in the Short and
Long Run - Cost Functions – Determinants of Costs – Cost Forecasting - Short Run and Long
Run Costs –Type of Costs - Analysis of Risk and Uncertainty.
UNIT-III
Product Markets -Determination Under Different Markets - Market Structure – Perfect
Competition – Monopoly – Monopolistic Competition – Duopoly - Oligopoly - Pricing and
Employment of Inputs Under Different Market Structures – Price Discrimination - Degrees of
Price Discrimination.
UNIT-IV
Introduction to National Income – National Income Concepts - Models of National Income
Determination - Economic Indicators - Technology and Employment - Issues and Challenges
– Business Cycles – Phases – Management of Cyclical Fluctuations - Fiscal and Monetary
Policies.
UNIT – V
Macro Economic Environment - Economic Transition in India - A quick Review -
Liberalization, Privatization and Globalization - Business and Government - Public-Private
Participation (PPP) - Industrial Finance - Foreign Direct Investment(FDIs).

REFERENCES

Yogesh Maheswari, MANAGERIAL ECONOMICS, PHI Learning, NewDelhi, 2005Gupta G.S.,

MANAGERIAL ECONOMICS, Tata McGraw-Hill, New DelhiMoyer &Harris, MANAGERIAL
ECONOMICS, Cengage Learning, NewDelhi, 2005Geetika, Ghosh & Choudhury, ,
MANAGERIAL ECONOMICS, Tata McGrawHill, NewDelhi, 2011
MBA - I Semester
PAPER –III
ACCOUNTING FOR MANAGERS
Paper code: MBAC
1003
Objectives
➢ To acquaint the students with the fundamentals principles of Financial, Cost and
Management Accounting
➢ To enable the students to prepare, Analyse and Interpret Financial Statements and
➢ To enable the students to take decisions using Management Accounting Tools.

UNIT-I
Book-keeping and Accounting – Financial Accounting – Concepts and Conventions – Double Entry
System – Preparation of Journal, Ledger and Trial Balance – Preparation of Final Accounts –Trading,
Profit and Loss Account and Balance Sheet with adjustment entries, simple problems only - Capital
and Revenue Expenditure and Receipts.

UNIT-II
Depreciation – Causes – Methods of Calculating Depreciation – Straight Line Method, Diminishing
Balance Method and Annuity Method - Ratio Analysis – Uses and Limitations – Classification of
Ratios – Liquidity, Profitability, Financial and Turnover Ratios – Simple problems only.
UNIT-III
Funds Flow Analysis – Funds From Operation, Sources and Uses of Funds, Preparation of Schedule
of Changes in Working Capital and Funds Flow Statements – Uses and Limitations - Cash Flow
Analysis – Cash From Operation – Preparation of Cash Flow Statement – Uses and Limitations –
Distinction between Funds flow and Cash Flow – only simple problems
UNIT-IV
Marginal Costing - Marginal cost and Marginal costing - Importance - Break-even Analysis - Cost
Volume Profit Relationship – Application of Marginal Costing Techniques, Fixing Selling Price,
Make or Buy, Accepting a foreign order, Deciding sales mix.

UNIT-V
Cost Accounting - Elements of Cost - Types of Costs - Preparation of Cost Sheet – Standard Costing
– Variance Analysis – Material Variances – Labour Variances – simple problems related to Material
and Labour Variances only
[Note: Distribution of Questions between Problems and Theory of this paper must be
60:40 i.e., Problem Questions: 60 % & Theory Questions: 40 %]

REFERENCES
Jelsy Josheph Kuppapally, ACCOUNTING FOR MANAGERS, PHI, Delhi, 2010.
Paresh shah, BASIC ACCOUNTING FOR MANAGERS, Oxford, Delhi, 2007
Ambrish Gupta, FINANCIAL ACCOUNTING FOR MANAGEMENT, Pearson, Delhi, 2004
Narayanaswamy R, FINANCIAL ACCOUNTING , PHI, Delhi, 2011
MBA - I Semester
PAPER-IV
BUSINESS ENVIRONMENT AND LAW
Paper Code: MBAC
1004
Objectives
➢ To acquaint students with the issues of domestic and global environment in which business
has to operate
➢ To relate the Impact of Environment on Business in an integrated manner, and
➢ To give an exposure to important commercial and industrial laws

UNIT – I
Dynamics of Business and its Environment – Technological, Political, Social and Cultural
Environment - Corporate Governance and Social Responsibility - Ethics in Business -
Economic Systems and Management Structure - Family Management to Professionalism -
Resource Base of the Economy - Land, Forest, Water, Fisheries, Minerals - Environmental
Issues.
UNIT - II
Infrastructure - Economic- Social, Demographic Issues, Political context - Productivity
Factors, Human Elements and Issues for Improvement - Global Trends in Business and
Management - MNCs - Foreign Capital and Collaboration - Trends in Indian Industry - The
Capital Market Scenario.
UNIT - III
Law of Contract - Agreement - Offer - Acceptance - Consideration - Capacity of Contract
Contingent Contract - Quasi Contract - Performance - Discharge - Remedies to breach of
Contract - Partnership - Sale of Goods - Law of Insurance - Negotiable Instruments - Notes,
Bills, Cheques - Crossing - Endorsement - Holder in due course - Holder in value - Contract
of Agency.
UNIT - IV
Company - Formation - Memorandum - Articles - Prospectus - Shares - Debentures -
Directors - Appointment - Powers and Duties - Meetings - Proceedings – Management -
Accounts - Audit - Oppression and Mismanagement - Winding up.
UNIT - V
Factory Act – Licensing and Registration of Factories, Health, Safety and Welfare measures
- Industrial Disputes Act – Objects and scope of the Act, Effects of Industrial Dispute,
Administration under the Act- Minimum Wages Act - Workmen Compensation Act.

REFERENCES
Pathak, LEGAL ASPECTS OF BUSINESS, Tata McGraw- Hill Publishing Company Limited, New
Delhi, 2010.
Keith-Davis & William Frederick, BUSINESS AND SOCIETY, McGraw-Hill, Tokyo.
M.M. Sulphey & Az-har Basheer, LAWS FOR BUSINESS, PHI Learning Pvt. Ltd. Delhi, 2011
Maheswari & Maheswari, MERCANTILE LAW. Himalaya Publishing House. Mumbai
Rudder Dutt & Sundaram, INDIAN ECONOMY, Vikas Publishing House, New Delhi.
Veena Keshav Pailwar, ECONOMIC ENVIRONMENT OF BUSINESS, PHI Learning Pvt.
Ltd, New Delhi, 2010
MBA-I Semester
PAPER-V
RESEARCH METHODOLOGY
Paper code: MBAC 1005
Objectives
➢ To enable the students to know about the information needs of Management
➢ To introduce the concept of Scientific Research and the methods of conducting
Scientific Enquiry and
➢ To introduce the Statistical Tools of Data Analysis.

UNIT-I
Research – Qualities of Researcher – Components of Research Problem – Various Steps in Scientific
Research – Types of Research – Hypotheses Research Purposes - Research Design – Survey Research
– Case Study Research.

UNIT-II
Data Collection – Sources of Data – Primary Data – Secondary Data - Procedure Questionnaire –
Sampling methods – Merits and Demerits – Experiments – Observation method – Sampling Errors -
Type-I Error & Type-II Error.

UNIT-III
Statistical Analysis – Introduction to Statistics – Probability Theories – Conditional Probability,
Poisson Distribution, Binomial Distribution and Properties of Normal Distributions – Hypothesis
Tests – One Sample Test – Two Sample Tests / Chi-Square Test, Association of Attributes - Standard
deviation – Co-efficient of variations .

UNIT-IV
Statistical Applications – Correlation and Regression Analysis – Analysis of Variance – Partial and
Multiple Correlation – Factor Analysis and Conjoint Analysis – Multifactor Evaluation – Two-Factor
Evaluation Approaches.

UNIT-V
Research Reports – Structure and Components of Research Report – Types of Report, characteristics
of Good Research Report, Pictures and Graphs, Introduction to SPSS.

[Note: Distribution of Questions between Problems and Theory of this paper must be
40:60 i.e., Problem Questions: 40 % & Theory Questions: 60 %]

REFERENCES
Panneerselvam, R., RESEARCH METHODOLOGY, Prentice Hall of India, New Delhi, 2004.
Kothari CR , RESEARCH METHODOLOGY-METHODS AND TECHNIQUES, New Wiley
Eastern Ltd., Delhi, 2009.
MBA - II Semester
PAPER-VI
FINANCIAL MANAGEMENT
Paper code: MBAC 2001
Objectives
➢ To know the various sources of finance
➢ To understand the various uses for finance and
➢ To familiarize oneself with the techniques used in financial management.
UNIT-I
Financial Management – Financial goals - Profit vs. Wealth Maximization; Finance Functions –
Investment, Financing and Dividend Decisions – Cost of Capital – Significance of Cost of Capital –
Calculation of Cost of Debt – Cost of Preference Capital – Cost of Equity Capital (CAPM Model and
Gordon’s Model) and Cost of Retained Earnings – Combined Cost of Capital (weighted/Overall).

UNIT-II
Capital Budgeting – Nature of Investment Decisions – Investment Evaluation criteria – Net Present
Value (NPV), Internal Rate of Return (IRR), Profitability Index (PI), Payback Period, Accounting
Rate of Return (ARR) – NPV and IRR comparison.

UNIT-III
Operating and Financial Leverage – Measurement of Leverages – Effects of Operating and Financial
Leverage on Profit – Analyzing Alternate Financial Plans - Combined Financial and Operating
Leverage – Capital Structure Theories - Traditional approach - M.M. Hypotheses – without Taxes
and with Taxes – Net Income Approach (NI) – Net Operating Income Approach (NOI) - Determining
capital structure in practice.

UNIT- IV
Dividend Policies – Issues in Dividend Decisions – Relevance Theory – Walter's Model – Gordon's
Model – Irrelevance Theory – M-M hypothesis - Dividend Policy in Practice – Forms of Dividends –
Stability in Dividend Policy – Corporate Dividend Behaviour.

UNIT-V
Management of Working Capital – Significance and types of Working Capital – Calculating
Operating Cycle Period and Estimation of Working Capital Requirements – Financing of Working
Capital and norms of Bank Finance – Sources of Working capital – Factoring services– Various
committee reports on Bank Finance – Dimensions of Working Capital Management.

[Note: Distribution of Questions between Problems and Theory of this paper must be
40:60 i.e., Problem Questions: 40 % & Theory Questions: 60 %]

REFERENCES

Khan MY, Jain PK, BASIC FINANCIAL MANAGEMENT, Tata McGraw Hill, Delhi , 2005.
Chandra, Prasanna,. FINANCIAL MANAGEMENT, Tata McGraw Hill, Delhi.
Bhabatosh Banerjee, FUNDAMENTALS OF FINANCIAL MANAGEMENT, PHI, Delhi, 2010
Chandra Bose D, FUNDAMENTALS OF FINANCIAL MANAGEMENT, PHI, Delhi, 2010
Preeti Singh, FUNDAMENTALS OF FINANCIAL MANAGEMENT, Ane, 2011.
MBA- II Semester
PAPER-VII
MARKETING MANAGEMENT
Paper Code: MBAC
2002
Objectives
➢ To familiarize with the basic concepts, and techniques of marketing management
➢ To understand the behaviour of consumers
➢ To create awareness of marketing mix elements, and
➢ To analyse and solve marketing problems in the complex and fast changing business
environment.

UNIT-I
Introduction to Marketing and Marketing Management, Marketing Concepts - Marketing
Process Marketing mix - Marketing environment. - Consumer Markets and buying behaviour
- Market segmentation and targeting and positioning.

UNIT-II
Product Decisions - concept of a Product - Product mix decisions - Brand Decision - New
Product Development – Sources of New Product idea - Steps in Product Development -
Product Life Cycle strategies- Stages in Product Life Cycle,

UNIT-III
Price Decisions - Pricing objectives - Pricing polices and constraints - Different pricing
method - New product pricing, Product Mix pricing strategies and Price adjustment strategy.

UNIT-IV
Channel Decision - Nature of Marketing Channels –. Types of Channel flows - Channel
functions - Functions of Distribution Channel – Structure and Design of Marketing Channels
-Channel co-operation, conflict and competition – Retailers and wholesalers.

UNIT - V
Promotion Decision - Promotion mix - Advertising Decision, Advertising objectives -
Advertising and Sales Promotion – Developing Advertising Programme – Role of Media in
Advertising - Advertisement effectiveness - - Sales force Decision.

REFERENCES
K.S. Chandrasekar, MARKETING MANAGEMENT TEXT AND CASES, Tata McGraw-Hill
Publication, New Delhi.2010
Govindarajan, MARKETING MANAGEMENT CONCEPTS, CASES, CHHALLENGES AND
TRENDS, Prentice Hall of India, New DelhI. 2009
Philip Kotler, MARKETING MANAGEMENT- ANALYSIS PLANNING AND CONTROL,
Prentice Hall of India, New Delhi,
Ramaswamy. V S & Namakumari. S, MARKETING MANAGEMENT-PLANNING
IMPLEMENTATION AND CONTROL, Macmillan Business Books, New Delihi, 2002,
MBA – II Semester
PAPER – VIII
HUMAN RESOURCES MANAGEMENT
Paper Code: MBAC 2003
Objectives
➢ To understand and appreciate the importance of the human resources vis-a-vis other
resources of the organisation
➢ To familiarize the students with methods and techniques of HRM
➢ To equip them with the application of the HRM tools in real world business
situations.

UNIT-I
Human Resources Management - Context and Concept of People Management in a Systems
Perspective - Organisation and Functions of the HR and Personnel Department - HR
Structure and Strategy; Role of Government and Personnel Environment including MNCs.
UNIT – II
Recruitment and Selection - Human Resource Information System [HRIS] - Manpower
Planning - Selection – Induction & Orientation - Performance and Potential Appraisal -
Coaching and Mentoring - HRM issues and practices in the context of Outsourcing as a
strategy .
UNIT-III
Human Resources Development –Training and Development Methods - Design &
Evaluation of T&D Programmes - Career Development - Promotions and Transfers -
Personnel Empowerment including Delegation - Retirement and Other Separation Processes.
UNIT-IV
Financial Compensation- -Productivity and Morale - Principal Compensation Issues &
Management - Job Evaluation - Productivity, Employee Morale and Motivation - Stress
Management - Quality of Work Life.
UNIT – V
Building Relationships – Facilitating Legislative Framework - Trade Unions - Managing
Conflicts - Disciplinary Process - Collective Bargaining - Workers Participation in
Management - Concept, Mechanisms and Experiences.

REFERENCES
Venkata Ratnam C. S. & Srivatsava B. K.,PERSONNEL MANAGEMENT AND HUMAN
RESOURCES, Tata Mc-Graw Hill, NewDelhi,,
Aswathappa, HUMAN RESOURCE MANGEMENT, Tata McGraw Hill, NewDelhi, 2010
Garry Dessler &Varkkey, HUMAN RESOURCE MANAGEMENT, Pearson, New Delhi, 2009
Alan Price, HUMAN RESOURCE MANAGEMENT, Cengage Learning, NewDelhi, 2007
Pravin Durai, HUMAN RESOURCE MANGEMENT, Pearson, New Delhi,2010
Snell, Bohlander & Vohra, HUMAN RESOURCES MANAGEMENT, Cengage, NewDelhi, 2010
MBA – II Semester
PAPER – IX
OPERATIONS RESEARCH AND MANAGEMENT
Paper Code: MBAC 2004
Objectives
➢ To familiarize the Operations Management concepts
➢ To introduce various optimization techniques with managerial perspective
➢ To facilitate the use of Operations Research techniques in managerial decisions.

UNIT –I
Introduction to Operations Management - Process Planning - Plant Location - Plant Lay out -
Introduction to Production Planning.
UNIT –II
Stages of Development of Operations Research- Applications of Operations Research-
Limitations of Operations Research- Introduction to Linear Programming- Graphical
Method- Simplex Method - Duality.
UNIT-III
Transportation Problem- Assignment Problem - Inventory Control - Introduction to Inventory
Management - Basic Deterministic Models - Purchase Models - Manufacturing Models with
and without Shortages.
UNIT-IV
Shortest Path Problem - Minimum Spanning Tree Problem - CPM/PERT - Crashing of a
Project Network.
UNIT- V
Game Theory- Two Person Zero-sum Games -Graphical Solution of (2 x n) and (m x 2)
Games - LP Approach to Game Theory - Goal programming - Formulations - Introduction to
Queuing Theory - Basic Waiting Line Models: (M/M/1 ):(GD/a/a), (M/M/C):GD/a/a).
[Note: Distribution of Questions between Problems and Theory of this paper must be 60: 40 i:e,
Problem Questions: 60 % & Theory Questions : 40 % ]

REFERENCES
Kanishka Bedi, PRODUCTION & OPERATIONS MANAGEMENT, Oxford, NewDelhi, 2007
Panneerselvam, R, OPERATIONS RESEARCH, Prentice-Hall of India, New Delhi, 2002.
G.Srinivasan, OPERATIONS RESEARCH, PHI Learning, NewDelhi,2010
Tulsian & Pandey, QUANTITATIVE TECHNIQUES, Pearson, NewDelhi, 2002
Vohra, QUANTATIVE TECHNIQUES IN MANAGEMENT, Tata McGrawHill, NewDelhi, 2010
MBA- II Semester
PAPER-X
STRATEGIC MANAGEMENT
Paper Code: MBAC 2005
Objectives

➢ Integrating the knowledge gained in functional areas of management

➢ helping the students to learn about the process of strategic management, and
➢ helping the students to learn about strategy formulation and implementation

UNIT-I
Concepts of Strategy - Levels at which strategy operates; Approaches to strategic decision
making; Mission and purpose, objectives and goals; Strategic business unit (SBD);
Functional level strategies

UNIT-II
Environmental Analysis and Diagnosis - Environment and its components; Environment
scanning and appraisal; Organizational appraisal; Strategic advantage analysis and diagnosis;
SWOT analysis

UNIT-III
Strategy Formulation and Choice - Modernization, Diversification Integration - Merger,
take-over and joint strategies - Turnaround, Divestment and Liquidation strategies -
Strategic choice - Industry, competitor and SWOT analysis - Factors affecting strategic
choice; Generic competitive strategies - Cost leadership, Differentiation, Focus, Value chain
analysis, Bench marking, Service blue printing

UNIT-IV
Functional Strategies: Marketing, production/operations and R&D plans and polices-
Personnel and financial plans and policies.

UNIT-V
Strategy Implementation - Inter - relationship between formulation and implementation -
Issues in strategy implementation - Resource allocation - Strategy and Structure - Structural
considerations - Organizational Design and change - Strategy Evaluation- Overview of
strategic evaluation; strategic control; Techniques of strategic evaluation and control.

REFERENCES
Azhar Kazmi, STRATEGIC MANAGEMENT & BUSINESS POLICY, Tata McGraw-Hill
Publishing Company Limited, New Delhi 2008.
Vipin Gupta, Kamala Gollakota & Srinivasan, BUSINESS POLICY & STRATEGIC
MANAGEMENT, Prentice Hall of India Private Limited, New Delhi,2008.
Amita Mittal, CASES IN STRATEGIC MANAGEMENT, Tata McGraw-Hill Publishing Company
Limited, New Delhi 2008.
Fred R. David, STRATEGIC MANAGEMENT CONCEPT AND CASES, PHI Learning
Private Limited, New Delhi, 2008.
MBA (Finance) – III Semester
PAPER -XI
STRATEGIC FINANCIAL MANAGEMENT
Course Code: 37 Paper code: MBFM 3001
Objectives
➢ To acquaint the students with concepts of Financial management from strategic
perspective and
➢ To familiarize various Techniques and Models of Strategic Financial Management.
UNIT – I

Financial Policy and Strategic Planning –Strategic Planning Process – Objectives and Goals – Major
Kinds of Strategies and Policies – Corporate Planning – Process of Financial Planning – Types of
Financial Plan – Financial Models – Tools or Techniques of Financial Modeling – Uses and
Limitations of Financial Modeling – Applications of Financial Models – Types of Financial Models
- Process of Financial Model Development.

UNIT – II

Investments Decisions under Risk and Uncertainty – Techniques of Investment Decision – Risk
Adjusted Discount Rate, Certainty Equivalent Factor, Statistical Method, Sensitivity Analysis and
Simulation Method – Corporate Strategy and High Technology Investments.

UNIT – III

Expansion and Financial Restructuring – Corporate Restructuring - Mergers and Amalgamations –

reasons for Merger, Benefits and Cost of Merger – Takeovers – Business Alliances – Managing an
Acquisition – Divestitures – Ownership Restructuring – Privatisation – Dynamics of Restructuring –
Buy Back of Shares – Leveraged Buy-outs (LBOs) – Divestiture – Demergers.

UNIT – IV

Leasing – Importance, Types, Tax Considerations, and Accounting Considerations – Evaluation of

Lease from the point of view of Lessor and Lessee – Lease versus Buy Decision – Venture Capital –
Concept and Developments in India – Process and Methods of Financing – Fiscal Incentives.

UNIT – V

Financing Strategy - Innovative Sources of Finance – Asset Backed Securities - Hybrid Securities
namely Convertible and Non-Convertible Debentures, Deep Discount Bonds, Secured Premium
Notes, Convertible Preference Shares – Option Financing, Warrants, Convertibles and Exchangeable
Commercial Paper.

REFERENCES
Rajni Sofat & Preeti Hiro, STRATEGIC FINANCIAL MANAGEMENT, PHI, Delhi, 2011
Weaver & Weston, STRATEGIC CORPORATE FINANCE, Cengage Learning, Delhi, 2001
Chandra, Prasanna, FINANCIAL MANAGEMENT, Tata McGraw Hill, Delhi. 2007
MBA (Finance) – III Semester
PAPER -XII
BANKING AND INDIAN FINANCIAL SYSTEM
Course Code: 37 Paper code: MBFM
3002
Objectives
➢ To get an insight into the constitutions, structure, objectives and working of the
Banking Institutions in India
➢ To evaluate the performance of Banking Institutions and their contribution to the
growth of Indian Corporate Sector and
➢ To have a Bird’s view of the Indian Financial System and in the context of Global
Indian Banking System.
UNIT- I

Banking Systems – Definitions – Functions – Types – Central Banking – Structure of Banking

System- Rural Financing – Banker and Customer Relationship – Deposit Mobilization – Loans and
Advances – Assets and Liabilities Management – Secured Advances – Endorsement and Crossing of
Cheques – Payment of Cheques – Collection of Cheques.

UNIT-II

Central Banking System – Nature- Organization and Management- Functions – Methods of Credit
Controls – Objects of Monetary Policy – Autonomy of Central Bank Systems – Indian Money Market
– Indian Capital Market – New Issue Market- Banking Legislations in India.

UNIT-III

Industrial and Agricultural Banking System – All Indian Development Banks – Investment
Institutions- State Level Institutions – Specialized Financial Institutions – International Finance
Institutions – IBRD – IFC – IDA – NABARD – NHB – Micro Financing Institutions.

UNIT-IV

Financial systems - Overview of Indian Financial System – savings and Financial Intermediation –
Financial Markets – Listing Regulations – Primary Markets – Secondary Markets – Mutual Funds –
Indian Fiscal Systems.

UNIT-V

Foreign Investments – Foreign Capital – Foreign Collaboration – Foreign Direct Investment – foreign
Institutional Investors – Offshore Country Funds – Overseas Venture Capital Investments –
International Capital Market.

REFERENCES
M.Y. Khan, INDIAN FINANCIAL SYSTEM, Tata Mc Graw Hill, Delhi,2008
Jeff Madura, FINANCIAL MARKETS AND INSTITUTIONS, CenGage Learning, Delhi, 2008
H.R. Machiraju, INDIAN FINANCIAL SYSTEM, Vikas Publishing House, Delhi, 2009
Pathak, THE INDIAN FINANCIAL SYSTEM, Pearson Education India, 2007
MBA (Finance) – III Semester
PAPER -XIII
MERCHANT BANKING AND FINANCIAL SERVICES
Course Code: 37 Paper code:
MBFM3003
Objectives
➢ To examine Financial Services management as an important and contemporary area
of financial management
➢ To understand the various financial services and their future and
➢ To determine the most suitable financial service, given the situations and
contingencies
UNIT-I
Financial Services Industry – Emergence – Developments – Fund Based and Non-fund based
activities – modern activities – New Financial Products and Services, Innovative Financial
Instruments – Challenges Ahead.

UNIT-II
Merchant Banking – Issues Management Intermediaries – Merchant Bankers/Lead Managers –
Underwriters – Bankers, Brokers and Registrars to an Issue and Share Transfer Agents– Debenture
/Trustees – Portfolio Managers – Issue Management Activities/Procedures – Eligibility norms –
Pricing or Issues – Promoters’ contribution – Issue of Indian Depository Receipts (IDR) – Issue
Advertisement – Issue of Debt Instruments – Book building – Green shoe Option – Initial Public
Offer through Stock Exchange Online System – Preferential Issues – Qualified Institutional
Placement.

UNIT-III
Factoring and Forfeiting - Modus Operandi, types, functions – Factoring in India - Bills Discounting –
Real estate Industry – Housing Finance – Housing Finance system – National Housing Bank –
Refinance scheme for HFCs – Asset Liability Management – Securitisation – Mortgage-Based
Securitisation – Reverse Mortgage Loan (RML) Securitisation of Standard Assets.

UNIT-IV
Mutual Funds - Origin, Types of Mutual Funds, Importance, Mutual Funds Industry in India – SEBI’s
directives for Mutual Funds, Private Mutual Funds, Asst Management company – Unit Trust of India
– Evaluation of Performance of Mutual Funds – Money Market Mutual Funds – RBI Guidelines –
Venture Capital: Meaning, Origin, Importance, Methods, India Scenario.

UNIT-V
Insurance – Meaning, Types, Insurance Industry in India and related reforms – Other Financial
Services – Credit Cards – Credit Rating: Regulatory framework – Credit Rating Agencies – Rating
Process and Methodology – Rating symbols/Grades – Pension Plan.

REFERENCES
Khan, M.Y., FINANCIAL SERVICES, Tata McGraw Hill, New Delhi, 2001.
Gurusamy, MERCHANT BANKING AND FINANCIAL SERVIES, Tata McGraw Hill, Delhi,
2009.
MBA (Finance) – III Semester
PAPER –XIV
PROJECT MANAGEMENT
Course Code: 37 Paper code:
MBFM3004
Objectives
➢ To understand the concept of project and steps in project management
➢ To enable the students to prepare business proposals and
➢ To enable the students to evaluate the Project feasibility
UNIT-I
Project – Classification – Importance of Project Management – An Integrated Approach – Project
Portfolio Management System – The Need – Choosing the appropriate Project Management Structure:
Organizational considerations and project considerations – steps in defining the project – project
Rollup – Process breakdown structure – Responsibility Matrices – External causes of delay and
internal constraints.
UNIT-II
Project feasibility studies - Opportunity studies, General opportunity studies, specific opportunity
studies, pre-feasibility studies, functional studies or support studies, feasibility study – components of
project feasibility studies – Managing Project resources flow – project planning to project completion:
Pre-investment phase, Investment Phase and operational phase – Project Life Cycle – Project
constraints.
UNIT-III
Project Evaluation under certainty - Net Present Value (Problems - Case Study), Benefit Cost Ratio,
Internal Rate of Return, Urgency, Payback Period, ARR – Project Evaluation under uncertainty –
Methodology for project evaluation – Commercial vs. National Profitability – Social Cost Benefit
Analysis, Commercial or National Profitability, social or national profitability.
UNIT-IV
Developing a Project Plan - Developing the Project Network – Constructing a Project Network
(Problems) – PERT – CPM – Crashing of Project Network (Problems - Case Study) – Resource
Leveling and Resource Allocation – how to avoid cost and time overruns – Steps in Project Appraisal
Process – Project Control Process – Control Issues – Project Audits – the Project Audit Process –
project closure – team, team member and project manager evaluations.
UNIT-V
Managing versus leading a project - managing project stakeholders – social network building
(Including management by wandering around) – qualities of an effective project manager – managing
project teams – Five Stage Team Development Model – Situational factors affecting team
development – project team pitfalls.
[Note: Distribution of Questions between Problems and Theory of this paper must be 20:80 i.e.,
Problem Questions: 20 % & Theory Questions: 80 %]

REFERENCES
Panneerselvam & senthilkumar, PROJECT MANAGEMENT, PHI, Delhi, 2009
Kamaraju Ramakrishna, ESSENTIALS OF PROJECT MANAGEMENT, PHI, Delhi, 2010
Arun Kanda , PROJECT MANAGEMENT, PHI, Delhi, 2011
MBA (Finance) – III Semester
PAPER -XV
MANAGEMENT ACCOUNTING
Course Code: 37 Paper code:
MBFM3005
Objectives
➢ To apply various management accounting techniques to all types of organizations for
planning, decision making and control purposes in practical situations and
➢ To familiarize Contemporary Issues in Management Accounting.

UNIT - I
Management accounting – Objectives, nature, and scope of Financial Accounting, Cost
Accounting, and Management Accounting – Managerial Decisions – Accounting Plan and
Responsibility Centers – Significance of Responsibility Accounting – Responsibility Centers
– Cost Centre, Profit Centre and Investment Centre – Determinants of Responsibility Centers
– Transfer Pricing – Objectives of transfer pricing – Methods of transfer pricing (simple
problems) – Conflict between a division and a company - Multi-National Transfer pricing.

UNIT – II
Budgeting and Budgetary control – Fixed and flexible budget – Preparation of functional
budget for operating and non-operating functions, Cash budgets, Capital expenditure budget,
Master budget, Principal budget factors – Zero-base budgeting – Performance budgeting –
Standard Costing and Variance Analysis – Material Variances – labour Variances, Overhead
(Fixed and Variable) Variances – Sales Variances.

UNIT – III
Marginal Costing and Break-even Analysis – Cost-Volume-Profit (CVP) Analysis – Break-
Even Analysis – Assumptions and practical applications of Breakeven-Analysis – Decisions
regarding Sales-mix – Make or Buy Decisions – Limiting Factor Decision – Export Decision
– Plant Merger – Decision of Shutdown or Continuation of a product line.

UNIT - IV
DuPont Analysis – Fund Flow Analysis – Cash flow analysis – Contemporary Issues in
Management Accounting – Value chain analysis – Activity-Based Costing (ABC) – Quality
Costing – Target and Life Cycle Costing – Theory of Constraints accounting (TOC).

UNIT – V
Social Cost Benefit Analysis – Decision Tree in Management – Reporting to Management –
Objectives of Reporting – Reporting needs at different managerial levels – Types of reports –
Modes of Reporting, Reporting at different levels of Management.
[Note: Distribution of Questions between Problems and Theory of this paper must be
60:40 i.e., Problem Questions: 60 % & Theory Questions: 40%]

REFERENCES
Khan. MY, Jain P., MANAGEMENT ACCOUNTING, McGraw Hill, Delhi, 2009
Singhvi. NM, MANAGEMENT ACCOUNTING, PHI, Delhi, 2010
Dr Murthy, S Gurusamy, MANAGEMENT ACCOUNTING, McGraw Hill, Delhi, 2009
MBA (Finance) – IV Semester
PAPER -XVI
INVESTMENT AND PORTFILIO MANAGEMENT
Course Code: 37 Paper code:
MBFM4001

Objectives

➢ To have understanding on investment and avenues of investment

➢ To have exposure on analysis techniques of capital market and
➢ To understand various theories of portfolio management
UNIT -I
Investment – Basics of Investment – Investment, Speculation and Gambling – Investment Categories
– Investment avenues – Non marketable Financial Assets – Money Market Instruments –
Bond/Debentures – Equity Shares – Schemes of LIC – Mutual Funds – Financial Derivatives – Real
Assets – Real Estate – Art – antiques and others.
UNIT- II
Fundamental Security Analysis – Economic Analysis – significance and Interpretation of the
Economic Indicators – Industry Analysis – Industry Growth Cycle - Company analysis – Marketing –
Accounting policies – Profitability – Dividend Policy – Capital Structure – Financial Analysis –
Operating Efficiency – Management – Fundamental Security Analysis – Changes in the Financing
Patterns of Indian Companies – Debt-Equity Ratio for India Companies.
UNIT-III
Technical Analysis – Technical Tools - The Dow Theory – Primary Trend – The secondary Trend –
Minor Trends – Support and Resistance Level – Indicators – Odd Lot Trading – Moving Average –
Rate of Change – Charts – Technical indicators – Charting Techniques – Indicators of the Witchcraft
Variety – Efficient Market Theory – Basic Concepts – Random-Walk Theory – Weak Form of EMH
– Semi-strong Form – Strong Form – The Essence of the Theory – Market Inefficiencies.
UNIT-IV
Portfolio Analysis – Portfolio and Single asset Returns and Risk – Mean Variance Criterion –
covariance – Beta (simple problems) – Portfolio Markowitz Model – simple Diversification – Risk
and Return with Different correlation – Sharpe’s Single Index Model – Sharpe’s Optimal Portfolio –
Construction of the Optimal Portfolio – Optimum Portfolio with short sales.
UNIT-V
Asset Pricing Model Portfolio Evaluation – Capital Asset Pricing Model (CAPM) – Security Market
Line – Assumptions – Arbitrage Pricing Model (APT) – Portfolio Performance Models – Sharpe’s
Performance Index – Treynor’s Performance Index – Jensen’s Performance Index.

REFERENCES
Punithavathy Pandian, SECURITY ANALYSIS AND PORTFOLIO MANAGEMENT, Vikas
Publications Pvt. Ltd, New Delhi. 2001.
Kevin .S, SECURITY ANALYSIS AND PORTFOLIO MANAGEMENT, PHI, Delhi, 2011
Yogesh Maheswari, INVESTMENT MANAGEMENT, PHI, Delhi, 2011
Bhalla V K, INVESTMENT MANAGEMENT: SECURITY ANALYSIS AND PORTFOLIO
MANAGEMENT, S Chand, New Delhi, 2009
Prasanna Chandra, PORTFOLIO MANAGEMET, Tata McGraw Hill, New Delhi, 2008.
MBA (Finance) – IV Semester

PAPER -XVII
GLOBAL FINANCIAL MANAGEMENT
Course Code: 37 Paper code:
MBFM4002
Objectives
➢ To have exposure on International Monetary System
➢ To understand about Balance of Payments and currency Exposure and
➢ To introduce and familiarize the International Financial Markets and Instruments.
UNIT-I

Globalisation - Implications of Globalisation – Goals of International Financial Management - scope

of International Finance – International Monetary System – Bimetallism – Gold Standard – Bretton
Woods System – Floating Exchange Rate Regime – European Monetary System – IMF – WTO –
GATT .

UNIT-II

Balance of Payments – The Current Account – The Capital Account – significance - Balance of
Payments in the World – Balance of Payments Account of India

UNIT-III

International Financial Markets – Sources of International Funds – Multilateral Development Banks –

Governments/ Governmental Agencies – International Banks – Security Markets Instruments of
International Financial Markets– International Equities – GDRs – ADRs - International Money
Market and Bond Market Instruments – Euro Bonds – Repos – Euro Commercial Paper – Medium
Term Notes – Floating Rate Notes – Loan Syndicates – Euro Deposits – Euro Issues in India.

UNIT-IV

Currency Risk and Exposure – Types of Currency Risk – Management of Currency Risk – Concept
and Measurement of Transaction Exposure - Techniques of Transaction Exposure Management –
Translation Exposure – methods – Transaction Exposure Vs. Translation Exposure – Exchange Risk
Management –Operating Exposure – measuring and managing Operating Exposure.

UNIT-V

Foreign Direct Investment (FDI) – Forms of FDIs – FDI in World – purpose of overseas investment –
Benefits to the Host Countries – Effects of FDI – Political Risk.

REFERENCES

Joseph Anbarasu, GLOBAL FINANCIAL MANAGEMENT, Ane, Delhi, 2010

Kevin S, FUNDAMENTALS OF INTERNATIONAL FINANCIAL MANAGEMENT, PHI, Delhi,
2010
Jeff Madura, INTERNATIONAL FINANCIAL MANAGEMENT, Cengage learning, Delhi, 2008
MBA (Finance) – IV Semester
PAPER -XVIII
INTERNATIONAL TRADE AND FINANCE
Course Code: 37 Paper code: MBFM
4003
Objectives
➢ To make the students well aware about the formalities associated with International
trade
➢ To make the students aware of the documentation of International Trade and
➢ To make the students aware of the FOREX Management and Export Promotion
Schemes.
UNIT-I
International Trade –Benefits – Basis of International Trade – Foreign Trade and Economic Growth –
Balance of Trade – Balance of Payment – Current Trends in India – Barriers to International Trade –
Indian EXIM Policy.

UNIT-II
Export and Import Finance: Special need for Finance in International Trade – INCO Terms (FOB,
CIF, etc.,) – Payment Terms – Letters of Credit – Pre Shipment and Post Shipment Finance –
Fortfaiting – Deferred Payment Terms – EXIM Bank – ECGC and its schemes – Import Licensing –
Financing methods for import of Capital goods.

UNIT-III
Foreign Exchange Markets – Spot Prices and Forward Prices – Factors influencing Exchange rates –
The effects of Exchange rates in Foreign Trade – Tools for hedging against Exchange rate variations –
Forward, Futures and Currency options – FEMA – Determination of Foreign Exchange rate and
Forecasting – Law of one price – PPP theory – Interest Rate Parity – Exchange rate Forecasting.

UNIT-IV
Export Trade Documents: Financial Documents – Bill of Exchange – Type – Commercial Documents
– Proforma, Commercial, Consular, Customs, Legalized Invoice, Certificate of Origin Certificate
Value, Packing List, Weight Certificate, Certificate of Analysis and Quality, Certificate of Inspection,
Health certificate. Transport Documents - Bill of Lading, Airway Bill, Postal Receipt, Multimodal
Transport Document. Risk Covering Document: Insurance Policy, Insurance Cover Note. Official
Document: Export Declaration Forms, GR Form, PP From, COD Form, Softer Forms, Export
Certification, GSPS – UPCDC Norms.

UNIT-V
Export Promotion Schemes – Government Organizations Promoting Exports – Export Incentives:
Duty Exemption – IT Concession – Marketing Assistance – EPCG, DEPB – Advance License – Other
efforts I Export Promotion – EPZ – EQU – SEZ and Export House.

REFERENCES
Jeevanandam .C, INTERNATIONAL BUSINESS, M/s Sultan & Chand, Delhi, 2008
Sumathi Varma, INTERNATIONAL BUSINESS, Ane, Delhi, 2010
MBA (Finance) – IV Semester
PAPER -XIX
SECURITY MARKET OPERATIONS
Course Code: 37 Paper code:
MBFM4004
Objectives
➢ To Familiarize the students about SEBI and its Rules
➢ To Understand the activities and procedures of Security Market and its mechanism
and
➢ To acquaint the knowledge about funds mobilized through various sources and
instruments of Financial Market.
UNIT – I
Security Markets - Legal Environment: SEBI Act, 1992, Securities Contract Regulation Act 1956,
Companies Act 1956 (various provisions relating to securities), RBI rules and guidelines for Fll's.
UNIT – II
Security Markets - Primary market - its role and functions - Methods of selling securities in primary
market – New financial instruments – New Issues – SEBI guidelines for public issues – pricing of
issue, promoters' contribution – appointment and role of merchant bankers, underwriters, brokers,
registrars and managers, bankers etc - Underwriting of issues – Allotment of shares – Procedures for
new issues – e-trading.
UNIT – III
Secondary Market – Role, importance, organization of stock exchanges – Listing of securities in stock
exchanges – Trading mechanism – screen based system – Insider trading; Take-over’s – Internet
based trading.
UNIT – IV
Depository – Role and need – The Depositories Act, 1996, SEBI (Depositories and Participants
Regulation) 1996 – SEBI (Custodian of Securities) Regulation 1996 – National Securities Depository
Ltd. (NSDL) – Depository participant.

UNIT – V
Capital Market Instruments – Equity, Secured Premium Notes, Equity Shares with detachable
warrants, Sweat Equity, Non-Voting Shares, Tracking stocks, Preference Shares, Debentures,
Disaster Bonds, Option Bonds, Easy Exit Bonds, Split Coupon Debentures, Floating Rate Bonds and
Notes, Clip and Strip Bonds, Dual Convertible Bonds, Debt Instruments with Debt warrants, Indexed
Rate Notes, Stepped Coupon Bonds, Dual Option Warrants, Extendable Notes, Commodity Bonds ,
Mortgage Backed Securities, Carrot and Stick Bond, Capital Indexed Bonds, Debt for Equity Swap,
Zero Coupon Convertible Notes, Global Depository Receipts, Foreign Currency Convertible Bonds –
New instruments of Capital Market – Pure, Hybrid and Derivatives; Money Market Instruments –
Treasury bills, Commercial Bills, Commercial Paper, Participatory Notes.

REFERENCES
Dalton, John M, HOW THE STOCK MARKET WORKS, Prentice Hall, New Delhi.
Machi Raju, H.R, MERCHANT BANKING; Wiley Eastern Ltd.; New Delhi.
Chanratre, KR, CAPITAL ISSUE, SEBI & LISTING; Bharat Publishing House, NewDelhi.
MBA Finance) – IV Semester
PAPER –XX
FINANCIAL DERIVATIVES
Course Code: 37 Paper code:
MBFM4005
Objectives
➢ To Understand the students about the concept of Derivatives and its types
➢ To acquaint the knowledge of Options and Futures and
➢ To know about Hedging and the development position of Derivatives in India.
UNIT – I
Derivatives – Features of a Financial Derivative – Types of Financial Derivatives - Basic
Financial derivatives – History of Derivatives Markets – Uses of Derivatives – Critiques of
Derivatives – Forward Market: Pricing and Trading Mechanism – Forward Contract concept
– Features of Forward Contract – Classification of Forward Contracts – Forward Trading
Mechanism – Forward Prices Vs Future Prices.
UNIT – II
Options and Swaps – Concept of Options – Types of options – Option Valuation – Option
Positions Naked and Covered Option – Underlying Assets in Exchange-traded Options –
Determinants of Option Prices – Binomial Option Pricing Model – Black-Scholes Option
Pricing – Basic Principles of Option Trading – SWAP: Concept, Evaluation and Features of
Swap – Types of Financial Swaps – Interest Rate Swaps – Currency Swap – Debt-Equity
Swap.
UNIT – III
Futures – Financial Futures Contracts – Types of Financial Futures Contract – Evolution of
Futures Market in India – Traders in Futures Market in India – Functions and Growth of
Futures Markets – Futures Market Trading Mechanism - Specification of the Future Contract
– Clearing House – Operation of Margins – Settlement – Theories of Future prices – Future
prices and Risk Aversion – Forward Contract Vs. Futures Contracts.
UNIT – IV
Hedging and Stock Index Futures – Concepts – Perfect Hedging Model – Basic Long and
Short Hedges – Cross Hedging – Basis Risk and Hedging – Basis Risk Vs Price Risk –
Hedging Effectiveness – Devising a Hedging Strategy – Hedging Objectives – Management
of Hedge – Concept of Stock Index – Stock Index Futures – Stock Index Futures as a
Portfolio management Tool – Speculation and Stock Index Futures – Stock Index Futures
Trading in Indian Stock Market.
UNIT – V
Financial Derivatives Market in India – Need for Derivatives – Evolution of Derivatives in
India – Major Recommendations of Dr. L.C. Gupta Committee – Equity Derivatives –
Strengthening of Cash Market – Benefits of Derivatives in India – Categories of Derivatives
Traded in India – Derivatives Trading at NSE/BSE – Eligibility of Stocks – Emerging
Structure of Derivatives Markets in India -Regulation of Financial Derivatives in India –
Structure of the Market –Trading systems – Badla system in Indian Stock Market –
Regulatory Instruments.
REFERENCES
Gupta . S.L., FINANCIAL DERIVATIVES THEORY, CONCEPTS AND PROBLEMS
PHI, New Delhi, 2005
Kumar S.S.S. FINANCIAL DERIVATIVES, PHI, New Delhi, 2007
Chance, Don M: DERIVATIVES and Risk Management Basics, Cengage Learning, New
Delhi.
Stulz M. Rene, RISK MANAGEMENT & DERIVATIVES, Cengage Learning, New Delhi.