Symbiosis Institute of Business Management, Pune

Program:- MBA

Sem. :- I

Course :- (0201410101) Financial Management

Batch: - 2021-23

Marks :- 60

Time:- 2.30 hrs.

1. Upload one file for each section separately. Name the file as PRN_Section no.
Hence you have to upload 2 files in total.

2. All the questions are compulsory. Figure to the right indicate marks.

3. Name of the document file will be your full PRN. Please mention your full PRN
inside the document also, before starting to answer on the top right corner.

4. Upload only 1 single document for all the answers. Only word document will be
accepted for submission. No other file format is allowed.

5. Every answer should start on a new page. Mention the correct question number while
answering.

6. No images allowed of any kind in your answer.

7. Use your official SIBM Email ID only to submit your answer.

8. Once the form is deactivated after the given time, your response will not be accepted.

9. The answers SHOULD NOT BE COPIED and shall be subjected to a strict plagiarism
check.

10. You can submit your response only ONCE.

1
 Section I (24 Marks)

Q1. Refer the following ratios of the Rahul Pharmaceutical Limited. Discuss the trend in the
different ratios estimated by the analyst. Analyse and explain the significance of the given
ratios in understanding the financial position of the company.

Ratio 2020-2021 2019-2020 2018-2019

Debt to equity 0.77 0.66 1.45
Current Ratio 3.58 3.72 3.50
Quick Ratio 2.39 2.40 2.45
Inventory Turnover 96 100 98
(days)
Return on capital 16.17 15.33 15.40
employed

(CO5) (6*2=12 Marks)

Q2. Write brief notes on the following

a) Explain any three types of bonds and exceptions
b) Explain discounting Time value techniques and examples
(CO1) (6*2=12 Marks)

Section II (36 Marks)

1. Explain the importance of cost of capital in capital budgeting decisions

(CO2) (12 Marks)

2. Determine the difference between cash dividend and buy back of the shares
(CO3) (12 Marks)

3. Explain non-cash working capital and how working capital decisions can create
competitive advantage in the business
(CO4) (12 Marks)