School of Business and Management

CHRIST (Deemed to be University)

Course Plan

Program Master of Business Administration

Course Code & Name MBA234: Financial Management

Second Trimester
Trimester
Nov 2021 - Feb 2022
Hours & Credits (1 Credit =
10 hours)
45 hours, 3 Credits

Course Anchor Prof Aniruddha Oak

Course Facilitators at – Pune,
Lavasa Campus
Prof Mohit Boralkar
Prof Aniruddha Oak
e-mail: Aniruddha.Oak@christuniversity.in
Phone: 0091-9945282102
Course Anchor & Faculty
Contact information
Prof Mohit Boralkar
e-mail: Mohit.Boralkar@christuniversity.in
Phone: 0091-7767825146
Course Name: Financial Management Course Code: MBA234
Total number of hours: 45 Hours Credits: 3
Course This is an introductory course designed to help students understand the basic
Description concepts of Financial Management. Apart from concepts like Time Value of
Money, Cost of Capital, Capital Structure, etc, tools of financial decision-
making for Capital Budgeting, Working Capital Management, Dividend
Policy, etc are also covered in this course. This course helps the students
understand how financial theory translates into practical decision making.
Course At the end of this course, students would be able to apply the time value of
Objectives money concepts for basic financial decision making. They would be able to
evaluate the impact of cost of capital in financing decisions and design the
optimum capital structure for a business or a project. They would also be able
to appraise projects using capital budgeting techniques, analyse the impact of
different kinds of dividends on shareholder wealth and evaluate working
capital effectiveness of a firm.

Terminology** AACSB NBA

Program Learning Goals (PLGs) Program Outcomes (POs)
Program Learning Objective (PLO)
Course Learning Outcomes (CLO) Course Outcomes (COs)

Progamme Learning Goals – Course Objective Matrix (AACSB)/ NBA

Sl.N CLO/CO RB Uni CIA PLO PLG PO(Level)
o T t
PO1(3)
PLO2.4 Apply
Apply the time Recommen Knowledge
value of money d Functional of
concepts for I and appropriate Knowledg Management
1 L3 I
basic financial II solutions e and Theories and
decision making. for Applicatio Practices to
managerial n solve
problems business
problems
Evaluate the PO2(3)
impact of cost of PLO2.4 Foster
capital in Recommen Analytical
financing d and Critical
decisions and II and appropriate Critical abilities for
2 L5 II
design the III solutions Thinking data-based
optimum capital for decision
structure for a managerial making
business or a problems
project.
3 Choose the most L6 III II PLO2.4 PO2(3)
optimum Recommen Critical Foster
projects from a d Thinking Analytical
given set using appropriate and Critical
 capital solutions abilities for
budgeting for data-based
techniques. managerial decision
problems making
PO1(3)
PLO2.4 Apply
Analyse the Recommen Knowledge
Functional
impact of d of
Knowledg
different kinds appropriate Management
4 L4 IV III e and
of dividends on solutions Theories and
Applicatio
shareholder for Practices to
n
wealth. managerial solve
problems business
problems
PO1(3)
PLO2.4 Apply
Recommen Knowledge
Functional
Evaluate d of
Knowledg
working capital appropriate Management
5 L5 V III e and
effectiveness of solutions Theories and
Applicatio
a firm. for Practices to
n
managerial solve
problems business
problems
POM - Course Mapping
Pedagogy
Week (teaching learning
Unit
(starting Exercises Hours methods used)/ Resource/ Reference
numbe Unit details CO-PO
and end per week activities and or details
r
dates) class trips/ dates
for assessment
Introduction to Financial
Management, Meaning of
Finance, Economics and
Accounting, Goal of
Financial Management &
the three decisions -
investing, financing &
8th to 13th
dividend, Corporate CLO1/ Chapter 1 of BH1
I Nov 4.5 Discussion
Finance, Capital Markets PLO2.4
2021
and Investments, Business
Ethics and Corporate
Governance, Agency
problems - Managers v/s
Stockholders, Agency
problems - Stockholders v/s
Bondholders.
Time value of money -
Practice
timelines, interest rate, 15th to
CLO1/ Problems Discussion and Chapter 5 of BH
I number of periods, cash 20th Nov 4.5
PLO2.4 from Numericals
flows 2021
Chapter 5
Future values - single cash
1
All the chapters mentioned in this column are from the textbook “Fundamentals of Financial Management” by Brigham and Houston
 flow, multiple cash flows,
uneven cash flows
Present values - single cash
flow, multiple cash flows,
uneven cash flows
Annuity, Annuity due
Time value of money -
perpetuities, fractional time
Practice
periods, quoted rate v/s 22nd to
CLO1/ Problems Discussion and Chapter 5 of BH
I effective rate, loan 27th Nov 4.5
PLO2.4 from Numericals
amortisation schedule 2021
Chapter 5
Time value of money -
applied problems
Cost of Capital: pre and
post-tax cost of debt, cost of
preferred stock
Cost of retained earnings -
29th Nov Practice
CAPM, DCF
to CLO2/ Problems Discussion and Chapter 10 of BH
II Cost of new common stock, th 4.5
4 Dec PLO2.4 from Numericals
floatation cost, weighted
2021 Chapter 10
average cost of capital -
WACC, book value
weights, market value
weights, target weights

Basics of Capital
Budgeting, meaning of
Capital Budgeting,
techniques of Capital
Budgeting, NPV, Payback
 period, Discounted Payback
period, IRR, MIRR
Comparison between
Practice
different techniques, NPV 6th to 11th
CLO3/ Problems Discussion and Chapter 11 of BH
III profiles, Cross-over rate, Dec
PLO2.4 from 4.5 Numericals
decision criteria used in 2021
Chapter 11
practice
Capital budgeting - applied
problems

Mid-Term Exam 13th to 18th Dec 2021

Practice
Cash flow estimation for rd th
3 to 8 CLO3/ Problems Discussion and Chapter 12 of BH
new projects 4.5
III Jan 2022 PLO2.4 from Numericals
Replacement projects
Chapter 12
Capital Structure, book
value capital structure,
Practice
market value capital 10th to
CLO2/ Problems Discussion and Chapter 14 of BH
II structure, target value 15th Jan 4.5
PLO2.4 from Numericals
capital structure 2022
Chapter 14
Leverage - Operating,
Financial and Total
Dividends v/s capital gains,
other dividend policy issues,
establishing the dividend Practice
17th to
IV policy in practice CLO4/ Problems Discussion and Chapter 15 of BH
22nd Jan 4.5
Factors influencing PLO2.4 from Numericals
2022
dividend policy, stock Chapter 15
dividends
Share Repurchases
Working Capital 24th to CLO5/ Practice 4.5 Discussion and Chapters 16 and 17 of BH
 Management, Financial
Planning and Forecasting,
meaning and types of
working capital, Current Problems
V Assets financing policies 29th Jan from
PLO2.4 Numericals
Inventory Conversion, 2022 Chapters
Collection period, Payables 16 and 17
deferral period, Cash
conversion cycle
Effective cost of credit
31st Jan
CLO3/ Case material will be
III Cases to 3rd Feb 4.5 Case Discussion
PLO2.4 specified
2022

Prescribed and Reference Textbooks

S. No. Title Author(s) Publisher Edition / Year

  Recommended Textbook
1 Fundamentals of Financial Management Brigham and Houston Cengage 13th edition (Indian)
Reference Books  
Brealey, Myers, Allen,
1 Principles of Corporate Finance Mohanty McGraw Hill 12th edition
2 Financial Management: Theory and Practice Prasanna Chandra McGraw Hill 10th edition
Assessment Outline

Component Maximum
Description Units Weightage Total
Marks
Multiple Choice Question (MCQ)
CIA I I 20 20 20
Quiz
CIA II Mid-Term Exam I, II & III 50 25 25
Assignment on Capital Structure
CIA IIIA II and IV 20 10 10
and Dividend Policy
CIA IIIB Moodle based Test II, IV and V 20 10 10
CIA IV End-Trimester Exam I, II, III, IV and V 50 30 30
Attendance 5 5 5
ASSESSMENT OUTLINE DETAILS

CIA I - Multiple Choice Question (MCQ) Quiz (20 marks)

This MCQ quiz would be administered using Moodle and there would be no negative marking. This CIA would cover unit I.

CIA II – Mid-Term Exam (25 marks)

The mid-term exam would cover units I, II and III.

CIA IIIA – Assignment on Capital Structure and Dividend Policy (10 marks)

This CIA would need to be undertaken in groups of 3 students. Each group would be required to identify a specific company from the corporate
world. For this company, the students would need to study the financial statements and other secondary sources for the last 5 years, calculate the
relevant ratios for Capital Structure and Dividend Policy, analyse the data and submit a report on the trends that have been observed during these
years. The report would also need to include suggestions to the company for future. The deliverable for this assignment would be a report in the
Word format.

After the successful completion of this assignment, students would be able to:
1) Identify and download the relevant data for the last 5 years.
2) Calculate the ratios relevant for Capital Structure and Dividend Policy.
3) Gain insights into the trends observed in the past.
4) Make suggestions to the company for future.

CIA IIIB – Moodle based Test (10 marks)

This would be a Moodle based test that would cover units II, IV and V. This Moodle based test may comprise the following types of questions:
 Match the Following
 MCQ quiz
 Short theory questions
 Short numericals
 Caselets
CIA Evaluation Rubrics (AACSB and NBA)
CIA II (Case Study) Rubrics
Students should be able to recognize key issues in a business setting, develop a perspective based on relevant data and critical thinking, draw and
evaluate conclusions.
Objectives
Make use of data to address the
business problem (RBT3)
Examine empirical evidence to
support analysis (RBT4)
Interpret results of the analysis
(RBT 5)
Appraise with business implications
(RBT5)
Construct integrated solution
framework. (RBT 6)
CIA IIIA (Assignment on Capital Structure and Dividend Policy) Rubrics
Program Learning
Objective
Program Learning
Outomes
Excellent
The main business problem/s is
clearly spelt out using relevant
data.
Exhibits complete understanding
of empirical evidence to support
analysis.
Interpretation is detailed and
structured.
Business implications are
discussed in detail considering
all stakeholders.
Integrated solution framework
developed for the business
problem.
PLG2
PLO2.4
Satisfactory
The business problems are
summarized with limited data.
Considers partial evidence / data
to support analysis.
Interpretation is presented with
limited details and is partially
structured.
Business implications are
discussed considering limited
stakeholders.
Integrated solution framework
developed partially.
Needs Improvement
There is little or no use of data in
the identification of the main
business problem/s.
Empirical evidence inappropriate
to support analysis.
Interpretation does not match the
requirements.
Business implications are
discussed without considering
stakeholders.
Solution framework lacks
integration.
Total Marks 20 Marks
Criteria/ Weightage/PLO CO- Excellent (5) Very Good (4) Good (3) Average (2) Needs
PO Improvement (1)
Relevance of data All the data Most of the data Some data Irrelevant data No data has been
relevant to the relevant to the relevant to the has been analysed.
CO4- topic has been topic has been topic has been analysed.
PO2 analysed. analysed. analysed.
Calculations Ratios relevant Ratios relevant Ratios relevant Ratios relevant Ratios relevant for
for Capital for Capital for Capital for Capital Capital Structure
Structure and Structure and Structure and Structure and and Dividend Policy
Dividend Policy Dividend Policy Dividend Policy Dividend Policy have not been
have been have been have been have been calculated.
CO4- calculated with a calculated calculated, but calculated with
PO2 very high degree accurately. with some numerous
of accuracy. inaccuracies. inaccuracies.
An insightful and A thorough An analysis of A superficial No analysis has
Analysis of the past trends CO4- thorough analysis of most some of the analysis of some been undertaken.
PO2 analysis of all of the observed observed trends of the observed
the observed trends has been has been trends has been
trends has been undertaken. undertaken. undertaken.
undertaken.
Detailed, Specific, Realistic or Realistic or No suggestions
realistic, and realistic, and appropriate appropriate have been made.
appropriate appropriate suggestions suggestions with
suggestions suggestions somewhat little, if any,
clearly supported supported by the supported by the support from the
Suggestions for future CO4- by the concepts concepts and concepts and concepts and
PO2 and information, information, information, information,
have been made. have been made. have been made. have been made.
*Weightage (Levels) can vary depending on assignments
Prepared by
Prof Aniruddha Oak Reviewed by Approved by
HoD