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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


Prof Aniruddha Oak
Dr Bhavna Ranjan Ahuja
Course Facilitators at –
Bangalore, Central Campus
Dr Nisha Shankar
Prof Soumya TS
Dr Suresha B
Prof Aniruddha Oak
Course Facilitators at –
Bangalore,Kengeri Campus
Prof Krishna MC
Dr Srikanth P
Course Facilitators at –
Bangalore, BGR Campus
Dr Rajani Ramdas
Course Facilitators at –
Delhi, NCR Campus
Dr Joji Chandran O
Course Facilitators at –
Pune, Lavasa Campus
Prof Mohit Boralkar
Prof Aniruddha Oak
e-mail: Aniruddha.Oak@christuniversity.in
Phone: 0091-9945282102

Dr Bhavna Ranjan Ahuja


e-mail: Bhavna.Ahuja@christuniversity.in
Phone: 0091-9790999778
Course Anchor & Faculty
Contact information Dr Joji Chandran O
e-mail: Joji.Chandran@christuniversity.in
Phone: 0091-9447006541

Prof Krishna MC
e-mail: Krishna.MC@christuniversity.in
Phone: 0091-9845178808
Prof Mohit Boralkar
e-mail: Mohit.Boralkar@christuniversity.in
Phone: 0091-7767825146

Dr Nisha Shankar
e-mail: Nisha.Shankar@christuniversity.in
Phone: 0091-9844050356

Dr Rajani Ramdas
e-mail: Rajani.Ramdas@christuniversity.in
Phone: 0091-9538595018

Prof Sowmya TS
e-mail: SowmyaSrinivasan.T@gmail.com
Phone: 0091-9481453509

Dr Srikanth P
e-mail: Srikanth.P@christuniversity.in
Phone: 0091-9845418657

Dr Suresha B
e-mail: Suresh.B@christuniversity.in
Phone: 0091-9844316674
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.No CLO/CO RBT Unit CIA PLO PLG PO(Level)

PO1(3)
Apply
Apply the time PLO2.4 Knowledge
value of money Recommend of
Functional
concepts for I and appropriate Management
1 L3 I Knowledge
basic financial II solutions for Theories and
and
decision managerial Practices to
Application
making. problems solve
business
problems
Evaluate the PO2(3)
impact of cost Foster
of capital in PLO2.4 Analytical
financing Recommend and Critical
decisions and II and appropriate Critical abilities for
2 L5 II
design the III solutions for Thinking data-based
optimum capital managerial decision
structure for a problems making
business or a
project.
3 Choose the most L6 III II PLO2.4 PO2(3)
optimum Recommend Critical Foster
projects from a appropriate Thinking Analytical
given set using solutions for and Critical
capital abilities for
budgeting managerial data-based
techniques. problems decision
making
PO1(3)
Apply
Analyse the PLO2.4 Knowledge
impact of Recommend Functional of
different kinds appropriate Knowledge Management
4 L4 IV III
of dividends on solutions for and Theories and
shareholder managerial Application Practices to
wealth. problems solve
business
problems
PO1(3)
Apply
PLO2.4 Knowledge
Evaluate Recommend Functional of
working capital appropriate Knowledge Management
5 L5 V III
effectiveness of solutions for and Theories and
a firm. managerial Application Practices to
problems solve
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, 4.5
4 Dec
th
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
3 to 8
rd th
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 Excellent Satisfactory Needs Improvement

There is little or no
The main business The business
Make use of data to use of data in the
problem/s is clearly problems are
address the business identification of the
spelt out using summarized with
problem (RBT3) main business
relevant data. limited data.
problem/s.
Exhibits complete
Examine empirical Considers partial Empirical evidence
understanding of
evidence to support evidence / data to inappropriate to
empirical evidence to
analysis (RBT4) support analysis. support analysis.
support analysis.
Interpretation is
Interpretation is Interpretation does
Interpret results of the presented with limited
detailed and not match the
analysis (RBT 5) details and is partially
structured. requirements.
structured.
Business implications Business implications Business implications
Appraise with business are discussed in detail are discussed are discussed without
implications (RBT5) considering all considering limited considering
stakeholders. stakeholders. stakeholders.
Integrated solution
Construct integrated Integrated solution
framework developed Solution framework
solution framework. framework developed
for the business lacks integration.
(RBT 6) partially.
problem.
CIA IIIA (Assignment on Capital Structure and Dividend Policy) Rubrics

Program Learning PLG2


Objective
Program Learning PLO2.4
Outomes
Total Marks 20 Marks
Criteria/ CO- Excellent Very Good Good (3) Average (2) Needs
Weightage/PLO PO (5) (4) Improvement
(1)
Relevance of data All the data Most of the Some data Irrelevant No data has
relevant to data relevant to data has been analysed.
CO4- the topic relevant to the topic has been
PO2 has been the topic been analysed.
analysed. has been analysed.
analysed.
Calculations Ratios Ratios Ratios Ratios Ratios relevant
relevant for relevant for relevant for relevant for for Capital
Capital Capital Capital Capital Structure and
Structure Structure Structure Structure Dividend
and and and and Policy have
CO4- Dividend Dividend Dividend Dividend not been
PO2 Policy have Policy have Policy have Policy have calculated.
been been been been
calculated calculated calculated, calculated
with a very accurately. but with with
high degree some numerous
of accuracy. inaccuracies. inaccuracies
.
An A thorough An analysis A No analysis
Analysis of the past CO4- insightful analysis of of some of superficial has been
trends PO2 and most of the the analysis of undertaken.
thorough observed observed some of the
analysis of trends has trends has observed
all the been been trends has
observed undertaken. undertaken. been
trends has undertaken.
been
undertaken.
Detailed, Specific, Realistic or Realistic or No
realistic, realistic, appropriate appropriate suggestions
and and suggestions suggestions have been
appropriate appropriate somewhat with little, if made.
suggestions suggestions supported any, support
Suggestions for CO4- clearly supported by the from the
future PO2 supported by the concepts and concepts
by the concepts information, and
concepts and have been information,
and information, made. have been
information, have been made.
have been made.
made.
*Weightage (Levels) can vary depending on assignments

Prepared by
Prof Aniruddha Oak Reviewed by Approved by
HoD

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