ihttps://woww.mdustudy.com lt Na. 93537 Com. Sth Semester (Hons.)}.w-e.f. Academic Session 2016-17 & Current Scheme Examination - November; 2019 FINANCIAL MANAGEMENT Paper: BCHN-501 Time: Three Hours | ____ 1 Maxima Marks 80 Before ansavring the questions, emddate ould vnsure that they ave bee spt complaint in this regard, el beentertaliadaerexamanation Gi & sie 22 2 ord alae gfe ar 3 RE sah gt ot fe se or Ar By ctr & vrs gaits aif fran aft Goo — Note: Attempt five questions inal, selecting one question COPE aul come grt rar Ne from each Unit. Question No. 1is compulsory. 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Write 9. pole on overcapitalsation anit inter capitation “ stm WPT er ona we Ae 4 Determine the weighted average cost f capital using, (2) Book value weights and (b) market value weights from the following capital structure of the company z Debentures (100 per debenture) 18,00,000 Preference share (8100 per share) 12,00,000 Equity share ® 10 per share) 30,900,000 All the scuiin are Ke nthe event pics ae Debentures € 110 perder Preference share € 0k share taut share €22per share Other nfrmatineage: (i) F100 per denture redcemable tpt Wye ra ton ‘ae fhtaton cents pre? (uy #100 psence share redeemable at pat, 10900" ratio te dividend rte 5% tation wos sole pe 100, sosar21so(maxaot) — (3) P10 ‘hups://www.mdustudy.com. ‘woo:gpmisnpus aaayysday woo:¢pnisnpar suas ittps://www.mdustudy.com (i) Equity share #2 por share lots 2, on cost, sale pice In addition, dividend expected on the egy shares at the end of the year is @ 2 per share Aik noticipated ‘growth rate in dividend is 7% and the frum has the Practice of paying alls earning i the form of dividends, The corporate tax rae is 15% 16 weed & Fret Geen A a) se gers A b) se sxore ee a cn eh GAG tes he aw rete re eH (8AM Be 100) 18,00,000 seers oft (a oto 10) 12,.00,000 ‘a ai (fH set Bo 100) 30.00,000 60,0000 woh afraid Gt sore # ara Bh tar BS see 10°80 ser spre ste 120 %0 5 ote AT ofa 220 AY sie, so gat § i) 100 Bo ofa memes ne we, 10 oe, Ve DAL, He NBA aM FT ET 100-8 (i Fo 100 gatere ska ae aT 10 eA AAI, 1% ate et, 5% RIT ATT, Rees aT 101 Fer ofa 2 0 aft si ban aT, Ra IRI Fo 2 8383721801" 8yO.9y19) (4) ‘hups:www.mdust udy.com ‘woo:gpmisnpus aaayysday|https://www.mdustudy.com eR OM, ak & ed A ot gE 2» anata art H wean fe ee ae Ch eh eae cs TT aa eA Sine We Br 35% by vee 5. AKL has the folowing capital tae ' Ordinary shares 1Olabhs @€ each. —_10.00000 Reserve & surplus 000.000 20% debentures, ace value 10046 1.gb. —_64,90,000 The company needs 50 las 9 execute» new project which Will raise its ope stg prof EBM) from the curtent level of 40111 tot 95 kd ts dering the following opti. (for 25 abs ata premium at “se 12% debentites for the is 40%, Evaluate the Uhre d advise ompany. 18 aio Pt: oma) 1 so ah ia 1,0900,000 ff non 000 yf yi Go 100 sh we 60.00.00 é siar-arsoWr-eyu 19) (5) P.T.0, ‘https:/www.mdustudy.com, ‘woo:gpmisnpumayesday ‘woo:spnasnpu avast ittps://www.mdustudy.com swch a 50 at Ro a mh aE & By saa, ra ae eR TRE $0 aa sere en gE a st Fee IRREE Fh Co) Regt oT BAA ee bat of Ee 9 oat fe Re wet By (oy 1% area a Pb eh BART 50 te aren & Rr (e) 25910 BoB Re on ih Pr 15 pe 3 BP oe Be 1% eT ae as SP Prin Bs wat @ 5Ce UOLN hs Fae oe aE Sr wh Be Ss UNIT eae 1. Write a brief accountof various theories of caps! sucture. 6 Bh aA Stor Pah ae Be A ety 7. Prepare a working capital forecast fron the fins informations ‘Wookly sales 6)000.anits 02 8 per unit Raw material ast 2 peru Diroet wages Leper wit Overheads £1.20 000 peor week Stock will ined: he following, Row materia 5.00000 Finished goods 80,000 units easoraisowayamia — (6) ‘hups://www.mdustudy.com ‘woo:gpmisnpus aaayysdayswoo:spmasnpavavnjseh ittps://www.mdustudy.com ihttps://woww.mdustudy.com Workin py 2 woes Cate the sate of an ety shaw exh Suu aw weeks crit a Abas ane Cashion als thse omnis appivany Waters formula oven owas wevks ei age ame payer the camgaries ang, ale Jad nat overheats ne pa ler works ofp 0 (0) 050) 075 and (035 Tuk 1s fr enntingenes feet geensd Qader go gaara here A What conclusion do you deaw't 6 ven APRS, BIRR wel ae fee? ererfts Rew 60,000 @ 850 of Ret see ee ar 3 0 see —_____ ana] pw. | cus ee matt ego et lat @arnten* 15% se | we 1 aera 1 29 5 wm ater | we | mew fret eae Pe er sft sta 960) i ss — + 600000 Seca anh Raed Bnet war on E Pe rt 0.000 ae ee Ae rg at rat ae arg B at ite 2 wae (@) 050 (0) 075 and 1025 ay a Propt Pra? 9. 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