S. P.

MANDALI’s
PRIN L. N. WELINGKAR INSTITUTE OF MANAGEMENT DEVELOPMENT & RESEARCH,
Bengaluru

ACADEMIC DELIVERABLES CELL (ADC)

TEACHING AND LEARNING PLAN (TLP)

Note: Instructions are given in italics and should be removed before submitting TLP

Title of the Course Fundamentals of Financial Management

Course Code F 304
No. of Credits 3
No. of Hours 30
No. of Sessions 15
Marks 100
Pre-requisite Course(s), if any
Name of the Program PGDM
Specialization, if any
Course Revision No.
Academic Year 2023-24
Batch Year 2023-25
Trimester/Semester III
Syllabus Revision No.
Name of the Faculty Dr Santosh Rupa Jaladi & Dr. Preetha Chandran
Faculty Email Address santoshrupa.jaladi@welingkar.org,
Preetha.chandran@welingkar.org
Faculty Contact No. 9880602312, 8123333765

Description of the Course:

This is the first real exposure of the students to the subject of Finance. The focus therefore is on
stressing the basics of financial principles. Concepts like the time value of money and valuation of
financial instruments will enable the student to understand the subject of advanced financial
management in the next trimester.

1
Course Objectives:

1 To explain the key financial decisions and the goals of financial Manage-
ment, analyze the relationship with other areas of management and assess
the ethical and financial implications of financial decisions.

2 To apply the concept of Time Value of Money to calculate present value

and future value and create investment proposals that incorporate TVM
concepts
3 To evaluate and compare investment opportunities using capital budgeting
techniques such as net present value and internal rate of return.
4 To calculate Weighted Average Cost of Capital and evaluate the impact of
different sources of finance on cost of capital
5 To analyze the impact of capital structure and dividend decisions on firm’s
value and recommend suitable capital structure and dividend policy for the
company.
6 To estimate the working capital requirement and and analyse the impact
of different working capital policies on firms profitability and cashflows

Course Outcomes (CO):

Course Course Outcome Blooms Blooms
Outcom Level Level
e (in (in word)
Number Roman
Numerals
)
CO1 Explore the theoretical framework of finance and apply III Applying
financial management principles to business decisions
CO2 Apply the concept of Time Value of Money to calculate VI Creating
present value and future value and create investment
proposals that incorporate TVM concepts
CO3 Evaluate and compare investment opportunities using V Evaluating
capital budgeting techniques such as net present value
and internal rate of return.
CO4 Calculate Weighted Average Cost of Capital and V Evaluating
evaluate the impact of different sources of finance on
cost of capital
CO5 Analyze the impact of capital structure and dividend de- IV Analysing
cisions on firms value and recommend suitable capital
structure and dividend policy for the company

CO6 Estimate the working capital requirement and and IV Analysing

analyse the impact of different working capital policies
on firms profitability and cashflows

2
Mapping of Course Outcomes (CO) to the PO and PSO goals
(To be mapped as 3 or 2 or 1 where 3 is the highest and 1 is the lowest level of co-relation. A cell can
also be left blank)
PSO mapping needs to be done CO wise for Programs that have PSO/s. Whichever PSO/s map to the
CO mention each one in the PSO column and write the numeric value
Role of Self in
PO Critical &
Communica- Global Per- the Organiza-
/ Leadership Innovation Analytical PSOs
tion Skills spective tion & in Soci-
CO Thinking
ety
CO1 2 1 3 2 3 1
CO2 2 3 2 3
CO3 2 3 2 3
CO4 2 3 2 3
CO5 2 3 2 3
CO6 2 3 2 3

Detailed Session Plan:

Session Topic and Subtopics to be CO(s) Pedagogy
No. Covered Mapped (Pre Reading/Case Study
to the Article/Presentation
Topic Quiz/Assignment
Other: Please specify)
1 Introduction to Financial 1 Pre Reading:
Management- Meaning and Chapter 1 of I M Pandey and
definition, Evolution of finance, Srivastava and Mishra
Objectives of Financial PPT of the faculty.
management, Scope of financial
management, Key principles,
Important decisions to be taken by a
business with reference to Finance-a
brief introduction to investing,
financing and dividend decisions.
Changing role of a CFO in the
dynamic market conditions.
2, 3 Introduction to Time value of 1,2 Pre Reading:
money-concept of compounding and 1. Chapter2 of I M Pandey
discounting, value of a rupee and 2. Problems given by the
annuity, effective rate of interest, Professor.
loan amortization schedules. Students will have to solve
numerical problems in the class
and will be assessed by their
ability to solve these problems.

4 Introduction to capital budgeting. 2,3 Pre Reading:

Capital budgeting techniques- Chapter 3 I M Pandey
Traditional methods and DCF Material given by Professor.
3
 methods. Discussion on the concept
of cash inflows. Difference between
PAT and CIF. A small introduction
to the concept of FCFF and FCFE
5,6 Problems on capital budgeting
techniques-Payback period,
Average rate of return, Net present
value, Profitability Index, Internal
rate of return, Modified internal rate
of return.
Students will have to solve
numerical problems in the class
3,4 Chapter 3 I M Pandey
Material given by Professor.
Students will have to solve
numerical problems in the class

7,8 Cost of Capital: Discussion on the 3,4 Pre Reading :

methodology of arriving at hurdle 1. Notes/PPT given by
rate for different projects, concept of professor.
risk-free rate and risk premium, brief 2. Chapter 15 I M Pandey
discussion on cost of equity (CAPM) Students will have to solve
and cost of debt. Computing WACC. numerical problems in the class
Problems on WACC.
9 Internal assessment Test – 20 marks
10,11 Sources of Long term and short- 4 Pre Reading :
term finance- Capital Structure 1. Notes/PPT given by
decisions. Factors influencing capital professor.
structure decisions; EBIT -EPS Chapter 15 I M Pandey
analysis Case discussion and classroom
exercises
12, 13 Working Capital Management. 4,5 Pre Reading :
Working capital cycle, Operating Notes/PPT given by
cycles and cash cycles. Types of professor.
working capital and factors affecting Chapter 27 of I M
working capital. Calculation of RM Pandey
storage period, WIP periods, FG Problems to be solved and mini
periods, Debtors and Creditors cases
turnover. Liquidity Ratios
14 Dividend Policy 5,6 Pre Reading:
1. Notes/PPT given by
 Introduction to the concept professor.
 Basic terms of Dividend Chapter 17 I M Pandey
 Mechanics of Dividend Mini cases and classroom
payments exercises
Determinants of dividend
15 Guest Session

4
Reference Texts/Books/Websites/etc:
The APA format can be used to list out the texts/books/readings/etc

Textbooks:
Sr No Name of the Book Author, Edition
1. Principles of Corporate Finance Principles of Corporate Fi-
nance | 14th Edition ,2023
by Richard A. Brealey (Au-
thor), Stewart C. Myers (Au-
thor), Franklin Allen (Au-
thor), & 2 More
McGraw-Hill.

2. Financial Management – Theory & Practice Prasanna Chandra

th
(2022),12 Edition Mc Graw
hill education, India.

3 Corporate Finance – Theory & Practice Aswath Damodaran (2011),

Wiley India Pvt., Ltd.,

4 Fundamentals of financial management Brigham, E. F., & Houston,

J. F. (2009). (12th ed.). Ma-
son, OH: South-Western
Cengage Learning

5 Financial Management Pandey, I. M. (2023), (12th

edition), Vikas Publications.

Recommended Readings:
Sr No Title of the article url
1. What is Financial management? https://emeritus.org/in/learn/what-is-financial-
management/

2. Rich Dad Poor Dad by Robert T. Nil

Kiyosaki

5
Assessment Method:
(Continuous Evaluation can include Quiz, Test, Case Study, Project(s), Presentation(s), Caselet(s), Class
Participation, etc)

Minimum TWO assessments are required for Internal Assessment / Evaluation

Evaluation Schedule
Evaluation Methodology % of marks The Course
assigned Outcome that it
will measure*
1. Surprise quizzes
2. Case evaluation
3. Assignment 20 3,4,5
4. Swayam course 20 1,2,6
5. Project
6. Any other evaluation method: Ongoing
Class Participation and Engagement
7. End Term Evaluation / Exam 60 All COs

(For evaluation methodology 1- 6 maximum weightage can be 40 %, balance will be for end
term exam.)
*Please specify which Course Outcome will be measured by each evaluation method. An
evaluation method can measure one or more Learning Outcomes

CO(s) Mapped to 3,4,5

Project/Assignment
Objective/s of the Submit a report on the capital structure and capital budgeting
Project/Assignment decisions of the select firm/s within the industry

Assignment/Project Methodology Choose any company of your choice.

Download the financial statements of the company

Analyze the investment, capital structure and dividend policy

of your chosen company

Calculate WACC of the company

Outcome of the You will be able to apply learning from the module to your
Project/Assignment chosen company
Project/Assignment Details, if any:

Rubrics used for internal evaluation:

CRITERIA CONTENT
MARK
Introduction The objectives of the assignment identified and clarified. 5%
Context of the Brief description/history of the company. 5%
6
chosen company
Main body The various external sources of finance clearly identified, 20%
carefully explained and distinguished.

The possible considerations that may have been taken into 20%
account by the management when choosing the type of
finance. Remember that all financing decisions are not
taken on purely financial/quantitative considerations. Are
there other factors that may have influenced capital
structure decisions? Also discuss the investment decisions
of the firm
An attempt at the calculation of the WACC of the
company within the published information available. 20%
Students should be demonstrating the ability to obtain data
and use these to support their calculations. The main
emphasis of the numerical analysis will be the ability to
interpret and apply the results. A critical awareness of the
financial models used is required along with their
limitations and underlying assumptions

Conclusion and Ensure your conclusions and recommendations are 20%

recommendations justified and supported by facts. They should follow
logically the evidence contained in the main body of the
assignment.

Overall This should be coherent, logically organized, and clearly 10%

presentation expressed. The presentation should be accurate in terms of
spelling, grammar and punctuation. Harvard referencing
should be employed accurately.
Appendices should contain material relevant to supporting
the assignment.
Total mark
100%

Swayam Course Recommendations:

https://onlinecourses.swayam2.ac.in/cec24_mg07/preview

TLP submitted by Approved by

Teaching Faculty Program Head Head – Specialization
Name Dr. Rupa & Dr. Preetha Dr. Savitha R Dr Hema Doreswamy
Signature
Date 01.02.2024