MBA.

(Participatory Programme) DEGREE EXAMINATION THIRD SEMESTER FINANCE QP CODE: P10 MB-F 15 SECURITY ANALYSIS AND PORTFOLIO MANAGEMENT

Time: Three Hours SECTION A: ANSWER ALL QUESTINS ( 5 X 6 = 30 Marks) 1. (a) Explain the characteristics of investments. (OR) (b) Distinguish between investment and speculation 2. (a) Return and Risk- The basis of investment decision- Discuss (OR) (b) Explain the criteria for evaluating the investment proposals 3. (a) How is a fundamental analysis useful to a prospective investor? (OR) (b) What are the factors to be considered in economic analysis?

Maximum: 75 Marks

4. (a) Explain the different models which are used to value the common stock. (OR) (b) Discuss the different forms of market efficiency. 5. (a) State the difference between Technical Analysis and fundamental analysis (OR) (b) Elucidate the underlying assumptions of technical analysis SECTION B: ANSWER ANY THREE QUESTINS (3 X 10 = 30 Marks)

6. Describe briefly the important investment avenues available for the investors in India 7. What is single index model? How is it differing from Capital Asset Pricing Model? 8. Elucidate the important key characteristics in an industry analysis 9. Enumerate the different implications of efficient market hypothesis 10. Explain the different methods used to measure the portfolio performance? SECTION C: COMPULSORY (1 X 15 = 15 Marks) 11. Investor owns a portfolio of four securities. The characteristics of the securities and their proportions in the portfolio are presented in the table. Security Coefficient Beta Proportion in % Expected rate of return in % A 1,40 30 13 B 0,90 30 18 C 1,00 20 10 D -1,30 20 12 a) What is the expected rate of return of this portfolio? b) What is the risk of the portfolio? c) If the investor wants to reduce risk in his portfolio how he could restructure his portfolio?
--------------------@@@@@@@@@@@--------------------

M.B.A., (Participatory Programme) DEGREE EXAMINATION THIRD SEMESTER FINANCIAL MANAGEMENT QP CODE: P08 MB-FM 17 CAPITALBUDGETING AND FINANCING DECISIONS Time: Three Hours Maximum: 75 Marks SECTION A: ANSWER ALL QUESTINS (5 X 6 = 30 Marks) 1. (a) Explain the different modes of innovative finance in india. (OR) (b) Distinguish between shares and debentures. 2. (a) What is institutional finance ? Discuss the various innovative modes of financing. (OR) (b)What is sensitivity analysis? How is it useful in financial decisions? 3. (a) Explain the characteristics of balanced capital structure . (OR) (b) Discuss briefly the different approaches to the computation of the cost of equity capital. 4. (a) What is leverage? And explain the different types of leverages. (OR) (b) Distinguish between operating and financial leverage. 5. (a) What is financial forecasting? Explain its importance in financial decisions. (OR) (b) Explain the various approaches for determining the financing mix. SECTION B : ANSWER ANY THREE QUESTINS (3 X 10 = 30 Marks) 6. Explain the different sources of long term finance. 7. How do you evaluate the project under risk and uncertainty. 8. Excel industrial Ltd has assets of Rs.160000 which have been financed with Rs.52,000 of debt and Rs.90,000 of equity and a general reserve of Rs.18000. The firms total profits after interest and taxes for the year ended 31 st March, 1998, were Rs.13,500. If pays 8% interest on borrowed funds and is in the 50% Tax bracket. It has 900 equity shares of Rs.100 each selling at a market price of Rs.120 per share. What is the weighted average cost of capital? 9. The company has the following capital structure: 10% Preference share capital Rs.1,00,000; Equity share capital (Rs.10 per share) Rs.1,00,000 The amount of operating profit Rs.60,000; The company is in 50% tax bracket. Calculate the financial Leverage. 10. Explain in details the different method of financial forecasting

SECTION C: COMPULSORY

(1 X 15 = 15 Marks)

11. From the following information you are required to Calculate (i) The operating leverage (ii) financial leverage and (iii) combined leverage Under situation I and II and financial plans A and B Installed capacity 4,000 units; Actual production and sales 75% of the capacity

Selling price Rs.30 per unit; Variable cost Rs.15 per unit Fixed Cost: Situation I Rs.15,000 and Situation II Rs.20,000 Capital Financial Plan structure: A B Equity Rs.10,000 Rs.15,000 Debt (20% Rs.10,000 Rs. 5,000 Interest) Total Rs.20,000 Rs.20,000 --------------------@@@@@@@@@@@--------------------

M.B.A. (Participatory Programme) DEGREE EXAMINATION FOURTH SEMESTER FINANCE QP CODE: P10 MB-F 19 STRATEGIC COST MANAGEMENT Time: Three Hours Maximum: 75 Marks SECTION A: ANSWER ALL QUESTINS 6 = 30 Marks) (5 X

1. (a) Explain in detail the different elements of cost with appropriate examples (OR) (b) What do you mean by Value added concepts in SCM? 2. (a) Enumerate the characteristics (or key principles) of target costing. (OR) (b) Explain the concept of life cycle costing and its purpose in cost management. 3. (a) Enumerate the drawbacks of conventional costing. (OR) (b) What is ABC system of costing? Explain its steps in detail. 4. (a) What is Linear Programming? Explain its significance in SCM. (OR) (b) Enumerate the guidelines for using Regression Analysis in strategic cost management. 5. (a) What is Multinational transfer pricing? Explain its importance. (OR) (b) Quality, time and Cost as competitive weapons Discuss SECTION B : ANSWER ANY THREE QUESTINS 6 = 30 Marks) (5X

6. Costing systems are classified according to the nature of operations Set out the classification with a brief description of the operations covered by each heading 7. Cost as a sources of Competitive advantage - Discuss 8. What is Activity Based Costing? Explain its merits and demerits in detail 9. Explain in detail the applications of Regression analysis in cost functions

10. Explain the strength and weaknesses of different methods of Transfer Pricing?

SECTION C: COMPULSORY

(1 X 15 = 15 Marks)

11. Describe each stage of the implementation process of Activity Based Costing and also explain its merits and demerits in detail.
--------------------@@@@@@@@@@@--------------------

M.B.A. (Participatory Programme) DEGREE EXAMINATION FOURTH SEMESTER FINANCE QP CODE: P08 -FM 19 RISK MANAGEMENT AND INSURANCE Time: Three Hours Maximum: 75 Marks SECTION A: ANSWER ALL QUESTINS ( 5 X 6 = 30 Marks) 1. (a) What is risk ? Explain the different types of risk. (OR) (b) Distinguish between objective risk and subjective risk 2. (a) Define risk management and explain its objectives (OR) (b) Describe the steps in the risk management process 3. (a) Explain the different kinds of life insurance policies (OR) (b) Explain the regulations of insurance business and the emerging scenario 4. (a) Explain the procedure of settlement of claim in fire insurance (OR) (b) How the rate is fixed in fire insurance contract. 5. (a) Explain the basic characteristics of individual major medical insurance (OR) (b) Discuss the underwriting principle followed in a group insurance SECTION B : ANSWER ANY THREE QUESTINS ( 5 X 6 = 30 Marks) 6. Explain the different methods of handling risk with examples. 7. Discuss the factors effecting individual demands for insurance. 8. Explain the essentials of Life insurance contract. 9. Explain in detail the different types of Marine insurance policies. 10. Analyze the importance of the following insurance in detail (a) Burglary insurance (b) Fidelity Guarantee insurance and (c) Cattle insurance

SECTION C: COMPULSORY (1 X 15 = 15 Marks)

11. There are several techniques available for handling risk. For each of the following risks, identify an appropriate technique, or combination of techniques that would be appropriate for dealing with the risk (a) A family head may die prematurely because of heart attack (b) An individuals home may be totally destroyed in hurricane. (c) A new car may be severely damaged in an auto accident (d) A negligent motorist may be ordered to pay a sub substantial liability judgment to someone who is injured in an auto accident. (e) A surgeon may be sued for medical malpractice. (f) An individual may be forced to declare bankruptcy because he or she cannot pay catastrophic medical bills.
--------------------@@@@@@@@@@@--------------------

M.B.A. (Participatory Programme) DEGREE EXAMINATION FOURTH SEMESTER FINANCE QP CODE: P10 MB-F 21 PROJECT MANAGEMENT Time: Three Hours Maximum: 75 Marks SECTION A: ANSWER ALL QUESTINS ( 5 X 6 = 30 Marks) 1. (a) What is capital expenditure? Explain its significance. (OR) (b) What are the criteria for screening of projects? 2. (a) What are the key questions to be raised in market analysis? (OR) (b) What is project Analysis? And explain its significance in project management 3. (a) Enumerate the various method of demand forecasting (OR) (b) What is social cost benefit analysis? Explain its importance in project management 4. (a) State the merits and demerits of critical path method. (OR) (b) Distinguish between PERT and CPM 5. (a) Discuss the ways in which the feedback on project is useful in project management (OR) (b) What is abandonment analysis? How is it useful in project review and administrative aspects? SECTION B : ANSWER ANY THREE QUESTINS ( 5 X 6 = 30 Marks) 6. Discuss the key aspects to be considered for a preliminary screening of project ideas.

7. Explain the various steps in a project Management. 8. What are the prerequisites for a successful implementation of a project? 9. Explain in detail the three basic project planning techniques. 10. Explain the different methods of capital budgeting.

SECTION C: COMPULSORY (1 X 15 = 15 Marks)

11. Describe briefly any of the projects you have undertaken and how was

the project Managed?

--------------------@@@@@@@@@@@--------------------