NMIMSGlobalAccess

SchoolforContinuingEducation(NGASCE)
Course:FinancialInstitutionsandMarket
InternalAssignmentApplicableforSeptember2017Examination

AssignmentMarks:30

Instructions:

AllQuestionscarryequalmarks.
AllQuestionsarecompulsory.
All answers to be explained in not more than 1000 words for question 1 and 2 and for
question 3 in not more than 500 words for each subsection. Use relevant examples,
illustrationsasfaraspossible.
Allanswerstobewrittenindividually.Discussionandgroupworkisnotadvisable.
Students are free to refer to any books/reference material/website/internet for
attempting their assignments, but are not allowed to copy the matter as it is from the
sourceofreference.

Students should write the assignment in their own words. Copying of assignments from
otherstudentsisnotallowed.

Studentsshouldfollowthefollowingparameterforansweringtheassignmentquestions.

ForTheoreticalAnswer ForNumericalAnswer
AssessmentParameter Weightage AssessmentParameter Weightage
Introduction 20% Formula 20%
ConceptsandApplication 60% Procedure/Steps 50%
relatedtothequestion
CorrectAnswer& 30%
Conclusion 20%
Interpretation

1. XYZ Ltd. is a Govt. recognized export house with annual turnover of Rs 2200
Crores Mr Pathak is Vice President- Finance of the Company. The company
follows policy of no hedging of the US$ exposure. What all risks that Mr. Pathak

NMIMSGlobalAccess
SchoolforContinuingEducation(NGASCE)
Course:FinancialInstitutionsandMarket
InternalAssignmentApplicableforSeptember2017Examination
has to enlists in his presentation to the management in a floating exchange rate
scenario? (10 Marks)

2. PSL Bank Ltd. is a private sector bank. The treasury division has an immediate
need to arrange Rs. 100 Crores to finance its one of the top corporate client.
However the requirement is for very short period of around 7 days. So what
sources are available for Mr. Das to raise the required fund, who heads the treasury
divisions of the Bank? (10 Marks)

3. A) LMH Ltd. Has floated an Investment Company. You are appointed as the CEO
to spearhead the investment in secondary market. So to initiate these investments,
explain the mechanism that you will follow. (5 Marks)

3. B) JFK Ltd. is listed Company on the exchange and the share price is quoted at Rs.
340 as of today, the Company reported EPS of Rs. 25.00 for FY 2017. In the
recently concluded board meeting, the Company announced stock split and
accordingly, the face value has been reduced to Rs5.00 from Rs. 10.00. The
outstanding shares of the Company are 30,00,000. Calculate the number of
outstanding shares of the Company post stock split and adjusted share price of the
Company post stock split. Also calculate the PE ratio of the Company post stock
split (5 Marks)

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