More Questions of Finance Mgmt.

1. Contrast the salient features of the traditional and modern approaches of financial management 2. Describe in detail the factors affecting working capital requirements 3. Net present value V/s IRR 4. Short term sources of finance 5. What are the three major functions of the financial manager? How are they related? 6. Define financial management and discuss the goals of financial management. 7. Explain in detail the stand taken by Prof. Modigliani & Miller regarding the capital structure theory and bring out its assumption salient features. 8. Discuss the relationship between EBIT and EPS 9. What do you understand by Agency theory? Explain with an example 10. Distinguish between operating, financial & combined leverages.

MBA FINANCE MANAGEMENT

Important Theory Questions

What is Factoring? Explain the process of Factoring with its Framework Explain the Various Sources of Long Term Finance. Discuss the major functions of the financial system Explain various Theories of Relevance and Irrelevance of Capital structure. Net Income , Net Operating Income , and M.M Approach of Capital Structure Theories Distinguish between gross and net working capital also permanent and temporary working capital. Explain the different sources of working capital finance What do you understand by Venture Capital? Describe stages in Venture Financing. Also describe in detail process of Venture capital financing. Explain the Various Factors affecting to Dividend policy Various Dividend policies Explain Explain Walter and Gordon Model of Dividend Traditional Approach of Capital Structure Theory Explain Miller & Orr Model and Baumol Model of Optimum Cash Balance What is Financial Management? Explain the Various Function of Financial Management. Short note on E.O.Q Difference :- Leasing V/s. Hire Purchase

Difference :- Operating Lease V/s. Financial Lease Explain a stock split? Why is it used? How does it differ from a bonus shares? Discuss Guidelines for Right Share Issue

Important Practical Chapters

Capital Budgeting Techniques :-

Methods: - NPV, IRR, MIRR, Payback Period,ARR

Capital Structure theories :-

Sum of Valuation of firm and Arbitrage from MM Approach

Capital Structure and Leverages :-

Financial Leverage, Operating Leverage, and Combined Leverage

Cash Management :-

Miller and Orr model and Baumol Model sums, and preparation of Cash budget

Working capital management :-

Projected working capital Statement Sums And Determination of various Cycle like Cash etc.

Time value of Money :-

Present and Future Value sums, Present and Future Value of Annuity sums , Perpetuity, Loan Amortization Schedule

Valuation of Bond and Shares :-

Valuation of Bond by YTM formula For Equity Dividend Disc. Model, Constant Growth model, Two Stage model , and H model

Inventory Management:-

EOQ Sums And Total Cost sums

Cost of Capital :-

Individual Cost of Capital and WACC sums And Marginal Cost of Capital Sums

Dividend Decision :-

Walter and Gordon Model Sums

Receivable/ Credit Management :-

Sum of Determination of Residual Income after change in Credit policy