Advanced Financial Management

Paper Code: 
AAF 512
Credits: 
6
Contact Hours: 
90.00
Max. Marks: 
100.00
Objective: 

The main objective of this subject is help students gain knowledge, skills and exercise needed to make professional judgment and decisions relating to the financial management of an organisation in private and public sectors.

Course Outcome (COs):

 

Course

Learning outcome (at course level)

Learning and teaching strategies

Assessment Strategies

Paper Code

Paper Title

AAF 512

 

Advanced Financial Management

Upon successful completion of this course, the student will be able to:

CO 164: Explain and evaluate the role and responsibility of the senior financial executive or advisor in meeting the conflicting needs of stakeholders and recognize the role of international financial institutions in the financial management of multinationals

CO 165: Evaluate potential investment decisions and assessing their financial and strategic consequences, both domestically and internationally

CO 166: Assess and plan acquisitions and mergers as an alternative growth strategy

CO 167: Evaluate and advise on alternative corporate re-organization strategies

CO 168: Evaluate alternative advanced treasury and risk management techniques

Approach in teaching:

Interactive Lectures, Discussion, Tutorials, assignments.

 

Learning activities for the students:

Self learning assignments, Effective questions,  Giving tasks,

 

Class test, Semester end examinations, Quiz, Solving problems in tutorials, Assignments,  Individual projects

 

18.00
Unit I: 

Role  and  responsibility  towards  stakeholders.

  • Role  and responsibility  of  senior  financial  executive/advisor;  Financial strategy formulation; Conflicting stakeholder interests;
  • Ethical issues in  financial  management;  Environmental  issues  and  integrated Reporting
  • Economic  environment  for   multinational   organizationsàManagement of international trade and finance; Strategic business and financial planning for multinational organizations
18.00
Unit II: 

:Advanced investment appraisal

  • Discounted cash flow techniques; Application of option pricing theory in investment decisions; Impact of financing on investment decisions and adjusted present values;
  • Valuation and the use of free cash flows; International investment and financing decisions
18.00
Unit III: 

Advanced investment appraisal

  • Discounted cash flow techniques; Application of option pricing theory in investment decisions; Impact of financing on investment decisions and adjusted present values;
  • Valuation and the use of free cash flows; International investment and financing decisions

 

18.00
Unit IV: 

Corporate  reconstruction  and  re-organisation

  • Financial reconstruction; Business re-organisation
  • Treasury and advanced risk management Techniques: The role of the treasury function in Multinationals; The use of financial derivatives to hedge against forex risk; The use of financial derivatives to hedge against interest rate risk; Dividend policy in multinationals and Transfer Pricing
18.00
Unit V: 

Emerging  issues  in  finance  and  financial  management

  • Developments  in  world  financial  markets;  Developments  in international trade and Finance.
Essential Readings: 
  • Study material of ACCA -P4
  • Sinha. P.K, “Financial Management-tools and techniques”, Excel Books
  • Srivastava and Misra, “Financial Management, Second edition”, Oxford University Press Agarwal, M.R. “Financial Management”, Garima Publication
  • Pathak. V, “The Indian financial system: Markets, Institutions and Services”, Pearson
  • Khan & Jain, “Financial Management”. Tata McGraw Hill, New Delhi. I M Pandey “Financial Management”, Vikas Publications.
  • ChhandraPrassana, Financial Management, Tata McGraw Hill Van Horne, Financial Management, PHI
  • Rustagi R.P, Fundamentals of Financial Management, Taxmann
  • Banerjee .B, Financial policy and Management Accounting, Eight edition, PHI

 

Academic Year: 
2021-2022
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