UNIT–I
Business Finance: Conceptual foundations – finance function in business – scope and
objectives – Relation of finance with other business functions. Conflicts in profit versus value
maximisation principle. Role of Chief Financial Officer. Time Value of MoneyCompounding
and discounting techniques – concepts of annuity and perpetuity.
UNIT –II
Different sources of finance. Project financing – intermediate and long term financing.
Negotiating term loans with banks and financial institutions and appraisal thereof.
Introduction to lease financing, Venture capital finance. Cost of capital.
UNIT–III
Capital Structure: Optimum Capital Structure – Determinants and Theories. Leverage –
concept, measurement and significance. Capital Budgeting.
UNIT-IV
Working Capital Management: Cash securities, receivables and inventory management –
management of working capital – kinds of working capital - Determinants of Working
Capital. Dividend policy and decisions: Influencing factors – forms of dividend.