Course Code Course title Corporate Finance L T P C
3 0 0 3
MBA
(FinServ,
AIML &Gen)
Prerequisite:
Accounting
for mangers
& Economics
Objectives
1. To Provide the learner with an in-depth understanding of the link between company decision-
making and the operation of capital markets
2. Calculate common investment criteria and project cash flows associated with corporate project
evaluation
3. To enable students to apply measures of cost of capital and financial leverage to form long-term
financial policies for business.
4. to demonstrate the importance of working capital management and the tools to manage it
5. Ensure that students can employ appropriate appraisal and valuation methods in the process of
making and analyzing financial decisions
Outcomes
PHONE WEB
Corporate Office: Plot # 1267, Gateway Jubilee 040 4444 8888 www.woxsen.edu.in
Road # 36, Jubilee Hills, Hyderabad - 500033
India
CILO 1: Understanding the basic concepts of finance and capital markets
CILO 2: Evaluate the investment decisions
CILO 3: Evaluate the Financing decision
CILO 4: Working capital management & Dividend decisions
CILO 5: Analyze the financial statements of different companies from the different stakeholder’s point
of view
Module:1 An Overview of Corporate Finance: Hours: 4
CILO 1
Introduction to Corporate Finance-Importance of Financial
Management -Objectives of Business Enterprises :Profit
Maximization & Wealth Management – agency problem-time
value of money & Basics of financial statements
Module:2 Evaluation of Investment Decision: Hours: 8
Decision making concept of relevance-Nature and meaning of CILO 2
investment decision-Importance &Capital Budgeting Process-
Project Evaluation: Non-Discount techniques: ARR, payback
period. Discount techniques, NPV, IRR & PI-Risk analysis and
capital budgeting
Module:3 Evaluation of Financing Decision: Hours: 8
Cost of capital: Specific Cost of Capital: Debt, Preference & CILO 3
Equity, -Weighted Average Cost of Capital using book value
and Market value, - Capital Structure decision-EBIT & EPS
analysis-Capital Structure theories- Leverage Analysis-
Operating Leverage- Financial Leverage- Combined leverage
6
Module: 4 Working capital management & Dividend decisions Hours: 6
Estimation of working capital under balance sheet & Operating CILO 4
cycle approach-Managing current assets: cash, debtor,
inventories-Managing current liabilities: creditors &
outstanding liabilities.
Dividend and policies-Dividend and firm value-Relevance &
Irrelevance Theories-Share and stock split
Module: 5 Financial Statements Analysis: Hours: 4
Nature and objectives of ratio analysis-Categories of Ratios and
their objectives: Liquidity ratios, Solvency/ Leverage ratios CILO 5
Activity/turnover ratios, Profitability ratios-Identify financial
strength & weaknesses
Total Hours 30
Reading Material Recommended
Code Textbook/Article/Report Name Edition/Year CILO Mapped
TB1 Financial Management and Policy by Horne, Pearson: 2012 CILO 1,2,3 4 and 5
James C Van, Dhamita, Sanjay
Reference Books
Code Textbook/Article/Report Name Edition/Year CILO Mapped
RB1 Financial Management by Pandey, I M 11th edition Vikas CILO 1,2,3 4 and 5
Publishing House Pvt.
Ltd, 2015
6
RB2 Financial management : theory and 14th Edition, 2017, CILO 1,2,3 4 and 5
practice. / Brigham, Eugene Cengage Learning
F.;Ehrhardt, Michael C.;Gapenski, Louis
C.;Brigham, Eugene F.
RB3 Corporate Finance : A Focused Cengage Learning India CILO 1,2,3 4 and 5
Research / Ehrhardt Michael C; Private Limited, 2012
Brigham, Eugene F
Performance Evaluation Components for the Course
Session No. Marks Evolution Form CILO
10 10 QUIZ 1&2
20 15 Case Study 2&3
10 10 Written Assignment -individual 2&4
5 10 Coursera
20 15 Presentation & Discussion 5
Financial analysis on different
companies & industries
(financial econometrics)
Total 60
End term examination
40 End Term written exam 1,2,3,4 &5
Recommended by Board of studies
Approved by Academic Council on DD/MM/YY
6
Copyright: The content provided by the faculty in the class is copy-righted. Students are instructed not to distribute or share
content used during courses with external entities.
Disclaimer: The Syllabus and the Course Outline is indicative of the body of knowledge a student should possess. It does not
in any way be construed as to be covered in class in as-is condition. Faculty may add, delete, and modify content based on
updated information or
