MPDBA/HR-201 FINANCIAL MANAGEMENT  

Assignment-1
1.Explain the role of Finance Manager for optimum utilization of organizational resources.
2.What is the scope of finance function? Write elaborately the interface between finance and other business functions.
3.Calculate Weighted average Cost of Capital from the following using a) book value method b) Market value method. •Equity Share Capital Rs. 3,50,000/- with cost of equity @10% Market value is Rs.4,50,000 •8% Preference Shares of Rs.4,00,000/ and its market value is Rs.4,50,000/- •6% Debt of Rs.6,00,000 and its market value is Rs.5,60,000/-. •Retained earnings Rs.1,50,000, which has no change in the market value. It cost is equal to that of cost of equity.
4.Classify and explain about various capital budgeting techniques.
5.Explain various factors determining capital structure of corporate entity.

Assignment-2
6.What is MM Hypothesis? Substantiate your answer with suitable propositions given by MM.
7.It has decided to raise Rs.5,00,000 of additional capital funds and has identified two plans. The information is as follows.
Present Capital Structure :3,00,00 equity shares of Rs. 10 each, 10%
Bonds of 20,00,000
Tax rate : 50%
Current EBIT : Rs.17,00,000