UNIT 1

PART A
1. Define financial management? What are the objectives of financial
management?
2. Compare two aspects of financial management? Name the objectives of
conventional and modern approach in financial management?
3. Identify rule of 72?
4. Classify Time value of money?
5. Discuss the goal of financial management?
6. Interpret under the scope of financial management?
7. Define Future Value of Money.
8. Compare
9. How is the term finance more comprehensive than money management?
10. What are the modern views on financial management?
11. How would you have a fresh look at the finance function in business?
12. Interpret modem view(s) on financial management?
13. Define Compound value concept?
14. Compare
15. How is bond different from equity?
16. Classify the efficient portfolio?
17. Define and explain financial assets.
18. Classify the yield to maturity?
19. Who
20. What is effective rate of interest?

PART - B
1. How individuals show a time preference for money. Give reasons for such a
preference
2. How can future value of an annuity be determined? And define Annuity with
examples?
3. How the intrinsic and the time value of a put option are estimated? And
define put option.
4. Classify the Non-diversifiable risk& Security market line And define
security market and how does it differ from capital market line?
5. Categorize the concept and significance of risk and return of a portfolio. And
define the importance of correlation between assets returns in a portfolio.
6. Evaluate The goal of profit maximization does not provide an operationally
useful criterion- Explain?
7. Define the risk return trade off.
8. Compare the general principles of valuation of shares? Explain.
9. A) Construct the scope of financial management in any organization of your
choice
B) Analyse the main features and of financial Management? Explain
10. List and discuss the various functions of finance manager in an organization.
And Explain the three decisions in financial management .Wealth
maximization is the sole objective of financial management- discuss?

UNIT 2
PART A
1. Define pay-back period method? List the two important limitation of this
approach?
2. Compare operating risk and financial risk?
3. Identify the merits of pay-back period method?
4. Classify the components of capital Budgeting?

5. Discuss the phases of capital budgeting process.

6. Interpret a simple illustration, the profitability index method of capital
budgeting. What does the profitability index signify?
7. Define cost of retained earnings?
8. Compare
9. How the cost of a specific sources of finance is calculated? Brief with an
example.
10. What are the merits of pay-back period method?
11. How would you handle the floatation costs in computing the cost of capital?
12. Interpret the adjusted NPV?
13. Define risk free rate.
14. Compare
15. How the principles of capital rationing. Which evaluation technique is best
under such circumstances?
16. Classify the floatation costs in computing the cost of capital?
17. Define NPV? What is adjusted NPV?
18. Classify operating risk and financial risk?
19. Who
20. What are the features of a capital budget?

UNIT 3
PART A
1. Define stock split
2. Compare a bonus-issue and share-split on four aspects.
3. Identify the different forms of Dividend policies.

4. Classify indifference point

5. Discuss any four factor which are relevant for determining the pay-out ratio.
6. Interpret trading on equity
7. Define any two bases upon which capital structure is determined.
8. Compare debt-equity ratio and interest coverage ratio on two aspects.
9. How would explain indifference point?
10. What is meant by share split up?
11. How are the different forms of capital structure
12. Interpret arbitrage
13. Define dividend pay-out ratio? Brief with a simple illustration.
14. Compare the different forms of dividend
15. How advantage of trading on equity
16. Classify composite leverage
17. Define reverse split.
18. Classify form of dividend.
19. Who reverse split
20. What is composite leverage?

UNIT 4
PART A
1. Define Commercial paper? State its two features.
2. Compare

3. Identify the popular methods available for forecasting working capital

requirements.
4. Classify the specific advantages of inventory control?
5. Discuss the features of commercial paper in India.
6. Interpret the term float
7. Define Factoring?
8. Compare
9. How are receivable forecasted?
10. What are the cost associated with factoring?
11. How you elaborate the factors influencing current assets with the help of
short as well as long term funds.
12. Interpret operating cycle
13. Define credit evaluation?
14. Compare
15. How you draw an operating cycle of working capital for a manufacturing
company?
16. Classify the cost associated with factoring?
17. Define the nature of cash?
18. Classify nature of cash?
19. Who
20. What is cash budget?

UNIT 5
PART A
1. Define the debenture
2. Compare debenture and preference share capital.
3. Identify the three parties in leveraged lease transactions?
4. Classify the various features of term loan?

5. Discuss any two venture capital firms?

6. Interpret private equity?
7. Define Lease.
8. Compare HP and lease?
9. How do you define four intermediaries associates with a companys issue of
capital.
10. What do you mean by private equity?
11. How
12. Interpret Restrictive covenants ? State two features of it.
13. Define the source of internal financing of a firm?
14. Compare authorized share capital and paid-up share capital on two aspects.
15. How do you classify BOOT in project financing? Quote a practical
example.
16. Classify the term venture capital?
17. Define Hire Purchase.
18. Classify the advantages of debentures as a source of funds?
19. Who
20. What are the key function of venture capital?