Advanced Corporate Finance Case

[pic 1]Course Outline                      

Batch: 2013-15                                                                Term:         III

Course: Advanced Corporate Finance                                        Credits: 3

Course Instructors: Dr Vipul Kumar Singh (2 credits)/ Dr Kulbir Singh (2 credits)/ /Prof S Shanbhag (1 credit)  

 Objectives of the course:

The prime thrust of this course is to show how financial theory can be applied to solve problems in practice, relate theory to practice. This course also builds familiarity with the analytical techniques helpful in decision making. The course has been designed to provide learners the right mix of theoretical and practical inputs to equip them with critical skills to stay ahead in their profession in the years to come.  The Advance Corporate Finance course focuses at introducing the students about the various aspects of corporate finance which facilitates the decision making domain pertaining to financing, investment and dividend decisions.

Course Outline

Module I

• Working Capital Management
• Inventory Management
• Receivables and Payables Management
• Cash Management
• Short-term Funding and money market instruments

Module II

• Corporate Governance and Ownership Structure  (India and various other countries)
• Mergers and Acquisitions
• Financial Distress
• Multinational Finance Management

Module III

• Long Term Sources of Funding
• Capital Structure decisions and theories
• Dividends and stock repurchase
• Dividends and firm value models

Learning Outcomes (LOC)  

On successful completion of Corporate Finance II Course, the students will be able to

1. Evaluate issues related to working capital of a firm and apply the tools of working capital management.
2. Have comprehensive application of capital structure and dividend related issues

1. Apply basic methods of arriving at capital structure and dividend distribution decisions
2. Assess a company’s value in terms of financial risk through various data sources
3. Interpret the importance of distribution of dividend and retention of earnings at the interest of the share holders
4. Differentiate the strategies of various firms to distribute dividend or retain earnings based on the nature of the firm, need for capital, existing capital structure and target capital structure.

1. Diagnose the strategic issues related to internal and external factors of a firm for its survival and growth.

1. Evaluate financial health of a company based on financial statements
2. Assess various alternatives for a distressed firm
3. Identify the potential threats and benefit for a company to become global

Basic Text - Smart e-Book

1. Corporate Finance, Ross, Westerfield & Jaffe, Tenth Edition, Smart e-Book, McGraw Hill.

Reference Books

1. Financial Management- Theory and Practice, Brigham and Erhardt, Cengage.
2. Brealy, R A, Myers, S.C, Allen, F, and Mohanty, P. (2007), Principles of Corporate Finance, Tata McGraw Hill, India.
3. Brigham, E. F. and Houston, J. F. (2007), Fundamentals of Financial Management, Thomson, India.
4. Chandra, P. (2008), Financial Management – Theory & Practice, Tata McGraw Hill, India.
5. Damodaran, A. (2007), Corporate Finance, Wiley, India.
6. Khan, M. Y. and Jain, P. K. (2011), Financial Management – Text, Problems and Cases, Tata McGraw Hill, India.
7. Megginson, W. L., Smart, S. B. and Gitman, L. J. (2007) Principles of Corporate Finance, Cengage, India.
8. Pandey, I. M. (2007), Financial Management, Vikas Publications, India.
9. Parrino, P and Kidwell (2009), Fundamentals of Corporate Finance, Wiley, India.
10. Ross, F., Westerfield, R. W., Jaffe, J. and Kakani, R. K. (2009), Corporate Finance, 8th Edition, Tata Mc Graw Hill, India.
11. Van Horne, J. C. (2008),  Financial Management and Policy, Pearson, India
12. Van Horne, J. C. and Wachowicz, J. M. (2009),Fundamental of Financial Management, PHI
13. Van Horne, J. C. and Dhamija, S. (2012), Financial Management and Policy, Pearson, India.

E-resources/databases:-Through IMT’s Library Portal on 10.40.0.25

1. Bloomberg
2. Prowess
3. Capital Line
4. Moodle
5. Ebsco
6. Proquest
7. HBR

Session Plan

*Session plan is indicative only; it may change depending on the learning speed of the class