B.Com 5th Sem International Financial Management Questions and Answers

Unit 1 The Finance Function

Unit 2 Working Capital Management

Unit 3 Investment Appraisal

Unit 4 Business Finance

Unit 5 Business Valuation

Unit 6 Risk Management

B.Com 5th Sem International Financial Management Notes

B.Com 5th Sem International Financial Management Syllabus

Unit 1: THE FINANCE FUNCTION (08 HRS)
Financial management and financial objectives – The economic environment for business – Financial markets, money markets, and institutions.

Unit 2: WORKING CAPITAL MANAGEMENT (08 HRS)
The nature, elements, and importance of working capital – Management of inventories accounts receivable accounts payable and cash determining working capital needs and funding strategies.

Unit 3: INVESTMENT APPRAISAL (10 HRS)
Investment appraisal techniques – Allowing for inflation and Taxation in investment appraisal – Adjusting for risk and uncertainty in investment appraisal – Specific investment decisions (lease or buy; asset replacement, capital rationing)

Unit 4: BUSINESS FINANCE (08 HRS)
Sources of, and raising business finance – Estimating the cost of capital – Sources of finance and their relative costs – Capital structure theories and practical considerations.

Unit 5: BUSINESS VALUATION (12 HRS)
Nature and purpose of the valuation of the business and financial assets – Models for the valuation of shares – The valuation of debt and other financial assets – Efficient market hypothesis (EMH) and practical considerations in the valuation of shares.

Unit 6: RISK MANAGEMENT 10 (HRS)
The Nature and Types of Risk and approaches to Risk Management- Causes of Exchange Rate differences and Interest rate fluctuations – Hedging techniques for foreign Currency risk – Hedging techniques for Interest rate risk.