Since the days of recorded history, finance has been playing a critical role in the lives of individuals, families and organisations. Organisations got wound up, families broke up and individuals were bankrupted if they failed to manage their finances effectively. It was all roses if funds were managed wisely and effectively.
Grandma and grandfather managed finances easily. They hoarded the cash that came in and were generally frugal in spending. They were not required to open accounts, sign cheques and documents, and own plastic cards. Same was the status with organisations too. People who managed cash did not probably need lessons on management of finance.
It is a different scenario today. Management of finances of individuals and of business organisations has become too complex and challenging. One should understand and implement set principles and practices of managing finance.
I have brought out ‘Financial Management’ to meet the specific need of B.Com. students of Bangalore University.
The book comprising 9 chapters, the text essentially revolves around three fundamental issues of managing finance: raising funds, investing them judiciously and dispersal of profits, including dividends to shareholders.
Besides being comprehensive on the coverage of the subject, Financial Management has been following unique pedagogic aids.
1. Each chapter begins with learning objectives.
2. Numerous problems with solutions are appended to each chapter.
3. Self-taught tools comprising fill-in-the-blank statements and true/false statements with answers at the end of each chapter.
4. Skill-building exercises given the end of the book help students develop skills in the subject by bridging the gap between theory and practice.
1. Introduction to Financial Management
2. Financial Planning
3. The Time Value of Money
4. Valuation of Bonds and Shares
5. Capital Structure and Leverages
6. Capital Budgeting (Investment Decision)
7. Dividend Decision
8. Working Capital Management
9. Working Capital Finance – Sources