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P.T.O.
MAR IVANIOS COLLEGE (AUTONOMOUS)
THIRUVANANTHAPURAM
Reg. No. :.………………… Name :.………………….
Third Semester B.Com. Degree Examination, November 2016
First Degree Programme under CBCSS
Elective Course: Commerce I (Stream
AUCO391.c: Financial Management
for 2014 Admissions Improvement Only
Time: 3 Hours Max. Marks: 80
SECTION A
Answer ALL questions in one or two sentences.
1. What is financial engineering
2. Define Corporate finance.
3. What is annuity
4. What is discounting
5. What is IRR
6. Define financial planning
7. What is dividend payout ratio
8. What is financial leverage
9. What is Danger level in inventory management
10. State any two characteristics of equity shares.
(10 1 10 Marks)
SECTION B
Answer any EIGHT questions, each in a short paragraph not exceeding 50 words.
11. Write a note on risk return trade off.
12. Briefly explain the factors influencing financial decisions.
13. What do you understand by capital budgeting process
14. What is a financial asset Name any two financial assets.
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15. Distinguish between deposit float and bank float.
16. What is JIT system
17. Write a note on commercial paper as a source of finance.
18. Explain the motives for holding cash.
19. Name different components of current assets
20. What is cost of capital
21. What is venture capital financing
22. What is pay back period
2 16 Marks)
SECTION C
Answer any SIX questions, each in a paragraph not exceeding 120 words.
23. 'Investment, financing and dividend decisions are interrelated'. Comment.
24. Write a note on Net Present Value as a technique of capital budgeting
25. Write note on composite cost of capital.
26. List out the importance of capital budgeting
27. Mention the advantages of maintaining adequate working capital.
28. Discuss the utility of cash budget as a tool of cash management.
29. Mention the different patterns of capital structure.
30. Which are the forms of dividend
31. What is the need of ploughing back of profits
4 24 Marks)
SECTION D
Answer any TWO questions, not exceeding four pages.
32. Explain the objectives of financial management
33. Explain the various factors influencing working capital requirements
34. Discuss the various factors that influence the dividend decision of a firm.
35. What do you understand by receivables management Discuss the factors which influence the size of receivables.
15 30 Marks)