I.D.
END TERM EXAMINATION, NOVEMBER 2017
B.A.LL.B. (HONS.)
SEMESTER-VII IX
Corporate Law (Hons.-II)-Corporate Finance
Max. Marks: 60 Time Allowed: 3:00 Hrs.
Note: Answer five questions including Question No. 1 which is compulsory. The number of marks carried
by each question is indicated at the end of the question.
1. Answer the following (each answer should be in approximately 100 words): (Marks 2×10=20)
a. Financial services
b. Credit Rating
c. Further Public Offer
d. Book Building Concept
e. Global Depository Receipts
f. Demat Account
g. Deemed Prospectus
h. Portfolio return and risk- correlation
i. Portfolio Managers
j. Objectives of Corporate finance
2. What is the meaning and importance of financial intermediaries in Capital Market? Discuss the
role of Commercial bank and Underwriters. (Marks 10)
3. "Capital Budgeting is a long-term planning for making and financing proposed capital outlays."
Analyze this statement and discuss the methods of capital budgeting. (Marks 10)
4. What is the meaning and importance of prospectus? What matters to be stated in prospectus and
who are liable for mis-statements in a prospectus? (Marks 10)
5. The Indian capital market is undergoing structural transformation since liberalisation. Discuss this
statement and write the difference between the primary capital market and the secondary capital
market. (Marks 10)
6. Explain the relevance which is associated with the financing decision and investment in the
organization and discuss the factors which influence the dividend decision of a firm. (Marks 10)
7. What do you mean by share capital? Explain the different forms of share that can be issued by a
company? Also discuss the difference between Share and debenture; and Equity share and
preferential share. (Marks 10)