Financial Management - Theory and Practice

In the present business scenario, characterized by globalization, deregulation and fierce competition, finance functions have, of late, assumed great importance. The fluctuating exchange rates, and volatile rates of interest, have made the fund-raising exercise and ensuring their effective utilization, as the major factors affecting corporate growth and development. Thus, all the executives, operating in today's competitive global economy, are required to effectively manage costs in the entire range of areas, ranging from production and quality control to maintenance and marketing. The growing requirements of financial reporting have placed new demands on both the finance and non-finance executives, alike. The implications of such changed environments must, therefore, be well understood and, more importantly, managed at all the levels, and across all functions in the organization. Further, it has become all the more important for non-finance executives to have at least a working knowledge of finance functions, so as to appreciate the financial implications of their decisions.

Accordingly, this book has been designed to provide the concepts and techniques in the major areas of finance, to enable the executives to objectively evaluate the alternative courses of action, and to take optimal decisions in all the areas, fully appreciating and weighing the financial implications.

  1. Management and Control: An Overview
  2. Financial Statements
  3. Balance Sheet
  4. Profit and Loss Account
  5. Evaluation of Financial Performance through Ratio Analysis Techniques
  6. Evaluation of Financial Performance through Ratio Analysis Techniques: Case Studies with Suggested Approaches
  7. Sources and Application (Uses) of Funds Statements
  8. Working Capital Management and Control: An Overview
  9. Working Capital Policy
  10. Working Capital Management and Control: Operating Cycle Approach
  11. Cash Management
  12. Credit Management
  13. Inventory Management
  14. Financing of Working Capital Requirements
  15. Working Capital Finance by Banks
  16. Management of Credit Risks by Banks
  17. Disbursement and Follow-up of Working Capital Finance by Banks
  18. Letters of Credit
  19. Bank Guarantees
  20. Export Finance (Short-Term)
  21. Short-Term (Working Capital) Financing of Information Technology (IT) and Software Industry
  22. Contribution Analysis and Break-Even Point (BEP) or Cost-Volume-Profit (CVP) Analysis
  23. Cost Management and Control � Steps and Strategies
  24. Corporate Planning, Budgeting and Control
  25. Time Value of Money
  26. Capital Budgeting (Capital Investment Decisions)
  27. Leasing, Hire-Purchase, and Project Financing
  28. Dividend Policy and Firm Value
  29. Dividend Decision
  30. Mergers, Acquisitions and Restructuring
  31. International Financial Management