III Semester

RESEARCH METHODOLOGY AND STATISTICAL ANALYSIS

Course Outcomes

CO1

Students will understand the concepts of research, types of research, research design and research process

CO2

Familarise students with the concepts of Hypothesis and its testing procedures and also on sampling techniques.

CO3

Students will acquire knowledge about different methods of data collection and testing its validity and reliability and analysis of data using different statistical tools

CO4

To acquire knowledge on interpreting results and drafting a research report.

UNIT-I:

INTRODUCTION:

Quantitative Techniques: Meaning, Need and Importance - Classification: Statistical Techniques - Operations Research techniques - Role of Quantitative Techniques in Business and Industry - Quantitative Techniques in Decision making - Limitations.

Research: Meaning, Purpose, Characteristics and Types - Process of Research: Formulation of objectives - Formulation of Hypotheses: Types of Hypotheses - Methods of testing Hypotheses - Research plan and its components - Methods of Research: Survey, Observation, Case study, experimental, historical and comparative methods - Difficulties in Business research.

UNIT-II:

COLLECTION, PRESENTATION & ANALYSIS OF DATA:

Sources of Data: Primary and Secondary Sources - Methods of collecting Primary Data - Designing Questionnaires/Schedules in functional areas like Marketing, Finance, Industrial Economics, Organizational Behavioral and Entrepreneurship (Practically students should be able to design questionnaires for given problem/cases in these areas). Census vs. Sampling - Methods of Sampling Random and Non-Random Sampling methods - Measurement and scaling techniques.

Processing and Presentation of Data: Editing, coding, classification, and tabulation - Graphic and diagrammatic presentation (Theory only). Statistical analysis of Data: Types of analysis (Descriptive analysis and inferential analysis) – Tools: Measures of Central Tendency, Measures of Variation, Skewness, Time series, Index numbers, Correlation and Regression (theory only).

UNIT-III:

INTERPRETATION AND REPORT WRITING:

Interpretation: Introduction - Essentials for Interpretation, Precautions in interpretation - Conclusions and generalization - Methods of generalization. Statistical fallacies: bias, inconsistency in definitions, inappropriate comparisons, faulty generalizations, drawing wrong inferences, misuse of statistical tools, failure to comprehend the data. (including small cases). Report Writing: Meaning and types of reports - Stages in preparation of Report - Characteristics of a good report - Structure of the report'-Documentation: Footnotes and Bibliography - Checklist for the report.

UNIT-IV:

PROBABILITY AND PROBABILITY DISTRIBUTIONS:

Probability: Meaning - Fundamental Concepts - Approaches to measurement of Probability -Classical, Relative frequency, subjective and axiomatic approaches - Addition theorem - Multiplication theorems- Bayesian theorem and its simple applications - Mathematical expectation (including problems).

Probability Distributions: Meaning and importance of theoretical frequency distributions Binomial, Poisson and Normal distributions - Properties and uses - fitting Binomial, Poisson and Normal, Distributions (areas method only) (including problems).

UNIT-V:

ASSOCIATION OF ATTRIBUTES & CHI SQUARE TEST:

Association of Attributes: Meaning - Distinction between correlation and association Methods of studying Association - interpretation of results. Chi Square Test: Definition - Conditions for applying Chi square test, Yates's correction - Uses and limitations of Chi square test - Chi square test for testing the independence of Attributes - Chi square test for goodness of fit (including problems).

SUGGESTED READINGS:

1.Krishna Swamy:Methodology of Research in Social Sciences.,2.Kothari:Research Methodology., 3.Zikmund:Business Research Methods.,4. SC.Gupta:Fundamentals of Statistics., 5. SP.Gupta:Statistical Methods., 6. Levin et al:Statistics for Management., 7. Keller:Statistics for Management & Economics., 8. Sanchetty & Kapoor: Business Statistics., 9. Achalapathi KV:Reading in Research Methodology in Commerce & Business Management.,10. Anderson:Statistics for Business and Economics.

(Applicable to the batch of students admitted in the academic year 2016-17 and onwards)

E- COMMERCE

Course Outcomes

CO1

Students will understand Information Technology and its applications in commerce.

CO2

To get acquainted with Tally Accounting software

CO3

To give an overview of E-Commerce fundamentals with an objective of exposing them to the functional areas of E-Commerce

CO4

To expose them to practical dimensions of E- commerce

UNIT-I:

INTRODUCTION:

E-Commerce - E-Business - Potential Benefits of E-commerce – Driving Forces of E-Commerce – Business Process Re-Engineering –E-Commerce Applications –Regulatory Environment for E-Commerce – Competitive intelligence on the Internet – Future of E-Commerce.

UNIT-II:

ELECTRONIC DATA INTERCHANGE (EDI), E-COMMERCE & INTERNET:

Introduction - Traditional EDI systems - Benefits and Drawbacks - Data transfer and standards. Financial EDI-EDI systems and the Internet - Legal security and private concerns - Authentication Methods – Firewalls – Factors considered in securing the firewalls - Internet trading relationships: Business to Consumers (B2C), Business (B2B), Consumer to Business (C2B), Government to Consumer (G2C), Features and benefits-Portal Vs Website - Supply Chain Management.

UNIT-III:

ELECTRONIC PAYMENT MECHANISMS AND WEB PAGE DESIGNING:

Introduction - SET protocol - SET Vs SSL - Payment gateway - Certificate issuance - Trust chain - Cryptography methods - Encryption technology – Digital signatures - Dual signatures - SET Logo Compliance testing - Status of Software Magnetic strip cards - Smart cards - Electronic cheques -Electronic cash - Third party processors and Credit Cards - Risk and electronic system - Designing electronic payment systems.

Introduction to HTML – Basic syntax – Basic Text Formatting – Images – Lists – Tables – Hypertext links.

UNIT- IV:

COMPUTERIZED ACCOUNTING:

Computerized Accounting: Meaning, Features, Advantages and disadvantages – Computerized vs Manual Accounting – Creation of Company – Grouping of accounts – Creation of Accounts: Cash Book, Bank Book, Sales Register, Purchase Register, Journal Register, Debit Note Register, Credit Note Register, Opening and Closing Stock – Creation of Inventory – Creation of Stock Groups, Stock Categories, Godowns, Stock Items and Units of Measure – Detailed Stock Valuation.

Entering Transactions: Voucher Entry – Sales Vouchers – Purchase Vouchers – Receipt Vouchers – Payment Vouches – Contra Vouchers – Journal Vouchers – Debit Note Vouchers – Credit Note Vouchers – Editing and Deleting Vouchers – Voucher Numbering – Customization of Vouchers – Discount Allowed – Discount Received – Petty Cash Book – Depreciation – Automatic Interest Calculation – Interest Receivable – Interest Payable.

UNIT-V:

COMPUTERISED STATEMENTS:

Day Books – Financial Statements: Trial Balance, Trading & Profit and Loss Account, Balance Sheet –Ratio Analysis - Cash Flow statement – Funds Flow Statement - Inventory Report of a Sole Trader and a Company – Outstandings: Receivables and Payables – Editing and Deleting Ledgers and Groups – Budget Control – Creating, Editing and Deleting Budgets – VAT Assessment.

SUGGESTED READINGS:

1. Implementing Tally: Nadhani & Nadhani, BPB

2. Business Data processing System: P. Mohan, Himalaya

3. Business Data Processing And Accounting System: V. Srinivas, Kalyani

4. Manuals Supplied along with respective packages.

(Applicable to the batch of students admitted in the academic year 2016-17 and onwards)

COST ACCOUNTING AND CONTROL

Course Outcomes

CO1

To impart conceptual knowledge of cost accounting and to equip students with skills of ascertainment and control of costs.

CO2

To learn the concept of product cost determination, preparation of job and process costing and activity based costing and management

CO3

To understand the concept of marginal costing technique, BEP analysis , profit planning concept and make or buy decisions

CO4

To learn the concept of cost control, reduction and budgetary control and concept of standard costing and variance analysis

UNIT-I:

INTRODUCTION:

Cost Accounting: Nature and Scope, Need, Objectives – Cost Concepts – Installation of Costing System – Cost Accounting its relationship with Financial Accounting and Management Accounting Cost Accounting Standards - Cost Classification – Cost Sheet - Books of Accounts – Integral and Non Integral Accounting - Reconciliation of Cost and Financial Accounts (Including Problems).

UNIT-II:

PROCESS COSTING:

Process Costing: Meaning, Features, Applicability, Pros and Cons – Unit Costing Vs. Process Costing – Job Costing Vs. Process Costing – Normal Loss and Abnormal Loss - Process Accounts with Stocks – Inter-Process Profit – Equivalent Production – First In-First out Method (FIFO) and Average Method – Joint Products and By-products (Including problems).

UNIT-III:

MARGINAL, ABSORPTION AND DIFFERENTIAL COSTING:

Marginal Cost: Meaning, Features - Absorption Cost: Meaning, Pros and cons – Marginal Costing Vs Absorption Costing - Preparation of Income Statement under Marginal Costing and Absorption Costing -

Differential Costing: Meaning of Differential Cost, Marginal Cost Vs. Differential Cost, Characteristics of Differential Costing, Managerial Applications of Differential Cost Analysis (including problems).

UNIT- IV:

BUDGETARY CONTROL:

Budget: Meaning, Essentials – Budgeting - Budgetary Control: Essentials, Advantages, Limitations – Classification of Budgets: Functional Budget: Sales Budget, Production Budget, Direct Material Budget, Direct Labor Budget, Manufacturing Overheads Budget - Capital Expenditure Budget - Cash Budget – Master Budget – Flexible Budget – Performance Budget – Traditional System of Budgeting – Zero Based Budgeting (Including Problems).

UNIT-V:

STANDARD COSTING:

Standards: Meaning, Types, Establishment - Standard Costing: Need, Pre-requisites, Pros and Cons - Standard Costing and Budgetary Control – Variance Analysis - Revision of Standards - Control and Efficiency Ratios (Including Problems).

SUGGESTED READINGS:

1.Jain S.P & Narang K.L., ―Advanced Cost Accounting‖ Kalyani Publishers, New Delhi; 2.Iyengar S.P., ―Cost Accounting – principles & Practice‖ Sultan Chand & Sons; 3.Prashanta Athma, ―Cost and Management Accounting‖ Himalya; 4.Khan M.Y & Jain P.K., ―Theory and Problems in Cost Accounting‖ TMH; 5.Ravi M. Kishore, ―Cost Management‖, Taxmann; 6.Lall nigam & Jain, ―Cost Accounting – Principles and Practice‖ Prentice-hall; 7.Manish Dutta, ― Cost Accounting – Principles & Practice‖, Pearson; 8.Saxena VK & Vashist CD, ―Advanced Cost & Management Accounting‖ Sultan Chand & Sons; 9.Colin Drury, ―Management & Cost Accounting‖ Thomson Asia Pvt. Ltd, 10.Asish K. Bhattacharyya ― Principles and Practice of Cost Accounting‖. Prentice Hall, 11.Arora M.N. ―Cost Accounting –Principles & Practice‖ Vikas Publishing House. 12. Ravi M. Kishore ―Cost & Management Accounting‖ Taxman‘s Publications Pvt. Ltd., New Delhi.

(Applicable to the batch of students admitted in the academic year 2016-17 and onwards)

INTERNATIONAL FINANCIAL MANAGEMENT

Course Outcomes

CO1

To have acquired knowledge on Global Financial Strategy, International Financing Decisions, Euro-Currency Loans, International Equity Investment

CO2

To acquire knowledge on Blocked funds and Capital Structure Decisions across countries.

CO3

To understand the concept of Multinational Working Capital Management and Inventory Management

CO4

To understand the concepts of CAPM, IAPM and Decision Tree Analysis

UNIT-I:

INTRODUCTION:

An Overview of International Financial Management: Meaning – Features of International Finance – Scope of International Finance – International Financial Management and Domestic Financial Management – Factors influencing Growth of International Finance – International Monetary System (Theory only).

Balance of payments Accounting: BoP Accounting Principles – Debit and Credit Entries – Balance of Payments Statement (Including Problems).

UNIT-II:

FOREIGN EXCHANGE MARKETS & EXCHANGE RATE MECHANISM:

Foreign Exchange Market: Features – Major Participants – Spot Market: Features, arbitrage, speculation – Forward Market: Features, arbitrage, hedging. Speculation, Swapping (Including Problems).

Exchange Rate Mechanism: Exchange Rate Quotations – Nominal, Real & Effective Exchange Rates – Exchange Rate Determination in Spot Market – Exchange Rate Determination in forward Market (Including Problems).

UNIT-III:

FOREIGN EXCHANGE EXPOSURE:

Measurement of Foreign Exchange Exposure: Meaning & Relevance of Foreign Exchange Exposure – Classification of Foreign Exchange Exposure: Transaction Exposure, Operating Exposure & Accounting Exposure (Including Problems).

Management of Foreign Exchange Exposure: Need – Hedging of Transaction Exposure – Hedging of Real Operating Exposure – Management of Accounting Exposure (Including Problems).

UNIT-IV

:INTERNATIONAL FINANCIAL MARKETS & INSTRUMENTS:

International Financial Markets: Features – Factors for Growth – Interest Rates – Channels of International Funds Flow.

International Financial Instruments: Euro Credits: Revolving Credit, Term Credit – Euro Bonds: Straight Bonds, Convertible Bonds, Currency Optional Bonds, FRNs – Euro Currency Deposits: Call Deposits, Term Deposits, Certificates of Deposits – Euro Notes: Commercial paper, NIF, Medium Term notes – Euro Issues: FCCB, GDR, ADR (Theory only).

UNIT-V:

FINANCING OF FOREIGN TRADE:

Foreign Trade Documents: Letters of Credit – Bill of Exchange Marine Insurance Policy – Invoices Certificates – Bill of Lading.

Foreign Trade Financing: Methods of Financing: Bank Credit (Pre-Shipment Credit, Post-Shipment Credit, Medium Term Credit, Credit under Duty Draw Back Scheme), Factoring, Counter Trade – Modes of Payment (Theory Only).

SUGGESTED READINGS:

1. Avadhani: International Finance, Himalaya; 2.Bharati V Pathak: Indian Financial Management , Pearson; 3.Clark: International Finance, 2e Thomson 2006; 4.Jeevenandam: Foreign Trade Finance and Risk Management, Sultan Chand; 5.Joseph Anbarasu: global Financial Management, Ane Books Pvt.Ltd; 6.Kevin s: Fundamentals of International Financial Management, PHI; 7.Madhu Vij: Internationa Finacial Management, 3e Excel Books; 8.Madura: International Corporate Finance, 8e Thomson 2007; 9.Shapiro: Multinational Financial Management PHI; 10.Sharan: International Financial Management, PHI.

(Applicable to the batch of students admitted in the academic year 2016-17 and onwards)

SECURITIES ANALYSIS AND PORTFOLIO MANAGEMENT

Course Outcomes

CO1

To familiarize students with analysis of securities markets and valuation of different securities for the purpose of building an optimal portfolio

CO2

To understand the functioning of securities markets alongside the theories and concepts involved in portfolio management.

CO3

To familiarize students with various tools and techniques to facilitate in managing portfolios.

CO4

To acquaint students with investment decisions related to financial assets and the risks and returns involved

UNIT-I:

SECURITY ANALYSIS:

Fundamental Analysis: Meaning – Economy Analysis – Economic Forecasting – Forecasting Techniques – Industry Analysis – Concept of Industry – Industry Life Cycle – Industry Characteristics – Company Analysis – Financial Statements – Analysis of Financial Statements (Theory Only).

Technical Analysis: Meaning – Dow Theory – Basic Principles of Technical Analysis – Trends and Trend Reversal – Eliot Wave Theory – Mathematical Indicators – Market Indicators (Theory).

Efficient Market Theory: Random Walk Theory – The Efficient Market Hypothesis – Forms of Market Efficiency – Tests of Efficient Market Hypothesis (Theory).

UNIT -II:

VALUATION SECURITIES:

Share Valuation: Concept of Present Value – Share Valuation Model – One Year Holding Period – Multiple Year Holding Period – Constant Growth Model – Multiple Growth Model – Multiplier Approach to Share Valuation (Including problems).

Bond Valuation: Bond Returns – Coupon Rate – Current Yield – Spot Interest Rate – Yield to Maturity – Yield to Call – Bond Prices – Bond Risks – Bond Duration (Including Problems).

UNIT -III:

CAPITAL MARKET THEORY:

Capital Market Theory: Assumptions- Capital Asset Pricing Model – Efficient Frontier with Riskless Lending and Borrowing – Capital Market Line – Security Market Line – SML Vs. CML – Pricing of Securities with CAPM – Limitation of CAPM (Including problems).

Arbitrage Pricing Theory: The Law of One Price – Assumptions – Arbitrage Pricing for one Risk Factor – Two Factor Arbitrage Pricing – Multiple Arbitrage Pricing – Limitations of APT (Including Problems).

UNIT-IV:

PORTFOLIO PERFORMANCE EVALUATION:

Portfolio Performance Evaluation: Need for Evaluation – Evaluation Perspective – Meaning of Portfolio Evaluation – Measuring Portfolio Return – Risk Adjusted Returns – Sharpe Ratio – Treynor Ratio – Differential Return (Including Problems).

Security Market Indexes: Meaning – Different Averages and Indexes Exist – The Construction of Indexes – Maintenance Problems with Security Market Indexes – Stock Market Index Revision (Including Problems).

UNIT-V:

PORTFOLIO REVISION:

Portfolio Revision: Need for Revision – Meaning of Portfolio Revision – Constraints in Portfolio Revision – Portfolio Revision Strategies – Formula Plan – Constant Rupee Value Plan – Constant Ratio Plan – Dollar Cost Averaging (theory).

International Investing: Benefits and Risk of Global Investing – Factors Influencing International Investing – Foreign Exchange Risk (Theory).

SUGGESTED READINGS: 1.Avadhani,V.A: International finance, Himalaya., 2.Avadhani,V.A: Investment & Security Management in India, Himalaya., 3.Bhall,V.K.: Investment Management, S. Chand & Co., 4.Fisher Donald E & Ronald J Jordan: Securities Analysis & Portfolio Management, PHI; 5.Francaia Jack Clark & Richard W Taylor: Theory & Problems of Investment, Mcgraw; 6.Gangadhar V: Investment Management, Anmole., 7.Kevin S: Security Analysis and Portfolio Management, Prentice Hall., 8.Mayo: Investments, Thomson., 9.Punithavathi Pundyan: Securities Analysis & Portfolio Management, Vikas., 10.Reilly: Investment Analysis and Portfolio Management, Thomson., 11.Strong: Practical Investment Management, Thomson.,12.Sharp Etal.: Investments, Prentice Hall; 13.Sulochana M: Investment Management, Kalyani.