IV Semester
QUANTITATIVE TECHNIQUES FOR BUSINESS DECISIONS
Course Outcomes
CO1
To acquire knowledge on theory of probability and decision tree analysis
CO2
To understand the concept of Sampling and estimation of parameters by using the sampling methods
CO3
To acquire knowledge on Testing of hypothesis and its applications in practical situations
CO4
To understand Univariate and Multivariate statistical analysis and the concepts of LPP,TP and Ap
UNIT-I:
STATISTICAL ESTIMATION AND HYPOTHESIS TESTING:
Concepts: Population, sample and sampling distribution - Parameters and statistics - Central limit theorem - Concept of Standard Error - Confidential limits - Estimation of population parameters - Properties of a good estimator - Point and interval estimation - Hypothesis Formulation and testing procedure - Type I and Type II errors - One tail and two tail tests (theory only).
Sampling of Attributes: Estimation and testing of Number and Proportions of Successes - Difference between two proportions (including problems).
UNIT-II:
SAMPLING OF VARIABLES:
Large Samples: Difference between large and small samples - Estimating population mean – Testing: Significance of Mean - Significance of the difference between means of two samples - Significance of the difference between the standard deviations of two samples (including problems).
Small Samples: 't' test - Fixing fiducial limits to population mean – Testing: Significance of the mean - Significance of the difference between two independent means - Significance of the difference between two dependent means (including problems).
UNIT-III:
ANALYSIS OF VARIANCE AND STATISTICAL QUALITY CONTROL:
F- test: Meaning and Applications – ANOVA: Assumptions - Procedure - One way and two-way analysis of variance (including problems).; Statistical Quality Control: Introduction - Chance and Assignable Causes of Variation Uses of SQC - Process Control and Product Control- Control Charts for Variables: X - chart - Range chart - Standard deviation chart - Control charts for attributes: C chart - p chart - np chart.
UNIT-IV:
STATISTICAL DECISION THEORY AND GAMES THEORY:
Statistical Decision Theory: Nature of Decision - State of Nature – Pay off Tables - Expected Pay off -Expected Opportunity Loss – Value of Perfect Information – Types of Decision Situation – Choice of Decision Criteria – Decision Tree Analysis – Decision Making under Uncertainties (including simple problems).; Games Theory: Characteristics of Game Theory – Two Persons Zero Sum Game - Maximum and Minimax Strategies – Saddle Point – Dominating Strategy – Mixed Strategy - Limitations of Games Theory (including simple problems with Analytical Formulae and Graphical Methods).
UNIT-V:
LINEAR PROGRAMMING (LP):
Linear Programming: Meaning - Requirements for application - Assumptions - Advantages - Application of LP - Formulation of LP problems (including simple problems). Graphical Solutions of LP problems with two variables only (including simple problems).
SUGGESTED READINGS:
1.Levin&Rubin: Quantitative Approaches in Management, Pearson
2.SC.Gupta: Fundamentals of Statistics, Himalaya
3.Anderson: Quantitative Methods for Business Decision, 8e Thomson
4.Barry Render et al: Quantitative Analysis for Management, PHI
5.Anderson: Introduction to Management Science: Quantitative Techniques for Decision Making, Thomson
6.G.Gopikuttan: Quantitative Methods and Operational Research, Himalaya
7.D.C.Sancheti & VK.Kapoor: Statistics, Sultan Chand & Sons
8.Anand Sharma: Quantitative Techniques for Decision Making Himalaya
9.Mendenhall: Introduction to Probability & Statistics, Thomson
10.Shenoy GV: Quantitative Techniques for Managerial Decisions, New Age
11.Gupta and Khanna: Quantitative Techniques for Decision Making, PHI.
BUSINESS AND CORPORATE TAXATION
Course Outcomes
CO1
To understand the different elements of corprate tax and application of Income tax
CO2
To acquire knowledge on Computer Application in Income tax and tax planning
CO3
To acquaint the students with the Theoretical and Practical aspects of Assessing Partnership Firms, Companies, Co-operatives and Trusts
UNIT-I:
ASSESSMENT OF PARTNERSHIP FIRMS:
Meaning of Partnership Firm - Conditions for Assessment as a firm U/S 184 and 185 - Treatment of interest and remuneration paid to partners U/S 40(b) - Computation of Total Income - Assessment of Partners of Firm - Change in constitution of Firm Succession of one firm by another firm - Assessment of dissolved or discontinued firm (Theory and Problems).
UNIT-II:
ASSESSMENT OF PARTNERSHIP FIRMS ASSESSED AS AOP:
Partnership Firm Assessed as Association of Persons (AFAOP) - Computation of Total Income - Allocation of PFAOP's - Total Income - Treatment of share of income received by partners of PFAOP (Theory and Problems).
UNIT-Ill:
ASSESSMENT OF COMPANIES-l:
Meaning of Company - Types of Companies - Computation Procedure - Taxable income - Deductions - Tax Liability - MAT - Carry Forward and set off of losses - Tax on Distributed Profits - Tax on income distributed to Unit holders - Tax on income receipt from venture capital companies and funds (Theory only).
UNIT-IV:
ASSESSMENT OF COMPANIES – II & OTHER TAXES:
Companies: Computation of total income of companies - Determination of Tax Liability (Problems).
Other Taxes: Security Transaction Tax - Tonnage Tax (Theory and Problems).
UNIT-V:
ASSESSMENT OF CO-OPERATIVES AND TRUSTS:
Cooperative Societies: Meaning - Deduction u/s 80(p) - Other deductions - Computation of Tax (Theory and problems). Trusts: Definition – Creation – Registration - Types of Trusts - Tax Exemptions - Accumulation of income - Income not exempted - Assessment of Trust (Theory and problems).
SUGGESTED READINGS:
1. Vinod K. Singhania: Taxman's Direct Tax Laws.
2. Bhagawati Prasad: Direct Tax Laws and Practice
3. B.B. Lal and N. Vashisht: Direct Taxes, Income Tax, Wealth Tax and Tax.
4. V.P. Gaur and D.B. Narang Income Tax Law and Practice- Kalyani Publications 5. Manmohan: Direct Taxes withTax Planning aspects
5. Girish Ahuja and Dr. Ravi Gupta: Direct Tax Law and Practice and Tax Planning.
(Applicable to the batch of students admitted in the academic year 2016-17 and onwards)
STRATEGIC MANAGEMENT
Course Outcomes
CO1
Students will be able to understand the concept of strategic management
CO2
To study the internal environment and external environment with regard to a corporate entity.
CO3
Togain knowledge on different types of strategies and their usefulness in business environment
CO4
Students will know the issues in implementation and evaluation of various corporate strategies
UNIT I:
OVERVIEW OF STRATEGIC MANAGEMENT:
Strategy – Concept –Mintzberg Models of strategy- Levels of Strategy -Strategic Management: Process-Benefits –Guidelines for effective Strategic Management. Strategy, Ethics and Social Responsibility – Need for good corporate Governance – Corporate Citizenship
UNIT II:
ENVIRONMENTAL ANALYSIS:
Internal Analysis: Competitive Advantage – Competencies -SWOT Analysis –Resources, Capabilities and Core Competence- Resource Base View of a firm – Key Success Factors – Value Chain Analysis Bench Marking.
External Analysis: Components of External Analysis – Segments of General Environment -Industry‘s dominant factors- Porter‘s Five Forces Model –PEST Analysis – Industry Driving forces –Strategic group mapping .
UNIT III:
CRAFTING STRATEGY:
Vision and Mission – Significance- Characteristics- Objectives – Types – Setting of Objectives -Factors affecting Strategy – Generic Strategies ( Overall Low Cost Provider, focused low cost, Broad Differentiation, focused differentiation, Best-Cost Provider) Other Strategy Choices –Strategic Alliances – Mergers and Acquisitions – Vertical Integration – Outsourcing –Offensive Strategies – first mover advantages and disadvantages-diversification –modernization – turnaround.
UNIT 4:
EXECUTING STRATEGY (IMPLEMENTATION OF STRATEGY):
Nature – Organizational Issues (Annual Objectives, Policies, Resource Allocation. Structure, Restructuring, Reengineering, e-reengineering, performance pay, change, conflict, culture, hr issues leadership). Marketing, Finance and Accounting Issues: Segmentation, Targeting, Positioning, Marketing Mix. Finance and Accounting: financing, investment ,dividend, budgets. Performance Evaluating (ROI, EVA, and MVA)- Balanced Score Card
UNIT5:
EVALUATION OF STRATEGY:
Strategic Evaluation – Significance – Criteria – Barriers and overcoming barriers. Strategic Control and Operation Control-Types of Strategic Controls –Process of operation Control- Evaluation techniques for strategic and operational control
REFERENCE:
1. Thompson and Strickland :Crafting and Executing Strategy, Tata Mcgraw Hill
2. Fred r. David: Strategic Management, PHI
3. Hitt, Ireland and Hoskisson: Strategic Management, Southwestern
4. Vipin Gupta and Others: Business Policy and Strategic Management, PHI
(Applicable to the batch of students admitted in the academic year 2016-17 and onwards)
FINANCIAL SERVICES
Course Outcomes
CO1
To introduce the basics of Indian Financial System
CO2
To understand the functioning of Money Market and Capital Market
CO3
.To provide the basic objectives of Regulating Agencies like SEBI
CO4
The objective of this course is to prepare the students to acquire required knowledge and skills for practical banking operations
UNIT-I:
INTRODUCTION:
Meaning - Classifications - Traditional Activities - Financial sector reforms and Financial innovations in India - Banking and Non-Banking services - Financial products and services: Merchant Banking, Loan Syndication, Leasing, Mutual Funds factoring, Forfeiting, Venture capital, Custodial Services, Corporate, Advisory services, Depository Services, Securitization, Under-writing services (Banks and Insurance), Banking services: Bank Assurance Services, Credit Rating, Credit Cards, Derivatives, Mergers, Acquisitions and Amalgamation, Services in Forex Market, Letter of Credit - Innovative Finance Instruments - Micro Credit Finance - Importance and different products/schemes - Challenges facing the financial services sector.
UNIT-II:
LEASE, HIRE PURCHASE AND HOUSING FINANCE:
Leasing: Financial lease and Operating lease - Lease Vs. Hire purchase - Types of financial leasing - Advantages of leasing - Consideration under lease Vs. Buy decision - Leasing in India - Problems of Leasing companies - RBI guidelines on leasing and finance companies. Hire Purchase: Terms of the agreement under hire purchase - Types of hire purchase - Advantages. Housing Finance: Housing Finance policy and Role of National Housing Bank (NHB) - Housing and Urban Development corporation (HUDCO) - Role of Housing Finance Corporations and the housing schemes - Recent Developments.
UNIT-Ill:
MUTUAL FUNDS:
Mutual fund - Fund unit Vs. Equity share - Importance of Mutual funds - Types of Mutual funds: Close ended funds - Open ended funds, Income funds, Growth funds - Risks involved - Organisation of firm - Facilities available to investors - Guidelines from the Government of India - Recent reforms in mutual funds - Banks providing Mutual Fund services - Factors to be considered in selection of fund - Reasons for commercial banks to offer mutual funds - Scenario of Mutual funds in India - Problems in future prospects.
UNIT-IV:
DISCOUNTING, FACTORING AND FORFAITING:
Meaning of Discounting – Factoring: Meaning, Modus Operandi of factoring scheme, Terms and conditions in factoring agreement - Function of factoring services - Types of factoring - Role of Banks in providing discounting, factoring and forfeiting services, Cost of factoring and pricing of factoring services, Benefit to the clients, Export factoring – Forfeiting: Factoring Vs. Forfeiting - Advantages and limitations of forfeiting - Forfeiting in India.
UNIT-V:
SECURITISAION OF DEBT:
Meaning and Concept of Securitization - Structured securities Vs. Conventional Securities - Securitization Vs. Factoring - Operational mechanism of securitization - Types of securitized assets - Securitization and Role of Banks - Advantages and limitation of securitization - Future prospects of securitization.
SUGGESTED READINGS:
1. Gordon: Financial Markets and Services, 2e Himalaya
2. Gurusamy: Financial Services & Markets, Thomson
3. Gurusamy: Financial Systems and Services, Thomson
4. Avadhani: Marketing of Financial Services, Himalaya
5. Madura: Financial Institution & Markets, Thomson
6. Pathak: Financial Markets and Services, Pearson
7. Akbar Ali Khan & Sudershan: International Trade & Finance, Himalaya
(Applicable to the batch of students admitted in the academic year 2016-17 and onwards)
FINANCIAL DERIVATIVES
Course Outcomes
CO1
To make students efficient in the area of derivatives, giving them the knowledge of basics in Derivatives like Future Markets, Options and Swaps etc
CO2
To understand the functioning of Money Market and Capital Market
CO3
Students will understand the process of investing in different derivatives and their valuation
CO4
Analyse and price diverse derivatives products to generate an optimal risk management strategy.
UNIT-I:
INTRODUCTION TO FINANCIAL DERIVATIVES:
Definition – Features - Types - Uses - Critiques - History of Derivatives Markets - Financial Derivatives Indian Scenario - Evolution of Derivatives in India; Benefits of Derivatives - Equity Derivatives - Derivatives Trading at NSE and BSE - Emerging Structure of Derivatives Markets in India (Theory only).
UNIT- II:
FUTURE AND FORWARD CONTRACTS AND MECHANISM:
Introduction to Forward and Future contracts - Distinction between Futures and Forwards contracts - Future Terminology and Types of Financial future contracts - Future payoffs - Operation of Traders in Futures market - Growth of Future market in India - Future market trading Mechanism - Forward market trading Mechanism - Forward Prices Vs. Future Prices - Determination of Future prices of specific assets - Futures on commodities - Theory of future prices - Recommendations of L.C Gupta Committee (Theory only).
UNIT- III:
PRICING OF OPTION:
Concept of Option - Futures Vs. Options - Determinants of option prices - Black Scholes Option pricing - Binomial Pricing model (Including Problems).
UNIT- IV:
SWAP MARKET:
Concept and Nature - Evolution of Swap Market - Features of Swap - Types of Financial Swaps: Currency Swap, Interest Rate Swap, Equity Index Swap, Commodity Swap - Credit Risk in Swap and Credit Swap - Using Swap to Manage Risk - Pricing and Valuing Swap (Including Problems).
UNIT- V:
STOCK INDEX FUTURES:
Concept of Stock Index – Stock Index Futures - Stock Index Futures as a Portfolio Management Tool – Speculation and Stock Index Futures - Stock Index - Futures Trading in Indian Stock Market (Including Problems).
SUGGESTED READINGS:
1. Jayanth Rama Varma: Derivatives and Risk Management, TMH,
2. Mishra Financial Derivatives, Excel,
3. S.L. Gupta: Financial Derivatives: Theory, Concepts and Problems, Prentice Hall,
4. S.S.Kumar, Financial Derivatives, PHI,
5. David A. Dubofsky, Thoamas W Multer, TR: Derivatives Valuation and Risk Management, Oxford,
6. Don M. Chance, Robert Brooks: Derivatives and Risk Management Basics, Cengage,