Corporate Financial Management - For Beginners

Description

Hi

This is a Corporate Financial management course for beginners. It begins with understanding basic concepts and terms of financial management to application of the financial management in decision making. The course consists of video lectures along with solved illustrations that provides better understanding of concept. It is logically divided into various Sections :

Module 1 : Introduction

(Includes Section 1)

Introduction and understanding the meaning of financial management.

Module 2 : Sources of Finance

(From Section 2 to Section 6)

Here we are identifying and understanding different sources of Finance. This includes all long term finance and medium term finance such as Equity and Preference share capital , Bonds and Debentures, Venture Capital, Asset Securitisation, Lease Financing, Depository Receipts, Trade Credit and accrued expenses. It also includes all short term finance such as Bridge Finance, Treasury Bills, Certificate of Deposits, Commercial paper etc. All the sources of finance are explained in video lectures along with illustrations.

Module 3 : Financial Ratios and Analysis

(From Section 7 to Section 11)

Here We discuss about different types of Financial Ratios such as Liquidity Ratios (Short term solvency ratios) , Leverage Ratios (Long Term solvency ratios) ,Activity Ratios (Turnover ratios) and Profitability Ratios.

Liquidity Ratios includes current ratio, quick ratio, cash ratio and Interval measure ratio. Each ratio is explained in video lecture along with illustrations.

Leverage Ratios include equity ratio, debt ratio, debt to equity ratio, debt to total assets ratio, proprietary ratio, capital gearing ratio,debt service coverage ratio, dividend coverage ratio, interest coverage ratio, fixed charges coverage ratio etc..Each ratio is explained in video lecture along with illustrations.

Turnover ratios include fixed assets turnover ratio, net assets turnover ratio, current assets turnover ratio,working capital turnover ratio,inventory turnover ratio,receivables turnover ratio,payables turnover ratio etc.Each ratio is explained in video lecture along with illustrations.

Profitability ratios include gross profit ratio, net profit ratio,operating profit ratio,expenses ratio, return on assets, return on capital employed,return on equity, earning per share, dividend per share, dividend payout ratio,price earning ratio,dividend and earning yield ratio, market value by book value ratio, Q ratio. Each ratio is explained in video lecture along with illustrations.

DuPont Analysis on ROI (Return on Investment) , ROA (Return on Assets)  and ROE (Return on Equity)

This module also includes a comprehensive solved illustration that explains how to calculate all types of ratios and how to use these ratios for analysis and decision making.

Module 4 : Time Value of Money

(From Section 12 to Section 15)

Here we discuss about the concept of Time Value of Money and how to use concept of time value of money. The relationship between inflation, purchasing power and Time value of money is separately discussed. Other topics included are Difference between Simple interest and compound interest,Present value and Future value of money,Formula for present value and future value,Discount Factor,Annuity,Present Value and Future Value of Annuity. All topics are explained in video lecture along with examples.

Module 5 : Cost of Capital

(From Section 16 to Section 19)

Here we will learn how to calculate cost of capital for individual capitals i.e Cost of Debentures/ Bonds, Cost of Preference shares , Cost of Equity shares and then How to calculate total cost of capital.

Cost of debt/Bonds and debentures includes calculation of Cost of Redeemable and Irredeemable debts using approximation method and Internal Rate of Return (IRR) Method. It also includes separate lecture wherein logic for using current price in calculating cost of capital is explained.

Cost of Preference shares using Approximation method and Internal Rate of Return (IRR Method)

Cost of Equity and Retained Earnings using Dividend Price Model, Earnings Approach model, Gordon's growth model,Realised Yield Approach, Capital Asset Price Model is explained along with examples. Besides Calculation of Growth Rate for Gordon's growth model, Beta , Types of Risks - Systematic and Unsystematic risks are explained in separate video lecture along with examples.

This section is concluded by calculating weighted average cost of capital (WACC) and Marginal cost of capital.

Thus, this course provides complete understanding about basics of Corporate Finance or Management Finance. Hope you enjoy it.

Tip : It is better to solve illustrations along with lectures for better understanding of concept.

Happy Learning !!!

What You Will Learn!

• Understand Meaning and Concepts of Finance Management
• Identify and understand different Sources of Finance and Types
• Types of Long Term and Medium Term finance
• Types of Equity Share Capital and Preference share capital
• What is Debentures/ Bonds ? Types of Debentures and Bonds
• Venture Capital Financing
• Asset Securitisation
• Lease Financing - Explanation of concept and types of lease
• Depository Receipts - ADR (American Depository Receipts), GDR (Global Depository Receipts) , IDR (Indian Depository Receipts))
• Trade Credit
• Accrued Expenses
• Deferred Income and advance from customers
• Short Term Bank advances and its types
• Bridge Financing
• Commercial Paper
• Treasury bills and Certificate of Deposits
• Different Types of Financial Ratios - Calculation and Analysis along with illustrations
• Types of Liquidity Ratios / Short Term solvency Ratios - Calculation and analysis along with illustrations
• Current Ratios
• Quick Ratio / Acid Test Ratio
• Cash Ratio / Absolute Liquidity Ratio
• Interval Measure Ratio
• Types of Leverage Ratios / Long Term solvency ratios - Calculation and analysis along with illustrations
• Equity Ratios
• Debt Ratio
• Debt To Equity Ratios
• Debt To Total Assets ratios
• Proprietary Ratio
• Capital Gearing Ratio
• Debt Service Coverage Ratio
• Dividend Coverage Ratio
• Interest Coverage Ratio
• Fixed Charges Coverage Ratio
• Types of Activity Ratios / Turnover Ratios/ Efficiency Ratios / Performance Ratios - Calculation and analysis along with illustrations
• Total Assets Turnover Ratio
• Fixed Assets Turnover Ratio
• Net Assets Turnover Ratio
• Current Assets Turnover Ratio
• Working Capital Turnover Ratio
• Inventory Turnover Ratio
• Receivables Turnover Ratio
• Payables Turnover Ratio
• Profitability Ratios - Calculation and analysis along with illustrations
• Gross Profit Ratio
• Net Profit Ratio
• Operating Profit Ratio
• Expenses Ratio - COGS Ratio, Office and Administration Expenses Ratio, Selling and Distribution Expenses Ratio, Operating Expenses Ratio
• Return on Investment (ROI)
• Return on Asset (ROA)
• Return on Capital Employed (ROCE)
• Return on Equity (ROE)
• DuPont Analysis on ROI, ROA and ROE
• Earning Per Share (EPS)
• Dividend Per Share (DPS)
• Dividend Payout Ratio
• Price Earning Ratio
• Dividend and Earning Yield Ratio
• Market Value by Book Value (MVBV)
• Q ratio
• Time Value of Money - Concept and Use of Time value of Money
• Simple Interest and Power of Compounding
• Present Value and Future Value of Single Cash Flow
• What is Annuity and Types of Annuity
• Present Value and Future Value of Annuity
• Annuity Factor and Discount Factor
• Internal Rate of Return (IRR)
• Cost of Capital
• Cost of Redeemable and Irredeemable Debts
• Cost of Zero Coupon Bonds using IRR method
• Cost of Ammortised Bonds using IRR Method
• Methods to Calculate cost of Equity
• Gordon's Growth Model
• Capital Asset Pricing Model (CAPM)
• Cost of Preference Shares
• Weighted average cost of Capital
• Marginal Cost of Capital

Who Should Attend!

• The scope of this course is to develop understanding of various concepts related to Financial Management and apply the same in decision making
• Students who want to understand basics of Corporate Finance
• Professionals who want to upgrade their knowledge in field of corporate finance

TAKE THIS COURSE