m.com. (master of commerce) · 2 financial management 100 3 3 business environment 100 3 4 advanced...

M.COM. (MASTER OF COMMERCE)

DURATION OF COURSE : 2 YEARS

ELIGIBILITY : ANY DEGREE

COURSE CODE : 316

First Year

S. No. Subject Max. Marks Exam Hrs

1 Marketing Management 100 3

2 Financial Management 100 3

3 Business Environment 100 3

4 Advanced Cost Accounting 100 3

5 Advanced Statistics 100 3

Second Year

S. No. Subject Max. Marks Exam Hrs

6 Investment Analysis And Portfolio

Management

100 3

7 Business Research Methods 100 3

8 Accounting For Managerial

Decisions

100 3

9 Banking Management 100 3

10 Computer Applications In Business 100 3

FIRST YEAR

Paper – I

MARKETING MANAGEMENT

UNIT I:

Introduction – Marketing Management and its evolution- Nature and scope of Marketing

objective – Marketing process – Marketing function – Market Mix – Market Planning – Organizing –

Market environment and market control and performance and its implementation.

UNIT II:

Buying decision – consumer behavior – Meaning Nature – Factors influencing consumer

behavior – cultural, social etc – Buying decision process Market Segmentation.

UNIT III:

Production decisions – Product planning and policy for Old and New Product and its

implementation product development – product life cycle, packaging.

UNIT IV:

Pricing Decision and Distribution Decisions – factors affecting price determination – pricing

policies and strategies – Nature, functions, types of channels intermediaries – Channel Management.

UNIT V:

Promotional Decisions – Communication Process – Promotional Mix – Advertising – Other

Tools and Techniques – Marketing Research and information.

Reference:

1. Philip Kotler – Principles of Marketing

2. Doyle – Marketing & Strategy

3. Ramasamy & Namanakumari – Marketing Management

Paper – II

FINANCIAL MANAGEMENT

UNIT I:

Financial Management: Meaning, nature and scope of finance; Financial Goal – Profit Vs

Wealth maximization; finance functions – investment, financing and dividend Decisions.

Capital Budgeting: Nature of Investment Decisions; investment evaluation criteria – net

present value, internal rate of return. Profitability index, payback period, accounting rate of return.

NPV and IRR comparison; capital rationing; risk analysis in capital budgeting.

UNIT II:

Cost of capital: Meaning and significance of cost of capital: calculation of cost of debt,

preference capital, equity capital and retained earnings; combined cost of capital(weighted); cost of

equity and CAPM.

Operating and financial Leverage: Measurement of leverages; effects of operating and

financial leverage on profit; analyzing alternate financial plans; combined financial and operating

Leverage.

UNIT III:

Capital Structure Theories: Traditional and M.M.Hypotheses – without taxes and with taxes;

determining capital structure in practice.

Dividend Policies: Issues in Dividend Decisions, Walters Model, Gordon’s model. M-M

hypothesis, dividend and uncertainly, relevance of Dividend; Dividend policy in practice; Forms of

dividends; stability in dividend policy; corporate dividend behavior.

UNIT IV:

Management of Working Capital: meaning, significance and types of working capital;

calculating operating cycle period and estimation of working capital requirements; financing of

working capital. Requirements; financing of working capital and norms of bank finance; sources of

working capital; Factoring Services; Various committee reports on bank finance; Dimensions of

working capital Management.

UNIT V:

Management of cash, receivables and inventory.

Note:

Theory 80% and Problems 20%.

References:

1. Bhattacharya, Hrishikas: Working Capital Management: Strategies and Techniques, Prentice Hall,

New Delhi.

2. Chandra, Prasanna: Financial Management, Tata McGraw hill, Delhi.

3. Pandey, I.M.: Financial Management, Vikas Publishing House, Delhi.

Paper - III

BUSINESS ENVIRONMENT

UNIT I:

Business Environment – Dynamic factors of environment – Importance of scanning the

environment – Fundamental issues – Economic environment of business – Socio-cultural environment

– Political / Legal environment – Cultural environment.

UNIT II:

Political Economy – Government and Business – Public control of business – Trends and

structure of Indian economy – Socio-economic problems of India.

UNIT III:

Government Controls and Regulations – Regulating economic and industrial activities –

Industrial Licensing Policy – Control of monopolies- Capital issue control – Government control over

FDI and collaboration – Distribution and price control – New EXIM policy – Foreign exchange flow

regulation – Technology transfer.

UNIT IV:

Monetary and Fiscal System – Banking and credit structure in India – Financial institution

fiscal system – Theory and Practice.

UNIT V:

Economic Planning and Development – Government and Planning – India’s tenth five year

plan and structural reforms.

Reference Book:

1. Mohinder Kumar Sharma, Business Environment in India.

2. Amarchand D.Government and Business.

3. Francis Cherunilam, Business and Government.

4. Maheswari & Gupta, Government, Business and Society.

Paper - IV

ADVANCED COST ACCOUNTING

UNIT I:

Cost Accounting: Concept, Importance and scope – Comparison financial accounts with cost

accounts – Elements of cost Classification of costs – Cost sheet – Tender.

UNIT II:

Materials: Methods of Pricing: FIFO, LIFO and average cost methods – Cost Control:

Importance Techniques and Losses.

Labour: Computation of Labour Cost – Cost Control: Labour Turnover, idle Time, and Over

Time.

OverHead: Primary and Secondary Distribution of OverHead.

UNIT III:

Process Costing: Process Accounts – Inter Process Profit – Equipment production – joint-

Products and By Products.

UNIT IV:

Marginal Costing: Concept, advantages and Limitations – Problems on Decision – Making

Break – Even Analysis- Differential Costing.

UNIT V:

Job Costing, Contract Costing Reconciliation of cost and financial profits – Integrated

Accounts.

Reference Books:

1.Cost Accounting – Principles & Practice by Lall Nigam, B.M.K. Jain, J.C. Prentice Hall India (P)

Ltd., New Delhi.

2. Cost Accounting by Iyengar. S.P. Sultan Chand & Sons, New Delhi.

3. Principles of Cost Accounting by Maheswari S.N.

4. Cost Accounting by Prasad N.K.

Paper - V

ADVANCED STATISTICS

UNIT I:

Probability – Classical – relative and subjective probability, Addition and Multiplication

probability, Models, conditional probability and Bayes Theorem.

UNIT II:

Probability Distributions – Binomial, Poisson and Normal Distributions, Their Characteristics

and applications. Sampling distributions and their characteristics.

UNIT III:

Non-Parametric tests: Chi square tests, sign tests, Wilcoxon signs – Rank tests – Wald –

Wolfowitz tests Kruskal – Wallis test.

UNIT IV:

Statistical estimation and testing point and interval estimation of population mean, proportion

and Variance; statistical testing – hypothesis and errors; sample size; Large and Small sampling tests –

Z test, T test and F-Tests – Analysis of Variance.

UNIT V:

Multivariate Analysis – Multiple correlation – Multiple regression – CANONICAL

correlation – Factor Analysis – Cluster Analysis – Conjoint Analysis – Discriminant analysis –

Automatic Interaction Detector –SPSS.

Note:

* Problems 80% and theory 20%.

Reference:

1. Hoodai, R.P. Statistics for Business and Economics, Macmillan, New Delhi.

2. Gupta S.P., Statistical Methods, Sultan Chand & Sons, New Delhi.

3. Levin Richards and David S Rubin, Statistics for Managers, Prentice Ha

SECOND YEAR

Paper – VI

INVESTMENT ANALYSIS AND PORTFOLIO MANAGEMENT

UNIT I:

Investments: Nature and scope of investment analysis, elements of investment, avenues of

investment, approaches to investment analysis; concept of return and risk: Security return and risk

analysis, measurement of return and risk. Financial assets: types and their characteristics, sources of

financial information.

UNIT II:

Security Markets: Primary and Secondary market, Primary Market Role, functions and

methods of selling securities in primary Market; allotment Procedure; New financial instruments.

Secondary Market: Role, importance, types of brokers, trading mechanism, listing of securities in

stock exchanges, screen based trading; Depositary – role and need; Depositaries Act, 1996.

UNIT III:

Public Issue: SEBI guidelines on public issue, size of issue, pricing of issue, promoter’s

contribution, appointment of Merchant bankers, underwriters, broker, registrar and Managers bankers

and allotments of shares.

UNIT IV:

Valuation of Securities: Bonds, Debentures, Preference shares, equity shares, fundamental

analysis: Trends, indicators, indices and moving averages applied in technical analyses.

UNIT V:

Portfolio Analysis: Estimating rate of return and standard Deviation of portfolio. Effect of

combining the securities; Markowitz Risk Return optimization; single Index Model or Market Model;

Portfolio total risk, Portfolio Market risk and unique risk, simple Sharpe’s optimization solution.

Capital Market Theory: Capital Market Line, Security Market Line, Risk free lending and borrowings;

factor models: Arbitrage pricing theory, two factor and multi factor models; principle of arbitrage,

arbitrage portfolios.

Reference Books:

1. Bhalla : Investment Analysis, S.Chand & Co., Delhi.

2. Donal E Fisher and Ronald J.Jorden: Security Analysis and Portfolio Management,

Prentice Hall, New Delhi.

3. Gupta L.C: Stock Exchange Trading in India: Society for Capital Market Research and

Development, Delhi.

4. Francis J.Clark: Management of Investments, McGraw Hill, New York.

Paper – VII

BUSINESS RESEARCH METHODS

UNIT I:

Meaning of Business Research – Types of Research – Descriptive, Exploratory, Empirical,

Historical and case study. Identification, selection and formulation of Research problem - Research

Design - Components of the Research Design.

UNIT II:

Census – Universe / Population – Sample – Sampling Techniques – Random and Non

Random Sampling – Sampling frame – Size of the sample – Sampling and Non Sampling Errors.

UNIT III:

Collection of Data, Primary and Secondary Data – Tools of collection of Data –

Questionnaire Personal Interview – Interview Schedule – Observation precautions to be taken while

applying tools – Pilot study and protesting.

UNIT IV:

Analysis and interpretation of data – Hypothesis – Characteristics of a good hypothesis –

formulation and testing of hypothesis – Methods of testing hypothesis –

Parametric and non parametric tests, tests of significance – ‘t’ test – ‘F’ test – correlation,

regression, sample partial and multiple – x2 tests – Analysis of variance.

UNIT V:

Research Report – Types of reports – target audience – steps in drafting a research reports –

contents of a research report – Title pages – Table contents – Body of the report – Appendices –

Bibliography – Foot notes.

Reference Books:

1. Research Methodology : Methods and Techniques C.R. Kothari, Wiley Eastern Ltd., New Delhi.

2. Research Methods in Commerce – Amarchand D. Emerald Publishers, Chennai.

3. Thesis and Assignment writing – Anderson J. Berry H. d. & Poole M. Wiley Eastern Limited, New

Delhi.

Paper - VIII

ACCOUNTING FOR MANAGERIAL DECISIONS

UNIT I:

Management accounting: Concept, objectives nature, scope – A comparison between

management accounting & financial accounting and Management Accounting and Cost Accounting.

UNIT II:

Budgeting : Concept – essentials of budgeting – Types of Budgets: Flexible, Purchase, Sales,

Cash, Sales – Zero base Budgeting.

UNIT III:

Standard Costing & Variance Analysis: AS a Control – Technique – Difference Variances and

its analysis – Relevance of Variance analysis to budgeting.

UNIT IV:

Analysis of Financial statements: Financial statements: Nature, Limitations – Analysis:

Meaning – steps involved – parties interested – Techniques: Fund Flow, Cash Flow and Ratio

Analysis.

UNIT V:

Reporting to Management: Objectives – needs – Types of Reports – modes of reporting –

reporting at different levels of Management.

Note:

80% and 20% of the Marks are for problems and theory respectively.

Reference Books:

1. Management accounting: - Hingorani, Ramanathan & Grewal, Sultan Chand & Sons, New Delhi.

2. Cost Accounting: Principles & Practice –Lal, B.M.Jain, I.C. Pratice – Hall of India (P) Ltd., New

Delhi.

3. Principles of Management Accounting – Manmohan and Goyal S.N.Sathitya Bhavan, Agra.

Paper - IX

BANKING MANAGEMENT

UNIT I :

Banking and other financial institutions in India; official regulations and control over banks

and other financial institutions; Socio-economic environment and Socio obligations of banks in India;

An overview of banks in India; An overview of monetary system in India.

UNIT II :

Alternative organizational structures of banks; Forms of banking -unit banking, group

banking, chain banking, satellite and affiliate banking, and correspondence, banking; organizational

structures of banks and relative advantages and dis-advantages .

UNIT III :

Management of liabilities; Management of assets; Expenditure control and profitability.

Process of bank management; planning: organizing co-ordination: motivation: control.

UNIT IV :

Organizational structures of commercial banks in India: department setup; delegation of

authority. Internal control and information system.

Manpower planning: employee selection; Appraisal and promotion. Banking education, training and

research .

UNIT V :

Branch location, policies and decisions . management of rural branches. Recent developments

and current issues: problems in bank management in India.

Reference Books:

1. Desai,Vasant: Principles of Bank Management, Himalaya Publishing House, Delhi.

2. Reed, E.W. Commercial Bank Management. Harper and Row Publishers, New York.

3. Sudha Rao. P.Principles and Practice of Bank Management, Himalaya Publishing House, Delhi.

Paper - X

COMPUTER APPLICATIONS IN BUSINESS

UNIT I:

Computer Hardware : Computer system as Information Processing system; computer system

Differences - types of computer systems, hardware options – CPU, Input devices, Output Devices,

Storage Devices, Communication Devices, configuration of hardware devices and their applications.

UNIT II:

Modern Information Technology : Basic idea of Local Area Networks (LAN) and Wide Area

Networks (WAN); e-Mail: Internet Technologies, access devices, concept of a World Wide Web and

Internet browsing.

UNIT III:

Word Processing: Introduction and Working with MS-WORD in MS-Office, Word Basic

Commands, Formatting – Text and Documents; Sorting and tables; working with graphics;

introduction to Mail Merge.

UNIT IV:

Spread Sheets: Working with EXCEL – formatting, functions, chart features; working with

graphics in EXCEL; using worksheets, as database in accounting, marketing, finance and personnel

areas.

Presentation with Power Point: Power Point basics, creating presentations the easy way;

working with graphics in Power Point; show time, sound effects and animation effects.

UNIT V :

Introduction to Accounting Packages : Preparations of vouchers, invoice and salary

statements; maintenance of inventory records; maintenance of accounting books and final accounts;

financial reports generation. Practical knowledge on Wings Accounting and Wings Trade (Softwares)

and Tally.

Note:

*. Theory and Practical – No exam for practical.

Reference Books:

1. Date, C.J.: AN Introduction to Data base systems, Addison Wesley, Massachusetts.

2. Dienes. Sheila S: Micro Soft Office, Professional for Windows 95; Instant Reference: BPB

Publication, New Delhi.

3. O’ Brian. J.A.: Management Information Systems, Tata McGraw Hill, New Delhi.

4. Ullman, J.O: Principles of Data Base Systems, Galgotia Publications, New Delhi.

M.COM., CA Advanced Statistics



COURSE CODE : 317

I YEAR

S.No Paper Name Duration Max. Marks

1. Marketing Management 3 Hours 100

2. Financial Management 3 Hours 100

3. Advanced Statistics 3 Hours 100

4. Computer Application in Business 3 Hours 100

5. Management Information System 3 Hours 100

6. Computer Application in Business – Practical 3 Hours 100

II YEAR

7. Advanced Cost Accounting 3 Hours 100

8. Financial Institutions & Markets 3 Hours 100

9. Financial & Management Accounting 3 Hours 100

10. E – Commerce 3 Hours 100

11. Web Application Development 3 Hours 100

12. Web Application Development – Practical 3 Hours 100

Paper – 1

MARKETING MANAGEMENT

UNIT I:

Introduction – Marketing Management and its evolution- Nature and scope of

Marketing objective – Marketing process – Marketing function – Market Mix – Market

Planning – Organizing – Market environment and market control and performance and its

implementation.

UNIT II:

Buying decision – consumer behavior – Meaning Nature – Factors influencing

consumer behavior – cultural, social etc – Buying decision process Market Segmentation.

UNIT III:

Production decisions – Product planning and policy for Old and New Product and its

implementation product development – product life cycle, packaging.

UNIT IV:

Pricing Decision and Distribution Decisions – factors affecting price determination –

pricing policies and strategies – Nature, functions, types of channels intermediaries – Channel

Management.

UNIT V:

Promotional Decisions – Communication Process – Promotional Mix – Advertising –

Other Tools and Techniques – Marketing Research and information.

Reference:

1. Philip Kotler – Principles of Marketing

2. Doyle – Marketing & Strategy

3. Ramasamy & Namanakumari – Marketing Management

Paper –2


UNIT I:

Financial Management: Meaning, nature and scope of finance; Financial Goal – Profit

Vs Wealth maximization; finance functions – investment, financing and dividend Decisions.

Capital Budgeting: Nature of Investment Decisions; investment evaluation criteria – net present

value, internal rate of return. Profitability index, payback period, accounting rate of return. NPV

and IRR comparison; capital rationing; risk analysis in capital budgeting.

UNIT II:

Cost of capital: Meaning and significance of cost of capital: calculation of cost of debt,

preference capital, equity capital and retained earnings; combined cost of capital(weighted);

cost of equity and CAPM. Operating and financial Leverage: Measurement of leverages;

effects of operating and financial leverage on profit; analyzing alternate financial plans;

combined financial and operating Leverage.

UNIT III:

Capital Structure Theories: Traditional and M.M.Hypotheses – without taxes and with

taxes; determining capital structure in practice. Dividend Policies: Issues in Dividend

Decisions, Walters Model, Gordon’s model. M-M hypothesis, dividend and uncertainly,

relevance of Dividend; Dividend policy in practice; Forms of dividends; stability in dividend

policy; corporate dividend behavior.

UNIT IV:


calculating operating cycle period and estimation of working capital requirements; financing of

working capital. Requirements; financing of working capital and norms of bank finance;

sources of working capital; Factoring Services; Various committee reports on bank finance;

Dimensions of working capital Management.

UNIT V:


Note: Theory 80% and Problems 20%.

References:

1. Bhattacharya, Hrishikas: Working Capital Management: Strategies and Techniques,




Paper – 3

ADVANCED STATISTICS

UNIT I:

Probability – Classical – relative and subjective probability, Addition and

Multiplication probability, Models, conditional probability and Bayes Theorem.

UNIT II:

Probability Distributions – Binomial, Poisson and Normal Distributions, Their

Characteristics and applications. Sampling distributions and their characteristics.

UNIT III:

Non-Parametric tests: Chi square tests, sign tests, Wilcoxon signs – Rank tests – Wald –

Wolfowitz tests Kruskal – Wallis test.

UNIT IV:

Statistical estimation and testing point and interval estimation of population mean,

proportion and Variance; statistical testing – hypothesis and errors; sample size; Large and

Small sampling tests – Z test, T test and F-Tests – Analysis of Variance.

UNIT V:


correlation – Factor Analysis – Cluster Analysis – Conjoint Analysis – Discriminant analysis –

Automatic Interaction Detector –SPSS.

Note: * Problems 80% and theory 20%.

Reference:




Paper – 4

COMPUTER APPLICATIONS IN BUSINESS

UNIT I:

Computer Hardware : Computer system as Information Processing system; computer

system Differences - types of computer systems, hardware options – CPU, Input devices,

Output Devices, Storage Devices, Communication Devices, configuration of hardware devices

and their applications.

UNIT II:

Modern Information Technology : Basic idea of Local Area Networks (LAN) and

Wide Area Networks (WAN); e-Mail: Internet Technologies, access devices, concept of a

World Wide Web and Internet browsing.

UNIT III:

Word Processing: Introduction and Working with MS-WORD in MS-Office, Word

Basic Commands, Formatting – Text and Documents; Sorting and tables; working with

graphics; introduction to Mail Merge.

UNIT IV:

Spread Sheets: Working with EXCEL – formatting, functions, chart features; working

with graphics in EXCEL; using worksheets, as database in accounting, marketing, finance and

personnel areas. Presentation with Power Point: Power Point basics, creating presentations the

easy way; working with graphics in Power Point; show time, sound effects and animation

effects.

UNIT V :

Introduction to Accounting Packages : Preparations of vouchers, invoice and salary

statements; maintenance of inventory records; maintenance of accounting books and final

accounts; financial reports generation. Practical knowledge on Wings Accounting and Wings

Trade (Softwares) and Tally.

Note: *. Theory and Practical – No exam for practical.

Reference Books:

1. Date, C.J.: AN Introduction to Data base systems, Addison Wesley, Massachusetts.

2. Dienes. Sheila S: Micro Soft Office, Professional for Windows 95; Instant Reference:

BPB Publication, New Delhi.

3. O’ Brian. J.A.: Management Information Systems, Tata McGraw Hill, New Delhi.

4. Ullman, J.O: Principles of Data Base Systems, Galgotia Publications, New Delhi.

Paper – 5

MANAGEMENT INFORMATION SYSTEM

UNIT – I Introduction:

Understanding Information Systems – The Changing face of Business Environment –

Emerging trends in Information Technology – Managing E-Transformation – Evolution of

Business process, organizational structure, and IT Architecture.

UNIT – II Information Systems For Decision Making:

Information systems – Types of Information systems – Transaction processing Systems

– Management Information Systems – Intelligent support systems – Office Automation

Systems – Categories of MIS – MIS and organization structure – characteristics of MIS –

Classification of MIS – MIS and Levels of Management – Implementation of MIS.

UNIT – III Functional Management Systems:

Marketing Information systems – Finance Information systems – Accounting

Information system – Personnel Information Systems – Production Information Systems – Inter

relationship of functional management Information Systems.

UNIT – IV Enterprise Information Systems:

Introduction – Evolution of Enterprise Information Systems – ERP- The Enterprise

solutions – ERP market – Introduction to E-business , E-CRM Systems – Sales force

Automation – Customer service and support Automation – Enterprise marketing automation

(EMA) – Comparative Analysis of E-CRM software vendors and products – Evaluating an E-

CRM product.

UNIT – V Information System for Business effectiveness:

The Role of CIO-Challenges of a CIO – The Impact of Information Systems on

organizational performance – Importance of Evaluating the Impact of Information Systems on

Business effectiveness – Business Effectiveness as a Function of cost, value, performance, and

competitive positioning- valuation process of Information systems Applications.

Text Book:

1. Mahadeo Jaiswal, Monika Mital, Management Information systems – Oxford University

Press, New Delhi.

2. Kenneth C.Laudon and Jane Price Laudon, Management Information Systems-Managing

the Digital firm, Pearson Education, Asia-2002.

3. James AO'Brein. Management Information Systems. Tata Mc Graw Hill, New Delhi-1999.

Reference:

1. Gordon B.Davis, Management Information System: Conceptual Foundations, Structure

and Development, McGraw Hill, 1974.

2. Joyce J Elam, Case series for Management Information Systems, Simon and Schuster

Custom Publishing-1996.

3. Steven Alter Information Systems-A Management Perspective-Addison-Wesley 1999.

4. Turban, Mc.Lean and Wether be. Information Technology for Management-Making

connections for strategic advantage John Wiley-1999.

SECOND YEAR

Paper – 6


UNIT I:

Cost Accounting: Concept, Importance and scope – Comparison financial accounts

with cost accounts – Elements of cost Classification of costs – Cost sheet – Tender.

UNIT II:


Importance Techniques and Losses. Labour: Computation of Labour Cost – Cost Control:

Labour Turnover, idle Time, and Over Time. OverHead: Primary and Secondary Distribution

of OverHead.

UNIT III:

Process Costing: Process Accounts – Inter Process Profit – Equipment production –

joint- Products and By Products.

UNIT IV:

Marginal Costing: Concept, advantages and Limitations – Problems on Decision –

Making Break – Even Analysis- Differential Costing.

UNIT V:


Accounts.

Reference Books:

1.Cost Accounting – Principles & Practice by Lall Nigam, B.M.K. Jain, J.C. Prentice Hall India

(P) Ltd., New Delhi.




Paper – 7

FINANCIAL INSTITUTIONS AND MARKETS

UNIT I:

Introduction : Nature and role of financial system; financial system and financial

markets; financial markets; financial system and economic development; Indian financial

system – an overview. Financial Markets: Money and Capital markets: Money Market –

meaning, constituents, functions of money markets, money market instruments – call money,

treasury bills, certificates of deposits, commercial bills, trade bills, etc; Recent trends in Indian

Money Market; capital market – primary and secondary markets; Depositary systems;

Government securities market; role of SEBI – an overview; recent Developments.

UNIT II:

Reserve Bank of India: Organization, Management and functions: credit creation and

credit control; money policy. Commercial Banks: Meaning, functions, management and

investment policies of commercial banks; present structure; E- Banking and e-trading; Recent

developments in commercial banking. Development Bank: Concept, objectives and functions

of development banks; operational and promotional activities of development banks: IFCI,

ICICI, IDBI, IRBI, SIDBI; state development banks, state financial cooperations.

UNIT III:

Insurance Sector: Objectives, role, investment practices of LIC and GIC; Insurance

regulatory and Development authority – role and functions. Unit Trust of India: Objectives,

functions and various schemes of UTI; Role of UTI & Industrial Finance.

UNIT IV:

Non Banking Financial Institutions; Sources of finance; functions of non banking

financial institutions; Investment policies of non banking financial institutions in India.

Mutual Funds : Concept, performance appraisal and regulation of mutual funds(with

special reference to SEBI guidelines); Designing and marketing of mutual funds schemes; latest

mutual fund schemes in India an Overview.

UNIT V:

Merchant Banking; Concept, functions and growth ; Government policy on merchant

banking services, SEBI guidelines, Future of merchant banking in India.

Interest Rate Structure: Determinants of Interest rate structure; differential Interest rate;

Recent Changes in Interest rate Structure.

Foreign Investments: Types, tends and Implications; regulatory frame work for foreign

investment in India.

Reference Books:

1. Avdhani: Investment and Securities Markets in India, Himalaya Publications, New

Delhi.

2. Bhole. L.M.: Financial Markets and Institutions, Tata McGraw Hill, Delhi.

3. Giddy, L.H.: Global Financial Markets, A.I.T.B.S. Delhi.

4. Varshney, P.N.: Indian Financial System, Sultan Chand & Sons, New Delhi.

5. Srivatsava R.M.: Management of Indian financial Institution, Himalaya Publishing House,

Mumbai.

Paper – 8

FINANCIAL & MANAGEMENT ACCOUNTING

UNIT I:

Accounting – Definition – Accounting for historical function and managerial function –

Scope of accounting – Financial accounting and Management accounting –Managerial uses –

Differences.

Financial Accounting: Accounting concepts – Conventions – Principles –Accounting

standards – International Accounting standards.

UNIT II:

Double entry system of accounting – Accounting books – Preparation of journal and

ledger, subsidiary books – Errors and rectification – Preparation of trial balance and final

accounts. Accounting from incomplete records – Statements of affairs methods –

Conversion method – Preparation of Trading, Profit & Loss Account and Balance Sheet from

incomplete records.

UNIT III:

Financial statement Analysis – Financial statements – Nature of financial statements –

Limitations of financial statements – Analysis of interpretation – Types of analysis – External

vs Internal analysis – Horizontal vs Vertical analysis – Tools of analysis – Trend analysis –

Common size statements – Comparative statements. Ratio Analysis – Types – Profitability

ratios – Turnover ratios –Liquidity ratios – Proprietary ratios – Market earnings ratios – Factors

affecting efficiency of ratios – How to make effective use of ratio analysis – Uses and limitation

of ratios – Construction of Profit and loss Account and Balance Sheet with ratios and relevant

figures – Inter-firm, Intra-firm comparisons.

UNIT IV:

Fund Flow Statements - Need and meaning – Preparation of schedule of changes in

working capital and the fund flow statement – Managerial uses and limitation of fund flow

statement. Cash Flow Statement – Need – Meaning – Preparation of cash flow statement –

Managerial uses of cash flow statement – Limitations – Differences between fund flow and

cash flow analysis.

UNIT V:

Capital Budgeting System – Importance – Methods of capital expenditure appraisal –

Payback period method – ARR method – DCF methods – NPV and IRR methods – Their

rationale – Capital rationing.

Reference Books:

1.Arulanandam & K.S. Raman, Advanced Accounting.

2. Gupta & Radhasamy, Advanced Accounting.

3. Shukla & T.S. Grewal, Advanced Accounting.

4. Maheswari, Management Accounting & Financial Accounting.

Paper – 9

E- COMMERCE

UNIT I:

Introduction to E-Commerce: meaning and concept: electronic commerce versus

traditional commerce; media convergence; E- Commerce and E- Business ; channels of e-

commerce: business applications of e-commerce; need for e-commerce, e-commerce as an

electronic trading system – special features.

Internet Concepts and Technologies: Concept and evolution of Internet; Web

technologies – Global publishing concept, universal reader concept and client server concept;

hyper text publishing and hyper text information network; Benefits of hyper text, UTLs, HTTP,

HTTPD servers, HTML, HTML forms and CGI gateway services.

UNIT II:

Business Models of E-commerce and infrastructure: E-Commerce Models: supply

chain management, product and service digitization, remote servicing, procurement; online

marketing and advertising; E-Commerce resources and infrastructure, resources and planning

for infrastructure.

Business to Consumer E-Commerce: Cataloging, order planning and order generation,

cost estimation and pricing, order receipt and accounting, order selection and prioritization,

order scheduling, order fulfilling and delivery, order billing and payment management: post

sale services.

UNIT III:

Web-Site Design: Role of Web site in B2C e-commerce: Web site strategies and web-

site design principles; push and pull technologies, alternative methods of customer

communication.

Electronic payment systems: Special features required in payment systems for e-

commerce: types of e-payment systems; E-Cash and currency severs, e-cheques, credit cards,

smart cards, electronic purses and debit cards; business issues and economic implications:

operational credit and legal risks of e-payment systems: components of an effective electronic

payment system.

UNIT IV:

Business to Business E-Commerce: Need and alternative models of B2B e-commerce;

technologies, EDI and paperless trading; EID architecture, EDI Standards, VANs costs of EDI

Infrastructure. Features of EDI service arrangement, Internet based EDI and FTP based

messaging.

Business: Workflow management, mass customization and product differentiation;

Organization restructuring; integrated logistics and distribution; knowledge management issues

and role of e-commerce infrastructure.

Internet Protocols: Layers and Networking, OSI Layering and TCP layering; TCP,

UDP, IP, DNS, SLIP and PP; Emerging Scenario in ISP.

UNIT V:

Security Issues in E-Commerce: Security risks if e-commerce, exposure of resources,

types of threats, sources of threats, security tolls and risk management approach, e-commerce

security and a rational security policy for e-commerce; corporate Digital Library; IT Act 2000.

Regulatory and Legal frame work of E-Commerce: Cyber Laws-aims and salient

provisions, cyber Laws in Indian and their Limitations; Taxation issues in e-commerce.

Multi-Media and E-Commerce: Concept and role of multi media; Multimedia

technologies; Digital Video and digitization of product and customer communication; Desk-top

video conferencing and marketing; Broad Band networks and related concepts; ISDN, ATM,

Cell relav.

Reference Books:

1. Agarwala, K.N. and Deeksha Ararwala: Business on the Net: What’s and How’s of

E-Commerce : Macmillan, New Delhi.

2. Young Margaret Levine : The Complete Reference to Internet, Tata McGraw hill,

New Delhi.

3. Kosivr, Davis: Understanding Electronic Commerce, Microsoft press, Washington.

4. Prag Diwan and Suni Sharma, E-Commerce – A Managers guide to E- Business;

Excel Books, New

5. Delhi.

Paper – 10

WEB APPLICATION DEVELOPMENT

UNIT – I

HTMIL, *ML and the future of Markup Language – Web browsers – HTML editor –

Coding for multiple screen resolutions – Bank width concern – Website Design Principles.

UNIT – II

Planning the site – Planning sire navigation – Creating unable navigation – Using text

based navigation – Using graphics based navigation.

UNIT – III

Creating page templates – Understanding table basics – Table Points Creating Page

template – Template examples – Web typography.

UNIT – IV

Graphics and Colors – File format basic – Computer color basics – Graphics color tool

– Using the <IMG> element – Working with Hexadecimal colors.

UNIT – V

HTML fames – Understanding Frames – Frames syntax – Targetting in frameset –

Planning frame content – Publishing and maintaining web site.

Text Book:

1. Principles of Web design foel shiar Thomson Learning – 2001 (Vikas, Indian Edition).

Reference:

1. Using HTML 4.0 sixth Edition – Molly E. Hoizchlag PHI – 2000.

2. HTML 4.0 Bible, Bryan Paffen berg and Alez is D. Guizman, Complex computer

publishing.

3. Web Design – A Beginners guide – Wendy Willard THM – 2001.

PRACTICAL – WEB APPLICATION DEVELOPMENT

1. Prepare Bio-data using HTML.

2. Prepare a E-Book using HTML in your favorite subject.

3. Display the information about your institution in multiple HTML page with photos.

4. Display mark list a students using HTML tables.

5. Prepare E-Book using animated images and multiples frames.

1

M.COM (FINANCIAL MANAGEMENT)



COURSE CODE : 318

FIRST YEAR

PAPERS Subject Max. Marks Exam Hrs

1 Financial Management 100 3

2 Business Environment 100 3

3 Financial Institutional and Markets 100 3

4 Advanced Cost Accounting 100 3

5 Advanced Statistics 100 3

SECOND YEAR

PAPERS Subject Max. Marks Exam Hrs

1 Investment Analysis and Portfolio

Management 100 3

2 Financial& Management Accounting 100 3

3 Accounting for Managerial Decisions 100 3

4 Banking Management 100 3

5 Business Research Methods 100 3

2

Paper – 1


UNIT I:

Financial Management: Meaning, nature and scope of finance; Financial Goal – Profit

Vs Wealth maximization; finance functions – investment, financing and dividend Decisions.

Capital Budgeting: Nature of Investment Decisions; investment evaluation criteria –

net present value, internal rate of return. Profitability index, payback period, accounting rate

of return. NPV and IRR comparison; capital rationing; risk analysis in capital budgeting.

UNIT II:

Cost of capital: Meaning and significance of cost of capital: calculation of cost of

debt, preference capital, equity capital and retained earnings; combined cost of

capital(weighted); cost of equity and CAPM.

Operating and financial Leverage: Measurement of leverages; effects of operating and

financial leverage on profit; analyzing alternate financial plans; combined financial and

operating Leverage.

UNIT III:

Capital Structure Theories: Traditional and M.M.Hypotheses – without taxes and with

taxes; determining capital structure in practice. Dividend Policies: Issues in Dividend

Decisions, Walters Model, Gordon’s model. M-M hypothesis, dividend and uncertainly,

relevance of Dividend; Dividend policy in practice; Forms of dividends; stability in dividend

policy; corporate dividend behavior.

UNIT IV:


calculating operating cycle period and estimation of working capital requirements; financing

of working capital. Requirements; financing of working capital and norms of bank finance;

sources of working capital; Factoring Services; Various committee reports on bank finance;

Dimensions of working capital Management.

3

UNIT V:


Note:

Theory 80% and Problems 20%.

References:

1. Bhattacharya, Hrishikas: Working Capital Management: Strategies and Techniques,




Paper – 2

BUSINESS ENVIRONMENT

UNIT I:

Business Environment – Dynamic factors of environment – Importance of scanning

the environment – Fundamental issues – Economic environment of business – Socio-cultural

environment – Political / Legal environment – Cultural environment.

UNIT II:

Political Economy – Government and Business – Public control of business – Trends

and structure of Indian economy – Socio-economic problems of India.

UNIT III:

Government Controls and Regulations – Regulating economic and industrial

activities – Industrial Licensing Policy – Control of monopolies- Capital issue control –

Government control over FDI and collaboration – Distribution and price control – New

EXIM policy – Foreign exchange flow regulation – Technology transfer.

UNIT IV:

Monetary and Fiscal System – Banking and credit structure in India – Financial

institution fiscal system – Theory and Practice.

4

UNIT V:

Economic Planning and Development – Government and Planning – India’s tenth

five year plan and structural reforms.

Reference Book:

1. Mohinder Kumar Sharma, Business Environment in India.

2. Amarchand D.Government and Business.

3. Francis Cherunilam, Business and Government.

4. Maheswari & Gupta, Government, Business and Society.

Paper – 3

FINANCIAL INSITUTIONS AND MARKETS

UNIT – I

Introduction: Nature and role of financial system – financial system and financial

markets – financial system and economic development – Indian financial system – an

overview. Financial Markets – Money and capital markets – Money Market – meaning –

constituents – functions of money markets – money market instruments – call money –

treasury bills – certificates of deposits - commercial bills – trade bills etc., ; Recent trends in

Indian Money market – capital market – primary and secondary markets – Depositary

systems – Government securities market – role of SEBI – an overview – recent

Developments.

UNIT – II

Reserve Bank of India Organization – Management and functions – credit creation

and credit control – money policy.

Commercial Banks : Meaning – functions – management and investment policies of

commercial banks – present structure - E-Banking and e-trading – Recent developments in

commercial banking.

Development Banks : Concept – objectives and functions of development banks –

Operational and promotional activities of development banks – IFCI, ICICI, IDBI, SIDBI –

State development banks, state financial corporations.

5

UNIT – III

Insurance Sector – Objectives – role – investment practices of LIC and GIC –

Insurance regulatory and Development authority – role and functions. Unit Trust of India –

objectives – functions and various schemes of UTI – Role of UTI Industrial Finance.

UNIT – IV

non Banking Financial Institutions – Sources of finance – functions of non banking

financial institutions – Investment policies of non banking financial institutions in India.

Metal Funds – Concepts – performance appraisal, and regulation of mutual funds (With

special reference to SEBI guidelines) – Designing and marketing of mutual funds schemes –

latest mutual fund schemes in India an Overview.

UNIT – V

Merchant Banking – Concept – functions and growth – Government policy on

merchant banking services – SEBI guidelines – Future of merchant banking in India.

Interest Rate Structure : Determinants of Interest rate structure – differential Interest rate –

Recent Changes in Interest rate Structure.

Foreign Investments : Types – tends and implications – regulatory frame work for foreign

investment in India.

Reference:

1. Avdhani : Investment and Securities Markets in India, Himalaya Publications, New

Delhi.

2. Bhole . L.M. : financial Markets and Insitutions – Tata McrGraw Hill, Delhi.

3. Giddy. I.H. : global Financial Markets, A.I.T.B.S. Delhi.

4. Varshney. P.N. : Indian Financial System , Sultan Chand & Sons, New Delhi.

5. Srivatsava R.M. : Management of Indian Financial Institution, Himalaya Publishing

House, Mumbai.

6

Paper – 4


UNIT I:

Cost Accounting: Concept, Importance and scope – Comparison financial accounts

with cost accounts – Elements of cost Classification of costs – Cost sheet – Tender.

UNIT II:


Importance Techniques and Losses.

Labour: Computation of Labour Cost – Cost Control: Labour Turnover, idle Time,

and Over Time.

OverHead: Primary and Secondary Distribution of OverHead.

UNIT III:

Process Costing: Process Accounts – Inter Process Profit – Equipment production –

joint- Products and By Products.

UNIT IV:

Marginal Costing: Concept, advantages and Limitations – Problems on Decision –

Making Break – Even Analysis- Differential Costing.

UNIT V:


Accounts.

7

Reference Books:

1.Cost Accounting – Principles & Practice by Lall Nigam, B.M.K. Jain, J.C. Prentice Hall

India (P) Ltd., New Delhi.




Paper – 5

ADVANCED STATISTICS

UNIT I:

Probability – Classical – relative and subjective probability, Addition and

Multiplication probability, Models, conditional probability and Bayes Theorem.

UNIT II:

Probability Distributions – Binomial, Poisson and Normal Distributions, Their

Characteristics and applications. Sampling distributions and their characteristics.

UNIT III:

Non-Parametric tests: Chi square tests, sign tests, Wilcoxon signs – Rank tests – Wald

– Wolfowitz tests Kruskal – Wallis test.

UNIT IV:

Statistical estimation and testing point and interval estimation of population mean,

proportion and Variance; statistical testing – hypothesis and errors; sample size; Large and

Small sampling tests – Z test, T test and F-Tests – Analysis of Variance.

UNIT V:


correlation – Factor Analysis – Cluster Analysis – Conjoint Analysis – Discriminant analysis

– Automatic Interaction Detector –SPSS.

8

Note:

* Problems 80% and theory 20%.

Reference:




SECOND YEAR

Paper – 1

INVESTMENT ANALYSIS AND PORTFOLIO MANAGEMENT

UNIT I:

Investments: Nature and scope of investment analysis, elements of investment,

avenues of investment, approaches to investment analysis; concept of return and risk:

Security return and risk analysis, measurement of return and risk. Financial assets: types and

their characteristics, sources of financial information.

UNIT II:

Security Markets: Primary and Secondary market, Primary Market Role, functions

and methods of selling securities in primary Market; allotment Procedure; New financial

instruments. Secondary Market: Role, importance, types of brokers, trading mechanism,

listing of securities in stock exchanges, screen based trading; Depositary – role and need;

Depositaries Act, 1996.

UNIT III:

Public Issue: SEBI guidelines on public issue, size of issue, pricing of issue,

promoter’s contribution, appointment of Merchant bankers, underwriters, broker, registrar

and Managers bankers and allotments of shares.

9

UNIT IV:

Valuation of Securities: Bonds, Debentures, Preference shares, equity shares,

fundamental analysis: Trends, indicators, indices and moving averages applied in technical

analyses.

UNIT V:

Portfolio Analysis: Estimating rate of return and standard Deviation of portfolio.

Effect of combining the securities; Markowitz Risk Return optimization; single Index Model

or Market Model; Portfolio total risk, Portfolio Market risk and unique risk, simple Sharpe’s

optimization solution. Capital Market Theory: Capital Market Line, Security Market Line,

Risk free lending and borrowings; factor models: Arbitrage pricing theory, two factor and

multi factor models; principle of arbitrage, arbitrage portfolios.

Reference Books:

1. Bhalla : Investment Analysis, S.Chand & Co., Delhi.

2. Donal E Fisher and Ronald J.Jorden: Security Analysis and Portfolio

Management, Prentice Hall, New Delhi.

3. Gupta L.C: Stock Exchange Trading in India: Society for Capital Market

Research and Development, Delhi.

4. Francis J.Clark: Management of Investments, McGraw Hill, New York.

Paper – 2

FINANCIAL & MANAGEMENT ACCOUNTING

UNIT I:

Accounting – Definition – Accounting for historical function and managerial function

– Scope of accounting – Financial accounting and Management accounting –Managerial uses

– Differences.

Financial Accounting: Accounting concepts – Conventions – Principles –Accounting

standards – International Accounting standards.

10

UNIT II:

Double entry system of accounting – Accounting books – Preparation of journal and

ledger, subsidiary books – Errors and rectification – Preparation of trial balance and final

accounts.

Accounting from incomplete records – Statements of affairs methods – Conversion

method – Preparation of Trading, Profit & Loss Account and Balance Sheet from incomplete

records.

UNIT III:

Financial statement Analysis – Financial statements – Nature of financial statements

– Limitations of financial statements – Analysis of interpretation – Types of analysis –

External vs Internal analysis – Horizontal vs Vertical analysis – Tools of analysis – Trend

analysis – Common size statements – Comparative statements. Ratio Analysis – Types –

Profitability ratios – Turnover ratios –Liquidity ratios – Proprietary ratios – Market earnings

ratios – Factors affecting efficiency of ratios – How to make effective use of ratio analysis –

Uses and limitation of ratios – Construction of Profit and loss Account and Balance Sheet

with ratios and relevant figures – Inter-firm, Intra-firm comparisons.

UNIT IV:

Fund Flow Statements - Need and meaning – Preparation of schedule of changes in

working capital and the fund flow statement – Managerial uses and limitation of fund flow

statement. Cash Flow Statement – Need – Meaning – Preparation of cash flow statement –

Managerial uses of cash flow statement – Limitations – Differences between fund flow and

cash flow analysis.

UNIT V:

Capital Budgeting System – Importance – Methods of capital expenditure appraisal –

Payback period method – ARR method – DCF methods – NPV and IRR methods – Their

rationale – Capital rationing.

11

Reference Books:

1.Arulanandam & K.S. Raman, Advanced Accounting.

2. Gupta & Radhasamy, Advanced Accounting.

3. Shukla & T.S. Grewal, Advanced Accounting.

Maheswari, Management Accounting & Financial Accounting.

Paper – 3

ACCOUNTING FOR MANAGERIAL DECISIONS

UNIT I:

Management accounting: Concept, objectives nature, scope – A comparison between

management accounting & financial accounting and Management Accounting and Cost

Accounting.

UNIT II:

Budgeting : Concept – essentials of budgeting – Types of Budgets: Flexible,

Purchase, Sales, Cash, Sales – Zero base Budgeting.

UNIT III:

Standard Costing & Variance Analysis: AS a Control – Technique – Difference

Variances and its analysis – Relevance of Variance analysis to budgeting.

UNIT IV:

Analysis of Financial statements: Financial statements: Nature, Limitations –

Analysis: Meaning – steps involved – parties interested – Techniques: Fund Flow, Cash Flow

and Ratio Analysis.

UNIT V:

Reporting to Management: Objectives – needs – Types of Reports – modes of

reporting – reporting at different levels of Management.

12

Note:

80% and 20% of the Marks are for problems and theory respectively.

Reference Books:

1. Management accounting: - Hingorani, Ramanathan & Grewal, Sultan Chand & Sons,

New Delhi.

2. Cost Accounting: Principles & Practice –Lal, B.M.Jain, I.C. Pratice – Hall of India (P)

Ltd., New Delhi.

3. Principles of Management Accounting – Manmohan and Goyal S.N.Sathitya Bhavan,

Agra.

Paper – 4

BANKING MANAGEMENT

UNIT I

Banking and other financial institutions in India; official regulations and control over

banks and other financial institutions; Socio-economic environment and Socio obligations of

banks in India; An overview of banks in India; An overview of monetary system in India.

UNIT II

Alternative organizational structures of banks; Forms of banking -unit banking,

group banking, chain banking, satellite and affiliate banking, and correspondence, banking;

organizational structures of banks and relative advantages and dis-advantages .

UNIT III

Management of liabilities; Management of assets; Expenditure control and

profitability. Process of bank management; planning: organizing co-ordination: motivation:

control.

UNIT IV

Organizational structures of commercial banks in India: department setup; delegation

of authority. Internal control and information system. Manpower planning: employee

selection; Appraisal and promotion. Banking education, training and research .

13

UNIT V

Branch location, policies and decisions . management of rural branches. Recent

developments and current issues: problems in bank management in India.

Reference Books:

1. Desai,Vasant: Principles of Bank Management, Himalaya Publishing House, Delhi.

2. Reed, E.W. Commercial Bank Management. Harper and Row Publishers, New York.

3. Sudha Rao. P.Principles and Practice of Bank Management, Himalaya Publishing House,

Delhi.

Paper – 5

BUSINESS RESEARCH METHODS

UNIT I:

Meaning of Business Research – Types of Research – Descriptive, Exploratory,

Empirical, Historical and case study. Identification, selection and formulation of Research

problem– Research Design - Components of the Research Design.

UNIT II:

Census – Universe / Population - Sample – Sampling Techniques – Random and Non

Random Sampling – Sampling frame – Size of the sample – Sampling and Non Sampling

Errors.

UNIT III:

Collection of Data, Primary and Secondary Data – Tools of collection of Data –

Questionnaire Personal Interview – Interview Schedule – Observation precautions to be

taken while applying tools – Pilot study and protesting.

UNIT IV:

Analysis and interpretation of data – Hypothesis – Characteristics of a good

hypothesis – formulation and testing of hypothesis – Methods of testing hypothesis –

Parametric and non parametric tests, tests of significance – ‘t’ test – ‘F’ test – correlation,

regression, sample partial and multiple – x2 tests – Analysis of variance.

14

UNIT V:

Research Report – Types of reports – target audience – steps in drafting a research

reports – contents of a research report – Title pages – Table contents – Body of the report –

Appendices – Bibliography – Foot notes.

Reference Books:

1. Research Methodology : Methods and Techniques C.R. Kothari, Wiley Eastern Ltd.,

New Delhi.

2. Research Methods in Commerce – Amarchand D. Emerald Publishers, Chennai.

3. Thesis and Assignment writing – Anderson J. Berry H. d. & Poole M. Wiley Eastern

Limited, New Delhi.