
Helps in Financial Planning. Assists in acquiring and managing funds. Helps in funds allocation. Provides insights to make critical financial decisions.
Financial management provides pathways to attain goals and objectives in an organisation. The main duty of a financial manager is to measure organisational efficiency through proper allocation, acquisition and management.
In this session, students will be able to understand about the importance of cost of capital
Students will be to understand how to compute the cost of debt and also about tax benefits.
Students will be able to understand how to compute the cost of equity by using the real data of the company
Students will be able to understand how to compute the cost of equity by using the real data of the company
Students will be abe to compute the overall cost of capital of business
Students will be abe to compute the overall cost of capital of business
Students will learn how to do the analysis of a project and how to compute the PV of cash inflows and NPV
Students will learn how to do the analysis of a project and how to compute the PV of cash inflows and NPV
Students will learn how to do the analysis of a project and how to compute profitability index, payback period and discounted payback period
Students will learn about the importance of working capital management, how to compute the operating cycle, turnover ratios, case study of Apple and Amazon
Students will learn how to prepare cash budgets
The current ratio is a liquidity ratio that measures a company's ability to pay short-term obligations or those due within one year.
The current ratio is a liquidity ratio that measures a company's ability to pay short-term obligations or those due within one year.
The quick ratio is an indicator of a company’s short-term liquidity position and measures a company’s ability to meet its short-term obligations with its most liquid assets.
The equity ratio is a financial metric that measures the amount of leverage used by a company. It uses investments in assets and the amount of equity to determine how well a company manages its debts and funds its asset requirements.
The debt-to-total-assets ratio shows how much of a business is owned by creditors (people it has borrowed money from) compared with how much of the company's assets are owned by shareholders.
The gearing ratio is a measure of financial risk and expresses the amount of a company's debt in terms of its equity. A company with a gearing ratio of 2.0 would have twice as much debt as equity.
The interest coverage ratio is a debt and profitability ratio used to determine how easily a company can pay interest on its outstanding debt.
Earnings per share or EPS is a common metric used to carry out corporate value. It can be defined as the value of earnings per outstanding share of common stock of the company.
Diluted earnings per share (EPS) is a measurement of a company's earnings per share if all convertible securities were converted. Dilutive securities are securities that can be converted to common stock.
The book value per share (BVPS) is a ratio that weighs stockholders' total equity against the number of shares outstanding. In other words, this measures a company's total assets, minus its total liabilities, on a per-share basis.
A turnover ratio represents the amount of assets or liabilities that a company replaces in relation to its sales.
The efficiency ratio is typically used to analyze how well a company uses its assets and liabilities internally. An efficiency ratio can calculate the turnover of receivables, the repayment of liabilities, the quantity and usage of equity, and the general use of inventory and machinery.
This Specialization covers the fundamentals of strategic financial management, including financial accounting, investments, and corporate finance. You will learn to evaluate major strategic corporate and investment decisions and to understand capital markets and institutions from a financial perspective, and you will develop an integrated framework for value-based financial management and individual financial decision-making.
When you complete the Financial Management Specialization, you will:
· Have a solid foundation in developing an integrated framework for strategic financial decision-making.
· Have a thorough understanding of financial statements and the financial information they provide, and be able to critically evaluate and analyze financial statements.
· Have a thorough understanding of investment decision-making and how to manage the working capital of the business.
· Understand how to incorporate risk and uncertainty into investment decisions and understand how companies make financing and investment decisions.
Goals and functions of financial management, short-term financial planning, capital markets, risk and return, valuation of financial assets, cost of capital, and capital budgeting decisions. The course will develop analytical and decision-making skills in finance through the use of theory questions, practical problems, and mini-cases. Many of the problems/assignments will require the application of an electronic spreadsheet program such as Excel.
The course will emphasize the tools that support business decision-making. Students will study essential topics in the financial management of profit-seeking organizations.