Concepts of Working Capital ,Components of Current Assets, Permanent and Variable Working Capital, Determinants of Working Capital, Estimating Working Capital Needs, Currents Assets Financing Policy, Operating and Cash Conversion Cycle.
Facets of Cash Management, Motives for Holding Cash, Factors Determining Cash Needs, Cash Budgeting, Long – term Cash Forecasting, Managing Cash Collections and Disbursements, Optimal Cash Balance, Investment of Surplus Cash – Model.
Objectives - Credit Policy: Nature and Goals, Optimum Credit Policy, Credit Policy Variables, Credit Evaluation, Credit Granting Decisions, Collection Policy, Factoring.
Nature of Inventories - Need to Hold Inventories, Objectives of Inventory Management, Inventory Management Techniques, Analysis of Investment in Inventory, Inventory Control Systems.
Cost of Working Capital Finance - Accruals - Trade Credit and other current liabilities, Working Capital Advance by Commercial Banks, Regulation of Bank Finance, Short-term Loans from Financial Institutions, Commercial Paper.
Reference Book:
1. 1. Financial Management, I. M. Pandey,, Noida: Vikas Publishing House Private Ltd, 2010. 2. Working Capital Management: Text and Cases, V. K. Bhalla, New Delhi: Anmol Publisher, 2008. 3. Financial Management - Text, Problems and Cases, M .Y. Khan and P. K. Jain, New Delhi: Tata McGraw Hill, 2009 4. Working Capital Management: Strategies and Techniques, Hrishikesh Bhattacharya, New Delhi: Prentice Hall of India Private Ltd, 2009.
Text Book:
1. Financial Management, Dr. S.N. Maheshwari, Sultan Chand & Sons, NewDelhi, 2013. 2. Fundamentals of Financial Management, Prasanna Chandra, New Delhi: Tata McGraw Hill, 2007.
