List of Tentative Electives for Finance Major

Courses Being Offered at IIFT

• Project Appraisal & Finance 
  

• Security Analysis & Portfolio Management 
  

• Management of Financial Services 
  

• Retail Banking 
  

• Fixed Income Security / Analytics 
  

• Derivatives & Risk Management 
  

• Financial Market & Instruments
  

• Equity Research & Analysis
  

• Corporate Restructuring
  

• Infra Structure Financing
  

Courses being offered at Other Institutes

• Insurance 
  

• Strategic Financial Management
  

• Business Analysis And Valuation
  

• Management of Financial Institutions
  

• Tax Planning
  

• Stochastic Calculus in finance
  

• International Financial markets
  

• Asset Securitization
  

• Market Microstructure 
  

• Behavioural Finance 
  

Please post your comments for the electives , as a trail, under the Post.

Cashonova Quiz 6

Hi Guys, I am back with the 6th edition of the Cashonova quiz series
Hope to have an enthusiastic response once again. 

Your QuizMaster-- Titash

Please send in your answers by 22 Feb 2009, 11:59:59

@ cashonovaclub@iift.ac.in 

1.

This is the logo for a product which has emerged as a major rival to one of the most popular products of the 21st century. What?

2.

Connect the two images below










3.

This man, from the world of business & technology had a special affinity for a particular letter.
Identify him( Clue :- Oscars)























4.

A very famous company is named after this Greek Goddess. Identify her






















5.

On June 23, 2006, it received from the U.S. Food & Drug Administration a 180-day exclusivity period to sell simvastatin in the U.S. as a generic drug at 80 mg strength. It presently competes with the maker of brand-name Zocor, Merck & Co.; Teva Pharmaceutical Industries, which has 180-day exclusivity at strengths other than 80 mg.Which company am I talking about?

6. 

The term and service was introduced by a Bengali entrepreneur Sake Dean Mahomed, who opened a bath known as 'Mahomed's Indian Vapour Baths' in Brighton, England in 1759. His baths were like Turkish baths where clients received an Indian treatment of therapeutic massage.What is this term?

7.

It is the largest Russian company . After acquisition of the oil company Sibneft.With 119 billion barrels of reserves, ranks behind only Saudi Arabia, with 263 billion barrels, and Iran, with 133 billion barrels, as the world's biggest owner of oil and oil equivalent in natural gas

8.

Connect

Tie breaker for Quiz 5

Seeing the large no.of all-correct entries for Quiz 5 we have had to come up with 3 tie breaker questions especially for the ones who have sent the all-correct entries......others are also free to attempt.......1st question carries 1 point, next question 2 points and the 3rd 1 3 points.....
Person scoring the max no.of points wins of course....... Send in  your answers latest by 18:00 hrs on 09/02/2009.

 


1.
















The name of the hat shown and the place marked in red are the same as something major in the world of software. What?


2.














The person shown above is the WBC champion. W and C stand for World and Championship.
What is B? B has a distinct business connection, what the guy is doing should give you a clue.

3.



















Complete the sequence......(Clue India)


HAPPY QUIZZING!!!!!!!!!!

Cashonova Quiz

Quiz # 5

Please Send your entries to cashonovablog@yahoo.com by 08 Feb 23:59:59. 

Q1.)  X was founded as a government agency in 1938 as part of Franklin Delano Roosevelt's New Deal to provide liquidity to the mortgage market. For the next 30 years, X held a virtual monopoly on the secondary mortgage market in the United States. To provide competition in the secondary mortgage market, and to end X’s monopoly, Congress chartered Y as a private corporation.Recently X and Y were put under the conservatorship of US Federal Government.What are X and Y?

 

Q2.) This company was forced to cease Aircraft production by the Versailles Armistice Treaty.In fact their logo is also alleged to portray the movement of an airplane propeller.Its prominent airplane engines include Illa,the 132,801 and the 003.Which company am I talking about?

 

 Q3.) An advertisement of this company in the 1960’s showed a collage of the logos of Silicon Valley with the annotation "We started it all.“

It was the 1^st company to produce a commercial Charged Coupled Device.Its parent company was acquired by Schlumberger Limited in 1979.Name the company

 

Q4.) In 1847 he started making microscopes full-time. His first innovation was making simpler microscopes that only used one lens, and were therefore only intended for dissecting work. He soon decided that he needed a new challenge so he began making compound microscopes. He first created the Stand I which went to market in 1857.Who am I talking about?

 

Q5.) The company was started by Alexander MacRae under the name of MacRae Hosiery manufacturers.Today the company is headquartered in Nottingham, England, and is owned by the London based Pentland Group.

The Fastskin II ,Jetconcept FS Pro are few of its products.Which company am I talking about?

 

Q6.) This product originally belonged to the Shulton company founded by William Lightfoot Schultz.

Its early variants were developed on a colonial theme.It was famous due to its disntictive trademark .It has been featured in movies such as Jaws,ET and Rush Hour.Carl Off has an indelible connection with its advertising.

What product?

Q7.) Originally called "Aero Osakyehito", which led to its international flight code, "AY". It was founded by Bruno Lucander in 1923. In 1961, it joined the jet age by adding Rolls-Royce Avon-engined Caravelles to its fleet.It is the sixth oldest airline in the world with unlimited existence.

Which airline?

 

Q8.) Colman's was founded in 1814 when Jeremiah Colman began milling flour and mustard in Norwich, England.

Johann A. founded a business in Germany in 1823. Its main products were industrial chemicals

Isaac rented a starch mill in Hull, England, in 1840. He diversified into other household products and in due course passed on his business to his four sons. Origins of which company are being talked about?

   

 

 

 

LIQUIDITY MANAGEMENT

In India the state of liquidity has been satisfactory or improved over the previous years. But after credit crisis (what we commonly call a liquidity crisis), it got the desired attention all over the world. Liquidity and profitability are two vital aspects for an organisation.A firm not earning profit is bad but a firm not having liquidity is worse. Therefore maintaining liquidity is a pre-requisite for the very survival of a company. The liquidity should be neither excessive nor inadequate. Excessive liquidity indicates accumulation of idle funds which do not earn any profit for the firm and inadequate liquidity, on the other hand, not only adversely affects its credit worthiness but also its production process and hampers its earning capacity.

Liquidity basically refers to the short term financial strength of the company. It is composed of two important words Financials and Strength. Financial refers to sources of funds which may be long term or short term. Strength means ability to pay debts when they become due. So, liquidity is the ease with which assets can be converted into cash without any loss whenever required. There are five ratios which may be calculated from income statement and balance sheet of the companies that can help us to know the liquidity position of the company.

1. Current ratio-It shows the relationship between current assets and current liabilities. It is an important measure of analysing the firm’s ability to pay off its current liabilities out of its short term resources. The higher the CR, the more amounts is available per rupee of current liabilities. The rule of thumb about CR is 2:1. It is based on the logic that in the worst situation even if there is a possibility of 50% shrinkage in the value of assets, still firm would be able to pay its current liabilities. However, this rule cannot be treated as general guide for any kind of business.

Current ratio=current liabilities/current assets.

2. Quick ratio-It is a refinement over CR as it excludes inventories which is considered as slow moving assets as compared to other assets. Thus, it can assess the liquidity position of the company more accurately. The rule of thumb about is 1:1, but again it varies from business to business.

Quick ratio=Liquid Assets/ Current Liabilities

Liquid assets=Current assets-inventory.

3. Cash position ratio-It is also known as super quick ratio. This is a rigorous test of liquidity because it considers only cash at bank, cash in hand, and marketable securities in current assets.

Cash position ratio= Melted Assets/ Current Liabilities

Melted assets= cash at bank, cash in hand, and marketable securities in current assets.

4. Inventory turnover ratio-This ratio focuses on the inventory control policy of the company. It is the relationship between cost of goods sold during a particular year and average inventory kept by the company during that year.

Inventory turnover ratio= cost of goods sold/average inventory.

Higher the ITR, the better it is because holding an inventory carrying two types of cost that are opportunity cost in terms of cash blocked in inventory which could have earned some interest and another cost is inventory holding cost.

5. Debtor turnover ratio-This ratio focuses on the credit policy pursued by the company. Liquidity position of the company largely depends on the payment received from the debtors. Therefore it should use that credit policy in such a way that it may not hamper its cash inflow. The company should tighten the debt collection efforts and should reduce the amount tied up with debtors. In order to do it a periodical report should be prepared so that management can take necessary actions.

Debtor turnover ratio= Net Credit Sales/Average Account Receivables.

NOTES

Current Assets=cash in hand+ cash in bank+ marketable securities+ debtors+ accounts/bills receivable+ prepaid expenses+ inventory+ short term investment.

Current Liabilities=creditors+ accounts/bills payable+ outstanding expenses+ short term loan+ proposed dividend+ provision for tax+ unclaimed dividend.

Article Submitted by,

Liteshwar Rao