IMP SEM 3

Finance is central to all business activities across industries. The finance function reconciles the conflicting interests of varied stakeholders and different functional units. Basic issues in finance are essentially the same for diverse businesses, including: where to raise financial resources from, where to invest the resources, how to manage the production-distribution function in the best possible way, how much profit to distribute and how much to plough back. Business finance is concerned with the management of financial resources, performs facilitation, reconciliation, and control functions, and covers all decisions in a business that have monetary implications.

This is an introductory finance course. It is designed to introduce students to the basic concepts, tools and techniques used in business finance to guide decision-making. Topics covered in this course include an introduction to business finance decisions, the time value of money, the risk-return trade-off, Interest rates and bond valuation, stock valuation, the cost of capital, capital budgeting decisions, capital structure decisions, and working capital decisions. This foundational course has been designed to impart the theoretical knowledge and practical skills to equip IMP students to make more effective real-world business decisions across industries.