Department of Finance

Faculty of Business Studies (FBS)

Jagannath University, Dhaka

Syllabus For BBA Program

Effective From Session: 2021-2022

Batch: 16th & Onwards

 

 

BBA 1^st Year 1^st Semester

 

 

BBA 1^st Year 2^nd Semester

 

BBA 2^nd Year 1^st Semester

 

BBA 2^nd Year 2^nd Semester

 

BBA 3^rd Year 1^st Semester

 

BBA 3^rd Year 2^nd Semester

 

BBA 4^th Year 1^st Semester

 

BBA 4^th Year 2^nd Semester

 

First Year First Semester

Course Code: FIN- 1101

Course Title: History of the Liberation War of Bangladesh

Credit points: 03; Marks – 100

 

1. Definition of liberation war, comparative discussion of liberation war of Bangladesh and other countries of the world
2. Socio-economic, cultural and political background of liberation war
3. Role of intellectual to format the thought of liberation war
4. Election-1970, non-cooperation movement and declaration of independence
5. Operation search-light
6. Mass-killing and women oppression
7. Refugee crisis
8. Proclamation of independence and formation of Bangladesh government
9. Spontaneous initial stoppage(hindrance) and war
10. Mass-media and public-opinion
11. Salvation army: weapon, training and battle camp
12. Role of political party: Bangladesh, India, Pakistan
13. Role of students, women and general people in the liberation war
14. Role of Superpower and Muslim states
15. Freedom opposing activity and killing intellectuals by Peace committee, Al-badar, Al-shams and Rajakar
16. Judgment of Bangabandhu while panegyrist in Pakistan and world reaction 
17. Reaction of Foreigner Bengali and citizen-society of different countries
18. Role of India in the liberation war: government, people and mass-media
19. Liberation war: United Sates and other international organization
20. Joint-army formation and final victory
21. Leadership and contribution of Bangabandhu in the liberation war
22. Returning to the country and constitution

References:

1. Harun-Or-Rashid: The Foreshadowing Of Bangladesh
2. Raunaq Jahan: Pakistan: Failure In National Integration
3. A.M.A Muhit: Bangladesh: Emergence Of A Nation
4. Rangalal Sen: Political Elites in Bangladesh
5. Jayanta K. Ray: Democracy and Nationalism On Trial: A Study Of East Pakistan
6. Lawrence Ziring: The Ayub Khan Era Politics in Pakistan 1958-1969
7. Hasan Zaheer: The Separation of East Pakistan The Rise And Realization Of Bengali     Nationalism
8. Abdul WadudBhuiyan: Emergence of Bangladesh And The Role Of Awami League
9. Nazma Chowdhury: The Legislative Process In Bangladesh: Politics And Functioning Of The East Bangal Legislature (1947-58)
10. Mohammad Ghulam Kabir: Minority Politics in Bangladesh
11. Khalid B. Sayeed: Pakistan:  The Formative Phase
12. Ayesha Jala: The Sole Spokesman: Jinnah, The Muslim League And The Demand For Pakistan
13. Khalid B. Sayeed: The Political System of Pakistan

Course Code: FIN- 1102

Course Title: Business English and Communication

Credit points: 03; Marks – 100

Business English:

 

1.    Adaptation and the Selection of Words: Needs of Adaptation – Techniques of Adaptation – Suggestions for Selecting Words: Use of Familiar words, Slang and Popular clichés, Short words, Technical Words, Acronyms, Concrete words, Strong & Vigorous words, Active voice, Clear Verbs, Words with precise meaning – Suggestions for Nondiscriminatory Writing.

2.    Construction of Clear Sentences and Paragraphs: Emphasis on Short Sentence – Emphasis in Sentence Design – Sentence Unity – Sentence Clarity – Paragraph Design.

3.    Writing for Effect: Conversational style – You-viewpoint – Positive Language – Courtesy – Emphasis – Coherence.

4.    Introduction to Messages and the Writing Process: Text Messaging – Email – Traditional Letters – Memorandums – Communication through Letters: Writing Enquiry, Order, Complaint, Regret, Apology Letters – Writing Process.

5.    Direct and Indirect Writing: Directness in Good-News & Neutral Messages – Indirectness in Bad News Messages – Indirectness in Persuasive Messages.

Business Communication:

1.    Communication Foundations: Information Theory – Theory of Human Communication – Hierarchy of Communications – Elements of Communication – Language and Culture – Types of Communication: Oral Communication, Written Communication, Audial communication, Visual Communication, Audio-Visual Communication, Gesture – Patterns of Communication: Horizontal and Vertical Communication, Upward and Downward Communication, Formal & Informal Communication, Mass Communication, Barriers to Communication, Ways of Better Communication.

2     Communication in Workplace: Importance of Business Communication – Main Forms of Business Communication – Communication Network of the Organization – Process of Human Communication – Basic Truths about Communication.

3.    Basics of Report Writing: Purpose – Factors – choosing topics- Introduction to critical reading skills: Analyzing tests for logic, motion and credibility, Idea Critic- Basics of report writing- Information Collection – Organization – Collaboration – Structure: Short Report, Long Formal Report – Graphics.

4.    Techniques of Presentation.

5.    Public Speaking and Oral Reporting

6.    Communicating in the Job-Search Process: Job Search – Building a Resume and Cover Letter – Handling Interview.

Basic Text:

       1.  Business Communication- Making connections in a digital world. By-V. Lesikar,Flatley, Rentz (13th ed.)

       2.  Essentials of Business communication by Rajendra Pal & J.S. Korlahali.

References:

       1.  Business Communication- Principles and Methods by William C. Himstreet& Wayne Murlin Baty.

       2.  Business Communication and Report Writing by A A Khan and M A Taher

 

Course Code: FIN- 1103

Course Title: Computer Applications in Business

Credit points: 03; Marks – 100

 

1.    Introduction: Definition of computer, evolution of computer technology, types of computer, importance and impact of computer in business and society.

2.    Information Systems Basics: Information system (IS) in business, basic IS concepts, IS functions and components, types of IS, IS users and technology, benefits of IS, Information System fundamentals, hardware, software, stored data, personnel and procedure for IS, ethical issues for IS.

3.    IS Hardware: IS hardware, computer organization, Input and Output devices, primary storage, the central processing unit, secondary storage.

4.    IS Software: IS software, software concepts, application software, system software, software development.

5.    IS Networks: IS Networks and the internet communication concepts, communication hardware and software, network concepts, Local Area Networks, Wide Area Networks, Internetworks, internet communication and services, electronic commerce. 

6.    Business Information Systems: Business operations, business operation efficiency, transaction processing systems, other business IS: AIS, FIS, MIS, HRIS, Mkt IS, Enterprise Resource Planning systems.

7.    Decision Making & IS: Management decision making, improving management decision making effectiveness, level and characteristics of management decision, MIS, DSS, EIS, Expert Systems, Knowledge Management Systems.

8.    E-Commerce and IS: E-commerce and the strategic impact of IS,     providing a strategic impact, E-commerce systems, Interorganizational IS: Business Alliance, EDI; Global IS, strategic IS.

9.    Business Applications: Microsoft office: MS Excel, MS power point, MS Word, S.P.S.S, correlation and regression analysis.

Basic Text:

       1.  Timothy J. O’Leary and Linda I. O’Leary, Computing Essentials, Complete Ed., McGraw Hill

References:

       1.  Robert C. Nickerson, Business and Information Systems, 2nd Edition, Prentice- Hall, India

       2.  David Whigham, Business Data Analysis using Excel.

 

Course Code: FIN- 1104

Course Title: Business Mathematics

Credit points: 03; Marks – 100

 

1.    Number System: Natural Number: Definition and Properties – Prime Number: Definition and Properties – Integer Number: Definition and Properties – Even Number: Definition and Properties – Odd Number: Definition and Properties – Rational Number: Definition and Properties – Irrational Number: Definition and Properties – Fraction Number: Definition and Properties – Imaginary Number: Definition and Properties – Complex Number: Definition and Properties – Related Exercise.

2.    Review of the Basic Algebra: Basic Algebraic Formulae and their Application – Fractions, Percentages and Decimals – Exponents and Radicals – Factoring – Simplification – Logarithms – Equations – Inequalities and their Solution sets.

3.    Equations and No-linear Functions: Slope of Linear Equation – Different Form of Linear Equation and Solution – Break-even Analysis – Polynomial Functions – Quadratic Functions – Application of Quadratic Models – Exponential Functions – Selected Exponential Models – Constant Growth Rate Model – Unlimited Growth Model – Unlimited Decay Model – Limited Growth Model – Logarithmic Functions.

4.    Permutations and Combinations: Fundamental Rules of Counting, Permutations, Factorial notation Permutation of `n’ Different Things, Circular Permutation, Permutations of Things not all Different, Restricted Permutations, Combinations, Complementary Theorems, Restricted Combinations, Combinations of Things not all Different. Applications of Permutations and Combinations to Business Problems.

5.    Set Theory: Concept – Definition – Characteristics of Set – Basic of Set Operations – Venn Diagram – Cartesian Products – Business Applications.

6.    Progression: Arithmetic Progression, Sum of Series in Arithmetic Progression, Arithmetic Mean, Business Application, Geometric Progression, Sum of Series in Geometric Progression, Geometric Mean, Business Application.

7.    Indices and Surds: Indices – Positive Indices – Fractional Indices – Operation with Power Functions – Surds – Operations on Surds – Rationalising Factor – Root of Mixed Surd.

8.    Logarithms: Introduction – Laws of Operations – Operations with Logarithms – Compound Interest – Depreciation – Annuities.

9.    Mathematics of Finance: Simple interest & future value – Compound interest & future value – Bank discount – Annuity: Ordinary Annuity and Annuity Due.

 

Basic Text:

       1.  Business Mathematics by D. C Sancheti and V. K. Kapoor.

 

References:

       1.  Applied Mathematics: for Business, Economics and Social Sciences by Ann J. Hughes.

       2.  Mathematics with Application for Business & Economics by E. K Bowen.

 

 

 

Course Code: FIN-1105

Course Title: Principles of Accounting

Credit points: 03; Marks – 100

 

1.    Introduction to Financial Accounting: Background of Accounting Development: Definition – The purpose and Nature of Accounting Information–The Activities of Accountants–Branches of Accounting–The Need for Accounting Concepts and Principles – Professional Associations and Accounting Principles–Generally Accepted Accounting Principles (GAAP) – Introduction to International Accounting Standards (IASs) & Bangladesh Accounting Standards (BASs)  – Introduction to International Financial Reporting Standards (IFRSs) & Bangladesh Financial Reporting Standards (BFRSs)–Capital and Revenue Expenditures.

2.    Recording Changes in Financial Position: Role of Accounting Records – Debit and Credit – the Principles of Double Entry – Journal – Ledger – Coding and chart of Accounts – Posting in the Ledger Accounts – Trial Balance – Proof Offered by Trial Balance – Limitations of Trial Balanced – Locating Errors – Adjusting Entries – Closing Entries for Revenue and Expense Accounts – Opening Entries – Rectification of Errors before and after preparation of Trial Balance.

3.    Work Sheet and the Preparation of Financial Statements: Application of Work sheet – Preparation of work sheet – Preparation of Financial Statements – Multiple-step Statement – Single-step Statement – Horizontal and Vertical Arrangement – The Accounting Cycle – Reversing Entries with special referee to Presentations of Financial Statements.

4.    Accounting for Merchandising Operations: Merchandising Operations- Recording Purchases of Merchandise- Recording Sales of Merchandise- Completing the Accounting Cycle- Forms of Financial Statements.

5.    Accounting for Receivable: Nature and Composition of Receivable – Accounts Receivable & Notes Receivable – Discounting – Interest and Non-interest Bearing Notes Receivable – Un-collectible Accounts Receivable – Allowances for Doubtful Debts-Methods of Accounting for Un-collectible – Recovery of Receivable Written off Earlier.

6     Accounting for Temporary Investments: Nature of Temporary Investments – Accounting for Changes in Market Value – Marketable Equity and Debt Securities-Disposition of Marketable Securities- Disclosure of Marketable Securities in Financial Statements.

7.    Accounting for Fixed Assets: Acquisition, Utilization & Retirement: Categories of Fixed Assets – Determining Cost of Fixed Assets – Disposal of Fixed Assets – Gains and Losses from Disposal – Depreciation and Its Methods – Causes and Objects of Depreciation – Depreciation & Valuation – Depreciation & Cash flow – Depletion of Resources – Amortization of Intangibles – IAS - 4: Depreciation Accounting & IAS -16: Accounting for Property, Plant & Equipment.

8.    Statement of Cash Flows: Usefulness and Format- Preparing the Statement of Cash Flows: Direct and Indirect Method- Using Cash Flows to Evaluate a Company.   

 

Basic Text:

       1.  Accounting Principles by Weygandt, Kieso, and Kimmel.

 

References:

       1.  Intermediate Accounting by Jay M. Smith and K. Fred Skousen.

       2.  Financial Accounting- A Business Perspective by R.H. Hermanson and J.D. Edwards

 

 

First Year Second Semester

Course Code: FIN-1201

Course Title: Fundamentals of Finance

Credit points: 03; Marks – 100

 

1.    Introduction: Concepts and Importance – Functions of Finance – Career Opportunities in Finance – Alternative Forms of Business Organization – Goals of Finance – Categories of Finance: Govt. and Business.

2.    Financial Environment: Financial Markets – Financial Institutions – The Cost of Money – Interest Rates Levels – The Determinants of Market Interest Rates and Business Decisions.

3.    Short –Term Financing: Sources of Short – Term Financing – Accruals – Trade Credit (Accounts Payable) Short- Term Bank Loans – Accounts Receivable, Inventory Financing.

4.    Long-term Financing: Common Shares – Balance Sheet Accounts and Definitions – Legal Rights and Privileges of Common Shareholders – Evaluation of Common Shares as a Source of Funds – The Market for Common Shares – Types of Preference Shares – Evaluation of Preferred shares as a Source of Fund – The Investments banking Process, Long-term Debt: Traditional Debt Instruments – Evaluation of Long-term Debt as a Source of Fund – The Equity vs. Debt Finance.

5.    Risk and Rate of Returns: Definition and Measurement of Risk – Expected Rate of Return & Risk –Portfolio Return- Portfolio Risk – The Relationship Between Risk and Rate of Return – Physical Assets vs. Financial Assets

6.    Time Value of Money: Concept-Cash flow time line-Future Value – Present Value – Present value of Annuity-Future Value of Annuity – Uneven Cash Flow Streams – Amortized Loans.

7.    Lease Financing: Meaning- Nature – Functions-Types of Leasing – Purchase vs. Leasing.

 

Basic Text:

       1.  Essentials of Managerial Finance by Scott Besley & Eugene F. Bringham.

 

References:

       1.  Fundamental of Financial Management by S.B. Block & A. G. Hirt

2. Essentials of Financial Management  by  Eugene F. Bringham

 

Code: FIN-1202

Course Title: Principles of Management

Credit points: 03; Marks – 100

 

1.    Introduction: Meaning – Scope – Importance – Principles – Functions – Is Management Science or Art? Is Management a Profession? Management as a Career.

2.    Schools of Management: Early contribution to Management – Various Approaches to Management: Taylor’s Scientific Management – Functional or Process Approach – Fayol’s Principles of Management – Human Relations – Behavioral Science Approach – Quantitative Approach – Systems Approach – Contingency Approach – Other Contemporary Approaches to Management.

3.    Planning: Meaning – Importance – Nature – Types – Steps – Factors Affecting Planning – Planning Techniques – Limits of Planning – Making Planning Effective.

4.    Organizing: Meaning – Nature –Importance – Span of Management – Departmentation – Authority and Responsibility – Types of Organization at Structure – Delegation of Authority – Decentralization of Authority – Problems in Organizing.

5.    Staffing: Meaning – Purpose – Importance – Recruitment – Selection – Training – Promotion – Developing Managers – Using Manager Inventory Chart.

6.    Leading: Meaning – Importance _ Ingredients of Leadership – Styles of Leadership: Autocratic, Democratic and Free - reign- Likerts’ System – Managerial Grid Approach – Theories of Leadership.

7.    Motivating: Meaning – Motivation and Motivator – Importance – The Need – Want-Satisfaction – Chain –Theory of Motivation – Mc-Gregor’s Theory X and Theory Y – Maslow’s Need Hierarchy Theory, Hergberg’s Two Factor Theory – Vroom’s Expectancy Theory – McCelland’s Achievement – Motivation Theory – Various Motivation Techniques.

8.    Controlling: Meaning – Nature – Importance – Controlling Process – Requirements of an Effective Control System – Controlling Techniques.

 

Basic Text:

       1.  Management A Global Perspective by Harold Koontz and Heinz.

 

References:

       1.  Management by S. P. Robbinn.

       2.  Management by Griffin

       3.  Fundamentals of Management by M M Islam and A A Khan

 

Course Code: FIN-1203

Course Title: Principles of Marketing

Credit points: 03; Marks – 100

 

1.    Introduction: Meaning – Core Marketing Concepts – Goals of the Marketing System – Nature and Scope of Marketing – Evolution of Marketing – Growing Importance of Marketing – Marketing Management Philosophies.

2.    Marketing Environment: Meaning of Marketing Environment – Micro Environment and its Elements – Macro Environment and its Elements – Micro & Macro Environmental Influence on Marketing – Responding to the Marketing Environment.

3.    Managing Marketing Information: Developing Marketing Information System – Conducting Marketing Research.

4.    Selecting Target Market: Sequestration, Targeting and Positioning.

5.    Product: Major Classification of Services and Branding Strategies – New product development and product life cycle strategies.

6.    Pricing: Price considerations and approaches, pricing strategies, Product mix and pricing strategies.

7.    Distribution Channel: Nature – managing channels and supply chain management.

8.    Promotion: Major elements, Media selection, integrated marketing communication, Advertising, Sales promotion, public relation: personal selling, and direct marketing.

 

Basic Text:

       1.  Principles of Marketing by Philip Kotler.

References:

       1.  Fundamental of Marketing by William J. Stanton

 

 

 

Course Code: FIN- 1204

Course Title: Legal Environment of Business

Credit points: 03; Marks – 100

 

1.    Principles of Law of Contract: Essential Elements of Contract–Offer and Acceptance– Consideration–Void and Voidable Agreements–Free Consent– Definition & Effect of Coercion– Effect of Undue Influence–Unconsiderable Transactions– Effect of Misrepresentation– Effect of Fraud–Performance of Contracts– Termination or Discharge of Contracts–Bailment & Pledge.

2.    Companies Act, 1994

       a) Formation: Definition of Company–Types of Companies–Private Limited Company and Public Limited Company–Formalities for Formation of Memorandum of Association and Articles of Association – Prospectus.

       b) Management: Management and Administration–Directors–Secretary–Meetings and Resolutions – Accounts and Audit.

       c)  Winding up: Winding up of Companies – Compulsory winding up by the Court- Voluntary Winding up by the Members Themselves and Voluntary winding up by the Creditors – Voluntary Winding up under the supervision of the Court.

3.    Labour and Industrial Laws:

       a) Factories Act, 1965: Health and Hygiene – Safety – Welfare.

       b) Industrial Relations Ordinance, 1969: Trade Union–Collective Bargaining–Joint Consultation – Conciliation – Mediation.

       c) Workmen’s Compensation Act, 1923: Workmen’s Compensation – Employer’s Liability for Compensation – Amount of Compensation – Method of Calculating wages – Distribution of Compensation.

4.    Law relating to Negotiable Instruments: Definitions (B/E. P/N &Cheques) – Acceptance and Negotiations Rights and Liabilities of Parties – Dishonour of Negotiable Instruments.

5.    Sales of Goods Act: Buyer, Seller, Goods Sale and Agreement to Sale- Essential elements- Transfer of ownership- Performance of Contract of Sale.

6.    Law relating Consumer Protection: Rights of Consumers – Responsibilities of Consumers – Elements of the Consumer Rights Protection Act – Aspects of the Consumer Rights Protection Act – Where to file a complaint.

 

Basic Text:

       1.  Commercial Law & Industrial Law by A. K. Sen and I. K. Mitra.

 

References:

       1.  Business Law by M.C. Kucchal.

       2.  Law of Contract.

       3.  Factories Act 1965.

       4.  Industrial Relations Ordinance 1969.

       5.  Workmen’s Compensation Act 1923.

       6.  Companies Act 1994.

 

 

Course Code: FIN-1205

Course Title: Advanced Business Mathematics

Credit points: 03; Marks – 100

 

1.    Equations:Cubic Equations – Biquadratic Equation.

2.    Coordinate Geometry: Directed Line – Quadrants – Coordinates – Coordinates of Mid-point – Distance between two points – Section Formula – Coordinates of Centroid – Area of Triangle – Collinearity – Area of Quadrilateral.

3.    Matrix: Definition – Types of Matrices – Square and Identity Matrix – Matrix Operations – Addition  - Subtraction – Multiplication – Determinants – Scalar Multiplication – Properties of Determinants – Scalar Multiplication – Properties of Determinants – Minor Co-factor Matrix – Co-factor Expansion – Matrix Transpose – Adjoint Matrix – Matrix Inverse using Co-factor and Gaussian Methods – Solutions to the Systems of Simultaneous Linear Equations by Using Cramer’s Rule and Gaussian Inverse Method.

4.    Linear Programming: Definition – General Linear Programming – Basic Feasible Solution – Convex Combination - Optimal Solution – Slack and Surplus Variable – Net Evaluation – Artificial Variable etc. Solution of Linear Programming Problem (LPP) – Graphical Method, Simplex Method, Big- M Simplex Method, Two Phase Method – Duality Theory – Concept of Duality Standard From of Primal and Dual, Dual Formulation, Solution of Dual Problems by Solving the Primal and Vice-Versa – Economic Interpretation of Dual Problems.

5.    Derivative: Limit and Continuity of a Function – Rate of Change – Derivatives – Rules of Differentiation of Algebraic – Exponential and Logarithmic Functions of Single Variable – Applications of the Derivatives – Increasing and Decreasing Functions – Extreme value of a Function – Applications Maxima and Minima Problems – Applications of Derivatives in Business and Economic Problems.

6.    Multivariate Calculus: Functions of Several Variables, Partial Derivatives, Second- Order partial Derivatives, Higher Order Partial Derivatives, Implicit Derivatives – Extreme for Multivariate Functions – Constraint Optimization and Lagrange Multipliers – Production and Inventory Models – Business Application.

7.    Integral Calculus: The Relationship between Integral and Differential – Rules of Integral – Calculus, Rules of Integral Calculus – Fundamental Theorem of Integral Calculus – Geometric Interpretation of Integration – Definite Integral – Application of Integral Calculus – Determination of Consumer’s and Producer’s Surplus – The Definite Integral as a Measure of Total Change.

 

Basic Texts:

       1.  Business Mathematics by D. C Sancheti and V. K. Kapoor.

       2.  Fundamental Methods of Mathematical & Economics by Chiang Alpha.

 

References:

       1.  Applied Mathematics: for Business, Economics and Social Sciences by Ann J. Hughes.

       2.  Mathematics with Application for Business & Economics by E. K Bowen.

 

 

Second Year first Semester

Course Code: FIN-2101

Course Title: Financial Management

Credit points: 03; Marks – 100

 

1.    Financial Statements Analysis: Financial Statement and Reports – Ratio Analysis – Comparative Ratios – Use and Limitations of ratio Analysis – Statement of Cash Flows.

2.    Cost of Capital: Definition – Cost of Debt – Cost of Preference Capital – Cost of Retained Earnings – Cost of Newly Issued Common Shares – Composite Cost of Capital – Marginal Cost of Capital (MCC) – Combining MCC and Investment Opportunity Schedule – Capital Rationing.

3.    Capital Structure and Leverage: Business and Financial Risks – Capital Structure Theory: MM Propositions and Policy – Firm Value and Capital Structure – Determining the Optimal Capital Structure – Degree of Leverage – DFL-DOL-DTL.

4.    Dividend Policy: Dividend Policy Theories – Factors Influencing Dividend Policy – Declaration of Dividend – Stock Dividend and Stock Split – Dividend and Firm Value – Dividend Irrelevance Argument – Dividend Signaling – Agency Explanation of Dividend – Clientele Effect.

5.    Capital Budgeting: Importance of Capital Budgeting – Generating Ideas of Capital Projects – Project Classifications – Capital Budgeting Evaluation Techniques – Comparison of the NPV and IRR Methods – Cash Flow Estimation – Identifying the Relevant Cash Flows – Capital Budgeting Projects Evaluation.    

6.    Capital Budgeting under Risk & uncertainty: Company vs. Project risk, Determination of a project risk, sensitivity analysis, Monte Carlo simulation, Certainty equivalent, Decision trees.

 

Basic Text:

       1.  Fundamental of Financial Management by E.F. Bringham

 

References:

       1.  Introduction to Financial Management by Charles P. Jones

       2.  Foundations of Financial Management by Block &Hirt.

 

 

 

Course Code: FIN- 2102

Course Title: Financial Accounting & Reporting

Credit points: 03; Marks – 100

1.    Partnership Accounts:

       a)  Introduction: Allocation of Earnings among Partners and Preparation of Financial Statements.

       b)  Admission of a Partner: Sale of a Partnership Interest – Treatment of Goodwill – Revaluation of Assets – Preparation of Balance Sheet after Admission.

       c)  Retirement and Death of a Partner: Determining and Payment of Amount Due to a Retiring Partner – Treatment of Goodwill – Admission – Cum- Retirement – Accounting Treatment for Death of a Partner.

2.    Business Combination: Definition – Reasons of Combination – Types of Combination – Methods of Combination – Establishing the Price for a Business Combination – Method of Accounting for Business Combinations: Purchase Method and Pooling of Interest Method.

3.    Company Account:

       a)  Share Issue: Procedure of Issue and Accounting Treatments – Forfeiture and Reissue of Forfeited Shares – Issue and Redemption of Preference Shares and Debentures – Issue of Bonus and Right Shares – Disclosure Requirements as per Companies Act, 1994 and Securities & Exchange Rule 1987.

       b)  Preparation of Financial Statements: Income Statement – Retained Earnings – Balance Sheet and Disclosures in Accordance with Companies Act, 1994. Securities & Exchange rule 1987 and IAS - 1: Presentation of Financial Statements.

3.    Branch Accounts: Benefits of Branches of Accounts  – Pricing of Goods Sent of Branches by Head Office – Head Office Keeps Branch Books within its own Accounting System – Stock & Debtor System – Whole –sale Branch System – Branch keeping Separate Records – Incorporation of Branch – Trial Balance into Head Office Books and preparation of Financial Statements .

4.    Departmental Accounts: Definition – Advantages – Accounting Procedure for Departments or Divisions.

5.    Financial Statement Analysis: Basics of Financial Statement Analysis – Horizontal Analysis – Vertical analysis – Ratio analysis.

 

Basic Texts:

       1. Accounting Principles by R.H. Hermanson, J.D. Edwards and M.W. Maher.

       2.  Accounting Principles by Mosich& Larsen.

References:

       1.  Principles and Practices Accountancy by Basu and Das.

       2.  Financial Accounting Text of ACCA.

 

 

 

Course Code: FIN-2103

Course Title: Law & Practices of Banking

Credit points: 04; Marks – 100

 

Commercial Banking:

1.    Definition & Functions: Commercial Bank and Economic Development – Commercial Bank Regulations; Recent Amendments Banking Companies Act in Bangladesh.

2.    Bank Accounts: Types of accounts- Accounts opening- Procedures- Closing.

3.    Banker–Customer Relationship: Meaning of a Banker and a Customer – General Relationship between Banker and Customer – Rights and Duties of a Banker – Obligation for Maintaining Secrecy of Customer’s Account.

 

4.    Payment and Collection of Financial Assets:Cheque, Promissory Notes, Bills of Exchange, Other Negotiable Instruments – Collection Procedure – Risks in Collection.

5.    Advances to Customers: Forms of Bank Credit, Secured and Unsecured Advances – Discounts and Advances – Overdrafts – Cash Credit – Term Lending – Steps Involved in the Appraisal of Credit Risk.

 

Central Banking:

1.    Introduction: Concept of Central Bank, Features and objectives of Central Bank..

2.    Nature and Functions: of Central Bank in developed and Undeveloped Money Market –Functions-Role of Central bank in socio-economic development.

3.    Bangladesh Bank: Functions, Organization & Management, Fund Management.

 

Laws relating to Banks:

1.    Negotiable Instruments ACT-1881: Definition of negotiable instruments-Kinds of Negotiable instruments- Features of negotiable instruments- Parties to NI.

2.    Bank Company Act-1991: Business of Bank Company- Acquisition of Bank Company-Suspension of Business & Winding up of Bank Company.

3.    Financial Institutions Act-1993: Preliminary definitions- Licensing of FIs-Reserve fund, Dividend, Balance sheet- Rules of Business-Submission of Financial statements & Audit- Suspension of FIs.

 

Basic Texts:

       1.  Banking Theory & Practice by Shekhar K.C.

       2.  Banking Law & Practice by Varshney P.N.

Reference:

       1.  Banks and Legal Environment by Dr. R.M. Debnath.

 

 

Course Code: FIN- 2104

Course Title: Business Statistics

Credit points: 03; Marks – 100

 

1.    Introduction: Meaning and Concepts; Nature – Scope – Nature of Statistical Data – Collection of Data – Designing a Questionnaire – Classification – Tabulation – Frequency Distribution – Graphical Presentation of Data.

2.    Measures of Central Tendency: Introduction – Arithmetic Mean – Geometric Mean – Harmonic Mean – Weighted Arithmetic Mean – Mode –Median – Quartiles – Deciles –Percentiles – Properties of a Good Average – Empirical Relation Among the Averages.

3.    Measures of Dispersion: Significance of Measuring Dispersion – Properties of a Good Dispersion – Range-Inter-Quartile Range and quartile Deviation – Mean Deviation – Standard Deviation – Co-efficient of Variations and Their Application.

4.    Moments, Skewness and Kurtosis: Moments from Arbitrary Value – Moments from Mean –Relation between Moments – Measures of Skewness and its Uses – Measures of Kurtosis and Its Application.

5.    Correlation Analysis: Significance of the Study of Correlation and Causation – Types of Correlation – Scatter Diagram Method – Karl Pearson’s Coefficient of Correlation – Rank Correlation Coefficient.

6.    Regression Analysis: Difference between Correlation and Regression Analysis – Simple Regression Lines – Least Square Method – Regression Equation – Regression Co-efficient.

7.    Index Number: Methods of Constructing Index Numbers – Unweighted Index Numbers –Price Index – Quantity Index – Value Index – Cost of Living Index Numbers – Chain Index Numbers – Base Shifting-Splicing and Deflating the Index – Test of Index Numbers – Limitation and Uses.

      

Basic Texts:

       1.  Modern Business Statistics by Levin & Rubin

       2.  Statistical Techniques in Business and Economics by Mason and Lind.

 

References:

       1.  Statistics- Schaum’s Outline Series by Spiegel M.R.

       2.  Business Statistics by S. P Gupta and M. P. Gupta.

 

 

Course Code: FIN- 2105

Course Title: Microeconomics

Credit points: 03; Marks – 100

1.    Introduction: Meaning of Economics – Positive vs. Normative Economics – Tools of Economic Analysis – The nature of Economic Theories – Scope and Subject matter of Economics – Economic Analysis and Economic Policy Economic Problem.

2.    Theory of Demand and Supply: The Demand Function – Determinants of Demand for A Commodity Market – Demand Curve – Shifts vs. Movement in the Demand Curved – Supply Function – Determinants of Supply – Shifts vs. Movement in the Supply Curve – Competitive Market Equilibrium – Demand and Supply – Its Implication.

3.    Elasticity of Demand and Supply: Price Elasticity of Demand, Point Elasticity of Demand, Arc Elasticity of Demand, Income Elasticity of Demand, Cross Elasticity of Demand. Total Revenue – Marginal Revenue – Relationship between, Marginal Revenue, Price and Elasticity of Demand. Elasticity of Supply – Concepts Application in Business.

4.    Theory of Consumer Behavior: Utility Analysis – Cardinal vs. Ordinal Utility – Cardinalist Approach – Marginal Utility and Law of Diminishing marginal utility – Equilibrium – Ordinalist Approach – Indifference Curve Analysis – Budget Line and its Properties – Consumer Equilibrium – Effects of Price and Income Change on Consumer Equilibrium – Derivation of Demand and Engel Curve – Definition of Engel Curve  - Elasticity Measurement along the Engel Curve – Its application – Classifying Normal Goods, Inferior Goods and Superior Goods – Income Effect and Substitution Effect – Normal Goods, Inferior Goods, Inferior Goods and Giffen Goods Paradox.

5.    Theory of Production: Short – run Production Function – Total Product Curve – Law of Variable Proportions – Average Product and Marginal Product Relationship – Long-run-Production Function – Isoquants and its Properties – Returns to Scale – Cost Function – Iso cost and its properties. Producer Equilibrium through Isoquant and Iso cost Curve – Output Maximization vs. cost Minimization – Economic Efficiency – Efficiency in Production – Derivation of Production possibility Frontier – Cobb-Douglas Production Function and its properties – Elasticity of Substitution.

6.    Theory of Cost: Short-run-cost – Fixed cost, variable cost, Total cost, Marginal cost – Law of Variable Proportions. Long-run-cost – Derivation of Long-run-cost from short-run-cost.

7.    Market: Concept of Market and different types of Market, Structure – Competitive and competitive market – Perfect Competition vs. Imperfect Competition.

8.    Pricing under Perfect Competition: Short-run and Long run Equilibrium of Firms and Industry under Perfect Competition – Derivation of Firms Supply Curve – Economies and Diseconomies of Scale. Pricing under Monopoly: Short-run and Long-run Equilibrium under Monopoly – Monopoly and Price Discrimination. Comparison between Perfect Competition and Monopoly with Respect to Price, Output and Profit. Equilibrium in Monopolistic Competition and Concepts of Oligopoly.      

      

Basic Text:

       1. Economics by P.A Samuelson.

 

References:

       1. Macroeconomics Theory by R. A. Bilas

       2. Principles of Economics by H.L. Ahuja

3.  Modern Economic Theory by K.K.Dewett.

Second year Second Semester

Course Code: FIN- 2201

Course Title: Organizational Behavior

Credit points: 03; Marks – 100

1.    Introduction: Meaning of Organization Behavior (OB) – Nature of Organization and People – Key Elements of OB – Causation of Behavior – Evolution of OB – Importance of OB – Interpretation of Human Behavior in Organizations – Models of OB.

2.    Theories or Approaches of OB: Cognitive Theory, Reinforcement Theory – Psycho-Analytical Theory.

3.    Conflict and Frustration: Meaning of Conflict – Individual Conflict – Organizational Conflicts at the Individual and Group Level – Organization Reaction  to Conflict – Causes of Group Conflict – Resolution of Group Conflict – Nature of Frustration – Forms of Frustration – Causes of Frustration – Techniques  for Resolution of Frustration – Motivated Behaviors vs. Frustrated Behavior – Stress and its Management.

4.    Leadership Behavior: Characteristics of Leaders – Determinants of Leadership Behavior – Leadership Styles and Behavior in Organizations – Theories of Leadership – Continuum in Leadership Behavior.

5.    Organization Design: Nature of Organization Design (OD)– The Process of Organization Design– Dimensions of OD, Forms of OD – Concepts and Principles of Classical Organization Design – Concepts and Limitations of Hierarchical Organization – Remedies of Hierarchical Organizations.

6.    Organizational Growth, Change and Development: Nature of Organizational Growth – Stages of Organizational Growth – Definition of Change – Sources of Pressures fro Change – Model for Organizational Change – Organizational Change Techniques – Force Field Analysis – Behavior Modification Model – Resistance to Change – Overcoming Resistance to Change – Meaning of Organizational Development (OD) Characteristics of OD – The Process of OD – Categories of OD Interventions.

7.    Motivated Culture: Definition – Characteristics – Importance – Factors – Theories of Motivation.

8.    Organizational Culture: Definition – Culture Typologies – Characteristics of Culture – Functions of Culture – Factors of Organizational Culture – How Employees Learn Culture? Problems of Cultural Differences – How to Change an Organization’s Culture?

9.    Perspective of Human Resource Management (HRM): Nature, Functions Principles of Human Resource Management –Personnel Policies & Practices-Strategic HRM.

10.  Organization for Personnel Management: System of Management-organization of personnel functions –Authority, responsibility and status of personnel executives.

11.  Human Resource Planning: Importance of selection –Determining manpower needs-Determining Job Specifications -Developing manpower supply sources.

12.  Recruiting: Manpower Recruitment and Selection Recruiting personnel, the selection procedure. Interviewing & Testing, Placement and orientation –Promotion-Transfer & Seniority.

13.  Employee Compensation: Remuneration policies, Benefits of sound compensation program-Wage classification-Remuneration plans & Incentive Plans.

14.  Human Resource Development Program: Significance of Development, Determining development needs, Responsibility for development programs for developing managerial and non-managerial personnel Manpower development methods.

Basic Texts:

       1.  Organizational Behavior by S.P. Robbins.

       2.  Michael J. Jucius-Personnel Management.

       3.  Heneman, et.al. –Human Resource Management

References:

       1.  Human Behavior at Work: Organizational Behavior by Keith Davis and John Newstrom.

       2.  Organizational Behavior by Fred Luthans.

       3.  H.T. Graham-Human Resource Management

       4.  E.H. Burack and R.D. Smith-Personnel Management AHR system Approach.

       5.  Edrin B. Flippo-Personnel Management

       6.  M.J. Jucious-personeel Management

       7.  Agarwal, R.D.-Dynamics of Personnel Management in India, TalzMegraw Hill.

       8.  Hoq S.A. personeel Management, Dhaka, 1981.

 

 

Course Code: FIN- 2202

Course Title: Cost & Managerial Accounting

Credit points: 03; Marks – 100

Cost Accounting:

1.    Introduction: Concepts, purposes, Functions, Role Distinction between Cost Accounting & Financial Accounting Uses & Installation of Costing System,

2.    Cost Behavior: Direct Cost, Indirect Cost Drives & Cost management, Total Cost, unit Cost, variable Cost Fixed Cost Behavior Pattern, Cost Allocation.

3.    Cost Volume Profit Relationships: Concepts, Relationship between Cost, Volume & Profit, Cost-Volume-Profit assumptions, Cost Planning & CVP Break even analysis through equation & Chart, Profit Volume Chart, Sales Mix, Application in Business concerns.

4.    Job order & Contract Costing: Concepts, Job & Contract costing, Allocation of Indirect Cost to Job & Contract Costing System in Manufacturing Concerns.

5.    Process Costing: Concepts, Normal Process, Inter Process Inter Process cost accumulation procedures, Cost of production report, LIFO, FIFO, Average Costing Process Costing system in Manufacturing concerns.

6.    Direct & Absorption costing: Concepts and Distinction, Importance, Performance measures.

7.    Standard Costing: Concepts of standard costing, Types of standard Costing, Variance Analysis: material, labor, factory Overhead, variance report.

8.    Relevant Costing: concepts information and Decision process, opportunity cost and relevance, application in business units.

9.    Budgetary Control: Master Budgets & Responsibility Accounting, Flexible Budgets.

 

 

Managerial Accounting:

1.    Introduction: Concept of  Managerial Accounting & its significance- Relation between Managerial Accounting and Cost Accounting, Role of Managerial Accounting, Business Environment and Professional Ethics.

2.    Cost-Volume-Profit Analysis (CVPA): Basis of CVP & CVPA, Contribution margin (CM), CM Ratio, Application of CVP concepts, Break Even Points, Its computation and graphic presentation, Target profit  analysis, margin of safety,  Sales mix & BEP, Problems and solutions.

3.    Variable Costing- A tool for Management: Absorption costing, Variable costing, Unit cost computation, Income Comparison, Problems and Solutions.

4.    Budgeting- Master Budget: Concepts, Types of MB, Advantages of MB, Sales budget, Production budget & purchase budget, Problems and solutions.

5.    Flexible Budgets: Concepts, Distinction between FB & MB, Advantage of FB, Preparation of FB, Budget Variance, Problems & Solutions.

 

Basic Texts:

       1.  Cost Accounting Planning and Control by Matz and Usry

       2.  Managerial Accounting by Garrison & Noreen. 13th edition

References:

       1.  Principles and practices of Cost Accounting by N.K.Prashad.

            2.         Cost Accounting –A Managerial Emphasis by Charles T. Hongren.

 

Course Code: FIN-2203

Course Title: Insurance & Risk Management

Credit points: 03; Marks – 100

 

1.    Principles of Insurance: Principles of Utmost good faith- Insurable interest- Indemnity- Subrogation- Consideration- Proximate cause.

2.    Fire Insurance: Meaning – Principles, Elements of Contract – Classification of Fire Insurance Policies – Policy conditions – Determination of Premium – Fire Claims and Settlement – Reinsurance – Tariff and Borrowing – Factors Affecting Premium Calculation.

3.    Marine Insurance: Meaning – Subject Matter – Importance – Marine Insurance Contract – Types of Marine Policies – Policy conditions – Marine Insurance Clauses – Marine Losses – Claims and their settlement – Salvage and Borrowing – Factors Affecting Premium Calculation.

4.    Introduction to Accident Insurance: Health Insurance, Crop Insurance and Export credit Guarantee Insurance.

5.    Life Insurance: Meaning – Importance – Kinds of Life Policies – Procedure of Effecting Life Insurance Terms and conditions in the Assignment of Life policies –Claims and Settlement procedure – Annuities – Surrenders and Claims – Premiums and their Calculation – Profit and Distribution of Bonus.

6.    Insurance in Bangladesh: Organization and Functions of JibanBima Corporation and SadharanBima Corporation – Role of private insurance Companies – Problems and Prospects of Insurance Business in Bangladesh.    

7.    Introduction to Risk: Definition of risk, chance, probability, uncertainty- Types of risk- elimination of risk

8.    Risk management Process: Risk Identification and Evaluating, property and liability Loss Exposures, Life, Health and Loss of Income Exposures, Risk Management techniques non-insurance Methods, Insurance as a Risk Management Technique-Principles, Selecting & Implementing Risk Management Techniques.

9.    The Risk Management Environment: Risk Management and the Insurance Industry, The field of Insurance, Types of Insurance, Globalization of Risk Management and the Insurance industry functions and organization of Insurers- Functions of Insurers, Reinsurance.

 

Basic Text:

       1.  Insurance Principles & Practice by CII tuition Services.

       2.  Risk Management and Insurance- Rejda

References:

       1. Elements of Insurance by AzizulHuq Chaudhuri.

 

Course Code: FIN-2204

Course Title: Applied Business Statistics

Credit points: 03; Marks – 100

 

1.    Business Forecasting: Steps in Forecasting – Methods of Forecasting – Time Series Analysis – Components of Time Series – Measures of Trend – Graphic Method – Method of Semi Averages and Moving Average – Least Squares – Measurement of Seasonal Variations – Method of Simple Averages – Ratio to Trend Method – Ratio to Moving Average Method – Link Relative Method – Seasonal Index – Measurement of Cyclical Variations – Interpolation and Extrapolation: Newton’s Forward and Backward Formula for Interpolation and Extrapolation Method – Its Limitations and Uses.

2.    Probability: Meaning of Probability, Elements of Set Theory – Sample Space – Events –      Theorems of Total and Compound Probability – Conditional Probability and Statistical Independence, Expected value of Random Variable.

3.    Probability Distribution: Probability Function-Binomial Distribution – Poisson distribution – Normal Distribution Area under the Normal Curve.

4.    Sampling Distribution: Student’s Distribution – Chi-square Distribution – Fisher’s Z-Distribution – F-Distribution – Their Properties and Uses.

5.    Test of Hypothesis: Procedure of Testing Hypothesis – Null Hypothesis – Alternative Hypothesis – Type I and Type II Errors- Level of Significance – Degree of Freedom – One-Tailed and Two-Tailed Tests – Power of Test – Tests About Mean – Tests about the Difference between Two Means – Tests about the Difference between Two Means with Dependent Samples – Tests about the Correlation Co-efficient – Tests of Equality of Two Variances – Testing for Equality of Several  Means – Test of Independence – Test of Goodness of Fit.

6.    Analysis of Variance: Assumption in Analysis of Variance – Computation of Analysis of Variance – One way and two ways Classification.

7.    Statistical Quality Control: Types of Control Charts- X – Charts R – Chart-C Chart –P- Chart Benefits and Limitations of Statistical Quality Control.

8.    Multicollinearity, Autocorrelation, Heteroskedasticity, Homoskedasticity, Dummy Variable.

 

Basic Text:

       1.  Modern Business Statistics by Levin & Rubin

References:

       1.  Business Statistics by S.P. Gupta and M.P. Gupta.

       2.  AltalibHisham-Training Guide for Islamic Workers.

 

 

Course Code: FIN- 2205

Course Title: Macroeconomics

Credit points: 03; Marks – 100

 

1.    Introduction: Micro economies vs. Macro economics – Partial vs. General Equilibrium Analysis Static, Comparative Static and Dynamic Analysis – Scope and Subject Matter of Macro Economics.

2.    The Model of the Circular Flow of Income: Goods and Money Flows between Households and Firms – Saving – Investment – Foreign Trade – Government Activity.

3.    National Income Accounting: Measurement and Methods – Concepts of National Income – GDP, GNP, NNP, NI, PI, DI, PPR – Problems of GDP Measurement – National Income Accounting System in Bangladesh.

4.    Theories of Income and Employment: Classical Theory of Income and Employment – Keynesian Theory of Income and Employment – Effective Demand – Aggregate Demand and Aggregate Supply – Saving and Investment, Multiplier.

5.    Goods and Money Market: Goods Market Equilibrium – The Derivation of t he IS curve – Money Market Equilibrium – The Derivation of The LM curve – Simultaneous Equilibrium the Goods and Money Market – Monetary and Fiscal Policies for Stabilization Purposes.

6.    Consumption and Consumer Expenditure: Consumption Function – Short-run and Long –run – Overview of the Theories of Consumption – Absolute Income – Life Cycle – Relative Income – Permanent Income Hypothesis.

7.    Inflation: Causes and Effects – Theories of Inflation – Anti-In-factionary Measures.

8.    Unemployment: Meaning and Measurement – Cost and Causes – Alternative Policy Measures – Unemployment in Bangladesh.

 

Basic Text:

       1.  Macroeconomics by Dornbusch R. & Fischer S.

References:

       2.  Economics by Samuelson &Norhouse.

 

Third year First Semester

 

Course Code: FIN- 3101

Course Title: Monetary Economics

Credit points: 03; Marks – 100

 

1.    Money-An Introduction: Definition and kinds of Money- evolution of Money- Role of money in the modern economy- The globalization of money, banking and financial markets.

2.    Nature and Functions of Money: Functions-Primary-Secondary-Contingent functions, Basic purpose of money-Forms and measuring the amount of money in circulation.

3.    Multiple Deposit Creation and Money Supply Process: Four Players in the Money Supply process, Control of the Monetary Base, Multiple Deposit Creation: A Simple Model

4.    The Demand for Money: The motives for Holding Money, The Transactions demand for Money, The portfolio demand for Money

5.    Determinants of Money Supply: The Money Supply Model and the Money Multiplier, Factors that determine the Money multiplier, Additional Factors that determine the Money multiplier

6.    Classical Monetary Theory: The classical theory of production and employment, Money and aggregate demandInterest rate determination, Classical monetary theory in an open economy.

7.    Monetary Policy: Nature & Objectives of monetary policy- Neutrality of money- Price stability-Exchange rate stability- Choice of an objective- Role of monetary policies in developing economies- Limitations of monetary policy.

8.    Instruments of credit control: Functions of credit control-Methods of general credit control: Bank rate, Open market operation, Variable reserve ratio-Methods of selective credit control: Moral suasion, Publicity, Rationing-Significance & Limitations of selective control.

9.    Rules versus Discretion in monetary Policy: Time lag in monetary policy, Discretionary Monetary policy and inflationMaking, Monetary policy Rules Credible

 

Basic Text:

       1.  Monetary Economics by T.T.Sethi.

       2.  The Economics of Money, Banking and Financial Markets by Frederic S. Mishkin.

 

References:

       1.  Money, Banking and Financial Markets by Roger LeRoy Miller and David D. VanHoose.

 

 

 

Course Code: FIN - 3102

Course Title: Business Taxation

Credit points: 03; Marks – 100

 

1.    Introduction: Taxation Principles – Kinds of Taxes in Bangladesh.

2.    Income Tax: Scope and Meaning of Income – Classification of Income – Allowable and Non-allowable Deductions – Heads of Income.

3.    Assesses: Types and Status – Procedure of Assessment.

4.    Income Computation Under different head of Income.

5.    Income Tax Authorities in Bangladesh: Administrative & Judicial Authority – Appeal – Revision – Penalties.

6.    Tax Return: Preparation of Accounts and Tax Return – Assessment of Individual.

7.    Tax Evasion & Avoidance: Methods – Techniques – Preventive Measures.

8.    Vale-Added Tax

9.    Gift Tax.

10.  Corporate Tax.

 

Basic Text:

       1. Bangladesh Income Tax: Theory & Practice by Nikhil Chandra Shil, Mohammad ZakariaMasud, Mohammad FaridulAlam.

References:

       1.  Income Tax by M.A. Bari

            2.  Income Tax Ordinance 1984.

 

 

Course Code: FIN-3103

Course Title: Financial Markets & Institutions

Credit points: 03; Marks – 100

 

1.    Introduction to Financial Market: meaning & Concepts, Forms of Markets: Organized Exchange, Over the Counter Market, Third Market, Fourth Market, Functions Performed by Financial market, Effect of Efficient Financial Market on the Economy, Financial System of Bangladesh, Overview of Market, Participants land Financial Instruments.

2.    Money Market: Overview of Money Market, Instruments: Treasury Bill, Commercial paper, bankers acceptance, money Market mutual funds, Repurchase Agreement, Call Money Fund and Other Money Market Instruments.

3.    Bond Market: Overview of Bond Market, Instruments of bond Market: Treasury debt, agency debt, Municipal Bonds, Corporate bonds, Determining Bond Value.

4.    Term Structure of Interest Rate: Fundamentals of Interest rate Determination, Nominal Vs. real Interest rate, Spot and forward Interest rate & Yield to Maturity, terms structure of Interest Rates, theories of terms structure of Interest rates: The Pure expectations Theory, Liquidity Preference Theory, Preferred Habitat Theory.

5.    Mortgage and Other Asset-Backed Debt Markets: Overview, Mortgage Characteristics, Flexible rate Mortgage, Adjustable rate Mortgage, Other Mortgage Structure, Secondary Market for Mortgage, Pooling and Prepayment Terminology, Other Asset Backed Security Markets.

6.    Equity Market: Overview of equity Market, rating and efficiency of the Equity Market, Types of Equity Ownership: Common Stock, Preferred Stock.

7.    Primary Market Structure: Overview, Private Placement, Public Issues, Underwriting Process and Regulation.

8.    Secondary Market Structure: Concepts, Types: Direct search markets, Brokered Markets, Dealer markets, auction markets. The Mechanics of Trading, Organized markets and exchanges: Dhaka Stock Exchange, Chittagong Stock Exchange, Central Depository System, Regulatory Institutions, Security Exchange Commission, laws relating to Money and Capital Markets of Bangladesh.

9.    Financial Institutions involved in the Financial Markets: Specialized Banks, Islamic Banks, Commercial Banks, Investment Corporation of Bangladesh, House Building Finance Corporation, Non-Depository Institutions, World Banks, IFC, IDA MIGA, ADB & IDB etc.

 

Basic Text:

       1.  Financial Markets, Instruments & Institutions, 2nd Edition, By Anthony Santomero& David Babble, Publisher, McGraw-Hill.

       2.  Foundations of Financial Markets and Institutions by Fabozzi, Modigliani &Ferri

            3.         Financial Market and Institutions by Jeff Madura.

 

 

Course Code: FIN-3104

Course Title: MIS & E-Business

Credit points: 03; Marks – 100

 

1.    Introduction: The concept of Information Technology (IT), Evolution of IT, Expanding role of IT.

2.    Computer Software: Introduction, Types, Application of Software, Computer Programs – Common tools of analysis – Flow Chart – Decision Table – Languages for computer – Program Coding – Program debugging and testing – Program documentation and maintenance. Operating systems.

3.    Information System in an organization: Definition of IS-Types of IS in an organization-Functional perspective of IS,

4.    Telecommunications and Networks: Introduction–Needs–Components of computer networking and its design–Types– PC Networking–LAN–WAN–VAN-MAN, E-Business.

5.    Strategic Information System: Overview of Systems, Business level strategy and the chain model, firm-level strategy and IT, Industry – Level strategy and IS: competitive forces and network economics, using system for competitive advantage: Management issues.

6.    Data base management system: Definition of Data and database- Hierarchy of DBMS in an organization- DBMS- Types of DBMS- Data mining- Data Warehouse- Problems with traditional database.

 

E-Business:

1.    E-commerce: Concepts, types, advantages and drawbacks, Commerce Net, E-commerce and WWW. level of use by companies, growth and use pattern. Developing an E-commerce strategy, inter-organizational E-commerce, E-commerce and Entrepreneurship development, Future trends in E-commerce. 

2.    Electronic Payment System (EPS): Concept, types, digital token based EPS: E-Cash and its properties, business issues, risks and legal issues of E-cash, E-checks, Smart Cards, refit cards, Risk and EPS, Designing EPS, Designing EPS and Financial Institutions in information age.

3.    Electronic Data Interchange (EDI): Concepts, Components, applications in business, Legal, Security and privacy issues of EDI, EDI Interchange Agreement and Electronic Fund transfer (EFT), Digital documents.

4.    Financial Issues of E-Commerce: E-Commerce readiness of a country, Effect of Tax and price difference in differ4ent countries, financial costs (hidden and unbidden) involved in E-Commerce, Different methods of payments and their arrangements with financial institution.

5.    Security, Privacy and Ethics of E-commerce: Uniqueness, data and message security, sources of security flaws, Technologies for security: Firewalls, encryption, digital signatures, digital certificates and authorities, Managerial steps for security, responding to security incidents, privacy issues, and ethics related to E-Commerce. 

6.    E-Banking: Concept, Use of Computers in Banks, E-Banking Vs Internet Banking, Emergence of E-Banking, Structure, ATM. PC home banking, Internet Banking, Types of internet banking, Challenges of E-Banking. Automated Clearing House (ACH), Inter Brach Reconciliation, Foreign Exchange Dealing. Investment Management Systems, Cash Management Systems, Statistical analysis, new forms of financial services.

7.    Different Issues in E-Banking: Financial issues related to E-Banking, Problems and prospects of adoption of E-Banking, Role of government and International coordination.

8.    E-Business in Bangladesh: Present status of E-Commerce and E-Banking, Problems and prospectors, E-Business strategy for Bangladesh, organizations related to E-Commerce, It policy and National Telecommunication Policy of Bangladesh.Impact of E-Banking in Banking sector, Electronic document and fund transfer in Bangladesh: SWIFT and other technologies. Future trends in E-Banking in Bangladesh.

 

Basic Texts:

       1.  Management Information System by K.C. Loudon & J. P. Loudon.

       2.  E-Banking & E-commerce by Professor Shibli Rubayet-Ul-Islam

       3.  Lipis, Marshall, Linkers Electronic Banking by John Wiley and Sons.

References:

       1.  Management Information System by James O. Brien.

       2.  E-commerce by Turban, Lee, King, Chung.

       3.  Frontiers of Electronic Commerce by Ravi Kalakota & Andrew B. Winston.

Course Code: FIN-3105

Course Title: Corporate Finance

Credit points: 03; Marks – 100

 

1.    Introduction: Concepts, Goal of a Corporation, Role of a Financial Manager, Ethics and   Management objectives, Two period model of Consumption & Investment; Evolution of Corporate Finance.

2.    An Overview of Corporate Financing: Common, stock, Preferred Stock, Bond, Convertibles and Warrant, Issuance of Corporate Securities, Venture Capital.

3.    Risk & Return Analysis: Concepts of risk, return and the opportunity cost of capital, Measuring portfolio risk, effect of portfolio risk, Diversification and value additively, Measuring market risk, CAPM and its validity, Consumption beta vs. Market beta, APT.

4.    Financing Decisions and Market Efficiency: Corporate financing and the six lessons of market efficiency, Concept of Efficient Market, Forms of Efficient Market.

5.    Capital Structure Theories: Traditional theory, MM theory, Packing order theory, Agency theory, Gordon model, clientle effect, Signaling effect, Financial distress and optimal capital structure.

6.    Dividend Policy: Types of dividend; Dividend theories; Implication of dividend on share prices.

7.    Forward and Future options: Concept- Mechanisms of forward and future options.

8.    Merger and Acquisitions: Merger, Acquisitions, Joint Venture, Merger and Acquisition strategies, Takeover Process, Defensive Tactics, Valuation, Divestments and De-mergers, Accounting Procedures of Merger.

9.    Corporate Restructuring: Leveraged Restructuring, Fusion and Fission in Corporate Finance, Private Equity, Bankruptcy.

 

Basic Texts:

       1.  Principles of Corporate Finance –Richard A. Brealey and Stewart C. Myers.

References:

       1.  Financial Theories and Corporate Policy – Copeland and Weston.

       2.  Mergers and Acquisitions – Brian Coyle.

       3.  Fundamentals of Corporate Finance –Stephen Ross, R.W. Westerfield& B.D. Jordan.

 

 

Third year SECOND Semester

Course Code: FIN-3201

Course Title: Auditing

Credit points: 03; Marks – 100

 

1.    Demand for Audit & Assurance Services: Economic demand for auditing- Nature of auditing- Auditing vs. Accounting-Types of Audits-Types of Auditors.

2.    The CPA profession: CPA firms- Activities- Structure-AICPA-GAAS-Statements of auditing standards.

3.    Audit Reports: Standard unqualified Audit report- Unqualified Audit Report with explanatory paragraph or Modified wording – Departures from an Unqualified Audit Report – Materiality – Auditor’s Decision process or Audit Reports.

4.    Professional Ethics: What are Ethics? - Special Need for Ethics Conduct in Profession – Code of profession Conduct – Independence – other Rules of Conduct.

5.    Audit responsibilities and Objectives:Objective of conduction an Audit o Financial Statements – Management’s – Auditor’s Responsibilities – Auditor’s Responsibilities – Setting Audit Objectives- transaction – relater Audit Objective – Balance related Audit objectives.

6.    Audit Evidence: Nature of Evidence – Audit Evidence Decisions – persuasiveness of Evidence - Types of Audit Evidence – Analytical procedures – Five types of analytical procedures.

7.    Audit planning and Documentation: Planning – Preplan the Audit – Obtain information about client’s legal obligations – perform preliminary Analytical procedures.

8.    Materiality and Risk: Materiality – set Preliminary Judgment about materiality – Allocate preliminary judgment about materiality to segments (tolerable misstatement) – estimate misstatement and compare with preliminary judgment – Risk – Types of risk – Factors Affecting acceptable Audit Risk - Factors Affecting Inhere Risk- other Materiality and Risk Considerations.  

9.    Internal control and control risk: Client and auditor concerns- Components of internal control- Procedures of obtain an understanding of internal control – Assess Control risk- Tests of control..

10.  Impact of IT on the Audit process: How information technologies enhance internal control- Assessing Risk of information technology- Internal controls Specific to information Technology- Impact of information Technology on the Audit process.

 

Basic Texts:

       1.  Auditing by Arens&Loebbecke, Prentice Hall International Inc.

       2.  International Auditing Guidelines.

References:

       1.  Auditing: Culey and Bauer.

2. Auditing Principles: Stellier.

Course Code: FIN- 3202

Course Title: Commercial Bank Management

Credit points: 03; Marks – 100

 

1.    An Overview Of Banks And Their Services: Introduction, Bank, Services Of Banks, Trends Affecting All Banks, Are Banking Dying?

2.    The Impact Of Government Policy And Regulation On Banking: Banking Regulation, Why Banks Are So Heavily Regulated? The Impact Of Regulation On Banks, Major Banking Laws, Impact Of Deregulation Of Bank Performance, The Central Banking System, Central Bank’s Principal Task.

3.    Financial Statements Of A Bank: Overview Of Bank Balance Sheets And Income Statements, The Principal Types Of Accounts, The Problem Of Book-Value Accounting In Banking, Components Of Income Statement, Other Useful Bank Financial Statement.

4.    Measuring And Evaluation Bank Performance:  Evaluating A Bank Performance, Determining The Bank’s Long-Range Objectives, Maximizing The Value Of Firm, Profitability Ratios, Equity Returns, Return Of Assets, Measuring Risk In Banking, The Impact Of Bank Size On Performance, Financial Rations And Other Analytical Tools.

5.    Asset-Liability Management:  Introduction, Asset -Liability Management Strategies , Interest Rate Risk, Hedging, Interest –Sensitive Gap Management, Concept Of Duration, Limitations Of Duration Gap Management,  Asset-Liability Management Techniques (Futures, Forward, Options, Swap).

6.    Managing The Bank’s Investment Portfolio And Liquidity Position: Introduction,  Investment Instruments, Money Market Instruments, Capital Market Instruments, Factors Affecting Banker’s Choice Among Investment Securities, Investment Maturity Strategies. Strategies For Liquidity Managers, Estimating A Bank’s Liquidity Needs, Factors In Choosing Among The Different Sources Of Reserves

7.    Managing Bank Sources Of Funds:  Introduction,  Types Of Deposits, Interest Rate Offered On Different  Types Of Deposits, Basic Banking , Composition Of Bank Deposits, Non-Deposit Investment Products, Pricing Deposits At Cost Plus Profit, Market-Penetration Deposit Pricing, Using Upscale Target Pricing, Alternative Non-Deposit Sources Of Bank Funds, Choosing Among Alternative Non-Deposit Sources, Measuring Bank’s Total Need For Non-Deposit Fund, Factors To Consider For Choosing Non-Deposit Funding Sources, Bank Capital And Risk, Key Risks In Banking, Defenses Against Risk, Types Of Bank Capital, Relative Importance Of The Sources Of Bank Capital.

8.    Bank Lending : Introduction, Types Of Loans, Factors Determining The Growth And Mix Of Bank Loans, Steps In Lending Process, Credit Analysis, Sources Of Information About Loan Customers, Short-Term Loans To Business Firms, Long-Term Loans To Business Firms, Analyzing  Business Loan Applications, Financial Ratio Analysis Of A Customers.

9.    Pricing Business Loans:  The Cost-Plus Loan-Pricing Method, The Price Leadership Model, Customer Profitability Analysis.

10.  International Banking Service Options: Introduction, Types Of Foreign Banking Organizations, Regulation Of International Banking, Customer Services Supplied By Banks In International Markets, Future Problems For International Banks.

11.  Global Financial Crisis And The Role Of Banks, Recent Trends And Challenges. 

 

Basic Texts:

       1.  Commercial Banking: The management of Risk by Fraser, Gup &Kolari, 3rd Edition.

       2.  Management of Commercial Bank by Peter S. Rose, 5th Edition.

 

Course Code: FIN- 3203

Course Title: Working Capital Management

Credit points: 03; Marks – 100

 

1.    Introduction: Concepts of Working Capital, Composition, and Significance of W/C Management.

2.    Approaches to Working Capital Management: Approaches, Relationship between Current Asset Current Liabilities, Determinants of Working capital, Measuring Working Capital.

3.    Working Capital Cycle: Planning and forecasting working Capital needs, Why hold Cash & Marketable securities, Money Market, Flotation and Check Clearing, Lock box location problem, Cash Concentration Strategies, Disbursement Management.

4.    Management of Cash: Cash Forecasting, Types Cash forecasting, Methods of Financial Forecasting, Uncertainty in Cash Forecasting, Hedging Cash Balance uncertainties, Models for the management of Cash & Temporary Investments, Cash Budget.

5.    Management of Accounts Receivables: Terms of Sale Decisions, Standard Approaches for Credit Granting Decision Monitoring Accounts Receivables, Bad Debt losses monitoring.

6.    Valuation and management of Various Types of Inventories: Concepts, Alternative to holding Inventory, Costs in Inventory System, Approaches to Inventory Management, EOQ, ABC, Just-In-Time Model.

7.    Current Liabilities Management: Short term Financing and its Sources, management of Accounts Payables, Notes payables, Accruals, Short term Bank Loan.

8.    Working Capital management Practice in Bangladesh.

 

Basic Text:

       1.  Working Capital Management: Text and Cases by Frederick C. Scherr

       2.  Modern Working Capital Management by Hampoton , J.J. &Celilal, L..W.

       3.  Reading Materials provided by Course Teacher.

References:

       1.  Working Capital management by VE Ramouoorthy.

 

Course Code: FIN-3204

Course Title: Course Title: Capital Investment Decision

Credit points: 03; Marks – 100

 

1.    Long-Term Investing and Financial Decisions: Central Role of Wealth Maximization, Who Benefits from Wealth Maximization? Competitive Advantage and Wealth Creation, Overview of the Capital Investment Process, Overview of Long-Term Financing Decisions, the Capital Investment “Crisis”, The Globalization of Investments and Financing, Case Problem.

2.    Measuring Wealth: Time Value of Money, Single Amount Problems, Annuity Problems, Complex Cash Flow Problems, Compounding More Than Once Per Period, Alternate Payment Patterns, Present Value of a No-Growth Perpetuity, Present Value of a Constant-Growth Perpetuity, Case Problem.

3.    Measuring Investment Value: Definition and Illustrations of NPV, Net Present Value and Wealth Creation: Perfect Financial Markets, Income Taxes, NPV, and Wealth Creation, Economic Profit and NPV, Uncertainty and NPV, Uninformed Investors and NPV, Midyear Net Present Value Problem, Case Problem.

4.    Alternate Measures of Capital Investment Desirability: Profitability Index, Internal Rate of Return, Payback Period, Accounting Rate of Return, Summary Example, Testing for Multiple Internal Rates of Return, Capital Budgeting Practice, Case Problem.

5.    Ranking Mutually Exclusive Investments: Reasons for Mutually Exclusive Investments, NPV Is Still Best, Using NPV with Unequal Lives, Cost-Only Analysis, Repair/Replacement Decisions, Complex Investments, Abandonment Decisions, Case Problem.

6.    Estimating Incremental Cash Flows: Relevant Cash Flows, Estimating Cash Flows from a Project, Estimating the Income Statement, Estimating the Balance Sheet, Rolling the Income Statement and Balance Sheet into a Cash Flow Statement, Forecasting Sales, Operating Cost, and Working Capital Needs, Case Problem.

7.    Inflation and Capital Investment Analysis: Inflation Defined, Current and Constant Dollar Prices, Real and Nominal Interest Rates, Inflation and Income, Inflation and Cash Flow, Does Inflation Increase Shareholder Wealth? Recognizing Inflation in Capital Budgeting,  Inflation and Cash Flow Projection, Inflation and the Equivalent Annuity, Inflation, Exchange Rates, and International Capital Projects, Case Problem.

8.    Risk Analysis: Sensitivity Analysis, Break-Even Analysis, Risk Analysis Methods Based on Probability, Managing Risk, Project Selection under Risk, Risk from the Company Perspective: Capital Budgeting with Consideration of Firm Risk Reduction Effects, Risk from the Shareholders’ Perspective: Using CAPM in Capital Budgeting, The use of Mean-Variance Capital Asset Pricing Model (CAPM), Risk-Adjusted Required Return for a Project or Division of a Company.

9.    Cost of Capital: Cost of Capital Concept, Cost of Capital Components, Weights for the Weighted Average Cost, Marginal Cost of Capital Schedule, Some Additional Issues in Cost of Capital Analysis, Costs of Capital for International Capital Investments, A Comprehensive Example and Case Problem.

10.  Interactions Between Investment and Financing Decisions: The Separation Principle, Wealth Transfers and Capital Investment Decisions, Investments That Change the Risk Characteristics of the Firm, Special Financing Opportunities and Capital Investment Evaluation, Some Alternate Methods for Dealing with Financing Mix, Case Problem.

11.  Capital Rationing: Reasons for Capital Rationing, A Model for Capital Rationing, The Internal Rate of Return and Capital Rationing, The Profitability Index and Capital Rationing, Selection among Mutually Exclusive Investments under Capital Rationing, Case Problem.

12.  Capital Budgeting in Nonprofit Organizations: The Importance of Nonprofit Organizations, Strategy in Nonprofit Organizations, Management and Governance of Nonprofits, Capital Budgeting in Nonprofits, Accounting Rules for Nonprofits, Capital Structure and Nonprofits, Cost of Capital in Nonprofit Organizations, Capital Rationing, Case Problem.

13.  Multicriteria Capital Budgeting and Linear Programming: The General Linear Programming Problem, Solving Linear Programming Problems with Excel, Multiple Goals and Constraints in Capital Budgeting, Capital Rationing, Other Mathematical Programming Techniques, Business Use of Mathematical Programming Techniques, Case Problem.

 

Basic Texts:

       1.  Haim Levy, Capital Investment & Financial Decisions, 5^th Edition.

2. Neil Seitz, 2004, Capital Budgeting and Long-Term Financing Decisions, 4th Edition, South-Western College Publishers.

References:    

1.  Don Dayananda, Richard Irons, Steve Harrison, John Herbohn and Patrick Rowland, 2002, Capital Budgeting: Financial Appraisal of Investment Projects, Cambridge University Press.

      

Course Code: FIN- 3205

Course Title: Quantitative Methods in Business

Credit points: 03; Marks – 100

 

1.    Introduction to Operation Research (OR): Origin and development of OR-Characteristics of OR as a tool in decision-making –Phases of OR –Limitation of OR- Usefulness in developed countries and Bangladesh.

2.    Review of Linear programming and post optimality analysis: Duality of Linear Programming, Shadow prices and their interpretations, post optimality analysis- Range of feasibility, Range of optimality, Range of insignificance and advanced problems, Applications of linear programming.

3.    Transportation problem (AP): Introduction, Solution of an AP, The Assignment Algorithm, Variations of the AP, Unbalance AP –Traveling Salesman problem.

4.    Assignment Problem (AP): Introduction, solution of an AP, The Assignment Algorithm, variations of the AP, unbalance AP- Traveling Salesman problem.

5.    Theory of Games: Introduction, Payoff Matrix, Two person Zero-sum game, Maximum and Minimum criterion saddle points Pure strategy, Graphical solution procedure, Limitation of Games in Completion.

6.    Queuing Theory: Introduction, Characteristics of Queuing Model, and Classification of Queues, Poisson Queuing Model, and Limitation.

7.    Net work Analysis:Net work concepts, Constraint in Network project, Construction of the network diagram Numbing the events (Fulkerrou’s Rule), Net Working calculations, Critical path Method (CPM), Probability consideration in pert, PERT calculation, Limitations of CPM and PETR, PERT (Cost)-Direct and indirect cost. Project total cost, Resources scheduling and smoothing by network technique.

8.    Sequencing model: Concepts, Processing ‘n’ jobs throuh two three and ‘m’ machines, processing of two jobs through machines.

Basic Texts:

       1.  Hiller, I.S. and Liberman, G.J (1999): Introduction to Operations Research, New York.

       2.  Richard I. Levin, Danids Rubin, Jocl P. Stirsan, Evenrette s.

References:

       1.  Tata, H. A (1999): Operations Research-An Introduction, Pentice Hall, New York.

       2.  Anderson, D.R. Sweeney, D.J. and Willims, T.A. (2000): An Introduction to Management Science, Stepenson.

 

FOURTH YEAR FIRST SEMESTER

Course Code: FIN-4101

Course Title: Entrepreneurship and Project Development

Credit points: 03; Marks – 100

Entrepreneurship Development:

1.    Introduction: Meaning of Entrepreneurs; types-functions and required qualities of Entrepreneurs; Meaning of Entrepreneurship; Features and basic needs of Entrepreneurship; types of Entrepreneurship; role of Entrepreneurship in industrialization and economic Development; Environmental VS. Manger; Entrepreneurship Development Cycle.

2.    Theories & Entrepreneurship Development: Psychological theory-McClelland’s theory of need for high achievement; socio-cultural theory-Everett Hagen’s theory of with drawl of status; Schumpeter’s theory of Economic Development- Entrepreneurship.

3.    Environment for Entrepreneurship: Meaning; Importance; “Elements of Entrepreneurship Environment; Factors influencing Entrepreneurship Environment;

4.    Business Plan: Environment Scanning procedure; SWOT Analysis; Techniques of Environment Analysis; Meaning; Benefits/Necessities; Elements of Business Plan; Pitfalls to avoid in a Business Plan; preparation of a business Plan-Production Plan-Marketing Plan-organization land personnel Plan-financial Plan., Starting a new Business, Buying an existing Business and Franchising:

5.    Management of Small Enterprise: Meaning; Features; importance & problems of small enterprises; characteristics of management in a small enterprise; comparison with large enterprise; management process; Planning a small Business; Establishing a small Concern; Policy guidelines & institutional assistance for small enterprises in Bangladesh; coordination among the institutions involved in developing small business.

6.    Entrepreneurship Development in Bangladesh:Women & Minority Entrepreneurs, Entrepreneurship development practices in Bangladesh,Case studies of Some Successful Entrepreneurs in Bangladesh.

Project Development:

1.    Introduction: Definition and types of projects, project life cycle, project design with logical framework, capital budgeting process.

2.    Project Management: Definition of project management, project planning and control, Project scheduling, Project resource allocation, different aspects of project management.

3.    Project Appraisal: Definition, objectives, scope and type of appraisal, derivation of cash flow, discounting techniques, Net Present Value, Benefit to Cost ratio, Internal Rate of Return, market feasibility study, Technical appraisal, financial appraisal, economic and social appraisal, environmental impact assessment.

4.    Project Risks: Different types of risks with projects, measures of project risk, analysis under uncertainty, sensitivity analysis, scenario analysis, montecarlo simulation, decision tree analysis.

5.    Project Implementation: Implementation planning techniques, use of Critical Path Method and Program Evaluation Review Technique as implementation tools, strategic planning.

6.    Project Monitoring and Evaluation: Monitoring and its importance in project implementation, explanation and exercise of monitoring formats, evaluation of projects.

7.    Project Termination: Reasons for termination, the varieties of project termination, critical issues in successful project termination.

8.    Project Leadership: The route to be a good project manager, managing versus leading a project, qualities of an effective project manager, managing project stakeholders, team building.

Basic Texts:

1.    Dorald F. Kuratko and Richard M. Hodgetts, Entrepreneurship: A Contemporary Approach, Latest Edition the Dryden press, Harcourt Brace college publishers.

2.    Dr. A. R Khan; Entrepreneurship and Small Business Development, Latest Edition.

3.    Projects: Planning, Analysis, Financing, Implementation, andReview, 2009, Prasanna Chandra, 7th Edition, Tata McGraw Hill Education Private Limited.

References:

1.    Monohor U. Despands; Entrepreneurship of Small Seal Industries; Concept Growth and Management, Deep Publications, New Delhi, Latest Edition.

2.    Calvin A. Kent (Edited), The Environment Entrepreneurship, Lexington Books, D. C. Health and Company, Lexington, Massachusetts, Toronto.

3.    A.H.M. Habibur Rahman and Associates, Entrepreneurship and Small Enterprise Development in Bangladesh, Bureau of Business Research, University of Dhaka, 1979.

4.    Practical Project Management by Ghattas, R.G. and Mckee, Sandra L., Pearson Education Asia.

5.    Project Management: A Managerial Approach by Meredith, Jack R and Mantel Jr., Samuel J, John Wiley and Sons, Inc.

 

Course Code: FIN- 4102

Course Title: Real Estate Finance

Credit points: 03; Marks – 100

 

1.    Real Estate Investment: Basic Legal Concepts: Property Rights and Estate, Interests, Encumbrances, and Easements, Assurance of Title, Methods of Title Assurance, Recording Acts and Limitations on Property Rights.

2.    Real Estate Financing: Notes and Mortgages: The Mortgage Instrument, Assumption of Mortgage, Acquiring Title “Subject to” a Mortgage, Other Financing Sources, Land Contracts, Default, Alternatives to Foreclosure: Workouts, Foreclosure, Judicial Foreclosure and Bankruptcy.

3.    Mortgage Loan Foundations: The Time Value of Money: Compound Interest, Compound or Future Value, Present Value, Compound or Future Value of an Annuity, Present Value of an Annuity, Accumulation of a Future Sum and  Determining Yields or Internal Rates of Return on Investments.

4.    Fixed Interest Rate Mortgage Loans: Determinants of Mortgage Interest Rates: A Brief Overview, Understanding Fixed Interest Rate Mortgage (FRM) Loan Terms, Calculating Payments and Loan Balances—Fixed Interest Rate Loans, Summary and Comparisons: Fixed Interest Rate, Constant Payment Mortgage (CPM) Loans with Various Amortization Patterns and Other FRM Loan Patterns––Declining Payments and Constant Amortization Rates

5.    Adjustable and Floating Rate Mortgage Loans: The Price Level Adjusted Mortgage (PLAM), ARMs and Floating Rate Loans: An Overview, ARM Payment Mechanics, Expected Yields on ARMs: A Comparison.

6.    Underwriting and Financing Residential Properties: Underwriting Default Risk, Classification of Mortgage Loans, The Underwriting Process, The Underwriting Process Illustrated, The Closing Process and Settlement Costs Illustrated.

7.    Income-Producing Properties: Leases, Rents and the Market for Space: Property Types, Supply and Demand Analysis, The Business of Real Estate, The “Market” for Income-Producing Real Estate, Income Potential—Real Estate Assets, General Contents of Leases and  Developing Statements of Operating Cash Flow.

8.    Valuation of Income Properties: Appraisal and the Market for Capital: Introduction, Valuation, Fundamentals, Appraisal Process and Approaches to Valuation, Sales Comparison Approach, Income Approach and Cost Approach.

9.    Financing Land Development Projects: Characterization of the Land Development Business, The Land Development Process—An Overview, Lender Requirements in Financing Land Development, Residential Land Development Illustrated and Project Feasibility and Profitability.

10.  Real Estate Financing Procedure in Bangladesh: Case study.

 

Basic Text:

       1. Real Estate Finance and Investments by Brueggeman and Fisher.

References:

1.       Real Estate Finance by Brueggeman and Stone.

 

Course Code: FIN-4103

Course Title: Financial Statement Analysis & Valuation

Credit points: 03; Marks – 100

 

1.    A Framework for Business Analysis and Valuation Using Financial Statements :  The Role Financial Reporting in Capital Markets- From Business Activities to Financial Statements- From Financial statements to Business Analysis.

2.    Strategy Analyses: Industry analysis- Degree of Actual and Potential Competition- Relative Bargaining Power in input and output markets- Applying industry Analysis: The personal computer industry- Competitive strategy Analysis- Applying competitive strategy Analysis- Corporate strategy Analysis.

3.    Overview of Accounting Analysis: The industry framework for financial reporting- Doing Accounting Analysis- accounting Analysis pitfalls- Value of accounting data and and accounting analysis.

4.    Asset Analysis: Historical cost and conservatism- Asset reporting challenges- common misconceptions about asset accounting.

5.    Liability and Equity Analysis: liability definition and Reporting Challenging – Common Misconception about liability Accounting – Equity definition and Reporting challenges.   

6.    Financial Analysis: Ratio Analysis – Cash flow analysis.

7.    Prospective analysis: Forecasting: Relation of Forecasting recasting to other analyses – The techniques of forecasting – Elements of the detailed forecast- sensitive Analysis.

8.    Equity security Analysis: Investor objectives- Equity security and market efficiency- Approaches to fund management and securities analysis – The process of a comprehensive security analysis- Financial statement date and security prices.

9.    Credit Analysis and Distress Prediction: The market for credit- The credit analysis process- Financial statement analysis and public debt- prediction of distress and turnaround.

10.  Mergers and Acquisitions: Motivation for merger or acquisition- acquisition pricing- acquisition financing- acquisition outcome.

11.  Corporate financing policies: factors that determine firm’s debt policies- the optimal long –term mix or debt and equity-the financing of new projects- factors that determine firm’s dividend policies.  

 

 

 

Basic Texts:

       1.  Business Analysis and Valuation by Palepu, Healy & Bernard. South-Western College Publishing.

References:

       1.  Financial Statement Analysis by George Foster, 2nd Edition

       2.  Financial Statement Analysis and Security Valuation by S. H. Penman

 

Course Code: FIN-4104

Course Title: International Trade & Finance

Credit points: 03; Marks – 100

 

1.    Introduction: Meaning and Definition of International Trade, Scope of International trade, Historical development of International trade, International trade versus Inter-regional Trade.

2.    International trade Theories: The Mercantilist view on Trade, Adam smith’s theory of Absolute Advantage, David Ricardo’s Law of Comparative Advantage, Offer Curves and The Terms of Trade, Factor endowments and Heckscher-Ohlin (H-O) Theory, Intra industry Trade Theory,

3.    International Trade policy: Trade restrictions, Tariffs-basic analysis, Arguments for and against tariff, Other national policies affecting trade-import quota, import discriminations, export barriers, export subsidies and countervailing duties, dumping, economic integration, custom union, free trade areas, international resource movements and the role of multinational corporation in international trade.

4.    Foreign Trade Procedure: Participants of foreign exchange market, the spot market, and the forward market, Management of foreign exchange risk Hedging, arbitrage, Swaps, Speculation.

5.    The Balance of payments: Basic Definitions of Balance of Trade and Balance of Payments: The Current account, the Capital account, the Official Reserve account, Double–Entry Book keeping, Measuring the deficit or the Surplus, or Official Intervention.

6.    Joint Venture Financing.

Basic Texts:

       1.  International Economics by Dominick Salvatore.

       2.  Theory & Problems of International Economics, 4th Edition, by Dominick Salvatore.

       3.  International Economics by Kindleberger

References:

       1.  International Economics (Selected Chapters)

       2.  10th Edition, 1996

       3.  Peter H. Linder and Thomas A Pugel IRWIN

       4.  USA, UK, Australia, Japan.

 

 

Course code: FIN- 4105

Course Title: Business Research Methodology

Credit Point: 03 Full Marks: 100

 

1. Fundamentals of Research: The meaning and basic concepts of research and business research; Objectives of research; Research methods Vs. Methodology; Research Approaches; Who does Research; Quantitative and qualitative research; Importance of knowing how to conduct a research; Characteristics of research; Desirable qualities of research; Justifying the merit of a proposed research topic; Evaluating a proposed research; Problems of conducting research.

2. Research Process: Defining research problem and its components; Precautions in Selecting the Research Problem; Reviewing the literature; Setting objectives and hypothesis; Choosing Research Design; Subject Matter of Research Design; Choosing a sample design; Data collection; Processing and analyzing data; developing research Proposal;  Writing report, disseminating and utilizing results.

3. Designing a study: Study design; non-experimental studies; Experimental studies; Properties of good research design.

4. Sampling and Sample Design: Basic concepts of census and sample Survey; Steps in Sampling Design; Criteria for selecting a Sampling Procedure; Characteristics of a good Sample Design; Different types of Sample Design; determination of sample size.

5. Data Collection Methods: Data Collection: General Discussion; Primary Data and its collection methods; Editing primary data; Secondary data and its sources; Precautions for using secondary data.

6. Processing and Analyzing Data: An overview of processing and analyzing data; data processing operations; essential statistical measures for data analysis; measures of central tendency; measures of dispersion; measures of asymmetry (skewness); measures of relationship.

7. An overview of Regression Analysis: Defining regression analysis; Estimating single-independent variable model with OLS; Estimating multivariate variable model with OLS; Evaluating the quality of a regression equation; describing the overall fit of the estimated model.

8. The Classical Model: The classical assumptions; The sampling distribution of estimated beta; Violating the assumptions of Classical model; Multicollinearity; perfect Vs imperfect multicollinearity; Consequences, detection, and remedies of muticollinearity; Heteroskedasticity; Serial Correlation; consequences, tests and remedies of serial correlation; Misspecification.

9. Time Series Analysis: Time series and their components; Time series models; Smoothing techniques; Trend analysis; Time series decomposition.

Text Book:

1.       An Introduction to Research Method by M. Nurul Islam, Latest Edition, Publisher: Mullick & Brothers.

2.       Using Econometrics A Practical Guide by A.H. Studenmund, 6^th Edition, Pearson New Internation Edition 2014.

3.       Applied Econometrics: A Modern Approach by DimitriosAsteriou and Stephen G. Hal, 1^st Revised Edition 2007, Published by Palgrave Macmillan.

Reference Book:

1. Introduction of Econometrics by G.S. Maddala, latest available edition.
2. Basic Econometrics by Damodar N Gujarati, Dawn C Porter, and Sangeetha Gunasekar, latest available edition. 

 

 

 

forth year Second Semester

Course Code: FIN- 4201

Course Title: Development Finance

Credit points: 03; Marks – 100

 

1.    Introduction: Evolution of Development Economics, Development vs. Growth, concepts, indicators and measurements of Development, Obstacles to Development, Basic requirements for economic development, Diversity and common characteristics of developing countries.

2.    Theories of Growth and Development: Classical views, Institutional views, Harrod-Domar growth model, Neoclassical views-Solow-swan growth model, and Endogenous growth models.

3.    Poverty and Inequality: Concepts of Poverty and inequality, Dualism-different kinds of dualism, Theories of poverty and inequality – Ricardos, two sector model, Lewis model, Marx’s view of p

4.    Foreign Aid, Foreign Investment, and Development: The International flow of financial resources, Foreign aid – concept and measurement problems, Donor’s perspective and recipients perspective of aid, Effects of aid, Foreign direct investment (FDI) – The role of multinational corporations, merits and demerits of FDI.

5.    International Trade and Development: Trade strategies for development – Export-promotion vs. Import Substitution, Trade and growth – Economic integration – Regional blocks and free trade agreements – Globalization and development – The role of WTO, Environmental issues and sustainable development.

6.    Economic Development in Bangladesh: Issues – population, poverty, foreign aid and trade. Developments strategies for Bangladesh – Role of donors and international organization, Micro-credit programs, Millennium Developments Goals (MDGs), NGO activities.

 

Basic Texts:

       1.  Economic Development by Michael P. Todaro.

       2.  The Economic Development and Planning by M. L. Jhingan.

 

References:

       1.  An Introduction to Development Economics by SubrataGhatak.

       2.  Economics Development by Dwight H. Perkins et. al.

 

 

 

Course Code: FIN-4202

Course Title: Financial Derivatives

Credit Hours: 03;  Full Marks-100

 

1.    Introduction: Exchange-traded markets, over the counter markets, forward contracts, futures contracts, options, types of traders, hedgers, speculators, arbitrageurs, dangers.

2.    Mechanics of Futures Markets: Background, specification of a futures contract, convergence of futures price to spot price, daily settlement and margins, newspaper quotes, delivery, types of traders and types of orders, forward and futures contracts.

3.    Interest Rates: Types of rates, zero rates, bond pricing, determining treasury zero rates.

4.    Determination of Forward and Futures Prices: Investment assets vs. consumption assets, short selling, assumptions and notation, forward price for an investment asset, known income, known yield, valuing forward contracts, are forward prices and futures prices equal? Futures prices of stock indices, forward and futures contracts on currencies, futures on commodities, the cost of carry, delivery portions, futures prices and expected future spot prices.

5.    Swaps: Mechanics of interest rate swaps, the comparative-advantage argument, the nature of swap rates, determining the LIBOR/swap zero rates, valuation of interest rate swaps, currency swaps, valuation of currency swaps, credit risk.

6.    Mechanics of Options markets: Types of options, option positions, underlying assets, specification of stock options, margin.

7.    Properties of Stock Options: Factors affecting option prices, assumptions and notation, upper and lower bounds for option prices, put-call parity, early exercise: calls on non-dividend-paying stock, early exercise: puts on a non-dividend-paying stock, effect of dividends.

8.    Trading Strategies Involving Options: Strategies involving a single option and a stock, spreads, combinations, other payoffs.

9.    Binomial Trees: One-step binomial model, risk-neutral valuation, two-step binomial tree, A put example, American options, delta, matching volatility with u and d.

10.  The Black-Scholes-Merton model: Volatility, concepts underlying the Black-Scholes-Merton differential equation, derivation of the Black-Scholes-Merton differential equation, risk-neutral valuation, Black-Scholes pricing formulas, cumulative normal distribution function, warrants and executive stock options, implied volatilities, dividends.

Basic Text:

       1.  Options, Futures, and other Derivatives (6th Edition), John C. Hull.

 

 

 

 

Course Code: FIN-4203

Course Title: Portfolio Management 

Credit point: 03           Total Marks-100

 

1.          History of Interest Rates and Risk Premiums: Determination of levels of interest rates; Risk and risk premiums; Real versus nominal risk; Return distribution and value at risk.

2.          Risk and Risk Aversion: Risk and risk aversion; Portfolio risk; Portfolio mathematics

3.          Capital Allocation between Risky and Risk-free Assets: Capital allocation across risky and risk-free portfolios; Portfolios of one risky and one risk-free assets; Risk tolerance and asset allocation; the capital market line.

4.          Optimal Risky Portfolios: Diversification and portfolio risk; Portfolio of two risky assets: Asset allocation; The Markowitz Portfolio Selection Model; The Spreadsheet Model; Optimal portfolios with restrictions on risk-free assets.

5.          The Capital Asset Pricing Model: The CAPM; Extensions of the CAPM; The CAPM and liquidity.

6.          Index Models: A single-index security market; The CAPM and the Index Model; The industry version of the Index Model; Index Models and tracking portfolios.

7.          Arbitrage Pricing Theory and Multifactor Models of Risk and Return: Overview of Multifactor Models; APT; Individual Assets and APT; A Multifactor APT; Where to look for factor.

8.          Market Efficiency and Behavioral Finance: Random Walk and EMH; Implications of EMH; Event studies and market efficiency dilemma; Behavioral interpretation of market efficiency.

9.          Macroeconomic and Industry Analysis: The global versus domestic economy; Demand and supply shocks; Business cycle; Industry analysis.

10.       Portfolio Performance Evaluation: Measuring investment returns; The conventional theory of performance evaluation; Performance measurement with changing portfolio composition; market timing; Performance attribution process; Style analysis.

11.       International Diversification: Global market for equities; Risk return and benefits of factors in international investing and diversification.

12.       The Process of Portfolio Management: Making investment decisions; Constraints; Asset allocation; Managing portfolios of individual investors; Pension funds.

13.       The Theory of Active Portfolio Management: The lure and objectives of active portfolio management; Market timing; Security selection

 

Text Books:

            1. Investment Analysis and Portfolio Management – By Reilly, F.K. and Brown, K.C.

 

Reference Books:

            1. Investment-Analysis and Management – By Jones, C.P.

            2. Modern Investment Theory – By Haugen, R.A

 

 

 

Course Code: FIN- 4204

Course Title: Investment Banking & Lease Financing

Credit points: 03; Marks – 100

Investment Banking:

1.    Investment Banking: Definition, History, Functions, Types, Operations.

2.    Laws governing Investment Banking: Securities and Exchange ordinance 1969, Securities and Exchange Rules 1987, Securities and Exchange Commission act 1993, Merchant bank rules, Public Issue Rules, Bond Issue Rules, Right Issue Rules, Credit rating Rules.

3.    Investment Banking process and IPOs: Underpricing, long run performance of IPOs, Hot issue market, Case studies.

4.    Corporate Finance: Underwriting and Syndication, Secondary market making, Dealer-Broker activities.

5.    Trading: Speculation and Arbitrage, Funding and risk management, Merchant Banking in Bangladesh, Other activities

6.    Financial Engineering: Merger, Acquisitions, Joint Venture, Merger and Acquisition strategies, Takeover Process, Defensive Tactics, Valuation, Divestments and De-mergers, Accounting Procedures of Merger.

7.    Merchant Banking Other activities:

 

Lease Financing:

1.    Introduction: Concept, Background, Importance of Lease financing, Definition, types, Comparison with ownership.

2.    Economics of Leasing: Economic Rationale of leasing, evaluating the cost of leasing, Case Studies.

3.    Accounting aspects of Lease financing: Issues related to the accounting for leases.

4.    Tax aspects of leasing: Tax regulations, Factors indicating a sale, Tax effects of a lease, Tax effects of a sale, Comparative analysis of lease with option to purchase, Leveraged leases.

5.    Equipment lease financing: Cost, Planning lease financing arrangements.

6.    Sale and lease back in real estate: Concepts and Case studies.

 

Basic Texts:

       1.  Investment Banking: The New Rules and the Brokerage Game by J. F. Marshall and Ellis.

       2.  Lease Financing- Baker and Hyes.

References:

1.       Selected reading materials on Investment Banking.

 

 

 

Course Code: FIN-4205

Course Title: Corporate Strategy and Ethics

Credit Hours: 03; Full Marks-100

Corporate Strategy:

1.    Strategy, Policy & Performance : The Global Competitive Landscape, Strategic Managers, Strategy and Policy Making Process, Strategic Leadership, Competitive Advantage, and Superior Performance, The I/O Model of Above-Average Return, The Resource Based Model of Above-Average Return, Strategy in Action – Case Studies.

2.    External Analysis : The General, Industry, and Competitor Environment, External Environmental Analysis, Segments of General Environment, Industry Environment Analysis, Strategic Groups, Competitor Analysis, Porter’s Five Forces Model, Industry and Market Segments, The Macro-environment, Strategy in Action – Case Studies.

3.    Internal Analysis : Analyzing the Internal Organization, Resources Capabilities, Core Competencies, Building Core Competencies, The Roots and Durability of Competitive Advantage, The Building Blocks of Competitive Advantage, Avoiding Failure and Sustaining Competitive Advantage, The Value Chain, Strategy in Action – Case Studies.

4.    Corporate Level Strategy & Policy : Expanding Beyond a Single Industry, Increasing Profitability through Diversification, Types of Diversification, Levels of Diversification, Reasons for Diversification, Value-Neutral Diversification, Value Reducing Diversification, Disadvantages and Limits of Diversification, Choosing a Strategy, Entering New Industries through Internal New Ventures and Acquisition, Strategy in Action – Case Studies.

5.    Building and Restructuring The Corporation: Acquisition – Reasons, Problems and Methods, Restructuring and Reengineering, Reasons for Restructuring, Modes of Restructuring, Downsizing, Down scoping, Leveraged Buy Out, Outcomes of Restructuring, Strategy in Action – Case Studies.

6.    Implementing Strategic Change & Innovation: Cooperative Strategies, Managing Strategic Changes, Building Blocks in Managing Changes, Internal Innovation and Innovation through Acquisition, and their Implementation, Strategy in Action – Case Studies.

7.    Strategic Leadership & Entrepreneurship : Strategic Leadership and Styles, The Role of Top-Level Managers, Entrepreneurship and Entrepreneurial Opportunities, Leadership through Entrepreneurship, International Entrepreneurship, Management Succession, Key Strategic Leadership Actions, Strategy in Action – Case Studies.

 

Corporate Ethics:

1.    Introducing Business Ethics: Concept and meaning of business ethics, importance of business ethics, globalization: a new context for business ethics, sustainability: a new goal for business ethics, moral standards and business ethics, sources of ethical principles, arguments for and against business ethics, moral responsibility. Cases in Action.

2.    Towards A Framework for Business ethics: Concept and meaning for corporation, corporate social responsibility, stakeholder theory of the firm, corporate accountability: the firm as a political actor, corporate citizenship, reasons for ethical problems in business; influences on ethical behavior of a corporation, making ethics work in corporations. Cases in Action.

3.    Managing Business Ethics: Tools and Techniques: Concept and meaning for business ethics management, setting standards for ethical behavior: designing and implementing code of ethics, managing stakeholder relations, assessing ethical performance, organizing for business ethics management. Cases in Action.

4.    Shareholders and Business Ethics: Reassessing the importance of shareholders as stakeholders, understanding corporate governance, ethical issues in corporate governance, shareholders and globalization, shareholders as citizens of the corporation, shareholding for sustainability. Cases in Action.

5.    Employees and Business Ethics: Employees as stakeholders, ethical issues in the firm-employee relationship, employing people worldwide: the ethical challenges of globalization, the corporate citizen and employee relations in varied national context, towards sustainable employment. Cases in Action.

6.    Suppliers, Competitors, and Business Ethics: Suppliers and competitors as stakeholders, ethical issues and suppliers, ethical issues and competitors, globalization, suppliers and competitors: the challenges of global business networks, the corporate citizen in the business community: ethical sourcing and fair trade, sustainability and business relationships: towards industrial ecosystems. Cases in Action.

7.    Ethics in the Marketplace: Implications of corporate market power; antitrust issues; practices to preserve fair competition; free trade versus fair trade; international bribery/corruption; international anti-corruption. Cases in Action.

8.    Government, Regulation, and Business Ethics: Government as a stakeholder, ethical issues in the relation between business and government, globalization and business-government relations, corporate citizenship and regulation: business as key player in the regulatory game, governments, business, and sustainability. Cases in Action.

 

Basic Texts:

       1.  C.W.L. Hill & Gareth R. Jones, Strategic Management, 5th Edition, Houghton Mifflin, 1998.

       2.  Business Ethics: A European Perspective, Andrew Crane and Dirk Matten, 2004, Oxford University Press, University of Oxford.

 

 

References:

1.    Michael A. Hitt, R. Duane Ireland, and Robert E. Hoskisson, Strategic Management: Competitiveness and Globalization – Concepts, 7th Edition, Thomson South-Western Publishing.

2.    Business and Society, 2nd Edition, Thorne McAlister, D., Ferrell, O. C. and Ferrell, Linda, 2005, Aromix Books Company Ltd, Houghton Mifflin Company.

       3.  Business Ethics, A. R. Khan, 2000, Ruby Publications, Dhaka.

 

 

 

 

 

Syllabus For BBA Program

Effective Session: 2016-2017 to  2020-21

Batch: 11th to 15th

 

BBA 1st Year

 

1st Semester
Course Code	Course Title	Credit Points
FIN – 1101	History of the Liberation War of Bangladesh	03
FIN – 1102	Principles of Management	03
FIN – 1103	Business English and Communication	03
FIN – 1104	Principles of Accounting	03
FIN – 1105	Business Mathematics	03
Sub Total Credit Points		15

 

 

2nd Semester
Course Code	Course Title	Credit Points
FIN – 1201	Business Finance	03
FIN – 1202	Principles of Marketing	03
FIN – 1203	Computer Applications in Business	03
FIN – 1204	Legal Environment of Business	03
FIN – 1205	Advanced Business Mathematics	03
FIN – 1206	Viva Voce	1.5
Sub Total Credit Points		16.5

 

 

BBA 2nd Year

 

2nd Semester
Course Code	Course Title	Credit Points
FIN – 2101	Financial Management	03
FIN – 2102	Commercial Bank Management	03
FIN – 2103	Business Statistics	03
FIN – 2104	Microeconomics	03
FIN – 2105	Financial Accounting	03

 

 

 

2nd Semester
Course Code	Course Title	Credit Points
FIN – 2201	Human Resource Management & Organizational Behavior	03
FIN – 2202	Macroeconomics	03
FIN – 2203	Cost & Managerial Accounting	03
FIN – 2204	Law & Practices of Banking	03
FIN – 2205	Applied Business Statistics	03
FIN – 2206	Viva Voce	1.5

 

 

BBA 3rd Year

 

1st Semester
Course Code	Course Title	Credit Points
FIN – 3101	Insurance & Risk Management	03
FIN – 3102	Monetary Economics	03
FIN – 3103	Business Taxation	03
FIN – 3104	Operations Research	03
FIN – 3105	Government Finance	03

 

2nd Semester
Course Code	Course Title	Credit Points
FIN – 3201	Investment Banking & Lease Financing	03
FIN – 3202	Financial Markets & Institutions	03
FIN – 3203	Capital Investment Decision	03
FIN – 3204	Auditing	03
FIN – 3205	MIS & E- Business	03
FIN – 3206	Viva Voce	1.5

 

BBA 4rth Year

 

1st Semester
Course Code	Course Title	Credit Points
FIN – 4101	International Trade & Finance	03
FIN – 4102	Real Estate Finance	03
FIN – 4103	Analysis of Financial Investment	03
FIN – 4104	Entrepreneurship & Project Development	03
FIN – 4105	Development Finance	03

 

 

2nd Semester
Course Code	Course Title	Credit Points
FIN – 4201	Working Capital Management	03
FIN – 4202	Financial Statement Analysis & valuation	03
FIN – 4203	Financial Derivatives	03
FIN – 4204	Corporate Strategy and Ethics	03
FIN – 4205	Corporate Finance	03
FIN – 4206	Viva Voce	1.5
FIN – 4207	Internship Report/ Project paper/ Thesis/ Dissertation	03
FIN – 4208	Defense	03
Total Credit Points		132

 

 

Years	No. of Courses	Credit Points	Marks
1st Year 2nd Year 3rd Year 4th Year	10 Courses + Viva Voce 10 Courses + Viva Voce 10 Courses + Viva Voce 10 Courses + Viva Voce Internship & Project Paper	10 ×3 = 30 + 1.5 = 31.5 10 ×3 = 30 + 1.5 = 31.5 10 ×3 = 30 + 1.5 = 31.5 10 ×3 = 30 + 1.5 = 31.5  3 + 3 = 06	10 ×100 = 1000 + 50 = 1050 10 ×100 = 1000 + 50 = 1050 10 ×100 = 1000 + 50 = 1050 10 ×100 = 1000 + 50 = 1050 100 + 100 = 200
Total	40 Courses	132	4400

 

FIRST Year First Semester

Course Code: FIN- 1101

Course Title: History of the Liberation War of Bangladesh

Credit points: 03; Marks – 100

 

1. Definition of liberation war, comparative discussion of liberation war of Bangladesh and other countries of the world
2. Socio-economic, cultural and political background of liberation war
3. Role  of intellectual to format the thought of liberation war
4. Election-1970, non-cooperation movement and declaration of independence
5. Operation search-light
6. Mass-killing and women oppression
7. Refugee crisis
8. Proclamation of independence and formation of Bangladesh government
9. Spontaneous initial  stoppage(hindrance) and war
10. Mass-media and public-opinion
11. Salvation army: weapon, training and battle camp
12. Role of political party: Bangladesh, India, Pakistan
13. Role of students, women and general people in the liberation war
14. Role of Superpower  and Muslim states
15. Freedom opposing activity and killing intellectuals by Peace committee, Al-badar, Al-shams and Rajakar
16. Judgment of Bangabandhu while panegyrist in Pakistan and world reaction 
17. Reaction of Foreigner Bengali and citizen-society of different countries
18. Role of India in the liberation war: government, people and mass-media
19. Liberation war: United Sates and other international organization
20. Joint-army formation and final victory
21. Leadership and contribution of Bangabandhu in the liberation war
22. Returning to the country and constitution

 

References:

1. Harun-Or-Rashid: The Foreshadowing Of Bangladesh
2. Raunaq Jahan: Pakistan: Failure In National Integration
3. A.M.A Muhit: Bangladesh: Emergence Of A Nation
4. Rangalal Sen: Political Elites in Bangladesh
5. Jayanta K. Ray: Democracy and Nationalism On Trial: A Study Of East Pakistan
6. Lawrence Ziring: The Ayub Khan Era Politics in Pakistan 1958-1969
7. Hasan Zaheer: The Separation of East Pakistan The Rise And Realization Of Bengali     Nationalism
8. Abdul WadudBhuiyan: Emergence of Bangladesh And The Role Of Awami League
9. Nazma Chowdhury: The Legislative Process In Bangladesh: Politics And Functioning Of The East Bangal Legislature (1947-58)
10. Mohammad Ghulam Kabir: Minority Politics in Bangladesh
11. Khalid B. Sayeed: Pakistan:  The Formative Phase
12. Ayesha Jala: The Sole Spokesman: Jinnah, The Muslim League And The Demand For Pakistan
13. Khalid B. Sayeed: The Political System of Pakistan
14. Ahmed Kamal: State against The Nation: The Decline Of The Muslim League In Pre-Independence Bangladesh 1947-54
15. Kamruddin Ahmed: A Social History of East Pakistan
16. MoududAhmed: Bangladesh: Constitutional Quest For Autonomy, 1950-71
17. S.K. Chakrabarty: The Evolution of Politics In Bangladesh, 1947-1978
18. Syed Humayun: Sheikh Mujib’s 6-Point Formula: An Analytical Study Of the Breakup Of Pakistan
19. Nehal Karim: The Emergence of Nationalism In Bangladesh
20. Talukdar Moniruzzaman: The Politics of Development The Case Of Pakistan 1947-1958

 

 

Code: FIN-1102

Course Title: Principles of Management

Credit points: 03; Marks – 100

 

1.      Introduction: Meaning – Scope – Importance – Principles – Functions – Is Management Science or Art? Is Management a Profession? Management as a Career.

2.      Schools of Management: Early contribution to Management – Various Approaches to Management: Taylor’s Scientific Management – Functional or Process Approach – Fayol’s Principles of Management – Human Relations – Behavioral Science Approach – Quantitative Approach – Systems Approach – Contingency Approach – Other Contemporary Approaches to Management.

3.      Planning: Meaning – Importance – Nature – Types – Steps – Factors Affecting Planning – Planning Techniques – Limits of Planning – Making Planning Effective.

4.      Organizing: Meaning – Nature –Importance – Span of Management – Departmentation – Authority and Responsibility – Types of Organization at Structure – Delegation of Authority – Decentralization of Authority – Problems in Organizing.

5.      Staffing: Meaning – Purpose – Importance – Recruitment – Selection – Training – Promotion – Developing Managers – Using Manager Inventory Chart.

6.      Leading: Meaning – Importance _ Ingredients of Leadership – Styles of Leadership: Autocratic, Democratic and Free - reign- Likerts’ System – Managerial Grid Approach – Theories of Leadership.

7.      Motivating: Meaning – Motivation and Motivator – Importance – The Need – Want-Satisfaction – Chain –Theory of Motivation – Mc-Gregor’s Theory X and Theory Y – Maslow’s Need Hierarchy Theory, Hergberg’s Two Factor Theory – Vroom’s Expectancy Theory – McCelland’s Achievement – Motivation Theory – Various Motivation Techniques.

8.      Controlling: Meaning – Nature – Importance – Controlling Process – Requirements of an Effective Control System – Controlling Techniques.

 

Basic Text:

         1.   Management A Global Perspective by Harold Koontz and Heinz.

 

References:

         1.   Management by S. P. Robbinn.

         2.   Management by Griffin

         3.   Fundamentals of Management by M M Islam and A A Khan

 

 

 

Course Code: FIN- 1103

Course Title: Business English and Communication

Credit points: 03; Marks – 100

Business English:

 

1.      Adaptation and the Selection of Words: Needs of Adaptation – Techniques of Adaptation – Suggestions for Selecting Words: Use of Familiar words, Slang and Popular clichés, Short words, Technical Words, Acronyms, Concrete words, Strong & Vigorous words, Active voice, Clear Verbs, Words with precise meaning – Suggestions for Nondiscriminatory Writing.

2.      Construction of Clear Sentences and Paragraphs: Emphasis on Short Sentence – Emphasis in Sentence Design – Sentence Unity – Sentence Clarity – Paragraph Design.

3.      Writing for Effect: Conversational style – You-viewpoint – Positive Language – Courtesy – Emphasis – Coherence.

4.      Introduction to Messages and the Writing Process: Text Messaging – Email – Traditional Letters – Memorandums – Communication through Letters: Writing Enquiry, Order, Complaint, Regret, Apology Letters – Writing Process.

5.      Direct and Indirect Writing: Directness in Good-News & Neutral Messages – Indirectness in Bad News Messages – Indirectness in Persuasive Messages.

 

Business Communication:

1.      Communication Foundations: Information Theory – Theory of Human Communication – Hierarchy of Communications – Elements of Communication – Language and Culture – Types of Communication: Oral Communication, Written Communication, Audial communication, Visual Communication, Audio-Visual Communication, Gesture – Patterns of Communication: Horizontal and Vertical Communication, Upward and Downward Communication, Formal & Informal Communication, Mass Communication, Barriers to Communication, Ways of Better Communication.

2       Communication in Workplace: Importance of Business Communication – Main Forms of Business Communication – Communication Network of the Organization – Process of Human Communication – Basic Truths about Communication.

3.      Basics of Report Writing: Purpose – Factors – choosing topics- Introduction to critical reading skills: Analyzing tests for logic, motion and credibility, Idea Critic- Basics of report writing- Information Collection – Organization – Collaboration – Structure: Short Report, Long Formal Report – Graphics.

4.      Techniques of Presentation.

5.      Public Speaking and Oral Reporting

6.      Communicating in the Job-Search Process: Job Search – Building a Resume and Cover Letter – Handling Interview.

 

Basic Text:

         1.   Business Communication- Making connections in a digital world. By-V. Lesikar,Flatley, Rentz (13th ed.)

         2.   Essentials of Business communication by Rajendra Pal & J.S. Korlahali.

 

References:

         1.   Business Communication- Principles and Methods by William C. Himstreet& Wayne Murlin Baty.

         2.   Business Communication and Report Writing by A A Khan and M A Taher

Course Code: FIN-1104

Course Title: Principles of Accounting

Credit points: 03; Marks – 100

 

1.      Introduction to Financial Accounting: Background of Accounting Development: Definition – The purpose and Nature of Accounting Information–The Activities of Accountants–Branches of Accounting–The Need for Accounting Concepts and Principles – Professional Associations and Accounting Principles–Generally Accepted Accounting Principles (GAAP) – Introduction to International Accounting Standards (IASs) & Bangladesh Accounting Standards (BASs)  – Introduction to International Financial Reporting Standards (IFRSs) & Bangladesh Financial Reporting Standards (BFRSs)–Capital and Revenue Expenditures.

2.      Recording Changes in Financial Position: Role of Accounting Records – Debit and Credit – the Principles of Double Entry – Journal – Ledger – Coding and chart of Accounts – Posting in the Ledger Accounts – Trial Balance – Proof Offered by Trial Balance – Limitations of Trial Balanced – Locating Errors – Adjusting Entries – Closing Entries for Revenue and Expense Accounts – Opening Entries – Rectification of Errors before and after preparation of Trial Balance.

3.      Work Sheet and the Preparation of Financial Statements: Application of Work sheet – Preparation of work sheet – Preparation of Financial Statements – Multiple-step Statement – Single-step Statement – Horizontal and Vertical Arrangement – The Accounting Cycle – Reversing Entries with special referee to Presentations of Financial Statements.

4.      Accounting for Merchandising Operations: Merchandising Operations- Recording Purchases of Merchandise- Recording Sales of Merchandise- Completing the Accounting Cycle- Forms of Financial Statements.

5.      Accounting for Receivable: Nature and Composition of Receivable – Accounts Receivable & Notes Receivable – Discounting – Interest and Non-interest Bearing Notes Receivable – Un-collectible Accounts Receivable – Allowances for Doubtful Debts-Methods of Accounting for Un-collectible – Recovery of Receivable Written off Earlier.

6       Accounting for Temporary Investments: Nature of Temporary Investments – Accounting for Changes in Market Value – Marketable Equity and Debt Securities-Disposition of Marketable Securities- Disclosure of Marketable Securities in Financial Statements.

7.      Accounting for Fixed Assets: Acquisition, Utilization & Retirement: Categories of Fixed Assets – Determining Cost of Fixed Assets – Disposal of Fixed Assets – Gains and Losses from Disposal – Depreciation and Its Methods – Causes and Objects of Depreciation – Depreciation & Valuation – Depreciation & Cash flow – Depletion of Resources – Amortization of Intangibles – IAS - 4: Depreciation Accounting & IAS -16: Accounting for Property, Plant & Equipment.

8.      Statement of Cash Flows: Usefulness and Format- Preparing the Statement of Cash Flows: Direct and Indirect Method- Using Cash Flows to Evaluate a Company.   

 

Basic Text:

         1.   Accounting Principles by Weygandt, Kieso, and Kimmel.

 

References:

         1.   Intermediate Accounting by Jay M. Smith and K. Fred Skousen.

         2.   Financial Accounting- A Business Perspective by R.H. Hermanson and J.D. Edwards

Course Code: FIN- 1105

Course Title: Business Mathematics

Credit points: 03; Marks – 100

 

1.      Number System: Natural Number: Definition and Properties – Prime Number: Definition and Properties – Integer Number: Definition and Properties – Even Number: Definition and Properties – Odd Number: Definition and Properties – Rational Number: Definition and Properties – Irrational Number: Definition and Properties – Fraction Number: Definition and Properties – Imaginary Number: Definition and Properties – Complex Number: Definition and Properties – Related Exercise.

2.      Review of the Basic Algebra: Basic Algebraic Formulae and their Application – Fractions, Percentages and Decimals – Exponents and Radicals – Factoring – Simplification – Logarithms – Equations – Inequalities and their Solution sets.

3.      Equations and No-linear Functions: Slope of Linear Equation – Different Form of Linear Equation and Solution – Break-even Analysis – Polynomial Functions – Quadratic Functions – Application of Quadratic Models – Exponential Functions – Selected Exponential Models – Constant Growth Rate Model – Unlimited Growth Model – Unlimited Decay Model – Limited Growth  Model – Logarithmic Functions.

 

4.      Permutations and Combinations: Fundamental Rules of Counting, Permutations, Factorial notation Permutation of `n’ Different Things, Circular Permutation, Permutations of Things not all Different, Restricted Permutations, Combinations, Complementary Theorems, Restricted Combinations, Combinations of Things not all Different. Applications of Permutations and Combinations to Business Problems.

5.      Set Theory: Concept – Definition – Characteristics of Set – Basic of Set Operations – Venn Diagram – Cartesian Products – Business Applications.

6.      Progression: Arithmetic Progression, Sum of Series in Arithmetic Progression, Arithmetic Mean, Business Application, Geometric Progression, Sum of Series in Geometric Progression, Geometric Mean, Business Application.

7.      Indices and Surds: Indices – Positive Indices – Fractional Indices – Operation with Power Functions – Surds – Operations on Surds – Rationalising Factor – Root of Mixed Surd.

8.      Logarithms: Introduction – Laws of Operations – Operations with Logarithms – Compound Interest – Depreciation – Annuities.

9.      Mathematics of Finance: Simple interest & future value – Compound interest & future value – Bank discount – Annuity: Ordinary Annuity and Annuity Due.

 

Basic Text:

         1.   Business Mathematics by D. C Sancheti and V. K. Kapoor.

 

References:

         1.   Applied Mathematics: for Business, Economics and Social Sciences by Ann J. Hughes.

         2.   Mathematics with Application for Business & Economics by E. K Bowen.

 

 

 

 

 

 

First Year Second Semester

Course Code: FIN-1201

Course Title: Business Finance

Credit points: 03;  Marks – 100

 

1.      Introduction: Concepts and Importance – Functions of Finance – Career Opportunities in Finance – Alternative Forms of Business Organization – Goals of Finance – Categories of Finance: Govt. and Business.

2.      Financial Environment: Financial Markets – Financial Institutions – The Cost of Money – Interest Rates Levels – The Determinants of Market Interest Rates and Business Decisions.

3.      Short –Term Financing: Sources of Short – Term Financing – Accruals – Trade Credit (Accounts Payable) Short- Term Bank Loans – Accounts Receivable, Inventory Financing.

4.      Long-term Financing: Common Shares – Balance Sheet Accounts and Definitions – Legal Rights and Privileges of Common Shareholders – Evaluation of Common Shares as a Source of Funds – The Market for Common Shares – Types of Preference Shares – Evaluation of Preferred shares as a Source of Fund – The Investments banking Process, Long-term Debt: Traditional Debt Instruments – Evaluation of Long-term Debt as a Source of Fund – The Equity vs. Debt Finance.

5.      Risk and Rate of Returns: Definition and Measurement of Risk – Expected Rate of Return & Risk –Portfolio Return- Portfolio Risk – The Relationship Between Risk and Rate of Return – Physical Assets vs. Financial Assets

6.      Time Value of Money: Concept-Cash flow time line-Future Value – Present Value – Present value of Annuity-Future Value of Annuity – Uneven Cash Flow Streams – Amortized Loans.

7.      Lease Financing: Meaning- Nature – Functions-Types of Leasing – Purchase vs. Leasing.

 

Basic Text:

         1.   Essentials of Managerial Finance by Scott Besley& Eugene F. Bringham.

 

References:

         1.   Fundamental of Financial Management by S.B. Block & A. G. Hirt

         2.   Essentials of Financial Management  by  Eugene F. Bringham

 

 

Course Code: FIN-1202

Course Title: Principles of Marketing

Credit points: 03; Marks – 100

 

1.      Introduction: Meaning – Core Marketing Concepts – Goals of the Marketing System – Nature and Scope of Marketing – Evolution of Marketing – Growing Importance of Marketing – Marketing Management Philosophies.

2.      Marketing Environment: Meaning of Marketing Environment – Micro Environment and its Elements – Macro Environment and its Elements – Micro & Macro Environmental Influence on Marketing – Responding to the Marketing Environment.

3.      Managing Marketing Information: Developing Marketing Information System – Conducting Marketing Research.

4.      Selecting Target Market: Sequestration, Targeting and Positioning.

5.      Product: Major Classification of Services and Branding Strategies – New product development and product life cycle strategies.

 

 

6.      Pricing: Price considerations and approaches, pricing strategies, Product mix and pricing strategies.

7.      Distribution Channel: Nature – managing channels and supply chain management.

8.      Promotion: Major elements, Media selection, integrated marketing communication, Advertising, Sales promotion, public relation: personal selling, and direct marketing.

 

Basic Text:

         1.   Principles of Marketing by Philip Kotler.

References:

         1.   Fundamental of Marketing by William J. Stanton

 

 

 

Course Code: FIN- 1203

Course Title: Computer Applications in Business;

Credit points: 03; Marks – 100

 

1.      Introduction: Definition of computer, evolution of computer technology, types of computer, importance and impact of computer in business and society.

2.      Information Systems Basics: Information system (IS) in business, basic IS concepts, IS functions and components, types of IS, IS users and technology, benefits of IS, Information System fundamentals, hardware, software, stored data, personnel and procedure for IS, ethical issues for IS.

3.      IS Hardware: IS hardware, computer organization, Input and Output devices, primary storage, the central processing unit, secondary storage.

4.      IS Software: IS software, software concepts, application software, system software, software development.

5.      IS Networks: IS Networks and the internet communication concepts, communication hardware and software, network concepts, Local Area Networks, Wide Area Networks, Internetworks, internet communication and services, electronic commerce. 

6.      Business Information Systems: Business operations, business operation efficiency, transaction processing systems, other business IS: AIS, FIS, MIS, HRIS, Mkt IS, Enterprise Resource Planning systems.

7.      Decision Making & IS: Management decision making, improving management decision making effectiveness, level and characteristics of management decision, MIS, DSS, EIS, Expert Systems, Knowledge Management Systems.

8.      E-Commerce and IS: E-commerce and the strategic impact of IS,    providing a strategic impact, E-commerce systems, Interorganizational IS: Business Alliance, EDI; Global IS, strategic IS.

9.      Business Applications: Microsoft office: MS Excel, MS power point, MS Word, S.P.S.S, correlation and regression analysis.

Basic Text:

         1.   Timothy J. O’Leary and Linda I. O’Leary, Computing Essentials, Complete Ed., McGraw Hill

 

References:

         1.   Robert C. Nickerson, Business and Information Systems, 2nd Edition, Prentice- Hall, India

         2.   David Whigham, Business Data Analysis using Excel.

 

 

 

 

 

Course Code: FIN- 1204

Course Title: Legal Environment of Business

Credit points: 03; Marks – 100

 

1.      Principles of Law of Contract: Essential Elements of Contract–Offer and Acceptance– Consideration–Void and Voidable Agreements–Free Consent– Definition & Effect of Coercion– Effect of Undue Influence–Unconsiderable Transactions– Effect of Misrepresentation– Effect of Fraud–Performance of Contracts– Termination or Discharge of Contracts–Bailment & Pledge.

2.      Companies Act, 1994

         a) Formation: Definition of Company–Types of Companies–Private Limited Company and Public Limited Company–Formalities for Formation of Memorandum of Association and Articles of Association – Prospectus.

         b) Management: Management and Administration–Directors–Secretary–Meetings and Resolutions – Accounts and Audit.

         c)   Winding up: Winding up of Companies – Compulsory winding up by the Court- Voluntary Winding up by the Members Themselves and Voluntary winding up by the Creditors – Voluntary Winding up under the supervision of the Court.

3.      Labour and Industrial Laws:

         a) Factories Act, 1965: Health and Hygiene – Safety – Welfare.

         b) Industrial Relations Ordinance, 1969: Trade Union–Collective Bargaining–Joint Consultation – Conciliation – Mediation.

         c) Workmen’s Compensation Act, 1923: Workmen’s Compensation – Employer’s Liability for Compensation – Amount of Compensation – Method of Calculating wages – Distribution of Compensation.

4.      Law relating to Negotiable Instruments: Definitions (B/E. P/N &Cheques) – Acceptance and Negotiations Rights and Liabilities of Parties – Dishonour of Negotiable Instruments.

5.      Sales of Goods Act: Buyer, Seller, Goods Sale and Agreement to Sale- Essential elements- Transfer of ownership- Performance of Contract of Sale.

6.      Law relating Consumer Protection: Rights of Consumers – Responsibilities of Consumers – Elements of the Consumer Rights Protection Act – Aspects of the Consumer Rights Protection Act – Where to file a complaint.

 

Basic Text:

         1.   Commercial Law & Industrial Law by A. K. Sen and I. K. Mitra.

 

References:

         1.   Business Law by M.C. Kucchal.

         2.   Law of Contract.

         3.   Factories Act 1965.

         4.   Industrial Relations Ordinance 1969.

         5.   Workmen’s Compensation Act 1923.

         6.   Companies Act 1994.

 

 

Course Code: FIN-1205

Course Title: Advanced Business Mathematics

Credit points: 03; Marks – 100

 

 

1.      Equations:Cubic Equations – Biquadratic Equation.

2.      Coordinate Geometry: Directed Line – Quadrants – Coordinates – Coordinates of Mid-point – Distance between two points – Section Formula – Coordinates of Centroid – Area of Triangle – Collinearity – Area of Quadrilateral.

3.      Matrix: Definition – Types of Matrices – Square and Identity Matrix – Matrix Operations – Addition  - Subtraction – Multiplication – Determinants – Scalar Multiplication – Properties of Determinants – Scalar Multiplication – Properties of Determinants – Minor Co-factor Matrix – Co-factor Expansion – Matrix Transpose – Adjoint Matrix – Matrix Inverse using Co-factor and Gaussian Methods – Solutions to the Systems of Simultaneous Linear Equations by Using Cramer’s Rule and Gaussian Inverse Method.

4.      Linear Programming: Definition – General Linear Programming – Basic Feasible Solution – Convex Combination - Optimal Solution – Slack and Surplus Variable – Net Evaluation – Artificial Variable etc. Solution of Linear Programming Problem (LPP) – Graphical Method, Simplex Method, Big- M Simplex Method, Two Phase Method – Duality Theory – Concept of Duality Standard From of Primal and Dual, Dual Formulation, Solution of Dual Problems by Solving the Primal and Vice-Versa – Economic Interpretation of Dual Problems.

5.      Derivative: Limit and Continuity of a Function – Rate of Change – Derivatives – Rules of Differentiation of Algebraic – Exponential and Logarithmic Functions of Single Variable – Applications of the Derivatives – Increasing and Decreasing Functions – Extreme value of a Function – Applications Maxima and Minima Problems – Applications of Derivatives in Business and Economic Problems.

6.      Multivariate Calculus: Functions of Several Variables, Partial Derivatives, Second- Order partial Derivatives, Higher Order Partial Derivatives, Implicit Derivatives – Extreme for Multivariate Functions – Constraint Optimization and Lagrange Multipliers – Production and Inventory Models – Business Application.

7.      Integral Calculus: The Relationship between Integral and Differential – Rules of Integral – Calculus, Rules of Integral Calculus – Fundamental Theorem of Integral Calculus – Geometric Interpretation of Integration – Definite Integral – Application of Integral Calculus – Determination of Consumer’s and Producer’s Surplus – The Definite Integral as a Measure of Total Change.

 

Basic Texts:

         1.   Business Mathematics by D. C Sancheti and V. K. Kapoor.

         2.   Fundamental Methods of Mathematical & Economics by Chiang Alpha.

 

References:

         1.   Applied Mathematics: for Business, Economics and Social Sciences by Ann J. Hughes.

         2.   Mathematics with Application for Business & Economics by E. K Bowen.

 

 

 

 

 

 

 

Second Year first Semester

Course Code: FIN-2101

Course Title: Financial Management

Credit points: 03; Marks – 100

 

1.      Financial Statements Analysis: Financial Statement and Reports – Ratio Analysis – Comparative Ratios – Use and Limitations of ratio Analysis – Statement of Cash Flows.

2.      Cost of Capital: Definition – Cost of Debt – Cost of Preference Capital – Cost of Retained Earnings – Cost of Newly Issued Common Shares – Composite Cost of Capital – Marginal Cost of Capital (MCC) – Combining MCC and Investment Opportunity Schedule – Capital Rationing.

3.      Capital Structure and Leverage: Business and Financial Risks – Capital Structure Theory: MM Propositions and Policy – Firm Value and Capital Structure – Determining the Optimal Capital Structure – Degree of Leverage – DFL-DOL-DTL.

4.      Dividend Policy: Dividend Policy Theories – Factors Influencing Dividend Policy – Declaration of Dividend – Stock Dividend and Stock Split – Dividend and Firm Value – Dividend Irrelevance Argument – Dividend Signaling – Agency Explanation of Dividend – Clientele Effect.

5.      Capital Budgeting: Importance of Capital Budgeting – Generating Ideas of Capital Projects – Project Classifications – Capital Budgeting Evaluation Techniques – Comparison of the NPV and IRR Methods – Cash Flow Estimation – Identifying the Relevant Cash Flows – Capital Budgeting Projects Evaluation.    

6.      Capital Budgeting under Risk & uncertainty: Company vs. Project risk, Determination of a project risk, sensitivity analysis, Monte Carlo simulation, Certainty equivalent, Decision trees.

 

Basic Text:

         1.   Fundamental of Financial Management by E.F. Bringham

 

References:

         1.   Introduction to Financial Management by Charles P. Jones

         2.   Foundations of Financial Management by Block &Hirt.

 

 

Course Code: FIN- 2102

Course Title: Commercial Bank Management

Credit points: 03; Marks – 100

 

1.      An Overview Of Banks And Their Services: Introduction, Bank, Services Of Banks, Trends Affecting All Banks, Are Banking Dying?

2.      The Impact Of Government Policy And Regulation On Banking: Banking Regulation, Why Banks Are So Heavily Regulated? The Impact Of Regulation On Banks, Major Banking Laws, Impact Of Deregulation Of Bank Performance, The Central Banking System, Central Bank’s Principal Task.

3.      Financial Statements Of A Bank: Overview Of Bank Balance Sheets And Income Statements, The Principal Types Of Accounts, The Problem Of Book-Value Accounting In Banking, Components Of Income Statement, Other Useful Bank Financial Statement.

4.     Measuring And Evaluation Bank Performance:  Evaluating A Bank Performance, Determining The Bank’s Long-Range Objectives, Maximizing The Value Of Firm, Profitability Ratios, Equity Returns, Return Of Assets, Measuring Risk In Banking, The Impact Of Bank Size On Performance, Financial Rations And Other Analytical Tools.

5.      Asset-Liability Management:  Introduction, Asset -Liability Management Strategies , Interest Rate Risk, Hedging, Interest –Sensitive Gap Management, Concept Of Duration, Limitations Of Duration Gap Management,  Asset-Liability Management Techniques (Futures, Forward, Options, Swap).

6.      Managing The Bank’s Investment Portfolio And Liquidity Position: Introduction,  Investment Instruments, Money Market Instruments, Capital Market Instruments, Factors Affecting Banker’s Choice Among Investment Securities, Investment Maturity Strategies. Strategies For Liquidity Managers, Estimating A Bank’s Liquidity Needs, Factors In Choosing Among The Different Sources Of Reserves

7.      Managing Bank Sources Of Funds:  Introduction,  Types Of Deposits, Interest Rate Offered On Different  Types Of Deposits, Basic Banking , Composition Of Bank Deposits, Non-Deposit Investment Products, Pricing Deposits At Cost Plus Profit, Market-Penetration Deposit Pricing, Using Upscale Target Pricing, Alternative Non-Deposit Sources Of Bank Funds, Choosing Among Alternative Non-Deposit Sources, Measuring Bank’s Total Need For Non-Deposit Fund, Factors To Consider For Choosing Non-Deposit Funding Sources, Bank Capital And Risk, Key Risks In Banking, Defenses Against Risk, Types Of Bank Capital, Relative Importance Of The Sources Of Bank Capital.

8.      Bank Lending : Introduction, Types Of Loans, Factors Determining The Growth And Mix Of Bank Loans, Steps In Lending Process, Credit Analysis, Sources Of Information About Loan Customers, Short-Term Loans To Business Firms, Long-Term Loans To Business Firms, Analyzing  Business Loan Applications, Financial Ratio Analysis Of A Customers.

9.      Pricing Business Loans:  The Cost-Plus Loan-Pricing Method, The Price Leadership Model, Customer Profitability Analysis.

10.    International Banking Service Options: Introduction, Types Of Foreign Banking Organizations, Regulation Of International Banking, Customer Services Supplied By Banks In International Markets, Future Problems For International Banks.

11.    Global Financial Crisis And The Role Of Banks, Recent Trends And Challenges. 

 

Basic Texts:

         1.   Commercial Banking: The management of Risk by Fraser, Gup &Kolari, 3rd Edition.

         2.   Management of Commercial Bank by Peter S. Rose, 5th Edition.

 

 

Course Code: FIN- 2103

Course Title: Business Statistics

Credit points: 03; Marks – 100

 

1.      Introduction: Meaning and Concepts; Nature – Scope – Nature of Statistical Data – Collection of Data – Designing a Questionnaire – Classification – Tabulation – Frequency Distribution – Graphical Presentation of Data.

2.      Measures of Central Tendency: Introduction – Arithmetic Mean – Geometric Mean – Harmonic Mean – Weighted Arithmetic Mean – Mode –Median – Quartiles – Deciles –Percentiles – Properties of a Good Average – Empirical Relation Among the Averages.

3.      Measures of Dispersion: Significance of Measuring Dispersion – Properties of a Good Dispersion – Range-Inter-Quartile Range and quartile Deviation – Mean Deviation – Standard Deviation – Co-efficient of Variations and Their Application.

4.      Moments, Skewness and Kurtosis: Moments from Arbitrary Value – Moments from Mean –Relation between Moments – Measures of Skewness and its Uses – Measures of Kurtosis and Its Application.

5.      Correlation Analysis: Significance of the Study of Correlation and Causation – Types of Correlation – Scatter Diagram Method – Karl Pearson’s Coefficient of Correlation – Rank Correlation Coefficient.

6.      Regression Analysis: Difference between Correlation and Regression Analysis – Simple Regression Lines – Least Square Method – Regression Equation – Regression Co-efficient.

7.      Index Number: Methods of Constructing Index Numbers – Unweighted Index Numbers –Price Index – Quantity Index – Value Index – Cost of Living Index Numbers – Chain Index Numbers – Base Shifting-Splicing and Deflating the Index – Test of Index Numbers – Limitation and Uses.

        

Basic Texts:

         1.   Modern Business Statistics by Levin & Rubin

         2.   Statistical Techniques in Business and Economics by Mason and Lind.

 

References:

         1.   Statistics- Schaum’s Outline Series by Spiegel M.R.

         2.   Business Statistics by S. P Gupta and M. P. Gupta.

 

 

Course Code: FIN- 2104

Course Title: Microeconomics

Credit points: 03; Marks – 100

 

1.      Introduction: Meaning of Economics – Positive vs. Normative Economics – Tools of Economic Analysis – The nature of Economic Theories – Scope and Subject matter of Economics – Economic Analysis and Economic Policy Economic Problem.

2.      Theory of Demand and Supply: The Demand Function – Determinants of Demand for A Commodity Market – Demand Curve – Shifts vs. Movement in the Demand Curved – Supply Function – Determinants of Supply – Shifts vs. Movement in the Supply Curve – Competitive Market Equilibrium – Demand and Supply – Its Implication.

3.      Elasticity of Demand and Supply: Price Elasticity of Demand, Point Elasticity of Demand, Arc Elasticity of Demand, Income Elasticity of Demand, Cross Elasticity of Demand. Total Revenue – Marginal Revenue – Relationship between, Marginal Revenue, Price and Elasticity of Demand. Elasticity of Supply – Concepts Application in Business.

4.      Theory of Consumer Behavior: Utility Analysis – Cardinal vs. Ordinal Utility – Cardinalist Approach – Marginal Utility and Law of Diminishing marginal utility – Equilibrium – Ordinalist Approach – Indifference Curve Analysis – Budget Line and its Properties – Consumer Equilibrium – Effects of Price and Income Change on Consumer Equilibrium – Derivation of Demand and Engel Curve – Definition of Engel Curve  - Elasticity Measurement along the Engel Curve – Its application – Classifying Normal Goods, Inferior Goods and Superior Goods – Income Effect and Substitution Effect – Normal Goods, Inferior Goods, Inferior Goods and Giffen Goods Paradox.

5.      Theory of Production: Short – run Production Function – Total Product Curve – Law of Variable Proportions – Average Product and Marginal Product Relationship – Long-run-Production Function – Isoquants and its Properties – Returns to Scale – Cost Function – Iso cost and its properties. Producer Equilibrium through Isoquant and Iso cost Curve – Output Maximization vs. cost Minimization – Economic Efficiency – Efficiency in Production – Derivation of Production possibility Frontier – Cobb-Douglas Production Function and its properties – Elasticity of Substitution.

6.      Theory of Cost: Short-run-cost – Fixed cost, variable cost, Total cost, Marginal cost – Law of Variable Proportions. Long-run-cost – Derivation of Long-run-cost from short-run-cost.

7.      Market: Concept of Market and different types of Market, Structure – Competitive and competitive market – Perfect Competition vs. Imperfect Competition.

8.      Pricing under Perfect Competition: Short-run and Long run Equilibrium of Firms and Industry under Perfect Competition – Derivation of Firms Supply Curve – Economies and Diseconomies of Scale. Pricing under Monopoly: Short-run and Long-run Equilibrium under Monopoly – Monopoly and Price Discrimination. Comparison between Perfect Competition and Monopoly with Respect to Price, Output and Profit. Equilibrium in Monopolistic Competition and Concepts of Oligopoly.      

        

Basic Text:

         1.   Economics by P.A Samuelson.

 

References:

         1.   Macroeconomics Theory by R. A. Bilas

         2.   Principles of Economics by H.L. Ahuja

         3.   Modern Economic Theory by K.K.Dewett.

 

 

Course Code: FIN- 2105

Course Title: Financial Accounting

Credit points: 03; Marks – 100

1.      Partnership Accounts:

         a)   Introduction: Allocation of Earnings among Partners and Preparation of Financial Statements.

         b)   Admission of a Partner: Sale of a Partnership Interest – Treatment of Goodwill – Revaluation of Assets – Preparation of Balance Sheet after Admission.

         c)   Retirement and Death of a Partner: Determining and Payment of Amount Due to a Retiring Partner – Treatment of Goodwill – Admission – Cum- Retirement – Accounting Treatment for Death of a Partner.

2.      Business Combination: Definition – Reasons of Combination – Types of Combination – Methods of Combination – Establishing the Price for a Business Combination – Method of Accounting for Business Combinations: Purchase Method and Pooling of Interest Method.

3.      Company Account:

         a)   Share Issue: Procedure of Issue and Accounting Treatments – Forfeiture and Reissue of Forfeited Shares – Issue and Redemption of Preference Shares and Debentures – Issue of Bonus and Right Shares – Disclosure Requirements as per Companies Act, 1994 and Securities & Exchange Rule 1987.

         b)   Preparation of Financial Statements: Income Statement – Retained Earnings – Balance Sheet and Disclosures in Accordance with Companies Act, 1994. Securities & Exchange rule 1987 and IAS - 1: Presentation of Financial Statements.

3.      Branch Accounts: Benefits of Branches of Accounts  – Pricing of Goods Sent of Branches by Head Office – Head Office Keeps Branch Books within its own Accounting System – Stock & Debtor System – Whole –sale Branch System – Branch keeping Separate Records – Incorporation of Branch – Trial Balance into Head Office Books and preparation of Financial Statements .

4.      Departmental Accounts: Definition – Advantages – Accounting Procedure for Departments or Divisions.

5.      Financial Statement Analysis: Basics of Financial Statement Analysis – Horizontal Analysis – Vertical analysis – Ratio analysis.

 

Basic Texts:

         1.   Accounting Principles by R.H. Hermanson, J.D. Edwards and M.W. Maher.

         2.   Accounting Principles by Mosich& Larsen.

References:

         1.   Principles and Practices Accountancy by Basu and Das.

         2.   Financial Accounting Text of ACCA.

 

Second year Second Semester

Course Code: FIN- 2201

Course Title: Human Resource Management & Organizational Behavior

Credit points: 03; Marks – 100

Human Resource Management:

1.      Perspective of Human Resource Management (HRM): Nature, Functions Principles of Human Resource Management –Personnel Policies & Practices-Strategic HRM.

2.      Organization for Personnel Management: System of Management-organization of personnel functions –Authority, responsibility and status of personnel executives.

3.      Human Resource Planning: Importance of selection –Determining manpower needs-Determining Job Specifications -Developing manpower supply sources.

4.      Recruiting:Manpower Recruitment and Selection Recruiting personnel, the selection procedure. Interviewing & Testing, Placement and orientation –Promotion-Transfer & Seniority.

5.      Employee Compensation: Remuneration policies, Benefits of sound compensation program-Wage classification-Remuneration plans & Incentive Plans.

6.      Human Resource Development Program: Significance of Development, Determining development needs, Responsibility for development programs for developing managerial and non-managerial personnel Manpower development methods.

 

Organizational Behavior:

1.      Introduction: Meaning of Organization Behavior (OB) – Nature of Organization and People – Key Elements of OB – Causation of Behavior – Evolution of OB – Importance of OB – Interpretation of Human Behavior in Organizations – Models of OB.

2.      Theories or Approaches of OB: Cognitive Theory, Reinforcement Theory – Psycho-Analytical Theory.

3.      Conflict and Frustration: Meaning of Conflict – Individual Conflict – Organizational Conflicts at the Individual and Group Level – Organization Reaction  to Conflict – Causes of Group Conflict – Resolution of Group Conflict – Nature of Frustration – Forms of Frustration – Causes of Frustration – Techniques  for Resolution of Frustration – Motivated Behaviors vs. Frustrated Behavior – Stress and its Management.

4.      Leadership Behavior: Characteristics of Leaders – Determinants of Leadership Behavior – Leadership Styles and Behavior in Organizations – Theories of Leadership – Continuum in Leadership Behavior.

5.      Organization Design: Nature of Organization Design (OD)– The Process of Organization Design– Dimensions of OD, Forms of OD – Concepts and Principles of Classical Organization Design – Concepts and Limitations of Hierarchical Organization – Remedies of Hierarchical Organizations.

6.      Organizational Growth, Change and Development: Nature of Organizational Growth – Stages of Organizational Growth – Definition of Change – Sources of Pressures fro Change – Model for Organizational Change – Organizational Change Techniques – Force Field Analysis – Behavior Modification Model – Resistance to Change – Overcoming Resistance to Change – Meaning of Organizational Development (OD) Characteristics of OD – The Process of OD – Categories of OD Interventions.

7.      Motivated Culture: Definition – Characteristics – Importance – Factors – Theories of Motivation.

8.      Organizational Culture: Definition – Culture Typologies – Characteristics of Culture – Functions of Culture – Factors of Organizational Culture – How Employees Learn Culture? Problems of Cultural Differences – How to Change an Organization’s Culture?

 

Basic Texts:

         1.   Heneman, et.al. –Human Resource Management

         2.   Michael J. Jucius-Personnel Management.

         3.   Organizational Behavior by S.P. Robbins.

 

References:

         1.   Human Behavior at Work: Organizational Behavior by Keith Davis and John Newstrom.

         2.   Organizational Behavior by Fred Luthans.

         3.   H.T. Graham-Human Resource Management

         4.   E.H. Burack and R.D. Smith-Personnel Management AHR system Approach.

         5.   Edrin B. Flippo-Personnel Management

         6.   M.J. Jucious-personeel Management

         7.   Agarwal, R.D.-Dynamics of Personnel Management in India, TalzMegraw Hill.

         8.   Hoq S.A. personeel Management, Dhaka, 1981.

 

 

Course Code: FIN- 2202

Course Title: Macroeconomics

Credit points: 03; Marks – 100

 

1.      Introduction: Micro economies vs. Macro economics – Partial vs. General Equilibrium Analysis Static, Comparative Static and Dynamic Analysis – Scope and Subject Matter of Macro Economics.

2.      The Model of the Circular Flow of Income: Goods and Money Flows between Households and Firms – Saving – Investment – Foreign Trade – Government Activity.

3.      National Income Accounting: Measurement and Methods – Concepts of National Income – GDP, GNP, NNP, NI, PI, DI, PPR – Problems of GDP Measurement – National Income Accounting System in Bangladesh.

4.      Theories of Income and Employment: Classical Theory of Income and Employment – Keynesian Theory of Income and Employment – Effective Demand – Aggregate Demand and Aggregate Supply – Saving and Investment, Multiplier.

5.      Goods and Money Market: Goods Market Equilibrium – The Derivation of t he IS curve – Money Market Equilibrium – The Derivation of The LM curve – Simultaneous Equilibrium the Goods and Money Market – Monetary and Fiscal Policies for Stabilization Purposes.

6.      Consumption and Consumer Expenditure: Consumption Function – Short-run and Long –run – Overview of the Theories of Consumption – Absolute Income – Life Cycle – Relative Income – Permanent Income Hypothesis.

7.      Inflation: Causes and Effects – Theories of Inflation – Anti-In-factionary Measures.

8.      Unemployment: Meaning and Measurement – Cost and Causes – Alternative Policy Measures – Unemployment in Bangladesh.

 

Basic Text:

         1.   Macroeconomics by Dornbusch R. & Fischer S.

References:

         2.   Economics by Samuelson &Norhouse.

 

 

Course Code: FIN- 2203

Course Title: Cost & Managerial Accounting

Credit points: 03; Marks – 100

Cost Accounting:

1.      Introduction: Concepts, purposes, Functions, Role Distinction between Cost Accounting & Financial Accounting Uses & Installation of Costing System,

2.      Cost Behavior: Direct Cost, Indirect Cost Drives & Cost management, Total Cost, unit Cost, variable Cost Fixed Cost Behavior Pattern, Cost Allocation.

3.      Cost Volume Profit Relationships: Concepts, Relationship between Cost, Volume & Profit, Cost-Volume-Profit assumptions, Cost Planning & CVP Break even analysis through equation & Chart, Profit Volume Chart, Sales Mix, Application in Business concerns.

4.      Job order & Contract Costing: Concepts, Job & Contract costing, Allocation of Indirect Cost to Job & Contract Costing System in Manufacturing Concerns.

5.      Process Costing: Concepts, Normal Process, Inter Process Inter Process cost accumulation procedures, Cost of production report, LIFO, FIFO, Average Costing Process Costing system in Manufacturing concerns.

6.      Direct & Absorption costing: Concepts and Distinction, Importance, Performance measures.

7.     Standard Costing: Concepts of standard costing, Types of standard Costing, Variance Analysis: material, labor, factory Overhead, variance report.

8.      Relevant Costing: concepts information and Decision process, opportunity cost and relevance, application in business units.

9.      Budgetary Control: Master Budgets & Responsibility Accounting, Flexible Budgets.

 

Managerial Accounting:

1.      Introduction: Concept of  Managerial Accounting & its significance- Relation between Managerial Accounting and Cost Accounting, Role of Managerial Accounting, Business Environment and Professional Ethics.

2.      Cost-Volume-Profit Analysis (CVPA): Basis of CVP & CVPA, Contribution margin (CM), CM Ratio, Application of CVP concepts, Break Even Points, Its computation and graphic presentation, Target profit  analysis, margin of safety,  Sales mix & BEP, Problems and solutions.

3.      Variable Costing- A tool for Management: Absorption costing, Variable costing, Unit cost computation, Income Comparison, Problems and Solutions.

4.      Budgeting- Master Budget: Concepts, Types of MB, Advantages of MB, Sales budget, Production budget & purchase budget, Problems and solutions.

5.      Flexible Budgets: Concepts, Distinction between FB & MB, Advantage of FB, Preparation of FB, Budget Variance, Problems & Solutions.

 

Basic Texts:

         1.   Cost Accounting Planning and Control by Matz and Usry

         2.   Managerial Accounting by Garrison & Noreen. 13th edition

References:

         1.   Principles and practices of Cost Accounting by N.K.Prashad.

         2.   Cost Accounting –A Managerial Emphasis by Charles T. Hongren.

 

Course Code: FIN-2204

Course Title: Law & Practices of Banking

Credit points: 04; Marks – 100

 

Commercial Banking:

1.      Definition & Functions: Commercial Bank and Economic Development – Commercial Bank Regulations; Recent Amendments Banking Companies Act in Bangladesh.

2.      Bank Accounts: Types of accounts- Accounts opening- Procedures- Closing.

3.      Banker–Customer Relationship: Meaning of a Banker and a Customer – General Relationship between Banker and Customer – Rights and Duties of a Banker – Obligation for Maintaining Secrecy of Customer’s Account.

 

4.      Payment and Collection of Financial Assets:Cheque, Promissory Notes, Bills of Exchange, Other Negotiable Instruments – Collection Procedure – Risks in Collection.

5.      Advances to Customers: Forms of Bank Credit, Secured and Unsecured Advances – Discounts and Advances – Overdrafts – Cash Credit – Term Lending – Steps Involved in the Appraisal of Credit Risk.

 

Central Banking:

1.      Introduction: Concept of Central Bank, Features and objectives of Central Bank..

2.      Nature and Functions: of Central Bank in developed and Undeveloped Money Market –Functions-Role of Central bank in socio-economic development.

3.      Bangladesh Bank: Functions, Organization & Management, Fund Management.

 

Laws relating to Banks:

1.      Negotiable Instruments ACT-1881: Definition of negotiable instruments-Kinds of Negotiable instruments- Features of negotiable instruments- Parties to NI.

2.      Bank Company Act-1991: Business of Bank Company- Acquisition of Bank Company-Suspension of Business & Winding up of Bank Company.

3.      Financial Institutions Act-1993: Preliminary definitions- Licensing of FIs-Reserve fund, Dividend, Balance sheet- Rules of Business-Submission of Financial statements & Audit- Suspension of FIs.

 

Basic Texts:

         1.   Banking Theory & Practice by Shekhar K.C.

         2.   Banking Law & Practice by Varshney P.N.

Reference:

         1.   Banks and Legal Environment by Dr. R.M. Debnath.

 

 

Course Code: FIN-2205

Course Title: Applied Business Statistics

Credit points: 03; Marks – 100

 

1.      Business Forecasting: Steps in Forecasting – Methods of Forecasting – Time Series Analysis – Components of Time Series – Measures of Trend – Graphic Method – Method of Semi Averages and Moving Average – Least Squares – Measurement of Seasonal Variations – Method of Simple Averages – Ratio to Trend Method – Ratio to Moving Average Method – Link Relative Method – Seasonal Index – Measurement of Cyclical Variations – Interpolation and Extrapolation: Newton’s Forward and Backward Formula for Interpolation and Extrapolation Method – Its Limitations and Uses.

2.      Probability: Meaning of Probability, Elements of Set Theory – Sample Space – Events –      Theorems of Total and Compound Probability – Conditional Probability and Statistical Independence, Expected value of Random Variable.

3.      Probability Distribution: Probability Function-Binomial Distribution – Poisson distribution – Normal Distribution Area under the Normal Curve.

4.      Sampling Distribution: Student’s Distribution – Chi-square Distribution – Fisher’s Z-Distribution – F-Distribution – Their Properties and Uses.

5.      Test of Hypothesis: Procedure of Testing Hypothesis – Null Hypothesis – Alternative Hypothesis – Type I and Type II Errors- Level of Significance – Degree of Freedom – One-Tailed and Two-Tailed Tests – Power of Test – Tests About Mean – Tests about the Difference between Two Means – Tests about the Difference between Two Means with Dependent Samples – Tests about the Correlation Co-efficient – Tests of Equality of Two Variances – Testing for Equality of Several  Means – Test of Independence – Test of Goodness of Fit.

6.      Analysis of Variance: Assumption in Analysis of Variance – Computation of Analysis of Variance – One way and two ways Classification.

7.      Statistical Quality Control: Types of Control Charts- X – Charts R – Chart-C Chart –P- Chart Benefits and Limitations of Statistical Quality Control.

8.      Multicollinearity, Autocorrelation, Heteroskedasticity, Homoskedasticity, Dummy Variable.

 

Basic Text:

         1.   Modern Business Statistics by Levin & Rubin

References:

         1.   Business Statistics by S.P. Gupta and M.P. Gupta.

         2.   AltalibHisham-Training Guide for Islamic Workers.

 

 

Third year First Semester

Course Code: FIN-3101

Course Title: Insurance & Risk Management

Credit points: 03; Marks – 100

 

1.      Principles of Insurance: Principles of Utmost good faith- Insurable interest- Indemnity- Subrogation- Consideration- Proximate cause.

2.      Fire Insurance: Meaning – Principles, Elements of Contract – Classification of Fire Insurance Policies – Policy conditions – Determination of Premium – Fire Claims and Settlement – Reinsurance – Tariff and Borrowing – Factors Affecting Premium Calculation.

3.      Marine Insurance: Meaning – Subject Matter – Importance – Marine Insurance Contract – Types of Marine Policies – Policy conditions – Marine Insurance Clauses – Marine Losses – Claims and their settlement – Salvage and Borrowing – Factors Affecting Premium Calculation.

4.      Introduction to Accident Insurance: Health Insurance, Crop Insurance and Export credit Guarantee Insurance.

5.      Life Insurance: Meaning – Importance – Kinds of Life Policies – Procedure of Effecting Life Insurance Terms and conditions in the Assignment of Life policies –Claims and Settlement procedure – Annuities – Surrenders and Claims – Premiums and their Calculation – Profit and Distribution of Bonus.

6.      Insurance in Bangladesh: Organization and Functions of JibanBima Corporation and SadharanBima Corporation – Role of private insurance Companies – Problems and Prospects of Insurance Business in Bangladesh.    

7.      Introduction to Risk: Definition of risk, chance, probability, uncertainty- Types of risk- elimination of risk

8.      Risk management Process: Risk Identification and Evaluating, property and liability Loss Exposures, Life, Health and Loss of Income Exposures, Risk Management techniques non-insurance Methods, Insurance as a Risk Management Technique-Principles, Selecting & Implementing Risk Management Techniques.

9.      The Risk Management Environment: Risk Management and the Insurance Industry, The field of Insurance, Types of Insurance, Globalization of Risk Management and the Insurance industry functions and organization of Insurers- Functions of Insurers, Reinsurance.

 

Basic Text:

         1.   Insurance Principles & Practice by CII tuition Services.

         2.   Risk Management and Insurance- Rejda

References:

         1.   Elements of Insurance by AzizulHuq Chaudhuri.

 

 

Course Code: FIN- 3102

Course Title: Monetary Economics

Credit points: 03; Marks – 100

 

1.      Money-An Introduction: Definition and kinds of Money- evolution of Money- Role of money in the modern economy- The globalization of money, banking and financial markets.

2.      Nature and Functions of Money: Functions-Primary-Secondary-Contingent functions, Basic purpose of money-Forms and measuring the amount of money in circulation.

3.      Multiple Deposit Creation and Money Supply Process: Four Players in the Money Supply process, Control of the Monetary Base, Multiple Deposit Creation: A Simple Model

4.      The Demand for Money: The motives for Holding Money, The Transactions demand for Money, The portfolio demand for Money

5.      Determinants of Money Supply: The Money Supply Model and the Money Multiplier, Factors that determine the Money multiplier, Additional Factors that determine the Money multiplier

6.      Classical Monetary Theory: The classical theory of production and employment, Money and aggregate demandInterest rate determination, Classical monetary theory in an open economy.

7.      Monetary Policy: Nature & Objectives of monetary policy- Neutrality of money- Price stability-Exchange rate stability- Choice of an objective- Role of monetary policies in developing economies- Limitations of monetary policy.

8.      Instruments of credit control: Functions of credit control-Methods of general credit control: Bank rate, Open market operation, Variable reserve ratio-Methods of selective credit control: Moral suasion, Publicity, Rationing-Significance & Limitations of selective control.

9.      Rules versus Discretion in monetary Policy: Time lag in monetary policy, Discretionary Monetary policy and inflationMaking, Monetary policy Rules Credible

 

Basic Text:

         1.  Monetary Economics by T.T.Sethi.

         2.  The Economics of Money, Banking and Financial Markets by Frederic S. Mishkin.

 

References:

         1.  Money, Banking and Financial Markets by Roger LeRoy Miller and David D. VanHoose.

Course Code: FIN - 3103

Course Title: Business Taxation

Credit points: 03; Marks – 100

 

1.      Introduction: Taxation Principles – Kinds of Taxes in Bangladesh.

2.      Income Tax: Scope and Meaning of Income – Classification of Income – Allowable and Non-allowable Deductions – Heads of Income.

3.      Assesses: Types and Status – Procedure of Assessment.

4.      Income Computation Under different head of Income.

5.      Income Tax Authorities in Bangladesh: Administrative & Judicial Authority – Appeal – Revision – Penalties.

6.      Tax Return: Preparation of Accounts and Tax Return – Assessment of Individual.

7.      Tax Evasion & Avoidance: Methods – Techniques – Preventive Measures.

8.      Vale-Added Tax

9.      Gift Tax.

10.    Corporate Tax.

 

Basic Text:

         1. Bangladesh Income Tax: Theory & Practice by Nikhil Chandra Shil, Mohammad ZakariaMasud, Mohammad FaridulAlam.

References:

         1.  Income Tax by M.A. Bari

         2.  Income Tax Ordinance 1984.

 

Course Code: FIN- 3104

Course Title: Operations Research

Credit points: 03; Marks – 100

1.      Introduction to Operation Research (OR): Origin and development of OR-Characteristics of OR as a tool in decision-making –Phases of OR –Limitation of OR- Usefulness in developed countries and Bangladesh.

2.      Review of Linear programming and post optimality analysis: Duality of Linear Programming, Shadow prices and their interpretations, post optimality analysis- Range of feasibility, Range of optimality, Range of insignificance and advanced problems, Applications of linear programming.

3.      Transportation problem (AP): Introduction, Solution of an AP, The Assignment Algorithm, Variations of the AP, Unbalance AP –Traveling Salesman problem.

4.      Assignment Problem (AP): Introduction, solution of an AP, The Assignment Algorithm, variations of the AP, unbalance AP- Traveling Salesman problem.

5.      Theory of Games: Introduction, Payoff Matrix, Two person Zero-sum game, Maximum and Minimum criterion saddle points Pure strategy, Graphical solution procedure, Limitation of Games in Completion.

6.      Queuing Theory: Introduction, Characteristics of Queuing Model, and Classification of Queues, Poisson Queuing Model, and Limitation.

7.      Net work Analysis:Net work concepts, Constraint in Network project, Construction of the network diagram Numbing the events (Fulkerrou’s Rule), Net Working calculations, Critical path Method (CPM), Probability consideration in pert, PERT calculation, Limitations of CPM and PETR, PERT (Cost)-Direct and indirect cost. Project total cost, Resources scheduling and smoothing by network technique.

8.      Sequencing model: Concepts, Processing ‘n’ jobs throuh two three and ‘m’ machines, processing of two jobs through machines.

 

Basic Texts:

         1.  Hiller, I.S. and Liberman, G.J (1999): Introduction to Operations Research, New York.

         2.  Richard I. Levin, Danids Rubin, Jocl P. Stirsan, Evenrette s.

 

References:

         1.   Tata, H. A (1999): Operations Research-An Introduction, Pentice Hall, New York.

         2.   Anderson, D.R. Sweeney, D.J. and Willims, T.A. (2000): An Introduction to Management Science, Stepenson.

 

 

Course Code: FIN- 3105

Course Title: Government Finance

Credit points: 03; Marks – 100

 

1.      Public Finance: Concept, Constituents, importance, Comparison between public Finance, Private Finance & Business Finance, Principle of Maximum social advantage. Good Governance-Accountability and Transparency.

2.      Public Expenditure: Concept Growth of Public expenditure, Wagner’s Law, causes of  Expenditure growth, Principles of expenditure evaluation.

3.      Public Revenue: Sources and types of public income, principles of Taxation: cost of Service approach, benefit Principle, Ability to pay approach, Horizontal. Equity VS vertical Equity, Impacts, incidence etc and shifting of tax incidence, Partial equilibrium view of product taxe, partial equilibrium view of Factor taxes; Incidence in general equilibrium, Imperfect markets, theories of tax shifting, Value Added Tax (VAT), Scope of VAT.

4.      Public Debt: Arguments for and against public Debt and economic growth, public Debt and inflation, public Debt Management, Foreign economic assistance, grants & aids-types-channels, and assuming debt burden.

5.      Fiscal Policy of Bangladesh: Types of Gent Budget, arguments for and against balance and deficit budgets, budget procedure of GOB, problems; Fiscal Policy- importance, Fiscal policy, economic stability & Growth.

6.      Contemporary Issues in Public Finance.

Basic Texts:

         1.   Public Finance in Theory and Practice by Richard A. Musgrave & Peggy, B. Musgrave

         2.   Public Finance by Aarrey P Rosen. 

 

References:

         1.   Public Finance by H. L. Bhatia:

         2.   Government Finnace: Economic of Public Sector by John F. Due and Ann F. Friedlaender.

         3.   Public Finance and Development; journal of BCS (B. D. Civil Service)

         4.   Planning Commission: Five Years plan and ADP.

         5.   R. T. Chellish: Fiscal policies in underdeveloped counties.

         6.   Philip & Taylor: The Economics of Public Finance.

 

 

third year Second Semester

Course Code: FIN- 3201

Course Title: Investment Banking & Lease Financing

Credit points: 03; Marks – 100

Investment Banking:

1.      Investment Banking: Definition, History, Functions, Types, Operations.

2.      Laws governing Investment Banking: Securities and Exchange ordinance 1969, Securities and Exchange Rules 1987, Securities and Exchange Commission act 1993, Merchant bank rules, Public Issue Rules, Bond Issue Rules, Right Issue Rules, Credit rating Rules.

3.      Investment Banking process and IPOs: Underpricing, long run performance of IPOs, Hot issue market, Case studies.

4.      Corporate Finance: Underwriting and Syndication, Secondary market making, Dealer-Broker activities.

5.      Trading: Speculation and Arbitrage, Funding and risk management, Merchant Banking in Bangladesh, Other activities

6.      Financial Engineering: Merger, Acquisitions, Joint Venture, Merger and Acquisition strategies, Takeover Process, Defensive Tactics, Valuation, Divestments and De-mergers, Accounting Procedures of Merger.

7.      Merchant Banking Other activities:

 

Lease Financing:

1.      Introduction: Concept, Background, Importance of Lease financing, Definition, types, Comparison with ownership.

2.      Economics of Leasing: Economic Rationale of leasing, evaluating the cost of leasing, Case Studies.

3.      Accounting aspects of Lease financing: Issues related to the accounting for leases.

4.      Tax aspects of leasing: Tax regulations, Factors indicating a sale, Tax effects of a lease, Tax effects of a sale, Comparative analysis of lease with option to purchase, Leveraged leases.

5.      Equipment lease financing: Cost, Planning lease financing arrangements.

6.      Sale and lease back in real estate: Concepts and Case studies.

 

Basic Texts:

         1.   Investment Banking: The New Rules and the Brokerage Game by J. F. Marshall and Ellis.

         2.   Lease Financing- Baker and Hyes.

References:

         1.   Selected reading materials on Investment Banking.

 

 

Course Code: FIN-3202

Course Title: Financial Markets & Institutions

Credit points: 03; Marks – 100

 

1.      Introduction to Financial Market: meaning & Concepts, Forms of Markets: Organized Exchange, Over the Counter Market, Third Market, Fourth Market, Functions Performed by Financial market, Effect of Efficient Financial Market on the Economy, Financial System of Bangladesh, Overview of Market, Participants land Financial Instruments.

2.      Money Market: Overview of Money Market, Instruments: Treasury Bill, Commercial paper, bankers acceptance, money Market mutual funds, Repurchase Agreement, Call Money Fund and Other Money Market Instruments.

3.      Bond Market: Overview of Bond Market, Instruments of bond Market: Treasury debt, agency debt, Municipal Bonds, Corporate bonds, Determining Bond Value.

4.      Term Structure of Interest Rate: Fundamentals of Interest rate Determination, Nominal Vs. real Interest rate, Spot and forward Interest rate & Yield to Maturity, terms structure of Interest Rates, theories of terms structure of Interest rates: The Pure expectations Theory, Liquidity Preference Theory, Preferred Habitat Theory.

5.      Mortgage and Other Asset-Backed Debt Markets: Overview, Mortgage Characteristics, Flexible rate Mortgage, Adjustable rate Mortgage, Other Mortgage Structure, Secondary Market for Mortgage, Pooling and Prepayment Terminology, Other Asset Backed Security Markets.

6.      Equity Market: Overview of equity Market, rating and efficiency of the Equity Market, Types of Equity Ownership: Common Stock, Preferred Stock.

7.      Primary Market Structure: Overview, Private Placement, Public Issues, Underwriting Process and Regulation.

8.      Secondary Market Structure: Concepts, Types: Direct search markets, Brokered Markets, Dealer markets, auction markets. The Mechanics of Trading, Organized markets and exchanges: Dhaka Stock Exchange, Chittagong Stock Exchange, Central Depository System, Regulatory Institutions, Security Exchange Commission, laws relating to Money and Capital Markets of Bangladesh.

9.      Financial Institutions involved in the Financial Markets: Specialized Banks, Islamic Banks, Commercial Banks, Investment Corporation of Bangladesh, House Building Finance Corporation, Non-Depository Institutions, World Banks, IFC, IDA MIGA, ADB & IDB etc.

 

Basic Text:

         1.   Financial Markets, Instruments & Institutions, 2nd Edition, By Anthony Santomero& David Babble, Publisher, McGraw-Hill.

         2.   Foundations of Financial Markets and Institutions by Fabozzi, Modigliani &Ferri

         3.   Financial Market and Institutions by Jeff Madure.

 

 

Course Code : FIN-3203

Course Title : Corporate Capital Budgeting

Credit points: 03; Marks – 100

 

1.      Long-Term Investing and Financial Decisions: Central Role of Wealth Maximization, Who Benefits from Wealth Maximization? Competitive Advantage and Wealth Creation, Overview of the Capital Investment Process, Overview of Long-Term Financing Decisions, the Capital Investment “Crisis”, The Globalization of Investments and Financing, Case Problem.

2.      Measuring Wealth: Time Value of Money, Single Amount Problems, Annuity Problems, Complex Cash Flow Problems, Compounding More Than Once Per Period, Alternate Payment Patterns, Present Value of a No-Growth Perpetuity, Present Value of a Constant-Growth Perpetuity, Case Problem.

3.      Measuring Investment Value: Definition and Illustrations of NPV, Net Present Value and Wealth Creation: Perfect Financial Markets, Income Taxes, NPV, and Wealth Creation, Economic Profit and NPV, Uncertainty and NPV, Uninformed Investors and NPV, Midyear Net Present Value Problem, Case Problem.

4.      Alternate Measures of Capital Investment Desirability: Profitability Index, Internal Rate of Return, Payback Period, Accounting Rate of Return, Summary Example, Testing for Multiple Internal Rates of Return, Capital Budgeting Practice, Case Problem.

5.      Ranking Mutually Exclusive Investments: Reasons for Mutually Exclusive Investments, NPV Is Still Best, Using NPV with Unequal Lives, Cost-Only Analysis, Repair/Replacement Decisions, Complex Investments, Abandonment Decisions, Case Problem.

6.      Estimating Incremental Cash Flows: Relevant Cash Flows, Estimating Cash Flows from a Project, Estimating the Income Statement, Estimating the Balance Sheet, Rolling the Income Statement and Balance Sheet into a Cash Flow Statement, Forecasting Sales, Operating Cost, and Working Capital Needs, Case Problem.

7.      Inflation and Capital Investment Analysis: Inflation Defined, Current and Constant Dollar Prices, Real and Nominal Interest Rates, Inflation and Income, Inflation and Cash Flow, Does Inflation Increase Shareholder Wealth? Recognizing Inflation in Capital Budgeting,  Inflation and Cash Flow Projection, Inflation and the Equivalent Annuity, Inflation, Exchange Rates, and International Capital Projects, Case Problem.

8.      Risk Analysis: Sensitivity Analysis, Break-Even Analysis, Risk Analysis Methods Based on Probability, Managing Risk, Project Selection under Risk, Risk from the Company Perspective: Capital Budgeting with Consideration of Firm Risk Reduction Effects, Risk from the Shareholders’ Perspective: Using CAPM in Capital Budgeting, The use of Mean-Variance Capital Asset Pricing Model (CAPM), Risk-Adjusted Required Return for a Project or Division of a Company.

9.      Cost of Capital: Cost of Capital Concept, Cost of Capital Components, Weights for the Weighted Average Cost, Marginal Cost of Capital Schedule, Some Additional Issues in Cost of Capital Analysis, Costs of Capital for International Capital Investments, A Comprehensive Example and Case Problem.

10.    Interactions Between Investment and Financing Decisions: The Separation Principle, Wealth Transfers and Capital Investment Decisions, Investments That Change the Risk Characteristics of the Firm,  Special Financing Opportunities and Capital Investment Evaluation, Some Alternate Methods for Dealing with Financing Mix, Case Problem.

11.    Capital Rationing: Reasons for Capital Rationing, A Model for Capital Rationing, The Internal Rate of Return and Capital Rationing, The Profitability Index and Capital Rationing, Selection among Mutually Exclusive Investments under Capital Rationing, Case Problem.

 

 

 

12.    Capital Budgeting in Nonprofit Organizations: The Importance of Nonprofit Organizations, Strategy in Nonprofit Organizations, Management and Governance of Nonprofits, Capital Budgeting in Nonprofits, Accounting Rules for Nonprofits, Capital Structure and Nonprofits, Cost of Capital in Nonprofit Organizations, Capital Rationing, Case Problem.

13.    Multicriteria Capital Budgeting and Linear Programming: The General Linear Programming Problem, Solving Linear Programming Problems with Excel, Multiple Goals and Constraints in Capital Budgeting, Capital Rationing, Other Mathematical Programming Techniques, Business Use of Mathematical Programming Techniques, Case Problem.

 

Basic Texts:

         1.   Neil Seitz, 2004, Capital Budgeting and Long-Term Financing Decisions, 4th Edition, South-Western College Publishers.

         2.   Don Dayananda, Richard Irons, Steve Harrison, John Herbohn and Patrick Rowland, 2002, Capital Budgeting: Financial Appraisal of Investment Projects, Cambridge University Press.

         3.   Haim Levy, Corporate Capital Budgeting

 

 

Course Code: FIN-3204

Course Title: Auditing

Credit points: 03; Marks – 100

 

1.      Demand for Audit & Assurance Services: Economic demand for auditing- Nature of auditing- Auditing vs. Accounting-Types of Audits-Types of Auditors.

2.      The CPA profession: CPA firms- Activities- Structure-AICPA-GAAS-Statements of auditing standards.

3.      Audit Reports: Standard unqualified Audit report- Unqualified Audit Report with explanatory paragraph or Modified wording – Departures from an Unqualified Audit Report – Materiality – Auditor’s Decision process or Audit Reports.

4.      Professional Ethics: What are Ethics? - Special Need for Ethics Conduct in Profession – Code of profession Conduct – Independence – other Rules of Conduct.

5.      Audit responsibilities and Objectives:Objective of conduction an Audit o Financial Statements – Management’s – Auditor’s Responsibilities – Auditor’s Responsibilities – Setting Audit Objectives- transaction – relater Audit Objective – Balance related Audit objectives.

6.      Audit Evidence: Nature of Evidence – Audit Evidence Decisions – persuasiveness of Evidence - Types of Audit Evidence – Analytical procedures – Five types of analytical procedures.

7.      Audit planning and Documentation: Planning – Preplan the Audit – Obtain information about client’s legal obligations – perform preliminary Analytical procedures.

8.      Materiality and Risk: Materiality – set Preliminary Judgment about materiality – Allocate preliminary judgment about materiality to segments (tolerable misstatement) – estimate misstatement and compare with preliminary judgment – Risk – Types of risk – Factors Affecting acceptable Audit Risk - Factors Affecting Inhere Risk- other Materiality and Risk Considerations.  

9.      Internal control and control risk: Client and auditor concerns- Components of internal control- Procedures of obtain an understanding of internal control – Assess Control risk- Tests of control..

10.    Impact of IT on the Audit process: How information technologies enhance internal control- Assessing Risk of information technology- Internal controls Specific to information Technology- Impact of information Technology on the Audit process.

 

Basic Texts:

         1.   Auditing by Arens&Loebbecke, Prentice Hall International Inc.

         2.   International Auditing Guidelines.

References:

         1.   Auditing: Culey and Bauer.

         2.   Auditing Principles: Stellier.

 

Course Code: FIN-3205

Course Title: MIS & E-Business

Credit points: 03; Marks – 100

Financial Information Systems:

 

1.      Introduction: The concept of Information Technology (IT), Evolution of IT, Expanding role of IT.

2.      Computer Software: Introduction, Types, Application of Software, Computer Programs – Common tools of analysis – Flow Chart – Decision Table – Languages for computer – Program Coding – Program debugging and testing – Program documentation and maintenance. Operating systems.

3.      Information System in an organization: Definition of IS-Types of IS in an organization-Functional perspective of IS,

4.      Telecommunications and Networks: Introduction–Needs–Components of computer networking and its design–Types– PC Networking–LAN–WAN–VAN-MAN, E-Business.

5.      Strategic Information System: Overview of Systems, Business level strategy and the chain model, firm-level strategy and IT, Industry – Level strategy and IS: competitive forces and network economics, using system for competitive advantage: Management issues.

6.      Data base management system: Definition of Data and database- Hierarchy of DBMS in an organization- DBMS- Types of DBMS- Data mining- Data Warehouse- Problems with traditional database.

 

E-Business:

1.      E-commerce: Concepts, types, advantages and drawbacks, Commerce Net, E-commerce and WWW. level of use by companies, growth and use pattern. Developing an E-commerce strategy, inter-organizational E-commerce, E-commerce and Entrepreneurship development, Future trends in E-commerce. 

2.      Electronic Payment System (EPS): Concept, types, digital token based EPS: E-Cash and its properties, business issues, risks and legal issues of E-cash, E-checks, Smart Cards, refit cards, Risk and EPS, Designing EPS, Designing EPS and Financial Institutions in information age.

3.      Electronic Data Interchange (EDI): Concepts, Components, applications in business, Legal, Security and privacy issues of EDI, EDI Interchange Agreement and Electronic Fund transfer (EFT), Digital documents.

4.      Financial Issues of E-Commerce: E-Commerce readiness of a country, Effect of Tax and price difference in differ4ent countries, financial costs (hidden and unbidden) involved in E-Commerce, Different methods of payments and their arrangements with financial institution.

5.      Security, Privacy and Ethics of E-commerce: Uniqueness, data and message security, sources of security flaws, Technologies for security: Firewalls, encryption, digital signatures, digital certificates and authorities, Managerial steps for security, responding to security incidents, privacy issues, and ethics related to E-Commerce. 

6.      E-Banking: Concept, Use of Computers in Banks, E-Banking Vs Internet Banking, Emergence of E-Banking, Structure, ATM. PC home banking, Internet Banking, Types of internet banking, Challenges of E-Banking. Automated Clearing House (ACH), Inter Brach Reconciliation, Foreign Exchange Dealing. Investment Management Systems, Cash Management Systems, Statistical analysis, new forms of financial services.

7.      Different Issues in E-Banking: Financial issues related to E-Banking, Problems and prospects of adoption of E-Banking, Role of government and International coordination.

8.      E-Business in Bangladesh: Present status of E-Commerce and E-Banking, Problems and prospectors, E-Business strategy for Bangladesh, organizations related to E-Commerce, It policy and National Telecommunication Policy of Bangladesh.Impact of E-Banking in Banking sector, Electronic document and fund transfer in Bangladesh: SWIFT and other technologies. Future trends in E-Banking in Bangladesh.

 

Basic Texts:

         1.   Management Information System by K.C. Loudon & J. P. Loudon.

         2.   E-Banking & E-commerce by Professor Shibli Rubayet-Ul-Islam

         3.   Lipis, Marshall, Linkers Electronic Banking by John Wiley and Sons.

 

References:

         1.   Management Information System by James O. Brien.

         2.   E-commerce by Turban, Lee, King, Chung.

         3.   Frontiers of Electronic Commerce by Ravi Kalakota & Andrew B. Winston.

 

 

Fourth Year First Semester

Course Code: FIN-4101

Course Title: International Trade & Finance

Credit points: 03; Marks – 100

 

1.      Introduction: Meaning and Definition of International Trade, Scope of International trade, Historical development of International trade, International trade versus Inter-regional Trade.

2.      International trade Theories: The Mercantilist view on Trade, Adam smith’s theory of Absolute Advantage, David Ricardo’s Law of Comparative Advantage, Offer Curves and The Terms of Trade, Factor endowments and Heckscher-Ohlin (H-O) Theory, Intra industry Trade Theory,

3.      International Trade policy: Trade restrictions, Tariffs-basic analysis, Arguments for and against tariff, Other national policies affecting trade-import quota, import discriminations, export barriers, export subsidies and countervailing duties, dumping, economic integration, custom union, free trade areas, international resource movements and the role of multinational corporation in international trade.

4.      Foreign Trade Procedure: Participants of foreign exchange market, the spot market, and the forward market, Management of foreign exchange risk Hedging, arbitrage, Swaps, Speculation.

5.      The Balance of payments: Basic Definitions of Balance of Trade and Balance of Payments: The Current account, the Capital account, the Official Reserve account, Double–Entry Book keeping, Measuring the deficit or the Surplus, or Official Intervention.

6.      Joint Venture Financing.

 

Basic Texts:

         1.   International Economics by Dominick Salvatore.

         2.   Theory & Problems of International Economics, 4th Edition, by Dominick Salvatore.

         3.   International Economics by Kindleberger

References:

         1.   International Economics (Selected Chapters)

         2.   10th Edition, 1996

         3.   Peter H. Linder and Thomas A Pugel IRWIN

         4.   USA, UK, Australia, Japan.

 

Course Code: FIN- 4102

Course Title: Real Estate Finance

Credit points: 03; Marks – 100

 

1.      Real Estate Investment: Basic Legal Concepts: Property Rights and Estate, Interests, Encumbrances, and Easements, Assurance of Title, Methods of Title Assurance, Recording Acts and Limitations on Property Rights.

2.      Real Estate Financing: Notes and Mortgages: The Mortgage Instrument, Assumption of Mortgage, Acquiring Title “Subject to” a Mortgage, Other Financing Sources, Land Contracts, Default, Alternatives to Foreclosure: Workouts, Foreclosure, Judicial Foreclosure and Bankruptcy.

3.      Mortgage Loan Foundations: The Time Value of Money: Compound Interest, Compound or Future Value, Present Value, Compound or Future Value of an Annuity, Present Value of an Annuity, Accumulation of a Future Sum and  Determining Yields or Internal Rates of Return on Investments.

4.      Fixed Interest Rate Mortgage Loans: Determinants of Mortgage Interest Rates: A Brief Overview, Understanding Fixed Interest Rate Mortgage (FRM) Loan Terms, Calculating Payments and Loan Balances—Fixed Interest Rate Loans, Summary and Comparisons: Fixed Interest Rate, Constant Payment Mortgage (CPM) Loans with Various Amortization Patterns and Other FRM Loan Patterns––Declining Payments and Constant Amortization Rates

5.      Adjustable and Floating Rate Mortgage Loans: The Price Level Adjusted Mortgage (PLAM), ARMs and Floating Rate Loans: An Overview, ARM Payment Mechanics, Expected Yields on ARMs: A Comparison.

6.      Underwriting and Financing Residential Properties: Underwriting Default Risk, Classification of Mortgage Loans, The Underwriting Process, The Underwriting Process Illustrated, The Closing Process and Settlement Costs Illustrated.

7.      Income-Producing Properties: Leases, Rents and the Market for Space: Property Types, Supply and Demand Analysis, The Business of Real Estate, The “Market” for Income-Producing Real Estate, Income Potential—Real Estate Assets, General Contents of Leases and  Developing Statements of Operating Cash Flow.

8.      Valuation of Income Properties: Appraisal and the Market for Capital: Introduction, Valuation, Fundamentals, Appraisal Process and Approaches to Valuation, Sales Comparison Approach, Income Approach and Cost Approach.

9.      Financing Land Development Projects: Characterization of the Land Development Business, The Land Development Process—An Overview, Lender Requirements in Financing Land Development, Residential Land Development Illustrated and Project Feasibility and Profitability.

10.    Real Estate Financing Procedure in Bangladesh: Case study.

 

Basic Text:

       1. Real Estate Finance and Investments by Brueggeman and Fisher.

References:

       1. Real Estate Finance by Brueggeman and Stone.

 

 

Course Code: FIN- 4103

Course Title: Analysis of Financial Investment

Credit points: 03;  Marks – 100

 

1.      Introduction to Investment: Concepts, Types of financial Decisions, Sources of Financial Information, Importance, Investment Decision process, Basis of Investment Decision.

2.      An overview of Securities Market: Primary market, Secondary Market, Money and  Capital market Instruments, Security Trading Process, Derivatives, Options, Futures,  Bonds, Common Stock & Asset Backed Securities.

3.      Statistical Concepts regarding Investment Decisions: Risk, Types of risk, Sources       of risk, Methods of measuring risk- absolute measures and relative measures, Return, components of return, Ex-post and Ex-ante return.

4.      Economy Analysis: Economy/Market Aspects: Economy and the Stock market, Business Cycle, Macro Economic Factors of the Economy, Understanding the Stock Market, Determinants of Stock Price, Valuing the Market, Information about the        Economy etc.

5.      Industry Analysis: Industry Aspects: concepts, Types, Importance of Industry analysis, Industry life cycle, Qualitative aspects of Industry analysis, Evaluating Future Industry Prospects.

6.      Security Analysis:  Company Aspects: Fundamental Analysis, Accounting aspects of earnings, problems with reported earnings, Analyzing Company’s profitability, ROA, EPS, P/E Ratio, Information regarding estimates of earnings and Common Stock.

7.      Bond Analysis: Valuation & Strategy: Why buy Bonds? Bond Market, Valuation and Bond Management Strategy etc.

8.      Stock Analysis: Valuation & Strategy: The Present Value Approach, Dividend Discount Model: Zero Growth, Constant Growth, Supernormal Growth, P/E ratio Approach, Other Approaches, Active& Passive Strategies.

9.      Investments in Real Asset: Advantages and Disadvantages of Real Assets, Real Estate as an Investment, Financing of Real Estate, Types of Mortgages: Fixed, Variable & Adjustable rate mortgages, Forms of Real estate ownership, Real estate financing companies in Bangladesh.

10.    Investment Companies: Concepts, Types: Unit Investment Trusts, Closed and Investment companies, Mutual Funds & its types, Performance, Arrangements of Investment through Investment Company, different Investment Companies Operating in Bangladesh.

 

Basic Text:

         1.   Investment-Analysis and Management by Charles P. Jones.

References:

         1.   Investment Analysis and Portfolio Management by Reilly & Brown.

         2.   Fundamentals of Investment Management -Hirt& Block

         3.   Selected Reading Materials on Investment Analysis.

 

 

Course Code: FIN-4104

Course Title: Entrepreneurship and Project Development

Credit points: 03; Marks – 100

Entrepreneurship Development:

1.      Introduction: Meaning of Entrepreneurs; types-functions and required qualities of Entrepreneurs; Meaning of Entrepreneurship; Features and basic needs of Entrepreneurship; types of Entrepreneurship; role of Entrepreneurship in industrialization and economic Development; Environmental VS. Manger; Entrepreneurship Development Cycle.

2.      Theories & Entrepreneurship Development: Psychological theory-McClelland’s theory of need for high achievement; socio-cultural theory-Everett Hagen’s theory of with drawl of status; Schumpeter’s theory of Economic Development- Entrepreneurship.

3.      Environment for Entrepreneurship: Meaning; Importance; “Elements of Entrepreneurship Environment; Factors influencing Entrepreneurship Environment;

4.      Business Plan: Environment Scanning procedure; SWOT Analysis; Techniques of Environment Analysis; Meaning; Benefits/Necessities; Elements of Business Plan; Pitfalls to avoid in a Business Plan; preparation of a business Plan-Production Plan-Marketing Plan-organization land personnel Plan-financial Plan., Starting a new Business, Buying an existing Business and Franchising:

5.      Management of Small Enterprise: Meaning; Features; importance & problems of small enterprises; characteristics of management in a small enterprise; comparison with large enterprise; management process; Planning a small Business; Establishing a small Concern; Policy guidelines & institutional assistance for small enterprises in Bangladesh; coordination among the institutions involved in developing small business.

6.      Entrepreneurship Development in Bangladesh:Women & Minority Entrepreneurs, Entrepreneurship development practices in Bangladesh,Case studies of Some Successful Entrepreneurs in Bangladesh.

Project Development:

1.      Introduction: Definition and types of projects, project life cycle, project design with logical framework, capital budgeting process.

2.      Project Management: Definition of project management, project planning and control, Project scheduling, Project resource allocation, different aspects of project management.

3.      Project Appraisal: Definition, objectives, scope and type of appraisal, derivation of cash flow, discounting techniques, Net Present Value, Benefit to Cost ratio, Internal Rate of Return, market feasibility study, Technical appraisal, financial appraisal, economic and social appraisal, environmental impact assessment.

4.      Project Risks: Different types of risks with projects, measures of project risk, analysis under uncertainty, sensitivity analysis, scenario analysis, montecarlo simulation, decision tree analysis.

5.      Project Implementation: Implementation planning techniques, use of Critical Path Method and Program Evaluation Review Technique as implementation tools, strategic planning.

6.      Project Monitoring and Evaluation: Monitoring and its importance in project implementation, explanation and exercise of monitoring formats, evaluation of projects.

7.      Project Termination: Reasons for termination, the varieties of project termination, critical issues in successful project termination.

8.      Project Leadership: The route to be a good project manager, managing versus leading a project, qualities of an effective project manager, managing project stakeholders, team building.

 

Basic Texts:

1.      Dorald F. Kuratko and Richard M. Hodgetts, Entrepreneurship: A Contemporary Approach, Latest Edition the Dryden press, Harcourt Brace college publishers.

2.      Dr. A. R Khan; Entrepreneurship and Small Business Development, Latest Edition.

3.      Projects: Planning, Analysis, Financing, Implementation, andReview, 2009, Prasanna Chandra, 7th Edition, Tata McGraw Hill Education Private Limited.

References:

1.      Monohor U. Despands; Entrepreneurship of Small Seal Industries; Concept Growth and Management, Deep Publications, New Delhi, Latest Edition.

2.      Calvin A. Kent (Edited), The Environment Entrepreneurship, Lexington Books, D. C. Health and Company, Lexington, Massachusetts, Toronto.

3.      A.H.M. Habibur Rahman and Associates, Entrepreneurship and Small Enterprise Development in Bangladesh, Bureau of Business Research, University of Dhaka, 1979.

4.      Practical Project Management by Ghattas, R.G. and Mckee, Sandra L., Pearson Education Asia.

5.      Project Management: A Managerial Approach by Meredith, Jack R and Mantel Jr., Samuel J, John Wiley and Sons, Inc.

 

Course Code: FIN- 4105

Course Title: Development Finance

Credit points: 03; Marks – 100

 

1.      Introduction: Evolution of Development Economics, Development vs. Growth, concepts, indicators and measurements of Development, Obstacles to Development, Basic requirements for economic development, Diversity and common characteristics of developing countries.

2.      Theories of Growth and Development: Classical views, Institutional views, Harrod-Domar growth model, Neoclassical views-Solow-swan growth model, and Endogenous growth models.

3.      Poverty and Inequality: Concepts of Poverty and inequality, Dualism-different kinds of dualism, Theories of poverty and inequality – Ricardos, two sector model, Lewis model, Marx’s view of p

4.      Foreign Aid, Foreign Investment, and Development: The International flow of financial resources, Foreign aid – concept and measurement problems, Donor’s perspective and recipients perspective of aid, Effects of aid, Foreign direct investment (FDI) – The role of multinational corporations, merits and demerits of FDI.

5.      International Trade and Development: Trade strategies for development – Export-promotion vs. Import Substitution, Trade and growth – Economic integration – Regional blocks and free trade agreements – Globalization and development – The role of WTO, Environmental issues and sustainable development.

6.      Economic Development in Bangladesh: Issues – population, poverty, foreign aid and trade. Developments strategies for Bangladesh – Role of donors and international organization, Micro-credit programs, Millennium Developments Goals (MDGs), NGO activities.

 

Basic Texts:

         1.   Economic Development by Michael P. Todaro.

         2.   The Economic Development and Planning by M. L. Jhingan.

 

References:

         1.   An Introduction to Development Economics by SubrataGhatak.

         2.   Economics Development by Dwight H. Perkins et. al.

 

 

forth year Second Semester

Course Code: FIN- 4201

Course Title: Working Capital Management

Credit points: 03; Marks – 100

 

1.      Introduction: Concepts of Working Capital, Composition, and Significance of W/C Management.

2.      Approaches to Working Capital Management: Approaches, Relationship between Current Asset Current Liabilities, Determinants of Working capital, Measuring Working Capital.

3.      Working Capital Cycle: Planning and forecasting working Capital needs, Why hold Cash & Marketable securities, Money Market, Flotation and Check Clearing, Lock box location problem, Cash Concentration Strategies, Disbursement Management.

4.      Management of Cash: Cash Forecasting, Types Cash forecasting, Methods of Financial Forecasting, Uncertainty in Cash Forecasting, Hedging Cash Balance uncertainties, Models for the management of Cash & Temporary Investments, Cash Budget.

5.      Management of Accounts Receivables: Terms of Sale Decisions, Standard Approaches for Credit Granting Decision Monitoring Accounts Receivables, Bad Debt losses monitoring.

6.      Valuation and management of Various Types of Inventories: Concepts, Alternative to holding Inventory, Costs in Inventory System, Approaches to Inventory Management, EOQ, ABC, Just-In-Time Model.

7.      Current Liabilities Management: Short term Financing and its Sources, management of Accounts Payables, Notes payables, Accruals, Short term Bank Loan.

8.      Working Capital management Practice in Bangladesh.

 

Basic Text:

         1.   Working Capital Management: Text and Cases by Frederick C. Scherr

         2.   Modern Working Capital Management by Hampoton , J.J. &Celilal, L..W.

         3.   Reading Materials provided by Course Teacher.

 

References:

         1.   Working Capital management by VE Ramouoorthy.

 

Course Code: FIN-4202

Course Title: Financial Statement Analysis & Valuation

Credit points: 03; Marks – 100

 

1.      A Framework for Business Analysis and Valuation Using Financial Statements :  The Role Financial Reporting in Capital Markets- From Business Activities to Financial Statements- From Financial statements to Business Analysis.

2.      Strategy Analyses: Industry analysis- Degree of Actual and Potential Competition- Relative Bargaining Power in input and output markets- Applying industry Analysis: The personal computer industry- Competitive strategy Analysis- Applying competitive strategy Analysis- Corporate strategy Analysis.

3.      Overview of Accounting Analysis: The industry framework for financial reporting- Doing Accounting Analysis- accounting Analysis pitfalls- Value of accounting data and and accounting analysis.

4.      Asset Analysis: Historical cost and conservatism- Asset reporting challenges- common misconceptions about asset accounting.

5.      Liability and Equity Analysis: liability definition and Reporting Challenging – Common Misconception about liability Accounting – Equity definition and Reporting challenges.   

6.      Financial Analysis: Ratio Analysis – Cash flow analysis.

7.      Prospective analysis: Forecasting: Relation of Forecasting recasting to other analyses – The techniques of forecasting – Elements of the detailed forecast- sensitive Analysis.

8.      Equity security Analysis: Investor objectives- Equity security and market efficiency- Approaches to fund management and securities analysis – The process of a comprehensive security analysis- Financial statement date and security prices.

9.      Credit Analysis and Distress Prediction: The market for credit- The credit analysis process- Financial statement analysis and public debt- prediction of distress and turnaround.

10.    Mergers and Acquisitions: Motivation for merger or acquisition- acquisition pricing- acquisition financing- acquisition outcome.

11.    Corporate financing policies: factors that determine firm’s debt policies- the optimal long –term mix or debt and equity-the financing of new projects- factors that determine firm’s dividend policies.  

 

Basic Texts:

         1.   Business Analysis and Valuation by Palepu, Healy & Bernard. South-Western College Publishing.

 

References:

         1.   Financial Statement Analysis by George Foster, 2nd Edition

         2.   Financial Statement Analysis and Security Valuation by S. H. Penman

 

Course Code: FIN-4203

Course Title: Financial Derivatives

Credit Hours: 03;  Full Marks-100

 

1.      Introduction: Exchange-traded markets, over the counter markets, forward contracts, futures contracts, options, types of traders, hedgers, speculators, arbitrageurs, dangers.

2.      Mechanics of Futures Markets: Background, specification of a futures contract, convergence of futures price to spot price, daily settlement and margins, newspaper quotes, delivery, types of traders and types of orders, forward and futures contracts.

3.      Interest Rates: Types of rates, zero rates, bond pricing, determining treasury zero rates.

4.      Determination of Forward and Futures Prices: Investment assets vs. consumption assets, short selling, assumptions and notation, forward price for an investment asset, known income, known yield, valuing forward contracts, are forward prices and futures prices equal? Futures prices of stock indices, forward and futures contracts on currencies, futures on commodities, the cost of carry, delivery portions, futures prices and expected future spot prices.

5.      Swaps: Mechanics of interest rate swaps, the comparative-advantage argument, the nature of swap rates, determining the LIBOR/swap zero rates, valuation of interest rate swaps, currency swaps, valuation of currency swaps, credit risk.

6.      Mechanics of Options markets: Types of options, option positions, underlying assets, specification of stock options, margin.

7.      Properties of Stock Options: Factors affecting option prices, assumptions and notation, upper and lower bounds for option prices, put-call parity, early exercise: calls on non-dividend-paying stock, early exercise: puts on a non-dividend-paying stock, effect of dividends.

8.      Trading Strategies Involving Options: Strategies involving a single option and a stock, spreads, combinations, other payoffs.

9.      Binomial Trees: One-step binomial model, risk-neutral valuation, two-step binomial tree, A put example, American options, delta, matching volatility with u and d.

10.    The Black-Scholes-Merton model: Volatility, concepts underlying the Black-Scholes-Merton differential equation, derivation of the Black-Scholes-Merton differential equation, risk-neutral valuation, Black-Scholes pricing formulas, cumulative normal distribution function, warrants and executive stock options, implied volatilities, dividends.

Basic Text:

         1.   Options, Futures, and other Derivatives (6th Edition), John C. Hull.

 

 

Course Code: FIN-4204

Course Title: Corporate Strategy and Ethics

Credit Hours: 03;  Full Marks-100

Corporate Strategy:

1.      Strategy, Policy & Performance : The Global Competitive Landscape, Strategic Managers, Strategy and Policy Making Process, Strategic Leadership, Competitive Advantage, and Superior Performance, The I/O Model of Above-Average Return, The Resource Based Model of Above-Average Return, Strategy in Action – Case Studies.

2.      External Analysis : The General, Industry, and Competitor Environment, External Environmental Analysis, Segments of General Environment, Industry Environment Analysis, Strategic Groups, Competitor Analysis, Porter’s Five Forces Model, Industry and Market Segments, The Macro-environment, Strategy in Action – Case Studies.

3.     Internal Analysis : Analyzing the Internal Organization, Resources Capabilities, Core Competencies, Building Core Competencies, The Roots and Durability of Competitive Advantage, The Building Blocks of Competitive Advantage, Avoiding Failure and Sustaining Competitive Advantage, The Value Chain, Strategy in Action – Case Studies.

4.      Corporate Level Strategy & Policy : Expanding Beyond a Single Industry, Increasing Profitability through Diversification, Types of Diversification, Levels of Diversification, Reasons for Diversification, Value-Neutral Diversification, Value Reducing Diversification, Disadvantages and Limits of Diversification, Choosing a Strategy, Entering New Industries through Internal New Ventures and Acquisition, Strategy in Action – Case Studies.

5.      Building and Restructuring The Corporation: Acquisition – Reasons, Problems and Methods, Restructuring and Reengineering, Reasons for Restructuring, Modes of Restructuring, Downsizing, Down scoping, Leveraged Buy Out, Outcomes of Restructuring, Strategy in Action – Case Studies.

6.      Implementing Strategic Change & Innovation: Cooperative Strategies, Managing Strategic Changes, Building Blocks in Managing Changes, Internal Innovation and Innovation through Acquisition, and their Implementation, Strategy in Action – Case Studies.

7.      Strategic Leadership & Entrepreneurship : Strategic Leadership and Styles, The Role of Top-Level Managers, Entrepreneurship and Entrepreneurial Opportunities, Leadership through Entrepreneurship, International Entrepreneurship, Management Succession, Key Strategic Leadership Actions, Strategy in Action – Case Studies.

 

Corporate Ethics:

1.      Introducing Business Ethics: Concept and meaning of business ethics, importance of business ethics, globalization: a new context for business ethics, sustainability: a new goal for business ethics, moral standards and business ethics, sources of ethical principles, arguments for and against business ethics, moral responsibility. Cases in Action.

2.      Towards A Framework for Business ethics: Concept and meaning for corporation, corporate social responsibility, stakeholder theory of the firm, corporate accountability: the firm as a political actor, corporate citizenship, reasons for ethical problems in business; influences on ethical behavior of a corporation, making ethics work in corporations. Cases in Action.

3.      Managing Business Ethics: Tools and Techniques: Concept and meaning for business ethics management, setting standards for ethical behavior: designing and implementing code of ethics, managing stakeholder relations, assessing ethical performance, organizing for business ethics management. Cases in Action.

4.      Shareholders and Business Ethics: Reassessing the importance of shareholders as stakeholders, understanding corporate governance, ethical issues in corporate governance, shareholders and globalization, shareholders as citizens of the corporation, shareholding for sustainability. Cases in Action.

5.      Employees and Business Ethics: Employees as stakeholders, ethical issues in the firm-employee relationship, employing people worldwide: the ethical challenges of globalization, the corporate citizen and employee relations in varied national context, towards sustainable employment. Cases in Action.

6.      Suppliers, Competitors, and Business Ethics: Suppliers and competitors as stakeholders, ethical issues and suppliers, ethical issues and competitors, globalization, suppliers and competitors: the challenges of global business networks, the corporate citizen in the business community: ethical sourcing and fair trade, sustainability and business relationships: towards industrial ecosystems. Cases in Action.

7.      Ethics in the Marketplace: Implications of corporate market power; antitrust issues; practices to preserve fair competition; free trade versus fair trade; international bribery/corruption; international anti-corruption. Cases in Action.

8.      Government, Regulation, and Business Ethics: Government as a stakeholder, ethical issues in the relation between business and government, globalization and business-government relations, corporate citizenship and regulation: business as key player in the regulatory game, governments, business, and sustainability. Cases in Action.

 

Basic Texts:

         1.   C.W.L. Hill & Gareth R. Jones, Strategic Management, 5th Edition, Houghton Mifflin, 1998.

         2.   Business Ethics: A European Perspective, Andrew Crane and Dirk Matten, 2004, Oxford University Press, University of Oxford.

 

 

References:

1.      Michael A. Hitt, R. Duane Ireland, and Robert E. Hoskisson, Strategic Management: Competitiveness and Globalization – Concepts, 7th Edition, Thomson South-Western Publishing.

2.      Business and Society, 2nd Edition, Thorne McAlister, D., Ferrell, O. C. and Ferrell, Linda, 2005, Aromix Books Company Ltd, Houghton Mifflin Company.

         3.   Business Ethics, A. R. Khan, 2000, Ruby Publications, Dhaka.

 

 

 

Course Code: FIN-4205

Course Title: Corporate Finance

Credit points: 03; Marks – 100

 

1.      Introduction: Concepts, Goal of a Corporation, Role of a Financial Manager, Ethics and   Management objectives, Two period model of Consumption & Investment; Evolution of Corporate Finance.

2.      An Overview of Corporate Financing: Common, stock, Preferred Stock, Bond, Convertibles and Warrant, Issuance of Corporate Securities, Venture Capital.

3.      Estimations of Free cash flow: Project of

4.      Risk & Return Analysis: Concepts of risk, return and the opportunity cost of capital, Measuring portfolio risk, effect of portfolio risk, Diversification and value additively, Measuring market risk, CAPM and its validity, Consumption beta vs. Market beta, APT.

5.      Financing Decisions and Market Efficiency: Corporate financing and the six lessons of market efficiency, Concept of Efficient Market, Forms of Efficient Market.

6.      Capital Structure Theories: Traditional theory, MM theory, Packing order theory, Agency theory, Gordon model, clientle effect, Signaling effect, Financial distress and optimal capital structure.

7.      Dividend Policy: Types of dividend; Dividend theories; Implication of dividend on share prices.

8.      Forward and Future options: Concept- Mechanisms of forward and future options.

9.      Merger and Acquisitions: Merger, Acquisitions, Joint Venture, Merger and Acquisition strategies, Takeover Process, Defensive Tactics, Valuation, Divestments and De-mergers, Accounting Procedures of Merger.

10.    Financial Distress: Admitting

11.    Corporate Restructuring: 

 

Basic Texts:

         1.   Principles of Corporate Finance –Richard A. Brealey and Stewart C. Myers.

References:

         1.   Financial Theories and Corporate Policy – Copeland and Weston.

         2.   Mergers and Acquisitions – Brian Coyle.

                3.             Fundamentals of Corporate Finance –Stephen Ross, R.W. Westerfield& B.D. Jordan. 

 

 

 

JAGANNATH UNIVERSITY

Faculty of Business Studies

DEPARTMENT OF FINANCE

Syllabus for MBA Program

Session: 2022-2023

 

1^st Semester

 

2^nd Semester

 

 

 

 

Course Title: Modern Finance Theory

Course Code: FIN – 5101

Credit point: 03   Total Marks-100

Course Description:

The course develops the main theoretical foundations of finance, including investment decision making, utility theory, portfolio theory, equilibrium asset pricing, arbitrage asset pricing, the term structure of interest rates, option pricing theory, derivatives pricing, asset prices informational efficiency, asymmetric and incomplete information, agency theory, performance measurement, corporate governance, and corporate finance topics. The course constructs the main developments in finance theory over the past 60 years, investigates gaps in current finance practices and investigates the need for future developments. The course provides the theoretical foundations for subsequent finance study.

 

Course Objectives:

The goal of the course is to design perspectives, approaches, tools and methods of independent thinking, analysis, and problem solving. In addition, the course has two broad and inter-related aims: (i) to formulate the essence of finance theory and how various financial aspects fit together; and (ii) to provide an intermediate treatment of some issues in corporate financial policy. These help practicing finance executives and scholars to keep up to date with current developments.

course Contents

 

1.       Introduction: The Economic Theory of Choice, The opportunity set, The Indifference Curve, The Solution, Multiple Assets and Risk.

2.       Capital Markets, Consumption & Investment: Consumption and investment without Capital Markets, Consumption and investment with Capital Markets, Marketplaces and Transaction Costs, Transaction Costs and the Breakdown of Separation.

3.        Investment Decision:  The Certainty Case: Fisher Separation, The Agency Problem, Shareholder Wealth Maximization, Capital Budgeting Techniques, Comparison of NPV with IRR, Cash Flow for Capital Budgeting Purposes, Relaxing the Assumptions.

4.       The Theory of Choice: Utility Theory Given Uncertainty: Five Axioms of Choice under Uncertainty, Developing Utility Functions, Establishing a Definition of Risk Aversion, Comparison of Risk Aversion in the Small and in the Large, Stochastic Dominance, Using Mean Variance as Choice Criteria, A Mean Variance Paradox.

5.       State Preference Theory: Uncertainty and Alternative Future States, Dnfinition of Pure Securities, Complete Capital Market, Derivation of Pure Securities Prices, No-Arbitrage Price Condition, Economic Determinants of Security Prices, Optimal Portfolio Decisions, Firm Valuation, the Fisher Separation Principle and Optimal Investment Decisions.

6.       The Characteristics of the Opportunity Set Under Risk: Determining the Average Outcome, A Measure of Dispersion, Variance of Combinations of Assets, Characteristics of Portfolios in General.

7.       Delineating Efficient Portfolios: Combinations of Two Risky Assets Revisited: Short Sales Not Allowed, The Shape of the Portfolio Possibility Curve, The Efficient Frontier with Riskless Lending and Borrowing.

8.       Techniques for Calculating the Efficient Frontier: Short Sales Allowed with Riskless Lending and Borrowing, Short Sales Allowed no Riskless Lending and Borrowing, Riskless Lending and Borrowing with Short Sales Not Allowed, No Short Selling and No Riskless Lending and Borrowing, The Incorporation of Additional Constraints.

9.        An Introduction to Asset Pricing Model: Capital Market Theory: An Overview, The Capital Asset Pricing Model: Expected Return and Risk, Relaxing the Assumptions, Empirical Tests of the CAPM, Relationship between Systematic Risk and Return, The Market Portfolio: Theory versus Practice.

10.   Multifactor Model of Risk & Return: Arbitrage Pricing Theory Multifactor Model and Risk Estimation.

11.   The Efficient Market Hypothesis: Random Walks and the Efficient Market Hypothesis, Implications of the EMH, Event Studies, Are Markets Efficient.

12.   Introduction of Behavioral Finance: Psychology and market people, investors, portfolio managers, analysis: are they rational? Bounded rationality in real market conditions. Decision making process and behavioral biases.

13.   Heuristics and behavioral biases of investors: The most popular bias in day to day discussion: Anchoring bias. Limited attention, storing and retrieving information, availability bias. Familiarity bias (Health &Tversky,1991).Risk preference, framing bias. Mental accounting 9Tversky &Kahnemann, 1992).Representativeness (Tversky&kahnemann, 1974).Overconfidence and excessiveness trading (Griffin &Tversky, 1992). The analysis of potential consequences.

14.   Behavioral corporate Finance: The decision making process in reality. First level: rational managers. Managerial financing and investment decisions as rational responses to securities market mispricing. Second level: less than rational managers. Behavioral biases of managers. Capital structure choice: behavioral aspects. Investment policy: real investments and M & A deals.

 

Basic Text:

1.       Copeland,Weston and Shastri, Financial Theory and Corporate Policy, 4th edition,Pearson-Wesley,Latest edition.

 

Refernce Books:

1.       Bodie,kane and Marcus,Investments ( 5th edition),McGraw Hill.

2.       Hull, Options, Futures and Other Derivative Securities,7thedition,Prentice Hall,2008.

3.       Daniel Kahneman, paulSlovic and Amos Tversky (eds).(1982).Judgement under Uncertainty: Heuristics and biases, Oxford; New York: Oxford university press.

4.       Kahneman, D.;Tversky,A (1979)."Prospect Theory: An Analysis of decision under Risk"

 

 

International Financial Management

Course Code: FIN-5102    

Credit point: 03           Total Marks-100

 

Course objectives: The under mentioned course outline blends sound theoretical knowledge of international finance in general and foreign exchange in particular with practical and procedural aspects of banks and other financial institutions connected with foreign exchange. Adequate coverage has also been provided for risk management by banks as well as exporters and importers.

Course Overview: With the enhanced coverage, the course should be found to meet better the requirements of post-graduate courses in commerce, international business and, business administration.

 

Course Outline:

1. Multinational Financial Management-An overview: Managing the MNC; Management structure of MNC; why firms pursue International Business; Methods to conduct International Business; Valuation Model for an MNC.
2. International Monetary Systems: Meaning and Concepts; Foreign Trade and Foreign Exchange; Exchange Rates; Fixed Exchange Rates; Floating Exchange Rates; Flexible Exchange Rates; Depreciation and Appreciation; Arbitrage.
3. International Financial Markets: History of Foreign Exchange; Foreign Exchange transactions Meaning; Concepts; Features; Participants; Settlement of Transactions; Two ways Quotation. Forward, Futures & Options Markets.
4. Exchange Rates Determination: Measuring exchange rate movements; Exchange rate equilibrium; Factors influencing exchange rate; Speculating on Anticipated Exchange Rates.
5. Currency Derivatives: Currency Forward market; Currency Futures Market; Currency Options Market; Speculating with Currency Call Options; Hedging with Currency Put Options. Speculating with Currency Call Options; Hedging with Currency Put Options.
6. Measuring Exposure to Exchange Rate Fluctuations: Types of Exposures; Transaction Exposure-Measuring the potential impact of currency exposure; Economic Exposure-Measuring Economic Exposure; Translation Exposure.
7. Managing Transaction and Economic Exposure: Meaning and Concepts.
8. Managing Translation Exposure: Meaning and Concepts.
9. Direct Foreign Investment: Motives for DFI; Comparing benefits of DFI among countries; Benefits of International Diversification; Barriers to DFI.
10. Multinational Capital Budgeting: Inputs for MCB; MCB Examples; Factors to consider in MCB.
11. Multinational Cost of Capital & Capital Structure: Cost of Capital for MNCs; MNC’s Capital Structure Decisions.

 

Text Books:

1. International Corporate Finance, Jeff Madura, Eleventh Edition.

 

 

Reference Books:

Michael H. Moffett, Arthur I. Stonehill and Davis W. Eitman: Fundamentals of Multinational Finance, Pearson Education, Ind. 2003.

 

Course Title: Security Analysis and Securities Law

Course Code: FIN-5103  

Credit point: 03           Total Marks: 100

 

Course Objectives: The laws relevant for the securities market in Bangladesh will be covered under this course. After completion this course, the students will be able to understand and apply these laws (Acts and Regulations) promulgated by the government or issued by the Bangladesh Securities and Exchange Commission and stock exchanges of the country. Further comparisons of these laws with foreign laws will also enable them to understand the weaknesses and economic implications of these laws.

Course Overview:

Security Analysis Content:

1. Overview of Equity Securities: Equity Securities in Global Financial Markets; Types and Characteristics of Equity Securities; Private versus Public Equity Securities; Investing in Non-Domestic Equity Securities; Risk and Return Characteristics of Equity Securities; Equity Securities and Company Value.
2. Introduction to Industry and Company Analysis: Introduction; Uses of Industry Analysis; Approaches to identifying Similar Companies; Industry Classification Systems; Describing and Analyzing an Industry; Company Analysis.
3. Equity Valuation: Concepts and Basic Tools- Estimated Value and Market Price; Major Categories of Equity Valuation Models; Present Value Models: The Dividend Discount Model- Preferred Stock Valuation, The Gordon Growth Model, Multistage Dividend Discount Models.
4. Free Cash Flow Valuation: Introduction to Free Cash Flows, FCFF and FCFF Valuation Approaches; Forecasting Free Cash Flow; Free Cash Flow Model Variations.
5. Market-Based Valuation: Price and Enterprise Value Multiples in Valuation; Price Multiples; Enterprise Value Multiples; Momentum Valuation Indicators; Valuation Indicators: Issues in Practice.
6. Residual Income Valuation: Residual Income; Residual Income Model; Residual Income Valuation in Relation to Other Approaches; Accounting and International Considerations.
7. Private Company Valuation: Introduction; Scope of Private Company Valuation; Definitions of Value; Private Company Valuation Approaches.

 

Required Text:

1. Equity Asset Valuation- Jernald Pinto, Elaine Henry, Thomas Robinson, and John Stowe
2. Security Analysis for Investment and Corporate Finance- AswathDamodaran
3. Fixed Income Mathematics- Frank J. Fabozzi

 

Securities Law Content:

Contents:

1. The Companies Act (Bangladesh), 1994
2. Securities and Exchange Ordinance, 1969
3. Securities and Exchange Commission (Issue of Capital) Rules, 2001
4. Bangladesh Securities and Exchange Commission (Public Issue) Rules, 2015
5. SEC (Merchant Banker and Portfolio Manager) Regulations, 1996
6. Securities and Exchange Commission (Mutual fund) Rules, 2001
7. SEC (Stock Dealer, Stock Broker, and Authorized Representative) Regulations, 2000
8. Dhaka Stock Exchange (Margin) Regulations, 2001 and Securities and Exchange Commission (Margin) Rules, 1999

Texts:

1. Securities Related Ordinance, Act, Rules, and Regulations published by Bangladesh Securities and Exchange Commission

Course Title: Research Methodology & Econometrics

Course code: FIN- 5104

Credit Point: 03 Full Marks: 100

 

Course Overview: This course introduces you to the theory and practice in econometrics for graduate students. While a sound understanding of econometric theory will be beneficial, the course emphasizes the techniques for basic empirical research, interpretation of quantitative results and model evaluations. The contents will cover basics of ordinary least square methods, model specification, maximum likelihood estimation and Limited dependent variable models.

Course Objectives: This course aims to provide an introduction to analyze economic problems using quantitative methods by linking essentials of econometric theory to estimation techniques. At the end of this course, students will be expected to have gained basic skills in developing and interpreting models as applied to a variety of economic problems and data. Additional emphasis is placed on how to deal with economic data, developing a research project, and in developing critical thinking skills in applied economic analysis. By the end of this course the students should be able to apply econometric theory to real world problems; describe the application of statistical concepts to economic analysis; analyze econometric models using real world data; perform research projects

Research Methodology Contents:

1. Fundamentals of Research: The meaning and basic concepts of research and business research; Objectives of research; Research methods Vs. Methodology; Research Approaches; Who does Research; Quantitative and qualitative research; Importance of knowing how to conduct a research; Characteristics of research; Desirable qualities of research; Justifying the merit of a proposed research topic; Evaluating a proposed research; Problems of conducting research.

2. Research Process: Defining research problem and its components; Precautions in Selecting the Research Problem; Reviewing the literature; Setting objectives and hypothesis; Choosing Research Design; Subject Matter of Research Design; Choosing a sample design; Data collection; Processing and analyzing data; developing research Proposal;  Writing report, disseminating and utilizing results.

3. Designing a Study: Study design; non-experimental studies; Experimental studies; Properties of good research design.

4. Sampling and Sample Design: Basic concepts of census and sample Survey; Steps in Sampling Design; Criteria for selecting a Sampling Procedure; Characteristics of a good Sample Design; Different types of Sample Design; determination of sample size.

5. Data Collection Methods: Data Collection: General Discussion; Primary Data and its collection methods; Editing primary data; Secondary data and its sources; Precautions for using secondary data.

6. Processing and Analyzing Data: An overview of processing and analyzing data; data processing operations; essential statistical measures for data analysis; measures of central tendency; measures of dispersion; measures of asymmetry (skewness); measures of relationship.

Econometrics Contents:

1. An overview of Regression Analysis: Defining regression analysis; Estimating single-independent variable model with OLS; Estimating multivariate variable model with OLS; Evaluating the quality of a regression equation; describing the overall fit of the estimated model.

2. The Classical Model: The classical assumptions; The sampling distribution of estimated beta; Violating the assumptions of Classical model; Multicollinearity; perfect Vs imperfect Multicollinearity; Consequences, detection, and remedies of Multicollinearity; Heteroskedasticity; Serial Correlation; consequences, tests and remedies of serial correlation; Misspecification.

3. Time Series Analysis: Time series and their components; Time series models; Smoothing techniques; Trend analysis; Time series decomposition.

4. Factor Analysis: The Mathematical Basis; Types of Methods of Factor Analysis: Centroid Method, Principal Components Method, Maximum Likelihood Method; Rotation in factor analysis; R-Type and Q-Type Factor Analysis; Using SPSS For Factor Analysis

 

5. Applications of Statistical package: SPSS; STATA; EVIEWS; AMOS.

 

6.  Interpretation and Report Writing

(a) Report Writing: Introduction, Pre-writing considerations, Dissertations/Thesis, Style and composition of the Report, Principles of Thesis writing(b) Format of Reporting: Format of Dissertations, Format of Research Reports, Format of Publication in a Research Journal, Format of Qualitative Research,

 

Text Book:

1.      Research Methodology: Methods and Techniques by C R Kothari and Gaurav Garg; 4^th Edition; New age international Limited, Publishers.

2.      Using Econometrics A Practical Guide by A.H. Studenmund, 6^th Edition, Pearson New International Edition 2014.

3.      Applied Econometrics: A Modern Approach by Dimitrios Asteriou and Stephen G. Hal, 1^st Revised Edition 2007, Published by Palgrave Macmillan.

 

Reference Book:

1. Introduction of Econometrics by G.S. Maddala, latest available edition.
2. Basic Econometrics by Damodar N Gujarati, Dawn C Porter, and Sangeetha Gunasekar, latest available edition. 

Course Title: Behavioral Finance and Wealth Management

Course code: FIN- 5105

Credit Point: 03                                               Full Marks: 100

 

Course Objectives:Behavioral Finance is an approach to the analysis of asset prices, corporate finance – and financial decision-making in general–that relaxes some key assumptions of neoclassical financial economics. Namely, it considers a larger class of objective functions, not always compatible with expected utility. Second, it entertains the possibility that expectations are sometimes biased, i.e., not formed and updated in a fully rational Bayesian manner. Third, it considers how various financial market frictions can form ‘limits to arbitrage’. This course is designed to introduce doctoral students to these concepts, and to support them in developing behavioral research ideas of their own. We apply the behavioral approach to the following topics: investment behavior of individuals and household finance more generally, asset pricing, and corporate finance.

Course Outline

1.       Introduction: Behavioral finance; Two great debates of standard finance and behavioral finance; the role of behavioral finance etc.

2.       History of Behavioral Finance Micro: Historical perspective on the link between psychology and economics; modern behavioral finance; psychographic models used in behavioral finance

3.       Incorporating investor behavior into the asset allocation process: Practical application of behavioral finance; best practical allocation; how to identify behavioral biases with clients etc.

4.       Overconfidence bias: bias description; practical application; research review etc.

5.       Representativeness bias: bias description; practical application; research review etc.

6.       Anchoring and adjustment bias: bias description; practical application; research review etc.

7.       Cognitive dissonance bias: bias description; practical application; research review etc.

8.       Availability bias: bias description; practical application; research review etc.

9.       Self-Attribution bias: bias description; practical application; research review etc.

10.   Illation of control bias: bias description; practical application; research review etc.

11.   Conservatism bias: bias description; practical application; research review etc.

12.   Ambiguity Aversion bias: bias description; practical application; research review etc.

13.   Endowment bias: bias description; practical application; research review etc.

14.   Self-Control bias: bias description; practical application; research review etc.

15.   Optimism bias: bias description; practical application; research review etc.

16.   Mental Accounting bias: bias description; practical application; research review etc.

17.   Confirmation bias: bias description; practical application; research review etc.

18.   Hindsight bias: bias description; practical application; research review etc.

19.   Loss Aversion bias: bias description; practical application; research review etc.

20.   Recency bias: bias description; practical application; research review etc.

21.   Regret Aversion bias: bias description; practical application; research review etc.

22.   Framing bias: bias description; practical application; research review etc.

23.   Status Quo bias: bias description; practical application; research review etc.

Text:

Behavioral Finance and Wealth Management

By Michael M. Pompian, Publisher: John Wiley & Sons, Inc. Hoboken, New Jersey, 2006.

 

Reference Book:       

Ackert, L., and R. Deaves, 2010, Behavioral Finance: Psychology, DecisionMaking and Markets, South-Western, Cengage Learning, Mason, Ohio.  

Shleifer, Andrei. 2000. Inefficient Markets: An Introduction to Behavioral Finance. Oxford University Press.                       

 

Course Title: Fixed Income Securities

Course Code: FIN-5211   

 Credit point: 03           Total Marks-100

Course Objectives: This course will provide an advanced understanding of fixed-income securities and their markets, yield measures, risk factors, and valuation measures and drivers. Through cases, and exercises, the student will be able to calculate yields and values of fixed-income securities.

Course Contents:

1. Fixed-Income Securities: Defining Elements- Introduction; Overview of a Fixed-Income Security-Basic Features of a Bond, Yield Measures; Legal, Regulatory, and Tax Considerations- Bond Indenture, Legal and Regulatory Considerations, Tax Considerations; Structure of a Bond’s Cash Flows-Principal Repayment Structures, Coupon Repayment Structures ; Bonds with Contingency Provisions-Callable Bonds, Putable Bonds, Convertible Bonds.
2. Fixed-Income Markets: Issuance, Trading, and Funding- Overview of Global Fixed-Income Markets; Primary and Secondary Bond Markets; Sovereign Bonds; Non-Sovereign Government, Quasi-Government, and Supranational Bonds; Corporate Debt; Structured Financial Instruments; Short-term Funding Alternatives Available to Banks.
3. Introduction to Fixed-Income Valuation: Bond Prices and the Time Value of Money; Prices and Yields- Conventions for Quotes and Calculations; Maturity Structure of Interest Rates; Yield Spread.
4. Understanding Fixed-Income Risk and Return: Sources of Return; Interest Rate Risk on Fixed-Rate Bonds; Interest Rate Risk and the Investment Horizon; Credit and Liquidity Risk.
5. Introduction to Asset-Backed Securities: Benefits of Securitization for Economics and Financial Markets; How Securitization Works; Residential Mortgage Loans; Residential Mortgage-Backed Securities; Commercial Mortgage-Backed Securities; Non- Mortgage Asset-Backed Securities; Collateralized Debt Obligations.
6. Fixed Income Portfolio Management Part I: Framework for Fixed Income Portfolio Management; Managing Funds against a Bond Market Index; Managing Funds against Liabilities;
7. Fixed Income Portfolio Management Part II: Other Fixed Income Strategies: Combination Strategies, Leverage, Derivatives Enabled Strategies; International Bond Investing; Selecting a Fixed-Income Manager. 

 

Required Text:

1. Fixed Income Analysis by Barbara S. Petitt, Jerald E. Pinto and Wendy L. Pirie, CFA Institute Management Series, Third Edition. John Wiley & Sons Inc. 2015.
2. The Hand Book of Fixed Income Securities by Frank J. Fabozzi and Steven V. Mann, McGraw Hill Education Limited 2013.
3. Frank J. Fabozzi, Fixed Income Mathematics

 

Course Title: Portfolio Management

Course Code: FIN-5212   

Credit point: 03           Total Marks-100

 

Course objective: It is well known that security analysis and portfolio management is a pivotal part of economic decision making process. The course is designed with a view to providing a well understanding of the field of investments in securities, making sound investment decisions and recognizing where investment problems and controversies arises and knowing how to solve them.

Course Overview: At the end of this course, the participants will have learned the basis of portfolio theory, construction of portfolio from the relationship of portfolio characteristics to the security characteristics to the method of computing sets of portfolios that investors will find desirable.

 

Course Content

1.          Interest Rates and Risk Premiums: Determination of levels of interest rates; Risk and risk premiums; Real versus nominal risk; Return distribution and value at risk.

2.          Risk and Risk Aversion: Concept of portfolio return and Risk; Elements of portfolio risk; Risk aversion; Utility curve; Portfolio construction; Portfolio variance: Efficient frontier; Combinations line.

3.          Capital Allocation between Risky and Risk-free Assets: Capital allocation across risky and risk-free portfolios; Portfolios of one risky and one risk-free assets; Risk tolerance and asset allocation; the capital market line.

4.          Optimal Risky Portfolios: Diversification and portfolio risk; Portfolio of two risky assets: Asset allocation; The Markowitz Portfolio Selection Model; The Spreadsheet Model; Optimal portfolios with restrictions on risk-free assets.

5.          The Capital Asset Pricing Model: Concept of CAPM; Extensions of the CAPM; The relationship between SML and CAPM.

6.          Index Models: A single-index security market; The CAPM and the Index Model; The industry version of the Index Model; Index Models and tracking portfolios; Return and risk under single index model.

7.          Arbitrage Pricing Theory and Multifactor Models of Risk and Return: Overview of Multifactor Models; APT; Individual Assets and APT; A Multifactor APT; Where to look for factor.

8.          Market Efficiency and Behavioral Finance: Random Walk and Efficient market hypothesis (EMH); Implications of EMH; Event studies and market efficiency dilemma; Behavioral interpretation of market efficiency.

9.          Portfolio Performance Evaluation: Measuring investment returns; The conventional theory of performance evaluation; Performance measurement with changing portfolio composition; market timing; Performance attribution process; Style analysis; Risk-adjusted performance measure-Sharpe index; Treynor index; Jensen alpha.

10.       International Diversification: Global market for equities; Risk return and benefits of factors in international investing and diversification.

11.       The Process of Portfolio Management: Making investment decisions; Constraints; Asset allocation; Managing portfolios of individual investors; Pension funds.

12.       The Theory of Active Portfolio Management: Active portfolio and passive portfolio; Objectives of active portfolio management; Market timing; Security selection.

 

Text Books:

            1. Investment Analysis and Portfolio Management – By Reilly, F.K. and Brown, K.C.

 

Reference Books:

            1. Investment-Analysis and Management – By Jones, C.P.

            2. Modern Investment Theory – By Haugen, R. A.

            3. Security Analysis and Portfolio Management- S. Kevin

 

 

Course Title: Corporate Governance and Restructuring

Course Code: FIN-5213    

Credit: 3;         Total Marks: 100

 

PART A: Corporate Governance

Course Description: This course will teach the fundamental theories and practice of corporate governance. This course covers the history of the corporation, boards of directors, the division of profit sharing and various forms of employee ownership and equity ownership among insiders, regulation, shareholder activism, the impact of takeovers and mergers and acquisitions on governance, ethical issues such as conflicts of interest and insider trading, international corporate governance, and policy developments likely to impact the corporation. Class will be a mix of lecture, case and topic discussion.

Course outcome: After completing this course a participant will be able to adopt the appropriate mechanism for effective governance, value the shareholder and stakeholder rights and responsibilities, adhere to sound principles of direction and management, implement best practices on corporate management, find out the issues and problem to implement the corporate governance in the emerging economics and able to identify the role players and regulators in implementing the corporate governance.

Corporate Governance:

1.       Corporate Governance -An Overview: What is Corporate Governance? Capitalism at Crossroads, Increasing Awareness, Global Concerns, Governance is more than just board pressure and procedures, A historical perspective of corporate governance, Issues in corporate governance, Case Study.

2.       The Theory and Practice of Corporate Governance: The concept of Corporation, Theoretical Basis of Corporate Governance, Corporate Governance Mechanisms, Corporate Governance Systems, Indian Model of Governance, What is “Good” Corporate Governance?, Obligation to Society at Large, Obligation to Investors, Obligation to Employees, Obligation to Customers, Managerial Obligation, Case Study.

3.       Landmark in the Emergence of Corporate Governance: Introduction, Corporate Governance Committees, World Bank on Corporate Governance, OECD Principles, McKinsey Survey on Corporate Governance, Sarbanes- Oxley Act, 2002, Case Study

4.       Right and Privileges of Shareholders: Introduction, Rights of Shareholders, Views of various committees on the issue, Poor track Records of Shareholder Protection, Grievance Redressal Process, Case Study.

5.       Corporate Governance and Stakeholders: Introduction, Corporate Governance and Investors, Relationship between Investor Protection and Corporate Governance, Corporate Governance and, Corporate Governance and Customers, Corporate Governance and Institutional Investors, Corporate Governance and Creditors, Corporate Governance and the Community, Corporate Governance and the Government, Case Study.

6.       Board of Directors -A Powerful Instrument in Governance: Introduction, Role of Board in Ensuring Corporate Governance, Governance Issues Relating to the Board, The Role of Directors, Independent Directors, Directors Remuneration, Family Owned Business and Corporate Governance, Case Study.

7.       The Role of Government in Ensuring Corporate Governance: Introduction, Different Roles of Government in the Economy, State Intervention in Developing Economy, Public Governance and Corporate Governance, Public Governance Requires Restraints of Power, Public versus Corporate Governance.

8.       Banks and Corporate Governance: Why Corporate Governance in Bank?, Corporate Governance and World Bank, Basel Committee on Corporate Governance, Sound Corporate Governance Practices, Corporate Governance in Bangladeshi Bank, Case Study.

9.       Corporate Governance in Developing and Transition Economies: Introduction, Problem Faced by Developing and Transitional Economies, Defining Corporate Governance, Corporate Governance Models, The Institutional Framework for Effective Corporate Governance, Corporate Governance Challenges in Developing, Emerging and Transition Economies.

10.    Corporate Governance in a Global Society: Introduction, Factors Facilitating Globalization, Role of Multinational Corporations, Caux Round Table, Key Global Issues for Business, Corporate Governance, a Prerequisite for Globalization, Case Study.

11.     New approaches to corporate Governance: Five golden rules, corporate governance as an integral part of strategy process, internal and external analysis, stakeholder analysis, formulating strategy and implementation.

 

Basic Text: Corporate Governance- Principles, Policies and Practice, Fernando, A. C., Pearson Publishing.

 

Reference Text: Real-world Corporate Governance, Kendall, Nand Kendall, A., Pitman Publishing.

 

 

PART B: Corporate Restructuring

Course Description: The primary objective of the course is to develop a comprehensive understanding on Corporate Restructuring. This course will cover all major elements of the acquisition process including corporate strategy, valuation, due diligence, financing decisions, transaction structures, restructuring options, takeover defense and integration. It will also uses cases and real-world applications to develop skills necessary to prepare and evaluate the rationale for a proposed transaction.

 

Course Objectives: After completing the course a participant able to adopt the appropriate mechanism for corporate restructuring, comprehensive understanding of Merger and Acquisition, able to develop M & A strategy, Prevent firm from the hostile takeover, Valuation of publicly held companies and find out the synergistic effect from merger and acquisition.

1.       Introduction: Definitions, Types of Meger, Reasons of Merger and Acquisitions, Merger Financing, Merger Professionals, Leverage Buyouts, Corporate Restructuring, Merger Approval Process, Merger Negotiations, Merger Approval Procedures, Short-Form Merger, Freeze outs and the Treatment of Minority Shareholders, Purchase of Assets Compared with Purchase of Stock, Assumption of the Seller’s Liabilities, Advantages of Asset Acquisitions, Asset Selloffs, Holding Companies, Joint Ventures, Strategic Alliances.

2.       Merger Strategy: Growth synergy, diversification and hypothesis of takeovers, Improvement Management Hypothesis, Tax Motives of Merger.

3.       Antitakeover Measures: Anti-takeover measures, Management Entrenchment Hypothesis versus Stockholder interest Hypothesis, preventiveantitake over measures and active antitake over defenses and takeover tactics.

4.       Corporate Restructuring: Divestitures, Divestitures and Spin-off process, Wealth Effects of Sell-offs, Equity carves-outs, Voluntary Liquidation, Restructuringofthe1990s.

5.       Restructuring in Bankruptcy: Types of Business failure, Causes of Business failure, Bankruptcy Law, Reorganization vs. liquidation, prepackaged bankruptcy, corporate control and default liquidation and investing in stressed companies.

6.        Financial Analysis: Hostile versus Friendly Deals: Access to Financial Data, Balance Sheet, Income Statement, Statement of Cash flows, Analysis of Financial Statements and Computer Programs, Financial Ratio Analysis.

7.       Valuation of Mergers and Acquisitions: Valuation Methods: Science or Art?, Managing Value as an Antitakeover Defense, Stock Valuation Methods, Marketability of the Stock, Defining the Earnings Base, Forecasting Methods, Financial Valuation Methodologies, Cost of Preferred Stock, Cost of Common Stock, How the Market Determines Discount Rates, Control Premium, Valuation of Stock-for-Stock Exchanges, Exchange Ratios, Stock Price Variability and Collar Agreement, Bench marks of Value, Desirable Financial Characteristics of Targets, Case Study.

 

Text Book: Mergers, Acquisitions and Corporate Restructurings, Gaughan, P.A., John Wiley and Sons, Inc.

Reference Book: Will be provided later.

 

 

 

 

 

 

 

Course Title: Management of Financial Institutions

Course Code: FIN- 5214

 Credit Point: 03                Total Marks: 100

Course Overview

This course expected to deals with the main issues of financial institutions management, with a major focus on banking institutions. The risk management approach is followed in addressing management issues of financial institutions.  

Course Objective

The main objective of this course is to provide a conceptual framework of current issues in managing financial institutions and their risk management. The course aims at imparting conceptual and analytical skills to the students on the issues relating to management of financial institutions. The specific objectives of this course are to review the role of financial institutions in financial system; to review and analyze the bank performance measures; to review the operations and management of commercial banks and other depository institutions; to learn the basics of financial institution management, including analysis of their financial statements; asset management; liability management; and capital adequacy management; to understand the financial risks faced by the various financial institutions and the various methods to manage them

Course Contents

1. Introduction: Financial Services Industry; Specialness of Financial Intermediaries; Risks of Financial Intermediation.
2. Interest Rate Risk I: Refinancing Risk; Reinvestment Risk; Repricing Model; Weakness of Repricing Model; Maturity Model; Weakness of Maturity Model.
3. Interest Rate Risk II: Duration; Features of Duration; Economic Meaning of Duration; Duration and Immunization; Difficulties in applying the Duration Model.
4. Market Risk: Market Risk Management; Calculating Market Risk Exposure; Risk Metrics Model- Market Risk of Fixed-Income Securities, Foreign Exchange, Equities, and Portfolio Aggregation.
5. Credit Risk: Individual Loan Risk; Credit Quality Problems; Types of Loans; Calculating the Return on a Loan; Retail versus Wholesale Credit; Measurement of Credit Risk; Default Risk Models- Qualitative Models, Credit Scoring Model; Newer Models of Credit Risk Management.
6. Liquidity Risk: Causes of Liquidity Risk; Liquidity Risk at Depository Institutions; Liquidity Risk and Insurance Companies; Liquidity Risk and Property-Casualty.
7. Sovereign Risk: Credit Risk versus Sovereign Risk; Debt Repudiation versus Debt Rescheduling; Country Risk Evaluation.
8. Foreign Exchange Risk: Sources of Foreign Exchange Risk Exposure-Foreign Exchange Rate Volatility, FX Exposure; Foreign Currency Trading; Foreign Asset and Liability Positions- The Return and Risk of Foreign Investments, Interest Rate Parity Theorem.
9. Liability and Liquidity Management: Liquid Asset Management; Composition of Liquid Asset Portfolio; Return Risk Trade-off for Liquid Assets; Liability Management.

Text Books:

1. Financial Institutions Management: A Risk Management Approach- Anthony Saunders & Marcia Millon Cornett

Reference Books:

Financial Markets and Institutions- Anthony Saunders and Marcia Millon

 

Financial Engineering and Alternative Investment

Course Code: FIN – 5215

Credit point: 03           Total Marks-100

 

Course Description:

Financial engineering is the application of mathematical methods to the solution of problems in finance. It is also known as financial mathematics, mathematical finance, and computational finance. Financial engineering draws on tools from applied mathematics, computer science, statistics, and economic theory. Investment banks, commercial banks, hedge funds, insurance companies, corporate treasuries, and regulatory agencies employ financial engineers. These businesses apply the methods of financial engineering to such problems as new product development, derivative securities valuation, portfolio structuring, risk management, and scenario simulation.

 

Course Objectives:

After completing this course a participant will be able to learn about financial engineering tools and sources of other alternative investment options; different mechanism of derivative market and financial instruments like options, swap, forward and futures contract; Learn about the tools and technique to analyze financial problems through financial engineering; know the potential alternative investment sources; Employee attitudes and their effects on organizations

 

course Contents:

Financial Engineering Content:

1. An Introduction to Financial Engineering: The scope of financial engineering, the tools of financial engineering, financial engineering versus financial analysis, where financial engineering fits. Factors contributing to the growth of financial engineering -The environmental factors, intra firm factors.
2. Measuring return: utility, measuring return: profit versus rates, rates of return – before and after taxes, rates of return and compounding, investment horizons.
3. Measuring Risk: Measuring exposure to price risk, managing risk, hedging - size of hedge, measuring hedge effectiveness, cost of a hedge.
4. Understanding Interest Rates and Exchange Rates: debt instruments – the coupon, valuation of debt instruments, the yield curve, investment risks in the debt markets, interest–rates risk – duration and convexity, dollar value of a basis point; default risk, reinvestment risk, call risk, and prepayment risk, purchasing power risk, exchange rates- the determinants of exchange rates, other factors influencing exchange rates.
5. Futures, Forwards and Swaps: Futures, forwards, Forward Rate Agreements (FRAs), FRAs and Swaps, the structure of a swap, interest rate swaps, currency swaps, commodity swaps.
6. Options: Calls and Puts, payoff profiles, hedging with options, cash settled options, interest rate caps, interest rate floors, interest rate collars, miscellaneous interest rate options, compound options.
7. Equity and equity-related instruments: Equity Options; Equity Warrants; Pooled Investment Vehicles; Index Futures and Index Options; Foreign Securities.
8. Hybrid securities: Interest-Rate/ Foreign Exchange hybrid; Interest-Rate/ Equity Hybrid; Currency/ Commodity Hybrid; Pricing efficiency; Arbitrage Transactions; Nonarbitrage Transactions.
9. Hedging and related risk management techniques: Hedge Ratio and their uses; Convergence adjustments in direct hedges; An extension to cross hedges; composite hedging; cost of hedging; Building block approach to hedging.
10. Miscellaneous equity-based strategies: Dividend Capture Strategies; Whole Market Investing; Asset Allocation; Portfolio Insurance; Program Trading; Unbundling Stocks.
11. Future trends: globalization and technology: Recent developments towards financial globalization; Development of New Markets and Market Linkages; Recent Advances in Settlement and Clearing; Globalization, Financial Engineering, and Monetary Policy.

 

Alternative Investments Content:

1. Alternative Investments:  Categories of Alternative Investments; Returns to Alternative Investments; Portfolio Context: Integration of Alternative Investments with Traditional Investments; Investment Structures.
2. Hedge Funds: Hedge Fund Strategies; Hedge Funds and Diversification Benefits; Hedge Fund Fees and Other Considerations; Hedge Fund Valuation Issues; Due Diligence for Investing in Hedge Funds.
3. Private Equity: Private Equity Structure and Fees; Private Equity Strategies; Private Equity: Diversification Benefits, Performance, and Risk; Portfolio Company Valuation; Private Equity: Investment Considerations and Due Diligence.
4. Real Estate: Forms of Real Estate Investment; Real Estate Investment Categories; Real Estate Performance and Diversification Benefits; Real Estate Valuation; Real Estate Investment Risks.
5. Commodities: Commodity Derivatives and Indices; Other Commodity Investment Vehicles; Commodity Performance and Diversification Benefits; Commodity Prices and Investments.
6. Infrastructure: Categories of Infrastructure Investments; Forms of Infrastructure Investments; Risks and Returns Overview.
7. Risk Management Overview: Investment and Risk Management Process; Risk-Return Measures; Due Diligence Overview.

 

Required Text:

1. Financial Engineering- John F. Marshall and Vipul K. Bansal
2. Options, Futures and other derivatives by John C. Hull (Sixth Edition)

 

Reference:

1.   Managing Financial Risk- Smithson, Smith, and Wilford

2.   Introduction to Alternative Investments- CFA Level I: Volume 6