B.Com Basic Financial Management

Basic Financial Management is a comprehensive, authentic & well-illustrated book.

This book aims to fulfil the requirement of students of undergraduate courses in commerce and management, particularly the B.Com. under the CBCS Programme, Non-Collegiate Women's Education Board (NCWEB), and School of Open Learning (University of Delhi). This book will also be applicable for undergraduate commerce & management courses at various Central Universities throughout India.

The Present Publication is the 3rd Edition, authored by Prof. (Dr.) Vanita Tripathi, with the following noteworthy features:

• [Elementary but Comprehensive Understanding of Concepts] and techniques related to financial management and financial decision making
• [Examples & Illustrations] have been incorporated throughout this book to make the understanding of the concepts easy
• [Student-Oriented Book] This book has been developed, keeping in mind the following factors:
• Interaction of the author/teacher with their students in the classroom
• Shaped by the author/teachers experience of teaching the subject-matter at different levels for about 17+ years
• Reaction and responses of students have also been incorporated at different places in the book
• [Solved Previous Exam Question Papers]  are covered at the end of the book for the last few years. This will help the students to have a clear idea of the questions usually asked
• The structure of this book is as follows:
• [Learning Outcomes] Every chapter begins with a list of learning outcomes that the reader will achieve after completing the chapter. It sets the broad framework for the chapter
• [Main Text] Various concepts and techniques have been explained in a lucid and well-knit manner. Wherever required, the explanation is supplemented by suitable illustrations and examples
• [170+ Solved Problems] Each chapter provides a sufficient number of solved problems for better understanding and application of the concepts explained in the main text
• [Summary] Each chapter provides a sufficient number of solved problems for better understanding and application of the concepts explained in the main text
• [Test Yourself] Each chapter provides sufficient number of solved problems for better understanding and application of the concepts explained in the main text
• [Excel Applications in Financial Management] The book also contains excel applications in financial management in relevant chapters using a spreadsheet
• The contents of the book are as follows:
• [Financial Management & Time Value of Money] The first unit deals with the overview of financial management and the concept of time value of money. It comprises of two chapters:
• Chapter 1 explains the evolution, nature, scope and objectives of financial management
• Chapter 2 explains the concept and techniques of time value of money
• [Capital Budgeting] The second unit provides a detailed discussion on capital budgeting and the cost of capital. It comprises of three chapters:
• Chapter 3 explains the importance of capital budgeting decisions and estimation of cash flows,
• Chapter 4 discusses elementary techniques of evaluating capital projects, and
• Chapter 5 presents the concept and calculation of the cost of capital
• [Financial Leverage & Capital Structure] The third unit comprehensively explains leverage analysis and financing decisions in a firm, popularly known as capital structure decision. It has two chapters:
• Chapter 6 presents the concept and calculation of various types of leverages, and
• Chapter 7 provides theories of capital structure and factors affecting capital structure choice in an organisation
• [Dividend Decision] The fourth unit comprehensively discusses dividend decisions. Theories of dividend and dividend policies form the core part of this chapter. Students are also explained the importance of a stable dividend policy and various factors affecting dividend decisions in an organisation
• [Working Capital Management] The last unit deals with working capital management, which spans over four chapters:
• Chapter 9 provides an overview of working capital and explains estimation of the net working capital requirement in a firm, and
• Chapters 10, 11 and 12 explain cash management, receivables management and Inventory management, respectively

About the Author

Vanita Tripathi

Dr Vanita Tripathi was a renowned scholar and Professor of Commerce at the Delhi School of Economics, University of Delhi, where she also served as Deputy Dean. A double Gold Medalist in B.Com (Hons.) and M.Com. from Shri Ram College of Commerce and the Delhi School of Economics, she topped her M.Phil. cohort and dedicated more than seventeen years to teaching and research in Investment Management.

Her work earned wide recognition, including:

• Best Business Academic of the Year (BBAY) Gold Medal – 2012
• Prof. Manubhai M. Shah Memorial Research Gold Medal – 2014
• Ten' Best Research Paper' awards at international conferences

Dr Tripathi also led digital-learning initiatives as MOOC and Paper Coordinator for the Financial Management (M.Com.) course under UGC's e-PG PATHSHALA (NMEICT, Ministry of HRD). Over her career, she authored four books and published 78 peer-reviewed papers, including articles in Annals of Financial Economics alongside Nobel laureate Prof. Harry Markowitz.

She is remembered for her contributions to market efficiency, socially responsible investing, corporate finance, and asset pricing, leaving an enduring legacy that continues to guide scholars and practitioners alike.