JAIPUR NATIONAL UNIVERSITY, JAIPUR
School of Distance Education & Leanin!
""A III Se#este
$inancial %ana!e#ent
""A &'(
%a)* %a+s, (-
ASSI.N%ENT/(
Question No. 1 is compulsory, which consist of 5 questions of 1 mark each (should be short answers
with maximum up to 50 words
!ttempt any " questions out of remainin# $ questions of 5 marks each.
Q.1 Short answer type questions (maximum 50 words): 1x5=5
a) What is operating cyce concept o! wor"ing capita#
$) What is ordering cost#
c) %e!ine &'( anaysis
d) Write two o$)ecti*es o! cash management#
e) What is operating e*erage# +i*e !ormua.
Q., What do you mean $y wor"ing capita management# -xpain the *arious !actors determine the
wor"ing capita. 5
Q.. /adhu$an group manu!actures a product. 0he !oowing particuars are as !oows: 5
/onthy demand 1000 units
(ost o! pacing an order 1s. 100
&nnua carrying cost per unit 1s. 15
2orma usages 50 units per wee"
/inimum usages ,5 units per wee"
/aximum usages 35 units per wee"
1e4order period 5 to 6 wee"s
(ompute:
(1) -conomic order quantity
(,) 1e4order e*e
(.) /inimum stoc" e*e
(5) /aximum stoc" e*e
&*erage stoc" e*e
Q.5 7rom the !oowing particuars wor"out the amount o! wor"ing capita 1equired: 5
Elements of cost Amount per unit
1aw materias 8
%irect a$our ,
9*erheads 6
0ota cost 16
:ro!it 5
Seing price 20
(1) 1aw materias are in stoc"; on an a*erage 1 month.
(,) /aterias are in process; on an a*erage ha! a month.
(.) 7inished goods are in stoc" on an a*erage 6 wee"s
(5) (redit aowed $y creditors is one month.
(5) (redit aowed to de$tors is , months.
(6) <ag in payment o! wages is 1.5 wee"s.
&ssumes 5, wee"s in a year and 5 wee"s in a month.
JAIPUR NATIONAL UNIVERSITY, JAIPUR
School of Distance Education & Leanin!
""A III Se#este
$inancial %ana!e#ent
""A &'(
%a)* %a+s, (-
ASSI.N%ENT/0
Question No. 1 is compulsory, which consist of 5 questions of 1 mark each (should be
short answers with maximum up to 50 words
!ttempt any " questions out of remainin# $ questions of 5 marks each.
Q.1 Short answer type questions (maximum 50 words): 1x5=5
a) What is +ross wor"ing capita#
$) What is -9Q#
c) %e!ine /aximum Stoc" <e*e.
d) %e!ine cash management#
e) What is !inancia e*erage# +i*e !ormua.
Q." %hat do you mean by workin# capital mana#ement& 'xplain the (arious factors determine the
workin# capital.
5
Q.. What do you understand $y 1atio anaysis# What are its imitations# 5
Q.5 -xpain the di!!erence $etween !und !ow statement and cash !ow statement. 5