BCOE-143 · June 2023 · English
IGNOU BCOE-143 June 2023 Previous Year Question Paper
Fundamentals Of Financial Management
Structured previous year question paper for BCOE-143, June 2023 session.
Max marks: 100 · Questions: 9
Verified: 29 Jul 2026
BACHELOR OF COMMERCE
(GENERAL)
Term-End Examination
June, 2023
BCOE-143 : FUNDAMENTALS OF FINANCIAL
MANAGEMENT
Time : 3 Hours Maximum Marks : 100
Note : Answer any five questions. All questions
carry equal marks.
Q1.(a) Discuss the meaning and scope of financial management. 10
(b) What are the responsibilities of the Financial M anager in a Modern Business Organization ?
Q2.(a) Discuss the different types of risk. 10
(b) Differentiate between Capital Asset Pricing Model (CAPM) and Arbitrage Pricing Theory (APT).
Q3.(a) Write a brief note on Net Present Value (NPV) vs. Internal Rate of Return (IRR). 10
(b) A project requires an investment of ` 5,00,000 and has scrap value of ` 20,000 after five years. It is expected to yield profits after depreciat ion and taxes during the five years amounting to ` 40,000; ` 60,000; ` 70,000; ` 50,000 and ` 20,000. Calculate the average rate of return on the Investment.
Q4.(a) What is Cost of Capital ? Discuss the significance of the cost of capital. 10
(b) A company has sales of ` 5,00,000; variable costs of ` 3,00,000, fixed costs of ` 1,00,000 and long -term loans of ` 4,00,000 at 10% rate of interest. Calculate the Composite Leverage. 10 [ 3 ]
Q5.(a) Define Capital Structure . What sh ould generally be the features of an appropriate capital structure ? 10
(b) Discuss the importance of Adequate Working Capital.
Q6.(a) Give a critical appraisal of the traditional approach and the Modigliani -Miller’s approach to the problem of capital structure. 10
(b) Discuss the types of Dividend.
Q7.(a) What is Debenture ? Discuss the types of Debenture. 10
(b) Write down the format of statement of working capital requirements.
Q8.(a) Discuss the cash management models. 10
(b) The f ollowing information is given about materials : 10 Annual usage ` 2,00,000 Cost of placing and receiving one order ` 80 Annual c arrying cost : 10% of Inventory value. Find the Economic Order Quantity (EOQ).
Q9.Write explanatory notes on any two of the following : 10+10
(a) Various aspects or d imensions of Receivable Management
(b) Cash Budget
(c) Gross Working Capital vs. Net Working Capital
(d) Dividend on theory of irrelevance 2023 -143 10+10 BCOE–143 9,4
(10)