Unit 1 1-financial markets and institution -gfsu-mba-forensic accounting

Lecture Series Unit No. 1:

Topic: (1) Financial Markets and Institutions

(Course: Forensic Accounting & Homeland Security, GFSU)

CA Vikram Shankar MathurBA (Eco) Hons, FCA, DISA (ICAI), FAFP (ICAI)

Contact No: +91-9998090111 or +91-8460890111.

Email: [email protected] or [email protected]

Website: http://vsmathur.co.in and http://ahmedabadfca.com

FB Profile(s): http://fb.me/vsmathurco or http://fb.me/vsm.ahmfca

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Quick Recap of the last lecture

• Financial Management (aka corporate finance / management finance) is broadly concerned with acquisition and use of funds by a business firm.

• FM emerged as a field of academic study by the turn of this century. Evolution can be divided into 3 broad phases (a) Traditional phase (b) Transitional phase and (c) Modern phase.

• Goal of FM generally understood as maximizing present wealth of the firms equity shareholders. Conceptually superior to alternative like maximization of profit, maximization of Earnings per Share (EPS) and maximization of Return on Equity (ROQ).

• Business firms may or ought to pursue other goals. When these other goals enter into conflict with wealth maximization, trade-off has to be introduced.

• Two basic dimensions of financial analysis: Risk and Return. Other things being equal, the higher the risk, lower the market value and lower the risk, higher the market value.

• FM is an integral part of managers involved in planning, resource allocation and control. There are many other tasks of FM which require specialization like accounting etc which would be attended to by specialists.

• Financial managers in India have to cope with the following: Restrictions on capital structure; fewer instruments of financing; rationing of bank credit; restriction on investment opportunities; poorly developed securities market; greater uncertainty in input supply and tardy bureaucracy.

Wed 3rd Aug, 2016 CA Vikram S. Mathur (GFSU - Lecture series) 2

Financial Markets and Institutions

• Forms of Business Organization

• Financial System

• Regulatory Framework

• Tax System


Forms of Business Organization


• Separate Legal Entity

• Stockholders

•Board of Directors

•Hybrid between Partnership & Corporation

•Allows for partnership with Limited Liability

• Shared Agreement

•More Capital

• Less Regulated

•Easy to start

•More Control

•All the profits

Sole Proprietorship

Partnership

CorporationLLP / LLC











Financial Markets





Indian Tax Structure










Thank you for your patience!!CA Vikram Shankar Mathur

+91-9998090111 / +91-8460890111

(Available on WhatsApp on both numbers, anytime)

[email protected] [email protected]

FB Page: http://fb.me/fcavsmathur.faculty

Website: http://fcavsmathurfaculty.wordpress.com

Education

Unit 1 1-financial markets and institution -gfsu-mba-forensic accounting