The Municipal Corporation of Hastinapur faced severe financial strains during 2010-2014, resulting from diminishing streams of revenue, poor collection, and rising establishment costs. Besides, the accounts of the Municipal Corporation were in arrears and timely and proper financial information were not available for appropriate decision-making. As a cumulative result of these deficiencies, funding became a challenge and the municipal infrastructure and services deteriorated and could not cope up ...

This case study on Crompton Greaves is meant to enable students to understand what makes Merger and Acquisition (M&A) successful. The objective is to analyze the non-financial factors affecting post-M&A performance along the financial factors for a specific company that has gone for M&A. In this case study, an attempt is made to analyze the M&A strategy of Crompton Greaves and post-M&A performance by applying different financial metrics. This case study focuses on Crompton Greaves' historical ...

This caselet is meant to introduce the students/participants to the concept and connotation of capital rationing as well as the impact of inflation on the project's profitability. After gaining relevant industry as well as academic experience, Pranay Reddy (Pranay) ventured to start his own pharmaceutical firm. Pranay was the Founder and Chairman of Pranay Pharmaceuticals Private Limited (PPPL). Though he earned decent returns in the first year, he was worried about the growing instability in the ...

Three of the capital structure theories - Net Income (NI) approach, Net Operating Income (NOI) approach and Traditional approach - can be analyzed and discussed using this caselet. Capital structure policy typically underlines the trade-off between risk and return. The optimal capital structure is the one that strikes a balance between risk and return, to achieve the goal of maximizing the value of the firm. The caselet through the dilemmas of the protagonist Rahul Mehrotra (Rahul) analyzes which ...

This caselet is meant to introduce the students/participants to the workings of Miller and Modigliani (MM) Hypothesis in capital structure decisions. The caselet through the dilemmas of its protagonist Rahul Mehrotra (Rahul) analyzes the MM theory of capital structure which propounds various propositions under both no-tax and with-tax scenarios. This caselet addresses Rahul’s capital structure dilemma by offering him a financially viable capital structure option that would help maximize ...

ESDS established in 2005 by Mr. Piyush Somani, a young and first generation entrepreneur was a data centre and webhosting services company. He could not avail credit from commercial banks and hence took a term loan of INR75.4 million from Reliable Finance Ltd. Later, he could avail Participatory Debt of INR45.5 million from SIDBI. He approached SIDBI again with a request for a term loan of INR10.5 million. The Branch Manager of the bank's Nashik branch did the credit analysis of the company. Though ...

As per the existing standards of the Financial Accounting Standards Board (FASB) and the International Accounting Standards Board (IASB), accounting of any lease contract in the lessee's accounting books depends on its accounting classification. If a lease contract is classified as a capital or financial lease, then lessee has to recognize the asset taken on lease under the contract as a lease asset on the balance sheet while also recognizing the present value of lease rentals and other cash outflows ...

This caselet is meant to introduce the participants/students to three types of leverages - Operating Leverage, Financial Leverage and Combined Leverage - and their relationship with the value of the firm. Shreya Rao, the Founder-CEO of Shreya Media & Entertainment Private Limited (SMEPL), was planning to launch two new channels after her success with SMEPL. Then again, she was not sure whether she should go the debt way, the equity way or the balanced way. She was not certain how the firm's value ...

This caselet is meant to introduce the participants/students to the concept of bond valuation. Investments in bonds being a major component of individual and institutional portfolio investments, a deeper understanding of the nuances of investing in bonds, bond price theorems including yields and Yield to Maturity (YTM), risks associated with bonds, etc., is warranted for making appropriate decisions. Preeti Jaiswal (Preeti), a young and successful software engineer was facing a dilemma of taking ...

This Case Flyer and the base article1 can be used to understand the business dynamics (cost drivers, revenue sources and other business/operating structures) of a stock broking firm. While the late Dhirubhai Ambani is credited with initiating and spearheading equity culture in India, it was Harshad Mehta who glamorized the broking community. Ironically, the meteoric rise and the abrupt fall of Harshad Mehta thereon became the triggers for reforms in the Indian capital market including setting ...

**IM RAIPUR - ET CASES Award (GSMC 2014) – For a Case, Showcasing Futuristic and Progressive Idea
Does passion always payoff? What if the passion becomes a new found career pursuit? Ramanjaneyulu Vaidyula's (Vaidyula) case highlights the slip between the cup and lip, in converting one's passion into a profitable career pursuit. On November 8th 2010, Vaidyula, sitting in his air conditioned office in Hyderabad, India, felt a trickle of sweat on his forehead as he leaned forward in his ...

This caselet enables an interesting discussion on portfolio risk which can be minimized using Modern Portfolio Theory (MPT). The degree and direction of correlation between asset returns have far-reaching effects on reduction of portfolio risk through diversification. The caselet through the dilemmas of the protagonist Payal Roy (Payal) presents a comprehensive analysis of risk and return associated with portfolio investments. The protagonist of the caselet, Payal was facing a dilemma when she ...

The caselet depicts the dilemmas of the protagonist Ajay Sharma (Ajay) who was not well-versed with financial terminology and calculations. A currency today holds more value than would be the value of the same currency in future. The concept of compounding plays a very crucial role while finalising investment/financing decisions. When Ajay was in the process of financial planning for his family, he faced few dilemmas in taking the right decisions. This caselet can be used to introduce the concept ...

This caselet, meant to be a part of Security Analysis and Portfolio Management Course can be used to ascertain whether and how a progressive portfolio can be constructed based on the macroeconomic indicators. Specifically, this caselet tests the student’s ability to connect the dots between macroeconomic indicators, investment objectives, stock indices, risk-return profile and financial instruments. Himansu and Suditi, analysts with Promarket Analytics, the protagonists of this caselet, ...