INTRODUCTION TO FINANCIAL MANAGEMENT (3 CREDITS- COMPULSORY) COURSE CODE: BUS 209 COURSE TITLE: INTRODUCTION TO FINANCIAL MANAGEMENT NUMBERS

OF CREDIT: 3 CREDITS COURSE DURATION: THREE HOURS PER WEEK, FOR 15 WEEKS (45 HOURS) AS TAUGHT IN 2011/2012 ACADEMIC SESSION LECTURERS NAME: ILESANMI OLADELE AYODEJI QUALIFICATION: NCE ECONS/GEOG OYO STATE COLLEGE OF EDUCATION,WESLEY IBADAN; BSC (HONS) ECONOMICS,OBAFEMI AWOLOWO UNIVERSITY, ILE-IFE; MBA AHMADU BELLO UNIVERSITY, ZARIA;, ph.D Management Science, University of Ilorin, Ilorin. E-MAIL- oasanmi@unilorin.edu.ng OFFICE LOCATION: ROOM5 DEPARTMENT OF BUSINESS ADMINSTRATION, FACULTY OF BUSINESS AND SOCIAL SCIENCES, UNIVERSITY OF ILORIN, ILORIN. CONSULTATION HOURS: TUESDAY & THURSDAY COURSE CONTENT: The scope of financial management, the goals of the firm with emphasis on profit maximisation and wealth maximisation. Sources of finance, working capital management, inventory management, cash management and budgeting, financial ratio, project appraisal techniques, cost of capital, and credit management. 45 T C COURSE OUTLINE: WEEK 1: Nature of Financial Management WEEK 2and 3: Sources of Business Finance WEEK 4: Working Capital Management WEEK 5: Inventory Management WEEK 6: Management of debt WEEK 7: Cash Management and Budgeting WEEK 8: Financial Ratio WEEK 9: Financial Ratio WEEK 10: Project Appraisal Techniques WEEK 11: Project Appraisal Techniques WEEK 12: The cost of capital WEEK 13: The cost of capital WEEK 14: Credit Management WEEK 15: Revision General Review COURSE JUSTIFICATION Finance is about money and markets, but it is also about people. The success of a corporation depends on how well it harnesses everyone to work to a common end. The financial manager must appreciate the conflicting objectives often encountered in financial management. A study of financial management is imperative for business students with a view to device ways of improving financial management in public and private sectors so as to improve both management practices and services. The knowledge acquired by students undergoing studies in financial management will help their organisation to achieve the three aims of financial management i) Keeping the business solvent, ii) Maintaining sufficient liquidity so as to meet liabilities as they become due and,

iii) Ensuring that the organisation grows and is run efficiently. The rationale for this course is to promote an understanding of the theory of financial management which will provide students with the conceptual and analytical insight to make personal and business decisions skilfully. COURSE OBJECTIVES The main aim of this course is to introduce students to financial management and for them to understand and appreciate the importance of financial management in business and the development of the nation at large. At the end of this course, student will be able to: 1. Explain the nature of finance and financial management 2. Describe the various sources of business finance decision 3. Identify and explain the basic finance decision, 4. Discuss the management of the components of working capital. 5. Explain the techniques of inventory management (EOQ, JIT etc). 6. Explain what is meant by debtors management and the factor to consider in a credit policy 7. Discuss the techniques in preparing cash budget 8. To discuss the techniques of ratio analysis 9. Describe the techniques of capital investment decisions 10. Determine the methods of calculating components of cost of capital and the weighted average cost of capital. COURSE REQUIREMENTS BUS 209 is compulsory for all students of the Department of Business Administration. Therefore, every students is required to participate actively in class, in group discussion, assignment and study group activities. As such, attendance is compulsory. At least 75% attendance record is mandatory for a student to qualify to sit for the end of the semester examination. Students are also expected to sign up for an e-mail account for effective ediscussion. METHODS OF GRADING TYPES SCORES (%) NO 1. Assignment (Group and Individual) 10 2. Continuous Assessment 15 3. Discussion (Class Participation) 5 4. Comprehensive Final Examination 70 5. Total Score 100 COURSE DELIVERY STRATEGIES Traditional face to face teaching, group and individual assignment/discussion/presentation. Consultation during visiting hours on Monday and Thursday and where applicable web interaction will be encouraged. LECTURE CONTENT WEEK 1: NATURE OF FINANCIAL MANAGEMENT OBJECTIVES At the end of the lesson, students should be able to: Define finance, financial management, Distinguish between profit maximisation and shareholders wealth maximisation

Identify basic finance functions- investment decision, financing decision and liquidity decision and dividend decision. Ascertain the role of finance manager.

DESCRIPTION This first lecture will provide an overview of financial management. The key concepts covered are finance, financial management, investment, and money and capital markets. The objectives of the firm, real and financial assets, finance function (investment decision, capital mix or financial decision, profit allocation or dividend decision, and liquidity decision, profit maximisation and wealth maximisation, agency problems and financial goals. STUDY QUESTIONS 1) 2) 3) 4) 5) 6) 7) Examine the scope of financial management. What role should the financial manager play in a modern enterprise? What are the basic financial decisions? Distinguish between profit maximisation and wealth maximisation. Why is wealth maximisation objective more superior to other objectives? State non-financial objectives of a firm. There are varieties of interest groups which may seek to influence company objectives. Who are they?

READING LISTS 1) Pandey, I M (2007) Financial Management 9th Edition. New Delhi, India Vikas Publishing house PVT LTD pp;3.5 2) Olowe R. A (2008) Financial Management concepts, Financial System and Business finance, Lagos Brierly Jones Nigeria Limited pp 1-19; 3) Akinsulire O (2010) Financial Management, Lagos Ceemol Nig Ltd pp 1-26; 4) Broyles J. (2003) Financial Management and Real Options, England; John Wilay & Sons Ltd pp 1-16; 5) Brigham, E. F and Houston, J.S (2004) Fundamentals of Financial Management 10 th Edition USA Thomson- south western pp 5-28; 6) Ross S. A, Westerfield, R. W and Jordan, B. D (2008) Corporate Finance Fundamentals 8th edition New York; McGraw-Hill/Irwin pp2-17; 7) Van Horne J. C (1989) Financial Management and Policy (1989) Englewood Cliff, N.J Prentice Hall Inc; 8) Brealey, R. A, Myers, S. C and Allen, F. (2008) Principles of corporate Finance. Boston McGraw-Hill/Irwin pp2-91 9) Pike, R and Neale, B (2006) Corporate Finance and Investment Decisions and strategies. pp4-20. 10) Solid Intensive Coaching Centre Lecture Note on Financial Management 1999. 11) Ilesanmi, O.A (1997) Element of Business Lagos:Fapsony Nigeria Limited pp104-117.

WEEK 2&3: SOURCES OF BUSINESS FINANCE OBJECTIVES: At the end of the lesson, students should be able to: Identify the various sources of finance in relation to debt and equity, maturity (short-term medium term and long-term) and those based on the provider, Distinguish between debt financing and equity financing Differentiate between short-term, medium term and long term financing, To state the determinants in choosing debt and equity finance. DESCRIPTION This weeks feature on the various sources of business financing in relation to stages of development of a business, classification of sources of finance v12-9-v12 debt and equity, sources to maturity (short-term, medium term and long term); and provider of finance in Nigeria and things to consider in selecting sources of finance. STUDY QUESTIONS 1) 2) 3) 4) What are the various stages of development of a business? The sources of finance of a business can be classified into three. What are they? Distinguish between debt financing and equity financing, What are the various financing options under short-term, medium term, long term financing? 5) What are the features of bank debt financing? 6) On what does the various forms of debt and equity finance depends? 7) Briefly explain the following terms: franchising, business angels, venture capital? READING LIST 1. Olowe R. A (2008) Financial Management, Concepts, Financial System and Business Finance. Lagos Brierly Jones Nigeria Limited pp 582-642 Ilesanmi O.A (1997) Elements of Business. Lagos FAPSONY NIGERIA Ltd pp 104-117

2.

WEEK 4: WORKING CAPITAL MANAGEMENT OBJECTIVES At the end of the lesson, students should be able to: Underline the need for investing in current assets and elaborate the concept of operating cycle, Highlight the necessity of managing current assets and current liabilities, Explain the principles of current asset investment and financing,

To identify the dangers of excessive working capital and inadequate working capital, To examine the factors/determinants of working capital, To state the aims of working capital management, To describe the three types of financing current assets. DESCRIPTION It will define the term work capital and working capital management. The session will include an examination of the nature of working capital decision as it relates to various concepts gross working capital current assets, net working capital, operating and cash conversion cycle, permanent and variable working capital, balanced working capital position; determinants of working capital, issues in working capital management and policies for financing current assets. STUDY QUESTIONS 1) Briefly explain the concepts of working capital, working capital management, current assets, gross working capital, net working capital, operating cycle, cash conversion cycle? 2) Distinguish between permanent and variable working capital, 3) What is the importance of working capital? 4) Why is working capital cycle and cash conversion cycle important in working capital management? 5) Briefly explain factor s that determine the working capital needs of a firm. 6) What are the dangers of excessive and inadequate working capital? 7) There are no set rules or formulae to determine the working capital requirements of firms. Account for the factors which generally influence the working capital requirements of firms. 8) What is the important function of working capital management to a Financial Manager? 9) What are the different financing policies that a firm can adopt? ASSIGNMENT 1. Explain the concept of costs of liquidity and illiquidity. What is the impact of these costs on the level of current assets 2. Explain the risk-return trade off of current assets financing. READING LISTS 1. Pandey I, M (2007) Financial Management 9th Edition. New Delhi, India Vikas publishing house PVT LTD pp 579-592, 1) Olowe R. A (2008) Financial Management Concepts, Financial System and Business Finance, Lagos Brierly Jones Nigeria Limited pp 534-560, 2) Brigham, E. F and Houston, J.S (2004) Fundamentals of Financial Management 10th Edition USA Thomson- south western pp 565-610, 3) Brealey, R. A, Myers, S. C and Allen, F. (2008) Principles of Corporate Finance. Boston McGraw-Hill/Irwin pp819-842,

WEEK 5: INVENTORY MANAGEMENT OBJECTIVES: At the end of the lesson, students should be able to: Explain the meaning of inventory management. To describe what stock consists. To discuss the various classes of inventory costs. To explain the concepts of: i) Economics Order Quantity (EOQ), ii) Just-in-Time (JIT), iii) Out-sourcing, iv) ABC Inventory Control System. To describe inventory Management Techniques.

DESCRIPTION The lecture examines the need for and nature of inventory, techniques of inventory management, analysis of inventory problems and discussion on the process for managing inventory, inventory control systems. STUDY QUESTIONS 1) Why should inventory be held? Why is inventory management important? Explain the objectives of inventory management? 2) Define the economic order quantity? How is it computed? 3) Define safety stock? How can safety stock be computed? 4) How is the re-order point determined? 5) What are ordering and carrying costs? What is their role in inventory control? 6) What is lead time? How does it affect the computation of re-order point under certainty and uncertainty? ASSIGNMENT 1) Identity and explain the two dangerous situations that management should avoid in controlling inventories? 2) The practical approach in determining economic order quantity is concerned with locating a minimum cost range rather the a minimum cost point. Explain. READING LISTS 1) Pandey I, M (2007) Financial Management 9th Edition. New Delhi, India Vikas Publishing house PVT LTD pp 624-637.

2) Olowe R. A (2008) Financial Management concepts, financial system and Business finance, Lagos Brierly Jones Nigeria Limited pp 548-557, 3) Akinsulire O (2010) Financial Management, Lagos Ceemol Nig Ltd pp 485-491 WEEK 6: MANAGEMENT OF DEBT OR DEBTORS MANAGEMENT OBJECTIVES: At the end of the lesson, students should be able to : Define the meaning of debtors management Explain the factors to be considered in a credit policy. Account for the determinants for an effective debt collection management. Methods of financing debtors.

DESCRIPTION This weeks lecture focuses on the concept of debtors and creditors management, debt collection policy, assessment of creditor worthiness, debt collection procedures, credit policy, debt collection management, discount policies and methods of financing debtors. STUDY QUESTIONS 1. What do you understand by debtors management? 2. What are the factors to be considered for an effective debt collection management? 3. What are the methods of financing debtors? 4. There are three main areas which ought to be considered in connection with the control of debtors, what are they? 5. For debt collection policy to be useful to the firm, the administrative cost and other costs incurred in debt collection must not exceed the benefits from incurring those costs. Justify ASSIGNMENT 1. Credit control involves the initial investigation of potential credit customers and the continuing control of outstanding account. Discuss 2. A firm has annual sales of N25m. It can invest in projects returning 20% p.a. it is estimated that a discount of 5% to pay within 10days will reduce the average credit period from 40 to 30 days. 30% of the debtors are expected to take advantage of the discount terms, should the firm pursue this policy? READING LIST

1. Solid Intensive Coaching Centre, Ilorin. Lecture note on Financial Management 199 pp159 160. 2. Olowe R. A (2008) Financial Management Concepts, financial system and Business finance, Lagos Brierly Jones Nigeria Limited pp 541 - 544 3. Akinsulire O (2010) Financial Management, Lagos Ceemol Nig Ltd pp 485-491Akinsulire O, pp497 506. WEEK 7: CASH MANAGEMENT AND BUDGETING OBJECTIVES: At the end of the lesson, students should be able to: Define cash management and cash budgeting, Explain the three motives for holding cash, Describe the facets of cash management, Underline the need for cash management, To discuss the techniques of preparing cash budget, To examine how to manage cash collection and disbursement, To discuss how a firm can invest surplus cash in marketable securities.

DESCRIPTION This lecture will be based on an understanding of cash management; cash management; motives for holding cash; cash planning; managing cash collection and disbursement and the investment of surplus cash in marketable securities. STUDY QUESTIONS 1. Explain the three principal motives for holding cash. 2. Define Cash Management, Cash Budgeting, Cash Forecasting, Cash Planning, Lock-box system, Letter of Credit, Treasury bills, Trade bills, Sensitivity Analysis? 3. What is a Lock-box System? How does it help to reduce the Cash Balances. 4. What are the advantages of Cash Planning? How does cash budget help in planning the firms cash flows? 5. What are the objectives of a firm in controlling its disbursements? How can the disbursements be slowed down? 6. Describe Baumols Model of Optimum Cash Balance under certainty. ASSIGNMENT

1. How can the appropriate level of operating cash balance be determined? 2. Explain the techniques that can be used to accelerate the firms collection. 3. Identify and examine the features of instruments of collections in Nigeria. READING LIST 1) Pandey I, M (2007) Financial Management 9th Edition. New Delhi, India Vikas Publishing house PVT LTD pp 640-652. 2) Olowe R. A (2008) Financial Management concepts, financial system and Business finance, Lagos Brierly Jones Nigeria Limited pp 557-572. 3) Akinsulire O (2010) Financial Management, Lagos Ceemol Nig Ltd pp 473-480 WEEK 8 and 9: FINANCIAL RATIO OBJECTIVES: At the end of the lesson, students should be able to: Define Financial Ratio Describe the various classes of ratio Identify the utility of ratio analysis Describe Liquidity ratios, Leverage ratio, Activity ratio and Profitability ratio State the limitations of ratio analysis.

DESCRIPTION This lecture focuses on the utility of financial ratio in credit analysis and competitive analysis as well as in determining the financial capability of the firm, and limitations of financial ratios. STUDY QUESTIONS 1. Explain the need for the financial analysis. How does the use of ratios help in financial analysis? 2. Why is it necessary to calculate the profitability ratio in relation to sales? 3. Why are the activity ratios calculated? Do calculations of current assets turnover ratios indicate their quality? Explain 4. Explain the calculation and significance of the various measures of rate of return on investment. 5. Explain the significance and limitations of the ratio analysis. ASSIGNMENT

1. Koda Coy has made plans for year 2012. It is estimated that the company will employ total assets of N8,000,000, 50 percent of the assets being financed by borrowed fund at an interest cost of 10percent per year. The direct cost for the year are estimated at N4,800,000 and all other operating expenses are estimated at N800,000. The goods will be sold to customer at 150percent of the direct costs. Tax rate is assumed to be 50percent. Required: Calculate: i) Net profit margin (ii) return on assets (iii) assets turnover and (iv) return on owners equity. 2. The following figures relate to the trading activities of A A Investment Ltd for the year ended 30th June 2010. Table1: AA Investment Ltd. N Sales Purchases Opening stock Closing stock Sales return 3,000,000 1,933,500 457,500 591,000 170,000 Administrative expenses Salaries Rent Stationery, postage etc Depreciation Other charges provision for taxation Non-operating income Dividend on shares Profit on sales of shares 24,000 54,000 19,000 162,000 16,200 15,000 55,800 99,000 240,000 N

Selling and distribution expenses Salaries Advertising Travelling Non operating expenses Loss on sales of assets Required: 91,800 28,200 12,000

1. Re-arrange the above figures in a form suitable for analysis and 2) Show separately the following ratios: i) Gross profit ratio, (ii) Operating stock (iii) stock turnover ratio. READING LIST 1) Pandey I, M (2007) Financial Management 9th Edition. New Delhi, India Vikas Publishing house PVT LTD pp 514-543. 2) Olowe R. A (2008) Financial Management concepts, financial system and Business finance, Lagos Brierly Jones Nigeria Limited pp 116-137.

3) Akinsulire O (2010) Financial Management, Lagos Ceemol Nig Ltd pp 679-684. 4) Ross S. A, Westerfield, R. W and Jordan, B. D (2008) Corporate Finance Fundamentals 8 th edition New York; McGraw-Hill/Irwin pp2-17; WEEK 10 and 11: PROJECT APPRAISAL TECHNIQUES OBJECTIVES: At the end of the lesson, students should be able to: Understand the nature and importance of investment decisions Explain types of Investment decisions Describe non discounted cash flow criteria payback period (PB), Discounted payback period and Accounting rate of return (ARR) and Discounted cash flow (DCF) criteria, Net present value (NPV), Internal Rate of return (IRR) and Profitability Index (PI)

DESCRIPTION This weeks lecture focuses on capital budgeting decisions or investment decisions. Emphasis will be made on the nature and evaluation of capital budgeting decisions. STUDY QUESTIONS 1. What is Capital budgeting? Why is it significant for a firm? 2. Explain the types of Investment decision. 3. What is meant by the term value of money? Which Capital budgeting methods take into consideration these concepts? 4. Describe the methods of project appraisal. 5. Explain the merits and demerits of payback period, ARR, NPV and IRR. 6. What is profitability Index? Which is a superior ranking criterion, profitability index or the net present value. ASSIGNMENT 1. Abimbola Limited is considering a capital investment project costing N500,000. The project is expected to have a life of 5years with an estimated residual value of N50,000. Estimated future profits before taxation on the project are as follows: Years 1 2 Profit before tax 200,000 220,000

3 4 5

230,000 240,000 250,000

The companys cost of capital is 15% and it uses straight line depreciation. Required: a. Calculate the ARR of the project b. Calculate the payback period of the project c. Calculate the NPV, IRR, and Profitability Index of the project. Ignore taxation READING LIST 1) Pandey, I M (2007) Financial Management 9th Edition. New Delhi, India Vikas Publishing house PVT LTD pp141 163. 2) Olowe R. A (2008) Financial Management concepts, Financial System and Business finance, Lagos Brierly Jones Nigeria Limited pp 248 268. 3) Ilesanmi, O.A (2007) Planning and Evaluation Techniques. Lagos Fapsony Nigeria Limited pp 94-129. WEEK 12 and 13: COST OF CAPITAL OBJECTIVES: At the end of the lesson, students should be able to: Explain the general concept of opportunity cost of capital Distinguish between the project cost of capital and the firms cost of capital Illustrate the cost of capital calculation for a real company Calculate the cost of capital to be used in the discounted cash flow investment appraisal Examine the use of cost of capital in investment decision

DESCRIPTION This weeks lecture focuses on the concept of cost of capital. This lesson will discuss how we can calculate the cost of capital to be used in a discounted cash flow investment appraisal. The cost of capital can be looked at as both a financing and investment problem. The use of cost of capital in investment decision will also be examined. STUDY QUESTIONS 1. What did you understand by cost of capital and opportunity cost of capital?

2. What are the three elements of the cost of capital? 3. Distinguish between :i) the Project cost of capital and the Firms cost of capital. (ii) Weighted Average cost of capital and specific costs of capital. 4. What do you understand by (i) Cost of preference share capital. (ii) Cost of long-term debt (iii) Cost of convertible securities (iv) cost of equity capital (v) cost of short-term funds (vi) divisional cost of capital 5. What is meant by the concept Capital Assets Pricing Model (CAPM). State their assumptions. ASSIGNMENT 1. Calculate the Cost of equity capital for Iyabo PLC from the data given below, using the Capital Asset Pricing Model: Beta coefficient for Iyabo PLC Expected rate of return on risk free securities Expected return on the market portfolio 0.5% 8% 12%

2. Abike PLC has in issue, 15% N600m irredeemable debentures currently valued at 85%. Interest is due for payment within the next 2 weeks. Corporate tax rate is 40%. Required: Calculate the cost of the debenture capital 3. A corporation is financed by equity, preference shares and debentures. The ordinary share of N1million is at N6.50 per share with a selling expense of N0.30 per share. The current dividend is 25kobo per share and is expected to grow at a rate of 20% annual rate. The preference share numbered 3000units has an annual dividend per share on issue of N60. The 20 years, 16000debenture was issued at 80% of par value with an annual interest of 12% per annum. It shall be repaid at 120 at the end of 20years. The market value is to be taken at par. Required: (a) Calculate the Specific cost of capital for: (i) Equity (ii) Preference Shares (iii) Debentures b) Using market value weights, compute WACC. READING LIST 1) Pandey I, M (2007) Financial Management 9th Edition. New Delhi, India Vikas Publishing house PVT LTD pp 167-185. 2) Olowe R. A (2008) Financial Management concepts, financial system and Business finance, Lagos Brierly Jones Nigeria Limited pp 389-412, 3) Akinsulire O (2010) Financial Management, Lagos Ceemol Nig Ltd pp 277-317

4) Solid Intensive Coaching Centre Lecture notes on Financial Management. pp 93 102 WEEK 14: CREDIT MANAGEMENT OBJECTIVES: At the end of the lesson, students should be able to : Define Trade Credit Explain the objective of Credit Policy and characteristics of trade credit Emphasis the need and goals of establishing a sound credit policy Suggest methods of Monitoring receivables Discuss the nature and costs and benefits of factoring

DESCRIPTION This lecture covers the definition and characteristics of trade credit, credit policy nature and goals, why do companies grant credit, optimum credit policy, credit policy variables (credit standards, credit terms and collection policy and procedure), monitoring receivable and factoring. STUDY QUESTIONS 1. Explain the objectives of credit policy? What is an optimum credit policy? 2. What is factoring? What function does it perform? 3. Explain the features of various types of factoring? 4. What is the role of Credit terms and Credit Standards in the Credit policy of a firm? 5. What are Costs and benefits associated with the extension of credit? ASSIGNMENT 1. Akintayo Limited currently buys goods from its supplier on a term of sales of 3/10 net 30. Calculate the cost of Akintayo Ltd of taking the maximum credit period and foregoing the discount. READING LIST 1. Pandey I, M (2007) Financial Management 9th Edition. New Delhi, India Vikas Publishing house PVT LTD pp 571-573. 2. Olowe R. A (2008) Financial Management concepts, financial system and Business Finance, Lagos Brierly Jones Nigeria Limited pp 601-621. 3. SICC, Ilorin Lecture Note of Financial Management pp157 - 158

4. Hall

Vanhorne, J.C. (1989) Financial Management, 3rd Edition Englewood Cliffs N.J. Prentice

WEEK 15: A general review of the various weeks lectures, Class and group discussions will also be made on current but relevant issues based on students reaction during the session (2hours) Various assignments will be reviewed in order to ascertain that the topics covered were thoroughly understood by the students Continuous Assessment will be conducted after the revision. STUDY QUESTIONS Pick questions at random from every weeks lesson READING LIST 1) Pandey, I M (2007) Financial Management 9th Edition. New Delhi, India Vikas Publishing house PVT LTD pp;3.5 2) Olowe R. A (2008) Financial Management concepts, Financial System and Business finance, Lagos Brierly Jones Nigeria Limited pp 1-19; 3) Akinsulire O (2010) Financial Management, Lagos Ceemol Nig Ltd pp 1-26; 4) Broyles J. (2003) Financial Management and Real Options, England; John Wilay & Sons Ltd pp 1-16; 5) Brigham, E. F and Houston, J.S (2004) Fundamentals of Financial Management 10 th Edition USA Thomson- south western pp 5-28; 6) Ross S. A, Westerfield, R. W and Jordan, B. D (2008) Corporate Finance Fundamentals 8th edition New York; McGraw-Hill/Irwin pp2-17; 7) Van Horne J. C (1989) Financial Management and Policy (1989) Englewood Cliff, N.J Prentice Hall Inc; 8) Brealey, R. A, Myers, S. C and Allen, F. (2008) Principles of corporate Finance. Boston McGraw-Hill/Irwin pp2-91 9) Pike, R and Neale, B (2006) Corporate Finance and Investment Decisions and strategies. pp4-20. 10) Solid Intensive Coaching Centre Lecture Note on Financial Management 1999. 11) Ilesanmi, O.A (1997) Element of Business Lagos:Fapsony Nigeria Limited pp104-117. KEYS: 1. 2. 3. Available in the University Library Available in Local bookshops Personal Collection