School of Business

Department of Accounting & Finance

Course Name:
Working Capital Management
Course Code
& Section No: FIN 340
Semester: Fall 2015
INSTRUCTOR & DEPARTMENT INFORMATION

1. Instructor Name: Shahran Abu Sayeed (ASy)

2. Office Room: NAC 979

3. Office Hours: ST: 11:15 AM – 12:55 PM

Tuesday: 4:15 PM – 5:45 PM
Wednesday: 11:15 PM – 2:25 PM
4. Office Phone: Ext: 1734

5. Email Address: shahran.sayeed@northsouth.edu

6. Department: Accounting & Finance

7. Links: North South University Website: http://www.northsouth.edu

School of Business Website: http://www.northsouth.edu/academic/sob/
Course Website:

COURSE & SECTION INFORMATION

Class Time & Section 3: MW 9:40 AM – 11:10 AM NAC 201

Location
Section 4: ST 2:40 PM – 4:10 PM NAC 402

Course FIN 254

Prerequisite(s)

Course Credit Hours 3:0

Course Description This course focuses on the management of various components of current assets
and current liabilities. Special emphasis is given on integration of the concepts into a
total systems approach to short-term financial management. Topics include
management of cash, accounts receivables, inventories and other current assets,
and management of accounts payables, bank loans, other short-term loans and
other current liabilities.
Course Objectives • To be acquainted with various components of working capital and to
understand its importance in conducting smooth operation of the business
• To understand the nature of interaction between short term assets and short
term liabilities
• To assess the appropriate level of working capital the firm should maintain
in order to strike a balance between liquidity and profitability.
Student Learning Upon the successful completion of this course, a student will be able to:
Outcomes ➢ Conduct liquidity, solvency and financial flexibility analysis of a firm
➢ Investigate critically the components of credit policy
➢ Determine the appropriate level of cash balance with the help of different
cash balance models
➢ Manage effectively A/C receivable, A/C payable balance of the firm
➢ Integrate the concept of EOQ, safety stock,re-order point while managing
inventory
➢ Understand the concept and tools of cash collection, disbursement and
concentration
➢ Explain the concept of short term financing and calculation of effective cost
of different types of financing

LEARNING RESOURCES AND TEXTBOOK(S)

Text Book(s)

Author Edition & Year Publisher ISBN

Title
Terry S. Maness , John T. Short Term Financial 4th Edition Cognella 978-1-62661-
Zietlow and Matthew Management (2014-2015) 683-7
Hill

Others (Reference Books, CD ROMS, DVDs, e-Library, Internet, Articles,)

Resource Type Description Type Comments

1. Internet Business news and Market and To get familiar with

information industry contemporary issues in
news and working capital
analysis management
2. Articles Issues related to Academic, Getting acquainted with
working capital trade and working capital
management newspaper management practices in
articles real life

TEACHING STRATEGY (Online, classroom, blended, self-

directed through CD, web-based courses and DVD,…)

The class will be conducted through various activities including presentation of concepts and situations,
discussion and exchanges of ideas, student initiative and active involvement and project. Students are
expected to actively involve and to take initiative for their own learning experience.
ASSESSMENT STRATEGY AND GRADING SCHEME

Grading tool
Points
Assignment 5%
Quiz 10%
Course Project 15%
Midterm 1 20%
Midterm 2 20%
Final 25%
Attendance 5%

Please Refer to NSU Student Handbook, Section: “Grading Policy”

CLASSROOM RULES OF CONDUCT

1. You may use your laptops in the class for class related work. Do not use your laptop for non-class
related work or in any manner that will be distracting to other students or the instructor.

2. Use of cell phones in class is not permitted.

3. Students are advised to frequently refer to the Student Handbook of North South University on
the following link:

4. Academic Integrity Policy:

School of Business does not tolerate academic dishonesty by its students. At minimum, students must
not be involved in cheating, copyright infringement, submitting the same work in multiple courses,
significant collaboration with other individuals outside of sanctioned group activities, and fabrications.

Students are advised that violations of the Student Integrity Code will be treated seriously, withspecial
attention given to repeated offences.

Please Refer to NSU Student Handbook, Sections: “Disciplinary Actions” and “Procedures and
Guidelines”.

LATE ASSIGNMENT POLICY

Promptness is a highly valued attribute in the workplace. Employees are expected to plan ahead to meet
deadlines. Managers reprimand or terminate employees who are repeatedly late in submitting assignments. In
this course, submitting assignments late will be penalized. For each day late, 10 percent will be deducted from
the value of the assignment.

GROUP PROJECTS POLICY

Each group (between 3-5 students) will submit a final report on a relevant working capital management topic
(hard copy and electronic copy). More details about the structure, components, time and criteria for
assessment of the project will be announced during the semester.

EXAMS & MAKE UP POLICY

In order to complete the course, students must submit all the required assignments and sit for the exams.
Make-up exams are not given unless there is a major circumstance preventing the student from sitting in the
exam (official material evidence is required). The timing of the make-up is to be fixed with the instructor of the
course if granted.

Cell phones are prohibited in exam sessions.

ATTENDANCE POLICY

Students are required and expected to attend all classes and participate in class discussions. North South
University mandates to fail students who are absent 25% or more from their classes, even if such absences are
excusable.

Please Refer to NSU Student Handbook, Section: “Study Principles and Policies”

COMMUNICATION POLICY

All communications should take place using the instructor’s email. Announcements in the blackboard will
override any statement made here or in any other handouts. It is the student’s responsibility to be aware of
any announcements made via Blackboard.

APPROPRIATE USE POLICY

All members of the North South University community must use electronic communications in a responsible
manner. The University may restrict the use of its computers and network systems for electronic
communications subject to violations of university policies/codes or local laws or national laws. Also, the
university reserves the right to limit access to its networks through university-owned or other computers, and
to remove or limit access to material posted on university-owned computers.

STUDENTS WITH SPECIAL NEEDS

North South University will provide educational opportunities that ensure fair, appropriate and reasonable
accommodation to students who have disabilities/special needs that may affect their ability to participate in
course activities or meet course requirements. Students with disabilities are encouraged to contact their
instructors to ensure that their needs are met. The University through its Special Need section will exert all
efforts to accommodate special needs.

Special Needs Section

Telephones: Location:
Email:

Please Refer to NSU Student Handbook, Section: “Special Needs Services”

STUDENTS SUPPORT AND LEARNING RESOURCES

A. SOB-Learning Center:
B. The University Student Learning Support Center (SLSC): These centers provide academic support services
to students at NSU. The SLSC is a supportive environment where students can seek assistance with
academic coursework, writing assignments, transitioning to college academic life, and other academic
issues. SLSC programs include: Peer Tutoring, the Writing Lab, Writing Workshops, and Academic Success
Workshops. Students may also seek confidential academic counseling from the professional staff at the
Center.

Students Learning & Support Center (SLSC)

Tel:
Fax:
Location:
E-mail:

Please Refer to NSU Student Handbook, Section: “Student Leaning Support Center”

STUDENTS COMPLAINTS POLICY

Students at North South University have the right to pursue complaints related to faculty, staff, and other
students. The nature of the complaints may be either academic or non-academic. For more information about
the policy and processes related to this policy, you may refer to the students’ handbook.

COURSE CONTENTS &SCHEDULE

 FIN 340: Section Working Capital Management

Date Topics Reading/

Assignment Due

LEC#
MIDTERM-1 MATERIALS
Introduction Chapter-1 1
The role of working capital

Analysis of the Working Capital Chapter-2 2

Cycle
Analysis of the Working Capital Chapter-2 3
Cycle
Cash Holdings Chapter 3 4

Cash Holdings Chapter 3 5

Inventory Management Chapter 4 6

Inventory Management Chapter 4 7

8
Midterm -1

MIDTERM-2 MATERIALS

A/C Receivable Management Chapter 5

9

A/C Receivable Management Chapter 5

1
0
Credit Policy and collections
Chapter 6
1
1
Credit Policy and collection Chapter 6 1
2
 Date Topics Reading/
Assignment Due

LEC#
Managing Supplier Financing Chapter-7 13

The payment system and financial Chapter 8 14

institution relationship

The payment system and financial Chapter 8 15

institution relationship
16
Midterm -2
MATERIALS FOR FINAL EXAM
Cash Collection systems Chapter-9 17

Cash concentration Chapter-10 18

Cash concentration Chapter-10 19

Cash disbursement systems Chapter-11 20

Cash disbursement systems Chapter-11 21

Short term financing Chapter 15 22

Short term financing Chapter 15 23

EXAM REVIEW 2
4

Note: The instructor reserves the right to make changes to the syllabus if necessary.