Financial Management BBA/BCom

Currently Playing: Capital Structure Theories Class 1 | Ch 8 Financial Management | B.Com Prog/Hons | Sem 3 | 2026

Capital Structure Theories Class 1 | Ch 8 Financial Management | B.Com Prog/Hons | Sem 3 | 2026 Telegram Link- https://t.me/+R6f6W9MS2BoxNjc1 PDF Link- In this lecture, we start Chapter 8 – Capital Structure Theories of Financial Management for B.Com Programme and B.Com Honours Semester 3 students. This class explains the major approaches to capital structure and helps you understand the relationship between Debt, Equity, Cost of Capital, Financial Leverage and Value of the Firm. The classical theories commonly covered in B.Com Financial Management include the Net Income (NI) Approach, Net Operating Income (NOI) Approach, Traditional Approach and Modigliani-Miller (MM) Approach. DU syllabus material also specifically lists these theories under Capital Structure. 📚 Topics Covered ✅ Meaning of Capital Structure ✅ Capital Structure Decision ✅ Objectives of Capital Structure ✅ Capital Structure Theories – Overview ✅ Relevance vs Irrelevance of Capital Structure ✅ Net Income (NI) Approach ✅ Assumptions of NI Approach ✅ Cost of Debt (Kd) ✅ Cost of Equity (Ke) ✅ Overall Cost of Capital (Ko) ✅ Value of the Firm ✅ Net Operating Income (NOI) Approach ✅ Assumptions of NOI Approach ✅ Traditional Approach ✅ Optimum Capital Structure ✅ Modigliani & Miller (MM) Approach ✅ MM Approach Without Tax ✅ MM Approach With Tax ✅ Relationship Between Leverage & Firm Value ✅ Exam-Oriented Concepts and Questions The NI, NOI, Traditional and MM approaches are widely used to explain how financing mix can relate to the firm's cost of capital and value. 🎓 This Lecture Is Useful For B.Com Programme Sem 3 B.Com Honours Sem 3 Financial Management Students DU B.Com Students Regular Students SOL Students NCWEB Students B.Com Students of Other Universities University Examination Preparation Financial Management Revision #CapitalStructure #CapitalStructureTheories #FinancialManagement #BCom #BComProg #BComHons #BComSem3 #NIApproach #NOIApproach #MMApproach About us: BCom Corner is a platform specially created for those students who live in remote areas and don’t have access to fancy coaching classes. A channel which wants to bring parity in knowledge level of all. This Channel is Dedicated to 11th/12th/BBA/BCOM/BCOM (HON) Students.