Theroy and Practice
Financial Management
Theory and Practice
Fifth Edition
Anju Sharma
98005005
Financial Management
Theory and Practice
Fifth Edition
Prasanna Chandra
Director
Centre for Financial Management
Bangalore
www.fincentre.com
Tata McGraw-Hill Publishing Company Limited
NEW DELHI
McGraw-hill Offices
New Delhi New York St Louis San Francisco Auckland Bogota Caracas
Kuala Lumpur Lisbon London Madrid Mexico City Milan Montreal
San Juan Santiago Singapore Sydney Tokyo Toronto
Tata Mcgraw-Hill
A Division of The McGrawHill Companies
2001,1997,1993,1989,1986,1984, Chandra, Prasannna
First reprint 2001
RYXCRRBLRBYYA
No part of this publication can be reproduced in any form or by any means
without the prior written permission of the publishers
This edition can be exported from India only by the publishers.
Tata McGraw-hill Publishing Company Limited
ISBN 0-07-044501-X
Published by Tata McGraw-hill Publishing Company Limited,
7 West Patel nagar, New Delhi 110008, typeset at Anvi Composers,
A1/33 Paschchim Vihar, New Delhi 110063 and printed at Rashtriya Printers,
M-135 Panchsheel Garden, Naveen Shahdara, Delhi 110032
To my students
for their insipiration
and
Padma, Pranav, and Savita Sandeep Thakur
for their support
Preface to the Fifth Edition
Financial Management:Theory and Practice, 5/3 is designed as a comprehensive reference cum textbook in financial management. This book seeks to:
(*) Build understanding of the central ideas and theories of modern finance.
(*)Develop familiarity with the analytical techniques helpful in financial decision
making.
(*)Furnish institutional material relevant for understanding the environment in which financial decisions are taken.
(*)Discuss the practice of financial management.
The primary thrust here is to show how financial theory can be applied to solve problems in practice and an attempt has been made to relate theory to practice. Of course, the theory presented has its imperfections and inadequacies-which theory does not?Yet, theory is a potent tool for analysing practical problems.
Structural changes To facilitate a more logical flow of the discussion, some chapters have been moved forward, some chapters have been disbanded, some chapters have been split, and some others have been merged. The important structural changes are:
(*)The chapters on 'Financial Statements, Taxes and Cash Flow' and Options and their Valuation' have been moved forward.
(*)The chapters on 'organisational, Regulatory, and Tax Framework' and 'inflation and Financial Management' have been disbanded. The material formerly covered in these chapters has been incorporated in other chapters.
(*)The chapter on 'Basics of Capital Budgeting' has been split into two chapters, viz., 'Techniques of Capital budgeting' and 'Estimation of Project Cash Flows'.
(*)The two chapters on corporate Restructuring-II :Sell offs and Changes in Ownership'
have been merged together to facilitate a more unified treatment of mergers, acquisition, and restructuring.
New materials A lot of new material has been added in this edition.
viii Preface to the Fifth Edition
A new chapter titled 'Market Efficiency and Financing Decisions' (Chapter 14) has been added. This chapter discusses the efficient market hypothesis and explores its consequences for corporate financing. An understanding of the efficient market hypothesis will help you to ask the right questions and save you from a lot of confusion that dominates popular thinking in finance.
Nearly 50 new sections have been added in different chapters. These sections
(i) strengthen the book conceptually in several areas like security valuation, capital budget-
ing , cost of capital, capital structure theory, corporate valuation, international finance, and
risk management and (ii) expand the coverage of the book to include contemporary developments like securitisation, project finance, EVA* approach to value based management, employee stock option scheme, and corporate restructuring.
More specifically, the following is the list of the new sections:
(*)Section 1.2:Financial Decisions in a Firm
(*)Section 2.4: Financial Market Returns
(*)Section 2.7:Regulatory Infrastructure
(*)Section3.6:Manipulation of the Bottom Line
(*)Section3.8:Cash Flow
(*)Section4.1:Time Lines and Notation
(*)Section4.6:Intra-year Compounding and Discounting
(*)Section5.2:Bond Yields
(*)Section 5.3:Bond Market
(*)Section 5.7:The Relationship between E/P Ratio, Expected Return, and Growth
(*)Section5.8:Stock Market
(*)Section7.2:The Single Index Model
(*)Section8.1:How Options Work
(*)Section10.4:Cash Flow for a Replacement Project
(*)Section11.3:Break-even Analysis
(*)Section11.7:Corporate Risk Analysis
(*)Section12.7:Divisional and Project Cost of Capital
(*)Section12.8:Floatation Costs and the WACC
(*)Section13.1:Choice between Projects of Unequal Life
(*)Section13.2:Interrelationship between investment and Financing Aspects
(*)Section13.8:Organisational Considerations
(*)Section16.1:Venture Capital
(*)Section16.2:Initial Public Offer
(*)Section16.6:Preferential Allotment
(*)Section16.7:Dilution
(*)Section17.7:Trade off Theory
(*)Section17.8:Signaling Theory
(*)Section18.5:Comparative Analysis
(*)Section20.1:Why Companies Pay Dividends
(*)Section20.8:Share Buyback
(*)Section21.4:Securitisation
(*)Section23.4:Operating Lease
(*)Section23.9:Project Finance
Preface to the Fifth Edition ix
(*)Section33.1:Adjusted Book Value Approach
(*)Section33.2:Stock and Debt Approach
(*)Section33.9:DCF Valuation:Two-Stage and Three-Stage Growth Models
(*)Section33.10:Guidelines for Corporate Valuation
(*)Section34.4:EVA Approach
(*)Section34.5:BCG Approach
(*)Section35.11:Financial Restructuring
(*)Section35.12:Organisational Restructuring
(*)Section35.13:Dynamics of Restructuring
(*)Section36.5:Reforming Corporate Governance
(*)Section36.7:Executive Compensation
(*)Section36.8:Employee Stock Option Scheme
(*)Section37.3:International Parity Relationship
(*)Section37.4:International Capital Budgeting
(*)Section40.2:Measurement of Risk in Non-financial Firms
(*)Section40.8:Insurance
(*)Section40.10:Financial Engineering and Corporate Strategy
(*)Section40.13:Case Studies in Risk Management
Solved problems The readers of this book expressed a need for more solved problems. In response, I have added a section on solved problems at the end of all chapters which contains some quantitative material.
Thanks to the above changes and enhancements, I believe that this book offers a distinct
improvement over its predecessor.
Ancillary Materials
To enhance the utility of the book for students and instructions, the following ancillary
materials are available.
(*)Spreadsheet templates Dr. V. Nagadevara of Indian Institute of Management,
Bangalore developed the spreadsheet templates in Excel. They correlate with various
concepts in the text and are meant to help students work through financial problems.
These spreadsheet templates may be downloaded from www.tatamcgrawhill.com/
digital_solutions/prasannachandra.
(*)Solutions manual The solutions manual contains solutions to end-of-chapter
problems. The solutions can be accessed by instructors who adopt the book. They may
contact Tata McGraw-Hill for assistance in accessing the solutions manual.
Special Features
Designed to provide a firm grounding in the principles , techniques, and practice of financial
management this book has the following special features.
(*)Comprehensive coverage It covers a wide spectrum of topics in financial
management quite comprehensively. Some of the topics included, like Corporate
x Preface to the Fifth Edition
Valuation.Value Based Management Financial Management in Sick Units, Corporate
Financial Models, and Financial Mangement in Public Sector Enterprises, are not
found in most other books.
(*)Decisional focus and analytical approach This book primarily seeks to show how a
wide range of financial decision situations should be analysed. An attempt has been
made to describe the setting of various decisions, dwell on the quantitative and
qualitative considerations relevant for such decisions, dwell on the quantitative and
qualitative considerations relevant for such decisions, and explain analytical methods
which are helpful in analysing these decisions.
(*)numerous illustrations Various concepts, tools, and techniques of financial
management have been illustrated with suitable examples. Where necessary, two or
three examples of gradually increasing complexity have been provided.
(*)Discussion of practice In several important areas of financial management like capital expenditure analysis, cost of capital, risk analysis, receivables management,
capital structure planning, and divident policy, thepractice of business firms has been
described and evaluated.
(*)Procedural orientation Procedural aspects of term loan financing , public isssue of
capital, lease financing, mergers and amalgamations, and so on have been discussed
in reasonable detail. This is meant to give to the reader a feel for 'how to go about'in
the changed world of fianance.
Organisation and Use of the Text
There are several ways of organising the material presented in this book. So, I have made the book highly modular. This gives the instructor a great deal of flexibility in sequencing the material.
I have used the material in this book for a set of two courses, a basic course and an advanced course. For the basic course titled 'financial Management' or 'Corporate Finance' or
'managerial Finance', I have used Parts I through V and Parts VII and VIII with the follow-
ing exceptions:Chapter 7 :risk and Return-extensions, Chapter 8:Options and Their
Valuation, Chapter 13:Capital Budgeting-Extensions, and Chapter 29: Working Capital
Management-Extensions.
For the advanced course titled 'Strategic Financial Management' or 'Advanced Financial
Management' or 'Topics in Finance', I have used the rest of the book.
While the book is primarily titled 'Strategic Financial Mangement' or "Advanced Financial
Management' or 'Topics in Finance', I have used the rest of the book.
While the book is primarily targeted at students of MBA,CFA,ACA,AICWA, and ACS
programmes and finance professionals, it will be useful for all managers interested in un
derstanding the financial dimensions of business.
Preface to the First Edition
This book seeks to discuss the theory of finance which provides the framework for
investment and financing decisions, expound several analytical methods used to cope with
varied problems in financial management, and present information about the institutions
and environment relevant to corporate finance.
The principal concern of the book is to show how financial theory can be applied to solve
problems in practice. An attempt has been made to relate theory to practice. of course, the theory presented has its imperfections and inadequacies. Yet, it is a potent tool for analysing
practicall problems.
My students and participants of numerous executive development programmes prodded me to write this book. They pointed towards the need for a book which has an adequate
treatment of analytical tools, a well rounded description of tax and regulatory framework
and the financial system in India, a comprehensive coverage fo various issues in financial
management, and a discussion of financial mangement practices. I am hopeful that the
book meets these requirements.
In writing this book I have drawn on a vast amount of literature in finance. Naturally, I
owe an intellectual debt to the numerous authors who have enriched the stream of literature
in finance by their contributions. i have also benefited from the insights and experiences of a
number of practitioners in the field, with whom I have had many discussions.
I express my thanks to Smt B S Nagaveni and Smt P S Shantha Bai who cheerfully typed
the manuscript of the book. My greatest gratitude, of course, is to my wife, Padma, for her
encouragement and sacrifice.
PRASANNA CHANDRA
Acknowledgements
A mammoth project of this nature calls for intellectual nourishment, professional help,
and encouragement from many quarters. I would like to express my gratitude to:
(*)The pioneers in the field of financial mangement who have shaped my understanding
through their rich and varied contributions.
(*)Students and participants of executive development programmes for providing the
stimulus for writing this book.
(*)A number of academics and practitioners for generously sharing their insights and
experiences with me.
(*)Countless readers for their encouraging feedback that has been sustained by spirits.
In particular I would like to thank Dr. P.G. Apte, Dr. Satish Mathur, Dr. V. Nagadevara,
Dr. K. Sriram, Prof. S. Sundararajan, and Dr. Janat Shah for their valuable contributions.
I have also benefited from my discussions with teh following persons:
Dr. E.I. Altman Dr. Parashar
Dr. N. Balasubramanian Prof. Parasuraman
Prof. Asish Bhattacharya Dr. Richard Ponarul
Dr. L.M. Bhole Dr. Premchander
Dr. Richard Brealey Dr. S. Raghunath
Dr. Thomas Copeland Dr. A.B.C. Raj
Dr.Aswath Damodaran Mr. K.V. Rao
Dr. Uday Damodaran Prof. Sandeep Revankar
Prof. Fakih Prof. N.K. Rao
Dr. V.K. Gupta Dr. M.R. Rao
Dr. L.C. Gupta Prof. S. Sabarinathan
Dr. O.P. Gupta Dr. L.V.L.N. Sarma
Dr.M.N. Kaura Dr. G. Sethu
Dr. R.B. Krishna Dr.William Sharpe
Mr.M.R.Mayya Dr.R. Srinivasan
Dr. Banikant Misra Dr. Marti Subrahmanyam
Dr. R.K. Mishra Dr. Ashok Thampy
Dr.Pitabas Mohanty Dr. M. Thirpalraju
xiv Acknowledgments
Dr. M.S. Narasimhan Dr. R. Vaidyanathan
Dr. P.J. Nayak Dr. J.R. Varma
Dr. M. Obaidullah Mr. George Verghese
Mr. T.V. Mohandas Pai Dr. Madhu Vij
Dr. Jinesh Panchali Mr. N.J. Yasaswy
Iam grateful to Savita for her help in preparing the manuscript and to Dr. Subrahmanyam,
Ms. Deepa, and Mr. Chandra Sekhar of TMH for their interest in this project.
I eagerly look forward to suggestions for improvements in this book.
with regards.
Financial Management
Theory and Practice
Fifth Edition
Anju Sharma
98005005
Financial Management
Theory and Practice
Fifth Edition
Prasanna Chandra
Director
Centre for Financial Management
Bangalore
www.fincentre.com
Tata McGraw-Hill Publishing Company Limited
NEW DELHI
McGraw-hill Offices
New Delhi New York St Louis San Francisco Auckland Bogota Caracas
Kuala Lumpur Lisbon London Madrid Mexico City Milan Montreal
San Juan Santiago Singapore Sydney Tokyo Toronto
Tata Mcgraw-Hill
A Division of The McGrawHill Companies
2001,1997,1993,1989,1986,1984, Chandra, Prasannna
First reprint 2001
RYXCRRBLRBYYA
No part of this publication can be reproduced in any form or by any means
without the prior written permission of the publishers
This edition can be exported from India only by the publishers.
Tata McGraw-hill Publishing Company Limited
ISBN 0-07-044501-X
Published by Tata McGraw-hill Publishing Company Limited,
7 West Patel nagar, New Delhi 110008, typeset at Anvi Composers,
A1/33 Paschchim Vihar, New Delhi 110063 and printed at Rashtriya Printers,
M-135 Panchsheel Garden, Naveen Shahdara, Delhi 110032
To my students
for their insipiration
and
Padma, Pranav, and Savita Sandeep Thakur
for their support
Preface to the Fifth Edition
Financial Management:Theory and Practice, 5/3 is designed as a comprehensive reference cum textbook in financial management. This book seeks to:
(*) Build understanding of the central ideas and theories of modern finance.
(*)Develop familiarity with the analytical techniques helpful in financial decision
making.
(*)Furnish institutional material relevant for understanding the environment in which financial decisions are taken.
(*)Discuss the practice of financial management.
The primary thrust here is to show how financial theory can be applied to solve problems in practice and an attempt has been made to relate theory to practice. Of course, the theory presented has its imperfections and inadequacies-which theory does not?Yet, theory is a potent tool for analysing practical problems.
Structural changes To facilitate a more logical flow of the discussion, some chapters have been moved forward, some chapters have been disbanded, some chapters have been split, and some others have been merged. The important structural changes are:
(*)The chapters on 'Financial Statements, Taxes and Cash Flow' and Options and their Valuation' have been moved forward.
(*)The chapters on 'organisational, Regulatory, and Tax Framework' and 'inflation and Financial Management' have been disbanded. The material formerly covered in these chapters has been incorporated in other chapters.
(*)The chapter on 'Basics of Capital Budgeting' has been split into two chapters, viz., 'Techniques of Capital budgeting' and 'Estimation of Project Cash Flows'.
(*)The two chapters on corporate Restructuring-II :Sell offs and Changes in Ownership'
have been merged together to facilitate a more unified treatment of mergers, acquisition, and restructuring.
New materials A lot of new material has been added in this edition.
viii Preface to the Fifth Edition
A new chapter titled 'Market Efficiency and Financing Decisions' (Chapter 14) has been added. This chapter discusses the efficient market hypothesis and explores its consequences for corporate financing. An understanding of the efficient market hypothesis will help you to ask the right questions and save you from a lot of confusion that dominates popular thinking in finance.
Nearly 50 new sections have been added in different chapters. These sections
(i) strengthen the book conceptually in several areas like security valuation, capital budget-
ing , cost of capital, capital structure theory, corporate valuation, international finance, and
risk management and (ii) expand the coverage of the book to include contemporary developments like securitisation, project finance, EVA* approach to value based management, employee stock option scheme, and corporate restructuring.
More specifically, the following is the list of the new sections:
(*)Section 1.2:Financial Decisions in a Firm
(*)Section 2.4: Financial Market Returns
(*)Section 2.7:Regulatory Infrastructure
(*)Section3.6:Manipulation of the Bottom Line
(*)Section3.8:Cash Flow
(*)Section4.1:Time Lines and Notation
(*)Section4.6:Intra-year Compounding and Discounting
(*)Section5.2:Bond Yields
(*)Section 5.3:Bond Market
(*)Section 5.7:The Relationship between E/P Ratio, Expected Return, and Growth
(*)Section5.8:Stock Market
(*)Section7.2:The Single Index Model
(*)Section8.1:How Options Work
(*)Section10.4:Cash Flow for a Replacement Project
(*)Section11.3:Break-even Analysis
(*)Section11.7:Corporate Risk Analysis
(*)Section12.7:Divisional and Project Cost of Capital
(*)Section12.8:Floatation Costs and the WACC
(*)Section13.1:Choice between Projects of Unequal Life
(*)Section13.2:Interrelationship between investment and Financing Aspects
(*)Section13.8:Organisational Considerations
(*)Section16.1:Venture Capital
(*)Section16.2:Initial Public Offer
(*)Section16.6:Preferential Allotment
(*)Section16.7:Dilution
(*)Section17.7:Trade off Theory
(*)Section17.8:Signaling Theory
(*)Section18.5:Comparative Analysis
(*)Section20.1:Why Companies Pay Dividends
(*)Section20.8:Share Buyback
(*)Section21.4:Securitisation
(*)Section23.4:Operating Lease
(*)Section23.9:Project Finance
Preface to the Fifth Edition ix
(*)Section33.1:Adjusted Book Value Approach
(*)Section33.2:Stock and Debt Approach
(*)Section33.9:DCF Valuation:Two-Stage and Three-Stage Growth Models
(*)Section33.10:Guidelines for Corporate Valuation
(*)Section34.4:EVA Approach
(*)Section34.5:BCG Approach
(*)Section35.11:Financial Restructuring
(*)Section35.12:Organisational Restructuring
(*)Section35.13:Dynamics of Restructuring
(*)Section36.5:Reforming Corporate Governance
(*)Section36.7:Executive Compensation
(*)Section36.8:Employee Stock Option Scheme
(*)Section37.3:International Parity Relationship
(*)Section37.4:International Capital Budgeting
(*)Section40.2:Measurement of Risk in Non-financial Firms
(*)Section40.8:Insurance
(*)Section40.10:Financial Engineering and Corporate Strategy
(*)Section40.13:Case Studies in Risk Management
Solved problems The readers of this book expressed a need for more solved problems. In response, I have added a section on solved problems at the end of all chapters which contains some quantitative material.
Thanks to the above changes and enhancements, I believe that this book offers a distinct
improvement over its predecessor.
Ancillary Materials
To enhance the utility of the book for students and instructions, the following ancillary
materials are available.
(*)Spreadsheet templates Dr. V. Nagadevara of Indian Institute of Management,
Bangalore developed the spreadsheet templates in Excel. They correlate with various
concepts in the text and are meant to help students work through financial problems.
These spreadsheet templates may be downloaded from www.tatamcgrawhill.com/
digital_solutions/prasannachandra.
(*)Solutions manual The solutions manual contains solutions to end-of-chapter
problems. The solutions can be accessed by instructors who adopt the book. They may
contact Tata McGraw-Hill for assistance in accessing the solutions manual.
Special Features
Designed to provide a firm grounding in the principles , techniques, and practice of financial
management this book has the following special features.
(*)Comprehensive coverage It covers a wide spectrum of topics in financial
management quite comprehensively. Some of the topics included, like Corporate
x Preface to the Fifth Edition
Valuation.Value Based Management Financial Management in Sick Units, Corporate
Financial Models, and Financial Mangement in Public Sector Enterprises, are not
found in most other books.
(*)Decisional focus and analytical approach This book primarily seeks to show how a
wide range of financial decision situations should be analysed. An attempt has been
made to describe the setting of various decisions, dwell on the quantitative and
qualitative considerations relevant for such decisions, dwell on the quantitative and
qualitative considerations relevant for such decisions, and explain analytical methods
which are helpful in analysing these decisions.
(*)numerous illustrations Various concepts, tools, and techniques of financial
management have been illustrated with suitable examples. Where necessary, two or
three examples of gradually increasing complexity have been provided.
(*)Discussion of practice In several important areas of financial management like capital expenditure analysis, cost of capital, risk analysis, receivables management,
capital structure planning, and divident policy, thepractice of business firms has been
described and evaluated.
(*)Procedural orientation Procedural aspects of term loan financing , public isssue of
capital, lease financing, mergers and amalgamations, and so on have been discussed
in reasonable detail. This is meant to give to the reader a feel for 'how to go about'in
the changed world of fianance.
Organisation and Use of the Text
There are several ways of organising the material presented in this book. So, I have made the book highly modular. This gives the instructor a great deal of flexibility in sequencing the material.
I have used the material in this book for a set of two courses, a basic course and an advanced course. For the basic course titled 'financial Management' or 'Corporate Finance' or
'managerial Finance', I have used Parts I through V and Parts VII and VIII with the follow-
ing exceptions:Chapter 7 :risk and Return-extensions, Chapter 8:Options and Their
Valuation, Chapter 13:Capital Budgeting-Extensions, and Chapter 29: Working Capital
Management-Extensions.
For the advanced course titled 'Strategic Financial Management' or 'Advanced Financial
Management' or 'Topics in Finance', I have used the rest of the book.
While the book is primarily titled 'Strategic Financial Mangement' or "Advanced Financial
Management' or 'Topics in Finance', I have used the rest of the book.
While the book is primarily targeted at students of MBA,CFA,ACA,AICWA, and ACS
programmes and finance professionals, it will be useful for all managers interested in un
derstanding the financial dimensions of business.
Preface to the First Edition
This book seeks to discuss the theory of finance which provides the framework for
investment and financing decisions, expound several analytical methods used to cope with
varied problems in financial management, and present information about the institutions
and environment relevant to corporate finance.
The principal concern of the book is to show how financial theory can be applied to solve
problems in practice. An attempt has been made to relate theory to practice. of course, the theory presented has its imperfections and inadequacies. Yet, it is a potent tool for analysing
practicall problems.
My students and participants of numerous executive development programmes prodded me to write this book. They pointed towards the need for a book which has an adequate
treatment of analytical tools, a well rounded description of tax and regulatory framework
and the financial system in India, a comprehensive coverage fo various issues in financial
management, and a discussion of financial mangement practices. I am hopeful that the
book meets these requirements.
In writing this book I have drawn on a vast amount of literature in finance. Naturally, I
owe an intellectual debt to the numerous authors who have enriched the stream of literature
in finance by their contributions. i have also benefited from the insights and experiences of a
number of practitioners in the field, with whom I have had many discussions.
I express my thanks to Smt B S Nagaveni and Smt P S Shantha Bai who cheerfully typed
the manuscript of the book. My greatest gratitude, of course, is to my wife, Padma, for her
encouragement and sacrifice.
PRASANNA CHANDRA
Acknowledgements
A mammoth project of this nature calls for intellectual nourishment, professional help,
and encouragement from many quarters. I would like to express my gratitude to:
(*)The pioneers in the field of financial mangement who have shaped my understanding
through their rich and varied contributions.
(*)Students and participants of executive development programmes for providing the
stimulus for writing this book.
(*)A number of academics and practitioners for generously sharing their insights and
experiences with me.
(*)Countless readers for their encouraging feedback that has been sustained by spirits.
In particular I would like to thank Dr. P.G. Apte, Dr. Satish Mathur, Dr. V. Nagadevara,
Dr. K. Sriram, Prof. S. Sundararajan, and Dr. Janat Shah for their valuable contributions.
I have also benefited from my discussions with teh following persons:
Dr. E.I. Altman Dr. Parashar
Dr. N. Balasubramanian Prof. Parasuraman
Prof. Asish Bhattacharya Dr. Richard Ponarul
Dr. L.M. Bhole Dr. Premchander
Dr. Richard Brealey Dr. S. Raghunath
Dr. Thomas Copeland Dr. A.B.C. Raj
Dr.Aswath Damodaran Mr. K.V. Rao
Dr. Uday Damodaran Prof. Sandeep Revankar
Prof. Fakih Prof. N.K. Rao
Dr. V.K. Gupta Dr. M.R. Rao
Dr. L.C. Gupta Prof. S. Sabarinathan
Dr. O.P. Gupta Dr. L.V.L.N. Sarma
Dr.M.N. Kaura Dr. G. Sethu
Dr. R.B. Krishna Dr.William Sharpe
Mr.M.R.Mayya Dr.R. Srinivasan
Dr. Banikant Misra Dr. Marti Subrahmanyam
Dr. R.K. Mishra Dr. Ashok Thampy
Dr.Pitabas Mohanty Dr. M. Thirpalraju
xiv Acknowledgments
Dr. M.S. Narasimhan Dr. R. Vaidyanathan
Dr. P.J. Nayak Dr. J.R. Varma
Dr. M. Obaidullah Mr. George Verghese
Mr. T.V. Mohandas Pai Dr. Madhu Vij
Dr. Jinesh Panchali Mr. N.J. Yasaswy
Iam grateful to Savita for her help in preparing the manuscript and to Dr. Subrahmanyam,
Ms. Deepa, and Mr. Chandra Sekhar of TMH for their interest in this project.
I eagerly look forward to suggestions for improvements in this book.
with regards.
