comparative statement analysis of vijaya dairy

8/18/2019 Comparative Statement Analysis of Vijaya Dairy

1/51

Introduction of company


2/51

COMPANY PROFILE

As the years passed Andhra pradesh District Dairy Co-operatie Farmers !APDDCF"

built up the infrastructure needed to meet every requirement of dairying that is procurement of milk

from over 800,000 dairy farmers spread across Andhra Pradesh Or getting it ready for nation wide

distribution. t all happened within the vast !airy plant network of Andhra Pradesh District Dairy

Co-operatie Farmers "hrough e#tensive use of high technology and management acumen honed

to steer such a wide spread operation, and brought prosperity to the state many times . "he

federation has drawn up more comprehensive systems for procurement and processing of milk.

A dedicated research cases is actively pursuing ways and means of bettering

quality.$ollaboration with global e#perts are also being sought, all in attempt to remain at the

forefront of modern dairying in ndia where quality will be the watchword.

Reachin# out to the $or%d

Andhra pradesh District Dairy Co-operatie Farmers began its e#ports efforts thirteen

year ago and has gained significant ground aboard. t has spread its marketing network in %ulf and

is e#ploring the possibility of e#ploring the possibility of e#porting dairy products like butter,

$heese, $heese spread, &'" milk sterili(ed cream etc., to other countries. "he federation has been

meeting the tastes of divergent cultures, while bringing back to the pleasures of home to )on*

resident ndians.

"oday, Andhra pradesh District Dairy Co-operatie Farmers is in the process of

acquiring capabilities to +oin the big league in dairy technology from &A, &-, Australia,

)ewealand and the )etherlands.

Andhra Pradesh District Dairy Co-operatie Farmers at a #%ance&

!istrict /ilk &nions 0 )o.

/ilk sheds 1 )o.

/ilk Product factories 2 )o.

!istrict !airies 3 )o.

/a+or !airies 4 )o.

/ilk chilling $enters 56 )o.

$hilling capacity .62 77P!

Processing $apacity


3/51


4/51

Name of the 'nit Capacity per

Day

Present Per Day Pea( on any date of the year

)ellore !airy 21000 7iters 65000 7iters 6000 7iters

-avali !airy 60000 7iters 4000 7iters 2000 7iters

:enkatagiri !airy 4000 7iters 4000 7iters 4000 7iters

!uttalur !airy 44000 7iters 40000 7iters 44000 7iters

"he data related to the above development of )ellore dairy has been shown in the following table.

)ame of the organi(ation = "he ).!./.P./.$.& ltd.

> "he )ellore !istrict milk products mutually aided co*operative &nion 7td., )ellore?:i+aya !airy.

said not $ontained fat?butter milk,double "oned milk cream

milk ghee,flavored milk, doodhpeda.

)ranches Of the Company

. )ellore !airy

4. /ilk cooling centers*-avali

6. /ilk cooling centers*!uthalur

. ;ulk /ilk cooling centers*!oravarisathram

1. ;ulk /ilk cooling centers*)ellore palem


5/51

5. ;ulk /ilk cooling centers*Adurupalli

2. 'ead office of the company=7ala pet, 'yderbed

8. $ertificates, achievements@

Re$ards= /ilk products and milk sales with :i+aya brand highest to other brand.


6/51

PROD'C* PROFILE

"odayAndhra Pradesh District Dairy Co-operatie Farmers offer the idest spectrum of

milk products in ndia, under the brand name +I,AYA "hesenclude ghee, butter, processed

cheddar cheese and cheese spread, flavoured milk >/errimack?, slim milk in tetra packs, sterili(ed.

kim milk powder, dairy whitener, cooking butter and ice cream, several Among these carry

the mark DA)E attestation of quality by %overnment of ndia And the mark of ;ureau of ndian

standards."he ;rand +I,AYA is name for Fuality and quantity, which makes it atrusted name in

millions of households Across the country.

n addition, Andhra Pradesh District Dairy Co-operatie Farmers also manufacturers

products such as sterili(ed flavoured milk,panner>indigenous cheese?, !oodhpeda>!esiccated milk

sweet ? and ;utter milk which are marketed through a network of vi+aya dairy parlours and a chainof retailers spread across Andhra Pradesh.

Mi%(

$ontains 6.0B fat and 8.1B )C

$ontains 5.0B fat and 8.1B )C

$ontains .1B fat and 8.1B )C

'ighly nutritious

Pasteuri(ed,standardi(edGtonedGdouble toned milk

00B bacteria free and contained no preservatives and additives Packed in poly sachets using sophisticated from, fill and seal machines.

IND'.*RY PROFILE

Dairy .cenario

/ilk is an important nutritious food. t is more important to infants and old people. 7arge

)umber of people depends upon milk as an important source of nourishment. ndia worth its vast


7/51

population gives sentimental attachment to milk as a good food. "he government of ndia

encouraged $o*Operative societies for production of /ilk and its products and setting up of process

of large milk units.

ndia is today the highest dairy products producer in the world. "he production of milk in

ndia is 88 /illion "ones per year. t may be seen that the milk procurement by the organi(ed sector

is presently, a fraction of total milk available. ith high Fuality technology and e#pertise available

indigenously and with the milk and milk products order announce by the governments enabling the

private sector to deal directly with the farmer.

Organi(ed handling of milk would lead to proper procurement measures, which would in

turn be beneficial to farmers.


8/51

e#porter of dairy products at least by the early part of the ne#t century, even though a prospect may

meet with considerable opposition from the advanced dairy nations and this opposition is likely to

focus significantly on quality issues.

t is therefore necessary to evolve a long term industry policy that will not only sustain but

also enhance production and productive levels. "his would require ensuring remunerative and

increased returns. "o the farmer while ensuring supply of increased fluid milk needs of the urban

population at reasonable prices.

Dairy industry in India

"he dairy industry in ndia is going through ma+or changes with the lineari(ation policies of

the government and the restructuring of the


9/51

up to

up to

A bsolutePer centage $hange

Assets

*

$a ital P 106 4 104 56 8 *0.0

nventor 88 52 88 58 6 0.04

,undr !e btor s 584 20 58 60 530 0.41

Advance to 63 8 63 8 * 0.00!e posit with

4 085 4 68 14 4.3

2 0.00

$ustomer !e osits 63 515 636 20 4 08 0.14


10/51

nter pr etation of $ompar ative ;alance ,heet

"he com par ative balance sheet of the com pany r eveals that dur ing 401ther e has beenon incr ease in f inal assets of 9 s. 44 lak h i.e. 0.04B while long ter m lia bilities toother side have r elative incr ease by 9 s. 686 lak h and contr actor bill pay hasincr eased by 9 s 424 lak h. "his f act de picts the policy of the com pany is to pur chasef i#ed assets f r om the long*ter m sour ces of f inance ther e by not aff ect the work ingca pital.

$urr ent assets have incr eased by 9 s. 45 lak h and advance of contr actor not incr easedon the other hand ther e has been an incr ease in inventor ies amount 9 s. 6 lak h. "hecurr ent lia bilities have incr eased by 9 s. 184 lak h i.e. 0.05B.

"his f urther conf ir ms that the com pany has r evised long ter m f inances.

"he over all f inancial position of the com pany is satisf actory.


11/51

.1 ,O" Analysis=

,"9


12/51

OPPO9 "&)"


13/51

$ha pter 4


14/51

4.4 9 esear ch !esign @ /ethodology=

9 esear ch

"he r esear ch design of this pr o +ect is e# plor atory. "hough each r esear ch study has its own s pecif ic pur pose

but the r esear ch design of this pr o +ect on ).!./.P./.$.& 7"!. is e# plor atory in natur e as the ob +ective

is the development of the hy pothesis r ather than their testing.

"he r esear ch designs methods of f inancial analysis. "hr ough of com par ative balance sheet in

com par ative statement, am studying on balance sheet of ).!./.P./.$.& 7"!. Of f ive year . ,o

tak ing com par ative statement, am going to analy(ed of f ive year s balance sheet of ).!./.P./.$.&

7"!.

/ethodology


15/51

? Pr imar y !ata=

,ur vey= Pr imary data was collected by de partmental survey f or ).!./.P./.$.& 7"!. .

4? ,econdar y !ata=

,econdary data will consist of diff er ent liter atur es lik e book s which ar e published,

articles, inter net, the com pany manuals and we bsites of com pany.

n or der to r each r elevant conclusion, r esear ch work needed to be designed in

a pr oper way.

"his r esear ch methodology also includes=*

L Camiliar i(ation with the conce pt of f inance and its var ious mer its, demer its.

L "hor ough study of the inf or mation collected.

L $onclusions based on f indings.

4.5 ,tatistical "ools &sed

"he main statistical tools used f or the collection and analyses of data in this

pr o +ect ar e=

L ;ar !iagr ams 7ine $harts


16/51

4.2 7imitations of ,tudy

Cinancial analysis is a power f ul mechanism of deter mining f inancial str engths and weak nesses of a f ir m but, the analysis is based on the inf or mation availa ble in the f inancial statements. e has also car ef ula bout the im pact of pr ice level chances, windows*dr essing of f inancial statements, changes in

accounting policies of ).!./.P./.$.& 7"!. , accounting conce pts and conventions, and per sonal +udgments etc.

!ue to the f ollowing unavoida ble and uncontr olla ble f actor s the f actor s, the r esult might not be accur ate.

,ome of the pr oblems f aced while conducting the survey ar e as f ollows=*

L $hances of some biasness could not be eliminated.

L A ma +or ity of r es pondents show lack of cooper ation and ar e biased towar ds

their own opinions.

,ome of the im portant 7imitations of f inancial analysis ar e however , summed up as below=

L t is only a study of inter im r e ports.

L Cinancial analysis is based upon only monetary inf or mation and non*monetary

f actor s ar e ignor ed.

L As the f inancial statements ar e pr e par ed on the basis of a going concer n, it

does not give e#act position. "hus accounting conce pts and conventions cause

a ser ious limitation to f inancials analysis.

L $hanges in accounting pr ocedur e by a f ir m may of ten mak e f inancial analysis

misleading.

L Analysis is only a means and not an end in itself . e has to mak e

inter pr etation and dr aw own conclusion

!iff er ent people may inter pr et the same analysis in diff er ent ways.


17/51

$ha pter 6 $alculation of !ata"heoretical concept


18/51

"heoretical concept

6. ntr oduction

Cinancial statements ar e pr e par ed pr imar ily f or decision mak ing. "hey play a

dominant r ole in setting the f r amework of manager ial decisions. ;ut the inf or mation

pr ovided in the f inancial statement is not an end in itself as no manager ial can be

dr awn f r om these statement alone. 'owever , the inf or mation pr ovided in the f inancial

statement is of immense use in mak ing decision thr ough analysis and inter pr etation of

f inancial statements. Cinancial analysis is Mthe pr ocess of identif ying the f inancial

str engths and weak nesses of the f ir m by pr oper ly esta blishing r elationshi p between

the item of the balance sheet and the pr of it and loss accountH. "her e ar e var ious

methods used in analy(ing f inancial statements, such as com par ative statements, tr end

analysis, common*si(e statement, schedule of change in work ing ca pital, f unds f low

and cash f low analysis, cost*volume* pr of it analysis and r atio analysis.

"he ter m f inancial analysisH, also k now as analysis and inter pr etation of

f inancial statement, r ef er s to the pr ocess of deter mining f inancial str engths and

weak nesses of the f ir m of the f ir m by esta blishing str ategic r elationshi p between the

item the balance sheet, pr of it and loss account and other oper ative data.

DCinancial analysis is a pr ocess of evaluating ther elationshi p between com ponent parts of a f inancial statementto obtain a better under standing of a f ir mHs position and per f or mancesE

Accor ding to /atclf and "itar d

DCinancial statement analysis is lar gely a study of r elationshi p among the var ious f inancial f actor s in a businessas disclosed by single set*of statements and a study of thetr end of these f actor s as shown in a ser ies of statementE.

Accor ding to /yer s

"he ter m Mf inancial statement analysisH include both ManalysisH and Minter pr etationH.

"he analysis and inter pr etation of f inancial analysis statements is essential to br ing

out the mystery behind the f igur e in f inancial statements. Cinancial statement is an

attem pt to deter mine the signif icance and meaning of the f inancial statement data so

the f or ecast may be made of the f utur e ear ning, a bility to pay inter est and matur ities


19/51

and pr of ita bility of a sound dividend policy.

"ypes of Cinancial Analysis

can classif y var ious ty pes of f inancial analysis into diff er ent categor ies

de pending upon >i? the mater ial used, and >ii? the method of oper ation f ollowed in the

analysis or the modus oper andi of analysis.

>i? On the basis of mater ial used= Accor ding to mater ial used, f inancial analysis

can be of two ty pes >a? e#ter nal analysis and > b? inter nal analysis.

a.


20/51

a. 'or i(ontal Analysis= 'or i(ontal analysis r ef er s to the com par ison of

f inancial data of a com pany f or sever al year s. "hus f igur e f or this ty pe

of analysis ar e pr esented hor i(ontally over a num ber of columns. "he

f igur es of the var ious year s ar e com par ed with standar d or base year s.

A base year chosen as beginning point. "his ty pe of analysis is also

called M!ynamic AnalysisH as it is based on the data f r om year to year

r ather than on data of any one year . "he hor i(ontal analysis mak es it

possi ble to f ocus attention on items that have changed signif icantly

dur ing the per iod under r eview. $om par ison of an item over sever al

per iods with a base year may show a tr end developing. $om par ative

statement and tr end per centages ar e two tools em ployed in hor i(ontal

analysis.

b. :er tical Analysis= :ertical analysis r ef er s to the study of r elationshi p

of the var ious items in the f inancial statements of one accounting

per iod. n this ty pes of analysis the f igur e f r om f inancial statement of a

year ar e com par ed with a base selected f r om the same year Hs statement.

t is also k nows as M,tatic AnalysisH. $ommon*si(e f inancial analysis

statement and f inancial r atio ar e the tools em ployed in vertical

analysis. ,ince vertical analysis consider s data f or one time per iod

only, it is not conducive to a pr oper analysis of f inancial statements.

'owever , it may be used along with hor i(ontal analysis to mak e it

mor e eff ective and meaningf ul.

Pr ocedur e of Cinancial ,tatements

"her e ar e thr ee ste ps involved in the analysis of f inancial statements. "hese

ar e= >i? selection >ii? classif ication >iii? inter pr etation, the f ir st ste p involves selection

of inf or mation >data? r elevant to the pur pose of analysis of f inancial statements. "he

second ste p involved is the methodical classif ication of the data and the thir d ste p

include dr awing and conclusions.


21/51

"he f ollowing pr ocedur e is adopted f or the analysis and inter pr etation of f inancial

statements=

. "he analysis should acquaint himself with the pr inci pal and postulates of

accounting. 'e should k now the plans and policies of the management so that

he may be a ble to f ind out whether these plans pr oper ly e#ecuted or not.

4. "he e#tent of analysis should be deter mined so that the s pher e of work may be

decided. f the aim is to f ind out the ear ning ca pacity of the enter pr ise than

analysis of income statement will be undertak en. On the other hand. f

f inancial position is to be studied then balance sheet analysis will be

necessary.

6. "he f inancial data given in the statement should be r e*or gani(ed and r e*

arr anged. t will involve the gr ouping of similar data under same heads,

br eak ing done of individuals com ponents of statements accor ding to natur e.

"he data is r educed to a standar d f or m.

. A r elationshi p is esta blished among f inancial among f inancial statements with

the hel p tools and techniques of analysis such as r atio, tr ends, common si(e,

f unds f low etc.

1. "he inf or mation is inter pr eted in a sim ple and under standa ble way. "he

signif icance and utility of f inancial data is e# plained f or hel ping decision*

talk ing.

5. "he conclusions dr awn f r om inter pr etation ar e pr esented to the management in

the f or m if r e ports.


22/51

/ethods or !evices of Cinancial Analysis

"he analysis and inter pr etation of f inancial statements is used to deter mine the

f inancial position and r esult of oper ation as well. A num ber of methods or devices ar e

used to study the r elationshi p between diff er ent statements. An eff ort is made to use

those devices which clear ly analysis position of the enter pr ise.

"he f ollowing methods of analysis ar e gener ally used=

L $om par ative ,tatement

L "r end analysis

L $ommon ,i(e ,tatement

L $ash Clow Analysis

L Cunds f lows

L 9 atio analysis

L $ost N volume * Pr of it analysis

.

$ompar ative ,tatement= $om par ative balance sheet analysis is the study of the

tr end of the same items, gr oup of item and com puted item in two or mor e balance

sheets of the same business enter pr ise on diff er ent data.

"r end analysis= "his method deter mines the dir ection upwar ds and involves the

com putation of the per centage r elationshi p that each statement item bear s to the same

item in base year .

$ommon si(e ,tatement= "he common si(e statements balance sheet statements ar e

shown in analytical per centages. "he f igur es ar e shown as per centages of total assets,

total lia bilities and total sales. "otal assets ar e tak en as 00 and diff er ent assets ar e

e# pr essed as a per centage of the total, similar ly var ious lia bilities ar e tak en as a part

of total lia bilities.


23/51

$ash f low ,tatement= $ash f low statement is a statement which descr i bes the inf low

>sour ces? and outf low >uses? of cash and cash equivalent in an enter pr ise dur ing a

s pecif ied per iod of time.

9 atio Analysis= 9 atio is a sim ple ar ithmetical e# pr ession of the r elationshi p of one

num ber to another . t may be def ined as the indicated quotient of two mathematical

e# pr essions.

$ost N :olume N Pr of it Analysis= $ost N :olume N Pr of it Analysis is a technique f or

studying the r elationshi p between cost, volume and pr of it. Pr of it of an under standing

de pend upon a lar ge num ber of f actor s. ;ut the most im portant of these f actor s ar e the

cost of manuf actur e, volume of sales and the selling pr ices of the pr oduct.

$ompar ative ,tatements

"he com par ative f inancial statements of the f inancial position at diff er ent

positionsI at time. "he elements of f inancial position ar e shown in a com par ative f or m

so as to given an idea of f inancial position at two or mor e per iods. Any statement

pr e par ed in a com par ative f or m will be cover ed in com par ative statements. Cr om

pr actical point of view , gener ally two f inancial statements > balance sheet and income

statement? ar e pr e par ed in com par ative f or m f or f inancial analysis pur pose. )ot only

the com par ison of the f igur es of two f inancial position and oper ative r esults. "he

com par ative statement show =

K A bsolute f igur es > r upee amounts ?

K $hanges in a bsolute f igur es i.e., incr ease or decr ease in a bsolute f igur es.

K A bsolute data in ter ms of per centages.K ncr ease or decr ease in ter ms of per centages.

"he f inancial data will be com par ative only when same accounting pr inci ples ar e used

in pr e par ing these statements. n case of any deviation in the use of accounting

pr inci ples this f act must be mentioned at the f oot of f inancial statements and the


24/51

analyst should be car ef ul in using these statements. "he two com par ative statements

ar e >i? ;alance sheet, and >ii? income statement.

$ompar ative ;alance ,heet

"he com par ative balance sheet analysis is the study of the tr end of the same

items, gr oup of items and com puted items in two or mor e balance sheet of the same

business enter pr ise on diff er ent dates. "he changes in per iodic balance sheet items

r ef lect the conduct of a business. "he changes can be observed by com par ison of the

balance sheet at the beginning at the end of per iod and these changes can hel p in

f or ming an opinion a bout the pr ogr ess of an enter pr ise. "he com par ative balance

sheet has two columns f or the data of or iginal balance sheets. A thir d column is used

to show incr eases in f igur es. "he f ourth column may be added f or added f or giving

per centages of incr eases or decr ease.


25/51

6.4 $ompar ative ;alance ,heet of ).!./.P./.$.& 7"!. 401 @ 40

"a ble 6.

Par ticular

,O&9$4123?

*68.82 58

1.2 >3008?

*0.32

134344 1.00

3556 1.03

>6461?

*1.18 3204

6.28 >5011?

*36.35 >6383?

*1.48 0 0

2313 64.50

>11?

*4.05 6038548.42 46163

40.54 6000

.40 6011

8.04

2853 .6

356 2.25

56664 2.8

452246 8.63

>68862?

*65.35>3008? *0.32


26/51

$om par ative ;alance ,heet n 9 s.

year 401

year 40

Cigur e 6.= $ompar ative ;alance ,heet $har t

$om par ative ;alance ,heet n B

0

40

0

40

>0? percentages

>50?

>80?

>00?

>40?

Cigur e 6.4= $ompar ative ;alance ,heet $har t in B

2000000

4000000

6000000

C a p i t a l

U n s e c u r e d

N e t B l o c k

D e c o m m i s s i o n e

I n v e n t o r i e s

C a s h a n d B a n k

L o a n a n d

P r o v i s i o n

I n t e r / I n t r a C i r c l e

000000

0

C a p i t a l

U n s e c u r e d

N e t B l o c k




L o a n a n d

P r o v i s i o n



27/51

Pr ocedur e of $ompar ative ;alance ,heet

. "he $om par ative balance sheet has two columns f or the data of or iginal balance

sheet.

4. "hir d column is used to show incr eases in f igur es.

6. "he Courth column may be added f or giving per centages of incr ease or decr ease.

nter pr etation of $ompar ative ;alance ,heet >"a ble 6.?

"he com par ative balance sheet of the com pany r eveals that dur ing 401

ther e has been on decr ease in f i#ed assets of 9 s. 6383 lak h i.e. *1.48B while

long ter m lia bili ties to outsider s have r elatively decr ease by 9 s. 3008 lak h i.e.

*0.32. "his f act de picts the policy of the com pany is to not pur chase f i#ed assets

f r om the long*ter m sour ces of f inance ther e by not aff ect the work ing ca pital.

$urr ent assets have incr eased by 9 s. 56,664 lak h and cash and bank

balances also incr eased 9 s. 603,854 i.e. 8.42B, investments not incr eased on the

other hand ther e has been an incr ease in inventor ies amount 9 s. 23,13 lak h

i.e.64.50B. "he curr ent lia bilities have incr eased by 9 s. 56,664 lak h i.e. 2.8 B.

"his f urther conf ir ms that the com pany has r evised long ter m f inances.



28/51


"a ble 6.4

Par ticular

,O&9$2042? *46.83>1231? *45.88

633643 .1

531538 5.463412 2.83

>44113? *6.21

>4188? *64.22

>304? *4.48

>6113? *1.3

0 0

>65021? *4.36

>2463? *.1

58268 44.8

1014 23.0

>408225? *44.5

40823 8.10

11131 6.1>626651? *4.0>62220? *4.2

26853 60.

4443 6.2633643 .1

40


29/51

$om par ar ive ;alance ,heet n 9 s.

year 40

year 406

Cigur e 6.6= $ompar ative ;alance ,heet $har t


0

0

8

40 ercenta e

0

*4

0

*

Cigur e 6.= $ompar ative ;alance ,heet $har t in B

2000000

4000000

6000000

C a p i t a l

U n s e c u r e d

N e t B l o c k



L o a n a n d

P r o v i s i o n

000000

0

C a p i t a l

U n s e c u r e d

N e t B l o c k




L o a n a n d

P r o v i s i o n





30/51



sheet.



nter pr etation of $ompar ative ;alance ,heet >"a ble 6.4?

"he com par ative balance sheet of the com pany r eveals that dur ing 40ther e

has been a decr ease in f i#ed assets of 61,13 i.e. *1.3B while long ter m lia bilities to

outsider s have incr eased by 9 s. 633643 i.e. .1B. "her e has also been incr ease of

9 s. 531 lak hs, i.e. 3.02B in r eserves and sur plus of the com pany. "hus, the

com pany has used long*ter m r esour ces to f inance additional work ing ca pital.

"he curr ent assets have incr eased by 9 s. 40823 lak hs, i.e. 8.10B and cash

and bank balance has incr eased by 9 s. 58268 lak hs, on the other hand , "he curr ent

lia bilities have incr eased only by 9 s. 11131 lak hs, i.e. 6.1B.

nventor ies have decr eased f r om 9 s. 428344 iak hs to 9 s. 4482 lak hs, i.e.

4.36B which shows that ther e have incr eased in demand. t is better f or business.



31/51

6. $ompar ative balance sheet of ).!./.P./.$.& 7"!. 406 @ 404

"a ble 6.6

Par ticular ,O&9$36535? *.0

>6004? *.04

12004 5.28

218382 2.43

3201 4.55

>18018? *4.15

>2128? *5.

>533? *8.53

>466361? *6.14

0 0

1682 4.44

>6638? *1.01

85861 63.6

3413 64.8

202 44.2

05060 48.2

10286 0.64

3502 40.45600630 6.51

80150 8.83>556? *.25

12004 5.28


32/51


year 406

year 404

Cigur

e 6.1= $ompar ative ;alance ,heet $ha

r t

$om par ative ;alance ,heet in B0061060041

040010

percentages 00100

*10*0

0


2000000

4000000

6000000

000000


P r o v i s i o n



U n s e c u r e d

L o a n a n d


N e t B l o c k

C a p i t a l

0


P r o v i s i o n

L o a n a n d




N e t B l o c k

U n s e c u r e d

C a p i t a l


33/51



sheet.




"he com par ative balance sheet of the com pany r eveals that dur ing 4005 ther e

has been a decr ease in f i#ed assets of 9 s. 466361 lak hs, i.e. 6.14B while long*ter m

lia bilities to outsider s have incr eased by 9 s. 12004 lak hs, i.e.5.28B. "her e has also

been incr ease by 9 s. 23220 lak hs, i.e. 6.46B in r eserve and sur plus of the com pany.

"hus, the com pany has used long ter m r esour ces to f inance additional work ing

ca pital.

"he curr ent assets have incr eased by 9 s. 05060 lak hs, i.e. 48.2B and cash

has incr eased by 9 s. 85861 lak hs. On the other hand, ther e has been incr eased in

inventor ies amounting to 9 s. 1682 lak hs. "he curr ent lia bilities have incr eased only

by 9 s. 10286 lak hs, i.e. 0.64B. "hese f urther conf ir m that the com pany has r aised

long ter m f inance even f or the curr ent assets r esulting into an im pr ovement in the

liquidity position of the com pany.



34/51


"a ble 6.

Par ticular ,O&9$46210000?

>331168?

>2400000?

>211216?

>224368?

>214683463?

>3458255?

>640048842?

>54463363?

>1803453?

>53610?

>58400380?

>380000?

>464435?

>6360804?

>668568?

658

>3548804?

>42333021?

>2836?

>184214?>40135552?

>5501408?

>46181?>214683463?

B

*33.00

*38.8

*00.00

*38.3

*33.62

*38.30

*38.3

*38.53*33.04

*33.44

*33.5

*33.0

*33.00

*33.0

*38.66

*38.0

*33.44

*38.5

*33.04*38.21*38.3*32.12

*35.*38.30


35/51


year 404year 40



*3.00

*31.00

*35.00

*32.00 percentag

es *38.00

*33.00

*00.00

*0.00


C a p i t a l

D e ! e r r e d

D e ! e r r e d " a #

C a p i t a l

I n v e s t m e n t s

$ u n d o r %

& t h e r

L i a ' i l i t i e s

N e t C u r r e n t

C a p i t a l

D e ! e r r e d

D

e ! e r r e d " a #

C a p i t a l

I n v e s t m e n t s

$ u n d o r %

& t h e r


N e t C u r r e n t


36/51


. "he $om par ative balance sheet has two columns f or the data of or iginal balance sheet.


6. "he Courth column may be added f or giving per centages of incr ease or decr ease

nter pr etation of $ompar ative ;alance ,heet >"a ble 6.?

"he com par ative balance sheet of the com pany r eveals that dur ing 404ther e

has been a decr ease in f i#ed assets i.e. N33.5 B while long ter m lia bilities to

outsider s have decr eased by i.e. 38.3B. n this year com pany f ace pr of it decr ease

pr oblem but com pany having pr of it

"he over all f inancial position of the com pany is satisf actory but com par e 40

com pany pr of it ar e not satisf actory.


37/51


"a ble 6.1

Par ticula

r

,O&9$164403?

24840045885213

ncr

.G!ecr .

0

2035148

0

>100000?

>682163?

321

24444

332440

0031588

>8638?

>600562?

602016

>61422158?

0

>20316?

064160

822302

483142

6623632

>468406?

435240

20184464663>86453?

244444

B

0

5.6

0

*00.00

*.4

41.1

0.2

.55

1.4

*0.4

*65.8

45.4

*.82

0

*46.4

61.4

465.00

4.16

53.23

*6.25

26.51

0.11

*414.06*55.65

0


38/51



600

400

00

0 ercenta e

*00

*400

*600


C a p i t a l

D e ! e r r e d

U n s e c u r e d

N e t B l o c k





N e t C u r r e n t

C a p i t a l

D e ! e r r e d

U n s e c u r e d

N e t B l o c k





N e t C u r r e n t


39/51


. "he $om par ative balance sheet has two columns f or the data of or iginal balance sheet.


6. "he Courth column may be added f or giving per centages of incr ease or decr ease


"he com par ative balance sheet of the com pany r eveals that dur ing 40 ther e has

been decr ease in f i#ed assets of 9 s. 61422158 lak hs, i.e. .82B while long*ter m

lia bilities to outsider s have incr eased 9 s. 244444 lak hs, i.e. 0.00B. "her e has also

been incr ease of 9 s. 2035148 lak hs, i.e. 5.6B in r eserve and sur plus of the

com pany. "hus, the com pany has used long*ter m r esour ces to f inance additional

work ing ca pital.

"he curr ent assets have incr eased by 9 s. 6623632 lak hs, i.e. 53.23B. "her e has

been incr eased in cash by 9 s. 822302 lak hs, i.e. 61.4B.

"her e has been decr eased in inventor ies amounting to 20316 lak hs, i.e.46.4B and

ther e has also been decr eased lia bilities amounting to 468401 lak hs, i.e. 6.62B.

which shows that the com pany is going on pr of it.



40/51

6.2 $ommon ,heet of ).!./.P./.$.& 7"!.

"a ble 6.5

9 eserv

e and

,ur l

us

2154841 2804 584151 50423 10186413 6480!ef err ed %over nment %r ant 0 0 0 0 2400000 2400000&nsecur ed 7oans 668882 11655 248636 844083 2162584 288568,ecur ed 7oans 0 0 0 0 0 100000!ef err ed "a# 7ia bilit * net 6016 4501 2000 6004 806610 6848341Ci#ed Assets 1265800 501553 50846 55428 588518 24634245nvestment 40000 40000 40000 40000 4000000 4000000nventor ies 644005 4482 428344 44161 466235 6016480

$ash and ;ank ;alances 01118 621435 601238 4366 11221 66358Other $urr ent Assets*Accr ued 62582 8 56542 658 0 07oan and Andvances 2 26 346402 21450 3200404 58081348$urr ent 7ia bilities 46503 484222 410012 440012 408584 405333255

)et $urr ent Assets 61326 6340 416654 52244 5220060 *164403nterGntr a $ir cle 9 emittance 5546 01058 34863 3104 43616 2484004

800000000

200000000

500000000

100000000

00000000

600000000400000000

00000000

401

40

406

40440

400

0

*00000000

Cigur e 6.= $ommon $har t

C a p i t a l

D e ! e r r e d

$ e c u r e d

( i # e d


C a s h a n d

L o a n a n d

N e t C u r r e n t


41/51

$ha pter 8 $onclusion and ,uggestions


42/51

. Cinding=

Accor ding to my survey and calculating the im portant points ar e=

K Cinancial position of ).!./.P./.$.& 7"!. is not much good.

K "he com par ative balance sheet of ).!./.P./.$.& 7"!. r eveals that af ter year 40,

decr ease the ca pital in year 404 and same ca pital continue to year 401 yet.

K Cinancial position of ).!./.P./.$.& 7"!. was much better in 40 com pr ession to all year .

K "her e ar e not good coor dination in de partments of ).!./.P./.$.& 7"!. .

K ork ing pr ocess of ).!./.P./.$.& 7"!. tak e long time.

K 'andwr iting work is mor e than com puter i(ing work .

K Fualif ication of em ployees is not match his posts.

K ,alary of em ployees is much better .

K At pr esent time, investment of ).!./.P./.$.& 7"!. is less than com pr ession year 40.


43/51

.4 Analysis=

Cr om the calculation it was f ound that amongst year 40 to 401,

K n year 40, f inancial position of ).!./.P./.$.& 7"!. is good based on year 400.

K n year 406, f inancial position of ).!./.P./.$.& 7"!. is not good based on year 400, because in year 404, ca pital has decr eased and also investment.

K n year 406, f inancial condition of ).!./.P./.$.& 7"!. is im pr oved based on year 404 not year 400.

K n year 40, f inancial position of ).!./.P./.$.& 7"!. is satisf actory based on year 404 and 406 but not im pr oved based on year 400 and 40.

K n year 401, f inancial position of ).!./.P./.$.& 7"!. is good based on year 404 , 406 and 40 even than is not im pr oved based on year 400 and 40.

K n year 40, inventor ies ar e decr eased based on year 400. which, we can see in gr a ph. "his is better . ;ut in year 401, inventor ies ar e incr eased based on year 404 , 406 , 40. this is not good of ).!./.P./.$.& 7"!. because incr ease in inventor ies than decr ease in demand.


44/51

.6 $onclusion=

Af ter over hauling the f ive year s balance sheet of ).!./.P./.$.& 7"!. and all condition, have to r eached this conclusion thatI

K "her e was much good f inancial position of ).!./.P./.$.& 7"!. in year 40

com par ison 400 and pr esent year .K "her e was mor e investment in year 40 because of this, year 40 have ear n mor e pr of it based on year 400 and com par e the pr esent year . f ther e ar e mor e investment than f inancial position of ).!./.P./.$.& 7"!. may be im pr oved and ear n mor e pr of it at pr esent time.

K ork ing pr ocess of ).!./.P./.$.& 7"!. is tak e very long time because of which, ).!./.P./.$.& 7"!. s not being a ble to pr ogr ess. ,o im pr oved the work ing pr ocess.

K ).!./.P./.$.& 7"!. ar e f acing the ca pital pr oblem because of which f inancial position of ).!./.P./.$.& 7"!. ar e aff ected.

K ).!./.P./.$.& 7"!. ar e paying mor e ta#es. ;ecause of paying mor e ta#es,

f inancial position of ).!./.P./.$.& 7"!. ar e aff ected.K Over all at pr esent time, f inancial position of ).!./.P./.$.& 7"!. is not good based on year 400 N 40.

K "her e was ear ned mor e pr of it in year 40 but year by year ).!./.P./.$.& 7"!. is on loss.


45/51

.1 ,uggestion=

"he study has pr ovided with the usef ul data f r om the r es pondents. "her e has a lot to

be r ecommended. Collowing ar e the r ecommendations=

K "her e should be incr ease in investment of ).!./.P./.$.& 7"!. . ,o that could be

ear ned mor e pr of it. ;ecause, if investment will be high than pr of it will be ear ned high.

K "her e should be im pr oved the work ing pr ocess of ).!./.P./.$.& 7"!. . ;ecause work ing pr ocess of ).!./.P./.$.& 7"!. is tak e mor e time.

K !e partments of ).!./.P./.$.& 7"!. do not have good coor dination. ,o ther e should be good coor dination in de partments of ).!./.P./.$.& 7"!. . f coor dination will have good in de partments, than ther e will not has to f ace any pr oblem in pr oper work .

K "ime to time, ther e should be pr ovided tr aining of em ployee. ,o that they could tak e inf or mation a bout the new technology of them pr oper work ing pr ocess.

K "her e should be good communication between each de partments of ).!./.P./.$.& 7"!. .

K "her e should be com puter i(ed work in ).!./.P./.$.& 7"!. . ;ut also at this time, pa per work ar e continue to see in many de partment.


46/51

A ppendi#


47/51

BALANCE SHEET AS AT 31ST

MARCH 2015.

SCHEDULE 2015

2014


48/51

BALANCE SHEET AS AT 31ST

MARCH 2013.

SCHEDULE 2013 2012


49/51


50/51

;i bliogr a phy


51/51

;i bliogr a phy

K /anagement Accounting ,hashi - . %upta @ 9 .- . ,har ma

K Cinancial /anagement ./. Pandey.

K 9 esear ch Pa per= Cinancial Analysis 'am pton ohn . Cinancial !ecision/ak ing, ,econd

comparative statement analysis of vijaya dairy

Documents