A

“SUMMER INTERNSHIP PROJECT REPORT”

ON

“A STUDY ON FINANCIAL PERFORMANCE BY TREND & RATIO ANALYSIS”

OF

“SR CHEMICALS”

SUBMITTED TO (771):-

“SHRI M.H. KADAKIA INSTITUTE OF MANAGEMENT AND COMPUTER STUDIES”

UNDER THE GUIDANCE OF:-

Mr RAKESH PANCHAL Mrs BRIJAL PATEL

(FACULTY GUIDE) (FIRM GUIDE)

In The Partial Fulfilment of the Requirement of the Award of the Degree of

“MASTER OF BUSINESS ADMINISTRATION (MBA)”

OFFERED BY:-

“GUJARAT TECHNOLOGICAL UNIVERSITY”

AHMEDABAD

PREPARED BY:-

Fitter Drashti. J.

187710592008.

MBA (Semestar-3)

MONTH & YEAR:-

July 2019
 STUDENT’S DECLARATION:-

I hereby declare that the “Summer Internship Project Report” titled “A study on Financial Performance
by Ratio Analysis and Trend Analysis” at “SR Chemicals” is a result of my own work and my
indebtedness to other work publications, references if any, have need duly acknowledged. If I am found
guilty of copying from any report or published information and showing as my original work, or extending
Plagiarism limit. I understand that I shall be liable and punishable by the university, which may include
“Fail” in examination or any other punishment that university may decide.

ENROLLMENT NO:- NAME:- SIGNATURE:-

187710592008 Fitter Drashti .J.

PLACE: - Ankles war DATE:-

 PLAGIARISM SCAN REPORT

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 PREFACE:-

I completed my training for SIP project at SR CHEMICALS. Details given under the project is about
calculating and finding Trend analysis, ratio analysis. The project information is related to the SR
CHEMICALS.

At the beginning there is brief information given for the departments of the company .Then about the topic
financial performance, an introductory part of financial performance measuring with the help of trend
analysis, ratio analysis and on the financial statement. This practice opted in the most of the companies.
With the help of financial statement analysis company can evaluate its financial position monthly or yearly.

Financial performance is directly connected with the company’s strength and weakness. It considered net
profit or loss of company’s financial data, to measure the financial performance with the help of five years
data. Trend analysis statement has been prepared. Ratio analysis has been done with help of the five year
data. Finally budgeted balance sheet and profit and loss account.
 ACKNOWLEDGMENT:-

I express my gratitude to the college Prof (Dr.) [Link] (DIRECTOR), for giving me the opportunity
to do this project. I also extend my gratitude to my project guide Mr. RAKESH PANCHAL (ASSISTANT
PROFESSOR) who assisted me in compiling the project.

I have taken efforts in this project. However, it would not have been possible without the kind support and
help of many individuals and organization. I would like to extend my sincere thanks to all of them.

I am highly indebted to Mrs. BRIJAL PATEL (EMPLOYEE) for their guidance and constant supervision
as well as for providing necessary information regarding the project & also for their support in completing the
project. I would like to express my gratitude towards my parents & members of “SR CHEMICALS” for
their kind co-operation and encouragement which help me in completion of this project. I would like to
express my special gratitude and thanks to industry persons for giving me such attention and time. My thanks
and appreciations also go to my colleague in developing the project and people who have willingly helped me
out with their abilities.

Fitter Drashti.

MBA- (SEM-3).
 INDEX:-

SR NO PARTICULARS PG NO
CH-1 EXECUTIVE SUMMARY:- 1
CH-2 INTRODUCTION ABOUT CHEMICAL INDUSTRY:-
2.1 History. 2
2.2 Industry overview at national level. 3
2.3 Industry overview at state level. 4
CH-3 INTRODUCTION ABOUT SR CHEMICALS:-
3.1 Introduction. 5-6
3.2 Company profile. 7
CH-4 DEPARTMENT STUDY:-
4.1 Finance department. 8-10
4.2 HR department. 10-12
4.3 Production department. 13-15
4.4 Marketing department. 16-18
4.5 Purchase department. 18
4.6 Quality assurance department. 19-20
4.7 Store department. 20-22
CH-5 LITERATURE REVIEW:- 23-25
CH-6 INTRODUCTION OF TOPIC:-
6.1 Meaning of financial performance analysis. 26
6.2 Objectives of financial performance analysis. 26
6.3 Advantages of financial performance analysis. 26
6.4 Limitations of financial performance analysis. 27
6.5 Tools of financial performance analysis. 27
6.6 Meaning of working capital management. 28
6.7 Meaning of Ratio analysis. 29
6.8 Meaning of Trend analysis. 29
CH-7 RESEARCH METHODOLOGY:-
7.1 Definition. 30
7.2 Problem Statement. 30
7.3 Research objective. 30
7.4 Research Design. 30
7.5 Secondary data. 30
7.6 Research area. 31
7.7 Duration of study. 31
7.8 Limitation of study. 31
CH-8 DATA ANALYSIS AND INTERPRETATION:- 32-59
CH-9 FINDINGS:- 60
CH-10 SUGGESTIONS:- 61
CH-11 CONCLUSION:- 62
CH-12 BIBLIOGRAPHY:- 63
CH-13 ANNEXURE:- 64-66

LIST OF TABLES:-

TABLE NAME OF TABLE PG NO

 NO:-
(1) Balance sheet of trend analysis-2013,2014,2015,2016,2017,2018 32-33
(2) Trend analysis of 2013-2014 34-35

(3) Trend analysis of 2013-2015 36-37

(4) Trend analysis of 2013-2016 38-39

(5) Trend analysis of 2013-2017 40-41

(6) Trend percentage balance sheet of 2013 to 2018 42-43

(7) Current Ratio 45

(8) Liquid Ratio 46

(9) Acid-test Ratio 47

(10) Gross profit Ratio 48

(11) Net profit Ratio 49

(12) Expenses Ratio 50

(13) Operating Ratio 51

(14) Return on capital employed ratio. 52

(15) Return on shareholders’ funds ratio. 53

(16) Proprietary Ratio. 54

(17) Debt-equity ratio. 55

(18) Fixed Assets Ratio. 56

(19) Total assets turnover ratio. 57

(20) Fixed assets to net-worth ratio. 58

(21) Current assets to net-worth ratio. 59

LIST OF GRAPH:-
 GRAPH NAME OF GRAPH PG NO
NO:-
(1) Current Ratio 45
(2) Liquid Ratio 46
(3) Acid-test Ratio 47
(4) Gross profit Ratio 48
(5) Net profit Ratio 49
(6) Expenses Ratio 50
(7) Operating Ratio 51
(8) Return on capital employed ratio. 52
(9) Return on shareholders’ funds ratio. 53
(10) Proprietary Ratio. 54
(11) Debt-equity ratio. 55
(12) Fixed Assets Ratio. 56
(13) Total assets turnover ratio. 57
(14) Fixed assets to net-worth ratio. 58
(15) Current assets to net-worth ratio. 59
 CH-(1)
EXCECUTIVE SUMMARY:-

[Link] is been well equipped and furnished with good equipments, which results good output. I
have gone through various departments like HR, Finance and Production etc. Each department is co-
ordinated with each other, so there are no strikes or any kind of disturbance in the schedule of the
company. The company environment is quite motivating and peaceful. HR department helps the
employees of the company to develop themselves & increase their performance, so that employees &
organization’s goals are achieved. Similarly, the finance department keeps an eye on the activities of other
departments & tries to reduce the cost of product, so that the profit is increased. Production department
helps to manage the demand & supply gap of the products. Purchase & store department handle the
activities related to purchase of raw-material & spare parts which are needed in various department mainly
production. They purchase required material & store them in the store department. Production department
increase & maintains the quality of products.

CH-(2)
 INTRODUCTION ABOUT
CHEMICAL INDUSTRY:-

2.1 History:-

 Chemical industries can be traced back to Middle Eastern artisans, who refined alkali and limestone
for the production of glass as early as 7,000 BC, to the Phoenicians who produced soap in the 6th
cent. BC, and to the Chinese who developed black powder, a primitive explosive around the 10th
cent.
  The chemical industry provides valuable inputs for other industries such as textiles, paper, paints and
varnishes, leather etc, which are required in almost all walks of life. The Indian chemical industry has
small, medium as well as large-scale units. The fiscal concessions granted to the small-scale sector in
mid-eighties led to establishment of a large number of units in the Small scale industries (SSI) sector.
India enjoys an abundant supply of basic raw materials, however lags behind in terms of technical
and marketing capabilities.
 The most important sectors of India’s Chemical industry are alkali chemicals, Inorganic chemicals
Organic chemicals, Pesticides and dyes & Dyestuffs, with their respective production quantity in
same order.
 In 1997 the U.S. chemical industry produced about $389 billion worth of products and employed
1,032,000 workers. It exported about $71 billion worth of chemicals.
 Synthetic fibres changed the textile industry when rayon (made from wood fibres’ was introduced in
1914; the introduction of synthetic fertilizers by the American Cyanamid Company in 1909 led to a
green revolution in agriculture that dramatically improved crop yields.

 Sodium phosphates have many applications in food and for water treatment. For example, sodium
phosphates are often used as emulsifiers (such as in processed cheese), thickening agents,
and leavening agents for baked goods. They are also used to control pH of processed foods. They are
also used in medicine for constipation and to prepare the bowel for medical procedures. Moreover,
they are used in detergents for softening water, and as an efficient anti rust solution.
 Chemical industry is one of the oldest industries in India, which contributes significantly towards
industrial and economic growth of the nation. Since this industry has numerous forward and
backward linkages, it is called the “BACKBONE” of the industrial and agricultural development of
the country and provides building blocks for many downstream industries.

2.2 Overview (India level):-

There are a lot of companies or suppliers who produce and supply sodium phosphate,ammnioum phosphate,
potassium phosphate, Pyro phosphate TPP chemicals, those companies are as follows:-

SR NO COMPANY NAME CITY NAME TURNOVER(cr)

 1. Advance inorganic Delhi Rs. 25-50
2. Vinipal inorganic pvt ltd Mumbai Rs. 10-25
3. Aarti phosphates Thane Rs. 25-50
4. Future India chemicals Pune Rs. 5-10
5. Shree jeeva chemicals Chennai Rs. 1-2
6. The chemical centre Udaipur Rs. 1
7. Hindustan phosphates pvt ltd Indore Rs. 50-100
8. Prem glass works and chemicals Coimbatore Rs. 50 lacs
9. Big ideas global Dewas(M.P) Rs. 5-10
10. Pari chemicals Mumbai Rs. 10
11. Indra’s agencies pvt ltd Chennai Rs. 50-100
12. Kellicks pharma Mumbai Rs. 5-6
13. Nakoda chemicals pvt ltd Pune Rs. 5-10
14. Pharma cell Mumbai Rs. 2-5
15. Chemical crunch Mumbai Rs. 2-5

2.3 Overview (Gujarat level):-

As we noticed that there are a lot companies and suppliers at India level which produces ammonium
phosphate, sodium phosphate and tpp chemicals. In the same way there are many companies and suppliers
which produces this chemicals at Gujarat level, some of them are as follows:-

SR NO COMPANY NAME CITY NAME TURNOVER(cr)

1. SR Chemicals Panoli Rs. 5
2. Shubham industries Vadodara Rs. 1-2
3. Gurukrupa enterprise Ankles war Rs. 50 lacs
4. [Link] chemical industries Surat Rs. 25-50
5. Gujarat Valley Fertilizers Ltd Bharuch Rs. 790
6. Volkschem crop Science pvt ltd Ahmedabad Rs. 5-10
7. Yogi chemicals industries Padra Rs. 6
8. Pracham laboratories Kalol Rs. 5-10
9. Dewcare concept pvt ltd Ahmedabad Rs. 10-25
10. Grampus Laboratories Ambala Rs. 1-2
11. Uma organics Vadodara Rs. 2-5
12. Sonu chemicals Vadodara Rs. 5-10
13. Imperial chem. Incorporation Vadodara Rs. 5-6
 CH-(3)
INTRODUCTION ABOUT
SR CHEMICALS:-

3.1 INTRODUCTION:-

Chemicals undeniably possess a large impact on human life because of their existence in almost every
product from medicines, fertilizers to building material. Being the mainstay and strength of every industry,
these are essential for smooth running of industrial process from developing products to using it. The global
need of inorganic chemicals is increasing day by day because of its non-carbon and hydrogen existent
properties, high solubility in water and chemical stability. To deal in an ample assortment of inorganic salts
like Sodium phosphate, Ammonium phosphate, Pyro phosphate, with a host of various others, our company
S.R. chemicals came into establishment. The products we deal in are accessible in various packaging
options. We also offer customized packing of our produced range; based in Bharuch Gujarat (India).Our
technocrats are well expedient in formulating only superior grade chemicals.

S.R. chemicals is a manufacturer and exports of huge array of inorganic chemicals including sodium
phosphate, ammonium phosphate, monoammonium phosphate, monopotassium phosphate, pyro phosphate
and various others. Our products are widely used by the patrons and comprehended for their purity features,
availability in different colours, crystalline, powdered and liquid form and reasonable boiling point. Our
customers can avail the offered range in different amounts and enclosing options as per their requirements.
Since the inception of our company in 2000, we are working under the guidance of Mr Snehal Patel, our
respected owner. His farsightedness and huge expertise in the domain ,is what made us establish a reputable
position in the market.

 Infrastructure facilities:-

We have developed a large chemical plant with the objective to create and formulate new material wealth
that is chemical composition. Our production unit is outfitted with ambient pressure and temperature
handling instruments and specialized equipment like separating, filtration, distillation, osmosis,
condensation and various others, that assist in proper processing and formulation of ammonium phosphate
and pyro phosphate. In order to meet the demands of the customers more promptly, we have developed a
commodious warehouse that is located near market places, so as to ensure on time delivery of the offered
range.

 Mission:-

To cater all the requirements of clients from pharmaceutical industry who reside in domestic as well as
international market. We are preparing to make AR grade (analytical reagents) and LR grade
(laboratory analysis) phosphate chemicals along with BP grade and IP grade phosphate salts in our
state of arts premises.

 Strengths:-

It’s been almost 16 years that S.R. chemicals is catering all the requirements of clients by offering
superior grade inorganic chemicals like ammonium phosphate, pyro phosphate, etc. owing to the rich
experience and sincere efforts of professionals. We have been able to deliver precisely formulated
chemicals that are known for their high chemical stability and solubility. Some major factors that tell
we are ahead of our competitors include the following:-
 (1) Large manufacturing area equipped with latest technology.
(2) We are certified with ISO 9001:2008, which is an evidence of how well we formulate
chemicals.
(3) High performance and financial stability.
(4) Prompt delivery service and market leading prices of the produced range.
 Opportunities:-
 Possible mergers with smaller companies.
 S.R chemicals have always great opportunity to get into mergers & acquisitions with
companies across the globe.
 Finding alternatives competitors.
 It may itself get into the research operation in terms of finding alternatives chemicals
before its competitors.
 Expanding into more areas.
 The company has great opportunities to expand in locations.
 Principal business of the company: - Principal business of the S.R chemicals is to produce
chemical products.
 Production planning and control: - Order wise product producing on the basis of the demand
of the product.
 Board of Director: - The Company is managed by the board of director which formulates
strategies, policies and reviews its performance periodically as on 1st April 2019. The strength
of the board of directors is 4 members, comparing the 2 functional directors and 2 department
managers appoint.

Production manager.

Sales manager.

Hr manager.

Finance manager.

3.2 COMPANY PROFILE:-

The company profile of any company shows its status in comparison of the other companies. The
company profile of S.R. chemicals is as follows:-

Nature of Business Manufacturer

Additional Business Exporter, Trader

Company CEO Mr Snehal Patel

Address Plot No.1917,C-1/1918 G.I.D.C

Panoli, Ankles war, Gujarat.

Year of Establishment 2000

Promoter Snehal Patel

Annual Turnover Rs 2-5 Corer

Location Type SEMI URBAN

Registration Authority Gujarat

Registration No R 246198

Payment Mode Cash, DD, Cheque, RTGS

Shipment Mode By Air, By Sea, By Road

 CH-(4)
DEPARTMENT STUDY:-

FINANCE

HR PRODUCTION

STORE MARKETING

QUALITY
PURCHASE
ASSURANCE
3.3 FINANCE DEPARTMENT:-

Finance department states and shows the overall conditions of funds, assets and money related matters of
the company and manages it in a proper manner.

 Accounting policy:-

Accounting policy covers valuation of fixed assets, depreciation rate method of inventory
valuation, approach adopted for foreign currency transaction revenue recognize employee benefits and
methodology for taxes on income, provision and contingent liabilities and use of estimates.

 Basis of preparation:-

The financial statement is prepared in accordance with the generally accepted accounting principles of
India.

 Fixed Assets:-
 Fixed assets are stated at cost of acquisition, including attributable cost for bringing the
assets to its working condition, for its intended use, less accumulated depreciation and
impairment loss.
 Deprecation is provided on Straight line method, pro-rate to the period of use at the rates
based on useful lives of the assets as estimated by the management.
 Impairment loss is provided to the extent the carrying amount of assets exceeds their
recoverable amount.
 Investments:-
Long term investment is stated at cost. Provision is made to recognize a decline other than
temporary in the value of long term investment.
 Inventories:-
Inventories are valued at lower of the cost and net realizable value. Cost is determined
on moving weighed average basis. Cost of work in progress and fined goods include
labour and manufacturing overheads ,where applicable based on normal capacity, net realizable
value is the estimated selling price in the ordinary course of business less estimated cost of
completion and selling expenses.
 Revenue recognition:-
Sales are recognized when good are supplied to customers and recorded net of excise duty sales
tax and non-sellable sales returns. Present obligation and like hood of outflow of resources
is remote, no provision or disclosure is made.
 Responsibilities and activities carried out in the finance department by the
employees:-
(1) Assistant manager.
 Excise reconciliation.
 Overall administration of account department.
 Dealing with statutory authorities and bank.
 Looking out taxation matters i.e. employee TDS, return contractor TDS.
 Cost audit work.
 New product costing.

(2) Officer.

 Creditors aging report.

 Bills of general Q.A, Q.C, monthly government expenses.
 Finished goods stock valuation.
 Finished goods stock variance report.
 Work-in-progress stock variance report.
 Costing.
 Investment Decision:-
 Propose various projects for investment.
 Globally approval by senior management team.
 Capital appropriation request when the proposal is above threshold limit.
 Approved as per the finance authority matrix.
 Sources of capital and cost of capital:-
As explain earlier company is profit making. Hence internally generated cash is o n l y used
as short term sources of capital.
 Costing of the products:-
 Company is doing its products casting in terms of direct COGS and indirect COGS.
 Direct cost includes raw materials, packing material, expenses incurred for producing
sellable products.
 Indirect costs included write off due to any abnormality in the products any products
related expenditure and other overheads which are not related to the production.
 Apart from this company has adopted various cost centres by which selling and
administration expenditure is captured separately in the cost sheets.
3.4 HR DEPARTMENT:-

Human resource department consists of various human resources which are valuable and unique assets
of an organization. It examines the various HR processes that are concerned with attracting, managing,
motivating and developing employees for the benefit of the [Link] focuses on management
of people within companies, emphasizing on policies and systems.

 Human resource planning: - (Policies and practices).

Human resources planning is estimation of how many qualified people are necessary to carry out the
assigned activities, how many people will be available and what if anything must be done to ensure
that personnel demand at the appropriate point in the future. In S.R. chemicals human resource planning
is done for forecasting how many work force are required and how many workforce are available in the
company and compare both the data and on the basis of that they have to decide for recruitment and
selection of workforce.

 Recruitment and Selection: - (Sources).

The top level members like Managers, Senior Executives are required to be recruited and selected. They
are generally recruited and selected by applying mainly two kinds of sources which are as follows:-

INTERNAL SOURCES EXTERNAL SOURCES

(1) Promotion. (1) Advertisements.

(2) Transfers. (2) Campus recruitment.

(3) Upgrading. (3) Placement agencies.

(4) Demotion. (4) Outsourcing/consultancies.

(5) Retired employees. (5) Employment exchanges.

(6) Retrenched employees. (6) Labour contractors.

 Recruitment and Selection:- (Process)

JOB DESCRIPTION

APPROVAL SENT TO MD

PERMISSION ON ADVERTISEMENT

SCREENING FOR APPLICATION

SEND CALL LETTERS TO CANDIDATE

WRITTEN TEST

INTERVIEW

ANALYSIS

JOB OFFER

MEDICAL CHECKUP

TRAINING
  Performance Management:-

Performance management means the process of employers use to make sure employees are working towards
organizational goals. In SR chemicals performance management is done by monitoring the employees, on
that basis rating is provided to employees and good performers are rewarded.

 Employee Welfare Activities:-

Employees working with any company or firm are human beings, they to need some basic human needs
while working to be enthusiastic and motivated towards the goals of the company. Some of the activities
provided to the employees by the particular company to keep their employees motivated and active are as
follows:-

 Canteen: - Company provides canteen facilities to the employees for satisfying there hunger.
 Medical Check-up: - Company conducts regular health check-up for employees.
 Insurance: - Employees are provided insurance facilities.
 Leave Facility: - Employees are provided leave facility once in a year.
 Travelling Facility: - Employees are provided travelling facility once in a year.
 PF Facility: - Employees are provided PF facility by deducting certain percentage of amount from
their monthly salary.
 Training and development:-

Training is necessary to update the knowledge and skills of employees and enhance their competency levels.
Various levels of person are provided different kind of training as per their position and working in the
company:-

 Training for the Fresher’s:- Training provided to the fresher’s generally includes training given to
the management trainee and engineers. Firstly they are provided off job training for one month, in
which information with regard to the chemical plants, safety training company policy etc. Then after
the completion of the training they are provided on job training after one month.
 Training for company employees: - Training given to the company employees, differ as per there
department and working in the company.
 Training for head of department:-Various training programme are providing to head of department
like Managers, CEO and superior executive.
2.5 PRODUCTION DEPARTMENT:-

Production department of any company or firm generally shows how the company formulates various
policies and methods for conducting production of various materials of the company. Let us understand the
production department by the following points:-

 Production planning and control:-

Production Production control Inventory control

planning

Order Booking. Store management.

Material record. Despatching. Quality control.
Machine scheduling. Expediting. Handling.
Time scheduling. Receiving.

 Plant capacity:-
 Monthly 30 metric tonnes (3000kgs).
 Average 20-25 metric tonnes (2000kgs).
 Base products and its sub-products:-
BASE PRODUCT: - SODIUM PHOSPHATE.

SUB PRODUCT: - (1) Di sodium phosphate.

(2) Tri sodium phosphate anhydrous.
(3) Tri sodium phosphate 12H20.
(4) Tri sodium phosphate Pure.
(5) Mono sodium phosphate.
BASE PRODUCT: - AMMONIUM PHOSPHATE.
 SUB PRODUCT: - (1) Di sodium phosphate.
(2) Mono ammonium phosphate.
BASE PRODUCT: - POTASSIUM PHOSPHATE.

SUB PRODUCT: - (1) Di potassium phosphate.

(2) Mono ammonium phosphate.

BASE PRODUCT: - PYRO PHOSPHATE.

SUB PRODUCT: - (1) Tetra sodium pyro phosphate.

(2) Tetra potassium pyro phosphate.

BASE PRODUCT: - TPP CHEMICAL.

SUB PRODUCT: - (1) Potassium phosphate tribasic hydrate.

 Plant Layout:-
2.6 MARKETING DEPARTMENT:-
Marketing department promotes your business and drives sales of its products and services. It provides the
necessary research to identify your target customers and other audiences. It’s important to keep a strong
marketing department intact regardless of the economy so you remain visible and keep sales strong.

 Functions:-
(1) Distribution.
(2) Market research.
(3) Setting Prices.
(4) Product management.
(5) Promotional channels.
 Types of marketing strategies carried out by S.R chemicals:-
S.R chemicals promote their business and drive its sales of its products and services with the help of
two strategies they are as follows:-
(1) ONLINE MARKETING: - S.R .chemicals promotes its samples of chemicals by advertising it
with help of [Link] .The website helps the company by asking them to share their info
about company and products they produce or which they are willing to sell.
Trade India updates the company profile by posting it into its website and products names along with
its price, interested parties has to tell there need, after receiving the need the website sends quotation
of its products and finally make a deal with the supplier.
S.R chemicals post its profile and products on the website and make it more precise by adding its
photo and price.
 (2) SAMPLE MARKETING: - The second method followed by the S.R. chemicals is sample
marketing. In this type of marketing they prepare small packs of different chemicals which they
produce and sent it to their respective parties.
 Activities performed by marketing department:-

 ABC Bearing Limited is Sales marketing performing duty in the market with help of the
subordinates and marketing executive.
 Marketing department collect Information about competitors in the market.
 Collects customer’s feedback and then placing the order.
 In marketing department do Customer surveys in the market segment.

 Check Customer database and see which customer is buy more bearing product within the
month, year etc…
 The main activity of marketing department is to look after the sales and promote the product.
Marketing department also keeps an eye on competitors.
 It collects the Information related to the competitors’ strategies and activities and also
positions of competitors in market. They also concentrate on customers’ activities.
 A zonal manager provides information about customers situated in their zones. Feedback is
also taken by marketing department from the customers. So that the company knows about
customers satisfaction and can improve company’s product as per customer requirements.
 Clients of S.R. chemicals:-
Clients are biggest strength of our organization, so to maximize their contentment we have adopted
and implemented various plans and policies such as on time delivery, customer centric approaches,
transparent dealings and many more. We focus on making cordial relations with the clients which is
why we are offering our products range in custom made packing options as per needs. We feel proud
to have collaborated with some reputed names of construction pharmaceutical, fertilizer and
petrochemical industry that are listed below:-
 Atul Limited.
 Essar Oil Limited.
 Gujarat Narmada Valley Fertilizer & Chemicals Limited.
 Gujarat State Electricity Corporation Limited.
 Oil and Natural Gas Cooperation Limited.
 Rajasthan Rajya Vidhyut Utpadan Nigam Limited.
 Rashtriya Chemicals & Fertilizers Limited.
  Plant Location:-
 Panoli (Gujarat).
 Distribution channel:-

S.R. CHEMICALS

[Link]

CUSTOMERS

2.7 PURCHASE DEPARTMENT:-

Purchase department can be formed and operated by one or more employees in order to ensure that all
goods, supplies and inventory needed for the organization to operate are ordered and kept well in stock, as
well as control inventory levels and costs associated with purchasing the items.
 Functions of Purchase department:-
 First identify the suppliers who have to supply the raw material and any other equipment.
 Evaluation and rating of suppliers.
 To evaluate and giving rates then floating tender inquiries and obtaining quotations.
 Helps in making healthy relations with the suppliers.
 Purchase procedure:-
In this purchase procedure first define requirement of the particular raw material and other resources
to produce a bearing product and then selection of vendors in which best vendor are selected through
on site inspection of vendors and check the samples of raw material and other resource then give the
rate to different vendor different rate and select best one.
S.R. chemicals follow the following purchase procedure:-

1. Definition of specified requirements.

2. Selection of vendors
a. On site inspection of vendors
b. Inspection of samples
c. Vendor rating.
3. Review and approval of purchase order.
2.8 QUALITY ASSURANCE DEPARTMENT:-
Quality has always been and will be the foremost thing in our product range and we feel proud to tell
that we are credentialed with ISO 9001:2008, because we compose only high grade inorganic
chemicals as per the industrial standards. We right from sourcing raw materials till the final stage of
fabrication analyze each and every activity; apart from this we have also developed an in-house
quality checking department that is run by diligent quality auditors, who make sure that the produced
range is flawless to be delivered.

 Quality certificate:-
  Total productive maintenance:- (Environment and practice)
There are three types of maintenance carried out by the company:-
 Preventive maintenance: - Preventive m a i n t e n a n c e m e a n s r e g u l a r l y t e s t ,
measurement, adjustment, cleaning and performed specifically to prevent its breakdown. It
is called routine and regular maintenance.
 Predictive maintenance: - Predictive m a i n t e n a n c e m e a n s f i r s t l y t o p r e d i c t
t h e equipment failure and then prevent this failure by maintenance of equipment.
 Breakdown maintenance: - Breakdown maintenance means maintenance performed on
equipment that has broken-down and unusable. This is more costly compare to the
preventive maintenance.
 Industrial safety and safety management:-
 Industrial safety: - The health and safety of all employees is prime concern of the
company. Company is making sincere and committed efforts to maintain the safety of
plant equipment’s and creating a safe and healthy working environment for the
employees. The company has been spending appropriate and sufficient amount for
health and safety related activities. Company has adopted a comprehensive H e a l t h
a n d S a f e t y p o l i c y u n d e r t h e I n t e g r a t e d M a n a g e m e n t System (IMS).
 Safety rules and regulation: - For the prevention of accident to personnel and
protection of plant and equipments. It is absolutely necessary that all employees,
contractors, contract workers and visitors shall fully aware of the safety requirement of
our plant.

(1) Safety shoes.

(2) Safety helmet.

(3) Clean up the area after repair and maintenance work.

(4) Timely replace the safety wears.

2.9 STORE DEPARTMENT:-

Store department is used to store different kinds of things of the company. Each section of the store
department holds to store different things as per its speciality.

 Types of Store Department:-

(1) Raw Materials stock.
(2) Work-in-progress stock.
(3) Finished goods stock.
  Material Handling Equipments:-

(1) Trolley: - Trolley used in warehouse and distribution environments for moving bulk loads.

(2) Material lifting Machine: - Use of for lifting the materials.

(3) Pallet Jack: - Pallet jack is the structural foundation of a unit load which allows handling and
storage [Link] or shipping containers are often placed on a pallet secured with strapping, stretch
wrap or shrink wrap and shipped.
 CH-(5)
LITERATURE REVIEW:-
 Dr. M. Ravichandran (Dr. M. Ravichandran, 2016) the financial performance can be measured by
using various financial tools such as profitability ratio, solvency ratio, comparative statement, etc.
Based on the analysis, findings have been arrived that the company has got enough funds to meet its
debts & liabilities, the income statement of the company shows sales of the company increased
every year at good rate and profit also increased every year.
 Ms. M. Ganga ([Link], 2015) on the evaluation of financial performance of Equitas Micro
Finance Private Limited in Chennai. According to them Financial analysis is important to plan and
control the firm’s financial resources. They adopted various research techniques to find the
evaluation of financial performance of the organization. They found that the managers must
concentrate on gray area which would be useful for future growth of the company.
 Management Accounting, RachchhMinaxi, (Minaxi, 2011) mentioned that the financial statement
analysis involves analyses of financial statements to dig out information which is useful to take
decisions. It is the process of appraise the relationship between different variables of the financial
statements to get healthier understanding of firm’s performance.
 (Uyar, 2009) Corporate liquidity can be examined along two basic dimensions: static and dynamic
Static analysis is focused on traditional ratios (current and quick ratios) based on the data from the
balance sheet. These ratios assess to what extent current liabilities are covered by current assets.
Dynamic analysis is based on cash outflows and inflows and uses cash conversion cycle (CCC) to
measure effectiveness of a company’s ability to generate cash. It comprises both balance sheet and
income statement data to create a measure with a time dimension (cash flow within the operating
cycle of the firm).
 Reilly and Brown (2005) stated that financial statement analysis seeks to evaluate managerial
performance in several important areas including profitability, efficiency and risk. The ultimate goal
of that analysis is to provide insights that will help us project future managerial performance. They
also suggest that financial ratios should be examined relating to the economy, the firm’s industry,
firm’s main competitors and the firm’s past relative ratios. The issue of trade-off between liquidity
and profitability has been discussed intensively since this it is crucially important for companies.
 Ross (2000) and Myers (2003) mention that excess liquidity is an expense for the company. Money
tied up in current assets can be alternatively deposited or invested and generate interest income.
Thus, the price of working capital over financing is the interest rate. In the case of liquidity deficit
the company must either attract short term loan or sell some liquid assets, which is also an expense.
Only the optimal level of liquidity benefits profitability.

 Studied impact of financial restructuring on corporate performance of Steel Industry in India,

Desai and Joshi (2015) - Secondary sources of data was considered for the study. Financial
statements of steel sector firms, both large and medium scale firms, were analyzed by taking sales,
gross profits, net profits, gross assets, taxes paid and current ratio as parameters, before and after the
 restructuring. Paired t-test was used to compare the performance of these firms before and after the
restructuring. Results of the study indicated that financial restructuring had a significant impact on
the financial performance of large and medium sized firms in the long run.
 Comparatively analyzed financial performance of two major trading companies of India, Taqi
(2014) - State Trading Corporation and Minerals and Metals Trading Corporation, with the help of
accounting ratios such as current ratio, liquid ratio, gross profit ratio, net profit ratio, inventory
turnover ratio and earnings per share. Business practices of both the companies were also studied
comparatively. Independent sample t-test and correlation matrix were used in the analysis of both
companies. The study concluded that the financial performance of MMTC Ltd was comparatively
better than STC.
 Analyzed the financial performance of top ten Private commercials banks in Pakistan Shah
and Jan (2014) - To find the impact of variables on financial performance of the selected banks with
the help of Regression and correlation technique. The results revealed that the Bank size and
Operational Efficiency were negatively related with ROA whereas positive relationship was found
with Assets management ratio. Furthermore, Bank size had positive relationship with Interest Income
and Asset Management. On the other hand, Operational Efficiency showed a negative relationship
with Interest Income.
 A Comparison of Financial Performance in Cement Sector in Iran - Hajihassani (2012) - This
study exhibited comparison of financial performance for the period study 2006 to 2009. It can be
analyzed comparison of financial performance of selected cement companies by using various
financial ratios and measures of cement companies working in Iran. Financial ratios are divided into
three categories In this concludes that the performance of cement companies on the basis of
profitability ratios different than on the basis of liquidity ratio and leverage ratio.
 “A study on the performance appraisal of Indian automobile industry” Muthumoni (2012) -
The main objective of the study was to analyzed production trend, sales trend, profitability analysis,
financial structure, financial performance, assessment of financial health, Economic Value Added
(EVA) and Market Value Added (MVA). This study covered three sectors of Indian automobile
industry, viz., commercial vehicles, passenger cars and multi-utility vehicles and two and three
wheelers. The period covered under 244 the study extends over 11 year from 1995-96 to 2005-06.
With the help of statistical techniques used in the study were correlations, multiple regressions,
analysis of variance, F-test, arithmetic mean, co-efficient of variation and compound annual growth
rate besides simple percentages, ratios and graphs and concluded findings and offered useful
suggestions for the growth of Indian automobile industry.
 Analyzed that the Financial Analysis of selected Plastic Manufacturing Industrial Units of
Gujarat for the period 2000-01 to 2009-10 Harsh ad R. Tandem (2013) - The main objective of
this study was to analysis and evaluate the financial performance of selected companies in particular
and the plastic industry in general with the help of composited such ratios like Profitability, Activity,
Liquidity and solvency. He judges the financial performance with the help of Trend Analysis and
Analysis of Variance. He can conclude that the liquidity and profitability performance was not good,
but in terms of activity and solvency performance of industry was satisfactory.
 CH-(6)
INTRODUCTION OF
TOPIC:-
6.1 Meaning of financial performance analysis:-

 In SR Chemicals we can analyze financial performance with help of Balance sheet and profit & loss
account and it is the process of identifying the financial strengths and weaknesses of the firm by
properly establishing the relationship between the items of balance sheet and profit and loss account.
 It also helps in short-term and long term forecasting and growth can be identified with the help of
financial performance analysis. The analysis of financial statement is a process of evaluating the
relationship between the component parts of financial statement to obtain a better understanding of
the SR Chemicals position and performance.
 This analysis can be undertaken by management of the SR Chemicals or by parties outside the
namely, owners, creditors, investors.
 Financial performance analysis helps to know or to calculate the overall performance of the company
or firm.
 It helps the firm or company to know there capability and consistency of how to maintain to the
sources of funds and etc.

6.2 Objectives of financial performance analysis:-

 SR Chemicals can assess their profitability and earning capacity of their firm with help of financial
performance analysis.
 It helps the firm to know about their operational efficiency and managerial effectiveness.
 It helps to know short term as well long term solvency of the firm.
 It helps to identify the reasons for changes in the profitability and financial position of the firm.
 To make inter-firm comparison.
 To assess the progress of the firm over period of time.
 SR Chemicals helps the firm in decision making and control.
 To guide or determine the dividend action.
 To provide important information for granting credit.

6.3 Advantages of financial performance analysis:-

 Cash flow review.

 Company liability review.
 Review assets and inventory.
 Identify trends and determine steps needed.
 Seeking investment capital.
6.4 Disadvantages of financial performance analysis:-

 Financial standing (knowing the worth).

 Market trends.
 Accurate asset liability values.
 Other successful factors.

6.5 Tools of financial performance analysis:-

Financial statement is essential tools used to analyze a company’s performance. Management utilizes several
techniques to determine a company’s financial condition and make decisions regarding improvements.

 Types of financial statements:-

Accountants usually prepare four types of financial statements for each reporting period.
(1) Income Statement: - All of a company’s revenues and expenses are reported on the income
statement. The reporting period could be for a month, quarter, year, or year-to-date.
(2) Balance sheet: - The balance sheet is a listing of a company’s assets, liabilities and shareholder’s
equity a specific period of time. The reporting period is of year or months.
(3) Statement of cash flow: - This represents a company’s cash inflows and outflows over a period
of time. It is different from the income statement, which records the profit margins of the business.
 Financial analysis techniques:-
 Vertical Analysis.
 Horizontal Analysis.
 Trend analysis.
 Ratio analysis.
 Tools of financial analysis:-
 Profits.
 Net profit margin.
 Gross profit margin.
 Operating profit margin.
 Liquidity.
 Current ratio.
 Working capital.
 Financial leverage.
 Debt-to-equity.
 Efficiency.
 Inventory turnover.
6.6 Meaning of working capital management:-

Working Capital refers to that part of the firm’s capital, which is required for financing short- term or
current assets such a cash marketable securities, debtors and inventories. Funds thus, invested in
current assets keep revolving fast and are constantly converted into cash and this cash flow out again
in exchange for other current assets. Working Capital is also known as revolving or circulating capital
or short-term capital.

According to M Y KHAN & P K JAIN “Working capital refers to manage the firm current assets
and current liabilities in such a way that a satisfactory level of working capital is maintained.”

According to SHUBIN “Working capital is an amount of firm is necessary to cover the cost of
operating the enterprise.”

 Formula of Working Capital Management:-

Working capital = Current Assets – Current Liabilities.

CURRENT ASSETS CURRENT LIABILITIES

Cash in hand / at bank Bills Payable

Bills Receivable Sundry Creditors

Sundry Debtors Outstanding expenses

Short term loans Accrued expenses

Investors/ stock Bank Over draft

Temporary investment

Prepaid expenses

Accrued incomes

 Nature of Working Capital:-

Working capital management is concerned with the Nature of Working Capital problems that arise in
attempting to manage the current assets, the Current assets, current liabilities and the interrelations that
exist between them.
 Current assets refer to those assets which in the ordinary course of business can be, or will be,
converted into cash within one year without undergoing a diminution in value and without disrupting
the operations of the firm. Examples- cash, marketable Current liabilities are those securities, accounts
receivable and inventory.

Current liabilities which are intended, at their inception, to be paid in the ordinary course of business,
within a year, out of the current assets or the earnings of the concern. Examples- accounts payable,
bills payable, bank overdraft and outstanding expenses.

 Need of Working Capital:-

Working capital may be regarded as the lifeblood of the business. Without insufficient working
capital, any business organization cannot run smoothly or successfully. In the business the Working
capital is comparable to the blood of the human body. Generally, working capital refers to a company.

6.7 Meaning of Ratio Analysis:-

Ratio analysis is a quantitative method of gaining insight into a company’s liquidity, operational
efficiency, and profitability by comparing information contained in its financial statements. Ratio
analysis is a cornerstone of fundamental analysis.

The relation between two related items of financial statements is known as ratio.

6.8 Meaning of Trend analysis:-

Trend analysis is the widespread practice of collecting information and attempting to spot a pattern. In
some fields of study, the term “Trend Analysis” has more formally defined meaning. It helps to analysis
future predication on the basis of consecutive past years data.
 CH-(7)
RESEARCH
METHODOLOGY:-
7.1 Definition:-

The process used to collect information and date for the purpose of making business decisions. The
methodology may include publication research, interviews, surveys and other research techniques and could
include both present and historical information.

A good research methodology is helpful to get good new ideas.

It enables the team to organize their efforts into one cohesive and conceptual product idea generation task for
us.

7.2 Problem Statement:-

“A study on Financial Performance by Trend and Ratio Analysis”.

7.3 Research Objective:-

 To analyze major factors that affects the financial performance.

 Analyze financial position with the help of different tools, trend analysis and ratio analysis or with
the help of five year data and budgeted balance sheet.
 To determine the relationship between assets and liabilities.

7.4 Research Design:-

(1) Exploratary Research: - It is a type of research design which is conducted for a problem that has not
been studied more clearly.

(2) Analytic Research: - It is a type of research design which shows that how the situation is been
occurred, at what place, at which time, and when did it occurred.

The type of research design used here is Exploratary research design.

7.5 Secondary Data:-

The secondary data are those data which have been already collected or published.

Secondary data can be easily get by journals, annual reports, records of the company. The benefit of
secondary data is that it will save time, money and efforts to collect the data. The secondary data available
are balance sheet, magazines and books.

The project is totally based on secondary data collected five years annual reports of the [Link]
supported by various books and internet sites.
7.6 Research Area:-

Research area is S.R. CHEMICALS, Panoli.

7.7 Duration of Study:-

The period of the study is nearly 6 weeks or 45 days.

7.8 Limitations of study:-

 Collecting of data was a bit difficult in the company.

 The data totally depends on secondary data collection method so it is disadvantage in itself.
 Due to security reasons all the enquires were not get answered.
 CH-(8)
DATA ANALYSIS AND
INTERPRETATION:-
  TREND ANALYSIS:-

Trend analysis is the widespread practice of collecting information and attempting to spot a pattern. In
some fields of study, the term “Trend Analysis” has more formally defined meaning? It helps to analysis
future predication on the basis of consecutive past years data.

 Balance sheet of S.R. Chemicals for the year ending as on 31 st March 2013 to
2018:-
TABLE-(1):-

Particulars Year Year Year Year Year

2013-14 2014-15 2015-16 2016-17 2017-18
(A)Equity
and
Liabilities:-
1) Partnership
Funds:-
(a)Partner’s 50,97,581 57,73,020 66,63,275 70,18,281 69,87,595
Fund
2)Loan
Liabilities:-
(a)Secured 13,46,809 38,18,719 79,68,663 1,20,36,563 11,99,419
loans
(b)Unsecured 80,000 80,000 3,80,000 3,80,000 3,80,000
loans
Total loan 14,26,809 38,98,719 83,48,663 1,24,16,563 12,37,419
liabilities
3)Current
liabilities:-
(a)Creditors 49,48,910 50,76,677 36,03,562 34,61,227 44,72,055

(b)Provisions 2,15,000 71,358 --- 2,57,210 ---

Total current 51,63,910 51,48,035 36,03,562 37,18,437 44,72,055
liabilities
TOTAL 1,16,88,300 1,48,19,774 1,86,15,500 2,31,53,281 2,38,30,069

(B)Assets

(1)Fixed 20,09,879 17,73,554 40,92,196 61,77,953 56,24,113

 assets
(2)Current
Assets
(a)Current 41,48,479 45,00,068 48,66,189 53,50,030 54,67,224
Investment
(b)Inventories 28,86,207 19,32,106 31,52,231 54,67,224 15,58,800

(c)Trade 33,06,646 44,91,836 19,32,106 31,52,231 53,90,701

Receivables
(d)Cash and 84,921 400,338 1,29,414 3,59,478 2,51,188
equivalent
(d)Deposits 2,31,073 3,25,751 7,36,092 15,61,637 11,26,582

(e)Short-term 3,48,502 4,42,020 4,26,121 2,94,014 5,40,563

loans and
advances
Total Current 96,78,421 1,30,46,220 1,45,23,304 1,69,75,328 1,82,05,956
Assets
TOTAL 1,16,88,300 1,48,19,774 1,86,15,500 2,31,53,281 2,38,30,069

Solution:-
Given balance sheet shows year 2013-14 to 2017-18 data and 2013-14 is taken as base year, and 2014-15,2015-
16...etc are to be taken as present year. The value of the base year 2013-14 is to be taken as 100%, to find the
present year’s value.
The formula to find Trend analysis and trend percentage is as follows:-

Trend percentage= Base Year *100

Present Year
 TABLE-(2):-
Trend percentage (Base year 2013-14=100%, Present year 2014-15 =?)
 Particulars Base year Percentage Present Change in
(2013-14) (%) Year percentage
(2014-15) (%)
(A)Equity
and
Liabilities:-
1) Partnership
Funds:-
(a)Partner’s 50,97,581 100=00 57,73,020 113.25
Fund
2)Loan
Liabilities:-
(a)Secured 13,46,809 100=00 38,18,719 283.53
loans
(b)Unsecured 80,000 100=00 80,000 100.00
loans
Total loan 14,26,809 100=00 38,98,719 273.25
liabilities
3)Current
liabilities:-
(a)Creditors 49,48,910 100=00 50,76,677 102.58

(b)Provisions 2,15,000 100=00 71,358 33.19

Total current 51,63,910 100=00 51,48,035 99.69
liabilities
TOTAL 1,16,88,300 100=00 1,48,19,774 126.79

(B)Assets

(1)Fixed 20,09,879 100=00 17,73,554 88.24

assets
(2)Current
Assets
(a)Current 41,48,479 100=00 45,00,068 108.48
Investment
(b)Inventories 28,86,207 100=00 19,32,106 66.94

(c)Trade 33,06,646 100=00 44,91,836 135.84

Receivables
(d)Cash and 84,921 100=00 400,338 471.42
equivalent
(d)Deposits 2,31,073 100=00 3,25,751 140.97

(e)Short-term 3,48,502 100=00 4,42,020 126.83

loans and
 TABLE-(3):-

Trend percentage (Base year 2013-14=100%, Present year 2015-16 =?)

Particulars Base year Percentage Present Change in
(2013-14) (%) Year percentage
(2015-16) (%)
(A)Equity
and
Liabilities:-
1) Partnership
Funds:-
(a)Partner’s 50,97,581 100=00 66,63,275 130.71
Fund
2)Loan
Liabilities:-
(a)Secured 13,46,809 100=00 79,68,663 591.67
loans
(b)Unsecured 80,000 100=00 3,80,000 475.00
loans
Total loan 14,26,809 100=00 83,48,663 585.13
liabilities
3)Current
liabilities:-
(a)Creditors 49,48,910 100=00 36,03,562 72.82

(b)Provisions 2,15,000 100=00 --- ---

Total current 51,63,910 100=00 36,03,562 69.78
liabilities
TOTAL 1,16,88,300 100=00 1,86,15,500 159.26

(B)Assets

(1)Fixed 20,09,879 100=00 40,92,196 203.60

assets
(2)Current
Assets
(a)Current 41,48,479 100=00 48,66,189 117.30
Investment
(b)Inventories 28,86,207 100=00 31,52,231 109.22

(c)Trade 33,06,646 100=00 19,32,106 58.43

Receivables
(d)Cash and 84,921 100=00 1,29,414 152.40
equivalent
(d)Deposits 2,31,073 100=00 7,36,092 318.55

(e)Short-term 3,48,502 100=00 4,26,121 122.27

loans and
 TABLE-(4):-

Trend percentage (Base year 2013-14=100%, Present year 2016-17 =?)

Particulars Base year Percentage Present Change in
(2013-14) (%) Year percentage
(2016-17) (%)
(A)Equity
and
Liabilities:-
1) Partnership
Funds:-
(a)Partner’s 50,97,581 100=00 70,18,281 137.68
Fund
2)Loan
Liabilities:-
(a)Secured 13,46,809 100=00 1,20,36,563 893.71
loans
(b)Unsecured 80,000 100=00 3,80,000 475.00
loans
Total loan 14,26,809 100=00 1,24,16,563 870.23
liabilities
3)Current
liabilities:-
(a)Creditors 49,48,910 100=00 34,61,227 69.94

(b)Provisions 2,15,000 100=00 2,57,210 119.63

Total current 51,63,910 100=00 37,18,437 72.00
liabilities
TOTAL 1,16,88,300 100=00 2,31,53,281 198.08

(B)Assets

(1)Fixed 20,09,879 100=00 61,77,953 307.38

assets
(2)Current
Assets
(a)Current 41,48,479 100=00 53,50,030 128.96
Investment
(b)Inventories 28,86,207 100=00 54,67,224 189.43

(c)Trade 33,06,646 100=00 31,52,231 95.33

Receivables
(d)Cash and 84,921 100=00 3,59,478 423.31
equivalent
(d)Deposits 2,31,073 100=00 15,61,637 675.82

(e)Short-term 3,48,502 100=00 2,94,014 84.37

loans and
 TABLE-(5):-

Trend percentage (Base year 2013-14=100%, Present year 2017-18 =?)

Particulars Base year Percentage Present Change in
(2013-14) (%) Year percentage
(2017-18) (%)
(A)Equity
and
Liabilities:-
1) Partnership
Funds:-
(a)Partner’s 50,97,581 100=00 69,87,595 137.08
Fund
2)Loan
Liabilities:-
(a)Secured 13,46,809 100=00 11,99,419 89.06
loans
(b)Unsecured 80,000 100=00 3,80,000 475.00
loans
Total loan 14,26,809 100=00 12,37,419 86.73
liabilities
3)Current
liabilities:-
(a)Creditors 49,48,910 100=00 44,72,055 90.36

(b)Provisions 2,15,000 100=00 --- ---

Total current 51,63,910 100=00 44,72,055 86.60
liabilities
TOTAL 1,16,88,300 100=00 2,38,30,069 203.88

(B)Assets

(1)Fixed 20,09,879 100=00 56,24,113 279.82

assets
(2)Current
Assets
(a)Current 41,48,479 100=00 54,67,224 131.79
Investment
(b)Inventories 28,86,207 100=00 15,58,800 54.00

(c)Trade 33,06,646 100=00 53,90,701 163.03

Receivables
(d)Cash and 84,921 100=00 2,51,188 295.79
equivalent
(d)Deposits 2,31,073 100=00 11,26,582 487.54

(e)Short-term 3,48,502 100=00 5,40,563 155.11

loans and
 TABLE-(6):-

TREND PERCENTAGE BALANCESHEET FROM 2013-14 TO 2017-18:-

Particulars Year Year Year Year Year

2013-14 2014-15 2015-16 2016-17 2017-18
(A)Equity Change in percentage (%)
and
Liabilities:-
1) Partnership
Funds:-
(a)Partner’s 100.00 113.25 130.71 137.68 137.08
Fund
2)Loan
Liabilities:-
(a)Secured 100.00 283.53 591.67 893.71 89.06
loans
(b)Unsecured 100.00 100.00 475.00 475.00 475.00
loans
Total loan 100.00 273.25 585.13 870.23 86.73
liabilities
3)Current
liabilities:-
(a)Creditors 100.00 102.58 72.82 69.94 90.36

(b)Provisions 100.00 33.19 --- 119.63 ---

Total current 100.00 99.69 69.78 72.00 86.60
liabilities
TOTAL 100.00 126.79 159.26 198.08 203.88

(B)Assets
(1)Fixed 100.00 88.24 203.60 307.38 279.82
assets
(2)Current
Assets
(a)Current 100.00 108.48 117.30 128.96 131.79
Investment
(b)Inventories 100.00 66.94 109.22 189.43 54.00
(c)Trade 100.00 135.84 58.43 95.33 163.03
Receivables
(d)Cash and 100.00 471.42 152.40 423.31 295.79
equivalent
(d)Deposits 100.00 140.97 318.55 675.82 487.54

(e)Short-term 100.00 126.83 122.27 84.37 155.11

loans and
advances
Total Current 100.00 134.80 150.00 175.39 188.11
Assets
TOTAL 100.00 126.79 159.26 198.09 203.88
  RATIO ANALYSIS:-

Ratio analysis is the technique of the computation of number of accounting ratios from the data derived from
the financial statements, and comparing those with the ideal or standard ratio or the previous year’s ratio of
the ratio of the other similar concerns.

(1) Liquidity Ratio:-

Current Ratio

Quick Ratio

Absolute Ratio

(2) Capital Structure Ratio:-

Debt-equity ratio

Net worth ratio

Fixed assets to net worth ratio

Current assets to net worth ratio

(3) Activity Ratio:-

Stock turnover ratio

Debtor turnover ratio

Fixed assets turnover ratio

Cash turnover ratio

(4) Profitability Ratio:-

Gross profit ratio

Net profit ratio

Operating ratio

Operating profit ratio

P/E ratio
(1) CURRENT RATIO:-

Current ratio helps to indicate the position of liquidity.

 Current Ratio=Current assets(C.A)

Current liabilities (C.L)

TABLE-(7):-

YEAR CURRENT ASSETS CURRENT CURRENT RATIO

LIABILITIES
2013-2014 96,78,421 51,63,910 1.87
2014-2015 1,30,46,220 51,48,035 2.53
2015-2016 1,45,23,304 36,03,562 4.03
2016-2017 1,69,75,328 37,18,437 4.57
2017-2018 1,82,05,956 44,72,055 4.07

GRAPH-(1):-

INTERPRETATION:-

From the above statistical analysis we can interpret that the company capacity to pay current liabilities is
different in every year’s in 2014 it is 1.87 2015 it is 2.53 in 2016 it is 4.03 in 2017 it is 4.57 in 2018 it is
4.07.

(2) LIQUID RATIO:-

Liquid ratio helps to indicate the position of liquidity.

 Liquid ratio=Liquid assets (current assets-stock)

Liquid liabilities (current liabilities-b.o.d)

TABLE-(8):-

YEAR L.A L.L LIQUID RATIO

2013-2014 81,19,621 51,63,910 1.57
 2014-2015 1,01,60,013 51,48,035 1.97
2015-2016 1,25,91,198 36,03,562 3.50
2016-2017 1,38,23,097 37,18,437 0.37
2017-2018 1,27,76,258 44,72,055 2.86

GRAPH-(2):-

LIQUID RATIO
4
3.5

3 2.86

LIQUID RATIO
1.97
2
1.57

1
0.37

0
2013-2014 2014-2015 2015-2016 2016-2017 2017-2018

INTERPRETATION:-

From the above statistical analysis we can interpret that the firm’s capacity to convert current assets into
cash is different in every year it is 1.57 in 2013-14, 1.97 in 2015-16,3.50 in 2016-17,0.37 in 2017-18 and
2.86 in 2018-19.

(3) ACID-TEST RATIO:-

Acid test ratio helps to indicate the position of liquidity.

 Acid-test ratio=Quick Assets (cash+bank+securities)

Liquid liabilities (current liabilities-b.o.d)

TABLE-(9):-

YEAR Q.A L.L ACID-TEST RATIO

 2013-2014 48,12,975 51,63,910 0.93
2014-2015 56,68,177 51,48,035 1.10
2015-2016 61,57,816 36,03,562 1.71
2016-2017 75,65,159 37,18,437 2.03
2017-2018 73,85,557 44,72,055 1.65

GRAPH-(3):-

ACID-TEST RATIO
2.5
2.03
2
1.71 1.65
1.5
ACID-TEST RATIO
1.1
1 0.93

0.5

0
2013- 2014- 2015- 2016- 2017-
2014 2015 2016 2017 2018

INTERPRETATION:-

From the above statistical analysis we can interpret that how much cash does firm carries to pay its short
term liabilities, differs in every year i.e. it is 0.93 in 2013-14, 1.10 in 2014-15, 1.71 in 2015-16,2.03 in 2016-
17 and 1.65 in 2017-18.

(4) GROSS PROFIT RATIO:-

Gross profit ratio helps to indicate the profitability of the business.

 Gross profit ratio=Gross profit *100

Sales

TABLE-(10):-

YEAR GROSS PROFIT SALES GROSS-PROFIT

 RATIO (100%)
2013-2014 21,28,525 1,56,94,34 13.62
2014-2015 27,60,601 1,90,26,026 14.51
2015-2016 41,86,450 2,44,56,808 17.12
2016-2017 51,08,068 2,69,72,161 19.00
2017-2018 51,51,260 2,68,75,046 19.17

GRAPH-(4):-

GROSS PROFIT RATIO

13.62 % 2013-2014
19.17 %
2014-2015
2016-2017
2017-2018
17% 2018-2019

23%

21%

INTERPRETATION:-

From the above statistical analysis we can interpret that the firms profit making capacity varies in different
years i.e. it is 13.62 in 2013-2014, 14.51 in 2014-15, 17.12 in 2015-16, 19.00 in 2016-17, and 19.17 in
2017-18.

(5) NET-PROFIT RATIO:-

Net profit ratio helps to know the profitability of the business.

 Net-profit ratio=Net profit *100

Sales
TABLE-(11):-

YEAR NET PROFIT SALES NET-PROFIT RATIO

 (100%)
2013-2014 4,25,659 1,56,94,34 27.12%
2014-2015 5,07,181 1,90,26,026 2.67%
2015-2016 6,87,100 2,44,56,808 2.81%
2016-2017 6,53,325 2,69,72,161 2.42%
2017-2018 5,73,977 2,68,75,046 2.14%

GRAPH-(5):-

NET-PROFIT RATIO

6%
7%
2013-2014
2.81 2014-2015
2015-2016
2016-2017
2.67
2017-2018

27.12

INTERPRETATION: -

From the above statistical analysis we can interpret that the firms profit making capacity varies in different
years i.e. it is 27.12 in 2013-14, 2.67 in 2014-2015, 2.81 in 2015-2016, 2.42 in 2016-2017, and 2.14 in
2017-2018.

(6) EXPENSES RATIO:-

Expenses ratio helps to indicate the profitability of the business.

 Expenses ratio= Expenses *100 (Office+depreciation+financial+administration)

Sales

TABLE-(12):-
 YEAR EXPENSES SALES EXPENSES RATIO
(100%)
2013-2014 8,59,188 1,56,94,34 54.75%
2014-2015 11,41,671 1,90,26,026 60.00%
2015-2016 32,78,888 2,44,56,808 13.41%
2016-2017 38,65,929 2,69,72,161 14.33%
2017-2018 32,50,483 2,68,75,046 12.09%

GRAPH-(6):-

EXPENSES RATIO

12.09
2013-2014
14.33 2014-2015
54.75 2015-2016
13.41 2016-2017
2017-2018

60

INTERPRETATION:-

From the above statistical analysis we can interpret that the how much expenses a firm makes every year i.e.
it is 54.75 in 2013-2014, 60.00 in 2014-2015, 13.41 in 2015-2016, and 14.33 in 2016-2017, 12.09 in 2017-
2018.

(7) OPERATING RATIO:-

Operating ratio helps to indicate the profitability of the business.

 Operating ratio= Cost of goods sold + Operating expenses *100

Sales
Where,
C.O.G.S = Sales-Gross profit.
Operating expenses = Office+fianacial+depreciation.
 TABLE-(13):-

YEAR C.O.G.S+ SALES OPERATING RATIO

OPERATING EXP (100%)
2013-2014 1,40,11,929 1,56,90,434 89.30%
2014-2015 1,71,05,871 1,90,26,026 89.91%
2015-2016 3,95,94,760 2,44,56,808 161.90%
2016-2017 2,40,82,624 2,69,72,161 89.29%
2017-2018 2,17,23,786 2,68,75,046 80.83%

GRAPH-(7):-

OPERATING RATIO

80.83 89.3
2013-2014
2014-2015
2015-2016
2016-2017
89.29 2017-2018
89.91

161.9

INTERPRETATION:-

From the above statistical analysis we can interpret that the firm’s operating expenses in comparison with its
revenue varies in different year’s i.e.89.3 in 2013-14, 89.91 in 2014-2015, 161.9 in 2015-2016, and 89.29 in
2016-2017 and 80.83 in 2017-2018.

(8) RETURN ON CAPITAL EMPLOYED:-

Return on capital employed ratio helps to indicate the profitability of business.

 R.O.C.E=Net Profit *100

Capital Employed (Partner’s fund+ loan liabilities)

TABLE-(14):-

YEAR NET PROFIT CAPITAL R.O.C.E RATIO

 EMPLOYED (100%)
2013-2014 4,25,659 65,24,390 6.52%
2014-2015 5,07,181 96,71,739 5.24%
2015-2016 6,87,100 1,50,11,938 4.58%
2016-2017 6,53,325 1,94,34,844 3.36%
2017-2018 5,73,977 1,93,58,014 2.97%

GRAPH-(8):-

R.O.C.E

2.97
2013-2014
6.52 2014-2015
2015-2016
3.36
2016-2017
2017-2018

4.58
5.24

INTERPRETATION:-

From the above statistical analysis we can interpret that firm’s profitability and its efficiency with which its
capital is used varies in different years i.e. 6.52% in 2013-2014, 5.24% in 2014-2015, 4.58% in 2015-2016,
3.36% in 2016-2017, 20.97% in 2017-2018.

(9) RETURN ON PARTNER’S FUND’S RATIO:-

Return on partner’s fund ratio helps to indicate the profitability of the business.

 R.O.P.F= Net Profit *100

Partner’s Fund

TABLE-(15):-
 YEAR NET PROFIT PARTNER’S FUND R.O.P.F RATIO
(100%)
2013-2014 4,25,659 50,97,581 8.35%
2014-2015 5,07,181 57,73,020 8.79%
2015-2016 6,87,100 66,63,275 10.31%
2016-2017 6,53,325 70,18,281 9.31%
2017-2018 5,73,977 69,87,595 8.21%

GRAPH-(9):-

R.O.P.F
8.3500000
0000001
8.21
2013-2014
2014-2015
2015-2016
2016-2017
2017-2018
9.31 8.79

10.31

INTERPRETATION:-

From the above statistical analysis we can interpret that the ratio of money which partner’s receives at the
end of the year varies in the different years i.e. 8.35 in 2013-2014, 8.79 in 2014-2015, 10.31 in 2015-2016,
9.31 in 2016-2017, 8.21 in 2017-2018.

(10) PROPRIETORY RATIO:-

Proprietary ratio helps to indicate the capital of business and capital provided by outsiders and proportion of
owner’s capital.

 Proprietary Ratio= Partner’s Funds *100

Total real assets (Total assets-Fictitious assets)
 TABLE-(16):-

YEAR PARTNER’S FUND TOTAL REAL PROPRIETORY

ASSETS RATIO (100%)
2013-2014 50,97,581 1,16,88,300 43.61%
2014-2015 57,73,020 1,48,19,774 38.95%
2015-2016 66,63,275 1,86,15,500 35.79%
2016-2017 70,18,281 2,31,53,281 30.31%
2017-2018 69,87,595 2,38,30,069 29.32%

GRAPH-(10):-

Proprietory Ratio
50
45
40
35
30
Proprietory Ratio
25
20
15
10
5
0
2013- 2014- 2015- 2016- 2017-
2014 2015 2016 2017 2018

INTERPRETATION:-

From the above statistical analysis we can interpret that the firm’s financial stability varies in different year’s
i.e. 43.61 in 2013-2014, 38.95 in 2014-2015, 35.79 in 2015-2016, 30.31 in 2016-2017, 29.32 in 2017-2018.

(11) DEBT-EQUITY RATIO:-

Debt-equity ratio helps to indicate the capital of business, capital provided by outsiders and proportion of
owner’s capital.

 Debt-equity ratio= Long-term liabilities *100 (Secured and Unsecured loans)

Partner’s Fund
 TABLE-(17):-

YEAR LONG-TERM PARTNER’S FUND DEBT-EQUITY

LIABILITIES RATIO (100%)
2013-2014 14,26,809 50,97,581 27.99%
2014-2015 38,98,719 57,73,020 67.53%
2015-2016 83,48,663 66,63,275 125.29%
2016-2017 1,24,16,563 70,18,281 176.92%
2017-2018 1,23,70,419 69,87,595 177.03%

GRAPH-(11):-

DEBT-EQUITY RATIO
200
180
160
140
120
DEBT-EQUITY RATIO
100
80
60
40
20
0
2013- 2014- 2015- 2016- 2017-
2014 2015 2016 2017 2018

INTERPRETATION:-

From the above statistical analysis we can interpret that the firm’s capability to pay its debt varies in every
year i.e. 27.99 in 2013-2014, 67.53 in 2014-2015, 125.29 in 2015-2016, 176.92 in 2016-2017, and 177.03 in
2017-2018.

(12) FIXED ASSETS RATIO:-

Fixed-assets ratio helps to indicate the capital of business, capital provided by outsiders and proportion of
owner’s capital.

 Fixed-assets Ratio=Long-term funds *100 (Partner’s funds + loan liabilities)

Fixed Assets
 TABLE-(18):-

YEAR LONG-TERM FUNDS FIXED ASSETS FIXED ASSETS

RATIO (100%)
2013-2014 65,24,390 20,09,879 324.62%
2014-2015 96,71,739 17,73,554 545.33%
2015-2016 1,50,11,938 40,92,196 366.84%
2016-2017 1,94,34,844 61,77,953 314.58%
2017-2018 1,93,58,014 56,24,113 344.20%

GRAPH-(11):-

FIXED ASSETS RATIO

600

500

400
FIXED ASSETS RATIO
300

200

100

0
2013- 2014- 2015- 2016- 2017-
2014 2015 2016 2017 2018

INTERPRETATION:-

From the above statistical analysis we can interpret that how well the firm’s is using its fixed assets to
increase its sales, which varies in year’s i.e. 324.62 in 2013-2014, 545.33 in 2014-2015, 366.84 in 2015-
2016, 314.58 in 2016-17, 344.20 in 2017-2018.

(13) TOTAL ASSETS TURNOVER RATIO:-

Total assets turnover ratio helps to indicate the ability of company to generate sales from its assets.

 Total-assets turnover ratio= Sales

Total assets

TABLE-(19):-
 YEAR SALES TOTAL ASSETS TOTAL ASSETS
TURNOVER RATIO
2013-2014 1,56,09,434 1,16,88,300 1.34
2014-2015 1,90,26,026 1,48,19,774 1.28
2015-2016 2,44,56,808 1,86,15,500 1.31
2016-2017 2,69,72,161 2,31,53,281 1.16
2017-2018 2,68,75,046 2,38,30,069 1.13

GRAPH-(11):-

TOTAL ASSETS TURNOVER RATIO

1.4
1.35
1.3
1.25 TOTAL ASSETS TURNOVER
RATIO
1.2
1.15
1.1
1.05
1
0.5 1 1.5 2 2.5 3 3.5 4 4.5 5 5.5

INTERPRETATION:-

From the above statistical analysis we can interpret that the firm’s ability to increase sales with the help of
total assets varies in year’s i.e. 1.34 in 2013-2014, 1.28 in 2014-2015, 1.31 in 2015-2016, 1.16 in 2016-2017,
1.13 in 2017-2018.

(14) FIXED ASSETS TO NET-WORTH RATIO:-

Fixed assets to net-worth ratio helps to indicate that how much your company’s total assets can and cannot
be used for current financial obligations.

 Fixed assets to net-worth ratio= Fixed assets

Net worth (Total assets – Total liabilities)
 TABLE-(20):-

YEAR FIXED ASSETS NET WORTH FIXED ASSETS TO

NET-WORTH RATIO
2013-2014 20,09,879 50,97,581 0.39
2014-2015 17,73,554 57,73,020 0.31
2015-2016 40,92,196 66,63,275 0.61
2016-2017 61,77,953 70,18,281 0.88
2017-2018 56,24,113 69,87,595 0.80

GRAPH-(14):-

FIXED ASSETS TO NET WORTH RATIO

1
0.9
0.8
0.7
0.6 FIXED ASSETS TO NET
WORTH RATIO
0.5
0.4
0.3
0.2
0.1
0
0.5 1 1.5 2 2.5 3 3.5 4 4.5 5 5.5

INTERPRETATION:-

From the above statistical analysis we can interpret that company’s total assets can and can’t be used for
current financial obligations varies in different years i.e. 0.39 in 2013-2014, 0.31 in 2014-2015, 0.61 in
2015-2016, 0.88 in 2016-2017, 0.80 in 2017-2018.

(15) CURRENT ASSETS TO NET-WORTH RATIO:-

Current assets to net-worth ratio indicate the stockholder’s funds invested in current assets.

 Current assets to net-worth ratio=Current assets

Net worth

TABLE-(21):-
 YEAR CURRENT ASSETS NET WORTH CURRENT ASSETS
TO NET-WORTH
RATIO
2013-2014 96,78,421 50,97,581 1.89
2014-2015 1,30,46,220 57,73,020 2.26
2015-2016 1,45,23,304 66,63,275 2.18
2016-2017 1,82,05,956 70,18,281 2.59
2017-2018 1,82,05,956 69,87,595 2.61

GRAPH-(15):-

CURRENT ASSETS TO NET-WORTH

RATIO
3

2.5

2 CURRENT ASSETS TO NET-

WORTH RATIO
1.5

0.5

0
0.5 1 1.5 2 2.5 3 3.5 4 4.5 5 5.5

INTERPRETATION:-

From the above statistical analysis we can interpret that the firm’s stockholder’s funds invested in current
assets varies in different year’s i.e. 1.89 in 2013-2014, 2.26 in 2014-2015, 2.18 in 2015-2016, 2.59 in 2016-
2017, 2.61 in 2017-2018.
 CH-(9)
FINDINGS:-

 In trend analysis 2013-2014 is taken as base year with 100% and all the other respective years are
measured or compared with it to know the actual trend going with regard to different items of the
balance-sheet.
 Total current liabilities in year 2013-2014 is 99.69%, which decreases in the year 2014-2015 by
69.78%, but again in the year 2015-2016 and 2016-2017 the liabilities by 72.00 and 86.60.
 Total current assets increases every year, which is a good sign for the firm.
 In the year 2013-2014 the firm indicates high liquidity showing 1.87:1 current ratio, further the
liquidity position decreases by 0.59 in the year 2014-2015. Again the liquidity position increases by
4.57 in the year 2016-2017, leaving the liquidity position to 4.07 in the 2017-2018.
 The net profitability of the business shows a downward trend right after the year 2013-2014 to 2017-
2018 from 27.12% to 2.14%.
 The partner’s fund is lower than the total real assets showing lower proprietary ratio from year 2013-
2014 to 2017-2018 from 43.61 % to 29.32%.

CH-(10)
 SUGGESTIONS:-

The firm should consider the following points in order to make their firm more efficient and reliable and to
stay in the competitive market, those points are as follows:-

 The firm needs to focus on its net profit, by decreasing its direct expenses and by increasing sales.
 The firm needs to draw its attention concerning its liquidity positions by decreasing its current
liabilities.
 The firm needs to issue its prospectus in public in order to increase its capital of the business.
 CH-(11)
CONCLUSION:-

The research has done with a view to analyse the concept of Trend analysis & Ratio analysis and by using it,
the researcher wanted to analyse the financial performance of the [Link]. The project is totally based
on Trend analysis, Ratio analysis and balance sheet of the year and its aspects which have to be found to be
used in its formula later. The study simplifies the main three element included in Trend analysis, Ratio
analysis and Expected balance sheet of the next year.

The complete report is based on studying the financial performance of the S.R Chemicals and suggesting
them with to increase their efficiency and to stay in the competitive market.
 CH-(12)
BIBLIOGRAPHY:-

 BOOKS:-

(1) Management Accounting- B.S. SHAH PRAKASHAN.

(2) Financial management - PRASANNA CHANDRA.

(3) Financial management - I M PANDEY.

(4) Profit and loss statement and balance-sheet of Last five years (2013-14 to 2017-2018).
 URL :-

(1) [Link]

(2) [Link]

(3) [Link]

(4) [Link]

(5) [Link]

(6) [Link]

(7) [Link]

(8) [Link]

(9) [Link]
 CH-(13)
ANNEXURE:-

 Balance sheet of S.R. Chemicals for the year ending as on 31 st March 2013 to
2018:-

Particulars Year Year Year Year Year

2013-14 2014-15 2015-16 2016-17 2017-18
(A)Equity
and
Liabilities:-
1) Partnership
Funds:-
(a)Partner’s 50,97,581 57,73,020 66,63,275 70,18,281 69,87,595
Fund
2)Loan
Liabilities:-
(a)Secured 13,46,809 38,18,719 79,68,663 1,20,36,563 11,99,419
loans
(b)Unsecured 80,000 80,000 3,80,000 3,80,000 3,80,000
loans
Total loan 14,26,809 38,98,719 83,48,663 1,24,16,563 12,37,419
liabilities
3)Current
liabilities:-
(a)Creditors 49,48,910 50,76,677 36,03,562 34,61,227 44,72,055

(b)Provisions 2,15,000 71,358 --- 2,57,210 ---

Total current 51,63,910 51,48,035 36,03,562 37,18,437 44,72,055
liabilities
TOTAL 1,16,88,300 1,48,19,774 1,86,15,500 2,31,53,281 2,38,30,069

(B)Assets

(1)Fixed 20,09,879 17,73,554 40,92,196 61,77,953 56,24,113

assets
(2)Current
Assets
(a)Current 41,48,479 45,00,068 48,66,189 53,50,030 54,67,224
Investment
(b)Inventories 28,86,207 19,32,106 31,52,231 54,67,224 15,58,800

(c)Trade 33,06,646 44,91,836 19,32,106 31,52,231 53,90,701

Receivables
(d)Cash and 84,921 400,338 1,29,414 3,59,478 2,51,188
equivalent
(d)Deposits 2,31,073 3,25,751 7,36,092 15,61,637 11,26,582

(e)Short-term 3,48,502 4,42,020 4,26,121 2,94,014 5,40,563

loans and
advances
Total Current 96,78,421 1,30,46,220 1,45,23,304 1,69,75,328 1,82,05,956
Assets
TOTAL 1,16,88,300 1,48,19,774 1,86,15,500 2,31,53,281 2,38,30,069

 Profit and Loss a/c of S.R. Chemicals for the year ending on 31 st March 2013 to
2018:-

Particulars Year Year Year Year Year

2013-14 2014-15 2015-16 2016-17 2017-18
SALES 1,56,09,43 1,90,26,02 2,44,56,80 2,69,72,16 2,68,75,04
4 6 8 1 6
(1)TOTAL 1,56,09,43 1,90,26,02 2,44,56,80 2,69,72,16 2,68,75,04
SALES:- 4 6 8 1 6

Direct
Expenses:-
C.O.G.S. 1,18,55,70 1,45,80,79 1,72,32,22 1,74,86,57 1,73,80,62
8 9 7 0 6
Direct exp 6,86,060 7,29,319 13,55,206 25,99,104 25,18,813

Manpower co 9,34,141 9,55,307 16,82,925 17,78,419 18,24,347

(2)TOTAL 1,34,80,90 1,62,65,42 20,270,358 2,18,64,09 2,17,23,78

DIRECT 9 5 3 6

EXPENSES:-
(3)GROSS 21,28,525 27,60,601 41,86,450 51,08,068 51,51,260
PROFIT:-
(4)INDIREC 3,89,800 3,90,667 4,10,230 4,73,397 4,68,086
T INCOME:-
Indirect
Expenses:-
Admin exp 4,06,451 6,32,133 8,96,609 11,56,320 10,76,369

Financial exp 1,24,569 2,08,313 6,30,692 10,62,211 12,64,951

Interest exp 12,33,478 15,02,416 19,16,400 18,64,246 17,94,886

Depreciation 3,28,168 3,01,225 4,65,879 8,45,363 9,09,163

(5)TOTAL 20,92,666 26,44,087 39,09,580 49,28,140 50,45,369

INDIRECT
EXPENSES:-
NET PROFIT 4,25,659 5,07,181 6,87,100 6,53,325 5,73,977
THANK YOU