Documenti di Didattica
Documenti di Professioni
Documenti di Cultura
The basis for the financial plannin ! anal"sis an# #ecision $a%in is the financial infor$ation! financial infor$ation is nee#e# to pre#ict! co$pare an# e&al'ate the fir$(s earnin abilit") It is also re*'ire# to ai# in econo$ic #ecision $a%in ) The financial infor$ation of the enterprise is containe# in the financial statements or accounting reports. Three basis financial state$ents of reat si nificance to o+ner! $ana e$ent an# in&estors are balance sheet! profit an# loss acco'nt an# cash flo+ state$ent! Balance sheet is a state$ent of a fir$(s assets! liabilities an# e*'it" on a specific #ate) Assets are econo$ic reso'rces that help eneratin re&en'es, liabilities are the fir$(s obli ation to cre#itors) E*'it" is the in&est$ent $a#e b" o+ners in the fir$) Both the balance sheet an# profit an# loss state$ent #o not e-plain the chan es in assets! liabilities an# o+ner(s e*'it") The state$ent of chan e in financial position is prepare# to sho+ these chan es! t+o co$$on for$s of s'ch state$ent are. !" the f'n# flo+ state$ent! an# B" the cash flo+ state$ent) The main source of fun# / +or%in capital of cash 000 is the fir$(s operations) F'n# fro$ operation are calc'late# b" a#1'stin the fi 're of net profit for none2f'n# or non0 cash ite$s s'ch as #epreciation) Depreciation is a##e# to net profits to arri&e at f'n#s fro$ operation) To #eter$ine cash fro$ operation! chan e in c'rrent assets an# c'rrent liabilities re#'ce cash +hile #ecrease in c'rrent assets an# increase in c'rrent liabilities increase cash) $un#s flo% an# Cash flo% statement are i$portant $ana erial tools for financial anal"sis) The" help the fir$ to %no+ its li*'i#it" position! capital e-pen#it're inc'rre#! #i&i#en# pai# an#
e-tent of e-ternal financin ) A pro1ecte# f'n#s or cash flo+ state$ent 'i#es the fir$ to plan the $atchin or inflo+ an# o'tflo+ of f'n# of cash) A financial ratio is a relationship bet+een t+o financial &ariables) It help o ascertain the financial con#ition of a fir$) 3atio anal"sis is a process of i#entif"in the financial stren th an# +ea%nesses of the fir$) This $a" be acco$plishe# either thro' h a tren# anal"sis of the fir$(s ratios o&er a perio# of ti$e or thro' h a co$parison of the fir$(s ratios +ith its nearest co$petitors an# +ith the in#'str" a&era e) The fo'r $ost i$portant financial #i$ensions! +hich a fir$ +o'l# li%e to anal"se! are. li*'i#it"! le&era e! acti&it" an# profitabilit")
Ce$ent b'siness of LAT Lt#) #e$er e# an# &este# in co$pan" in :BB<) Grasi$ ac*'ire# $ana e$ent control in ?'l" :BB<) To ether +ith Grasi$ the lar est ce$ent pro#'cer in In#ia) Na$e chan e# to UltraTech Ce$ent Li$ite# +ith effect fro$ 7<th October :BB<)
Scope of the st'#" is li$ite# 'p to the Ultratech 9&t) Lt#) This st'#" is 'sef'l for internal $ana e$ent! o+ners! in&estors an# borro+ers) Internal $ana e$ent incl'#es the Chair$an! Director! C)F)O) an# other senior $ana er of #ifferent #epart$ent)
Financial state$ents contain financial infor$ation) The" are prepare# for e-ternal reportin ) Section :7B of the Co$panies Act! 7F=> re*'ires the boar# of #irectors to la" at e&er" ann'al) There are $an" 'sers of financial state$ents) The e-ternal users are a) b) c) #) e) f) ) present an# potential in&estors e$plo"ees len#ers s'ppliers an# other tra#e cre#itors C'sto$ers o&ern$ent an# its a encies an# p'blic! Different e-ternal 'sers are intereste# in the co$pan" #ifferentl") Go+e&er &ario's 'sers are $ostl" interest to 'n#erstan# three important financial characteristics. namel*. sol/enc*. li0ui#it*. an# profita1ilit*. Three i$portant financial characteristics in +hich al$ost all 'ser / ro'ps ha&e eneral interest! of co'rse! for #ifferent reasons! are sol&enc"! li*'i#it" an# profitabilit") ,ol/enc* in#icates abilit" of the reportin entit" to $eet its obli ations in the lon r'n an# to contin'e operations at least at the sa$e scale in the foreseeable f't're) &i0ui#it* in#icates abilit" of the reportin entit" to $eet all its c'rrent obli ations as an# the" fall #'e) In other +or#s! li*'i#it" i$plies short 0 ter$ sol&enc") Profita1ilit* in#icates earnin capabilit" of the reportin entit" either in relation to total re&en'e or assets e$plo"e# or capital e$plo"e#)
$o&e$ent) It helps to i#entif" the &ario's so'rces an# applications) Cash flo% is cr'cial to b'siness #ecisions) Cash is in&este# in b'siness an# the rationalit" of s'ch in&est$ents is e&al'ate# ta%in into acco'nt the f't're cash flo+s it is e-pecte# to enerate) $inancial 1u#get is an i$portant co$ponent of o&erall financial $ana e$ent) Mana e$ent of +or%in profitabilit" of b'siness) capital li%e lon 0ter$ financial #ecisions affects the ris% an#
RE,E!RCH (ETHODO&O'):
3esearch in co$$on place refers to search for %no+le# e) Infect! research is an art of scientific in&esti ation or it can be #efine# as s"ste$atiEe# effort to ain Hno+le# e)
PROB&E( ,T!TE(ENT:
Anal"sis of Financial State$ents an# @or%in Capital)
R!TION!&:
As the o&erall responsibilit" or the fir$ is to see that reso'rces that reso'rces of the fir$ are 'se# $ost effecti&el" an# efficientl"! an# that the fir$(s financial con#ition so'n# or not! the fir$ Ultratech 9&t) Lt#) is intereste# in each an# e&er" aspect of financial anal"sis therefore the pro1ect has been to researcher b" the co$pan" to #o st'#" b" 'sin #ifferent anal"sis)
RE,E!RCH TOO&,:
Obser&ation $etho# Inter&ie+ $etho# Acco'ntin A financial Tools
D!T! ,OURCE,:
o o PRI(!R) D!T!: Obser&ation Metho# Inter&ie+ Metho#
o o o
,ECOND!R) D!T!: Acco'nts boo%s an# recor#s of the co$pan") Financial $ana e$ent boo%s) Internet