1.

Current ratio: -

C.R may be defined as a relationship between Current Assets & Current Liabilities.
Current ratio is the measure of the companies' short-term solvency. It represents marginal safety for creditors. Current ratio can be calculated as: Current ratio = Current assets Current liabilities Particulars Current assets (In cr.) Current liabilities ( cr ) Current ratio 2006 march 7.46 2.52 2.96 2007 march 12.68 5.72 2.22 2008 march 15.82 6.33 2.50 2009 march 15.61 5.54 2.82 2010 march 14.12 2.91 4.85

Interpretation: - From the above table it is clear that the current ratio of the " Tirupati Starch & Chemicals Ltd." is increasing in 2010 . It is greater than the rule of thumb that is 2:1, which shows that current assets are more.

2. Quick Ratio: -

Q.R, also known as Acid test ratio or liquid ratio, is a more rigorous test of liquidity than the current ratio. It establishes relationship between liquid assets & current liabilities. An asset is said to be liquid if it can be converted in to cash with in a short period without loss of value.

Quick ratio can be calculated as: Quick Ratio = Quick assets Current liabilities Quick Assets = Current Assets- (inventory +prepaid Exp.) Quick assets = current assets (because no prepaid Exp and stocks Particulars Quick assets (In cr.) Current liabilities ( cr ) Quick ratio 2006 March 7.46 2.52 2.96 2007 march 12.68 5.72 2.22 2008 march 15.82 6.33 2.50 2009 march 15.61 5.54 2.82 2010 march 14.12 2.91 4.85

Interpretation: - From the above table it is clear that the Quick ratio of the " Tirupati Starch & Chemicals Ltd " is increasing in 2010. Moreover Quick Ratio is greater than the Banker's rule of thumb i.e1: 1.

Gross Profit Ratio

G P ratio may be defined as a relationship between net profit and sale. Gross Profit ratio can be calculated as: -

Gross Profit ratio = Gross profit * 100 Annual sales Particulars Gross profit (In cr) Annual Sale Gross Profit ratio Interpretation: - From the above table it is clear that the Gross Profit ratio of the " Tirupati Starch & Chemicals Ltd " is decreasing in 2009 and 2010. 2006 march 4.26 31.79 13.4 2007 march 8.51 39.64 21.47 2008 march 9.22 44.11 20.90 2009 march 7.35 42.93 17.12 2010 march 7.74 47.16 16.41

4 Net Profit Ratio

N P ratio may be defined as a relationship between net profit and sale. Net Profit ratio can be calculated as: Net Profit ratio = Net profit Particulars Net profit (In 000) Annual Sale Net Profit ratio Interpretation: - From the above table it is clear that the Net Profit ratio of the " Tirupati Starch & Chemicals Ltd " is decreasing in 2009 and then increase in 2010. 2006 march -0.71 31.79 -2.33 2007 march 1.50 39.64 3.78 2008 march 1.65 44.11 3.74 * 100 2009 march 0.77 42.93 1.79 2010 march 1.17 47.16 2.48 Annual sales

5 Debt Equity Ratio

Debt-Equity Ratio, also known as External Internal Equity Ratio is calculated to measure the relative claims of outsiders and the owners (shareholders) against the firms assets. This ratio indicates the relationship between the external equities or the outsiders fund and the internal equities or the shareholders funds. Debt Equity ratio can be calculated as: Debt Equity ratio = Debt Equity Particulars Net Worth (In 000) Debt or Long term loans Debt Equity ratio Interpretation: - From the above table it is clear that the Debt Equity ratio of the " Tirupati Starch & Chemicals Ltd " is decreasing in every years up to 2010 2006 march 4.72
8.43

2007 march 6.23

9.02

2008 march 7.91

9.44

2009 march 8.66

9.33

2010 march 9.62

9.05

1.79

1.45

1.19

1.08

0.94

TREND ANALYSIS: 1 NET PROFITS

Profits(In cr) Y X Deviations -2 -1 0 YC (Trend Values) 0.270 0.573 0.876

Year 2006 2007 2008

XY 1.42 -1.50 0

X2 4 1 0

-0.71 1.50 1.65

2009 2010 N=5

0.77 1.17
4.38

1 2 0

0.77 2.34 3.03

1 4 10

1.179 1.482

a=Sum Of Y/N= 0.876 b=Sum of XY/ Sum Of X2= 0.303 Yc=a+bx

Trend A nalys o N P is f et rofit

2 Net Profit 1 .5 1 0 .5 0 -0 .5 -1 Y ears p fit ro tre d v lu n a e 1 2 3 4 5

Interpretation: - As you can see the Net Profits of the company were high in 2008 but suddenly decreased in 2009 and then again the profits start rising in next year (2010 = 1.17 (cr))

2 Trend Of Turnover
Sales(In 000's) Y X Deviations -2 -1 0 1 2 0 YC (Trend Values) 34.33 37.73 41.13 44.53 47.93

Year 2006 2007 2008 2009 2010 N=5

XY -63.58 -39.64 0 42.93 94.32 34.03

X2 4 1 0 1 4 10

31.79 39.64 44.11 42.93 47.16

205.63

a=Sum Of Y/N= 41.13 b=Sum of XY/ Sum Of X2= 3.40 Yc=a+bx

Trend Analysis Of Turnover

60 50 40 30 20 10 0 1 2 3 Years Turnov er Trend Value 4 5

Interpretation: - As you can see the Sales of the company were increasing slowly in every years but more rising in year 2010 (47.16 (cr))

Turnover