CHAPTER – 1

INTRODUCTION TO FINANCIAL APPRISAL

 FINANCIAL APPRASIAL OF ITI LTD

Financial appraisal is an objective evaluation of the profitability and financial strength of

a Business unit. Many a times, the terms financial performance
appraisal and financial statement analysis are used as synonymous. The techniques
of financial statement analysis are used for the purpose of financial appraisal.

FINANCE:

Finance is one of the major elements which activate the overall growth of the
economy. Finance is the lifeblood of economic activity. A well-knit financial system
directly contributes to the growth of the economy. An efficient finance system call for the
effective performance of the financial institutions financial instruments and financial
markets.

The term finance is derived From Latin word ‘finis’ ,money investment, capital,
amount etc., Finance act as a medium for business which involve the acquisition and usage
of funds in various departments such as a production department, purchase department ,
research department, research and development etc.

Finance is the life blood of business. Finance is provision of money at the time when
it required. Finance is the art and science of managing money. Finance is the set of activities
dealing with the management of funds. More specifically
It the decision of collection and use of funds.

DEFINITION OF FINANCE:

Finance is defined as “The provision of money at the time when it required”.

Finance means managing the flow of money through an organization. An organization
requires money to support itself, its activities and various other business operations.
 Finance is defined in numerous ways by different groups of people. Though it is difficult to
give a perfect definition of Finance following selected statements will help you deduce its
broad meaning.

1. In General sense,
"Finance is the management of money and other valuables, which can be easily converted
into cash."
2. According to Experts,
"Finance is a simple task of providing the necessary funds (money) required by the business
of entities like companies, firms, individuals and others on the terms that are most favorable
to achieve their economic objectives."
3. According to Entrepreneurs,
"Finance is concerned with cash. It is so, since, every business transaction involves cash
directly or indirectly."
4. According to Academicians,
"Finance is the procurement (to get, obtain) of funds and effective (properly planned)
utilization of funds. It also deals with profits that adequately compensate for the cost and
risks borne by the business."

IMPORTANCE OF FINANCE
Finance is omnipresent and it is associated with plans and result of very functional
department because every proposal and every decision entails financial problems.

 To set up an organization (or) enterprise. Finance is very necessary

 To maintain an industry finance is required.
 To purchase raw materials, spare parts, finance is very necessary.
 For starting productions finance is necessary.
 For achievement of organizational goals finance is necessary.
 For example : profit maximization
 For the convenience of business transportation finance is necessary.
 Decision in all business matters.
 For the achievement of wealth maximization goal finance is very important.
 To gain market leadership finance is necessary
 CLASSIFICATION OF FINANCE:
Finance can be classified into two broad categories:-

 Public finance: - Public finance is a field of economics concerned with paying for
collective or government activities, and with the administration and design of those
activities. The field is often divided into questions of what the government or collective
organization would do or are doing, and questions of how to pay for those activities.
 Private finance: - Private finance can be categorized into:-
 Business Finance: - It tries to optimize the goals (profit, sales, etc.) of a corporation or
other business organization by estimating future assets requirements and then allocating
funds according to the availability of funds. Business finance deals with monetary
provisioning at the commercial level. A business constantly requires capital based on
different perspectives such as short- term, medium-term, long-term.
 Personal finance:- It basically deals with the optimization of financial in the individual
(single consumer, family, personal savings, etc.) level subjected to the constraint
Personal finance generally includes:-

a) Savings Accounts.
b) Insurance Policies
c) Consumer Loans.
d) Stock Market Investments.
e) Retirement Plans.
f) Managing of Income Tax.
g) Credit Cards.

FINANCIAL MANAGEMENT

Financial Management is the managerial activity which is related to planning, organizing,

and controlling the firm’s financial resources and it is an essential part of the management.
As it is integrated with other departments, proper management should be at place for
smooth operations of business
 DEFINITION OF FINANCIAL MANAGEMENT
According to S.C Kuchal “Financial management deals with procurement of funds and
effective utilization in the business “
According to Solomon, ”Financial management is concerned with the efficient use of an
important economic resource viz., Capital funds”

TYPES OF FINANCIAL COST

Financial costs there are two types as follows:
1. Fixed Cost
2. Variable cost

1. FIXED COST
Fixed cost something this will be respect in project fixed cost classified in to three
types as follows
 Plant cost
 Building cost
 Machinery cost

2. VARIABLE COST
The variable cost is market price increase the sales

Selling price – variable cost

_______________________
Contribution

• Adequacy of rate of return

– IRR
• Financing pattern
– Debt equity ratio
– Promoters contribution should be in the range of 30 to 50 %
• Project Cost Estimation- It is the process of determining the total cost of the project
which is supported by long term funds.
– Land and site development
– Building and civil works
– Plant and machinery
– Technical knowhow and engineering fees
– Expenses on foreign and local technicians
• Working Capital Requirement- It is the difference between current assets and
current liabilities.
– Raw material and components
– Stocks of goods in process
– Stocks of finished goods
– Debtors
– Operating expenses
– Consumable stores

SOURCES OF FUNDS
– Share Capital- equity capital and preference capital
– Term loans- Loans provided by the banks and financial organization. (Rupee and Foreign
currency loans)
– Debenture capital- Capital produces by Debentures. (Non convertible and Convertible)
– Deferred Credits- Credit taken from suppliers.
– Incentive Sources- Financial support provided by the government agencies.
– Miscellaneous sources- Public deposits, unsecured loans, Leasing and hire purchase
finance. ( Unsecured loan is given by promoters for maintain a connection between
promoters and equity capital the promoter can promise)

• Appropriate composition of Funds (Capital Budgeting)

– Material Cost- Cost of raw materials, chemicals, components, and consumable
stores necessary for production.
– Utilities- Utilities Cost include the cost incurred on power, water and fuel.
 – Labour- Labour Cost is the cost of manpower employed in a factory.
– Factory overheads- It includes the repair and maintenance, rent
, taxes, insurance on factory assets.

PREPARATION FOR PROJECT FINANCIAL STATEMENT

• All the financial activity via a series of numerical reports that is called, in general, financial
statements.
• A Financial Statement includes balance sheet, an income statement, a statement of cash
flows and an auditors report.
• It is a detailed description of the company operations and prospects for the upcoming year.
• A financial statement that summarizes a company's assets, liabilities and shareholders'
equity at a specific point in time. These three balance sheet segments give investors an
idea as to what the company owns and owes, as well as the amount invested by the
shareholders.
• The balance sheet must follow the following formula: Assets = Liabilities + Shareholders'
Equity
• Balance Sheet is the snap shot of financial strength of any company at any point of time.
• A liability is an obligation, which legally binds an individual or an organization to pay off
its debt.
• Liabilities in the balance sheet are the financial obligations of an organization, which it
owes to other parties.
• Liabilities also include amounts received in advance for future services. Since the amount
received (recorded as the asset Cash) has not yet been earned, the company defers the
reporting of revenues and instead reports a liability such as Unearned Revenues or
Customer Deposits.
 Company Profile

India’s first Public Sector Unit (PSU) - ITI Ltd was established in 1948. Ever since, as a
pioneering venture in the field of telecommunications, it has contributed to 50% of the present
national telecom network. With state-of-the-art manufacturing facilities spread across six locations
and a countrywide network of marketing/service outlets, the company offers a complete range of
telecom products and total solutions covering the whole spectrum of Switching, Transmission,
Access and Subscriber Premises equipment.

ITI joined the league of world class vendors of Global System for Mobile (GSM)
technology with the inauguration of mobile equipment manufacturing facilities at its Mankpur and
Rae Bareli Plants in 2005-06. This ushered in a new era of indigenous mobile equipment
production in the country. These two facilities supply more than nine million lines per annum to
both domestic as well as export markets.

The company is consolidating its diversification into Information and Communication

Technology (ICT) to hone its competitive edge in the convergence market by deploying its rich
telecom expertise and vast infrastructure. Network Management Systems, Encryption and
Networking Solutions for Internet Connectivity are some of the major initiatives taken by the
company.

Secure communications is the company's forte with a proven record of engineering strategic
communication networks for India's Defiance forces. Extensive in-house R&D work is devoted
towards specialized areas of Encryption, NMS, IT and Access products to provide complete
customized solutions to various customers.
 BASIC INFORMATION ABOUT ITI

NAME : ITI LIMITED

ESTABLISHED : 1948
CORPORATE OFFICE : Donavan Naggers Bangalore
MANUFACTURING UNITS : Bangalore, Nina (UP), Rae
Barely (UP), Mankapur (UP),
Palakkad (Kerala), Srinagar
(Jammu & Kashmir)
CORE R&D : Bangalore, Naini, & Mankapur
INSTALLATION &
MAINTAINANCE : Bangalore
REGIONAL OFFICES : New Delhi, Bangalore, Kolkata,
Luck now, Mumbai, Chennai,
Hyderabad, Bhubaneswar,
Bhopal, Ahmedabad Kochi by
36 Area officers all over the
Country.
AREA OFFICES : Forty two (42)
QUALITY SYSTEM : ISO 9000, recent 14000
ISO ACCREDITATION : 10 Divisions
COMPANY WEBSITE : www.itiltd-india.com

COMPANY LOGO :
 Corporate Office

REGISTERED & CORPORATE OFFICE,

ITI BHAVAN,
DOORAVANINAGAR,
BANGALORE-560016
INDIA.
CIN No. L32202KA1950GOI000640
PH: 080-25614466
FAX: 080-25617525
 Board of Directors

Shri K.L.Dhingra
Chairman and
Managing Director

ShriK.K.Gupta - Director (Production)

Shri P.K.Gupta - Director (Marketing)
Shri S.Gopu - Director (HR)

Government Directors
Shri R.K.Mishra
Lt.General Nitin Kohli

Independent Directors
Shri Dhirendra Singh
Dr.M.J.Zarabi
Prof. Ramesh Bhat

Chief Vigilance Officer

Shri V.K.Singh, IFS

Company Secretary
Shri C.S.Sachdeva

Highlights:
 Telecom pioneers in India Contributed 50% to the existing national telecom network.

 High impact turnkey specialist

 Dependable Integrated Logistics Support (ILS)

 Strong in-house R&D

Back ground of the company

India’s first Public Sector Unit (PSU) – ITI Ltd was established in 1948. Ever since as a
pioneering venture in the field of telecommunications. It has contributed to 50% of the
present national telecom network. With state-of-the-art manufacturing spread across six
locations and a countrywide network of marketing/service outlets, the company offers a
 complete range of telecom products and total solutions covering the whole spectrum of
Switching, Transmission, Access and Subscriber Premises.

ITI joined the league of world class vendors of Global System for Mobile (GSM)
technology with the inauguration of mobile equipment manufacturing facilities at its
Mankapur and Rae Bareli Plants in 2005-06. This ushered in a new era of indigenous
mobile equipment in the country. These two facilities supply more than nine million lies per
annum to both domestic as well as export markets. ITI has its head quarters in Bangalore
with a total 425 employees.

The company is consolidating its diversification into Information and Communication

Technology(ICT) to hone its competitive edge in the convergence market by deploying its
rich telecom expertise and vast infrastructure. Network Management Systems, Encryption
and Networking Solutions for Internet Connectivity are some of the major initiatives taken
by the company.

Secure communications is the company’s forte with a proven record of engineering strategic
communication network for India’s Defense forces. Extensive in-house R&D work is
devoted towards specialized areas of Encryption, NMS, IT and Access products to provide
complete customized solutions to various customers.

Various Departments of ITI:

1. Finance department
2. Human resources department
3. Public relation department
4. Legal department
5. Personnel and administration department
6. Welfare department
7. Marketing department
8. Purchase and material management department
9. Production department
10. Research and development department
11. Information technology department

Nature of business
ITI Company is, Manufacturing of telephones. Defense products like secrecy &encryption.
Railways-SCADA & PCM-MUXs. It also under take production for Police & internal
security.Bharat Sanchar Nigam Limited (BSNL) using the products likes OCB and
SMPS.ITI also deals the products for Indian Space Research Organization (ISRO).
Mahanagar Telephone Nigam Limited (MTNL).

ITI Organization Structure

Production department structure:
Aims and functions of production department. Production is the functional area responsible
for turning inputs into finished outputs through a series of productionprocesses.
The Production Manager is responsible for making sure that raw materials are provided and
made into finished goods effectively.

PRODUCTION

K ALGESAN
GM-NNI AGM-RB AGM- AGM-SQR AGM-B
MKP R&D

DGM-GSM DGM-GSM
BSNL WZ BSNL SZ

CHIEF MANAGER
(GSM)-MTNL

Marketing department structure:

In a traditional matrix structure, a centralized team performs brand marketing and
traditional advertising functions, with digital and research, or data, servicing the various
business units. An example of a traditional marketing department structure.

Marketing

K ALGESAN D (M)

AGM-PP AGM-M

GM-NSU

Finance department structure:

A functional organizational structure is characteristic of finance departments in growing
businesses. A functional structure typically adds two additional hierarchical layers as key
accounting functions, such as accounts receivable, accounts payable, payroll and
procurement become separate sub-departments.

DR JANAKI
ANATHA
FINANCE AGM-CF
KRISHANAN
D(F)

HR department structure:
HR Organizational Structure. The HR Management and the HR Model define the basic
prerequisites for the HR Organizational Structure. The line management demands the
perfect support from HR Processes. Employees demand a quality of employee services.

HR S GOPU D(H) AGM-HR

Vigilance department:
The Chief Vigilance Officers are extended hands of the CVC. The Chief Vigilance Officers
are considerably higher level officers who are appointed in each and every
Department/Organization to assist the Head of the Department/Organization in all
vigilance matters

VIGILANCE A GNANSHEKARAN
CVO
 SWOT Analysis

Introductions
SWOT analysis measures a business unit, a proposition or idea. A SWOT analysis is a
subjective assessment of data which is organized by the SWOT format into a logical order
that helps understanding, presenting, discussion and decision- making. The four dimension
are a useful extension of a basic two heading list of pro’s and con’s.

ITI has significantly been able to corner around 3million lines order on GSM network
during the year, the secured projection from the customers have enabled the company
To set up a capacity for 1 million lines at Mankapur and another 3 million lines at Rae
Bareli in addition to it, the capacity for 1million lines at Bangalore on CDMA has been
planned. These 3 manufacturing facililities would enables the company to achieve a turn
over more than Rs2000 corer

Thus ITI has various strengths to its credit and also opportunities. The strength, weaknesses,
opportunities, treats of ITI can be classified as under.
Strengths:
The various strengths of ITI are as follows:
 India’s first telecom equipment manufacturer.
 60 years of experience in telecommunication.
 Over 60% of contribution to the exiting national telecom network.
 Total telecom solutions provider.
 Multi-locations state-of-art manufacturing facilities with ISO 9001:2000.
 Complete range of telecom products, value added services, strategic alliances with global
telecom/IT majors.
 Large work force with technical expertise.
 Large Market share.
 Shares of India’s first public sector unit, jumped 19 per cent in Thursday's trade after the
company said it was declared the lowest bidder for a Rs 7,000 crore defense project.
 Weakness;
The various weakness of ITI is as follows:
 entral government.
 Surplus man power.
 Resistance to changes by some group of employees.
 Normally, training the aged and less qualified employees to latest technology in some case
highly impossible.
 ITI has proved otherwise certificate holders and fitters are all doing work and they even test
in digital electronics.
 Products are priced very less due to competition.
 No desire for development is killing the company

Opportunities:
The various Opportunities of ITI are as follows:
 Introduction of better and improved technology.
 Can improve the quality of the products.
 Training and development of strategies.
 Diversify their products to a new line
 Huge capital investment is available to introduce a new product which can beat
competitor’s products.
 New models of telephone can be introduced to grab the market.
 It has the opportunity for focusing on defense product well as network equipment’s.

Threats:
The various Threats of ITI are as follows:
 Competition from private sector and national.
 Disinvestments policy of the government.
 Frequent fluctuations in the global competitive market.
 Economics policies of the government.
 Global players are playing major role in telecom industries.

Competitors of ITI:
 L.G-company is produced products like television and mobile phones.
 Motorola- it is a one of most electronic company in INDIA.
 VIVO is a private limited it is very popular in wireless technology in INDIA.
 Ericson- it is a foreign company which produced new technical equipments.
 Siemens-it is one of the most and it has good professional technology to produce in
electronic products.
 Reliance-it is a most popular in communication network.
 Bharathi Telecom-this company is competitor with ITI limited in the communication
equipment’s.

The major players in the mobile phone service industry are

enlisted as:

 Airtel is acquiring Telenor.

 Vodafone and Idea are merging.
 Reliance, Aircel, MTS are heading towards talks of merging. Tata Docomo may also join
them.
 BSNL. The Bharat Sanchar Nigam Limited, country's largest cellular service operator was
set up in the year 2000
 Reliance Communications.
 Vodafone Essar
 Tata Indicom
 Idea Cellular
Work Flow Model (End to End):

Receiving order

Ordering for raw materials and spares

Procurement and testing of raw materials

Production planning

Manufacturing of PCB board

Assembling of components

Physical testing

Testing to ensure quality as per ISO 9001

Packing of final products as per customer requirements

Shipping of finished goods

 CHAPTER-2
REVIEW OF LITERATURE
REVIEW OF LITERATURE

"We review the growing literature relating corporate environmental performance to

financial performance. We seek to identify achievements and limitations of this literature
and to highlight areas for further research. Our primary interest is to assess the adequacy of
the literature in informing corporate managers how, when, and where to make pro-
environment investments that will pay off with financial returns for long-term shareholders.
To do so, we create a conceptual framework that maps the influence of regulators, public
health scientists, environmental advocates, consumers, employees, and other interested
parties upon corporate financial returns. Our discussion has relevance to all parties
interested in influencing corporate actions that affect the environment." By Donald P. Cram,
on March 27, 2000

"This paper is primarily based on Rogers’ diffusion of innovations theory and Auger’s
empirical study. An empirical research study was conducted to investigate the perceived
financial performance of commercial printing firms for conducting business-tocustomer
(B2C) activities using Web technology. Financial performance was measured using four
financial indicators: sales, profits, costs, and return-on-investment (ROI). The diffusion of
innovations theory states that an innovation brings changes to a company. 25 Web
technology is an innovation that affects company’s performance. This paper investigates the
effect of Web technology on commercial printing firms’ financial performance." Journal of
Industrial Technology • Volume 19, Number 2 • February 2003 to April 2003 Page2, by Dr.
Devang P. Mehta

Ali Ataullah (2004) Concluded that there is still room for improvement in the efficiency of
banks in both the countries. A step forward for the liberalization programmer , therefore, is
not only to deregulate interest rates and enhance the level of competition but also to
strengthen the instutional structure to support good practices in the banking industry .

Gupta Sumeet&VermaRenu (2008) concluded that management of non-performing assets

and risk emanating from adverse event is the key to higher profitability of the Indian
banking. Transparency and good governance would work as principal guiding force in
present scenario.
GhoshSaibal (2009) concluded that with international standards, Indian banks would need
to improve their technological orientation and expand the possibilities for augmenting their
financial activities in order to improve their profit efficiency in the near future.

Dr. Ibrahim Syed M (2011) concluded that this is diagnostic and exploratory in nature and
makes use secondary data. The study finds and concludes that the scheduled commercial

Dr. Pardhan Kumar Tanmaya (2012) Concluded that-The study is based on primary data.
The data has been analyzed by Percentage method. The tool used to collect data from the
bank officials was a structured questionnaire. Responses obtained from the ITI managers /
senior officers.

Dr. Dhanabhakyam M &Kavitha M. (2012) studied that banks have to re-orient their
strategies in the light of their own strength and the kind of market in which their likely to
operate on. In the perspective of this domestic and international development, the ITI sector
has to chart perfect for development.

Dr. V.K. Sapovadia did his research work in 2004. Under his research work the studied
financial performance of various co-operative sectors. For this purpose he also calculated
some ratios. Title of his study is “ comparative study on financial performance appraisal of
Indian co-operative sector and USA board co-operative sector.

Ravi M. Kishore has written a book “ Advanced Management Accounting “ published by

Taxman publishing company. New Delhi in 2005. This book also covers the concept and
applications of value added and the preparation guideline for value added statement and
generation of value and it impacts to examine the financial performance
Dr. Sanjay J. Bhayani has done his Ph.D on “ Analysis of financial statement of cement
industries in india. In this study profile of the cement industries in india.

Dr. P. S. Hirani has been done ph.d on “ A study of financial Appraismethod used al in
india “ in the study of different ratio on profitability in paper industry of india. The
different method used on profitability.

Dr. S. N. Maheshwari a published book in 2009 “ financial management published by sutan

chand & sons New Delhi. This book has covered the concept of the financial statement and
financial statement analysis and also useful to the different ratio and ratio methods, formula,
concept etc.. in this book

Dr. P. C. Tulsian has written a book in 2010 ” Financial Management “ Published by

S. Chand & co Ltd, New Delhi. This book has covered the concept of financial performance
This book has also covered to different concept of ratio and classification of ratio analysis.

Dr. Shivubhai C. Vala has been ph.d in 2001 “ A Comparative Study of Profitability
Vis-à-vis liquidity the milk co-operative dairy of Gujarat state

Dr. Bhavsinh Dodiya has written an airticle on “ Analysis of Liquidity in Indian industry
Of selected companies “ which was published in Research Expo international
Multidisciplinary Research Journal in June – 2012 he analyzed liquidity and financial
Efficiency by using various ratio of the selected automobile companies

Thus, researcher has evaluated the concept and various related aspects of financial
Appraisal. On basis of the above literature review researcher has decide to do the above
Said research . He has shown his keen interest for going on exploratory study on this area of
research and has also decided to investigate the whole concept and its relative applicability
In the automobile industry of India.
 CHAPTER-3
RESEARCH METHODOLOGY
INTRODUCTION: -
Financial appraisal is an objective evaluation of the profitability and financial strength of a
Business unit. Many a times, the terms financial performance appraisal and financial
statement analysis are used as synonymous. The techniques of financial statement analysis
are used for the purpose of financial appraisal. Therefore, financial appraisal is the process
of scientifically making a relevant, comparative and critical evaluation of the profitability
and financial health of a given firm through the application of the techniques of financial
statement analysis. The accounting system is concerned with the classification, recording,
summarizing and presentation of financial data. This data is analyzed for the purpose of
evaluation and appraisal of the performance. Financial statement analysis attempts to
unveil the meaning and significance of the items composed in profit and loss account and
the balance sheet so as to assist the management in the formation of sound operating
financial policies.1 Undoubtedly, the analysis and appraisal of financial statements reveal
the significant facts relating to financial strength, profitability, corporate efficiency,
weaknesses, managerial performance, solvency and other such factors relating to a
company. The technique of appraisal is applied to the analysis and study of accounting data
with an idea of answering the questions like Is investment in the company safe ? Does the
company earn adequate profit? Is the company solvent enough to meet its obligations
whenever they mature? Does the company earn enough to build reserves for future growth ?
Is the company properly capitalized? To quote Roy Foulke : If a train is moving forward at
known rate of speed, it is reasonable to assume that it will continue to move at
approximately the same rate unless some obstacle interrupts its progress abruptly or the
motive power is increased or decreased. Similarly it is reasonable to assume that unless
some drastic change takes place in a business, it will continue to move in the same general
direction as indicated by its comparative trends.

STATEMENT OF THE PROBLEM:

Analyze of each transaction to determine the accounts to be debited and credited and the
measurement or valuation of each transaction to determine the amounts involved.
Recording the information in books of original entry, summarization in ledger, and
preparation of a trial balance. Preparation of financial statements. All the above definitions
and explanations reveal the fact that
 Accounting is an information system where the process of identifying, measuring analyzing
and communicating of the economic information of an organization to the users is involved.
This monetary and financial data, information and statistics are used by various users who
need it for various purposes. This is a basic data which is analyzed, assessed and relevant
conclusions are drawn with considered approach and an objective in mind. Accounting
measures the transactions and events in terms of a common measurement unit. In a way,
Accounting performs a basic function of a language by serving as a means of
communication. It is an information system which communicates the financial/accounting
information to the internal and external users to enable them to make reasoned decisions. In
that sense, it is an input/outputdevice which involves the important phase of processing the
information encompassing recording, classifying, summarizing ,analyzing and interpreting
of the facts and figures concerning any entity covering a specified period.

Objectives of the study: -

1. to ensure adequate profitability.
2. to have an early warning of something going wrong.
3. to have basis for allocation of resources.
4. to evaluate managers. Performance evaluation is a central feature of an effective
management information system

Scope of study: -
Financial statements are the medium by which a company discloses information concerning
its financial performance. Followers of fundamental analysis use the quantitative
information gleaned from financial statements to make investment decisions. Before we
jump into the specifics of the three most important financial statements - income
statements, balance sheets and cash flow statements - we will briefly introduce each
financial statement's specific function, along with where they can be found.

METHOD OR SOURCE OF DATA COLLECTION: -

1. PRIMARY SOURCE

In this study the primary source of data collection through interview method.
2. Secondary source

of data is collected from internet, article, reports, and newspapers etc.

Methodology:-
(1) Horizontal analysis: This is the comparison, analysis and interpretation of a similar
item of a financial statements relating to two different accounting periods.
(2) Vertical analysis: This is comparison, analysis and interpretation of two items or
variables of financial statements relating to the same accounting period
. (3) Static and dynamic analysis: Static analysis measures the relationships among the
items in a single set of statements. Dynamic analysis measures the changes in such items in
successive statements. Static analysis is vertical analysis and dynamic analysis is horizontal
analysis.
(4) Internal and external analysis: The internal analysis is the analysis of financial data
by the management of the enterprise itself for internal decision making. External analysis
means the analysis of the data from the financial statements done by any outsider like
investors, banker, government revenue authority, any creditor, customers and others for
taking a relevant decision.

Limitations:-
1. Bias of Appraiser: The presence of ‘Halo Effect’ in evaluation of employees is the
biggest weakness of this method. A high rate is given to favoured employees whereas
unfriendly employees are rated low.
2. Ambiguity in Standards: If the standards are not clear, the supervisors may follow
different standards for different employees.
3. Insufficient Evidence: An employee who can impress the boss may get a positive
evaluation though his impression in his own department may be very poor. In such cases,
the performance appraisal will be superfluous.
4. Several Qualities Remain Without Appraisal : Through performance appraisal,
only few qualities of employees can be measured. All individuals differ from each other in
terms of background, values and behavior.

Overview of the Chapter scheme:-

The study report will be presented in chapter 5 as indicated below;

Chapter-1: INTRODUCTION
It deals with theoretical back ground of the study.

Chapter-2: REVIEW OF LITREATURE

It deals with title of the project, , statement of the problem, objectives and scope of the
study, sources of data collection and the methodology, limitation of the study and chapter
scheme.
Chapter-3: RESEARCH METHOLODOGY
It deals with the company back ground and details.

Chapter-4: ANALYSIS AND INTERPRETATION OF DATA

It deals with the analysis and interpretation of the data collected from the company.

Chapter-5: SUMMARY OF FINDINGS, SUGGESTION AND

CONCLUSION
It presents the summary of all findings, suggestions and conclusions.

ANNEXETURES AND BIBLIOGRAPHY

The sources of data collection.

BIBLIOGRAPHY:-
Journals and magazines referred
Website www.Iti.co.in
 CHAPTER - 4
DATA ANALYSIS AND INTERPRETATION
 Financial ratio analysis

The fallowing section deals with ratio analysis which contains the liquidity ratios, activity
ratio profitability ratios and management efficiency ratio.

Current ratio:

The current ratio is a liquidity ratio that measures a company's ability to pay short-term and
long-term obligations. To gauge this ability, the current ratio considers the current total
assets of a company (both liquid and illiquid) relative to that company's current total
liabilities.

Current ratio = Current assets/Current liabilities.

Current ratio in crore

The following table deals with thecurrent assets and current liabilities of ITI ltd Bangalore.
For the period 2011-2012 to 2015-2016.

Table 4.1
Year Current Assets Current Liabilities Current Ratio
2011-2012 3443.27 4357.45 0.79
2012-2013 3838.59 5096.96 0.38
2013-2014 2403.10 3903.44 0.61
2014-2015 2503.35 3814.72 0.65
2015-2016 2233.18 4231.36 0.52
 Chart 4.1

Current Ratio
0.25

0.2

0.15

0.1

0.05

0
2011-2012 2012-2013 2013-2014 2014-2015 2015-2016

Interpretation:

Current ratio is the measure3 of the firm’s short term solvency. the ideal current ratio is 2:1
and the current ratio is ITI ltd, for the period 2011-2012 to 2015-2016 are
0.79,0.36,0.61,0.65,and 0.52 respectively. Current ratio of ITI ltd for the year 2014-2015as
decreased from 0.61 to 0.65. This shows the co is trying to slightly increase the current
assets. It will affect the solvency of the business. The current ratio is high in the year 2011
to 2012 and the lowest in the year 2012 to 2013.

Quick ratio/liquidity ratio

The quick ratio is an indicator of a company's short-term liquidity. The quick ratio measures
a company's ability to meet its short-term obligations with its most liquid assets. Thus,
a quick ratio of 1.5 means that a company has $1.50 of liquid assets available to cover each
$1 of current liabilities.
Quick ratio/liquidity ratio= Liquid assets\current liabilities
Quick ratio in crores

The following table deals with the quick assets and quick liabilities of ITI ltd Bangalore.
For the period 2011-2012 to 2015-2016
Table 4.2
Year Quick Assets Current Liabilities Current Ratio
2011-2012 3330.65 4357.45 0.76
2012-2013 3733.69 5096.96 0.73
2013-2014 2306.90 3903.44 0.59
2014-2015 2410.00 3814.72 0.63
2015-2016 2129.34 4231.36 0.50

Chart 4.2

Quick Ratio
0.25

0.2

0.15

0.1

0.05

0
2011-2012 2012-2013 2013-2014 2014-2015 2015-2016
Interpretation:
The quick ratio of the co is 0.76, 0.78, 0.59, 0.63, and 0.50 respectively. While analyzing
the chart we can say that the highest quick ratio is 2012-2013 and the lowest quick ratio is
in the year 2015-2016.

Inventory turnover ratio

The inventory turnover ratio is an efficiency ratio that shows how effectively inventory is
managed by comparing cost of goods sold with average inventory for a period. ... In other
words, it measures how many times a company sold its total average inventory dollar
amount during the year.

Inventory turnover ratio=cost of goods sold/Avg inventory

The following table deals with the inventory turnover ratio, of ITI ltd, Bangalore. For the
period 2011-2012 to 2015-2016.

Table 4.3
Inventory
Year Cost of goods sold Average inventory turnover Ratio
2011-2012 165.67 115.25 1.43
2012-2013 88.80 108.76 0.81
2013-2014 66.41 100.55 0.66
2014-2015 43.02 93.77 0.45
2015-2016 10.02 98.58 0.10
 Chart 4.3

Inventory turnover Ratio

0.25

0.2

0.15

0.1

0.05

0
2011-2012 2012-2013 2013-2014 2014-2015 2015-2016

Interpretation:
The ratio indicates how rapidly the inventory is turning to receivables through sales. The
inventory turnover ratio of ITI ltd is higher in the year 2011-2012 and lowers in the year
2015-2016. It is lower in the area 2015-2016. Because of high decrease in sales and stocks.
During the year 2011 to 2012 the inventory turnover ratio was 1.43 which were high
indicating strong sales and efficient management of inventory. The ratio decreased during
the year 2012-2013 and further it fall to 0.10 in the year 2015 to 2016.The co effectively
wasting resources by non saleable inventory.

Debtor’s turnover ratio:

The receivables turnover ratio is an activity ratio measuring how efficiently a firm uses its
assets. Receivables turnover ratio can be calculated by dividing the net value of credit sales
during a given period by the average accounts receivable during the same period.

Debtors turnover ratio=net credit sales/average accounts receivable

Debtor’s turnover ratio in crores

The following table deals with the Debtors turnover ratio, of ITI ltd, Bangalore. For the
period 2011-2012 to 2015-2016.
 Table 4.4
Average account Debtors
Year Net sales receivable turnover ratio
2011-2012 243.48 3237.47 0.07
2012-2013 315.56 2190.65 0.14
2013-2014 366.41 2665.55 0.13
2014-2015 440.06 1892.16 0.23
2015-2016 515.64 1777.19 0.29

Chart 4.4

Debtor’s turnover ratio

0.25

0.2

0.15

0.1

0.05

0
2011-2012 2012-2013 2013-2014 2014-2015 2015-2016

Interpretation:
Debtors turnover ratio indicates the no of times debtors turnover each year. The debtors
turnover ratio is 2011-2012 is decreased when compare to other years and 2015 to 2016 is
increased by 0.29.
Creditor’s turnover ratio:
The accounts payable turnover ratio is a liquidity ratio that shows a company's ability to pay
off its accounts payable by comparing net credit purchases to the average accounts
payable during a period.

Creditors turnover ratio=net purchase/average accounts payable

Creditor’s turnover ratio in crores

The following table deals with the creditor’s turnover ratio, of ITI ltd, Bangalore. For the
period 2011-2012 to 2015-2016.

Table 4.5
Average account Creditors
Year Net purchases payable turnover ratio
2011-2012 160.40 22.47 7.14
2012-2013 81.09 195.09 0.42
2013-2014 57.71 20.29 2.84
2014-2015 1420.05 1949.56 0.07
2015-2016 628.24 1869.90 0.33
 Chart 4.5

Creditor’s turnover ratio

0.25

0.2

0.15

0.1

0.05

0
2011-2012 2012-2013 2013-2014 2014-2015 2015-2016

Interpretation:
While observing the chart we can see that from 2011-2012 to 2015-2016 the creditors
turnover ratio shows a decreasing trend. The ratio is low in 2014-2015, 2015-2016, 2012-
2013 and it indicates that the company is getting more time to pay the amount to the
supplier. In the year 2011-2012 the ratio has increased that the company has to settle their
accounts with the suppliers rapidly.

Current asset turnover ratio:

The asset turnover ratio is an efficiency ratio that measures a company's ability to generate
sales from its assets by comparing net sales with average total assets. In other words,
this ratio shows how efficiently a company can use its assets to generate sales.

Current asset turnover ratio=sales/current assets

Current asset turnover ratio in crore
The following table deals with the current asset turnover ratio, of ITI ltd, Bangalore. For the
period 2011-2012 to 2015-2016.

Table 4.6
Current
Year Net sales Current assert
assets turnover
ratio
2011-2012 243.48 3443.27 0.07
2012-2013 315.56 1834.48 0.17
2013-2014 366.41 2403.10 0.15
2014-2015 440.06 2503.35 0.17
2015-2016 515.64 2233.17 0.23

Chart 4.6

Current asset turnover ratio

0.25

0.2

0.15

0.1

0.05

0
2011-2012 2012-2013 2013-2014 2014-2015 2015-2016
Interpretation:
The current asset turnover ratio of the co during the year 2011-2012 to 2015-2016 is 0.07,
0.17, 0.15, 0.17, and 0.23 respectively. The ratio is low in the year 2011-2012 and high in
the year 2015-2016.

Current assets to sales ratio:

Ratio that indicates how efficiently a firm is using its current assets to generate revenue.

Formula: Sales revenue ÷ Average current assets.

Table 4.7
Current asset to
Year Net sales Current assets sales ratio
2011-2012 993 4714 4.75
2012-2013 921 4520 4.91
2013-2014 770 2614 3.39
2014-2015 620 2884 4.65
2015-2016 1253 3284 2.62

Chart 4.7

Current asset to sales ratio

6

0
2011-2012 2012-2013 2013-2014 2014-2015 2015-2016
Interpretation:
The above table shows the current assets to sales ratio of the company for the last five years
2011-2012 to 2015-2016. The current asset is Rs 4714cr, Rs 4520cr, Rs 2614cr, Rs2844cr,
and Rs3284cr respectively. It is seen that the during the period of 2011-2012 to 2014-2015
the current asset has been decreasing. Only in the year 2015-2016 the current asset has
increased to Rs 3284cr from Rs 2884cr

Return on investment ratio:

Return on investment (ROI) measures the gain or loss generated on an investment relative
to the amount of money invested. ROI is usually expressed as a percentage and is typically
used for personal financial decisions, to compare a company's profitability or to compare
the efficiency of different investments.

ROI = (EBIT/capital employed)*100

Table 4.8

Year Net profit Capital ROI

employed ratio
2011-2012 -370 1895 -19.53
2012-2013 -182 1226 -14.85
2013-2014 -344 952 -36.13
2014-2015 -297 1112 -26.71
2015-2016 251 460 54.57
 Chart 4.8

ROI ratio
60
50
40
30
20
10
ROI ratio
0
-10 2011-2012 2012-2013 2013-2014 2014-2015 2015-2016
-20
-30
-40
-50

Interpretation:
From below chart the horizontal axis represents the no of years i.e., 2011-2012 to 2015-
2016 and the vertical axis represents the turnover of the company. The return on investment
ratio is seen in negative, the ratio being -19.53, -14.85, -36.13 and -26.17 respectively. Only
during the year 2015-2016 is in positive. The ratio being 54.57, which means that the return
on investment was positive

Employee turnover ratio:

Employee turnover refers to the number or percentage of workers who leave an
organization and are replaced by new employees. Measuring employee turnover can be
helpful to employers that want to examine reasons for turnover or estimate the cost-to-hire
for budget purposes.
 Table 4.9

Year Sales Employee Ratio

cost
2011-2012 993 402 40.48
2012-2013 921 393 42.67
2013-2014 770 337 43.77
2014-2015 620 321 51.77
2015-2016 1253 315 25.14

Chart 4.9

Employee turn over ratio

0
-2 2011-2012 2012-2013 2013-2014 2014-2015 2015-2016
-4
-6
-8
-10
-12
-14
-16
-18
-20

Interpretation:
From the above diagram the horizontal axis represents the number of years i.e., 2011-2012
to 2015-2016 and the vertical axis represents the turnover of the company. The chart shows
a declining trend of the employee’s turnover ratio for all the 5 years from 2011-20121 to
2015-2016.
1. Comparison of inventory to working capital ratio

In general, the lower the ratio, the higher the liquidity of a company is. However, the value
of inventory to working capital ratio varies from industry and company. The better
benchmark is to compare with the industry average.

Table 4.10

Inventory to working capital = (inventory/working capital)*100

Year Total Working Ratio

inventory capital
2011-2012 113 -621 -18.20
2012-2013 105 -1259 -8.34
2013-2014 96 -1501 -6.40
2014-2015 93 -1311 -7.09
2015-2016 104 -1998 -5.21
 Chart 4.10

Inventory to working capital ratio

0
-2 2011-2012 2012-2013 2013-2014 2014-2015 2015-2016
-4
-6
-8
-10
-12
-14
-16
-18
-20

Interpretation:

From the above diagram the horizontal axis represents the number of years i.e., 2011-2012
to 2015-2016 and the vertical axis represents the turnover of the company. The trend bar
diagram shows decreasing at first but as been gradually increase in the year 2014-2015 to
2015-2016

GROSS PROFIT RATIO

The gross profit ratio plays an important role in two management areas of financial

Management, the ratio serves as a valuable indicator of the firm’s ability to utilize effectively out

Side sources of funds.

 Gross Profit X 100
Gross Profit Ratio =

Net sales

This ratio help to ascertaining whether the average percentage of mark up on the goods is
maintained or not It also indicate the degree to which selling price per unit may decline with out
resulting in losses from operations to the firm.

Table 4.11

YEAR GROSS PROFIT SALES RATIO

2011-12 20353.62 24348.17 83.59

2012-13 23816.11 31556 75.47

2013-14 23959.35 36641.2 65.39

2014-15 32704.97 44006.29 74.32

2015-16 43276.38 51564.33 83.97

The gross profit and sales relation can be expressed in the chart

Chart 4.11

GROSS PROFIT SALES

51564.33
44006.29 43276.38
36641.2
31556 32704.97
24348.17 23816.11 23959.35
20353.62

2011 2012 2013 2014 2015

The following chart shows the ratio of sales and gross profit ratio

Chart 4.12

RATIO

83.59 83.97
75.47 74.32
65.39

2011 2012 2013 2014 2015

 INTERPRETATION
As from the above table it can be seen that the gross profit ratio in 2011 it was 83.59 then it
was a decreasing tendency from 2011 to 2014. In 2012 it was decreased to 75.47 also 2013 and
2014 it was 65.39 and 74.32 but in 2015 it was an increase to 83.97.how ever the gross profit
should be adequate to cover operating expenses and to provide for fixed charges dividends and
building up to reserve.

NET PROFIT RATIO

This ratio is also called as the net profit to sale or net profit margin ratio. It is determined

by dividing the net income after tax to the net sales for the period and measures the profit per

rupee of sale

Net Profit X 100

Sales

In this context, the term net profit “net profit after interest and tax but before dividend”

The ratio is used to measure the overage profitability and hence it is very useful to profitability of
the business. Higher the ratio better is the operational efficiency of the concern
 Table 4.11
YEAR NET PROFIT SALES RATIO

2011 2724.03 24348.17 11.18

2012 2189.11 31556 6.93

2013 1689.32 36641.2 4.61

2014 2230.31 44006.29 5

2015 2726.81 51564.33 5.2

Chart 4.13

NET PROFIT SALES

51564.33
44006.29
36641.2
31556
24348.17

2724.03 2189.11 1689.32 2230.31 2726.81

2011 2012 2013 2014 2015
The following chart shows the ratio of net profit and sales

Chart 4.14

RATIO

11.18

6.93

5 5.2
4.61

2011 2012 2013 2014 2015

INTERPRETATION

From the above table, it can be seen the highest value in the past five years 11.18. It have a
decreasing tendency to 6.93 in 2013 it was decreased to 4.61 in 2014 it was a slight increase to 5.00
in 2015. It was also an increase
 CHAPTER – 5
FINDING, SUGGESTION & CONCLUSION
 FINDINGS

The major findings of the study are the following.

By studying Ratio analysis it has been found the current ratio of the firm is not attain a
satisfactory expected level expect for one year of the study period. The Absolute Liquid Ratio, cash
to other income and cash to working capital shows a satisfactory level in the year 2015 which
means at this year company have shown a good solvency position.

It has found from the ratio analysis of gross profit and net profit the company has shown a
good increasing rate of profit for the last consecutive years.

From trend analysis it has been found that trend on working capital, sales, total income and
variable cost shown an increasing trend throughout the analysis period were as trend on cash in
hand and other income shown a fluctuating trend throughout the study period.

By seeing the co-efficient correlation it has been found that the relation between cash
position and net profit shows a negative correlation were as cash and sales, cash and total income,
cash and total expenses shows a positive correlation. For positive correlation there will be positive
relationship for both the variables and vice versa.

From least square method it has been found that there an increasing trend on current asset
as well as decreasing trend on profit for coming 5 years.
 SUGGESTIONS

1. ITI must maintain apt liquidity position. This indicates that the ITI needs to
improve its short-term financial position.

2. Block funds used properly and profitability.

3. Firm should maintain optimum cash balance throughout the year.

4. Solvency position is to be studied and steps to be taken for improving it.

5. Debt Equity Mix should be maintained optimum level.

6. Fund managers give more importance to utilization of fund.

7. Step to be taken to increase the working capital of the firm to meet short term
obligation.

8. Excess funds invested to diversified projects.

9. Even through the firm is doing well but the bad debts are also increasing so the
management needs to take necessary steps for reducing bad debts.

10. The firm can adopt modern method of cash management.

11. The firm should fix proper working capital and inventory level.
 CONCLUSION

In this study, an analysis on Efficiency of Cash Management of ITI was done. The
Efficiency of the firm during last five years is taken up for study. The Efficiency of fund has been
analyzed on the basis 0f the data collected from the Annual report of ITI . The Efficiency of Cash
Management in ITI was analyzed with the help of Ratio Analysis and Correlation Co-efficient.

The study conducted in ITI was successful. The study also guides to get knowledge
regarding actual functioning of the Firm. Cash Flow Statement of the firm reveals that overall
performance of cash management of the firm is above average level. So cash managers give more
importance to utilization of cash through using profitable pattern
BIBLOGRAPHY
BIBLOGRAPHY:

REFFERED BOOKS:

 Shashi k guptha, Sharma R K and Neeti Guptha, “FINANCIAL

MANAGEMENT” Kalayani Publishers, New Delhi.

 Pandey I M, “Financial Management”, Vikas Publishing House pvt ltd, New

Delhi.

 Prasanna Chandra, “Financial Management theory and practice” Tata Mc

Graw-Hill Publishing company ltd, New Delhi.

 Arora M N , Management Accounting, problems and solutions , Himalaya

Publishing House, Mumbai.

 Kothari C R, “Research Methodology, Methods and Techniques”, wishwa

prakashan, New Delhi.

REFFERED MANUALS

ACCOUNTS MANNUAL OF ITI ltd

WEBSITES:

www.itiltd-india.com
SEARCH

www.google.co.in
www.yahoo.com
ANNEXURES
 Profit and loss:
MAR' MAR' MAR' MAR' MAR'
16 15 14 13 12
Particulars
(₹ (₹ (₹ (₹ (₹
Cr.) Cr.) Cr.) Cr.) Cr.)

Gross Sales 1,193.35 579.11 715.96 922 994.03

Less :Inter
divisional
transfers 0 0 0 0 0
Less: Sales
Returns 0 0 0 0 0
Less: Excise 2.89 4.78 7.24 4.68 7.05
Net Sales 1,190.45 574.33 708.72 917.32 986.99
EXPENDITU
RE:
Increase/Decrea
se in Stock 0.44 2.06 1.98 10.88 2.84
Raw Materials
Consumed 669.58 185.09 136.95 234.89 315.09
Power & Fuel
Cost 17.36 21.5 23.34 22.73 18.61
Employee Cost 315.13 321.19 337.32 392.75 401.45
Other
Manufacturing
Expenses 340.02 233.65 428.86 436.3 448.03
General and
Administration
Expenses 19.74 20.11 22.94 94.48 92.2
Selling and
Distribution
Expenses 0.59 0.98 0.92 1.23 1.04
Miscellaneous
Expenses 3.36 1.51 0.25 12.62 10.19

Expenses
Capitalized 0 0 0 0 0.02
Total
Expenditure 1,366.22 786.09 952.55 1,205.89 1,283.74
PBIDT (Excl
OI) -175.76 -211.75 -243.83 -288.56 -296.76
Other Income 484.5 87.2 39.11 79.63 33.51
Operating
Profit 308.74 -124.55 -204.73 -208.94 -263.25
Interest 157.15 157.25 122.31 84.8 85.25
PBDT 151.59 -281.8 -327.04 -293.74 -348.5
Depreciation 12.9 15.32 17.22 18.32 21.3
Profit Before
Taxation &
Exceptional
Items 138.69 -297.13 -344.26 -312.06 -369.8
Exceptional
Income /
Expenses 112.5 0 0 130 0
Profit Before
Tax 251.19 -297.13 -344.26 -182.06 -369.8
Provision for
Tax 0 0 0 0 0
PAT 251.19 -297.13 -344.26 -182.06 -369.8
Extraordinary
Items 0 0 0 0 0
Adj to Profit
After Tax 0 0 0 0 0
Profit Balance
B/F -5,166.34 -4,869.21 -4,527.05 -4,344.99 -3,975.19

Appropriations -4,915.15 -5,166.34 -4,871.31 -4,527.05 -4,344.99

Equity
Dividend (%) 0 0 0 0 0
Earnings Per
Share (in ₹) 8.72 -10.32 -11.95 -6.32 -12.84
Book Value (in
₹) -64.9 -74.3 -64.43 -52.7 -44.89

Balance Sheet:
Particulars MAR'16 MAR'15 MAR'14 MAR'13 MAR'1
2
(₹ Cr.) (₹ Cr.) (₹ Cr.) (₹ Cr.) (₹ Cr.)

EQUITY ANDLIABILITIES
Share Capital 588 588 588 588 588

Share Warrants &Outstanding

1,413.2
Shareholder's Funds 977.19 712.55 818.79 1,172.41 1

Long-Term Borrowings 0 0 0 0 0

Secured Loans 0 0 0 0 0

Unsecured Loans 300 300 0 0 0

Deferred Tax Assets /
Liabilities 0 0 0 0 0
Other Long term liabilities 12.13 6.3 5.01 5.14 284.22
1,051.2
Long Term Trade Payables 230.22 418.32 255.96 606.57 1

Long Term Provisions 83.91 88.74 104.38 126.53 126.69

1,462.1
Total Non-Current Liabilities 626.26 813.37 365.35 738.24 2
1,877.5
Trade Payables 1,875.11 1,864.70 2,034.43 2,024.29 7

Current Liabilities
 1,707.9
Other Current Liabilities 1,275.43 676.67 660.23 2,138.13 4

Short Term Borrowings 838.91 920.83 875.93 605.82 483

Short Term Provisions 241.9 352.53 332.86 328.73 288.94

4,357.4
Total Current Liabilities 4,231.36 3,814.72 3,903.44 5,096.96 5

7,232.7
Total Liabilities 5,834.81 5,340.64 5,087.58 7,007.62 8

Non-Current Assets 0 0 0 0 0

ASSETS
3,691.3
Gross Block 3,737.89 3,690.23 3,696.42 3,695.37 8
Less: Accumulated 1,174.6
Depreciation 1,279.45 1,266.80 1,243.56 1,209.73 4
Less: Impairment of Assets 0 0 0 0 0
2,516.7
Net Block 2,458.44 2,423.44 2,452.86 2,485.65 4

Lease Adjustment A/c 0 0 0 0 0

Capital Work in Progress 91.68 33.02 21.15 1.32 1.78

Intangible assets under
development 0 0 0 0 0
Pre-operative Expenses
pending 0 0 0 0 0

Assets in transit 0 0 0 0 0

Non Current Investments 0.41 0.41 0.41 0.41 0.41

1,270.5
Long Term Loans & Advances 1,051.11 380.42 210.07 681.65 7

Other Non Current Assets 0 0 0 0 0

 3,789.5
Total Non-Current Assets 3,601.63 2,837.29 2,684.48 3,169.03 0

Total Reserves 197.19 -67.4 230.79 584.41 825.21

Current Assets Loans &
Advances

Currents Investments 0 0 0 0 0
Inventories 103.83 93.34 96.21 104.91 112.62

Cash and Bank 121.19 271.22 32.34 16.87 21.26

Other Current Assets 146.85 161.88 144.92 135.55 141.3

Short Term Loans and
Advances 147.72 136.1 186.12 193.67 170.26
3,443.2
Total Current Assets 2,233.18 2,503.35 2,403.10 3,838.59 7
Net Current Assets (Including -
Current Investments) -1,998.18 -1,311.37 -1,500.34 1,258.37 -914.17
Total Current Assets Excluding 3,443.2
Current Investments 2,233.18 2,503.35 2,403.10 3,838.59 7
Miscellaneous Expenses not
written off 0 0 0 0 0
7,232.7
Total Assets 5,834.81 5,340.64 5,087.58 7,007.62 8

Contingent Liabilities 531.1 594.85 346.4 557.34 513.26

Total Debt 1,138.91 1,220.83 875.93 608.1 485.28

Book Value (in ₹) -64.9 0 -64.43 -52.7 -44.89

Adjusted Book Value (in ₹) -64.9 0 -64.43 -52.7 -44.89