an organisational
TRANSCRIPT
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AN ORGANISATIONAL
STUDY AND A STUDY ON FINANCIAL
PERFORMANCE
TOWARDS PRIMARY AGRICULTURAL
CO-OPERATIVE CREDIT SOCIETY IN
GANAPATHYPALAYAM
MAIN PROJECT REPORT
Submitted by
L UMA MAHESWARI
(Reg. No. 73!"3!#$%&
In partial fulllment for the award of the degree
Of
MASTER OF BUSINESS ADMINISTRATION
IN
DEPARTMENT OF MANAGEMENT STUDIES
NANDHA ENGINEERING COLLEGE
ERODE – 638 052
AUGUST- 2013
BONAFIDE CERTIFICATE
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NANDHA ENGINEERING COLLEGE
ERODE-638 052
DEPARTMENT OF MANAGEMENT STUDIES
PROECT WOR!
ULY-2013
This is to certify that the project report entitled
"AN ORGANISATIONAL STUDY ON FINANCIAL PERFORMANCE
TOWARDS PRIMARYAGRICULTURAL CO-OPERATIVE CREDIT SOCIETY IN
!ANA!!AMPALAYAM#
is the bonafide record of project work done by
L$ UMA MAHESWARI
R%&$ N'$(322126310)5
of master of business administration during the year 2013
Project Guide Head of the department
i!a"!oce #$amination held on%
&'T#(')* #+),&'#( #+T#(')* #+),&'#(
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Declaration
DECLARATION
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& affirm that the project work titled "AN ORGANISATIONAL STUDY AND A STUDY
ON FINANCIAL PERFORMANCE TOWARDS PRIMARYAGRICULTURAL
COOPERATIVE CREDIT SOCIETY IN !ANA!!AMPALAYAM# being submitted in
partial fulfilled for the award of *+,%. '/ +*,.+' is the original work carried out by
me- &t has not formed the part of any other project work submitted for award of any degree.
diploma . either in this or any other uni!ersity-
S&+.% '/ 4% ,%
L$ UMA MAHESWARI
R%&$ N'$ (322126310)5
I certify that the declaration made above by the candidate is true.
SI'NATURE O THE 'UI)E.
M*.J. MA'ESWARAN+M,A
A,,,+ 7.'/%,,'.
N-d/- Egiee*ig Co00ege+ E*ode
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Acknowledgement
AC!NOWLEDGEMENT
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& e$press my gratitude to M.$V$SHANMUGAN C4+.*+ SRI NANDHA
EDUCATIONAL TRUST/ for pro!iding an amaing en!ironment for me to complete
this project successfully-
)t the outset/ no words are adeuate to e$press my sincere and special thanks to our Principal D.$ S$ARUMUGAM for granting this opportunity to ha!e a wide spread !iew and
e$perience in the form of project work-
ords are inadeuate in offering my thanks to M.$ N$DEVARA$BE$ MBA P4D
H%+ '/ D%7+.*% D%7+.*% '/ M++&%*% S%, for his constant encouragement
throughout the tenure of the project- & am indebted to my Guide/ M.$$MAGESWARAN MBA
P4$D A,,,+ P.'/%,,'. for her !aluable guidance pro!ided during the course of this project-
& am grateful ' M.$P$M+ P$G$M+4+9&+* ' M++&%. CHERANINDUSTRIES M.$!+*+9 M++&%*% R%7.%,%+:% CHERAN
INDUSTRIES COIMBATORE for his able guidance and useful suggestions/ which helped me
in completing the project work/ in time- & take this opportunity to thank ompany #mployees for
their encouragement and assistance and their !aluable inputs-
& thank my faculty members/ relati!es and friends for their assurance and
encouragement- & am deeply indebted to my lo!ing parents for their endurance and perse!erance during the course of my study-
L$UMA MAHESWARI
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contents
CONTENTS
CHAPTER NO$ PARTICULAR PAGE NO$
LIST OF TABLES
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LIST OT CHARTS
CHAPTER I 1$INTRODUCTION 1
1-1 )456T TH# 7T689 1)
1-2 )456T TH# &'867T(9 2)
1-3 )456T TH# 5,P)'9 31
CHAPTER II 2$ MAIN THEME OF THE PROECT
2-1 54:#T 5; TH# 7T689 31
2-2 75P# 5; TH# 7T689 32
*&,&T)T&5'7 5; TH# 7T689 32
2-3 (#7#)(H ,#TH585*5G9 33
CHAPTER III ANALUSIS AND INTERPRETATION )1
CHAPTER IV FINDING AND CONCUSION
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List of tables
LIST OF TABLES
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S$NO PARTICULARS PAGE$ NO
3-1 The table showing the current ratio
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List of CHARTS
LIST OF THE CHARTS
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S$NO PARTICULARS PAGE$ NO
3-1 The chart showing the current ratio
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Abstract
ABSTRACT
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1$1 ABOUT THE STUDY
1$1$1$ FINANCE
&n the modern money oriented economy/ finance is one of the basic foundations of all
kinds of economic acti!ities- &t is the master key which pro!ides access to all the sources being
employed in manufacturing and merchandising acti!ities- &t has rightly been said that business
needs moneys to make more money-
;inance is specialied function and it draws haily on other related functions- ;inance has
undergone a significant change and is concerned with the flow of funds and decision relating to
business operations affecting the !aluation of the firm-
;inance function con!ers decision relating to in!estment/ financing and organiation/
which ha!e to do with management of the flow of cash so that the organiation will ha!e to carry
out its objecti!es as satisfactorily as possible and at the same time meet its obligation as they
become due-
;inance may be defined as that administrati!e area or set of administrati!e function in an
organiation which related with the arrangement of cash and credit so that the organiation may
ha!e that means to carry out its objecti!e as satisfactorily as possible-
FINANCIAL MANAGEMENT
;inancial management is broadly concerned with the acuisition and use of fund by a business
firm- ;inancial management emerged as a distinct field of study at the turn of this country- &ts
e!aluation may be di!ided into three broad phases-
1- The traditional phases
2- The transitional phases
3- The modern phases
1$1$3$ !EY ACTIVITIES OF FINANCIAL MANAGEMENT
There are three broad acti!ities of financial performance
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1$ F+, /+
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P.'/ + 9',, +
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A$ GROSS WOR!ING CAPITAL?
Gross working capital represents the amount of fund in!ented in current assets- urrent assets
are those assets/ which in the ordinary course of business can be con!erted in to cash within a
short period- #!ery management is more interested in the current assets with which it has to
operate than the source from which it made a!ailable- The gross working capital is the capital
in!ested in total current assets the gross concepts take in to consideration the fact that e!ery
increase in the funds of the enterprise would increase its working capital-
B$ NET WOR!ING CAPITAL?
'et working capital is the e$cess of current assets o!er current liability- 'ew
working capital may be positi!e or negati!e-hen the current assets e$ceed current liabilities-
The working capital is positi!e and negati!e working capital results when the current
liabilities are more than the current assets current liabilities are those liabilities/ which areintended to be paid in the ordinary course of business with in a short period
C$ PERMANENT OR FI@ED WOR!ING CAPITAL?
Permanent or fi$ed working capital is the minimum amount which is reuired to ensure
effecti!e utiliation of fi$ed facilities and for maintaining the circulation of current assets-
There is always a minimum le!el of current assets which is continuously reuired by the
enterprise to carry out its normal business operation- ;or e$ample e!ery firm has to maintain a
minimum le!el or raw material/ work in progress finished goods/ and cash balance- The permanent working capital can further be classified as regular working capital and reser!e
working capital- (egular working capital is the minimum amount working capital reuired to
ensure circulation of current assets- (eser!e working capital is e$cess amount o!er the
reuirement for regular working capital-
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D$ TEMPORARY WOR!ING CAPITAL?
Temporary working capital is the amount of working capital/ which is reuired to meet the
seasonal demand and some special e$igencies- &t is further classified as seasonal working
capital and special working capital- )dditional working capital is needed seasonal C special
needs- Temporary working capital differs from permanent working capital in the sense that it
is reuired for short period- Permanent working capital is stable or fi$ed o!er time while the
temporary or !ariable working capital fluctuates- Permanent working capital is also increasing
with the passage of time due to e$pansion of business but e!en then it does not fluctuate as
!ariable working capital/ which sometimes increases and sometimes decreases-
I$ IMPORTANCE OF WOR!ING CAPITAL
orking capital is the lifeblood and ner!e center of a business- :ust as circulation of blood in the
human body for maintaining life/ working capital is !ery essential is to maintain smooth running
of the business- 'o business can run successfully without an adeuate amount of working
capital- The main ad!antages of maintaining adeuate working capital are-
• S'9:%
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(atio analysis is the techniue of analysis and INTERPRETATION of financial
statements- &t is the process of established and interpreting !arious for helping making certain
decisions- Howe!er it is not an end in itself- &t is only a means of better understanding of
financial strengths and weakness of the firm- alculation of more ratio does not ser!e any
purpose/ unless se!eral appropriate ratio are analyed and interpreted-
GUIDELINES OR PRECAUTIONS TO RATONS
The calculation of ratio may not be difficult but their use is not easy- The information on
which these are based/ the constrains of financial statement/ objecti!es of using them/ the caliber
of analyst/ etcD- &t is important factors which influence the use of ratios- ;ollowed guidelines or
factors may be kept/ in mind while interpreting !arious ratios-
A
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widely of the firm/ it is calculated by di!iding the total of current assets by total of the current
liabilities-
urrent assets
urrent ratioF urrent liabilities
The two basic components of this ratio are% current assets andcurrent liabilities- urrent assets
include cash and those assets which can be easily con!erted into cash with in a short period of
time generally/ one year/ such as marketable securities/ bills recei!able sundry debtors/
in!entories/ work in progress- Prepaid e$penses should also be included in current assets because
they represent payments made in ad!ance which will not ha!e to be paid in near future- current
liabilities are those obligations which are payable within a short period of generally one year andinclude outstanding e$penses/ bill payable/ sundry creditors/ accrued e$penses/ short"term
ad!ances/ income ta$ payable/ etcD-
LIUID RATIO
The ratio between uick asset and current liabilities is called liuid assets-
*iuid assets
*iuid ratioF
urrent liabilities
&t refer to the assets which can be con!erted into cash !ery uickly- They are also called liuid
assets- Here liuidity means the ability of the assets to be uickly con!erted into cash- Therefore/
it is assumed that if stock"in"trade is e$cluded from current assets/ we may ha!e a measure of
uick or liuid assets-
ABSOLUTE LIUID RATIO
)lthough recei!able/ debtors and bill recei!able are general more than in!entories/ yet there
may be doubts regarding their realiation into cash immediately or in time- Hence some
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credit/ impro!ed technologies and institutional access to markets and de!elopment programs ha!e played
an instrumental role in meeting these objecti!es of self"sufficiency- He discusses the de!elopment and
e!olution of co"operati!e societies in &ndia since 1@0< when the first co"operati!e law was enacted/ and
the role played by primary agricultural credit societies P)7E in the o!erall agricultural de!elopment of
the country- He then discusses the relationship between the primary agricultural credit societies/ the
8istrict central co"operati!e bank/ the state co"operati!e banks and the 'ational 4ank of )griculture and
(ural 8e!elopment ')4)(8E- He argues that in spite of the leading role that has been played by the
')4)(8 in meeting the agricultural credit needs/ the future of agricultural credit societies lea!es a
uestion mark especially because the relationship between the primary societies and their federal
structures has not e!ol!ed organically and the dependence of primaries on ')4)(8 credit is getting
more pronounced- ,oreo!er/ primaries are not focusing on their basic task of mobiliing and distributing
resources locally/ and there is a distict more away from member centralityA- hile in the short term/ there
is no effect on the agricultural co"operati!e scenario/ in the long run this dependence on ')4)(8 mayha!e a rather negati!e effect on the primaries-
The paper is di!ided into following sections%
1- )griculture in &ndia
2- 5rganiation of o"operati!e 7ocieties in &ndia
3- &nstitutional redit for )griculture in &ndia
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FLOW OF INSTITUTIONAL CREDIT FOR AGRICULTURAL
DEVELOPMENT
The general policy on agricultural credit has been one of progressi!e institutionaliation aimed at
pro!iding timely and adeuate credit to farmers for increasing agricultural production and producti!ity-
Pro!iding better access to institutional credit for the small and marginal famers and other weaker sections
to enable them to adopt modern technology and impro!ed agricultural practices has been a major concern
of the policy- &n pre"independent &ndia the majority of the population was impo!erished and li!ed in sub"
human conditions-
The land impro!ement loans )ct of 1>>3 was the first consolidated law intended to pro!ide
ad!ancement of agriculture- The co"operati!e *and ,ortgage 4anks were created for pro!iding long"term
loans to agriculturists for redemption of debts- This was followed by the enactment of o"operati!e redit
7ocieties )ct of 1@0< to meet the short"term credit needs of the farmers- &n fact/ the major thrust in the
area of agricultural credit during this period was more the pre!ention of e$ploitation of the peasants by
moneylenders/ rather than the promotion of capital formation in agriculture- The fact that agricultural
sector would reuire an organied flow of funds to break the IinertiaA came to focus the only when the )ll
&ndia (ural redit 7ur!ey ommittee )(7E% 1@=< came to the conclusion that the e$isting structure
of primary credit societies was not sufficient to meet the credit reuirements of the &ndian peasants J
especially those of a small and marginal farmers- &t was in this conte$t that the (eser!e 4ank of &ndia
(4&E and Go!ernment of &ndia Go&E thought of the Istate partnership with co"opsA/ and there was a
massi!e infusion of funds to the sector- 'ot only was funding pro!ided/ managerial assistance and
restructuring of P)s was initiated to make the system !iable- The primariesA therefore became
instruments of go!ernment policy " they started performing an important de!elopment task J but in the
process the loss of autonomyA also started- Howe!er/ this should not negate the !ery positi!e role that the
P)s performed-
The Primary )gricultural redit 7ocieties P)7E constitute the Ihub’ of the &ndian co"op mo!ement-
#!ery fourth co"operati!e in &ndia is a primary credit society- The main objecti!es of a P)7 are%
• To raise capital for the purpose of gi!ing loans and supporting the essential acti!ities of the
members-
• To collect deposits from members with the objecti!e of impro!ing their sa!ings habit-
• To supply agricultural inputs and ser!ices to members at remunerati!e prices-
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• To arrange for supply and de!elopment of impro!ed breeds of li!estock for the members-
• To make all necessary arrangements for impro!ing irrigation on land owned by members-
• To encourage !arious income"augmenting acti!ities such as horticulture/ animal husbandry/
poultry/ bee"keeping/ pisciculture and cottage industries among the members through supply of
necessary inputs and ser!ices-
H*+ R%,'.
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1@@1"@= 13
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e$emption from ta$ation and rule making power- )ll other operational and managerial issues
were left to the local go!ernments namely to formulate suitable rules and model bye"laws of the
cooperati!e societies- The institution of the (egistrar/ !isualied as a special official mechanism
to be manned by officers with special training and appropriate attitudinal traits to prompt and
catalye cooperati!e de!elopment was the result of the ooperati!e 7ocieties )ct of 1@0
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The 7econd orld ar boosted the prices of agricultural commodities leading to increased
returns to farmers and conseuently reduction in o!er"dues to the cooperati!es- To counter short"
ages of essential commodities for domestic consumption as well as raw materials/ the
Go!ernment resorted to procurement of commodities from producers and rationing/ for which it
decided to utilie the cooperati!es- This pro!ided a momentum to the growth of multi"purpose
cooperati!es- The period between1@3@"1@
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bE #ach person should purchase or acuire at least one share of the society in order to become a
member- The indi!idual should not ha!e been pre!iously e$pelled from any society due to abuse
of funds-
cE The indi!idual should not ha!e pre!iously been charged/ or currently be ser!ing a criminal or
legal sentence- &f a member of the society is charged with a criminal or legal offence/ the
member shall be remo!ed from the society-
dE Proposed members of ooperati!e 7ocieties should be of sane mind-
THE ACCOUNT AND BUDGET OF THE SOCIETY
The accounts of the co"operati!e society should be auditing and maintained by an auditor
appro!ed by the registar-
The annual accounts of each year should be documented/ and the accounts and audit reports
should be presented in the annual general meeting of the society-
The annual accounts should be published each year after appro!al from the audit officer- &tshould also the posted at the headuarter of the co"operati!e society so that the members can see
it without administering any see-
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1$3 ABOUT THE SOCIRTY
ORGANISATION PROFILE
G)')P)TH9P)*)9), P(&,)(9 )G(&6*T6()* 5"5P#()T&# 75T9 was
established in the year 1@K= with 2= members- 'ow it holds 222@ members- &t was controlled by
the state go!ernment- &n this society =people are worked and it pro!ides loan facilities to the
public-
&t pro!ides bike loans at KO interest rate from the society- They need not to pay
interest within one year payment- )fter one year only they must pay the interest- &t gi!es jewelry
loan to the people at 1
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?- (ecurring depositK- Term loans>- Trading account@- ,embership accounting-
!EY FEATURES
1- Graphical user interface2- ,odular approach3- Parameteried set up- 7tock statement@- Trial balance10- Trade account11- Profit and loss account12- 4alance sheet13- 7tatement of account1- &n!entory control1@- Purchase register 20- *oan against deposit
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FUNCTIONS
It pro!ides credit to the farmers/ distribute inputs like fertiliers and also run outlets under
Public 8istribution 7ystem- These banks pro!ide short term and medium term credit for agriculture
and allied acti!ities- The short term loans are repayable within a period of 12 to 1= months and the
medium term loans are repayable within 3 to = years- The loan amount e$ceeding this limit is secured
with mortgage of property or pledge of jewels-
Primary )gricultural ooperati!e redit 7ocieties also issue loans for other agricultural purposes
like purchase of farm machineries and for non"agricultural purposes including loans for the purchase
of consumer durables/ housing loans/ education loans and professional loans- To pro!ide marketing
facilities for the sale of agricultural produce-To associate itself with economic and social welfare
programs of the !illage-
onsidering the importance of increasing credit flow into the agriculture sector/ Go!ernment
has reduced the interest rate for the crop loans from @O to KO per annum from 200?"0K/ the interest
differential being compensated by the Go!ernment-
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ORGANISATIONAL HIERARCHY
,OAR) O )IRECTORS
&'( member elected as per the provisionsof the act)rules and law*
CHIE 'ENERAL MANA'ER (3&
MANAN'IN' )IRECTORS
PRESI)ENT
&Elected from among the board of directors*
'ENERAL MANA'ER(7&
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OBECTIVES OF SOCIETY
)EPUT1 'ENERAL MANA'ER
&"unctions as department heads*
,RANCHMANA'ERS (!$&
OTHER SUPPORTIN'OICERS AN) STAS
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1$ To cater to the credit reuirement of farmer"members of the primary agriculture co"operati!e
societies-
2$ To pro!ide impro!ed customer ser!ice through up gradation of technology and adoption of best
practice-
3$ To direct effort towards achie!ing the state go!ernment gi!en targets under !arious crop
production programs and implementation of policies on the co"operati!e sectors-
)$ Term loans for acuisition .creditor de!elopment of assets in agriculture and non"agriculture
sector-
5$ #mployment generation through bank finance in rural and urban areas-
6$ Pro!ider of banking ser!ice in rural and urban areas-
($ They moti!ate self"help group also to starting new business-
8$ To moti!ate the entrepreneur by gi!ing loan-
;$ The peoples are easily getting loan from society-
Chapter-II
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+$ )nalysis is the based on the annual reports of the society-$ #$ternal factors that affect the financial performance of the society ha!e not been
gi!en much importance
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W'.&
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Thus financial analysis is the use of financial statements to analyst companyAs financial
position and performance/ and to assess future financial performance- &n short financial analysis
is the process of e$amining the composition of financial statements for getting !aluable
information about the business- &t is a techniue of $"raying the financial position as well as
progress of a firm-
;inancial analysis includes analysis and interpretation of financial statements- The word analysis
literally means to break into partsA- &n the conte$t of financial statements/ analysis is the process
of breaking down a comple$ set of figure into simple statements in order to ha!e a better
understanding- &t is a critical e$amination of financial transactions effected during a definite
period-
A0As/ they found that the predicti!e accuracy of )ltmanAs
model declined when applied against the 1@>0As data- The findings e$plained the importance of
incorporating the time factors in the traditional failure prediction models-
A
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creditors/ the presence of free assets/ and the number of under"secured secured creditors- The
prediction model corrently classified K>-=O of the sampled firms- This model is used as a
decision aid when forming an e$port opinion regarding a debtorAs likelihood of rehabilitation- 'o
study has incorporated the financial performance analysis of the central public sector enterprises
in &ndian drug Cpharmaceutical industry- 'or has any pre!ious research e$amined the sol!ency
position/ liuidity position/ operating efficiency and the prediction of financial health and
!iability of public sector drug C pharmaceutical enterprises in &ndia-
A
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Data anal#sis and interpretation
CHAPTER III
ANALYSIS AND INTERPRETAYIONS
RATIO ANALYSIS
3$1 CURRENT RATIO
urrent ratio may be defind as the relationship between current asset and current liabilities-
The acceptable norms orE rules or thump is 2%1- This ratio is also known as working capital ratio and it is
calculated by di!ided the total of the current assets by total of the current liabilities-
6((#'T ()T&5F 6((#'T )77#T
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+E,! '-(- '-(( '-(' '-(
-
'
/
0
1
(-
('
(/
(0
(1
'-
3$2UIC! RATIO
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The ratio between uick asset and uick liabilities is called liuid ratio- Suick ratio is also
known as acid ratio it isa more rigorous test of that the current ratio uick ratio may also be
defined as relation between uick liuidity assets and current liuid liabilities-
Suick ratio refers to the assets which can be con!erted into cash !ery uickly- They are
also called liuid assets-
*&S6&8 ()T&5 F *&S6&8 )77#T7
6((#'T *&)4&*&T
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TABLE SHOWING THE UIC! RATIO FOR THE FOLLOWING YEARS
YEARS
UIC! ASSET
IN R,$
CURRENT
LIABILITIES
IN R,$
RATIO
2010 200(;131$56 3;35235 5$1
2011 1;)082)5$8; 2(8)663 ".2
2012 2(552(3($( )585665 6$0
2013 52222($81 3))3))6 1$8
INTERPRETATION?
6sually a high acid test ratio is an indication that the firm is liuid and has the ability to meet its
current or liuid liabilities in time and on the other hand a low uick ratio represents that the
firmAs liuidity position is not good-
;rom the abo!e table it was analyed that uick ratio was increased from =-1 to ?-@ and
decreased to 1->- it was due to improper maintenance of uick assets- The uick ratio was below
the rule thumb of 1%1 i-e uick asset were less than current liabilities-
CHART SHOWING THE UIC! RATIOFOR THE FOLLOWING YEARS
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+E,! '-(- '-(( '-(' '-(
-
'
/
0
1
(-
('
3$2 ABSOLUTE LIUIDITY RATIO
*iuid ratio is the modified !ersion of current ratio and absolute liuid ratio is the modified
!ersion of liuid ratio- Here current assets are bereft of stock"in"trade/ accounts recei!able/ and
current liabilities are bereft of bank o!erdraft- The ratio can be written in following way%
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)7H 4)'B ,)(B#T)4*# 7#6(&T
)475*6T# *&S6&8&T9 ()T&5 F
6((#'T *&)4&*&T J 4)'B 5#(8();T
TABLE SHOWING THE ABSOLUTE LIUIDITY RATIOFOR THE FOLLOWING
YEARS
YEARS
CASH AND BAN!
IN R,$
CURRENT
LIABILITIES
IN R,$
RATIO
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+E,! '-(- '-(( '-(' '-(
-
'
/
0
1
(-
('
3$) WOR!ING CAPITAL RATIO
orking capital of a concern is directly related to sales- The current assets like debtors/ bill
recei!able/ cash/ and stock/etcD-- hange with the increase or decrease in sale- The working
capital is taken as%
W'.&
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YEARS
CURRENT ASSET
IN R,$
CURRENT
LIABILITIES
IN R,$
RATIO
2010 205(1((2$3; 3;35235 1663653($3;
2011 20;55355 2;28;8($1) !#"3"7."
2012 32;2(;); )6;8150$3 2822;(;8$(
2013 3))32;;1$; )1653))$1( 3026(6)($(3
INTERPRETATION?
;rom the abo!e table it was analyed that net working capital ratio had increase from 2010
to 2013- &t was due to changes in working capital-
TABLE SHOWING THE WOR!ING CAPITAL RATIOFOR THE FOLLOWING
YEARS
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+E,! '-(- '-(( '-(' '-(
-
2------
(-------
(2------
'-------
'2------
-------
2------
3$5 FI@ED ASSET RATIO
The ratio establishes the relationship between fi$ed assets and long term funds- The objecti!e of
calculating this ratio is to ascertain the proportion of long term funds in!ested in fi$ed assets-
F% +,,%
F% +,,% .+'
L'& %.* /,
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P-*ti6u0-* 3!5#35#!!
8e*6et-ge
3!5#35#!
Pe*6et-ge
Cu**et -et#ash on hand '3'(./ #.!$ ('51-.'2 #.37
#ash at ban4 '/3305.50 !.# (-51231./0 3.!$
6oan7 advances (133(10/ .# 2??01?=1-K 7$.2
ccrued items 3-5-53.0' 3.!7 9
!toc4 /5'0/-.1 .!# 0(3(.' !.#
8ebtors 055/0-.2 3.#% (/00(32.
$.!3
Tot-0 6u**et -et #2%3%%$.
$
2!." 32;2(;); 2.
i9ed -et
Investment (-/5(25.- $.% '/('/51. ".!
Immovable assets 2/2(52.' .32 (0'1('.12 #.%
"uture 9 5 9 5
Overdue interest //2'' !.% 9 5
Tot-0 -et 2$3#.2
!## 3%%#3"#.
!##
Cu**et 0i-bi0itie
$ayment items /0'2 #.!2 '2203(.2 #.7$rovision items '--13-0 .77 2>2
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COMMON SI4E ,ALANCE SHEETS OR THE 1EAR #!5
#!3
P-*ti6u0-* 3!5#35#!
8e*6et-ge
3!5#35#!3
Pe*6et-ge
Cu**et -et
#ash on hand ('51-.'2 -.3 (20--.'2 #.#$
#ash at ban4 (-51231./0 .(/ 52/(55.5 ."3
6oan7 advances 2??01?=1-K 3/.5' 2@>3210@ .!
ccrued items 9 (-05-(.0' .23
!toc4 0(3(.' (.-' (5/'.5/ #.%3
8ebtors (/00(32.
/.( '3'5/3.(' ".%3
Tot-0 6u**et -et 32;2(;); 2. 3))32;;1$8 2$.$
i9ed -et
Investment '/('/51. 0.1( 50'0(3. ."%
Immovable assets (0'1('.12 -.2 01/-33.1 !.
"uture 5 5 5 5
Overdue interest 5 5 '''2/1 #."
Tot-0 -et 3%%#3"#.
!## 3"3#3$.2
!##
Cu**et 0i-bi0itie
$ayment items '2203(.2 -.3' /((/0.5( !.!3
$rovision items 2>2
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Tot-0 0i-bi0itie 3%%#3"#.
!## 3"3#3$.2
!##
INTERPRETATION?
C'**' ,% +9+-2O to K
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Chapter I$
%indings& recommendation and conclusion
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CHAPTER IV
FINDINGS AND CONCLUSION
)$1$ FINDINGS
1- The current ratio was increased from =-2O to >-2O- the current ratio is more than the
rule of thumb 2%1-
2- The uick ratio was increased from =-1O to ?-@O and decreased to 1-> in the year 2013-
3- The working capital position is good into the society-
-3O to =-1?O and long term liabilities are increased in
>2-1>O-
=- The schedule of changes in working capital was good- &t was properly maintain in
current assets and current liabilities-
?- )s per common sie balance sheet are gradually increasing total assets and liabilities
e!er through decreasing in the year 2012"2013 compared to pre!ious years-
K- 5!er the period of four years from 2010"2013 the financial analysis of the society
showing on increasing trend- &n 2010 the financial analysis was 1>>@==-13 in 2013-
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CONCLUSION
5n studying the financial performance through ratio analysis/ working capital/commonsiebalance sheet of primary agricultural cooperati!e credit society ltd for a period of < years
from2010 to 2013- The study re!eals that the financial performance of the company is in good
le!el- &t could be concluded that the company has been performing well-
The study is e$pected to help understanding the o!erall financial performance of society-;inally the study helped me to acuire practical knowledge that was only o!er by books and
paper alone-
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Appendi'
PRIMARY AGRICULTURAL COOPERATIVE CREDIT SOCIETY
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BALANCE SHEET
P+.?
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(ibliograph#
BIBLIOGRAPHY
,oo:
(. "inancial management I.%.$andey Ninth Edition :i4ash
publishing house pvt.Itd.
'. "inancial management theory and practice prasanna #handra
si;th Edition Tata mc graw hill publishing company
. %anagement accounting priciples and practice
,.
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/. 8r.!.N .maheshwari "inancial management =.=.! Indraprasatha
university) newdelhi..
2. nnual reports in primary agricultural cooperative credit society.
Webite
www.di>notes.com
www.nancialeducation.com
www.google.com
http://www.diffnotes.com/http://www.financialeducation.com/http://www.google.com/http://www.financialeducation.com/http://www.google.com/http://www.diffnotes.com/