DEPARTMENT OF MANAGEMENT
Report on Capstone Project
“Relationship between determinants of working capital and profitability in Cement sector” Submitted to Lovely Professional University
In partial fulfillment of the Requirements for the award of Degree of Master of Business Administration
Submitted by: Mohammad Hasan, Nishant Kumar, Pawan Singh, Ravi Kant
In the guidance of:Ms. Ruchi Kakkar Assistant Professor Lpu.
DEPARTMENT OF MANAGEMENT LOVELY PROFESSIONAL UNIVERSITY JALANDHAR, NEW DELHI, G.T ROAD PHAGWARA PUNJAB 1
TO WHOMSOEVER IT MAY CONCERN
This is to certify that the project report titled “Relationship between determinants of working capital and profitability in Cement sector” carried out by Nishant Kumar, Mohammad Hasan, Pawan Singh, Ravi Kant have been accomplished under my guidance & supervision as a duly registered MBA(Finance) student of the Department of Management, Lovely Professional University, Phagwara. This project is being submitted by him in the partial fulfillment of the requirements for the award of the MBA(finance) from Lovely Professional University. His dissertation represents his original work and is worthy of consideration for the award of the degree of MBA(Finance).
Ms. Ruchi Kakkar ___________________ (Name & Signature of the Faculty Advisor)
Date: ____ November 26, 2012________
We, Mohammad Hasan, Nishant Kumar, Pawan Singh, Ravi Kant, hereby declare that the work presented herein is genuine work done originally by us and has not been published or submitted elsewhere for the requirement of a degree programme. Any literature, data or works done by others and cited within this dissertation has been given due acknowledgement and listed in the reference section.
Mohammad Hasan, ________________ Nishant Kumar, Pawan Singh, Ravi Kant ________________ ________________ _______________
(Student's Name & Signature)
Date: ____ November 26, 2012________
First of all our sincere gratitude goes to Almighty God, for completion of our Capstone Project. We deem it a proud privilege to extend our greatest sense of gratitude to our guide and mentor Ms. Ruchi Kakkar, lovely professional university, Phagwara, whose valuable suggestions, inspiring guidance and constructive criticism throughout the pursuance of this Project.
We also would love to take this opportunity thank to my Lovely professional university for giving such a wonderful topic for the research and whose name not mentioned thanking them also here for Helping, Guiding us & giving such a good environment to work throughout the completion of the project. Last but not least it would be unfair if We didn’t extend or indebtedness to our parents and all our friends for their active interactive cooperation which were a great help and encouragement during the course of completing the project.
WCM : - Working Capital Management. CCC :- Cash conversion cycle. ICP :- Inventory conversion period.
DCP :- Debtor conversion period. CDP :- Creditor deferral(conversion) period. GOC :- Gross operating cycle. RMCP: - Raw Material Conversion Period. RMI :- Raw material Inventory.
RMC :- Raw material consumption
TABLE OF CONTENTS
CHAPTERS CHAPTER 1 PARTICULARS 1.1 Introduction to Cement Industry 1.2 Major Cement companies 1.3 Introduction of Working Capital 1.4 Important aspects Of Working Capital CHAPTER 2 CHAPTER 3 2. Review of Literature 3.1 Need, Scope & Objective 3.2 Objective CHAPTER 4 4.1 Research Methodology 4.2 Data Sample 4.3 Variables 4.4 Research Instruments CHAPTER 5 5.1 Data Calculation 5.2 Correlation 5.3 Regression CHAPTER 6 6.1 Analysis of the Report 6.2 Limitations CHAPTER 7 References PAGE NO. 07-10 11-14 15-16 16-17 18-23 24-24 24-24 25-25 25-25 25-25 26-26 27-36 37-41 42-46 47-48 48-48 49-50
1.1 Cement Industry
The cement industry is one of the main...