A STUDY ON RATIO ANALYSIS
WITH REFERENCE TO
GENTING LANCO POWER INDIA PRIVATE LIMITED.
This is to certify that Mr. J . RAMAKRISHNA YADAV of INTEGRAL INSTITUTE OF ADVANCED MANAGEMENT has successfully completed the project work titled “RATIO ANALYSIS” in partial fulfillment of requirement for the award of POST GRADUATION DIPLOMA IN BUSINESS MANAGEMENT prescribed by the INTEGRAL INSTITUTE OF ADVANCED MANAGEMENT..
This project is the record of authentic work carried out during the academic year (2006 – 2008).
I Mr. J. RAMAKRISHNA YADAV hereby declare that this project is the record of authentic work carried out by me during the academic year 2006 – 2008 and has not been submitted to any other University or Institute towards the award of any degree.
Signature of the student
(J. Ramakrishna yadav )
I am very much obliged and indebted to Mr. LIM KIM BAK, General Manager of Genting Lanco Power (India) Private Limited for his approval and valuable suggestions to take up the project.
I also extend my gratitude to Mr. B. V. Jayaram, Manager Finance, Commercial and Administration for his approval and valuable suggestions to take up the project in Genting Lanco Power (India) Private Limited.
I express my deep sense of gratitude to Mr.Ravi Seshagiri Rao Accounts Officer Finance, Commercial and Administration for his valuable suggestions, consistent help and personal interest during my project work.
I am also thankful to Mr. B. Vimal kumar, Accountant Trainee for his support and suggestions during the project.
I am very pleased to express my deep sense of gratitude to Mr. R. RAMACHANDRA NAIK Associate professor for his consistent encouragement. I shall forever cherish my association with her for exuberant encouragement, perennial approachability, absolute freedom of thought and action I have enjoyed during the course of the project.
Chapter – 1
Financial Management is the specific area of finance dealing with the financial decision corporations make, and the tools and analysis used to make the decisions. The discipline as a whole may be divided between long-term and short-term decisions and techniques. Both share the same goal of enhancing firm value by ensuring that return on capital exceeds cost of capital, without taking excessive financial risks.
Capital investment decisions comprise the long-term choices about which projects receive investment, whether to finance that investment with equity or debt, and when or whether to pay dividends to shareholders. Short-term corporate finance decisions are called working capital management and deal with balance of current assets and current liabilities by managing cash, inventories, and short-term borrowings and lending (e.g., the credit terms extended to customers).
Corporate finance is closely related to managerial finance, which is slightly broader in scope, describing the financial techniques available to all forms of business enterprise, corporate or not.
Role of Financial Managers:
The role of a financial manager can be discussed under the following heads:
1. Nature of work
2. Working conditions
4. Training, Other qualifications and Advancement
5. Job outlook
7. Related occupations
Let us discuss each of these in a detailed manner.
1. Nature of work...