Financial Statement Analysis of Textile Mill
A Case Study on Tallu Textile Mill Limited
Teacher Name : Mr. MM Mostafa Jamal Chowdhury
Department Name: Accounting Department
University Name: Govt.Titumir College
Student Name: Meraj Ahmed Kawshur
Roll Number: 9594531
Registration Number: 1636032
Department Name: Accounting
University Name: Govt. Titumir College
Date of Submission: April 30, 2013
LETTER OF TRANSMITTAL
First of all I would like to thank Almighty whose gracefulness let me complete this term paper. Besides, a comprehensive work like this must owe credit to a multiple of people. Certainly, I should thank those kind ones whose help & kind support enable me to complete this report. Especially I am indebted to our Course teacher Mr. MM Mostofa Jamal Chowdhury who helped me both forming & editing this work. During this task, my classmates also shared their knowledge and experience with me, which helped greatly to recover different obstacles during this study.
TABLE OF CONTENTS
Sl No.| Contents| Page No.|
1.| Chapter 1 - Introduction| 8-10|
2.| Chapter 2 – Financial Statement Analysis – Definition & Methods| 09-31| 3.| Chapter 3 – Tallu Spinning Mill Limited – About, Vision & Mission, Product & Services| 24-26| 4.| Chapter 4 - Financial Statement Analysis of Textile mill– A Case Study on Tallu Spinning Mill Limited| 27-32| 5.| Chapter 5 - Findings & Recommendations| 33-34|
6.| Chapter 6 - Conclusion| 35-36|
7.| Chapter 7 - Bibliography & Appendix| 37-39|
Origin of the Report
This report has been made as a part of my course BBS Accounting (Course -202), Meraj Ahmed Kawshur has assigned me this report in order to gain some practical knowledge about how a Textile Mill maintains financial statement analysis techniques for it’s balance sheet. The perspective of such a report is to make me familiar with the key factors of Financial Statement analysis that affect the users in decision making. For this purpose I have chosen the annual report of Tallu Spinning Mills Limited, and try to analyze and understand the components according to our best effort.
Objective of the Report
The objective of the study is to apply the theoretical knowledge in the practice field. Therefore the objective behind conducting this study is as follows:
* The main objective of this report is to find out the Textile mill’s financial statement analysis procedure to maintain it’s balance sheet
* To find out about the ratio and it’s components theoretically
* To conclude some findings and some possible recommendations for Taxtile mills so that it can maintain assets & liabilities more appropriate way.
Methodology of the Report
Sources are mentioned below -
* Soft Copy of Annual Report – 2010-2011 of Tallu Spinning Mills Limited
* Tallu Spinning Mills Limited from BGMEA.
* Different websites
* Records from BGMEA Library
* Interview with different Textile mills executive.
Limitations of the Report
The limitations of the study are defined by the extensive of the facts covered by the study and those that left out. However, these limitations can be presented in the following lines:
* The first limitation is the lack of intellectual thought and analytical ability to make it the most perfect one.
* I have to offset with the quality due to time constraint.
* The analysis is based on complicated data, so it has become difficult to draw a complete figure.
* As I have to conclude the report by giving an recommendation whether to use a specific depreciation method or not, that required an intellectual and experienced opinion, may not be defensive up to some extent.
* While attempting to analyze the performance many data were missing, I found it...