Mini Project Work

Assignment-Mini Project Work - Guidelines
Stream : Finance
Course & Semester : EPGDM
Subject assigned : Management Accounting & Analysis (MAA)
DSA Marks allocated : 40 marks
List of main and sub-topics for each member
1.Director’s Report
1. Financial results
2. Key developments
3. Capacity additions/CAPEX plans
4. Financial strategies
2.Management Discussion and Analysis
1. SWOT analysis
2. Risk factors affecting financial performance
3. Future plans/Goals
4. Financial Conditions
3.Financial Statement Analysis- Ratio Analysis---Important
1. Financial Analysis using various key ratios to be worked out for the three years period
(2018-19, 2019-20 & 2020-21) using excel.
2. Provide interpretations for the same.
4.Analysis and Interpretations of Cash Flow Statement--------Important
1. Analyze the Cash flows and provide Interpretations of Cash Flow Statements for the
three years period (2018-19, 2019-20 & 2020-21).
5.Information on shares of the Company--Optional
1. Historical performance of Share price (Using Excel-optional)

2. Shareholding Pattern of the company (for the period of 3 Years – till March 2021)
3. Pledging of shares by Promoters during the year
4. Split of Shares
5. Bonus shares distributed.
Instructions to the Candidates:
1. Each one will be assigned one listed company from any industry.
2. Each one can update the faculty about the work progress and discuss the doubts before
or after the sessions online and submit the Final Report – 26th October 2021
3. The reports shall be submitted to the faculty in soft copy form.
4. Each group shall select one group lead who will coordinate with the group members
while consolidating the report. The group lead should collect the work done by each
member and send the consolidated file (Final Report only) to the concerned faculty
through email in the form of word or excel or pdf. The group members will upload their
respective portion of work individually separately mentioning the names and topics
covered.
5. The distribution of 40 marks will be….. 5 marks each for each topic and 10 marks each
for ratios and cash flow – understanding, presentation, analysis and interpretation.
6. Evaluation will be done student wise as per the topic assigned.
Approach for question 3
List of key ratios and their formula
1) Quick Ratio or Acid test ratio gives an indicator of business liquidity. This indicates how short
term debts will be covered by its existing liquid assets or cash
Quick Ratio = (Current Asset – Inventory) / Current Liabilities
Quick Ratio > 1 the business is in a good financial position
2) Debt to equity ratio
Whether or not business is borrowing more than it can reasonably pay back using equity.
Simply gives degree to which the business operations are funded by debt
Debt to equity ratio = Total Liabilities / shareholders equity
If its >1 company holds more debt & <1 company holds less debt
3) Working Capital Ratio also known as current ratio

Like quick ratio it will also look how well the company can pay its existing debt. However it
considers all assets rather than simply liquid assets so no need to subtract
Working capital or current ratio = Current Asset / Current Liability
Higher the working capital easier for biz to pay off the debts using current asset
4) Price to earnings ratio: P/E : Top Indicator for earning potential
Price to earnings ratio = Share price / Earning per share
It measures amount the investor would pay for each dollar earned. Gives the idea whether the
stock is under or over valued
5) Earnings per share:
Another Quick ratio to use when assessing future earnings. If this value is negative company is
at loss over the year. Investors will look at EPS in combination with a number of other ratios like
P/E to determine growth potential
EPS = Net Income / Outstanding Shares
6) Return on equity ratio
Most important financial ratio for calculating profit. This result tell us overall profitability of the
company and referred as return on net worth
Return on equity ratio = (Earnings – Dividends) / Shareholder equity
7) Profit Margin
A fundamental financial ratio shows how efficiently a company managing it overall cost or how
it converts revenue into profits
Profit Margin = Profit / Revenue ; This needs to be calculated in percentage
Higher profit margins showcase efficient the company is converting sales to profits
Answers
Current Ratio (UPL) = Current Asset / Current Liabilities = 7257 / 6793 = 1.06

Mini Project Work

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Mini Project Work

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Assignment-Mini Project Work - Guidelines

Course & Semester : EPGDM

Subject assigned : Management Accounting & Analysis (MAA)

DSA Marks allocated : 40 marks

List of main and sub-topics for each member

2.Management Discussion and Analysis

3.Financial Statement Analysis- Ratio Analysis---Important

4.Analysis and Interpretations of Cash Flow Statement--------Important

5.Information on shares of the Company--Optional

1. Historical performance of Share price (Using Excel-optional)

3. The reports shall be submitted to the faculty in soft copy form.

6. Evaluation will be done student wise as per the topic assigned.

Approach for question 3

List of key ratios and their formula

Quick Ratio = (Current Asset – Inventory) / Current Liabilities

Quick Ratio > 1 the business is in a good financial position

2) Debt to equity ratio

Debt to equity ratio = Total Liabilities / shareholders equity

3) Working Capital Ratio also known as current ratio

Working capital or current ratio = Current Asset / Current Liability

4) Price to earnings ratio: P/E : Top Indicator for earning potential

Price to earnings ratio = Share price / Earning per share

5) Earnings per share:

EPS = Net Income / Outstanding Shares

6) Return on equity ratio

Return on equity ratio = (Earnings – Dividends) / Shareholder equity

Profit Margin = Profit / Revenue ; This needs to be calculated in percentage

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