Analysis Of Comparative Balance Sheet Finance Essay

1-Liquidity place: the working capital of the company is positive in this twelvemonth 2010. Cash and balances with RBI shows increase of and balance with bank and money at call are diminishing by so here current plus are diminishing by and other liabilities and commissariats are increasing by and measures for aggregation addition by so here current liabilities are increase by and the on the job capital are which means the liquid place of the company is non sound and the concern needs to concentrate on it.

2- funding place: there was an increase of in the twelvemonth 2010 in long term loan which shows that concern demands money from foreigner and it has liability to to pay it. In this twelvemonth fixed plus and investing are diminishing by and it shows that plus are diminishing it means concern has sold its plus. Selling of plus and increase of long term loan shows that fiscal place of the company is non satisfactory and focal point is needed by it.

3- ) profitableness place: in the twelvemonth 2010 modesty and excess are increasing by which is increase of and fixed plus and investing are diminishing by and but it can non said that concern are in profitableness place because the it was said that amt. of increase in modesty and excess was taken from loan which concern has taken from foreigners profitability place of the company is non in good place.

Analysis OF COMPARATIVE INCOME STATEMENT

On the twelvemonth 2010 there was an increase of net gross revenues by which is of 2009. Yes net gross revenues has increased but disbursals has besides increased with it that is payment to employees has increased by that is runing disbursals are increased by that is in 2009.which is great increase and the concern needs to concentrate on this disbursals and seek to command it so that it does non impact the net income of the concern. In this twelvemonth involvement is besides increasing which is of 2009 which shows that concern has taken loan from the foreigner in 2009.so overall it was said that if disbursal will command by the concern its cyberspace net income will be increased.

Analysis OF COMMON SIZE BALANCE SHEET

1-Liquidity place: in comparing to 2009 working capital was changeless in 2010. Cash and balance with RBI up in comparing to in 2010 but balance with bank and money at call are decreased by in comparing to in 2009 which shows that current plus are diminishing in comparing to 2009 and current liabilities such as other liabilities and commissariats are decreased by in comparing to in 2010 and measures for aggregation are increased up to in comparing to in 2010 which shows that working capital in comparing to 2009 was non sound in 2010 and the concern needs to concentrate on it.

2-financial place: in comparing to 2009 the long term loans in 2010 are increased up to in sedimentations and adoptions are decreased by So in comparing to 2009 fiscal place of the company was changeless that approx. there was n alteration in the long term loan. so in comparing to 2009 fiscal place shows a small spot increment which is adaptable and does non impact much on the concern.

3-profitability place: in comparing to 2009 in the twelvemonth 2010 the modesty and excess and equity stockholders are decreased up to and which was and in 2009 and investing and progresss are increased up to and in comparing to and but here fixed plus and other plus are diminishing up to and in comparing to and in 2009. It shows that fixed assets has been sold in the twelvemonth 2010 which shows that the concern needs money in this twelvemonth to carry through its demand it has sold its plus. It means the profitableness place of the concern are non satisfactory in comparing to 2009.

Analysis OF COMMON SIZE INCOME STATEMENT

In comparing to 2009 in the twelvemonth 2010 some disbursals are increasing and some disbursals are diminishing such as payment to employees are increasing up to in comparing to and other disbursals and administrative disbursals are diminishing up to in comparing to which shows that disbursals has non made any sort of consequence on net income of the concern in comparing to 2010 and involvement has besides shown lessening in 2010 up to in comparing to.in 2010 the concern has taken loan from foreigner but in comparing to 2009 its involvement loan was less and in comparing to 2009 the concern has earned more net income up to in 2010 which shows that the concern was in good place in comparing to 2010.

TREND ANALYSIS OF BALANCE SHEET

1-Liquidity place: current plus such hard currency are increased up to and money at call are decreased up to and current liability such as other commissariats and liability are increased up to and measures for aggregation are increased up to which shows that working capital of the concern are increasing in comparing to 2009 and its shows that working capital was in satisfactory place that ‘s why liquidity place was besides sound.

2-Financial place: in comparing to 2009 sedimentations and adoptions had shown increase up to and it means the company had taken loan from foreigner which means that it had liability to pay it and it may be that it effects it plus because to pay its loan it has to sell its plus so if compare 2009 to 2010 it was said that the fiscal place of the company is sound and the company needs to concentrate on it.

3-profitability place: in the twelvemonth 2010 modesty and excesss had shown an increase of but it was non said that this increase was because of net income but the ground behind this increase is that the loan has transfer to it and this loan was besides used in increase of investing, progresss and other plus by and but fixed plus are diminishing which shows that fixed plus has been sold in this twelvemonth because of the demand of the company. So it was said that profitableness place of the company is non sound it was depend upon loans to carry through its demand.

TREND ANALYSIS OF INCOME STATEMENT

In comparing to 2009 there was an increase of net gross revenues in 2010 by but there was an small spot increment in disbursals besides that is payment to employees increased by and other disbursals and administrative disbursals are increased by and other disbursals, commissariats and eventualities disbursals are increased by which say that company needs to concentrate on it because now it was controlled but if concern does non concentrate on it, it may be increased and consequence the net net income of the company. So to keep it net income it has to concentrate on it. Interest rate has besides increased by which shows that the concern has taken long term loan that ‘s why it involvement has increased.