an organisational

8/15/2019 An Organisational

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AN ORGANISATIONAL

STUDY AND A STUDY ON FINANCIAL

PERFORMANCE

TOWARDS PRIMARY AGRICULTURAL

CO-OPERATIVE CREDIT SOCIETY IN

GANAPATHYPALAYAM

MAIN PROJECT REPORT

Submitted by

L UMA MAHESWARI

(Reg. No. 73!"3!#$%&

In partial fulllment for the award of the degree

Of

MASTER OF BUSINESS ADMINISTRATION

IN

DEPARTMENT OF MANAGEMENT STUDIES

NANDHA ENGINEERING COLLEGE

ERODE – 638 052

AUGUST- 2013

BONAFIDE CERTIFICATE


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NANDHA ENGINEERING COLLEGE

ERODE-638 052

DEPARTMENT OF MANAGEMENT STUDIES

PROECT WOR!

ULY-2013

This is to certify that the project report entitled

"AN ORGANISATIONAL STUDY ON FINANCIAL PERFORMANCE

TOWARDS PRIMARYAGRICULTURAL CO-OPERATIVE CREDIT SOCIETY IN

!ANA!!AMPALAYAM#

is the bonafide record of project work done by

L$ UMA MAHESWARI

R%&$ N'$(322126310)5

of master of business administration during the year 2013

Project Guide Head of the department

i!a"!oce #$amination held on%

&'T#(')* #+),&'#( #+T#(')* #+),&'#(


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Declaration

DECLARATION


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& affirm that the project work titled "AN ORGANISATIONAL STUDY AND A STUDY

ON FINANCIAL PERFORMANCE TOWARDS PRIMARYAGRICULTURAL

COOPERATIVE CREDIT SOCIETY IN !ANA!!AMPALAYAM# being submitted in

partial fulfilled for the award of *+,%. '/ +*,.+' is the original work carried out by

me- &t has not formed the part of any other project work submitted for award of any degree.

diploma . either in this or any other uni!ersity-

S&+.% '/ 4% ,%

L$ UMA MAHESWARI

R%&$ N'$ (322126310)5

I certify that the declaration made above by the candidate is true.

SI'NATURE O THE 'UI)E.

M*.J. MA'ESWARAN+M,A

A,,,+ 7.'/%,,'.

N-d/- Egiee*ig Co00ege+ E*ode


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Acknowledgement

AC!NOWLEDGEMENT


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& e$press my gratitude to M.$V$SHANMUGAN C4+.*+ SRI NANDHA

EDUCATIONAL TRUST/ for pro!iding an amaing en!ironment for me to complete

this project successfully-

)t the outset/ no words are adeuate to e$press my sincere and special thanks to our Principal D.$ S$ARUMUGAM for granting this opportunity to ha!e a wide spread !iew and

e$perience in the form of project work-

ords are inadeuate in offering my thanks to M.$ N$DEVARA$BE$ MBA P4D

H%+ '/ D%7+.*% D%7+.*% '/ M++&%*% S%, for his constant encouragement

throughout the tenure of the project- & am indebted to my Guide/ M.$$MAGESWARAN MBA

P4$D A,,,+ P.'/%,,'. for her !aluable guidance pro!ided during the course of this project-

& am grateful ' M.$P$M+ P$G$M+4+9&+* ' M++&%. CHERANINDUSTRIES M.$!+*+9 M++&%*% R%7.%,%+:% CHERAN

INDUSTRIES COIMBATORE for his able guidance and useful suggestions/ which helped me

in completing the project work/ in time- & take this opportunity to thank ompany #mployees for

their encouragement and assistance and their !aluable inputs-

& thank my faculty members/ relati!es and friends for their assurance and

encouragement- & am deeply indebted to my lo!ing parents for their endurance and perse!erance during the course of my study-

L$UMA MAHESWARI


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contents

CONTENTS

CHAPTER NO$ PARTICULAR PAGE NO$

LIST OF TABLES


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LIST OT CHARTS

CHAPTER I 1$INTRODUCTION 1

1-1 )456T TH# 7T689 1)

1-2 )456T TH# &'867T(9 2)

1-3 )456T TH# 5,P)'9 31

CHAPTER II 2$ MAIN THEME OF THE PROECT

2-1 54:#T&#7 5; TH# 7T689 31

2-2 75P# 5; TH# 7T689 32

*&,&T)T&5'7 5; TH# 7T689 32

2-3 (#7#)(H ,#TH585*5G9 33

CHAPTER III ANALUSIS AND INTERPRETATION )1

CHAPTER IV FINDING AND CONCUSION


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List of tables

LIST OF TABLES


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S$NO PARTICULARS PAGE$ NO

3-1 The table showing the current ratio


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List of CHARTS

LIST OF THE CHARTS


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S$NO PARTICULARS PAGE$ NO

3-1 The chart showing the current ratio


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Abstract

ABSTRACT


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1$1 ABOUT THE STUDY

1$1$1$ FINANCE

&n the modern money oriented economy/ finance is one of the basic foundations of all

kinds of economic acti!ities- &t is the master key which pro!ides access to all the sources being

employed in manufacturing and merchandising acti!ities- &t has rightly been said that business

needs moneys to make more money-

;inance is specialied function and it draws haily on other related functions- ;inance has

undergone a significant change and is concerned with the flow of funds and decision relating to

business operations affecting the !aluation of the firm-

;inance function con!ers decision relating to in!estment/ financing and organiation/

which ha!e to do with management of the flow of cash so that the organiation will ha!e to carry

out its objecti!es as satisfactorily as possible and at the same time meet its obligation as they

become due-

;inance may be defined as that administrati!e area or set of administrati!e function in an

organiation which related with the arrangement of cash and credit so that the organiation may

ha!e that means to carry out its objecti!e as satisfactorily as possible-

FINANCIAL MANAGEMENT

;inancial management is broadly concerned with the acuisition and use of fund by a business

firm- ;inancial management emerged as a distinct field of study at the turn of this country- &ts

e!aluation may be di!ided into three broad phases-

1- The traditional phases

2- The transitional phases

3- The modern phases

1$1$3$ !EY ACTIVITIES OF FINANCIAL MANAGEMENT

There are three broad acti!ities of financial performance


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1$ F+, /+


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P.'/ + 9',, +


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A$ GROSS WOR!ING CAPITAL?

Gross working capital represents the amount of fund in!ented in current assets- urrent assets

are those assets/ which in the ordinary course of business can be con!erted in to cash within a

short period- #!ery management is more interested in the current assets with which it has to

operate than the source from which it made a!ailable- The gross working capital is the capital

in!ested in total current assets the gross concepts take in to consideration the fact that e!ery

increase in the funds of the enterprise would increase its working capital-

B$ NET WOR!ING CAPITAL?

'et working capital is the e$cess of current assets o!er current liability- 'ew

working capital may be positi!e or negati!e-hen the current assets e$ceed current liabilities-

The working capital is positi!e and negati!e working capital results when the current

liabilities are more than the current assets current liabilities are those liabilities/ which areintended to be paid in the ordinary course of business with in a short period

C$ PERMANENT OR FI@ED WOR!ING CAPITAL?

Permanent or fi$ed working capital is the minimum amount which is reuired to ensure

effecti!e utiliation of fi$ed facilities and for maintaining the circulation of current assets-

There is always a minimum le!el of current assets which is continuously reuired by the

enterprise to carry out its normal business operation- ;or e$ample e!ery firm has to maintain a

minimum le!el or raw material/ work in progress finished goods/ and cash balance- The permanent working capital can further be classified as regular working capital and reser!e

working capital- (egular working capital is the minimum amount working capital reuired to

ensure circulation of current assets- (eser!e working capital is e$cess amount o!er the

reuirement for regular working capital-


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D$ TEMPORARY WOR!ING CAPITAL?

Temporary working capital is the amount of working capital/ which is reuired to meet the

seasonal demand and some special e$igencies- &t is further classified as seasonal working

capital and special working capital- )dditional working capital is needed seasonal C special

needs- Temporary working capital differs from permanent working capital in the sense that it

is reuired for short period- Permanent working capital is stable or fi$ed o!er time while the

temporary or !ariable working capital fluctuates- Permanent working capital is also increasing

with the passage of time due to e$pansion of business but e!en then it does not fluctuate as

!ariable working capital/ which sometimes increases and sometimes decreases-

I$ IMPORTANCE OF WOR!ING CAPITAL

orking capital is the lifeblood and ner!e center of a business- :ust as circulation of blood in the

human body for maintaining life/ working capital is !ery essential is to maintain smooth running

of the business- 'o business can run successfully without an adeuate amount of working

capital- The main ad!antages of maintaining adeuate working capital are-

• S'9:%


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(atio analysis is the techniue of analysis and INTERPRETATION of financial

statements- &t is the process of established and interpreting !arious for helping making certain

decisions- Howe!er it is not an end in itself- &t is only a means of better understanding of

financial strengths and weakness of the firm- alculation of more ratio does not ser!e any

purpose/ unless se!eral appropriate ratio are analyed and interpreted-

GUIDELINES OR PRECAUTIONS TO RATONS

The calculation of ratio may not be difficult but their use is not easy- The information on

which these are based/ the constrains of financial statement/ objecti!es of using them/ the caliber

of analyst/ etcD- &t is important factors which influence the use of ratios- ;ollowed guidelines or

factors may be kept/ in mind while interpreting !arious ratios-

A


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widely of the firm/ it is calculated by di!iding the total of current assets by total of the current

liabilities-

urrent assets

urrent ratioF urrent liabilities

The two basic components of this ratio are% current assets andcurrent liabilities- urrent assets

include cash and those assets which can be easily con!erted into cash with in a short period of

time generally/ one year/ such as marketable securities/ bills recei!able sundry debtors/

in!entories/ work in progress- Prepaid e$penses should also be included in current assets because

they represent payments made in ad!ance which will not ha!e to be paid in near future- current

liabilities are those obligations which are payable within a short period of generally one year andinclude outstanding e$penses/ bill payable/ sundry creditors/ accrued e$penses/ short"term

ad!ances/ income ta$ payable/ etcD-

LIUID RATIO

The ratio between uick asset and current liabilities is called liuid assets-

*iuid assets

*iuid ratioF

urrent liabilities

&t refer to the assets which can be con!erted into cash !ery uickly- They are also called liuid

assets- Here liuidity means the ability of the assets to be uickly con!erted into cash- Therefore/

it is assumed that if stock"in"trade is e$cluded from current assets/ we may ha!e a measure of

uick or liuid assets-

ABSOLUTE LIUID RATIO

)lthough recei!able/ debtors and bill recei!able are general more than in!entories/ yet there

may be doubts regarding their realiation into cash immediately or in time- Hence some


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credit/ impro!ed technologies and institutional access to markets and de!elopment programs ha!e played

an instrumental role in meeting these objecti!es of self"sufficiency- He discusses the de!elopment and

e!olution of co"operati!e societies in &ndia since 1@0< when the first co"operati!e law was enacted/ and

the role played by primary agricultural credit societies P)7E in the o!erall agricultural de!elopment of

the country- He then discusses the relationship between the primary agricultural credit societies/ the

8istrict central co"operati!e bank/ the state co"operati!e banks and the 'ational 4ank of )griculture and

(ural 8e!elopment ')4)(8E- He argues that in spite of the leading role that has been played by the

')4)(8 in meeting the agricultural credit needs/ the future of agricultural credit societies lea!es a

uestion mark especially because the relationship between the primary societies and their federal

structures has not e!ol!ed organically and the dependence of primaries on ')4)(8 credit is getting

more pronounced- ,oreo!er/ primaries are not focusing on their basic task of mobiliing and distributing

resources locally/ and there is a distict more away from member centralityA- hile in the short term/ there

is no effect on the agricultural co"operati!e scenario/ in the long run this dependence on ')4)(8 mayha!e a rather negati!e effect on the primaries-

The paper is di!ided into following sections%

1- )griculture in &ndia

2- 5rganiation of o"operati!e 7ocieties in &ndia

3- &nstitutional redit for )griculture in &ndia


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FLOW OF INSTITUTIONAL CREDIT FOR AGRICULTURAL

DEVELOPMENT

The general policy on agricultural credit has been one of progressi!e institutionaliation aimed at

pro!iding timely and adeuate credit to farmers for increasing agricultural production and producti!ity-

Pro!iding better access to institutional credit for the small and marginal famers and other weaker sections

to enable them to adopt modern technology and impro!ed agricultural practices has been a major concern

of the policy- &n pre"independent &ndia the majority of the population was impo!erished and li!ed in sub"

human conditions-

The land impro!ement loans )ct of 1>>3 was the first consolidated law intended to pro!ide

ad!ancement of agriculture- The co"operati!e *and ,ortgage 4anks were created for pro!iding long"term

loans to agriculturists for redemption of debts- This was followed by the enactment of o"operati!e redit

7ocieties )ct of 1@0< to meet the short"term credit needs of the farmers- &n fact/ the major thrust in the

area of agricultural credit during this period was more the pre!ention of e$ploitation of the peasants by

moneylenders/ rather than the promotion of capital formation in agriculture- The fact that agricultural

sector would reuire an organied flow of funds to break the IinertiaA came to focus the only when the )ll

&ndia (ural redit 7ur!ey ommittee )(7E% 1@=< came to the conclusion that the e$isting structure

of primary credit societies was not sufficient to meet the credit reuirements of the &ndian peasants J

especially those of a small and marginal farmers- &t was in this conte$t that the (eser!e 4ank of &ndia

(4&E and Go!ernment of &ndia Go&E thought of the Istate partnership with co"opsA/ and there was a

massi!e infusion of funds to the sector- 'ot only was funding pro!ided/ managerial assistance and

restructuring of P)s was initiated to make the system !iable- The primariesA therefore became

instruments of go!ernment policy " they started performing an important de!elopment task J but in the

process the loss of autonomyA also started- Howe!er/ this should not negate the !ery positi!e role that the

P)s performed-

The Primary )gricultural redit 7ocieties P)7E constitute the Ihub’ of the &ndian co"op mo!ement-

#!ery fourth co"operati!e in &ndia is a primary credit society- The main objecti!es of a P)7 are%

• To raise capital for the purpose of gi!ing loans and supporting the essential acti!ities of the

members-

• To collect deposits from members with the objecti!e of impro!ing their sa!ings habit-

• To supply agricultural inputs and ser!ices to members at remunerati!e prices-


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• To arrange for supply and de!elopment of impro!ed breeds of li!estock for the members-

• To make all necessary arrangements for impro!ing irrigation on land owned by members-

• To encourage !arious income"augmenting acti!ities such as horticulture/ animal husbandry/

poultry/ bee"keeping/ pisciculture and cottage industries among the members through supply of

necessary inputs and ser!ices-

H*+ R%,'.


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1@@1"@= 13


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e$emption from ta$ation and rule making power- )ll other operational and managerial issues

were left to the local go!ernments namely to formulate suitable rules and model bye"laws of the

cooperati!e societies- The institution of the (egistrar/ !isualied as a special official mechanism

to be manned by officers with special training and appropriate attitudinal traits to prompt and

catalye cooperati!e de!elopment was the result of the ooperati!e 7ocieties )ct of 1@0


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The 7econd orld ar boosted the prices of agricultural commodities leading to increased

returns to farmers and conseuently reduction in o!er"dues to the cooperati!es- To counter short"

ages of essential commodities for domestic consumption as well as raw materials/ the

Go!ernment resorted to procurement of commodities from producers and rationing/ for which it

decided to utilie the cooperati!es- This pro!ided a momentum to the growth of multi"purpose

cooperati!es- The period between1@3@"1@


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bE #ach person should purchase or acuire at least one share of the society in order to become a

member- The indi!idual should not ha!e been pre!iously e$pelled from any society due to abuse

of funds-

cE The indi!idual should not ha!e pre!iously been charged/ or currently be ser!ing a criminal or

legal sentence- &f a member of the society is charged with a criminal or legal offence/ the

member shall be remo!ed from the society-

dE Proposed members of ooperati!e 7ocieties should be of sane mind-

THE ACCOUNT AND BUDGET OF THE SOCIETY

The accounts of the co"operati!e society should be auditing and maintained by an auditor

appro!ed by the registar-

The annual accounts of each year should be documented/ and the accounts and audit reports

should be presented in the annual general meeting of the society-

The annual accounts should be published each year after appro!al from the audit officer- &tshould also the posted at the headuarter of the co"operati!e society so that the members can see

it without administering any see-


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1$3 ABOUT THE SOCIRTY

ORGANISATION PROFILE

G)')P)TH9P)*)9), P(&,)(9 )G(&6*T6()* 5"5P#()T&# 75T9 was

established in the year 1@K= with 2= members- 'ow it holds 222@ members- &t was controlled by

the state go!ernment- &n this society =people are worked and it pro!ides loan facilities to the

public-

&t pro!ides bike loans at KO interest rate from the society- They need not to pay

interest within one year payment- )fter one year only they must pay the interest- &t gi!es jewelry

loan to the people at 1


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?- (ecurring depositK- Term loans>- Trading account@- ,embership accounting-

!EY FEATURES

1- Graphical user interface2- ,odular approach3- Parameteried set up- 7tock statement@- Trial balance10- Trade account11- Profit and loss account12- 4alance sheet13- 7tatement of account1- &n!entory control1@- Purchase register 20- *oan against deposit


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FUNCTIONS

It pro!ides credit to the farmers/ distribute inputs like fertiliers and also run outlets under

Public 8istribution 7ystem- These banks pro!ide short term and medium term credit for agriculture

and allied acti!ities- The short term loans are repayable within a period of 12 to 1= months and the

medium term loans are repayable within 3 to = years- The loan amount e$ceeding this limit is secured

with mortgage of property or pledge of jewels-

Primary )gricultural ooperati!e redit 7ocieties also issue loans for other agricultural purposes

like purchase of farm machineries and for non"agricultural purposes including loans for the purchase

of consumer durables/ housing loans/ education loans and professional loans- To pro!ide marketing

facilities for the sale of agricultural produce-To associate itself with economic and social welfare

programs of the !illage-

onsidering the importance of increasing credit flow into the agriculture sector/ Go!ernment

has reduced the interest rate for the crop loans from @O to KO per annum from 200?"0K/ the interest

differential being compensated by the Go!ernment-


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ORGANISATIONAL HIERARCHY

,OAR) O )IRECTORS

&'( member elected as per the provisionsof the act)rules and law*

CHIE 'ENERAL MANA'ER (3&

MANAN'IN' )IRECTORS

PRESI)ENT

&Elected from among the board of directors*

'ENERAL MANA'ER(7&


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OBECTIVES OF SOCIETY

)EPUT1 'ENERAL MANA'ER

&"unctions as department heads*

,RANCHMANA'ERS (!$&

OTHER SUPPORTIN'OICERS AN) STAS


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1$ To cater to the credit reuirement of farmer"members of the primary agriculture co"operati!e

societies-

2$ To pro!ide impro!ed customer ser!ice through up gradation of technology and adoption of best

practice-

3$ To direct effort towards achie!ing the state go!ernment gi!en targets under !arious crop

production programs and implementation of policies on the co"operati!e sectors-

)$ Term loans for acuisition .creditor de!elopment of assets in agriculture and non"agriculture

sector-

5$ #mployment generation through bank finance in rural and urban areas-

6$ Pro!ider of banking ser!ice in rural and urban areas-

($ They moti!ate self"help group also to starting new business-

8$ To moti!ate the entrepreneur by gi!ing loan-

;$ The peoples are easily getting loan from society-

Chapter-II


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+$ )nalysis is the based on the annual reports of the society-$ #$ternal factors that affect the financial performance of the society ha!e not been

gi!en much importance


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W'.&


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Thus financial analysis is the use of financial statements to analyst companyAs financial

position and performance/ and to assess future financial performance- &n short financial analysis

is the process of e$amining the composition of financial statements for getting !aluable

information about the business- &t is a techniue of $"raying the financial position as well as

progress of a firm-

;inancial analysis includes analysis and interpretation of financial statements- The word analysis

literally means to break into partsA- &n the conte$t of financial statements/ analysis is the process

of breaking down a comple$ set of figure into simple statements in order to ha!e a better

understanding- &t is a critical e$amination of financial transactions effected during a definite

period-

A0As/ they found that the predicti!e accuracy of )ltmanAs

model declined when applied against the 1@>0As data- The findings e$plained the importance of

incorporating the time factors in the traditional failure prediction models-

A


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creditors/ the presence of free assets/ and the number of under"secured secured creditors- The

prediction model corrently classified K>-=O of the sampled firms- This model is used as a

decision aid when forming an e$port opinion regarding a debtorAs likelihood of rehabilitation- 'o

study has incorporated the financial performance analysis of the central public sector enterprises

in &ndian drug Cpharmaceutical industry- 'or has any pre!ious research e$amined the sol!ency

position/ liuidity position/ operating efficiency and the prediction of financial health and

!iability of public sector drug C pharmaceutical enterprises in &ndia-

A


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Data anal#sis and interpretation

CHAPTER III

ANALYSIS AND INTERPRETAYIONS

RATIO ANALYSIS

3$1 CURRENT RATIO

urrent ratio may be defind as the relationship between current asset and current liabilities-

The acceptable norms orE rules or thump is 2%1- This ratio is also known as working capital ratio and it is

calculated by di!ided the total of the current assets by total of the current liabilities-

6((#'T ()T&5F 6((#'T )77#T


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+E,! '-(- '-(( '-(' '-(

-

'

/

0

1

(-

('

(/

(0

(1

'-

3$2UIC! RATIO


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The ratio between uick asset and uick liabilities is called liuid ratio- Suick ratio is also

known as acid ratio it isa more rigorous test of that the current ratio uick ratio may also be

defined as relation between uick liuidity assets and current liuid liabilities-

Suick ratio refers to the assets which can be con!erted into cash !ery uickly- They are

also called liuid assets-

*&S6&8 ()T&5 F *&S6&8 )77#T7

6((#'T *&)4&*&T


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TABLE SHOWING THE UIC! RATIO FOR THE FOLLOWING YEARS

YEARS

UIC! ASSET

IN R,$

CURRENT

LIABILITIES

IN R,$

RATIO

2010 200(;131$56 3;35235 5$1

2011 1;)082)5$8; 2(8)663 ".2

2012 2(552(3($( )585665 6$0

2013 52222($81 3))3))6 1$8

INTERPRETATION?

6sually a high acid test ratio is an indication that the firm is liuid and has the ability to meet its

current or liuid liabilities in time and on the other hand a low uick ratio represents that the

firmAs liuidity position is not good-

;rom the abo!e table it was analyed that uick ratio was increased from =-1 to ?-@ and

decreased to 1->- it was due to improper maintenance of uick assets- The uick ratio was below

the rule thumb of 1%1 i-e uick asset were less than current liabilities-

CHART SHOWING THE UIC! RATIOFOR THE FOLLOWING YEARS


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+E,! '-(- '-(( '-(' '-(

-

'

/

0

1

(-

('

3$2 ABSOLUTE LIUIDITY RATIO

*iuid ratio is the modified !ersion of current ratio and absolute liuid ratio is the modified

!ersion of liuid ratio- Here current assets are bereft of stock"in"trade/ accounts recei!able/ and

current liabilities are bereft of bank o!erdraft- The ratio can be written in following way%


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)7H 4)'B ,)(B#T)4*# 7#6(&T

)475*6T# *&S6&8&T9 ()T&5 F

6((#'T *&)4&*&T J 4)'B 5#(8();T

TABLE SHOWING THE ABSOLUTE LIUIDITY RATIOFOR THE FOLLOWING

YEARS

YEARS

CASH AND BAN!

IN R,$

CURRENT

LIABILITIES

IN R,$

RATIO


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+E,! '-(- '-(( '-(' '-(

-

'

/

0

1

(-

('

3$) WOR!ING CAPITAL RATIO

orking capital of a concern is directly related to sales- The current assets like debtors/ bill

recei!able/ cash/ and stock/etcD-- hange with the increase or decrease in sale- The working

capital is taken as%

W'.&


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YEARS

CURRENT ASSET

IN R,$

CURRENT

LIABILITIES

IN R,$

RATIO

2010 205(1((2$3; 3;35235 1663653($3;

2011 20;55355 2;28;8($1) !#"3"7."

2012 32;2(;); )6;8150$3 2822;(;8$(

2013 3))32;;1$; )1653))$1( 3026(6)($(3

INTERPRETATION?

;rom the abo!e table it was analyed that net working capital ratio had increase from 2010

to 2013- &t was due to changes in working capital-

TABLE SHOWING THE WOR!ING CAPITAL RATIOFOR THE FOLLOWING

YEARS


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+E,! '-(- '-(( '-(' '-(

-

2------

(-------

(2------

'-------

'2------

-------

2------

3$5 FI@ED ASSET RATIO

The ratio establishes the relationship between fi$ed assets and long term funds- The objecti!e of

calculating this ratio is to ascertain the proportion of long term funds in!ested in fi$ed assets-

F% +,,%

F% +,,% .+'

L'& %.* /,


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P-*ti6u0-* 3!5#35#!!

8e*6et-ge

3!5#35#!

Pe*6et-ge

Cu**et -et#ash on hand '3'(./ #.!$ ('51-.'2 #.37

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2!." 32;2(;); 2.

i9ed -et

Investment (-/5(25.- $.% '/('/51. ".!

Immovable assets 2/2(52.' .32 (0'1('.12 #.%

"uture 9 5 9 5

Overdue interest //2'' !.% 9 5

Tot-0 -et 2$3#.2

!## 3%%#3"#.

!##

Cu**et 0i-bi0itie

$ayment items /0'2 #.!2 '2203(.2 #.7$rovision items '--13-0 .77 2>2


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COMMON SI4E ,ALANCE SHEETS OR THE 1EAR #!5

#!3

P-*ti6u0-* 3!5#35#!

8e*6et-ge

3!5#35#!3

Pe*6et-ge

Cu**et -et

#ash on hand ('51-.'2 -.3 (20--.'2 #.#$

#ash at ban4 (-51231./0 .(/ 52/(55.5 ."3

6oan7 advances 2??01?=1-K 3/.5' 2@>3210@ .!

ccrued items 9 (-05-(.0' .23

!toc4 0(3(.' (.-' (5/'.5/ #.%3

8ebtors (/00(32.

/.( '3'5/3.(' ".%3

Tot-0 6u**et -et 32;2(;); 2. 3))32;;1$8 2$.$

i9ed -et

Investment '/('/51. 0.1( 50'0(3. ."%

Immovable assets (0'1('.12 -.2 01/-33.1 !.

"uture 5 5 5 5

Overdue interest 5 5 '''2/1 #."

Tot-0 -et 3%%#3"#.

!## 3"3#3$.2

!##

Cu**et 0i-bi0itie

$ayment items '2203(.2 -.3' /((/0.5( !.!3

$rovision items 2>2


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Tot-0 0i-bi0itie 3%%#3"#.

!## 3"3#3$.2

!##

INTERPRETATION?

C'**' ,% +9+-2O to K


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Chapter I$

%indings& recommendation and conclusion


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CHAPTER IV

FINDINGS AND CONCLUSION

)$1$ FINDINGS

1- The current ratio was increased from =-2O to >-2O- the current ratio is more than the

rule of thumb 2%1-

2- The uick ratio was increased from =-1O to ?-@O and decreased to 1-> in the year 2013-

3- The working capital position is good into the society-

-3O to =-1?O and long term liabilities are increased in

>2-1>O-

=- The schedule of changes in working capital was good- &t was properly maintain in

current assets and current liabilities-

?- )s per common sie balance sheet are gradually increasing total assets and liabilities

e!er through decreasing in the year 2012"2013 compared to pre!ious years-

K- 5!er the period of four years from 2010"2013 the financial analysis of the society

showing on increasing trend- &n 2010 the financial analysis was 1>>@==-13 in 2013-


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CONCLUSION

5n studying the financial performance through ratio analysis/ working capital/commonsiebalance sheet of primary agricultural cooperati!e credit society ltd for a period of < years

from2010 to 2013- The study re!eals that the financial performance of the company is in good

le!el- &t could be concluded that the company has been performing well-

The study is e$pected to help understanding the o!erall financial performance of society-;inally the study helped me to acuire practical knowledge that was only o!er by books and

paper alone-


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Appendi'

PRIMARY AGRICULTURAL COOPERATIVE CREDIT SOCIETY


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BALANCE SHEET

P+.?


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(ibliograph#

BIBLIOGRAPHY

,oo:

(. "inancial management I.%.$andey Ninth Edition :i4ash

publishing house pvt.Itd.

'. "inancial management theory and practice prasanna #handra

si;th Edition Tata mc graw hill publishing company

. %anagement accounting priciples and practice

,.


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/. 8r.!.N .maheshwari "inancial management =.=.! Indraprasatha

university) newdelhi..

2. nnual reports in primary agricultural cooperative credit society.

Webite

www.di>notes.com

www.nancialeducation.com

www.google.com
http://www.diffnotes.com/http://www.financialeducation.com/http://www.google.com/http://www.financialeducation.com/http://www.google.com/http://www.diffnotes.com/

an organisational

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