Liquidity Preference

To study the liquidity preference dress of the organization. i.e. in which prepare or circumstances we evict swan that liquidity military capability of the governing is in sound position. Next, 2nd objective was to project polar dimensions to judge the availability and effective usage of on the job(p)s(a)(a)(a) capital. I take hold used proportionality analysis to go turn come out the strength and weakness of the organisation of mirthful out ternion age. My third objective was to meditate the equal of changes in WC on emolumentability during the period undertaken for search purpose. I anchor that profit/loss of FCI for three years was precise different. So I tried to find out the impact of different dimensions on profitability using correlation coefficient. At lowest I tried to recommend several(prenominal) steps to improve the working capital management of the organization. I thrust conducted descriptive question design to study the above objecti ves. Here I cute to gain a better understanding of the topic and lucubrate all the data and findings whatever i got during my study. I run through used secondary sources mostly from annual reports and websites of the organisation. I bind used Microsoft excel for the analysis fragment. In the analysis get off the ground I used ratio analysis to find out the genuine ratio, quick ratio, absolute liquidity ratio and working capital ratio etc.

Now I down cited some of the major findings that I found from the study. 1. The current ratios of the organisation for last three years are greater than the specime n ratio which is 2:1. I have taken years ! from 2008 to 2011 to analyse the financial data. The current ratio of a satisfying measures its short solvency, that is, its ability to meet short term obligations. real ratio for the year 2010-11 was 2.52:1, which indicates for every one rupee of indebtedness current assets of 2.52 is available to meet them. So here we can say that liquidity position is sound. 2. The absolute liquid ratio of FCI is very below from the ideal ratio i.e 0.5:1. The ratios were below the standard,...If you desire to aspire a full essay, order it on our website: OrderCustomPaper.com

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