A PROJECT REPORT
Submitted by
G.LOKESH KUMAR
Reg. No 11309631019
in partial fulfillment for the award of the degree
of
MASTER OF BUSINESS ADMINISTRATION
R.M.K.ENGINEERING COLLEGE
ANNA UNIVERSITY: CHENNAI 600 025
AUGEST 2010
BONAFIDE CERTIFICATE
Certified that this project report, A study on financial performance of TAMIL NADU STATE
APEX CO-OPERATIVE BANK LIMITED. The bonafide work of G.LOKESH KUMAR
who carried out the project work under my supervision.
SIGNATURE
HEAD OF DEPARTMENT
SIGNATURE
SUPERVISOR
ACKNOWLEDGEMENT
I wish to record my sense of gratitude to the chairman and The Principal of R.M.K.
Engineering College for providing me with an opportunity to undertake this project,
which has been an immense help to me.
I wish to thank Mr. RAJAGOPAL chief manager of TAMILNADU STATE APEX COOPERATIVE BANK LIMITED and Mr. SUNDAR manager of TAMILNADU STATE
APEX CO-OPERATIVE BANK LIMITED who has permit me to undergo the project work
in their respective branch.
I express my sense of gratitude to Ms. S.D. Uma Mageshwari M.sc, M.Tech, M.B.A.
Associate. professor, Department of Management Studies under whose able guidance
this project was done.
I express my thanks to officials and staff members for readily sparing their precious time
and effort to complete this project successfully.
Special gratitude and thanks to my family members and well wishers whose moral
support and cooperation for completing the project report successfully.
ABSTRACT
Finance is the lifeblood of the nation as well as organization. The organization greatly
depends on the better utilization of finance. Finance plays a vital role in determining the
strength and weakness and control funds of the concern. Without finance no
organization can perform its activities. In modern enterprise financial manager occupies
a key position. He is responsible for shaping the future of the enterprise.
The conceptual frameworks of financial analysis have been discussed. The meanings
of financial performance, tools used for a purpose of financial analysis have been
discussed.
The study is the analysis of financial performance of TAMILNADU STATE APEX COOPERATIVE BANK LIMITED. The secondary data was taken from the balance sheets
for the last years form 2005- 2009 .
By applying the tools like ratio analysis, comparative balance sheet, common size
balance sheet, and funds flow statement the performance of the bank was analyzed and
interested facts were revealed. This would further help the organization to improve its
performance further.
CHAPTER NO
TITLE
ABSTRACT
PAGE NO
LIST OF TABLES
LIST OF CHARTS
1
INTRODUCTION
1.1 Introduction of the study
1.1.4.1Research Design
1.1.6 chapterisation
11
21
31
37
48
3.2 Suggestions
49
3.3 Conclusions
50
BIBLIOGRAPHY
51
APPENDICES
52
Financial Statement
No
List of table
Page no
2.1.1.1
11
2.1.1.2
Return On Assets
13
2.1.1.3
15
2.1.1.4
17
2.1.1.5
19
2.1.2.1
21
2.1.2.2
23
2.1.2.3
25
2.1.2.4
27
2.1.2.5
29
2.1.3.1
31
2.1.3.2
32
2.1.3.3
33
2.1.3.4
34
2.1.3.5
35
2.1.4.1
37
2.1.4.2
39
2.1.4.3
41
2.1.4.4
43
2.1.4.5
45
No
List of Charts
Page no
2.1.1.1
11
2.1.1.2
Return On Assets
13
2.1.1.3
15
2.1.1.4
17
2.1.1.5
19
CHAPTER 1
INTRODUCTION
FINANCIAL ANALYSIS
1.1 INTRODUCTION:
Financial statements are the statements, which show the financial performance and
financial position of an organization during a particular period. Financial statements
include trading and profit and loss account and balance sheet. Trading and profit and
loss account is prepared to know the profit earned and loss sustained during a particular
period. Balance sheet is prepared to know the financial position of a concern.
Financial analysis is the process of identifying the financial strengths and weakness of
firm by properly establishing relationships between the items of Balance sheet and
Profit and loss account. Analyzing financial statements is the process to evaluating
result between component parts of financial statement to obtain a better understanding
of firms position and performance. The main aim of financial statement analysis is to
find out the profitability and financial position of the firm. To analyze the financial
statements are classified methodically, analyzed and compared with the figures of the
previous years. With the help of the tools financial manager can rationalize his decision
and reach the goal.
The study would reveal the actual financial position of the bank and its
policies which in turn will enlighten the financial strengths and weakness.
SECONDARY OBJECTIVES:
To find out the position of profit by comparing balance sheet for five
years.
With the reference for printed annual report for TAMILNADU STATE APEX
CO-OPERATIVE BANK LIMITED.
There are various financial information which are collected from text book.
The main sources of information for this project work is published material
like annual reports and other data collected from the bank records.
Ratio analysis
The study was carried out of the period limited to five years i.e. from 2004 - 2005
to 2008 - 2009.
1.1.6 CHAPTERISATION
Chapter 1. is arranged starting from the introduction of the study, need and importance
of the study, Research methodology and limitations of the study, and then it consists of
theoretical perspective of the study and profile of the bank.
REVIEW OF LITERATURE
Hunter, Ventura, and Kearns (1999) conducted cost analyses using two different
methods based on client and aggregate (center) level data, and included actual cash
expenditures and donated goods and services. The average cost per visit was $63 ($85
in 2000 dollars) based on the client method and $101 ($136 in 2000 dollars) based on
the aggregate method. Comparison groups (county-operated facilities) had similar costs
per visit ranging from $62 ($84 in 2000 dollars) to $92 ($124 in 2000 dollars) per visit.
Cost per patient was $240 based on the aggregate method; no comparison groups were
reported.
One study compared two ANMCs using gross cost accounting and activity-based
costing (Vincent, Mackey, Pohl, Hirth, & Oakley, 1999). Direct, indirect, and donated
goods and services costs were included. Revenue per visit was $60 ($64 in 2000
dollars) at the self-sustainable and profitable center, and $27 ($29 in 2000 dollars) at
the center with grants and subsidies. Gross costing analysis estimated a total cost per
visit of $45 ($48 in 2000 dollars) and $41 ($44 in 2000 dollars) at the self-sustainable
and the subsidized centers, respectively.
Performance measures reported in this literature are insufficient to establish
benchmarks for ANMCs. Studies reported few performance measures used different
methodologies for calculating costs and only one study compared ANMCs. Multi-site
studies are needed that compare multiple standardized performance measures and
include all types of costs.
Presented here are findings from a study that examined services, funding, and cost
structures of six ANMCs and compared their relative efficiency based on more than 40
performance measures. Findings reported in this article include funding sources and
financial performance measures based on encounters and patients. Components of the
performance measures are defined so that future studies can replicate the methodology
as ANMCs work towards establishing necessary benchmarks.
8
The bank has completed 104 years and entered into 105th year of useful service
to the farmers.
The various cooperative institutions like the District Central Cooperative Banks,
Primary Agricultural Cooperative Banks & Primary Weavers Cooperative
Societies and Apex Cooperative Institutions.
The Authorized share Capital of the Bank is Rs.125.00 Crores. The Share
Capital of the Bank as on 31.03.2010 is Rs.61.07 Crores.
The Bank is catering to the needs of the public in Chennai through its network of
44 Branches and 1Extension counter situated in and around the city.
BANKS PRODUCT
Deposits from public- Bank accept fixed deposit and requiring deposits.
Jewel loan to customers- Bank provide loan to customer for jewel kept in
bank and get money.
10
CHAPTER 2
ANALYSIS AND INTERPRETATION
SHARE CAPITAL
OWNED FUND
2004-2005
40,94,70,000.00
439,15,78,942.00
9.300
2005-2006
53,47,60,000.00
563,97,40,252.00
9.280
2006-2007
56,60,20,000.00
617,47,32,751.00
9.160
2007-2008
61,07,10,000.00
687,83,28,714.00
8.878
2008-2009
61,07,10,000.00
693,60,81,799.00
8.804
7E+09
6E+09
5E+09
share capital
4E+09
owned fund
3E+09
2E+09
1E+09
0
2004-2005 2005-2006 2006-2007 2007-2008 2008-2009
11
INTERPRETATION
The data shows a gradual increase in share capital and owned funds. It is
also observed that percentage increase in owned fund is more than that of
share capital over five years.
In the year 2007-2008 and 2008-2009, there is no change in share capital
value.
12
NET PROFIT
TOTAL ASSETS
2004-2005
25,37,71,690.00
4793,45,67,563.77
0.529
2005-2006
28,01,59,366.31
5075,25,86,823.29
0.550
2006-2007
21,78,09,498.03
5249,34,46,430.29
0.414
2007-2008
15,11,76,286.30
5890,29,83,797.79
0.256
2008-2009
33,73,97,767.23
6967,83,59,647.33
0.484
7E+10
6E+10
5E+10
4E+10
Net profit
Total assets
3E+10
%
2E+10
1E+10
0
2004-2005
2005-2006
2006-2007
2007-2008
13
2008-2009
INTERPRETATION
The data shows a gradual increase in the both net profit around 8 cr. Whereas
increase in total assets is by 2000 cr. The ratio of net profit to total assets does
not follow any trend and is varying.
It can be seen that in the year 2007-2008 net profit decreased drastically. This
may be attributed to the new tax policy implemented by Government. So bank
net profit are reduced and in the following year i.e. 2008-2009 the net profit
position change.
14
DIVIDEND
NET PROFIT
2004-2005
6,55,15,200.00
25,37,71,690.00
25.810
2005-2006
5,88,23,600.00
28,01,59,366.31
20.990
2006-2007
4,52,81,600.00
21,78,09,498.03
20.780
2007-2008
5,49,63,900.00
15,11,76,286.30
36.350
2008-2009
8,54,99,400.00
33,73,97,763.23
25.340
350000000
300000000
250000000
dividend
200000000
Net profit
150000000
100000000
50000000
0
2004-2005
2005-2006
2006-2007
2007-2008
15
2008-2009
INTERPRETATION
In this data shows the amount payment of dividend position is not constant.
Because the payment of dividend rate is vary from one year to another year but
bank fixed the rate is based on performance.
The percentage is high standard of year 2007-2008 for reason is net profit earn
low margin. But the bank provide 9 % dividend rate to share holders so, the
dividend percentage is more.
16
2.1.1.4
NET PROFIT
2004-2005
WORKING
%
CAPITAL
25,37,71,690.00
4788,74,67,760.00
0.529
2005-2006
28,61,59,366.31
5068,42,68,960.00
0.550
2006-2007
21,78,09,498.03
5244,98,08,820.00
0.415
2007-2008
15,11,76,286.30
5886,94,18,300.00
0.256
2008-2009
33,73,97,767.23
6964,55,48,870.00
0.484
7E+10
6E+10
5E+10
Net profit
4E+10
Working capital
3E+10
2E+10
1E+10
0
2004-2005
2005-2006
2006-2007
2007-2008
17
2008-2009
INTERPRETATION
The analysis shows a gradual increase in both net profit and working
capital. It is also observed that percentage increase in working capital is
more than that of net profit over five year.
18
2.1.1.5
YEAR
OWNED FUND
2004-2005
WORKING
%
CAPITAL
439,13,78,942.00
4788,74,67,760.00
2005-2006
563,97,40,252.00
5068,42,68,960.00
11.130
2006-2007
617,47,32,759.00
5244,98,08,820.00
11.770
2007-2008
687,83,28,714.00
5886,94,18,300.00
11.680
2008-2009
693,60,81,799.00
6964,55,48,870.00
9.950
7E+10
6E+10
5E+10
Owned fund
4E+10
Working capital
3E+10
2E+10
1E+10
0
2004-2005
2005-2006
2006-2007
2007-2008
19
2008-2009
9.170
INTERPRETATION
The data shows the working capital increasing position. In the same time
the owned fund also increase gradually. But the year 2008-2009
percentage are reduced for the bank because of the increase in reserve
fund but the working capital is not increase that much of owned fund.
20
2008
2009
Different
Liabilities
1. Share capital
443,75,10,000.00
635,09,10,000.00
191,34,00,000.00
30.12
2. Reserve
626,76,18,714.44
632,53,71,799.62
5,77,53,085.00
0.91
3. Surplus
15,11,76,286.30
33,73,97,767.23
18,62,21,480.90
55.19
608,40,24,496.00
830,58,55,003.00
222,18,30,507.00
26.75
-------------------
39,16,700.07
39,16,700.07
100.00
3993,71,49,661.16
4429,15,81,597.70
435,44,31,930.00
9.83
92,61,17,795.39
95,99,80,653.45
3,38,62,858.10
3.52
109,93,86,794.45
310,33,46,126.26
200,39,59,332.00
64.57
5890,29,83,747.74
6967,83,59,647.33
1. Fixed assets
736,04,179.90
703,47,547.49
(32,56,632.41)
(4.62)
2. Other assets
21,14,76,252.63
27,05,98,583.44
5,91,22,330.80
21.84
3. Advance
3336,26,10,831.25
3296,00,83,425.03
(40,25,27,410.00)
(12.21)
4. Investment
1458,51,13,237.00
645,56,74,636.00
188,05,61,400.00
11.42
5. Liquid assets
367,01,79,246.96
296,16,55,455.03
(70,85,23,791.00)
(23.92)
6. Money call
700,00,00,000.00
1695,00,00,000.00
95,00,00,000.00
58.70
5890,29,83,747.74
6967,83,59,647.33
4. Borrowings
5. Branch
adjustment
6. Deposits
7. Liquid
Liabilities
8. Other liabilities
Total liabilities
Assets
Total assets
21
INFERENCES:
22
2007
2008
Different
Liabilities
1. Share capital
247,94,20,000.00
443,75,10,000.00
195,80,90,000.00
44.12
2. Reserve
560,87,12,759.33
626,76,18,714.44
65,89,05,955.11
10.51
3. surplus
21,78,09,498.03
15,11,76,286.30
(6,66,33,211.70)
(44.07)
878,22,74,925.00
608,40,24,496.00
(269,82,50,429.00)
(44.34)
43,37,167.85
-------------------
(43,37,167.85)
( --)
3263,50,40,050.00
3993,71,49,661.16
730,21,09,610.00
18.28
72,20,45,583.10
92,61,17,795.39
3,79,35,070.30
24.78
204,38,06,437.70
109,93,86,794.45
(94,44,18,724.00)
(85.90)
5249,34,46,430.29
5890,29,83,747.74
7. Fixed assets
7,08,80,439.14
736,04,179.90
27,23,74,076.00
3.70
8. Other assets
43,21,50,298.60
21,14,76,252.63
(22,06,74,046.60)
(104.34)
242,95,93,933.52
3336,26,10,831.25
93,30,16,900.00
2.79
1083,73,78,158.00
1458,51,13,237.00
374,77,35,080.00
25.69
316,34,43,601.00
367,01,79,246.96
50,67,35,645.90
13.80
556,00,00,000.00
700,00,00,000.00
144,00,00,000.00
20.57
5249,34,46,430.29
5890,29,83,747.74
4. Borrowings
5. Branch
adjustment
6. Deposits
7. Liabilities
8. Other liabilities
Total liabilities
Assets
9. Advance
10. Investment
Total assets
23
INFERENCES:
The profitability of the bank is low to compare of pervious year. The reserve and
surplus is (44.07%), so dividend decreases for the share holders.
Fixed assets is increase 3.70%, so the assets is increase normally its favor for
the institution
Advance are increase 2.79%, so the bank provide loans to customers and earn
interest more compare to previous year
Deposits are increases to 18.28% so the bank has more funds to invest are
increasing their actives. But the bank has to pay the interest for depositor.
24
2006
2007
Different
Liabilities
1. Share capital
3,47,60,000.00
247,94,20,000.00
194,46,60,000.00
78.43
2. Reserve
510,49,00,252.00
560,87,12,759.33
50,37,32,507.10
9.72
3. Surplus
28,01,59,366.31
21,78,09,498.03
(6,23,49,868.3)
(28.62)
1026,75,97,090.66
878,22,74,925.00
(328,53,22,165.00)
(37.40)
21,73,265.00
43,37,167.85
21,63,902.85
49.89
3126,78,27,388.61
3263,50,40,050.00
134,72,12,670.00
4.12
7. Liabilities
68,36,27,205.50
72,20,45,583.10
4,27,55,545.46
5.92
8. Other liabilities
81,14,62,251.00
204,38,06,437.70
123,23,44,186.00
60.29
5075,25,86,823.29
5249,34,46,430.29
1. Fixed assets
7,31,95,585.82
7,08,80,439.14
(28,15,146.68)
(3.26)
2. Other assets
13,16,82,887.70
43,21,50,298.60
30,04,67,411.10
69.52
3. Advance
3040,70,58,390.00
3242,95,93,933.52
202,25,35,543.52
6.23
4. Investment
1105,36,40,414.00
1083,73,78,158.00
(216,26,62,260.00)
(1.995)
5. Liquid assets
297,70,09,538.00
316,34,43,601.00
18,64,34,063.00
5.89
6. Money call
611,00,00,000.00
556,00,00,000.00
(55,00,00,000.00)
(9.892)
5075,25,86,823.29
5249,34,46,430.29
4. Borrowings
5. Branch
adjustment
6. Deposits
Total liabilities
Assets
Total assets
25
INFERENCES:
The profitability of the bank is low to compare of pervious year. The reserve and
surplus is (28.62%), so dividend decreases for the share holders.
Fixed assets are reduced by 3.26%, so it is unfavorable, as long-term funds are
not used for acquiring of fixed assets. Whereas increase in long-term funds
shows that solvency of the bank is satisfactory.
Advance is increase 6.23%, so the banks provides loans to customers and earn
interest more compare to previous year.
Deposits are increases to 4.12% so the banks have funds to invest are
increasing their actives. but the bank have to pay the interest for depositor
26
2005
2006
Different
Liabilities
1. Share capital
40,94,70,000.00
53,47,60,000.00
12,52,90,000.00
23.42
2. Reserve
439,13,78,942.56
510,49,00,252.00
71,36,01,310.00
13.97
3. Surplus
25,37,71,690.20
28,01,59,366.31
2,63,87,676.10
9.41
4. Borrowings
1082,17,69,938.98
1026,75,97,090.66
124,58,27,160.00
10.32
5. Branch
adjustment
-----------------------
21,73,265.00
21,73,265.00
100.00
6. Deposits
3062,57,86,622.88
3126,78,27,388.61
64,20,40,760.00
2.053
7. Liabilities
86,32,93,583.20
68,36,27,205.50
(17,96,66,377.70)
(26.28)
8. Other liabilities
56,90,96,785.90
81,14,62,251.00
24,23,65,465.10
29.86
4793,45,67,563.77
5075,25,86,823.29
1. Fixed assets
7,18,40,253.79
7,31,95,585.82
13,55,332.03
1.85
2. Other assets
12,24,25,523.10
13,16,82,887.70
92,57,364.60
7.03
3. Advance
2823,30,14,280.00
3040,70,58,390.00
217,40,44,110.00
7.14
4. Investment
1209,09,53,372.00
1105,36,40,414.00
(103,73,12,960.00)
(9.38)
5. Liquid assets
323,46,32,196.00
297,70,09,538.00
(25,76,22,658.00)
(8.63)
6. Money call
417,00,00,000.00
611,00,00,000.00
194,00,00,000.00
31.75
7. Branch
adjustment
Total assets
1,17,01,938.89
-------------------
1,17,01,938.89
(--)
4793,45,67,563.77
5075,25,86,823.29
Total liabilities
Assets
27
INFERENCE:
28
2004
2005
Different
Liabilities
1. Share capital
37,81,60,000.00
40,94,70,000.00
31,31,000.00
7.64
2. Reserve
364,31,65,402.00
439,13,78,942.56
74,82,13,090.00
17.03
3. Surplus
19,41,38,562.63
25,37,71,690.20
5,96,33,127.60
23.49
818,03,08,749.00
1082,17,69,938.98
264,14,61,181.00
24.40
4. Borrowings
5. Branch
adjustment
6. Deposits
3,93,67,190.47
-----------------------
(3,93,67,190.47)
(--)
3119,87,19,120.00
3062,57,86,622.88
(57,29,32,500.00)
(1.87)
7. Liabilities
103,17,17,335.00
86,32,93,583.20
(16,84,23,751.80)
(19.50)
39,81,54,558.10
56,90,96,785.90
17,09,42,227.80
30.03
4506,37,30,924.73
4793,45,67,563.77
1. Fixed assets
12,00,07,909.89
7,18,40,253.79
(4,81,67,656.01)
(67.04)
2. Other assets
11,91,05,988.70
12,24,25,523.10
61,13,73,217.50
83.69
3. Advance
2427,49,43,290.00
2823,30,14,280.00
395,80,70,990.00
14.01
4. Investment
1356,00,19,825.00
1209,09,53,372.00
(146,90,66,450.00)
(12.15)
5. Liquid assets
243,96,53,910.00
323,46,32,196.00
79,49,78,286.00
24.57
6. Money call
455,00,00,000.00
417,00,00,000.00
(38,00,00,000.00)
(9.112)
7. Branch
adjustment
Total assets
---------------------
1,17,01,938.89
1,17,01,938.89
100.00
4506,37,30,924.73
4793,45,67,563.77
8. Other liabilities
Total liabilities
Assets
29
INFERENCE:
30
2009
Liabilities
1. Share capital
635,09,10,000.00
9.12
2. Reserve
632,53,71,799.62
9.10
3. Surplus
33,73,97,767.23
0.50
830,58,55,003.00
11.92
39,16,700.07
0.005
4429,15,81,597.70
63.56
95,99,80,653.45
1.38
310,33,46,126.26
4.454
6967,83,59,647.33
100.00
1. Fixed assets
703,47,547.49
0.10
2. Other assets
27,05,98,583.44
0.39
3. Advance
3296,00,83,425.03
47.30
4. Investment
1645,56,74,636.00
23.63
296,16,55,455.03
4.25
1695,00,00,000.00
24.33
6967,83,59,647.33
100.00
4. Borrowings
5. Branch adjustment
6. Deposits
7. Liabilities
8. Other liabilities
Total liabilities
Assets
5. Liquid assets
6. Money call
Total assets
31
2008
Liabilities
1. Share capital
443,75,10,000.00
7.53
2. Reserve
626,76,18,714.44
10.64
3. Surplus
15,11,76,286.30
0.25
608,40,24,496.00
10.32
-------------------
---
3993,71,49,661.16
67.80
92,61,17,795.39
1.57
109,93,86,794.45
1.87
5890,29,83,747.74
100.00
1. Fixed assets
736,04,179.90
0.12
2. Other assets
21,14,76,252.63
0.36
3. Advance
3336,26,10,831.25
56.64
4. Investment
1458,51,13,237.00
24.76
5. Liquid assets
367,01,79,246.96
6.231
6. Money call
700,00,00,000.00
11.88
5890,29,83,747.74
100.00
4. Borrowings
5. Branch adjustment
6. Deposits
7. Liabilities
8. Other liabilities
Total liabilities
Assets
Total assets
32
2007 amount
Liabilities
1. Share capital
247,94,20,000.00
4.72
2. Reserve
560,87,12,759.33
10.69
3. Surplus
21,78,09,498.03
0.41
878,22,74,925.00
16.73
43,37,167.85
0.08
3263,50,40,050.00
62.16
72,20,45,583.10
1.37
204,38,06,437.70
3.91
5249,34,46,430.29
100.00
1. Fixed assets
7,08,80,439.14
0.14
2. Other assets
43,21,50,298.60
0.82
3. Advance
3242,95,93,933.52
61.78
4. Investment
1083,73,78,158.00
20.64
5. Liquid assets
316,34,43,601.00
6.03
6. Money call
556,00,00,000.00
10.6
5249,34,46,430.29
100.00
4. Borrowings
5. Branch adjustment
6. Deposits
7. Liabilities
8. Other liabilities
Total liabilities
Assets
Total assets
33
2006
Liabilities
1. Share capital
53,47,60,000.00
1.05
2. Reserve
510,49,00,252.00
10.06
3. Surplus
28,01,59,366.31
0.60
1026,75,97,090.66
23.78
21,73,265.00
0.004
3126,78,27,388.61
61.61
7. Liabilities
68,36,27,205.50
1.35
8. Other liabilities
81,14,62,251.00
1.60
5075,25,86,823.29
100.00
1. Fixed assets
7,31,95,585.82
0.144
2. Other assets
13,16,82,887.70
0.26
3. Advance
3040,70,58,390.00
59.91
4. Investment
1105,36,40,414.00
21.78
5. Liquid assets
297,70,09,538.00
5.87
6. Money call
611,00,00,000.00
12.04
5075,25,86,823.29
100.00
4. Borrowings
5. Branch adjustment
6. Deposits
Total liabilities
Assets
Total assets
34
2005
Liabilities
1. Share capital
40,94,70,000.00
0.85
2. Reserve
439,13,78,942.56
9.16
3. Surplus
25,37,71,690.20
0.53
4. Borrowings
1082,17,69,938.98
22.58
5. Branch adjustment
-----------------------
---
6. Deposits
3062,57,86,622.88
63.40
7. Liabilities
86,32,93,583.20
1.80
8. Other liabilities
56,90,96,785.90
1.29
4793,45,67,563.77
100.00
1. Fixed assets
7,18,40,253.79
0.15
2. Other assets
12,24,25,523.10
0.03
3. Advance
2823,30,14,280.00
58.90
4. Investment
1209,09,53,372.00
25.22
5. Liquid assets
323,46,32,196.00
6.75
6. Money call
417,00,00,000.00
8.70
1,17,01,938.89
0.02
4793,45,67,563.77
100.00
Total liabilities
Assets
7. Branch adjustment
Total assets
35
deposits
borrowing
share capital
investment
advance
fixed assets
Interpretation:
The above trend charts show the following facts:
a) The share capital has shown an increasing trend.
b) The position of borrowings have not shown any change and remains
approximately same.
c) Deposits have increased in the year 2007-08 but in the subsequent year it has
decreased.
d) The investments remained constant over the period between 2005-1007 but in
2008-09 shown a slight decrease. A similar trend is shown for advances also.
e) Fixed assets remains constant from 2004-05 to 2008-09.
36
2008
2009
Increase
Decrease
Liquid assets
5890,29,83,747.74
6967,83,59,647.33
1077,53,75,899.59
-------------------
Total assets
5890,29,83,747.74
6967,83,59,647.33
Bills for
collection
3,35,65,437.08
3,28,10,769.33
7,54,667.75
----------------------
Total liabilities
3,35,65,437.08
3,28,10,769.33
Total assets
Total liabilities
5886,94,18,310.62
6964,55,48,878.00
Increasing
working capital
1077,61,30,567.34
----------------------
----------------------
1077,61,30,567.34
6964,55,48,878.00
6964,55,48,878.00
1077,61,30,567.34 1077,61,30,567.34
Assets
Liabilities
37
Rs
To reserve
Particular
Rs
5,77,53,085.18 By balance
To balance
15,11,76,286.30
33,73,97,767.23
24,39,74,566.11
39,51,50,852.41
39,51,50,852.41
Rs.
Application
Issue of share
Deposits
464,19,31,936.54
Interest
1077,61,30,567.34
3,46,17,525.80
Borrowing
193,43,30,507.00
Other liabilities
200,39,59,331.81
Branch adjustment
Rs.
39,16,700.07
1077,61,30,567.34
38
1077,61,30,567.34
2007
2008
Increase
Decrease
Assets
Liquid assets
5249,34,46430.29
5890,29,83,747.74 640,95,37,317.45
Total assets
5249,34,46430.29
5890,29,83,747.74
Bills for
collection
4,36,37,615.01
3,35,65,437.08
Total liabilities
4,36,37,615.01
3,35,65,437.08
Total assets
Total liabilities
5244,98,08,815.28
5886,94,18,310.62
Increasing
working capital
641,96,09,495.34
--------------
-------------------
Liabilities
5886,94,18,310.62
1,00,72,177.93
----------------------
--------------
641,96,09,495.34
5886,94,18,310.62 641,96,09,495.34
641,96,09,495.34
39
Rs
Particular
To reserve
65,89,05,955.11 By balance
To balance
15,11,76,286.30
Rs
21,78,09,498.03
59,22,72,743.37
81,00,82,241.41
Rs.
Application
Issue of share
195,80,90,000.00 Borrowing
Deposits
Interest
1014,92,16,744.57
40
Rs.
641,96,09,495.38
278,08,50,429.00
94,44,19,643.40
43,37,167.85
1014,92,16,744.57
2006
2007
Increase
Decrease
Assets
Liquid assets
5075,25,86,823.29
5249,34,46430.29
174,08,59,610.00
-------------------
Total assets
5075,25,86,823.29
5249,34,46430.29
Bills for
collection
6,83,17,863.31
4,36,37,615.01
Total liabilities
6,83,17,863.31
4,36,37,615.01
Total assets
Total liabilities
5068,42,68,959.98
5244,98,08,815.28
Increasing
working capital
176,55,39,858.30
--------------
--------------
176,55,39,858.30
5244,98,08,815.28
5244,98,08,815.28
176,55,39,858.30
176,55,39,858.30
Liabilities
41
2,46,80,248.30 ----------------------
Particular
Rs
Particular
To reserve
50,37,32,557.10 By balance
To balance
21,78,09,498.03
Rs
28,01,59,366.31
44,13,82,688.80
72,15,42,055.13
Rs.
Application
Issue of share
194,46,60,000.00 Borrowing
Deposits
136,72,12,670.00
Interest
Other liabilities
Branch adjustment
Rs.
176,55,39,858.30
328,53,22,165.00
6,30,98,625.90
123,23,44,186.00
21,62,902.85
505,08,61,074.30
42
505,08,61,074.30
2005
2006
Increase
Current assets
4793,45,67,563.77
5075,25,86,823.29
Total assets
4793,45,67,563.77
5075,25,86,823.29
Decrease
Assets
281,80,19,260.00
-------------------
2,12,18,094.16
Liabilities
Bills for
collection
4,70,99,769.15
6,83,17,863.31 ----------------------
Total liabilities
4,70,99,769.15
6,83,17,863.31
Total assets
Total liabilities
4788,74,67,790.00
5068,42,68,959.98
Increasing
working capital
279,68,01,166.00
5068,42,68,959.98
5068,42,68,959.98
43
--------------
279,68,01,166.00
176,55,39,858.30
176,55,39,858.30
Rs
Particular
To reserve
71,36,01,310.70 By balance
To balance
28,01,59,366.31
Rs
25,37,71,690.20
73,99,88,986.10
99,37,60,676.30
Rs.
Application
Issue of share
12,52,90,000.00 Interest
Deposits
64,20,40,760.00
Other liabilities
24,23,65,465.10
Branch adjustment
Borrowing
Rs.
279,68,01,166.00
20,08,84,449.80
21,73,265.00
124,58,27,160.00
299,76,85,616.80
44
299,76,85,616.80
2004
2005
Increase
Current assets
4506,37,30,924.73
4793,45,67,563.77
Total assets
4506,37,30,924.73
4793,45,67,563.77
Decrease
Assets
287,08,36,639.04
-------------------
3,20,52,052.87
Liabilities
Bills for
collection
1,50,47,743.28
4,70,99,769.15 ----------------------
Total liabilities
1,50,47,743.28
4,70,99,769.15
Total assets
Total liabilities
4504,86,83,181.45
4788,74,67,790.00
Increasing
working capital
283,87,84,586.17
4788,74,67,767.62
---------------------- ----------------------
283,87,84,586.17
4788,74,67,767.62
287,08,36,639.04
45
287,08,36,639.04
Rs
Particular
To reserve
74,82,13,090.00 By balance
To balance
25,37,71,690.20
Rs
19,41,38,562.03
80,78,46,217.57
100,99,84,780.20
Rs.
Application
80,78,46,217.57 Increase working capital
Rs.
283,87,84,586.17
3,13,10,000.00 Interest
20,04,75,805.00
17,09,42,227.80 Deposits
57,29,32,500.00
365,15,60,081.37
46
3,93,67,190.47
365,15,60,081.37
3. In the year 2004-05 to 2005-06 the issue of share is increase gradually. In the
year 2006-07 it change the normal increase issue of share. It increase
extraordinary for the raise the fund for the develop the organization, it
continuously the next year also but the changes happen in the 2008-09 for
reduce the issue of share for need is not raise.
47
CHAPTER 3
FINDING AND CONCLUSIONS
Share capital raised gradually 2004-09 for utilized the fund for development
motive are increase the share capital point of view.
The Bank surplus is raising condition on the year 2004-06 but the year 2006-08
is reduced of the bank profit condition after that 2009 started increase the profit.
Normally any institution is happen floating condition but have any reason for that
floating.
Funds flow of the bank is increase gradually, so the institution are using the
funds corrective path and constant way
48
3.2 Suggestions .
In bank, money call fund have excess in that fund to short term deposit for other
bank. The money call if invest in the mutual fund and gain more from short term
deposit.
The bank having depositor loan and jewel loan scheme, so the process is limited
the bank increase more facilities to customer.
The Bank have owned funds in ideally, its to investment in any other sector are in
share and debenture for earn income from the field and bank get some sources
from share and debentures.
The bank can increase its share capital by permitting the urban cooperative bank
apex institutions an cooperative sugar mills to became share holder
49
3.3 CONCLUSION
50
BIBLIOGRAPHY
1. I.M.PANDEY, Financial Management, Vikas Publication, Ninth edition, year
2009.
2. PRASANNA CHANDRA, Fundamental of Financial Management, Tata McGraw Hill, fifth edition, year 2004.
Websites:
www.headerp.com
www.Investopedia.com
www.moneycontrol.com
51
APPENDICES
Balance Sheet as on 31st march for five years
Particulars
2005
2006
2007
2008
2009
Liabilities
40,94,70,000.00
53,47,60,000.00
247,94,20,000.00
443,75,10,000.00
635,09,10,000.00
10. Reserve
439,13,78,942.56
510,49,00,252.00
560,87,12,759.33
626,76,18,714.44
632,53,71,799.62
11. Surplus
25,37,71,690.20
28,01,59,366.31
21,78,09,498.03
15,11,76,286.30
33,73,97,767.23
12. Borrowings
1082,17,69,938.98
1026,75,97,090.66
878,22,74,925.00
608,40,24,496.00
830,58,55,003.00
13. Branch
adjustment
14. Deposits
-----------------------
21,73,265.00
43,37,167.85
-------------------
39,16,700.07
3062,57,86,622.88
3126,78,27,388.61
3263,50,40,050.00
3993,71,49,661.16
4429,15,81,597.70
15. Liabilities
86,32,93,583.20
68,36,27,205.50
72,20,45,583.10
92,61,17,795.39
95,99,80,653.45
16. Other
liabilities
Total
liabilities
Assets
56,90,96,785.90
81,14,62,251.00
204,38,06,437.70
109,93,86,794.45
310,33,46,126.26
4793,45,67,563.77
5075,25,86,823.29
5249,34,46,430.29
5890,29,83,747.74
6967,83,59,647.33
8. Fixed assets
7,18,40,253.79
7,31,95,585.82
7,08,80,439.14
736,04,179.90
703,47,547.49
9. Other assets
12,24,25,523.10
13,16,82,887.70
43,21,50,298.60
21,14,76,252.63
27,05,98,583.44
10. Advance
2823,30,14,280.00
3040,70,58,390.00
242,95,93,933.52
3336,26,10,831.25
3296,00,83,425.03
11. Investment
1209,09,53,372.00
1105,36,40,414.00
1083,73,78,158.00
1458,51,13,237.00
645,56,74,636.00
323,46,32,196.00
297,70,09,538.00
316,34,43,601.00
367,01,79,246.96
296,16,55,455.03
417,00,00,000.00
611,00,00,000.00
556,00,00,000.00
700,00,00,000.00
1695,00,00,000.00
1,17,01,938.89
-------------------
-------------------
-------------------
-------------------
4793,45,67,563.77
5075,25,86,823.29
5249,34,46,430.29
5890,29,83,747.74
6967,83,59,647.33
9. Share capital
14. Branch
adjustment
Total Assets
52