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Indian Economy Overview India has a mixed economy system.

In a mixed economy system the public sector (Governed-owned) enterprises exist, along with private sector enterprises to achieve a socialistic pattern of society. Planning In India: After independence India adopted a planned system of economy. Government of India constituted a Planning Commission in March 1950 with the Prime Minister of India as its chairman. Planning Commission is a statutory body. National Development CouncilChief Ministers of all the states of the country and the members of the Planning Commission of India constitute the National Development Council. The Prime Minister of India presides over the council. Five Year Plans in IndiaIndia after independence adopted the five year plans concept for the planned economic development of the country. The idea of five year plans in India was mooted by the great Indian engineer M. Visvesvarayya. This five year plan concept has been taken from the erstwhile U.S.S.R. First five year planFirst five year plan in India was launched in 1951-52. The period of this plan was 1951-52 to 1955-56. This plan gave the priority to the development of agriculture, irrigation, power and transport in order to create a base for rapid industrial growth of the country. Second five year plan-

The period of second five year plan I was 1956-57 to 1960-61. The main emphasis in second five year plan was laid on the industrial development. Periods Covered By Different Plans: 1.First five year plan 1951-56 2.Second five year plan 1956-61 3.Third five year plan 1961-66 4.Annual plan 1966-67 5. Annual plan 1967-68 6.Annual plan 1968-69 7. Fourth five year plan 1969-1974 8.Fifth five year plan 1974-78 9.Sixth five year plan 1980-85 10. Seventh five year plan 1985-90 1. Twenty Point Programme 2. Food for Work Programme 3. Minimum Needs Programme 4. Integrated Rural Development Programme (IRDP) 5. National Rural Employment Programme 6. Rural Labourers Employment Guarantee Programme 7. Jawahar Rozgar Yojna

8. Pradhan Mantri Grammoday Yojna 9. Self Employment to the Educated Urban Youth Indian Banking System'Bank of Hindustan' was the first bank of India which was opened in Kolkata in 1770. Again in 1806 AD, British government established Bank of Bengal, in 1840 Bank of liable exports and visible imports of two countries in trade with each Bombay and in 1843 Bank of Madras. Ml three banks were known as is called balance of payment. If the difference is positive the Presidency banks. In 1921 Imperial Bank of India was established payment (B.O.P.) is called favourable and if negative it is amalgamation of the three Imperial banks. In 1955 after nationalisation Med unfavorable. of the Imperial Bank of India it was renamed as State Bank of India At present State Bank of India is the biggest commercial bank of India In April 1, 1935 Reserve Bank of India was established Mumbai' as its headquarters. It is the Central Bank of India. It was nationalist on January 1, 1949. Again on July 19, 1969 fourteen big commerce banks were nationalised. Export-Import Bank (Exim Bank) was established in 1982 to provide funds to exporters and importers. The one rupee note bears signature of the Secretary, Ministry of Finance Govt, of India, whereas the remaining notes bear the signature of the Governor of the Reserve Bank of India (RBI). The main function of Reserve Bank of India is to control the monetary policy of the country and exchange rate of Indian currency. Awadh Commercial Bank was the first wholly nutritional standards of daily caloric intake of 2400 calories. Timercial bank which was established in 1880. The Punjab National in rural e a 2100 calories per person in urban areas are said to H bank was established in 1894. Indian Life Insurance Corporation was living below the poverty line.

TaxesTaxes can be levied either directly or indirectly. Direct TaxesIncome tax and corporation tax are two main direct taxes. Indirect TaxesCentral excise duty and customs duty are two I main indirect taxes. Bank RateIt is the rate of interest charged by the Reserve bank of India for lending money to commercial banks. DeflationA state of decrease in money circulation resulting ir Prices and unemployment. Black MoneyIt means unaccounted money, concealed income undisclosed wealth. In order to evade taxes some people falsify their accounts and do not record all transactions in their books. The lonely which thus remains unaccounted for and is illegally accumulated DevaluationDevaluation is a term indicating a definite officer downward valuation of country's currency in terms of its eucharis. value with other currencies, Hard CurrencyHard currency is hard or difficult to secure

Hot MoneyIt describes money or currency which everybody), anxious to drop for fear of a fall in its exchange rate. InflationIt is an increase in the amount of paper money which tends to raise general price level of commodities.

INDUSTRY PROFILE Water is a key to social equity to environmental stability and to cultural diversity. Water is also firmly linked with health. Pure and safe drinking water has always been a necessity. The tradition and style of serving drinking water, in India, has however changed quite dramatically during the last decade. Almost a decade ago, the introduction of bottled water or packaged mineral water has changed the tradition of serving and consuming drinking water. This has ushered in very strongly, the use of polymers or plastics as materials for water storage and distribution. The tradition of bottled water and mineral water is not very old. Even in western countries the practice of bottled drinking water started only in 1950s. Since ancient time people have used water from mineral springs, especially hot springs, for bathing due to its supposed therapeutic value for rheumatism, arthritis, skin diseases, and various other ailments. Depending on the temperature of the water, the location, the altitude, and the climate at the spring, it could be used to cure different ailments.

This started the trend of using mineral water for drinking purposes in order to exploit its therapeutic value. Since mid1970s large quantities of bottled water from mineral springs in France and other European countries began to be exported. The concept of bottled water is relatively successful in western countries due to greater health consciousness. The categories of bottled water in India are Packaged Natural Mineral Water and Packaged Drinking Water .Bottled water industry, colloquially called, the mineral water industry, is a symbol of new life style emerging in India. The packaged drinking water in India, which is estimated at Rs.850 Crores with over

200 brands floating in the market, most of which have restricted territorial distribution. This is a growing market in India as quality consciousness among the consumers is on the rise. The bottled water market is growing at a rapid rate of around 20%.At this growth rate, the Rs 7000million per year market is estimated to overtake the soft drinks market soon. Multinationals, SAB MILLERS, SHAW WALLACE Coca-Cola, Pepsi, Nestle and others are trying to grab a significant share of the market. There are more than 180 brands in the unorganized sector. The small players account for nearly 19% of the total market. The per capita consumption of bottled water in India is less than half a litre per year, compared to 111 litres in France and 45 litres in the US.These points to the future potential beyond the high growth. Major Players with their brands include Parle Export which introduced Bisleri in India 25 years ago, Parle Agro with Bailley, Godrej Foods with its Golden Valley, Coca-Cola with Kinley, PepsiCo with Aquafina, Nestle India with Perrier, Mohan Meakins and SKN Breweries entered the market with Golden Eagle and Penguin mineral water, respectively. Nonetheless, Bisleri and Bailley, both of Parle Origin , enjoy about 50% market share and has become almost generic with the product. The premium bottled water market in India has brands like Evian, San Pelligrino, Perrier. In the market for water purifiers, while Aquaguard from Eureka Forbes, remains the market leader, several others have made it to the market place. Usha Shriram with its Brita water Purifier already established, has launched Indias first digital water purifier-the water guard Digital in collaboration with Brita GmbH of Germany. HLL has also forayed into the water business, with its water purifier device called Pure. Water Purifiers (residential segment) are growing at 22-25% annually. A high growth rate indicates a good future potential in these sectors. It is a Rs 5 to 6

billion industry, with Aquaguard cornering more than 50% of the market. The rest is divided among Kent RO, Pentair, Ion Exchange and Others.

COMPANY PROFILE

TEJKAMAL TRADE LINKS Type of the company: Private limited company Year of incorporation: Incorporated in 1998, based in Bangalore, One of the multifunctional organisation dealing with various products like soft drinks, packaged drinking water all over the state. Tejkamal Trade Links(TKTL) was initially into packaged drinking water business which was branded under SHAW WALLACE. Brands being ROYALCHALLENGE KNOCK OUT FOSTERS etc TKTL built highly equipped and most sophisticated plant of Reverse osmosis and de- mineralising process plant in Tumkur Road for which the company was awarded with the JAWAHARLAL NEHRU AWARD FOR EXCELLENCY IN 2004. Taking major market share in packaged drinking water industry , the company then decided into first diversion as soft drinks (juicy cool, jive, jeera soda).

Vision, Mission & Quality policy Vision: 1 - Create commonality of interests. 2 - Reduce daily monotony. 3 - Provides opportunities & challenges

Mission We are committed to produce & deliver top quality product to our consumer. To be the Worlds Premier Consumer products focused on

convenient food and beverages. In every thing we do we strive for honesty, fairness and integrity. To achieve this every batch of incoming raw materials are checked for quality by our Quality Assurance Department. We use only high grade sugar Apart from this, on line & final product checks are carried out at regular intervals. We purchase raw materials only from approved sources, approved by independent laboratories of internal repute. The entire range of equipments is made out of superior grade Stainless Steel Material. We give special attention to o Personnel Hygiene & Sanitation o House Keeping

o Good Manufacturing Process o Special attention is also given to keep the Factory Surroundings Clean & Green by growing Lawn The firm has one of the best distribution infrastructures in the business to provide timely services to all our vendors. Their product comes in a wide range of packages like 200ml, 250ml, 500 ml, 1ltr, 2 ltr, 5 liters, 20 liters & 600ml & 1.5 liters Soda.

Their packaged drinking water is bottled in fully automatic plant with reverse osmosis, organization & ultra filtration process. Along with latest pesticides removal system through activated carbon filtration process as per EU norms.

They process water with the most modern, high tech equipment sodium filtration resulting in not only healthy but also sweeter packaged drinking water. Their packaged drinking water is manufactured under a very strict in house quality control system, ensuring that what we drink is what nature intended.

Promoters of the company Mr. Vipin Kumar

Shareholding pattern Company Name: Country/Territory: Tejkamal Trade Links Pvt. Ltd., India #726, Belmar industrial estate, near swathi Address: petro; bunk, 8th mile, jalahalli, Bangalore -79 E-mail : vipbobtktl@yahoo.com Royal challenge, Blue, Fosters, Knock out, Products/Services We Offer: Royal Blue packaged drinking water, soda and Jive fruit drink Business Type: Industry Type: Geographic Markets: No. of Employees: Annual Sales Range (USD): Manufacturer / Supplier FMCG, Foods & Beverages India 200 People US$1 Million - US$2.5 Million 60% of shares held by promoter and 20% held Share holding pattern by Mr. Sheshadri. k and rest by Mr. Rajeev Solanki Year Established: M.D. Legal Representative/CEO: 1998 Mr.Vipin kumar Mr. Sheshadri. K

ORGANIZATIONAL CHART

Resident Director (CEO)

GM (Plant)

Manager (Finance)

Manager

Manager (Sales & Marketing &/ TDM)

Assistant Manager (A/c)

Executive HR

Executive Administrator

Executive General

Senior Executive Accountant Shipping (Executive)

Executive Accountant

Assistant

Clerk

Security

Store (Executive)

Manager (Production)

Manager (Quality control)

Manager (Quality control)

TEJKAMAL TRADE LINKS (


Executive (Production)

Executive (Quality Control)

Chemist

CE/ Executive Marketing

Area Sales Manager

Size of land and building Acquires an area of 4 acres or so including office premises. Branches: None Beverages Incorporated in 1998, based in Bangalore, One of the multifunctional organisation dealing with various products like apparels, soft drinks, packaged drinking water and one of the largest wholesale dealer of Samsung electronic products all over the state. Its one of Karnatakas finest dealers and designer of garments for men, women and children and caters to the needs of international fashion brands and retailers. Tejkamal Trade Links was initially into packaged drinking water business which was branded under SHAW WALLACE. Brands being, ROYAL CHALLENGE, KNOCK OUT, FOSTERS, BLUE, ROYAL BLUE etc. TKTL built highly equipped and most sophisticated plant of Reverse osmosis and de- mineralising process plant in Tumkur Road for which the company was awarded with the JAWAHARLAL NEHRU AWARD FOR EXCELLENCY IN 2004. Taking major market share in packaged drinking water industry , the company then diced into . first diversion as soft drinks (juicy cool, jive, jeera soda),

An ISO 9001:2000 Certified Company has a capacity to produce and sell and 2.5 million bottles of water a week. The Group's products include packaged drinking water, distilled water, soda etc.

As the new soft drink introduced by TKTL is still in introduction stage the company is conducting direct sales and aggressive salesmanship. The sales is expanding day by day. The company is now thinking of incorporating an effective distribution system.

Product Natural Spring Water Packaged Drinking Water Soda Jive fruit juice

Quantity available 200ml, 500ml, 1ltr 200ml, 500ml,1ltr, 2ltrs, 5ltrs, 20ltrs 300ml, 600ml & 2ltrs 300ml, 600ml & 2ltrs Soda

Market share Commands a 29% market share in the country.

Achievements 6 bottles of Royal challenge are sold every second in India. Won Jawaharlal Nehru award for quality and excellence in 2003 Won excellence award from KASSIA The only plant in India with a capacity to produce 4-5 different brands under one roof Named by BIS as World class highly systematized plant area

FUNCTIONAL ANALYSIS 1. PRODUCTION DEPARTMENT 2. MARKETING DEPARTMENT 3. HUMAN RESOURCE DEPARTMENT 4. FINANCE DEPARTMENT

MANUFACTURING PROCESS MANUFACTURING PROCESS

Purification Process Purity and safety are two major factors taken care in sourcing and processing of Packaged drinking water water. Underground spring is carefully selected based on its portability and pathogen free water. Great care goes in tapping this source. Only water below 25 meters is tapped. This is to avoid any surface contamination to percolate and mix with underground water source. Area surrounding the water collection tube at the surface is protected and kept clean.

Processing and Quality Assurance The casing tube itself is protected with stainless steel mesh to give a preliminary filtration to the water. Ultra filtration gives water reduction in turbidity and adds sparkle activated carbon purifier to remove color and odour in water Reverse osmosis membrane has porosity of less than 0.01 micron the process renders water free o microorganisms and also reduces dissolved solids To ensure packaged drinking water is held safe free from contaminations, ultraviolet treatment and ozonisation process is carried out. Ozone is unstable trivalent oxygen, a very powerful bactericide with no side effect, as it disintegrates into oxygen within couple of hours. Sterilization effect of ozonised water continues even after water is packaged, thereby ensuring safety of up to its final packing. To ensure high quality of packing materials, components like caps and bottles are manufactured in-house from resins of quality suppliers.

Good Manufacturing Practices are stringently followed at all times. Processing is religiously monitored at every stage. Testing source water, processing parameters, microbial quality, packaging material integrity and finally, shelf life studies, forms an integral part of quality and safety assurance plan.

Quality checking: Quality is checked by sampling method as a batched test at every stage of beer manufacturing even quality of bottle is also checked before actually using.

SUSTAINABLE ADVANTAGE Three major sustainable advantages give a competitive edge as the firm operate in the huge marketplace: 1.Big, muscular brands; 2.Proven ability to innovate and create differentiated products; and 3.Powerful go-to-market systems.

Making it all work are the firms extraordinarily talented and dedicated people. When they take these competitive advantages and invest in them with dollars generated from top-line growth and cost-saving initiatives, they sustain a value cycle for our shareholders. In essence, investing in innovation fuels the building of their brands. This in turn drives top-line growth. Dollars from that top-line growth are strategically reinvested back into new products and other innovation, along with cost-savings projects. Thus, the cycle continues.

MARKETING MIX OF THE FIRM Industry type FMCG / Food & Beverages

There are many areas of marketing to work in like Design, Advertising, Promotions, Consumer awareness; Product awareness etc. and these all area are originated through the MARKETING MIX which consists of 4 Ps i.e.

PRODUCT- under this decision taken are:


The product itself (design, quality, packaging etc) The diversification of the existing Product

PRICE - under this decisions taken are :


Setting Prices Discounts Credit rules

PLACE - under this decisions taken are :

The best way to sell the products to the customers (Channels of Distribution)

The transport system

PROMOTION - under this decisions taken are:

Advertising Sales Promotion Public Relations

HUMAN RESOURCE DEPARTMENT :

HR STRATEGY OF THE COMPANY:

STAFF: Staff refers to the company human resources, which includes the manpower available in the entire organization. The company (TEJKAMAL TRADE LINKS) divided its human resource in to: 1. Technical Staff: Company classifies employees working in production department where many activities related to technical are done. Such as filling and making of pet bottle section. 2. Non - Technical staff: Company also has non - technical staff in security department, dispatch section and workers in garden etc. 3. Administrative staff: Tejkamal trade links also have the staff to administrate the company. Every department has the head of the department; the H.O.D Staff makes decision in the company after having discussion with the subordinates. Total Manpower of Tejkamal trade links Pvt. Ltd: CEO Managers Executives Staff Permanent laborers 01 05 32 09 90

Temporary workers (season) Male Female

70 120 80

Company also takes temporary workers during the season that is summer season it takes up to 120 workers and during non-season it recruits only 30 workers to meet manpower requirement.

RECRUITMENT Recruitment is nothing but searching and obtaining potential candidates in sufficient number and quality and stimulates them to apply for job, so that organization can select the most appropriate people to fill its job needed. There are two sources of recruitment namely internal and external sources of recruitment it only follows externals recruitment, such as 1. Casual callers: 2. Placement Consultants: 3. Employment Exchanges officers: 4. News Paper Advertisement:

Recruitment Process in Tejkamal trade links: The recruitment policy adopted by the organization has influence on its employees and on the efficiency of the company. So the recruitment policy adopted by the company should aim at right kind of potential candidates to ensure right kind candidate have been simulated for the job. The recruitment policy adopted by the Tejkamal trade links Pvt. Ltd is as follows: 1. The recruitment policy in the company begins with receiving the recreation form concerned department. 2. The plant manager and the manager and other departmental heads will discuss the necessity of the job and will take the decisions. 3. The manager will develop the job description and job specification.

4. The next step is followed by the advertisement of the requirement of the job if it found necessary.

Selection procedure in TEJKAMAL TRADE LINKS: Tejkamal trade links has the simple selection procedure, as it is the franchise unit. The company follows the following procedure for selection: 1] Application banks: 2] Preliminary interview: 3] Tests: 4] Final interview: Training: Training is given to the new employees for 6 months and their superiors are observed them for that period. For present employees training is given by sending them to different places. Some of the training methods followed are, Job rotation Coaching Job Instruction Lectures Employee empowerment programs.

Wages and Salary Administration: Salary (Executives) Basic D.A H.R.A Conveyance Allowance Washing Allowance Wages(Workers) Shift Allowance Attendance Allowance Washing Allowance Over time Allowance Others

Provident Fund & Bonus Payment: 1.75% of total salary by the employee. 8.33% of salary i.e. D.A + V.D.A Leaves provided for the employees.

Leaves provided to staff and Executives on the basis of physical days are given below

Leaves Casual Leave Privileged Leave Sick leave

Staff Workers 12 18 10

Executives 10 30 15

Welfare Facilities; 1. TEJKAMAL TRADE LINKS considers its employees as a valuable resource of the organization. Hence various welfare facilities are provided to the employees. 2. Free two pairs of uniforms are given to employees and one pair of shoes every year for workers only. 3. Every day 4 times tea is provided to all the employees. 4. All employees and workers are covered under ESIC i.e. Employee State Insurance Corporation 1948. 5. Basic loan facility without interest. 6. Production Incentives for overtime work 35-40 Rs. per hr is paid to workers. Retirement benefits to the employees: 1. EPF: If the employees are retired at 58 years, P F Office will give family pension provided the employee has done a minimum of 10 years service in the company. 2. GRATUITY: Insurance co gives group gratuity scheme to the employees

who have served the organization for 5 years. Reports and Records: Reports & Records are maintained from inception to retirement. Conventional Methods: 1. Paper 2. Charts 3. Files 4. Blue Prints. 5. Diskettes. EMS: Employee Management System is used in the company. Modern Methods: 1. Video 2. Audio 3. Magnetic Tapes

3. SKILL: A skill refers to how smart an employee does his work with available sources. In marketing department various steps are taken for staff to develop appropriate new skills for marketing their products. a. Multi disciplinary skills: In production department some persons have the skill to operate bottle washing machine, sealing machine, and even some time they also handle small problems in machines. They themselves identify the problem area of machine and make it repaired if required. b. Single skill: Single skill refers to the only single skill which people, which people have in organization. In Tejkamal trade links only HR people and chemist have the single skill.

Skill classification in Tejkamal trade links: In Tejkamal trade links skill is mainly classified in marketing department and engineering skills in production department. In marketing department extra benefit will be given to the persons who achieve the sales target. Every person in marketing department will be having respective sales target. Once in a year various steps are taken to import various skills such a listening skill, presentation skills to customer executives.

4. STRATEGY: Strategy refers to how an organization will attain its vision, mission responds to the threats & opportunities of the new capabilities needed in different departments. Strategy is the determination of the basic long-term goals and objectives of an enterprise and the adoption of the course of action and the allocation of resources necessary for carrying out these goals The main strategy of TEJKAMAL TRADE LINKS is aiming at gaining the sustainable advantage over the competitors and improving the Product through quality and reduces cost. It is also trying to improve its position in the minds of the customers by following up and providing the customer value and value added service of the competent industry. And also the company is allocating the resource available very legibly to get best out of the availability.

TRANSFER POLICIES: no branches, no transfers. COMPENSATION POLICIES: Compensation Policies follow ESI-Act EMPLOYEE STATE INSURANCE ACT: 4.75% 1.75% --Employer

Employee

PUNISHMENT SYSTEM: MEMO (Asking Explanation) SUSPENSION CHARGE SHEET ENQUIRY DISMISSAL

PERFORMANCE APPRAISAL SYSTEM: Suresh Dasar a unskilled labour through his firm hard work and dedication moved to top Executive Position with in time span of 4-5 years it shows that performance appraisal happens according to the hard work of the employee.

SWOT ANALYSIS OF HUMAN RESOURCE DEPARTMENT

Strength Performance appraisal is done on the basis of work & not on the on the job experience which motives employees. High degree of participative management

Weakness Shortage of effective and skilled labors

Opportunities Proper training and development programs can enhance the skills of workers which help the company in meeting the objectives of organization

Threats Proper training and development programs can enhance the skills of workers which help the company in meeting the objectives of organization

Finance Department: Department structure

Terms and concepts used in the study: Several ratios calculated from the accounting data, can be grouped into various classes accounting to financial activity or functions to be evaluated. We classify ratios into the following four important categories. 1. Liquidity ratio 2. Leverage ratio 3. Activity ratio 4. Profitability ratio

1. Liquidity ratio: Liquidity refers to the ability of a firm to meet its obligations in the short run, usually one year. Liquidity ratios are generally based on the relationship between current assets (the sources for meeting short ten obligations) and current liabilities. The important liquidity ratios are:

Current Ratio Acid Test ratio or Quick Ratio Cash Ratio Net Working Capital Ratio 2. Leverage ratio: Financial leverage refers to the use of debt finance, while debt capital is a cheaper source of finance. It is a riskier source. Leverage ratios help in assessing the risk arising from the rise of debt capital. The important ratios are: Proprietary ratio Fixed assets to net worth ratio .3. Activity/efficiency/turnover ratio: Activity ratios are employed to evaluate the efficiency with which the firm manages and utilizes its assets. These ratios are also called turnover ratios, because, they indicate the speed with which assets are being converted or turned over into sales. Activity ratios thus involve a relationship between sales and assets. The proper balance between sales and assets generally reflects that assets are managed well.

Balance sheet of Tejkamal trade Links as on 31.3.2010

Schedule As at No. 31.3.2010 Amount in Rs. Sources of Funds Share Capital Total A Reserves and Surplus: Loan fund : Secured loans Un-secured loans Total B Total A+B Application of Funds Fixed assets Gross Block Depreciation Net block Total A Investments Total B Current assets loans and advances Inventories 07 07 a 07 b 10117530.00 1724837.62 06 05 37907215.44 20259782.22 17647433.22 10435540.00 02 03 18994771.41 1956982.00 20951753.41 29980708.92 5000000.00 4028955.52 01 5000000.00

As at 31.3.2009 Amount in Rs.

5000000.00

5000000.00 2774872.15

23155568.28 6136969.00 28292537.28 37067409.43

32892326.44 16980898.33 15911428.11 5435540.00

10435540.00

5435540.00

8403335.00 1004509.45

Sundry debtors Cash and bank balance Loans and advances

07 c 08

3477640.85 4561066.34

194963.81 16534504.78

19881074.81

26127313.04

Less : current liabilities and provisions Current liabilities and provisions Current liabilities Provisions Total Net current assets( total-c ) Misc expenses to the extent not written off Preliminary expenses Total D Deferred tax asset Total E Total (A:E)

04 16363208.00 4a 4b 1975060.11 8962061.72 1664271.00

18338268.11 1542806.70

10626332.72 15500980.32

9100.00

13600.00

9100.00 345829.00 345829.00 29980708.92

13600.00 205861.00 205861.00 37067409.43

Balance Sheet as at 31st March, 2011

Schedule As at No. 31.3.2011 Amount in Rs. Sources of Funds Share Capital Total A Reserves and Surplus: Loan fund : Secured loans Un-secured loans Total B Total A+B Application of Funds Fixed assets Gross Block Depreciation Net block Total A Investments Total B Current assets loans and advances Inventories 07 07 a 07 b 11683474.88 6276193.43 06 05 39865706.44 22125463.86 17740243.00 10835540.00 02 03 14344423.56 6174246.00 20518669.56 51682799.94 9000000.00 22164130.38 01 9000000.00

As at 31.3.2010 Amount in Rs.

5000000.00

5000000.00 4028955.51

18994771.41 1956982.00 20951753.41 29980708.92

37907215.44 20259782.22 17647433.22 10435540.00

10835540.00

10435540.00

10117530.00 1724837.62

Sundry debtors Cash and bank balance Loans and advances

07 c 08

1427306.90 16925115.73

3477640.85 4561066.34

36311990.94 Less : current liabilities and provisions Current liabilities and provisions Current liabilities Provisions Total Net current assets( total-c ) Misc expenses to the extent not written off Preliminary expenses Total D Deferred tax asset Total E Total (A:E) 4600.00 680907.00 680907.00 51682799.94 4600.00 13890481.00 22421509.94 4a 4b 12540509.00 1349972.00 04

19881074.81

16363208.00 1975060.11

18338268.11 1542806.70

9100.00

9100.00 345829.00 345829.00 29980708.92

Balance Sheet as at 31st March, 2012 Note No. As at 31.3.2012 As at 31.3.2011

Amount in Rs. Amount in Rs. Equity and liabilities Shareholders Funds a) Share capital b) Reserves and Surplus 14451277 Sub total A Non current liabilities: a) Long term borrowings b) Deferred tax liabilities-(net) Sub total - B 6183273 6183273 6565387 23451327 22164131 31164131 9000050 9000000

656387 Current Liabilities: a) Short term borrowings b) Trade payables 726177 c) Other current liabilities d) Short term provisions Sub total C Total 22510848 458644 27843763 4543067 4166009 9265808 17241604 13953282

52145448

65573281

Non- current assets: a)Fixed assets: (i) Tangible 5690572 (ii) Intangible 17740243 -

(iii)Capital work in progress

10400000 695676

10400000 680907 20336455

b)Non-current investment:

22310400

39096648 c)Deferred tax asset- (net)

49157605

d)Long term loans & advances

Subtotal- a

Current assets: a)Inventories b)Trade receivables c)Cash and bank balances d)Short term loans and advances subtotal- b Total 9288724 2362743 1016833 380499 13048799 52145448 11683475 1565379 1427207 1739616 16415676 65573281

Financial analysis of the company with respect to 2011 and 2012:1. CURRENT RATIO: Current Ratio= Current Asset /Current Liability YEAR Current Asset (Rs.) Current Liability (Rs.) Current Ratio ( in Times) 13048799 22510848 16415676 27843763 2012 2011

0.58: 1

0.59: 1

Interpretation: - The standard current ratio is 2:1. It implies that for every one rupee of current liabilities, current assets of 2 rupee are available to meet them. In other words, the current assets are 2 times the current liabilities. Liquidity position, as measured by the current ratio, is much more in the year 2011 as compared to that of 2012. More the current ratio it implies more the ability of the company to meet its obligations in full. Increase in current liability is reason for decrease in ratio in 2012.

CURRENT RATIO
2.5

current ratio(in times)

2 1.5 CURRENT RATIO 1 0.5 0 2011 years 2012

2. QUICK RATIO: Quick Ratio=Quick Asset/Current Liability

Quick Asset= Current asset- Inventories

YEAR Quick Asset (Rs.) Current Liability (Rs.) Quick Ratio ( in Times)

2012 3760075 22510848

2011 4732201 27843763

0.17: 1

0.17: 1

Interpretation: - The standard quick ratio is 1:1. Quick Ratio is a rigorous measure of companys ability to service short-term liabilities.. Quick ratio has been same over two years. This implies that the funds has not been unnecessarily accumulated and are being profitably utilized. Quick ratio has no difference mainly due to current liabilities over the years.

3. NET WORKING CAPITAL: Net Working Capital=Current Assets-Current Liability Current Assets= Inventories +sundry Debtor + Cash and bank balance + Loans and advances Current Liability= Sundry creditors + share applications + Book overdrafts + advance YEAR Current Assets (Rs.) Current Liability (Rs.) Net Working Capital (Rs.) 2012 13048799 22510848 (9462049) 2011 16415676 27843763 ( 11428087)

Interpretation: - Net working capital has decreased from year 2011 to year 2012; it shows that the ability of the company to meet its current obligations has reduced. In the year 2011net working capital shows that the company has no sufficient current assets to meet the obligations and in the year 2012 current liability is more than current assets which doesnt result in companys disability to meet its obligations as company has longer-term contracts which result in negative working capital in both years because of high Deferred Revenue balances

4. PROPRIETARY RATIO: -

Proprietary Ratio=Equity/Total assets Total Asset= Fixed asset + Net current Assets + Investments Equity= Share Capital+ reserves and surplus

YEAR Equity (Rs.) Total Asset (Rs.) Proprietary Ratio (in Times)

2012 23451327 52145448 0.50: 1

2011 31164131 65573281 0.48: 1

Interpretation: - This ratio measures the productivity of the capital employed in the business, it shows the proportion of the total assets financed by the proprietors. In the year 2011 the proprietary ratio was higher indicating stronger financial position of the Company. But the ratio is less in 2012 indicating decrease in strength of financial position. The ratio has decreased because of difference in equity compared to that of total asset.

SWOT ANALYSIS of the company

Strength: Brands image Financially sound Distribution channel/coverage Technology advancement Quality Price competitive Personnel aspect Market expertise International component High promotional activities

Weakness: Less brand equity Boundary limited only in India

Opportunities: Capture the market New areas

Market potential Brand awareness Increase in investment

Threats: Higher availability of competitors Direct competitors are about to enter in Pakistani market. Technological environment New in market

Anneures Balance sheet of Tejkamal trade Links as on 31.3.2010

Schedule As at No. 31.3.2010 Amount in Rs. Sources of Funds Share Capital Total A Reserves and Surplus: Loan fund : Secured loans Un-secured loans Total B Total A+B Application of Funds Fixed assets Gross Block Depreciation Net block Total A Investments Total B Current assets loans and advances Inventories 07 07 a 07 b 10117530.00 1724837.62 06 05 37907215.44 20259782.22 17647433.22 10435540.00 02 03 18994771.41 1956982.00 20951753.41 29980708.92 5000000.00 4028955.52 01 5000000.00

As at 31.3.2009 Amount in Rs.

5000000.00

5000000.00 2774872.15

23155568.28 6136969.00 28292537.28 37067409.43

32892326.44 16980898.33 15911428.11 5435540.00

10435540.00

5435540.00

8403335.00 1004509.45

Sundry debtors Cash and bank balance Loans and advances

07 c 08

3477640.85 4561066.34

194963.81 16534504.78

19881074.81

26127313.04

Less : current liabilities and provisions Current liabilities and provisions Current liabilities Provisions Total Net current assets( total-c ) Misc expenses to the extent not written off Preliminary expenses Total D Deferred tax asset Total E Total (A:E)

04 16363208.00 4a 4b 1975060.11 8962061.72 1664271.00

18338268.11 1542806.70

10626332.72 15500980.32

9100.00

13600.00

9100.00 345829.00 345829.00 29980708.92

13600.00 205861.00 205861.00 37067409.43

Balance Sheet as at 31st March, 2011

Schedule As at No. 31.3.2011 Amount in Rs. Sources of Funds Share Capital Total A Reserves and Surplus: Loan fund : Secured loans 02 14344423.56 9000000.00 22164130.38 01 9000000.00

As at 31.3.2010 Amount in Rs.

5000000.00

5000000.00 4028955.51

18994771.41

Un-secured loans Total B Total A+B Application of Funds Fixed assets Gross Block Depreciation Net block Total A Investments Total B Current assets loans and advances Inventories Sundry debtors Cash and bank balance Loans and advances

03

6174246.00 20518669.56 51682799.94

1956982.00 20951753.41 29980708.92

05 39865706.44 22125463.86 17740243.00 06 10835540.00 37907215.44 20259782.22 17647433.22 10435540.00

10835540.00 07 07 a 07 b 07 c 08 11683474.88 6276193.43 1427306.90 16925115.73

10435540.00

10117530.00 1724837.62 3477640.85 4561066.34

36311990.94 Less : current liabilities and provisions Current liabilities and provisions Current liabilities Provisions Total Net current assets( total-c ) Misc expenses to the extent not written off 4600.00 13890481.00 22421509.94 4a 4b 12540509.00 1349972.00 04

19881074.81

16363208.00 1975060.11

18338268.11 1542806.70

9100.00

Preliminary expenses Total D Deferred tax asset Total E Total (A:E) 4600.00 680907.00 680907.00 51682799.94 9100.00 345829.00 345829.00 29980708.92

Balance Sheet as at 31st March, 2012 Note No. As at 31.3.2012 As at 31.3.2011

Amount in Rs. Amount in Rs. Equity and liabilities Shareholders Funds c) Share capital d) Reserves and Surplus 14451277 Sub total A Non current liabilities: 6183273 6565387 23451327 22164131 31164131 9000050 9000000

c) Long term borrowings d) Deferred tax liabilities-(net) 6183273 Sub total - B 656387 Current Liabilities: e) Short term borrowings f) Trade payables 726177 g) Other current liabilities h) Short term provisions Sub total C Total 52145448 Non- current assets: a)Fixed assets: (i) Tangible 5690572 (ii) Intangible 17740243 65573281 22510848 458644 27843763 4543067 4166009 9265808 17241604 13953282 -

(iii)Capital work in progress

10400000 695676

10400000 680907 20336455

b)Non-current investment:

22310400

39096648 c)Deferred tax asset- (net)

49157605

d)Long term loans & advances

Subtotal- a