My Final IB PROJECT REPORT-Brijesh Mandani.
My Final IB PROJECT REPORT-Brijesh Mandani.
My Final IB PROJECT REPORT-Brijesh Mandani.
SUBMITTED BY:
.
SUBMITTED TO:
UNIVERSITY OF PUNE
GUIDED BY:
PROF:
PUNE 411001
2014
Page |2
Acknowledgement
Words are indeed indebted to convey our deep sense of gratitude to all
those who have helped us in completing this summer project to the best of our
ability.
Being a part of this project has certainly been a unique and a very
for their
valuable guidance, keen interest, co-operation, inspiration & of course moral support for
completing my project.
Name:
Sign:
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PREFACE
This project work is an integral part of the TYBBA program. The main objective of
the project is to work in the organization and gain the valuable knowledge of
management skills that will be useful in the future career building.
The purpose is to study how an organization functions and how to apply our
academic knowledge in the corporate life. As a practical point of view Cedila
Pharmaceutical Limited, which is one of the leading pharmaceutical companies in India,
has provided us such a great opportunity of project in their organization. It helps us to get
better understanding and working of various theories of financial management.
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DECLARATION
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Table of content
Page.
Serial no.
1
2
Particulars
Executive Summery
Introduction
Company Profile
Literature Review
Research Methodology
Finding
10
Limitation
11
Suggestions
12
Conclusion
13
Bibliography
Annexure
No.
6
9
16
24
54
58
69
74
76
78
80-87
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EXECUTIVE SUMMARY
Page |7
EXECUTIVE SUMMARIES
Page |8
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INTRODUCTION TO CADILA
PHARMACEUTICALS
P a g e | 10
The company has one of the best Research and Development (R&D) setups in
India, manned by more than three hundred and fifty scientists and engineers from various
disciplines including biology, pharmacology, clinical research, chemistry, toxicology,
photochemistry and different disciplines of engineering. The company also participates in
Public-Private partnerships for developing diagnostic, preventive and curative
pharmaceutical and diagnostic products.
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Vision
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Mission
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International Business
In line with our vision to be significant global player by 2010 A.D., Cadila Pharmaceuticals
is fast emerging as a true Indian multinational.
As part of our strategy, we have wholly owned subsidiaries, joint ventures, strategic
alliances, contract manufacturing, own marketing offices in 4 countries and have significant
presence in over 46 countries across the globe. Our business revolves around the exports of
formulations, bulk actives, hospital disposables, veterinary formulations and pharmaceutical
machinery manufacturing.
Besides a significant presence in the Americas, CIS Countries, Africa, Central and SouthEast Asia, Oceanic Countries, Japan, Middle East and Europe, the company has offices in
USA, Japan, Kenya, Nigeria, Russia, Kazakhstan and Ukraine. The International SBU plans
to
expand
operations
to
more
than
100
countries
Anti-Infective
Gastrointestinal
Analgesic/Anti-inflammatory
Cardiovascular
Respiratory
Ophthalmology
Bio-technical Products
by
2010.
P a g e | 14
Alliances exist with regional majors in the form of International marketing, joint ventures
and contract manufacturing. More such collaborations are underway to expand supply chain
network and facilitate extensive market coverage. An ultra-modern formulations
manufacturing facility conforming to the exacting standards of WHO-GMP, USFDA,
MHRA-UK, MCC-South Africa, TGA-Australia, ANVISA- Brazil, EU GMP, ISO 9002 and
Japanese GMP is a value-addition to the International SBU in flexing its muscles in the
overseas arena. This SBU has been honoured with the Chemexcil Award, 2000-01 and Niryat
Shree Award from FIEO, for the year 2001-02.
With its basic philosophy of giving the best to the world at an affordable price, Cadila
Pharmaceuticals continues to make a difference in the lives of millions, while carving a niche
for Indian Pharmaceuticals exports, globally.
P a g e | 15
Considerations
The major influence on the exchange rate is the supply and demand of money.
When companies buy services and products from other countries, they must first
exchange their national currency for the currency of the country providing the product or
service. The price of that money is, effectively, the exchange rate. Therefore, when the
demand for the money of a certain country goes up, its price generally rises accordingly.
Effects
When the demand and price of one currency rises, it often causes a depreciation in
another currency. For example, if the United States begins to buy a large amount of
products from Japan, the demand increases and so does the price of yen. At the same
time, more U.S. dollars are put in the international market to buy the yen that allow the
purchase of the products. This rise in the supply of U.S. dollars causes them to drop in
price, or to depreciate.
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COMPANY PROFILE
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Their first products were Gripe water and Cadimelt. In 1965 they started
factory at Ghodasar in Ahmedabad. At Ghodasar factory production of full
pharmaceutical range was started. After growth of business, they started various
departments like Distribution, Marketing, Human Resources, Research & Development,
and Animal House etc.
Mr. I. A. Modi and R.B. Patel launched many unique Products in different
categories and company became known in all over India. They had launched Oxalgin
(Anti-Inflammatory), which sold of Rs.1 Crores in one day. It was pick time for Cadila
P a g e | 18
They have started Export Oriented Unit at Kandla. That unit was inaugurated
by Prime Minister Shrimati Indira Gandhi and was visited by many central ministers.
By now, Mr. Pankaj R. Patel & Dr. Rajiv I. Modi had taken charge of company. They had
made company known internationally.
Cadila was known for its unique and new products. R&D was the strength of company.
At that time Mr. T. P. Gandhi and Mr. Ambubhai Patel was handling R&D department.
P a g e | 19
Any requirement raised by factory were produced by company itself i.e. Machinery,
Corrugated Boxes, Printing etc. Cadila has developed Machinery manufacturing unit
CADMAC. CADILA has developed corrugated box manufacturing unit CORPAC.
Cadila has developed printing press PRINTORIUM. Mostly all units which they have
developed have won national awards and Export Award.
By the early 90s Cadila was ranked as 3 rd largest pharmaceuticals company in
India, with a turnover of Rs.4000 million. The decade also marked the beginning of a
new economic framework and a shift in the government policies. To thrive in a changing
business environment, the group decided to restructure its operations in 1995.
The restructuring package was aimed at allowing the individual promoting
families namely the Patel family and the Modi family to pursue their independent
business philosophies i.e. Cadila healthcare ltd. is lead by Patel family and Cadila
Pharmaceuticals Ltd is lead by Modi family.
The present issue pertaining to Cadila Pharmaceuticals Ltd. provided by Modi family. At
present Dr. Rajiv Modi is Managing Director of Cadila Pharmaceuticals Ltd.
The company was incorporated as Cadila Pharmaceuticals Pvt. Ltd. on 15 th February
1995 under the companies act, 1956 and subsequently the company was converted into a
public company and then after renamed as Cadila Pharmaceuticals Ltd. effective from
July 7, 1996. Cadila Pharmaceuticals Ltd. came into existence with a focus on total
healthcare solutions.
Cadila Pharmaceuticals- headed by dr. Rajiv modi&ZydusCadila headed by Mr.
Pankajbhai Patel, total sales of both the units reached more than 500 Crores in 1995.
They launched Anti Ulcerent drug rabeprazole with the brand name of RABILOC, which
was launched 1st time in India and was taken patent. For many years it was unique
product of Cadila. Cadila Pharmaceuticals main products were:
P a g e | 20
They have launched human rabies vaccine VERORAB, with collaboration with
French company.
P a g e | 21
Our Operations
Existing
CIS Russia, Ukraine, Latvia, Belarus, Lithuania, Kazakhstan, Georgia, Armenia,
Moldova, Uzbekistan
Africa SA, Kenya, Nigeria, Mauritius, Zimbabwe, Zambia, RDC, Cameroon,
IVC, Tanzania, Uganda, Ethiopia, Sudan, Mozambique and Franco for countries.
South-East Asia/Pacific Sri Lanka, Thailand, Vietnam, Myanmar, Maldives,
Philippines, Macau, Singapore, Maldives, Fiji, Papua New-Guinea, New Zealand
Australia, Taiwan.
Future Plans
P a g e | 22
Saudi Arabia
Angola
Estonia
Czech Republic
Romania
Slovakia
Slovenia
Bosnia
Croatia
Yugoslavia
Albania
Chile
Venezuela
Columbia
Paraguay
Hong Kong
China
Jordan
Lebanon
Group Companies
1.
2.
3.
4.
5.
6.
1. KarnavatiAmeric
2. CPL Inc. USA
CADILA PHARMACEUITICALS
DHOLKA
ANKLESWAR
P a g e | 23
CHEMICAL
FROMULATION
CHEMICAL
DOMESTIC
INTERNATIONAL
P a g e | 24
Literature Review
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AR converted
to cash
CASH
COLLECT
ACCOUNTS
RECIEVABLE
DELIVER
GOODS OR
SERVICES
Goods or Services
converted to Accounts
Receivable
SALES
ORDER
PRODUCE
GOODS OR
SERVICES
Cash
converted to
prepaid
expenses and
inventory
P a g e | 29
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Short-term financing is also preferable since it is usually easier to obtain and priced
lower than long-term debt.
Working capital financing is a key financing need and challenge for small firms. As
discussed in Chapter 2, small businesses have less access to long-term sources of capital
than large businesses, including limited access to equity capital markets and fewer
sources of long-term debt. Thus, many small firms are heavily dependent on short-term
debt, much of which is tied to working capital. 1 However, limited equity and reliance on
short-term debt increases the demand on a firms cash flow, reduces liquidity, and
increases financial leverage all of which heighten the financial risks of extending credit.
Consequently, small firms may have trouble raising short-term debt while at the same
time facing obstacles to securing the longer-term debt necessary to improve their
financial position and liquidity, and lessen their credit risk.
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ASSETS
LIABILITIES
OWNERS
CAPITAL
CURRENT ASSETS
(CA)
CURRENT
LIABILITIES(CL)
LONG TERM
LIABILITIESAND
OWNERS EQUITY
Share of Current
Assets financed
with long term
capital
AND
P a g e | 32
Line of Credit
A line of credit is an open-ended loan with a borrowing limit that the business can draw
against or repay at any time during the loan period. This arrangement allows a company
flexibility to borrow funds when the need arises for the exact amount required. Interest is
paid only on the amount borrowed, typically on a monthly basis. A line of credit can be
either unsecured, if no specific collateral is pledged for repayment, or secured by specific
assets such as accounts receivable or inventory. The standard term for a line of credit is 1
year with renewal subject to the lenders annual review and approval. Since a line of
credit is designed to address cyclical working capital needs and not to finance long-term
assets, lenders usually require full repayment of the line of credit during the annual loan
period and prior to its renewal.
P a g e | 33
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Account Receivable
Account receivables are generated when a firm offers credit to its customers. The
first thing that need to be addressed when establishing a credit policy is to set the
standards by which a firm is judged in determining whether or not credit will be
extended. There is whats Known as the 5 Cs of credit:
1. Character - the willingness of the borrower to repay the obligation
2. Capital the capability of the borrower to earn the money to repay the
obligation
3. Capital sufficient assets available to support operations (as opposed to a
firm that is undercapitalized). Sometime capital is interpreted to mean
equity capital; i.e., to make sure the owner of the firms have sufficient
money at stake to give them proper incentive to repay the loan and let the
company go bankrupt.
4. Collateral assets to support the loan which can be liquidated if default
occurs
5. Conditions current and future anticipated conditions of the firm and the
industry
These cost include
P a g e | 35
Competitors will respond very quickly to a change in price. How many times have
we seen the claims that We will meet or beat any advertised price? A change in credit
policy, on the other hand, is a more subtle means of competing for customers and one that
the competition will not necessarily respond to. In fact, many firms base their business on
easy credit. How many times have we seen the advertisements where they tell us Good
credit? Bad credit? No credit? We dont care!Of course, these firms will have larger bad
debt expenses and larger financing costs, etc. Obviously, they will also need to have
higher prices (higher gross profit margins) in order to cover these costs.
Inventories
Inventories (raw materials, work-in-process, finished goods) make up a large
portion of most firms current assets, and for many, total assets. As such, the extent to
which a firm efficiently managers its inventories can have a large influence on its
profitability. Thus, keeping abreast of inventory policy is critical to the profitability (and
value) of the firm.
Several factors influence the amount of inventory that a firm maintains. The most
important of these include.
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The major source of short-term financing for firm is that of trade credit. While it
is an account payable on our balance sheet, it is an account receivable on the balance
sheet of our supplier.
Commercial Banks
The second major source of short-term financing for firms is commercial banks. A
firm wants to establish a close relationship with its bank and obtain a line of credit. In
order to get a credit line, you will want to show them your income statements, balance
sheet, financial ratios, etc. The bank will then allow a certain amount of credit with a set
rate of interest (usually prime plus).
Types of Loans
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Loans come in a variety of shapes. A simple loan requires that the firm maintain a
non- interest-bearing account at the bank. While compensating balances are not used as
much as they have been in the past, they are still encountered frequently.
The true cost of debt of any loan is the internal rate of return between what you
receive and what you have to pay back. Suppose we use our calculators and determine the
IRR of this interest add-on loan. We determine that the IRR is 1.2%. But remember that
he is 1.2% per month. Using simple interest, 1.2%*12 = 14.4% annual rate of interest.
Securities Loans
A borrower can pledge their inventories of securities of another company (bonds,
notes payable) as collateral for a loan as well. Thus, if you hold a note payable from a
creditworthy firm, many lenders will loan money against it. (This is similar, in a sense, to
what happens with a margin purchase.)
In short, if a firm has assets of virtually any kind, it can use them as collateral for
short-term loans to meet its short-term cash needs.
Tandon Committee
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Like many other activities of the banks, method and quantum of short-term finance
that can be granted to a corporate was mandated by the Reserve Bank of India till 1994.
This control was exercised on the lines suggested by the recommendations of a study
group headed by ShriPrakashTandon.
P a g e | 39
Banks can work out the working capital gap, i.e. total current assets less current
liabilities other than bank borrowings (called Maximum Permissible Bank Finance or
MPBF) and finance a maximum of 75 per cent of the gap; the balance to come out of
long-term funds, i.e., owned funds and term borrowings. This approach was considered
suitable only for very small borrowers i.e. where the requirements of credit were less than
Rs.10 lacks.
Under this method, it was thought that the borrower should provide for a
minimum of 25% of total current assets out of long-term funds i.e., owned funds plus
term borrowings. A certain level of credit for purchases and other current liabilities will
be available to fund the buildup of current assets and the bank will provide the balance
(MPBF). Consequently, total current liabilities inclusive of bank borrowings could not
exceed 75% of current assets. RBI stipulated that the working capital needs of all
borrowers enjoying fund based credit facilities of more than Rs. 10 lacks should be
appraised (calculated) under this method.
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Under this method, the borrower's contribution from long term funds will be to
the extent of the entire CORE CURRENT ASSETS, which has been defined by the Study
Group as representing the absolute minimum level of raw materials, process stock,
finished goods and stores which are in the pipeline to ensure continuity of production and
a minimum of 25% of the balance current assets should be financed out of the long term
funds plus term borrowings.
MPBF Method
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The total current assets with the firm may be taken as gross working capital
whereas the net working capital with the unit may be calculated as under:
(GWC)
This net working capital is also sometimes referred to as liquid surplus with the
firm and has been margin available for working capital requirement of the unit.
The current assets in the example given in the earlier paragraph are financed
asunder:
Current Assets = Current liabilities + Working capital limits from banks + Margin from
long-term liabilities
P a g e | 44
The level of current assets required to be held by any unit which is adequate for its
day to day functioning, and
The mode of financing of these current assets.
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Financial Management
(2)Financial Control
Financial control is a critically important activity to help the business
ensure that the business is meeting its objectives. Financial control addresses
questions such as:
Are assets being used efficiently?
Are the businesses assets secure?
Does management act in the interest of shareholders and in accordance with
business rules?
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Changing Technology
Globalization
Deregulation: greater competition & growth opportunities
Privatization: increasing efficiency
Customer empowerment
Customization
Heightened competition
Industry convergence
Retail transformation
Disintermediation
Working Capital
Working capital, also known as net working capital, is a financial metric
which represents operating liquidity available to a business. Along with fixed assets such
as plant and equipment, working capital is considered a part of operating capital. It is
P a g e | 47
The upper portion of the diagram above shows in a simplified from the chain of
event in a manufacturing firm. Each of the boxes in the upper part of the diagram can be
seen as a tank through which funds flow. These tanks, which are concerned with day-today activities, have fund constantly flowing into and out of them.
P a g e | 48
The chain starts with the firm buying raw materials on credit.
In due course this stock will be used in production, work will be carried out on the
stock, and it will become part of the firms work in progress (WIP)
Work will continue on the WIP until it eventually emerges as the finished product
As production progresses, labor costs, and overheads will need to be met
Of course at some stage trade creditors will need to be paid
When the finished good are sold on credit, debtors are increased
They will eventually pay, so that cash will be injected into the firm
Each of the areas stocks (raw materials, work in progress and finished goods), trade
debtors, cash (positive or negative) and trade creditors can be viewed as tanks into and
form which funds flow.
Own funds
Bank Borrowings
Sundry Creditors
Advances from customers
Deposits due in a year
Other current liabilities
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(OPERATING CYCLE)
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In June 1998, the U.S. stepped into the foreign currency market, using billions of U.S.
dollars to buy Japanese yen in an attempt to stabilize its value. Mexico faced a currency
crisis in 1994. Argentina faced such a crisis in 2002. Why should we care about currency
values of other nations?
How do currency values affect us, the demand for the products we produce, and the prices
of the products we buy?
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Research Methodology
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Spread over more than 1, 05,000 sq. ft. area, Cadila Pharmaceuticals R&D
facilities, recognized by the Department of Science & Technology, Government of India,
are manned by a 150-strong scientists pool.
A centralized Quality Control & Analytical Research Laboratory has been set up to
meet the domestic and international quality standards. The Company has expanded
operations by building further on already existing set-up by investing in new premises, to
P a g e | 56
include modern, state-of-the-art amenities. One of the few companies in the country
carrying out collaborative research, Cadila Pharmaceutical taps the best scientific talent
in the country and collaborations with more than 30 leading Research and Development
centers in India.
P a g e | 57
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RATIO ANALYSIS
Inventory
Receivable
Payable
2008-09
8,811
17,763
31,006
2009-10
14,257
19,324
37,259
2010-11
14,211
23,980
31,408
2011-12
18,081
31,174
25,709
2012-13
23,381
40,526
20,177
Interpretation: After year and year organization growth rapidly and as inventory and receivable
increase as payable decrease so organization should not face crises problem.
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2. CURRENT RATIO
Current ratio also Known as working capital ratio is a measure of general liquidity
and its most widely used to make the analysis of short term financial position or liquidity
of a firm. It is defines as the relation between current assets and current liabilities thus,
Current assets
Current liabilities
2008-09
47,702
20,359
2009-10
60,114
30,406
2010-11
60,114
34,326
2011-12
60,614
56,116
2012-13
60,814
63,682
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Interpretation: Every year current liabilities increasing more than current assets so
current ratio will goes down and organization requires more capital. So organizational to
maintain that balance for avoiding financial problems.
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Working Capital
Net Sales
Working capital
2008-09
62,002
30,308
2009-10
70,279
30,035
2010-11
94,117
29479
2011-12
1,22,202
32500
2012-13
1,58,863
39954
Objectives:
The objective of working capital turnover ratio is to indicate the velocity of the
utilization of net working capital. This ratio indicates the number of time the working
capital is turned over in the course of a year.
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Net Sales
Net total assets
2008-09
62,002
42,341
2009-10
70,279
53,105
2010-11
94,117
50719
2011-12
1,22,202
48834
2012-13
1,58,863
46649
The formula is useful in analyzing growth companies to see if they are growing
sale in proportion to their assets bases. The fixed assets turnover ratio really has little
meaning except when it is put in the context of industrial averages, and consideration is
made whether new capital expenditures recently undertaken were such that they could
skew the ratio.
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Interpretation: This ratio helps to know i.e. growing sells ,according to its assets(fixed
assets).In above graph net sales increasing but not fixed assets.
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This ratio measures the relationship between gross profit and net sales.
Objectives:
It is calculated to know:
1. Whether the business is in a position to meet operating expenses or not
2. How much the share holders can get after meeting such expenses?
Gross profit ratio:
Gross profit * 100
Net Sales
Gross profit
Net Sales
2008-09
19429
62,002
2009-10
23422
70,279
2010-11
24116
94,117
2011-12
33768
1,22,202
2012-13
44878
1,58,863
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2008-09
5,064
62,002
2009-10
5,539
70,279
2010-11
3,274
94,117
2011-12
6,836
1,22,202
2012-13
10,801
1,58,863
In order to work out overall efficiency of the concern Net Profit ratio is calculated. This
ratio is helpful to determine the operational ability of the concern. While comparing the
ratio to previous years ratios, the increment shows the efficiency of the concern.
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Finding
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1. Interest Rates
"Benchmark" interest rates from central banks influence the retail rates financial
institutions charge customers to borrow money. For instance, if the economy is underperforming, central banks may lower interest rates to make it cheaper to borrow; this
often boosts consumer spending, which may help expand the economy. To slow the rate
of inflation in an overheated economy, central banks raise the benchmark so borrowing is
more expensive.
Interest rates are of particular concern to investors seeking a balance between yield
returns and safety of funds. When interest rates go up, so do yields for assets
denominated in that currency; this leads to increased demand by investors and causes an
increase in the value of the currency in question. If interest rates go down, this may lead
to a flight from that currency to another.
Official economic figures
Access more than 150 economic figures from the world's major markets. Latest figures
are graphed against years of previous economic data.
2. Employment Outlook
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4. Trade Balance
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A country's balance of trade is the total value of its exports, minus the total value of its
imports. If this number is positive, the country is said to have a favorable balance of
trade. If the difference is negative, the country has a trade gap, or trade deficit.
Trade balance impacts supply and demand for a currency. When a country has a trade
surplus, demand for its currency increases because foreign buyers must exchange more of
their home currency in order to buy its goods. A trade deficit, on the other hand, increases
the supply of a countrys currency and could lead to devaluation if supply greatly exceeds
demand.
5. Central Bank Actions
With interest rates in several major economies already very low (and set to stay that way
for the time being), central bank and government officials are now resorting to other, less
commonly used measures to directly intervene in the market and influence economic
growth.
For example, quantitative easing is being used to increase the money supply within an
economy. It involves the purchase of government bonds and other assets from financial
institutions to provide the banking system with additional liquidity. Quantitative easing is
considered a last resort when the more typical responselowering interest ratesfails to
boost the economy. It comes with some risk: increasing the supply of a currency could
result in a devaluation of the currency.
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LIMITATION
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SUGGESTION
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They have to give proper information about their financial position or working
capital requirement for influencing to invest money to share holders.
As we are market leaders in our product and though the number of competitors are
high, we can ask for early payments because of our consistent high quality of
products. Thus reducing the investments in receivables
For the capital investment in pharmaceutical business, the marketing staff needs
good communication skills. ( Corporate common)
There is stiff competition in pharmaceutical business accordingly every
pharmaceutical company has to spend more on advertisements and sales
promotion expenses. To minimize this company can go for brand building & CSR
activities..
Total Quality Management concept in Pharmaceutical Industry will help survive
pharmaceutical companies in todays competition. Hence the company should
internalize TQM & Six sigma process.
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CONCLUSION
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Bibliography
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Websites
REFERENCES
1. Projects, preparation, appraisal, budgeting and implementation by
Prasanna Chandra.
2. Financial Management by I.M.Pandey.
3. Research Methodology by C.K.Kothari.
4. Research Methodology by Dr. Mahesh Kulkarni
WEBLINKS
1.
2.
3.
4.
5.
6.
www.justdial.com
www.yellopages.com
www.google.com
www.wikipedia.org
www.askme.com
www.yahooanswers.com
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ANNEXURE
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(Rs. In Lacks)
200 200 2010- 2011 2012
Particular
No.
01
Gross Sales
a.
b.
02.
03
8-
9-
11
-12
-13
09
Act
10
Act
Provi
Proj
Proj
ual
ual
siona ecte
ecte
69,
Domestic Sales
59,
Export Sales
670 168 5
709
3,2 1,7 5,755 4,98
Total
88
62,
78
70,
957 946 0
696
955 667 1,803 2,49
62,
70,
621
6,48
8
4
95,92 1,24, 1,62,
94,11
002 279 7
04.
105
3,24
4
2
1,22, 1,58,
202
863
13.
33.92 29.8
30.0
year (annualized)
35
0%
4%
%
Cost of Sales
5
38,
51,76 67,2
15,
11
87,3
75
Imported
12,
20,70 26,8
34,9
Indigenous
073 338 6
85
18, 22, 31,05 40,3
50
52,4
647 940 9
25
27
P a g e | 83
ii.
iii.
07.
Imported
Indigenous
163
163
639
157
157
667
141
141
847
183
183
1,10
238
238
1,43
0
23,8
iv.
w8,
9,4
0
12,23 18,3
v.
& Salary)
Other manufacturing
658 37
1,8 1,8
5
30
1,882 2,44
29
3,17
vi.
expenses
Depreciation
10
1,1
18
1,6
4
2,385 2,38
7
2,38
vii.
Sub-total (i to v)
52
43,
77
52,
5
69,25 91,6
5
1,18,
viii.
142 034 6
54
494 344 1,154 1,30
435
1,75
viii.
in-process
Sub-total (vii + viii)
43,
0
70,40 92,9
0
1,20,
ix.
Deduct
636 378 9
54
344 1,1 1,300 1,75
185
2,25
x.
Stock-in-process
Cost of Production
43,
292 224 9
6,5 7,2 11,62
04
10,7
935
13,5
finished goods
35
54
30
00
Sub-total (x + xi)
49,
58,
xii.
827 478 1
934
7,2 11, 10,73 13,5
435
17,4
xiii.
finished goods
Sub-total (Total Cost
54
42,
50
1,13,
of Sales)
Selling, general and
573 857 1
9,5 10, 14,11
34
18,3
985
23,8
administrative
98
896 8
30
29
expenses
Sub-total ( 5 + 6)
52,
57,
1,06, 1,37,
xi.
06.
Other Spares
A
B
Power and Fuel
Closing
52,
54
51,
0
69,10 91,2
622 0
00
46, 70,00 88,4
84,11
0
1,17,
P a g e | 84
171 753 8
765
9,8 12, 9,999 15,4
814
21,0
31
3,7
526
38
5,0 6,043 5,09
49
3,85
39
1,5
78
1,6
7
4,543 3,29
1
2,05
Interest of W. C. Loan
91
2,1
48
3,4
7
1,500 1,80
1
1,80
48
6,0
30
7,4
0
3,956 10,3
0
17,1
92
48
08.
Operating
Profit
09.
Before Interest ( 3 - 6)
Interest & Financial Charges
10.
11.
Interest ( 8-9 )
i.
41
98
Profit
on 15
Sale
of
B
C
assets
Dividend
Interest
166 4
125
244 173 450
300
300
income
Misc.
750
500
800
Income
Sub - total (income)
0
ii.
Exchange
147 476
rate
D
difference
Misc.
Expenses
Loss on sale -
900 1,2
46
22
of Assets
Sub - total (expenses)
1,0
1,7
47
43
P a g e | 85
iii.
(23
(98
operating
3)
0)
6,4
1,500 1,05
800
income/expenses
11.
5,8
5,456 11,3
17,9
12.
[ 9 + 10 (iii)]
Provisions for taxes
59 68
91
795 929 2,182 4,55
98
7,19
5
3,274 6,83
7
10,8
13.
14.
5,0
a.
b.
64 39
552 29 0%
Equity dividend
Dividend
(Including
tax
Rate
on
5,5
0%
6
0%
01
0%
dividend)
16.
Retained Profit ( 13
4,5
5,5
3,274 6,83
10,8
17.
-14 )
Retained Profit / Net
13
89
39
6
100 100% 100
01
100
Profit