LIST OF CHARTS

Table No. Name of the Charts Page No.

5.4.1 Current Asset to Fixed Asset 38

5.4.2 Current Asset to Total Asset 39
5.4.3 Net working capital Ratio 40
5.4.4 Inventories to Current Asset Ratio 41
5.4.5 Sundry Debtors to Current Asset Ratio 42
5.4.6 Loans & Advances to Current Asset Ratio 43
5.4.7 Cash to Current Asset Ratio 44
5.4.8 Cash to Working Capital Ratio 45
5.4.9 Cash to Sales Ratio 46
5.4.10 Cash Ratio 47
5.4.11 Current Ratio 48
5.4.12 Liquidity Ratio 49
5.4.13 Super Quick Ratio 50
5.4.14 Working Capital Turnover Ratio 51
5.4.15 Inventory Turnover Ratio 52
5.4.16 Debtors Turnover Ratio 53
5.4.17 Debt Collection Period 54
5.4.18 Cash Interval Measure Ratio 55

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CHAPTER TITLES PAGE NO

LIST OF TABLES
LIST OF CHARTS

I INTRODUCTION 1
PROFILE OF THE COMPANY 2
NEED FOR THE STUDY 9

II REVIEW OF LITERATURE 10

III OBJECTIVES OF THE STUDY 27

IV RESEARCH METHODOLOGY 28

V DATA ANALYSIS AND INTERPRETATION 29

FINDINGS OF THE STUDY,

VI 56
SUGGESTION AND RECOMMENDATIONS
58
VII CONCLUSION 59
SCOPE FOR THE FUTHER STUDY 60
VIII
LIMITATION OF THE STUDY 61

BIBILIOGRAPHY 62

CONTENTS

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 CHAPTER I

CASH MANAGEMENT

1.1 INTRODUCTION:
Cash is the important current asset for the operations of the business. Cash is the
basic input needed to keep the business running on a continuous basis; it is also the
ultimate output expected to be realized by selling the service or product manufactured by
the firm. The firm should keep sufficient cash, neither more nor less. Cash shortage will
disrupt the firm’s manufacturing operations while excessive cash will simply remain idle,
without contributing anything towards the firm’s profitability. Thus, a major function of
the financial manager is to maintain a sound cash position.

Cash is the money which a firm can disburse immediately without any restriction.
The term cash includes coins, currency and cheques held by the firm, and balances in its
bank accounts. Sometimes near-cash items, such as marketable securities or bank times
deposits, are also included in cash. The basic characteristic of near-cash assets is that they
can readily be converted into cash. Generally, when a firm has excess cash, it invests it in
marketable securities. This kind of investment contributes some profit to the firm.