PREFACE

Management ideas are widely tested in actual proactive with rapid, industrialization the management of business enterprise has acquired great theoretical as well as practical significance. As a result a formal study of MBA has become essential. Management is increasingly being re-organization. Many institutions are engaged in providing management studies with practical training. Being a student of MBA, we get knowledge of management theoretical as well as practical. However the study of management together with some practical training such as study of Functional Area will enhance the value of subject even more.

ACKNOWLEDGEMENT First of all I would like to say thank you to Prof. SONALI MEM for providing me such an opportunity to prepare a report. I would like to thank my family, my friends and colleagues who constantly encouraged me to prepare report. So this project report is dedicated to all of them.

Date: Place: (SIGNATURE) CHINTAN SOLANKI

INTRODUCTION

JYOTI was initiated by Mr.P.G. Jadeja and Mr.S.L. Jadeja in 1989. Driven by a vision to build the company into a temple of technology through team work, the organization has grown manifold from manufacturing gear boxes for machines to developing precision all-geared head lathe machines and later on sophisticated CNC Machines. Continuous process improvement and fast adoption of State-of-the-art technology has led Jyoti in becoming a leader in innovating manufacturing techniques. Jyoti is respected as A Temple of Technology by the staff and its esteemed clientele, who welcome and worship the new technology. Further to transform the technology-savvy attitude into reality, Jyoti started designing and manufacturing the wonder babies like CNC Turn Mill Centers, CNC Oval Turning Machines (the first in India), fastest Vertical Machining Center of India, etc.

Jyoti is proud of the fact that its transition through technologyorientation was destined towards effectively revolutionizing the Indian Industry. This aspect has always been reflected through the company motto. COMPANY PROFILE

Jyoti is the brainchild of legendary Mr. P.G. Jadeja and Mr. S.L. Jadeja, established in 1989. Driven by a vision to build the company A Temple of Technology through teamwork, the company has grown manifold from manufacturing gear boxes for machines to developing precision all-geared head lathe machines. Later on Jyoti has rightly identified Shift from conventional machines to highly sophisticated CNC machines in the presence of manufacturers. Jyoti was the first company to manufacture CNC machines in Gujarat. It was not an end, there are many firsts attached with Jyoti since then. Jyoti, driven by technology and innovation keeps including new firepower in its arsenal by introducing machines like CNC Turning Centers, Vertical Machining Centers, Oval Turning Center i-SECT and first Indian machines like VMC 40/70 Linear with innovative Linear technology.

After the opening up of the Indian Economy, there were great challenges present for Indian companies but Jyoti converted all challenges into great opportunities. Jyoti has even decided to compete at the global level and has taken concrete steps by exporting CNC machines. It has also established distribution networks in various continents around the globe.

Jyoti is passing through the trajectory of rapid growth by achieving over 100% growth rate since its inception. Export penetration and inclination has helped Jyoti to establish goodwill among the foreign buyers and distributors.

The company is passionate about its business, but is also living the life of a true corporate citizen taking care of each and every entity affiliated directly/indirectly.

Company's expanding footprint ensures its global presence with export operations in countries like Italy, Russia, Poland, Argentina,

Brazil and rest of South America, Tanzania and some African countries, Middle East and Other Asian Countries like Malaysia. INTRODUCTION OF ACCOUNTING STANDARDS The uniform, defines and universally accepted accounting rules developed by international accounting standards committee (IASC) are known as accounting standards. It was felt there were different accounting concepts, conventions, customs, traditions and rules prevailing in different nations leading to misunderstanding, uncertainty and often resulting in scandal. Confusion prevailed at the national level also. Accounting terminology was not standardized it was the left to the user of accounting to interpret the accounting terms suiting their interest. It was therefore, the urgent need to develop universally expected and internationally known as standardized accounting terminology, commonly

accounting standard. Introduction of accounting standard was necessary to prevent financial scandals and business failures. Prepared in accordance with the presentation requirements of schedule 6 of the companies act, 1956.

ACCOUNTING STANDARDS Jyoti CNC is mainly following two accounting standards which are as under. 1) BORROWING COST (AS-23):The Accounting Standard for Local Bodies (ASLB) 4, Borrowing Costs, issued by the Council of the Institute of Chartered Accountants of India, will be recommendatory in Nature in the initial years for use by the local bodies. This Standard will be mandatory for local bodies in a State from the date specified in this regard by the State Government concerned. Objective This Standard prescribes the accounting treatment for borrowing costs. Scope This Standard should be applied in accounting for borrowing costs.

Borrowing cost may include:(a) Interest and commitment charges on bank borrowings and other short-term and long-term borrowings; (b) Amortization of discounts or premiums relating to borrowings; (c) Amortization of ancillary costs incurred in connection with the arrangement of Borrowings; Jyoti CNC follows this accounting standard. Because every organization has not enough money to introduce new plants, so they have to borrow fund or money from bank, and financial institution. Jyoti CNC has taken loan from IDBI bank and it is working for industrial development.

2) FIXED ASSETS (AS-10):Valuation is the process of estimating the potential market value of a financial assets and liabilities. Valuation can be done on assets or on liabilities. Valuations are required in many contexts including investment analysis, capital budgeting, merger and acquisition transaction, financial reporting, taxable events to determine the proper tax liabilities, ending litigation. A fixed asset is an asset held with the intention of being used for the purpose of producing or providing goods and services and is not held for sale in the normal course of business. Objectives:The objective of this Standard is to prescribe the accounting Treatment for property, plant and equipment so that users of the financial Statements can discern information about an entitys investment in its property, plant and equipment and the changes in such investment. The principal issues in accounting for property, plant and equipment are the recognition of the assets, the determination of their carrying amounts and the depreciation charges and impairment losses to be recognized in relation to them.

JYOTI

CNC has different foxed assets like Machinery,

building, land, basic components like computers, furniture and they charged different percentage for count depreciation on fixed assets which describe in above for machinery they takes 15% depreciation and use written down method, and for other fixed assets they count 10% depreciation on fixed assets.

EXPORT (Domestic)
JYOTI CNC is doing export their machinery in domestic and also internationally market. Here we prescribed several places which are domestic as under. Rajkot Ahmedabad Aurangabad Bangalore Kolkata Pune Surat Vadodara Indore Jaipur Nasik

EXPORT (INTERNATIONAL)
JYOTI CNC is doing export their different machineries out side the country also. And they takes order for prepare machinery, which places are as under. Germany France Turkey Netherland Poland Italy Austria Spain Canada Argentina Brazil