ANSWER NO 2

(a)CAPITAL EXPENDITURE FOR THE FIVE YEARS:

Year
Amt. Of
capital
expendit
ure
(Rs. In
MILLION
)

02-03 03-04 04-05 05-06 0607

2523. 4100. 6465. 7927. 1300
04
97
43
28
5

(b)Capital Expenditure were increasing.

(c)Yes Capital Spending is consistent.
Note: Capital expenditure are taken from cash
flow statements.

ANSWER NO 3
(a)ACCOUNT BALANCES FOR PROPERTISE,PLANT
AND EQUIPMENT FOR THE FIVE YEARS:
Year
ACCOUNT
BALANCE
S(Rs. In
MILLION)

02-03 03-04 04-05 05-06 06-07

12838 15542 20533 24413 27134

(b)PERCENT OF PROPERTISE,PLANT AND

EQUIPMENT
REPLACE EVERY
YEAR:
Year
PERCENT
OF
REPLACEM
ENT

0203
-

03-04 04-05 05-06 06-07

30.99 40.51 38.05 52.66
%
%
%
%

FORMULA: PURCHASE-SALE
INITIAL INVESTMENT

ANSWER NO 4
Years

WIPRO

HCL

TCS

INFOSY
S

02-03
03-04
04-05
05-06
06-07

0.016

0.04

0.02

0.04

7.97

0.01

0.03

0.03

0.01

0.01

0.01

0.02

0.01

0.01

Answer no5
BETA MEASURE OF WIPRO (January 2009) is 0.98
Source: Tradreji.com

ANSWER NO 7
(i)

Five Year High Debt Equity Ratio was .02

(ii)

Five Year High Debt Equity Ratio was .01

(iii)

Comparison of Debt Equity Ratio of the

selected company with that of other
companies in the same industry

Years

WIPRO

HCL

TCS

INFOSY
S

02-03
03-04
04-05
05-06
06-07

0.016

0.04

0.02

0.04

7.97

0.01

0.03

0.03

0.01

0.01

0.01

0.02

0.01

0.01

SATYAM

Answer 8
DuPont identity for the company
Answer 9 - Comment on the following:(A) Working capital position
Year

02-03

03-04 04-05 05-06

06-07

Wipro 13963.
s
47
w.cap.

4534.
22

10497 13796. 28050

32

(in million)

Working capital= current assets current

liabilities
(B) Cash position
Year

02-03 03-04 04-05 05-06 0607

Wipro 4210.0 3242.6 5713.5 8857.7 1982

s cash 7
9
7
0
2
positio
n
(in millions)

Cash position= Cash and cash equivalents at

the end of the period (taken from the cash flow
statement)
(C) Short term financing
Year

0203

0304

04-05

0506

Wipro

6333. 8894. 12742. 1852

0607
3366

short 2
term
financi
ng

08

Note:It includes Sundry Creditors,Accruals and

Advances from the customers

(e) Inventory management policy

Year

0203

0304

0405

0506

0607

Wipro
51.92 58.05
credit 43.14
78.23 57.23
policy

Note: calculated by dividing sales with inventory.