WORKING CAPITAL MANAGEMENT OF NEPAL

DOORSANCHAR COMPANY LIMITED

       A Project Work Report

By

                              

Aasha Shah

T.U. Registered Number: 7-2-1029-1-2016

Bhairahawa Namuna Campus

Submitted to

The Faculty of Management

Tribhuvan University

Kathmandu

In Partial Fulfillment of the Requirements for the Degree of

BACHELORS OF BUSINESS STUDIES (BBS)

Bhairahawa

March, 2020

i
 Declaration

I hereby declare that the project work entitled “WORKING CAPITAL MANAGEMENT OF
DOORSANCHANR COMPANY LIMITED” submitted to the Faculty of Management,
Tribhuvan University, Kathmandu is an original peace of work under the supervision of
Assistant Lecturer Mr. RAKESH KUMAR YADAV faculty member BHAIRAHAWA NAMUNA
CAMPUS, BHAIRAHAWA and is submitted in partial fulfillment of the requirements for the award
of the degree of Bachelor of Business Studies (BBS). This project work report has not been
submitted to any other university or institution for the award of any degree or diploma.

………………

AASHA SHAH

Date: ..................

ii
 Supervisor’s recommendation

The project work report entitled “WORKING CAPITAL MANAGEMENT OF NEPAL

DOORSANCHAR COMPANMY LIMITED” submitted by AASHA SHAH OF BHAIRAHAWA
NAMUNA CAMPUS, BHAIRAHAWA, is prepared under my supervision as per the procedure and
format requirements laid by the Faculty of Management, Tribhuvan University, as partial
fulfillment of the requirements for the award of the degree of Bachelor of Business Studies
(BBS). I, therefore, recommend the project work report for evaluation.

.........................................

Mr. RAKESH KUMAR YADAV

BHAIRAHAWA NAMUNA CAMPUS

BHAIRAHAWA

Date: ..............................

iii
 Endorsement

We hereby endorse the project work report entitled “WORKING CAPITAL MANAGEMENT
OF NEPAL DOORSANCHAR COMPANY LIMITED” submitted by AASHA SHAH OF
BHAIRAHAWA NAMUNA CAMPUS, BHAIRAHAWA in partial fulfillment of the requirements for
award of the Bachelor of Business Studies (BBS) for external evaluation.

....................................... ........................................

MADHUSUDAN POKHREL TUMNATH ARYAL

Chairman, Research Committee Campus Chief

BHAIRAHAWA NAMUNA CAMPUS

Date: .............................

iv
 Acknowledgement

This is an attempt to present project report entitled “Working Capital Management of Nepal
Doorsanchar Company Limited” prepared for partial fulfillment of the requirement for Degree of
Bachelor of Business Studies (BBS) is an outcome of continuous and immeasurable cooperation
and support of several hands.

I express my sincere honor and special sense of gratitude to my academic supervisor, Assistant
Lecturer Mr. Rakesh Kumar Yadav for their generous guidance, thoughtful encouragement and
brilliant insight throughout this research work.

I would like to express my gratitude to all supporters who provided me very informative and
precious as well as proper information on penmanship this report. I would like to thank
BHAIRAHAWA NAMUNA CAMPUS for providing a chance and allowing for this study. I am
highly appreciative to Lecturers Mr. Madhusudan Pokhrel and campus chief Tumnath Aryal for
this assignment and proper instruction without his help my assignment would not complete at the
time.

Thank you!

                                                                                              Aasha Shah

Bhairahawa Namuna Campus

Bhairahawa

v
 Table of Contents
Title Page i
Declaration  ii
Supervisor’s Recommendation iii
Endorsement iv
Acknowledgement v
Table of Content    vi
List of Tables viii
List of Figures ix
List of Abbreviations  x

CHAPTER I: INTRODUCTION 1-4

1.1. Back ground of the study 1
1.2.  Statement of problem  2
1.3.  Objective of study  3
1.4. Rational of study 3
1.5. Report Structure 4
           
CHAPTER II: LITERATURE REVIEW 5-9
2.1  Conceptual Review 5
2.2  Review of Previous Works 6
2.3 Research Gap  9
                                   
CHAPTER III: METHODOS 10 - 14
3.1. Type of Research 10
3.2 Population and sample 10
3.3 Types of Data   10
3.4  Data collection procedure 11
3.5 Instruments 11
3.6 Techniques of Analysis 13
3.7 Limitations of the Study 14

vi
CHAPTER IV: RESULTS AND FINDINGS 15 - 26
4.1  Presentation of Data in Tables and Figures and their Analysis 15
4.2 Major Findings 25

CHAPTER V: DISCUSSIONS AND CONCLUSION 27 - 29

5.1  Discussion   27
5.2  Conclusion and Implementations 27

 REFERENCES 30
APPENDICES 31 - 32

vii
 List of Tables

Table 4.1 Position of Current Assets 16

Table 4.2 Current Assets and Total Assets 17

Table 4.3 Current Assets to Fixed Assets 18

Table 4.4 Cash and Bank Balance to Current Assets 20

Table 4.5 Cash and Bank Balance to Total Assets 21

Table 4.6 Inventory to Total Assets 22

Table 4.7 Inventory to Current Assets 23

Table 4.8 Gross Profit Margin 24

viii
 List of Figures
Figure 4.1 Position of Current Assets 16

Figure 4.2 Current Assets and Total Assets 17

Figure 4.3 Current Assets to Fixed Asset 19

Figure 4.4 Cash and Bank Balance to Current Assets 20

Finger 4.5 Cash and Bank Balance to Total Assets 21

Figure 4.6 Inventory to Total Assets 22

Finger  4.7 Inventory to Current Assets 23

Finger  4.8 Gross Profit Margin 25

ix
 List of Abbreviations

ADSL =Asymmetric Digital Subscriber Line

CDMA = Code Division Multiple Access
Co. = Company
FY = Fiscal Year
GPM = Gross Profit Margin
GSM = Global System of Mobile Communication
ISDN =Integrated Services Digital Network
Ltd. = Limited
NPM = Net Profit Margin
NT =Nepal Telecom
NDCL =Nepal Doorsanchar Company Limited
NTC =Nepal Telecom
OR = Operating Ratio
PEs. = Public Enterprises
ROA = Return on Assets
RONW = Return on Net Worth
ROWC = Return on Working Capital
WC = Working Capital
PSTN = Public Switched Telephone Network