INDEX

CHAPTER TOPICS COVERERD PAGE NO.

CHAPTER 1. INTRODUCTION
COMPANY PROFILE AND ABOUT THE
CHAPTER 2.
PROJECT
CHAPTER 3. HISTORY OF COMPANY
CHAPTER 4. PERFORMANCE
CHAPTER 5.. SWOT ANALYSIS
CHAPTER 6. INTRODUCTION TO TOPIC
CHAPTER 7. OBJECTIVE OF STUDY
CHAPTER 8. RESEARCH METHODOLOGY
CHAPTER 9. DATA ANALYSIS AND INTERPRETATION
CHAPTER 10. FINDING
CHAPTER11 LIMITATIONS
CHAPTER12 CONCLUSION
CHAPTER 13. RECOMMENDATION AND SUGGESTION
CHAPTER 14. QUESTION
CHAPTER15. BIBLIOGRAPHY
INTRODUCTION
 Funds constitute prime importance in starting and operating any business Enterprise the

most significant of all financial activities is the raising and management of funds financial

decisions are those which concern the generation and flow of funds various sources and the use

of these funds.

The accounting standards state that in many countries the approach to provide a

statement of changes in financial position as a part of audited accounts is the trend in India

companies are under no legal obligation to publish a statement of changes in financial position

statements along with financial statements especially in the case of companies listed on the stock

exchanges and other large commercial industrial and business enterprise in public and private

sectors.

The funds flow statement which shows the movement of funds and is the part of

financial operation of the business under taking. It indicates various means by which funds.

Where obtained during a particular period and the ways in which there funds where employed in

simple words. It is a statement of sources and application of funds.

Funds flow analysis refers to the process of determining the financial strengths and

weakness of the by establishing relationship between the items of balance sheet and profit and

loss account. Funds flow statement serves as a handy tool in financial analysis making financial

planning preparation of budget through this analysis firm group the change in the allocation

resources between the two balance sheets.

The Funds flow statement expresses the changes in working capital and assesses

the impact upon liquidity position of the undertaking with the help of this statement. The

financial management can plan the intermediate and long term financial of the concern repayment

of loans, expansions of business and distribution of resources. It is helpful in the crucial decision

making process incase of expansion. Diversification of conservation of more funds for profitable
COMPANY PROFILE
 COMPANY’S PROFILE

Maruti Suzuki India Limited, formerly known as Maruti Udyog Limited, is an Indian
automobile manufacturer company, founded by Government of India in 1981, headquartered in
New Delhi, India.[2] It is a subsidiary of the Japanese automotive manufacturer Suzuki Motor
Corporation.[6] As of July 2018, it had a market share of 53% in the Indian passenger car
market.

In 2015, Maruti Suzuki launched NEXA, a new dealership network for its premium cars
Maruti currently sells the Baleno, S-Cross, XL6, Ciaz and Ignis through NEXA outlets S-Cross
was the first car to be sold through NEXA outlets. Several new models will be added to both
channels as part of the company's medium term goal of 2 million annual sales by 2020.[
 HISTORY OF COMPANY

Maruti Udyog Limited was founded by the government of India on 24 February 1981,[9] only to
merge with the Japanese automobile company Suzuki in October 1982. The first manufacturing
factory of Maruti was established in Gurugram, Haryana, in the same year.[10]

Chronology
Affiliation with Suzuki
In 1982, a license and joint venture agreement (JVA) was signed between Maruti Udyog Ltd.,
and Suzuki of Japan. At first, Maruti Suzuki was mainly an importer of cars. In India's closed
market, Maruti received the right to import 40,000 fully built-up Suzuki in the first two years,
and even after that the early goal was to use only 33% indigenous parts. This upset the local
manufacturers considerably. There were also some concerns that the Indian market was too small
to absorb the comparatively large production planned by Maruti Suzuki, with the government
even considering adjusting the petrol tax and lowering the excise duty in order to boost
sales.[11Local production commenced in December 1983In 1984, the Maruti Van with the same
three-cylinder engine as the 800 was released and the installed capacity of the plant in Gurgaon
reached 40,000 units.

In 1985, the Suzuki SJ410-based Gypsy, a 970 cc 4WD off-road vehicle, was launched. In 1986,
the original 800 was replaced by an all-new model of the 796 cc hatchback Suzuki Alto (SS80)
and the 100,000th vehicle was produced by the companyIn 1987, the company started exporting
to western markets, when a lot of 500 cars were sent to Hungary. By 1988, the capacity of the
Gurgaon plant was increased to 100,000 units per annum.

\
 PERFORMANCE

FINANCIAL PERFORMANCE OF EVERY COMPANY DEPENDS UPON ITS

SALES AND PROFIT VOLUMES.

The Company sold a total of 1,563,297 vehicles during the year, lower by 16.1% over the
same period previous year.

In the domestic market, the Company sold 1,461,126 vehicles, lower by 16.7% over the
same period previous year, in line with industry.

Exports were at 102,171 vehicles, lower by 6% over the same period previous year.

The Company’s net sales stood at INR 716,904 million in FY 2019-20, lower by 13.7% over
the same period previous year.

Net profit for the year stood at INR 56,506 million, lower by 24.7% over the same period
previous year on account of lower sales volume, higher sales promotion expenses and
higher depreciation expenses, partially offset by lower operating expenses, cost reduction
efforts, higher fair value gains on invested surplus and reduction in corporate tax rate.
 COMPANY PRODUCTS

Model Production Image Outlet

Wagon R 1999–present Arena

Alto 2000–present Arena

Swift 2005–present Arena

Ertiga 2012–present Arena

Celerio 2014–present Arena

Ciaz 2014–present NEXA

Baleno 2015–present NEXA

 S-Cross 2015–present NEXA

Vitara Brezza 2016–present Arena

Dzire 2017–present Arena

Ignis 2017–present NEXA

XL6 2019–present NEXA

S-Presso 2019–present Arena

Discontinued models
Model Released Discontinued Image

800 1983 2014

Omni 1984 2019

Gypsy E 1985 2000

Gypsy King 1985 2017

1000 1990 2000

Zen 1993 2003

Esteem 1994 2010

 Baleno 1999 2007

Baleno Altura 2000 2003

Alto 2000 2012

Versa 2001 2010

Grand Vitara XL7

2003 2007
(imported)

Grand Vitara
2007 2015
(imported)

Zen Estilo 2007 2013

SX4 2007 2014

 A-star 2008 2014

Swift Dzire 2008 2017

Ritz 2008 2016

Alto K10 2010 2020

Kizashi
2011 2014
(imported)
 NEXA

In 2015, Maruti Suzuki launched NEXA, a new dealership network for its premium cars.
Maruti currently sells the Baleno, S-Cross, XL6, Ciaz and Ignis through NEXA outlets.S-Cross was the first
car to be sold through NEXA outlets. Several new models will be added to both channels as part of the
company's medium term goal of 2 million annual sales by 2020.
SCROSS

XLB
 STRUCTURE OF COMPANY

MARUTI FINANCE

To promote its bottom line growth, Maruti

Suzuki launched Maruti Finance in January 2002. Prior to the start of this service Maruti Suzuki
had started two joint ventures Citicorp Maruti and Maruti Countrywide with Citi Group and GE
Countrywide respectively to assist its client in securing loan. Maruti Suzuki tied up with ABN
Amro Bank, HDFC Bank, ICICI Limited, Kotak Mahindra, Standard Chartered Bank, and
Sundaram to start this venture including its strategic partners in car finance. Again the company
entered into a strategic partnership with SBI in March 2003 Since March 2003, Maruti has sold
over 12,000 vehicles through SBI-Maruti Finance. SBI-Maruti Finance is currently available in
166 cities across India.

Citicorp Maruti Finance Limited is a joint venture between Citicorp Finance India and Maruti
Udyog Limited its primary business stated by the company is "hire-purchase financing of Maruti
Suzuki vehicles". Citi Finance India Limited is a wholly owned subsidiary of Citibank Overseas
Investment Corporation, Delaware, which in turn is a 100% wholly owned subsidiary of Citibank
N.A. Citi Finance India Limited holds 74% of the stake and Maruti Suzuki holds the remaining
26%. GE Capital, HDFC and Maruti Suzuki came together in 1995 to form Maruti Countrywide.
Maruti claims that its finance program offers most competitive interest rates to its customers,
which are lower by 0.25% to 0.5% from the market rates.[
 Maruti insurance

It is
launched in 2002 Maruti provides vehicle insurance to its customers with the help of
the National Insurance Company, Bajaj Allianz, New India Assurance and .
Sundaram. The service was set up the company with the inception of two
subsidiaries Maruti Insurance Distributors Services Pvt. Ltd and Maruti Insurance
Brokers Pvt. Limited.

This service started as a benefit or value addition to customers and was able to ramp up
easily. By December 2005 they were able to sell more than two million insurance policies
since its inception.

Maruti True Value

Maruti True service offered by Maruti Udyog to its customers. It is a market place for used
Maruti Vehicles. One can buy, sell or exchange used Maruti vehicles with the help of this
service in India

.
 SWOT ANALYSIS
Strengths in the SWOT analysis of Maruti Suzuki

 Maruti Udyog limited (MUL) is in a leadership position in the market with a market
share of 48.74
 Major strength of MUL is having largest network of dealers and after sales service
centers in the country.
 Good promotional strategy is adopted by MUL to transfer its thoughts to the people about
its products.
 Maruti Suzuki recorded highest number of domestic sales with 9,66,447 units from
7,65,533 units in the previous fiscal. It recently attained the 10million domestic sales
mark.
 Strong Brand Value and Loyal Customer Base are big strengths for MUL
 There are around 15 vehicles in Maruti Product portfolio. Has good product lines with
good fuel efficiency like Maruti Swift, Diesel, Alto etc
 Alto still beats the small car segment with highest number of sales
 MUL is the first automobile company to start second hand vehicle sales through its True-
value entity.
 MUL has good market share and hence it’s after sales service is a major revenue
contributor.

Weaknesses in the SWOT analysis of Maruti Suzuki

 Low interior quality inside the cars when compared to quality players like Hyundai and
other new foreign players like Volkswagen,Nissan etc.
 Government intervention due to having share in MUL.
 Younger generations started getting a great affinity towards new foreign brands
 The management and the company’s labor unions are not in good terms. The recent
strikes of the employees have slowed down production and in turn affecting sales.
 Maruti hasn’t proved itself in SUV segment like other players.

Opportunities in the SWOT analysis of Maruti Suzuki

 MUL has launched its LPG version of Wagon R and it was a good move simultaneously
 MUL can start R&D on electric cars for a much better substitute of the fuel.
 Maruti’s cervo 600 has a huge potential in tapping the middle class segment and act as a
strong threat to Nano
 New DZire from Maruti will capture the market share and expected to create the same
magic as Maruti Esteem(currently not available)
 Export capacity of the company is giving new hopes in American and UK markets
 Economic growth of the country is constantly increasing and the government is working
hard to increase the gdp to double digit.

Threats in the SWOT analysis of Maruti Suzuki

 MUL recently faced a decline in market share from its 50.09% to 48.09 % in the previous
year(2011)
 Major players like Maruti Suzuki, Hyundai, Tata has lost its market share due to many
small players like Volkswagen- polo. Ford has shown a considerable increase in market
share due to its Figo.
 Tata Motors recent launches like Nano 2012, Indigo e-cs are imposing major threats to its
respective competitor’s segment
 China may give a good competition as they are also planning to enter into Indian car
segment
 Launch of Hyundai’s H800 may result in the decline of Alto sales
 INTRODUCTION OF TOPIC

Cash Management refers to the collection, handling, control and investment of the organizational
cash and cash equivalents, to ensure optimum utilization of the firm’s liquid resources. Money is
the lifeline of the business, and therefore it is essential to maintain a sound cash flow position in
the organization.

Receivables Cash Management

Any amount which the company has earned however not yet received, i.e. its outstanding and is
expected to be received in future, is known as receivables.

An organization must manage its receivables to maintain the surplus cash inflow. It helps the
firm to fulfil its immediate cash requirements.

The cash receivables must be planned in such a way that the organization can realise its debts
quickly and should allow a short credit period to the debtors.

Payables Cash Management

The payables refer to the payment which is unpaid by the organization and is to be paid off
shortly.

The organization should plan its cash outflow in such a manner that it can acquire an extended
credit period from the creditors.

This helps the firm to retain its cash resources for a longer duration to meet the short term
requirements and sudden expenses. Even the organization can invest this cash in a profitable
opportunity for that particular credit period to generate additional income.
 OBJECTIVES
OBJECTIVES OF THE STUDY

 To identify the source of funds of the Maruti Suzuki’s Limited.

 To identify the application funds of the Maruti Suzuki’s Limited.

 To identify the changes in “fund”

 Helpful in planning.
 Helpful in organizing.
 Helpful in interpreting financial information.
 Helpful in making decision
 Report to management.
 SCOPE OF THE STUDY

 Only the CASH FLOW has been taking to measure the financial performance.

 The study confines to the CASH management at “Maruti Suzukis Limited, ” only.

 This study can not reflect the Overall Industry’s funds management system

 The present study focuses as sources funds and application of funds for a period

of time. The study is confirmed to find out the changes in the financial position of

The Maruti Suzuki Financial Services Limited between the beginning and ending

financial Year. It is a technical device designed to analyze the changes in the

financial condition of the business enterprises between two dates.

 This CASH flow statement is a statement which indicates various means by which

the funds have been obtained during a certain period and the ways to which these

funds have been used during the period.

 RESEARCH METHODOLOGY

Research Methodology

1 Secondary Data This is taken from the annual reports, websites, company journals magazines
and other sources

The study covers the analysis of CASH MANAGEMNET AT Maruti Suzuki India Ltd. These
companies have been chosen particularly for the reason that they are among the largest ones in
terms of seeking short term funds especially for their working capital requirement. The main
objective of this study is to examine the trends in working capital management and cash flow
practices in the automobile sector for the selected companies. The data has been sourced from
screener database and company specific annual reports. On the basis of data collected working
capital and cash flow statement were analyzed The working capital analysis have been made
considering the selected important ratios such as current ratio, quick ratio, inventory turnover
ratio, debtor’s turnover ratio and asset turnover ratio.

FINANCIAL STATEMENTS

INTRODUCTION

The basis for financial planning, analysis and decision-making is the financial

information. Financial information is needed to project, compare and evaluate the firm’s earning

ability. It is also required to aid in economic decision-making investment and financial decision-

making. The financial information of an enterprise is contained in the financial statements or

accounting reports. Three basic financial statements of great significance to owners,

management and investors are balance sheet, profit and loss account and Cash Flow

Management.

BALANCE SHEET

Balance sheet is the most significant financial statement. It indicates the financial

condition or the state of affairs of a business at a particular moment of time. More specially,

balance sheet contains information about resources and obligations of a business entity and about

its owner’s interest in the business at a particular point of time. Thus, the balance sheet
communicates information about assets, liabilities and owner’s equity for a business firm as on a

specific date. It provides a snapshot of the financial position of the firm at the close of the firm’s

accounting period.

Assets are valuable economic resources owned by the firm. They embody future

benefits and are measured in monetary terms. Assets represent: (a) stored purchasing power

(e.g., cash), (b) money claims (e.g., receivables stock ) and (c) tangible and intangible items that

can be sold or used in business to generate earning. Tangible items that include land, building,

plant, equipment or stocks of materials and finished goods and all such other items do not have

any physical existence, but they have value to a firm. They include patents, copyrights, trade

name or goodwill.

Assets are classified as: (1) current assets and (2) fixed (long term) assets.

Current assets sometimes called liquid assets are those of a firm which are either held in

the form of cash within the accounting period are of one-year duration. Current assets include

cash, tradable (marketable) securities, and debtors (accounts receivables) and stock of raw

material, work-in process and finished goods.

Fixed assets are long-term in nature; they are held for periods longer than the

accounting period. They include tangible fixed assets like land, building, machinery, equipment,

furniture etc. Intangible fixed assets represent the firm’s rights and include patents, copyrights

franchises, trademarks, trade names and goodwill.

Firm’s obligations are called liabilities. Liabilities represent debts payable in future by

the firm to its lenders and creditors. They represent economic obligations to pay cash or pay

cash or to provide goods services in some future period. Examples of liabilities are creditors,

bills payable, wages, salaries payable, taxes payable, bonds, debentures, borrowings from banks

and financial institutions, public deposits etc…

Liabilities are of two types: (1) current liabilities; and (2) long-term (fixed)
Liabilities. Current liabilities are debts payable within an accounting period. Current assets are

converted into cash to pay current liabilities. Long-term liabilities are the obligations or debts

payable in a period of time greater than the accounting period. Long-term liabilities include

debentures, bonds, and secured long-term loans from financial institutions.

The financial interest of the owner’s are called owner’s equity or simply

Equity. The owner’s interest is residual in nature, reflecting the excess of the firm’s assets over

its liabilities. As liabilities are the claims of outside parties, equity represents owner’s equity has

two parts (a) paid-up share capital and (b) reserves and surplus. Paid-up share capital is the

amount of funds directly contributed by the shareholders through purchase of shares. Reserves

and surplus or obtained earning are undistributed profits. Paid up share capital and reserves and

surplus together are called net worth.

PROFITS AND LOSS ACCOUNTS

Balance sheet is considered as a very significant statement by bankers and other lender

because it indicates the firm’s financial solvency and liquidity, as measured by its resources and

obligations. However, creditors, particularly bankers and financial analysis in India have

recently started paying more attention to the firm’s earning capacity as a measure of its financial

strength. The earning capacity and potential of a firm are reflected by its profit and loss account.

The profit and loss account is a “score-board” of the firm’s performance during a period of time.

Profit and loss account presents the summary of revenues, expenses, net income or net

loss of a firm. It serves as measure of firm’s profitability. Revenues are amounts that the

customers. The cost of the firm for providing them goods and services to customers. The cost of

the economic resources used to earn revenues during a period of time is called Expenses.

Revenues and expenses are sometimes categorized as operating and non-operating

business of the firm are called operating revenues (operating expenses). Revenues (expenses)
which are incidental or indirect to the main operations of the firm are called non-operating

revenues (expenses).

MEANING OF FINANCIAL STATEMENTS

Financial statements at least refer to the two statements which are

prepared by a business concern at the end of the year. These are

1) Income statement or trading and profit and loss account which is prepared by

business concern in order to know the profit earned and loss sustained during a specified

period.

2) Position statement or Balance sheet which is prepared by a business concern on a

particular date in order to know its financial position.

Concern on a particular dare in order to know its financial position.

To these statements are added the statement of Retained Earnings and some

other statements such as (Funds flow statement, Cash Flow Management etc…) and

schedules of fixed assets, investments, current assets etc… to give a full the package of

financial statements.

Statement of Retained Earnings (When prepared separately ) or profit and loss

appropriation account shows the utilization of profits of the company i.e., dividend

declared, amount transferred to general reserve or any other reserve as shows in this

account.

Funds flow statement summarizes the changes in working capital in a

specified period and indicates the various sources and applications of funds.

Cash Flow Management gives the various items of inflow and outflow of cash.
 Various schedules of fixed assets, investments, current assets etc, are prepared

by companies to show as to how the figures shown in the balance sheet have been arrived

at.

NATURE OF FINANCIAL STATEMENTS

Financial statements are prepared for the purpose of presenting a periodical review

or report by the management and deal with the state of investment in business and result

achieved during the period under review. They reflect a combination of recorded facts,

accounting conventions and personal judgments. From this it is clear that financial

statements are affected by three things i.e. recorded facts, accounting conventions and

personal judgments.
 IMPORTANCE OF FINANCIAL STATEMENTS

The information given in the financial statement is very useful to a number of

parties as given below:

1. OWNERS: Owners provide funds for the operation of business and they want to

know whether their funds are being properly utilized or not. The financial statement

prepared from time to time to satisfy their curiosity.

2. CREDITORS: Creditors (i.e. suppliers of goods and services on credit, bankers and

other lenders of money) want to know the financial position of a concern before giving

loans or granting credit. The financial statements help them in judging such positions.

3. INVESTORS: Prospective investors, who want to invest money in a firm, would

like to make an analysis of the financial statements of that firm to know how safe

proposed investment would be.

4. EMPLOYEES: Employees are interested in the financial position of a concern

they serve, particularly when payment of bonus depends upon the size of the profit

earned. They would like to know that the bonus being paid to them is correct; so they

became interested in the preparation of correct profit and loss account.

5. GOVERNMENT: Central and State Governments are interest in the financial

statements because they reflect the earnings for a particular period for purpose of

taxation. Moreover, these financial statements are used for compiling statistics

concerning business which in turn, help in compiling national accounts.

6. RESEARCH SCHOLARS: The financial statements being a mirror of the

financial position of a financial position of a firm are of immense value to the research

scholars who wants to make a study into financial operations of a particular firm.
 7. CONSUMERS: Consumers are interested in the establishment of good accounting

control so that cost of production may be reduced with the resultant of the prices of goods

they buy.

8. MANAGERS: Management is the art of getting things done through others. This

requires that the subordinates are doing work properly. Financial statements are an aid in

this respect because they serve manager in appraising the performance of the

subordinates by comparing the actual results with the standards established and

identifying the deviations, if any and taking remedial measures to remove deviations.

MEANING OG ANALYSIS OF FINANCIAL STATEMENTS

Analysis is the process of critically examining in details accounting information given

in the financial statements. For the purpose of analysis, individual items are studied their

interrelationship with other related figures established, the data is sometimes rearranged to

have better understanding of the information with the help different techniques or tools for the

purpose. In the words of MYNR, “financial statement analysis is largely a study of

relationship among the various financial factors in a business as disclosed by a single set of

statements and a study of the trend of these factors as shown in a series of statements”.
 MEANING OF INTERPRETATION

Analysis and interpretation are closely related. Interpretation is not possible without

analysis and with interpretation analysis has no value.

In the words KENNDY AND MEMULLAR,“The analysis and interpretation of

financial statements data so that a forecast may be made of the prospects for future earning,

ability to pay interest and debt maturities (both current and long-term) and profitability of a

sound dividend policy”.

TYPES OF FINANCIAL STATEMENT ANALYSIS

Different types of financial statements analysis can be made on the basis of

1. The nature of the analysis and the material used by him.

2. The objectives of the analysis.

3. The Modus operandi of the analysis.

These are discussed one by one.

ON THE BASIS OF NATURE OF THE ANALYST AND THE MATERIAL USED BY

HIM:

 EXTERNAL ANALYSIS: It is made by those persons who are not connected with

the enterprise. They do not have access to the enterprise. They do not have access to

the detailed record of the company and have to depend mostly on published statements.

Such type of analysis is made by investors, credit agencies, governmental agencies and

research scholars.

 INTERNAL ANALYSIS: The internal analysis is made by those persons who

have access to the books of accounts. They are members of the organization. Analysis

of financial statements or other financial data for managerial purpose is the internal

type of analysis. The internal analysis can give more reliable result than the external

analysis.
ON THE BASIS OF OBJECTIVE OF THE ANALYSIS:

On the basis the analysis can be long-term and short-term analysis.

 LONG-TERM ANALYSIS: This analysis is made in order to study the long-term

earning capacity of a business concern. The purpose of making such type of analysis is

to know whether in the long-run the concern will be able to earn a minimum amount

which will be sufficient to maintain a reasonable rate of return on the investment so as

to provide the funds required for modernization, growth and development of the

business and to meet its costs of capital.

 SHORT-TERM ANALYSIS: This is made to determine the short – term

solvency, stability and liquidity as well as earning capacity of the business. The

purpose of this analysis is to know whether in the short –run a business concern will

have adequate funds readily available to meet its

Short-term requirements and sufficient borrowing capacity to meet contingencies in the

near future.

ON THE BASIS OF MODUS OPERANDI OF ANALYSIS:

On this basis, the analysis may be horizontal and vertical analysis.

 HORIZONTAL (OR DYNAMIC) ANALYSIS: This analysis is made to review

and analyze financial statements of a number or years and therefore based on financial

data year from several years. This is very useful for long-term trend analysis and

planning. It is also termed as dynamic analysis.

 VERTICAL (OR STATIC) ANALYSIS: This analysis is made to review and

analyze the financial statement of one particular year only. Ratio analysis of the

financial year relating to a particular year is an example of this type of analysis.

TECHINIQUES (TOOLS OR METHODS) OF ANALYSIS AND INTERPRETATION:

 The following techniques can be used in connection with analysis and
interpretation of financial statements:
1. Comparative financial statements (or Analysis).
2. Common measurement statements (or Analysis).

3. Trend percentages (or Analysis).

4. Funds flow statements (or Analysis).
5. Net working capital (or Analysis).
6. Cash Flow Managements.
7. Ratio Analysis.
 CASH FLOW STATEMENTS

INTRODUCTION

The basis financial statement i.e. the balance sheet and profit & loss account or income

statements of business reveal the net effect of the various transactions on the sssoperational and

financial position of the company. The balance sheet gives a summary of the assets and

liabilities of an undertaking at a particular point of time; it reveals status of the company.

The asset side of a balance sheet shows the deployment of resources of an under taking

while the liabilities side indicates its obligation financial activities of a business for a period of

time and financial activities if a business but their usefulness is limited for analysis and

planning purpose. But they are many transactions that take place in an under taking and which

do not operate though profit & loss account. Another statement has to be prepared to show the

change in the assets & liabilities from the end of one period of time to the end of another period

of time. The statement is called a statement of changes in financial position of a fund flow

statement.
 MEANING & CONCEPT OF CASH

The term fund has been defined in a number of ways.

 IN A NARROW SENCE: It means cash only and funds flow statement prepared on

this basic is called a Cash Flow Management. Such statement enumerates net effects

of the various business transactions on cash and takes into account receipts and

disbursement of cash.

 IN A BORDER SENCE: The term funds refers to money values in whatever from

in may exits, here funds means all financial resources, used in business whether in the

form of men, material, money, machinery and others.

 IN A POPULOAR SENCE: The term funds means working capital, i.e. the excess

of current over current liabilities. The working capital concept of funds has emerged

due to the fact that total resources are invested partly in fixed assets in the form of

capital and kept in form of liquid or near liquid form as working capital.
 MEANING & CONCEPT OF FLOW OF FUNDS

The term ‘FLOW’ means ‘movement’ and includes both ‘inflow’ & ‘outflow’.

The term ‘FLOW OF FUNDS’ means transfer of economic values from one asset of equity to

another. FLOW OF FUNDS is said to have taken place when any transaction makes changes

in the amount of funds available before happening of the transaction. Effect on transaction

resulted in the ‘FLOW OF FUNDS’.

According to the working capital concept of funds the term ‘FLOW OF FUNDS’

refers to the movements of funds in the working capital, it is said to be an application or out of

funds.

RULE: The flow of funds occurs when a transaction on the one hand a non-current and on the

other a current account and vice-versa.

When a change in a non-current account

E.g. Fixed assets, long term liabilities, reserve and surplus, fictitious assets etc… is followed by a

change in another non-current account, it does not amount to “flow of funds”. This is because of

the fact that in such cases neither the working capital increases nor decreases. Similarly, when a

change in one current account results in change in another current. It does not affect funds.

Funds move from non-current transactions or vice-versa only. In simple language

funds move when a transaction affects.

1. A current assets and fixed assets.

2. A fixed liabilities and current liabilities.

3. A current asset and a fixed asset.

4. A fixed liabilities and current liabilities.

And funds do not move when the transaction affects fixed assets and fixed liabilities or current

assets and current liabilities.

 FORMULATE HYPOTHESIS

To understand flow of funds, it is essential to classify various accounts and balance sheet items

into current and non current categories.

 Current accounts can either be current assets or current liabilities. Current assets are

those assets which in the ordinary course of business can be or will be converted into

cash in a short period of normally one accounting year.

 Current liabilities which are intended to be paid in the ordinary courses of business with

in a short period of normally one accounting year out of the current assets or the income

of the business.
 The following is list of current working capital accounts

List of current or working capital accounts

Current liabilities Current assets

1. Bills payable. 1. Cash in hand.

2. Sundry creditor’s (or) account payable. 2. Cash at bank.

3. Accrued (or) outstanding expenses.

4. Dividends payable. 3. Bills Receivable.

5. Bank over drafts. 4. Short tern (or) Account Receivable.

6. Short term loans advances & deposits. 5. Short term loans & Advances.

7. Provision against current assets. 6. Temporary (or) Marketable investment.

7. Inventories or stock such as

a) Raw material.
b) Working process
c) Stores and pares.
8. Provision for taxation, if it does not d) Finished goods.
amount to Appropriation of profit.
8. Prepaid expenses.
9. Proposed dividend (may be a current
(or)non current Liabilities).

9. Accord income.
Procedure for knowing a transaction resulting in the flow of CASH

 Analysis the transaction and find out the two accounts in valued

 Makin journal entry of the transaction

 Determine whether the account in valued in the transaction are current or non-

current

 If the both account in valued are non current i.e. either permanent assets or

permanent liabilities, it does not result in the flow of funds.

 If both the account invalid are non-current.

 If he accounts in valued are such that one is a current account while the other is a

non-current account i.e. current assets and permanent and fixed assets or current

liabilities and fixed assets or current liability and permanent liability & fixed assets or

current liability & permanent liability then it result in the flow of funds.

DIAGRAMS DEPICTING CASH MANAGEMENT

Flow of Funds

No Yes

↓ ↓

When One current

When Both current and other non
(or) Non current a/c current A/c isin
Are in valued valued
 FLOW OF CAH

Current
Current Assets No Liabilities

Yes
Yes Yes

Current
Current Assets Assets
No

CASH FLOW statement, Income statement & Balance sheet

CASH flow statement is not a substitute an income, i.e. a profit and loss account and

balance sheet. The profit and loss account is a document which indicates the extent of success

achieved b y a business in earning profits. It reports the result of business activities and indicates

the reasons for the profitability of a business. It does not reveal the inflow and outflow of CASH

in business during a particular period.

Hence CASH flow statement is not competitor to financial statements. The funds

statement provides additional information as regards changes in working capital, derived from

financial statements at two point of time. It is a tool of management for financial analysis and

helps in making decisions

Difference between CASH flow statement and income statement

CASH flow statement Income statement

1. It highlights the changes in the 1. It does not reveal the inflow and

financial position of a business and outflows of fund but depicts the items of

indicates the various mean by which funds expenses and incomes arrive at the figure

were obtained during a particular period of profit or loss.

and the ways to be which these funds were

employed.

2. It is complementary to income

statement income statement helps the 2. Income statement is not prepared from

preparation of funds flow statement. funds flow statement.

3. While preparing funds flow statement

both capital and revenue items are

considered. 3. Only revenue items are considered.

4. There is no prescribed format for

preparing a funds flow statement.

4. It is preparing in prescribed format.

Difference between CASH flow statement and balance sheet

CASH flow statement Balance sheet

1. It is a statement of changes in financial 1. It is a statement of financial position on
position and hence is dynamic nature. particular data and hence is static in
2. It shows the sources and use of funds nature.
in a particular period of time. 2. It depicts the assets and liabilities at
3. It is a total of management for particular point of time.
financial analysis and helps in 3. It is not of much help to
decisions. management in making
4. Usually, schedule of changes in decisions.
working capital has to be prepared 4. No such of changes in
before preparing funds flow statement. working capital is required. Rather
profit & loss account is prepared.

of significant and importance of funds flow statement

A CASH flow statement is an essential tool for the financial tool for the financial

analysis and is of primary importance to the financial management. Now a days it is being

widely used by the financial analysis, credit granting institution and financial manages. The

basic purpose of funds flow statement is to reveal the changes in the working capital on the two

balance sheets data.

It also describes the sources from which additional working capital has been financed

and the uses to which working capital has been applied. Such a statement is particularly useful

in assessing the growth of the firm. It resulting financial needs and in determining the best way

of financial these needs. These significance or importance of funds flow statement can be well

followed one can plan the intermediate and long term financing of the firm.
USES OF CASH FLOW STATEMENT
1. Helps in analysis of financial statement.

2. Throes light or preplanning questions.

3. Helps in formulation of dividend policy.

4. Helps in the proper allocation of resources.

5. Acts as a future guide.

6. Helps appraising the use of working capital.

7. Helps knowing the credit worthless.

LIMITATIONS OF CASH FLOW STATEMENT

The CASH flow statement has a number of users; however, it has creation

limitations also, which are listed below.

1. It should be remembered that a cash flow statement is not a substitute of an income

statement or a balance sheet. It provides only some additional information as regards

changes in working capital.

2. It can not reveal continuous changes.

3. It is not an original statement but simply is arrangement of data given in the financial

statement.

4. It is essentially historical in nature and relevant for financial management in that the

working capital.
 DESIGN RESEARCH PROBLEM

PROCEDURE FOR PREPARING A FUNDS FLOW STATEMENT

Funds flow statement is method by which we study changes in the financial position

of a business. Enterprise between beginning and ending financial statement dates. Hence the

funds flow statement is prepared by comparing two balance sheets and with the help of such

other information derived from the accounts as may be needed. Broadly speaking the

preparation of a funds flow statement consists of two parts.

1. Statement of schedule of changes in working capital.

2. Statement of sources and application of funds.

1. Statement of schedule of changes in working capital

Working capital means the excess of current assets over current liabilities. Statement of

changes in working capital is prepared to show the changes in the working capital between

the two balance sheet dates. This statement is prepared with the help of current assets &

current liabilities derived from the 2 balances.

Working capital = current assets – current liabilities

 Statement of schedule of changes in working capital

Particulars Previous year Current year Effect on working capital

Current assets: Increase Decrease

Cash in hand xxx Xxx

Cash at bank xxx Xxx
Bills receivable xxx Xxx
Sundry debtors xxx Xxx
Temporary Xxx Xxx
Investment Xxx Xxx
Stock Xxx Xxx
Prepaid expenses Xxx Xxx
Accrued incomes Xxx Xxx

Total current assets Xxx Xxx

Current liabilities: Xxx Xxx

Bills payable Xxx xxx
Sundry creditors Xxx Xxx
Outstanding expenses
Bank overdraft Xxx Xxx
Short advantages Xxx xxx
Dividend payable Xxx xxx
Provision for taxation Xxx Xxx

Total current liabilities

Working capital (CA-
CL)
Net increase (or) Xxx Xxx
decrease in working
capital. Xxx Xxx

Xxx Xxx
 DATA COLLECTION

CASH flow statement is a statement which indicates various sources from which

funds (working capital) have been obtained during a certain period and the users or

applications to which these funds have been put during the period. Generally this statement

prepared two formats.

a. Report form

b. T form or an account form or self balancing type.

Specification of reports form of funds flow statement

particulars Rs
Source of funds
Funds from operation. Xxx
Issue of share capital. Xxx
Raising of long term loans. Xxx
Receipts from partly paid shares, called up. Xxx
Sales of non current assets. Xxx
Non trading receipts, such as dividends received. Xxx
Sales of investment(long term) Xxx
Decrease in working capital (as per schedule of change in Xxx
working capital). Xxx
Total:
Application (or) uses of funds Xxx
Funds lost in operation. Xxx
Redemption of debentures. Xxx
Repayment of long term loans. Xxx
Purchase of long term investment. Xxx
Purchase of non current assets. Xxx
Non trading payments. Xxx
Payment of dividends. Xxx
Payment of tax. Xxx
Increase in working capital. xxx
Total:
T’ forms an account form or self balancing type funds flow statements

Sources Rs Applications Rs
Funds from operation Issue of Xxx Funds in Operation. Redemption of Xxx
Share Capital xxx preference share capital xxx
Issue of debentures. xxx Redemption of debentures.
Raising of long term loans. Xxx Repayment of long term loans xxx
Receipts from partly paid hares. Xxx Purchase of non current (fixed) Xxx
Sales of non current (fixed) assets.
assets. xxx Purchase of long term investment. Xxx
Non trading receipts such as Non trading Payment
dividends. Xxx Payment of dividends Xxx
Sales of long term investments Payment of tax
Net decrease in working capital Xxx Net increasing in working capital. Xxx
Total Xxx
Total xxx Xxx
Xxx

Xxx xxx

NOTE:- Payment of dividend and tax will appear as an application of funds only when these

items are appropriations of profit and not current liabilities.

STATEMENT OF CHANGING WORKING CAPITAL FOR THE YEAR
PARTICULARS YEAR2 YEAR2 INCREASE DECREASE
CURRENT ASSETS
Inventories xxx Xxx xxx
Sunday Debtors xxx xxx xxx
Cash & Bank balance xxx xxx
Others Current Assets (A) xxx Xxx
Current Liabilities:-
Current Liabilities
Provisions xxx Xxx
xxx xxx
Total Current Liabilities (T.S)
xxx xxx
Working Capital = (A+B)
Decrease / Increase in
working Capital (+- (+-
xxx xxx
xxx xxsx xxx
STATEMENT SOWING SOURCES AND APPLICSATION OF FUNDS:-
Amount Application of funds Amount
Sources of funds
Issue of shares xxx Preferences of Shares xxx

Issue of Debentures xxx Redemption of Debentures xxx

Long term Borrowings xxx Payment of other Long Term Loans

xxx
Purchase of Fixed Assets
Sales of Fixed Assets
xxx Payment of Fixed Assets xxx
Operating profit
Increase in working Capital xxx
Decrease in working xxx
Capital xxx
xxx
TOTAL
TOTAL

xxx xxx
DATA ANALYSIS
&
INTERPRETATION
 STATEMENT OF CHANGING IN WORKING CAPITAL FOR THE
YEAR 2019-20 OF MARUTI SUZUKIS LTD.

EFFECT ON WORKING
PARTICULARS 2019 2020 CAPITAL
INCREASE DECREASE
A) Current Assets:-

a) Inventories 136013824 93957410 42056414

b) Sundry Debtors 4097718 153226 3944492
c) Cash and Bank Balance 898720 388272 510448
d) Loans and Advances 23917258
e) Other current assets 262000 26537258 141507
Total current Assets: 242665 384172

B) Current Liabilities & 143872927 121420338

Provisions:- 28689754
31982
a) Current Liabilities
b) Other current Liabilities
Total current Liabilities
36577367 7887613
48460 16478
NETWORKING
CAPITAL (A-B)
36625827 7904091 6269147
Net increase in Working
Capital 107247100 113516247

6269147
11351627 11356247 52780501 52780501
CASH FLOW STATEMENT FOR YEAR 2019-20 OF
MARUTI SUZUKIS LTD
Source of funds Amount Application of funds Amount
(Rs)
Sale of factory buildings 2707908 Purchase of furniture & 166750
fixtures
Sale of other fixed assets Purchase other fixed assets 1140902
3815939
Increase in Reserves & Decrease in un secured loans
Surplus 964002
3655878 increase in working capital
Increase in secure loans
6269147
Funds from operation 6914784
Total →
Total →
122302

17216811 17216811
INTERPRETATION:-

The above calculation that in 2019-20total current assets amount to Rs.

14,38,72,927 has been decreased to Rs. 12,14,20,338. The decrease in current assets amount Rs.

2, 24,52,589.

Cash and bank balance has lower i.e. from (8,98,720 to 3,88,272) Rs. 610448

loans and advances also increase from 26,20,000 to 2,65,37,258 i.e., Rs 2,39,17,258.

At the same time the current liabilities also decreased from Rs. 36625827 to Rs.

7904091 i.e. Rs. 28721736.

The net working capital increase during the study period amount to Rs

62699147. so this is a healthy sign that the company able to manage current assets and liabilities.
 STATEMENT OF CHANGING IN WORKING CAPITAL FOR THE YEAR 2019-2020
OF MARUTI SUZUKIS LTD
PARTICULARS EFFECT ON WORKING
2019 2020
CAPITAL
Current Assets: Increa Decrease
a) Sundry Debtors 153226 63467 se
b) Cash and Bank 288272 1470425 89759
Balances 26537258 38838127 11821
c) Loans and 94441582 148979468 53
Advances 121420338 189351487 12300
d) Other current 869
assets 623100 27029530 54537
Total current Assets 1668991 7130214 886 20794430
(A): 7904091 34159744 5461223
Current Liabilities &
Provisions:
a) Current
Liabilities 113516247 155191743
b) Other current
liabilities 41675496
Total Current
Liabilities (B) 416755496
15519174 155191743 68020 68020908
908

NETWORKING
CAPITAL (A-B)
Net increase in
Working Capital
Total
FUNDS FLOW STATEMENTS FOR YEAR 2019-20 OF MARUTI SUZUKIS LTD
Sources of funds Amount (Rs) Application of funds Amount (Rs)
Sales of factory 2583834 Purchase of Land 6621525
buildings
Increase in un secured 12796060 Purchase of Plant and 11421497
loans Machinery

Increase in Reserves & 7439073 Increase in working capital 41675496

Surplus

Increase in secure loans 36777251

Funds from operations

122300

Total→ 59718518 Total→ 59718518

INTERPRETATION:-

The above calculation that in 2019-16 total current assets amount to Rs. 12,14,20,338

has been decreased to Rs. 18,93,51,487. The increased in current assets amount Rs. 6,79,31,149.

Cash and bank balance has higher i.e. from ( 288272 to 1470425) Rs. 1182143 loans

and advances also increased from 26537258 to 3583127 i.e.Rs 12300869.

At the same time the current liabilities also decreased from Rs. 6235100 to

27029530 i.e. Rs. 20794430.

The net working capital increased during the study period amount to Rs. 416755496.

So this is a healthy sign that the company able to manage current assets and liabilities
STATEMENT OF CHANGING IN WORKING CAPITAL FOR THE
YEAR 2019-2020 OF MARUTI SUZUKIS LTD.

EFFECT ON working Capital

2019 2020
PARTICULARS INCREASE DECREASE

Current Assets:
a) Inventories 744879734 60982074 13507660
b) Sundry Debtors 63467 6510948 6447481
c) Cash and Bank Balances 1470425 14121860 1261435
d) Loans and Advances 38838127 59992347 21154220
e) Other current assets 74489734 60982074 13507660
Total current Assets (A) 189351487 202589303
Current Liabilities & Provisions:
a) Current Liabilities 27029530 30094997 365467
b) Other current liabilities 7130214 18242364 11112150

Total Current Liabilities (B) 34159744 48337361

NETWORKING CAPITAL(A-B) 155191743 15425942

939801
939801

155191 155191743 19098916 19098916

FUNDS FLOW STATEMENT FOR YEAR 2019-2020 OF
MARUTI SUZUKIS LTD.
Source of funds Amount (Rs) Application of funds Amount (Rs)
Sales of factory buildings 2733270 Purchased of Furniture 82932
and other fixed assets & Fixtures

Decrease in working Purchase of plant

capital 939801 &Machinery 13860146

Increase in Reserves & Purchase of computers

Surplus 23468817 284216

Purchase of other fixed

Increase in un secured assets
loans 12545805 1348674

Decrease in secured
Funds from operations loans
122300 2423425

Total 39809993 Total 39809993

INTERPRETATION:-

The above calculation that in 2019-16 total current assets amount to Rs. 189351487 has

been increased to Rs. 202589303. The increased in current assets amount Rs. 13237816.

Cash and bank balance has shown higher i.e. from ( 147425-14121860) Rs. 12651435

loans and advances also increased from 38838127 to 59992347 i.e. Rs. 21154550.

At the same time the current liabilities also increased from Rs. 34159799 to 4833736

i.e. 14177617.

The net working capital decreased during the study period amount to Rs. 939801. so this

is a healthy sigh that the company able to manage current assets and liabilities.
STATEMENT OF CHANGING IN WOKRING CAPITAL FOR THE
YEAR 2019-20 OF MARUTI SUZUKIS LTD.
Effect on working capital
2019 2020
Particulars Increase Decrease
Current Assets:-
Inventories 43785015
Sundry Debtors 4428466
Cash & Advantages 12664978
Loans & Advantages 27736239
Other current Assets 45344515

Total current Assets (A)

19411221 193783874

Current liabilities &

Provisions:-

Current liabilities
32775006 59813506
Other current liabilities
4881795 5897969
Total current liabilities (B)
37656801 65711475

Working Capital (A-B)

156954420 128078399

Decrease in working capital 28876021

28876021

Total 185830441 185830441 73705704 73705704

FUNDS FLOW STATEMENT FOR YEAR 2019-20 OF
MARUTI SUZUKIS LTD.
Particulars Rs Particulars Rs
Source of funds Application of funds

Share holder funds 80000 Purchase of fixed assets

168399
Reserve & surplus 12761

Unsecured loans 1427570

Secured loans 60098

Differed tax liability 34093

Preliminary Expenses 1223

Total 168399 Total 168399

INTERPETATION:-

The above calculation that in 201282009 total current assets amount to Rs 1946111221

has been decreased Rs 193789874. The decreased in current assets Rs 821347.

Cash & Bank balance has shown lower i.e. from (14121860 to 1456882) Rs 12664978

loans and Advances also decreased fro 59992347 to 32256108 i.e. 2854674.

At the same time the current liabilities also decreased from Rs. 37656801 i.e. 28054674.

The net working capital decreased during the study period amount to Rs 28876021. The

decline in net working capital resulted from decrease sundry debtors. Cash & Bank balances

loans & Advances.

STATEMENT OF CHANGING IN WORKING CAPITAL FOR
THE YEAR 2019-20 OF “MARUTI SUZUKIS LTD.

Particulars EFFECT ON working Capital

2019 2020 Increase Decrease
Current Assets:-
Inventories 150355335 190669403 40314068
Sundry Debtors 1546938 2133751 586813
Cash & Advantages 1456882 25737490 24280608
Loans & Advantages 32256108 35980085 3723977
Other current Assets 9485805 119585076 110099271

Total current Assets (A) 195101068 374105885

Current liabilities &

Provisions:-

Current liabilities 60140091 149330012

Other current liabilities 5897968 8789433
66038008 158119445
Total current liabilities (B)

Working Capital (A-B)

129063008 215986440
Decrease in working capital

86923432
86923432

Total 215986440 215986440 172086122 172086122

FUNDS FLOW STATEMENT FOR YEAR 2019-20 OF
MARUTI SUZUKIS LTD.

Particulars Amount (Rs) Particulars Amount (Rs)

Sources of FUNDS Application of

FUNDS
Secured loans
955799.5 Reserve & Surplus 7056.19
Unsecured loans
418527.6 Differed tax liability 346.8

Purchase of fixes
assets 1275569.3

Miscellaneous
Expenditure 2606

Net current Asset

88407.9

Total 1374327.1 Total 1374327.1

INTERPETATION:-

The total current assets value for the year 2019-16 is 195101068. It increased to

37410585 for the year ending 2009-10. Cash & Bank balance showed an increase of 24280608.

Which is derived from a sea change in company’s cash balances? The cash & Bank balance for

the year 2009-13 are 1456882 and 25733490 respectively.

At the same time the current liabilities also increased from Rs 6603860 to 158119445

i.e. Rs 92081385.

The net working capital increased during the study period amount to Rs. 86923432. So

this is a healthy sighs that the company able to manage good liquidity.
 FINDINGS
1. In the year 2019-20 the total source of funds is Rs. 1,70,94,509. The main source of the

fund is secured loans amounted to Rs 6914784. Total applications of funds for the year

2013-2012 are Rs 17216811. The main application component is purchase of other fixed

assets Rs 1140902.

2. In the year 2019-18the total source of funds is Rs 59596218. The main source of fund is

secured loans amounted to Rs 36777252. Total applications of funds for the year 2012-

2013 are Rs 59718518. The main application component is purchase of plant and

machinery Rs 11421497.

3. In the year 2019-2018 the total source of funds is Rs 39687693. The main source of
funds is Reserves & Surplus amounted Rs 23468817. Total applications of funds for the
year 2013-2012 are Rs 3980993. The main application component is secured loans Rs
242324025.

4. In the year 2019-16the total source of fund is Rs 94926638. The main source of the fund
is unsecured loans amounted to Rs 1427570. Total applications of funds for the year
2012-2009 are 168399000. The main application component is purchase of fixed assets
Rs 168399000.

5. The year 2016-15 the total source of fund are Rs 13743271. The main source of the fund
is secured loans amounted to Rs 955799.5. Total applications of funds for the year 2016-
2019 are 1374327.1. The main application component is purchase of fixed assets Rs
1275569.3.
 CONCLUSION

1. The company always maintains sound level of funds.

2. Company maintains adequate level of working capital during the study period except the

year 2015-16, 2019-20.

3. The company paid the amount of unsecured loans.

4. For meeting working capital requirement the company has cash credit arrangement from

various banks.

5. Depreciation calculates from beginning of the month for all the assets.

6. Investment is carried at market value with out providing any provision.

7. The company maintained their fixed assets at book value and providing depreciation

where is necessary.

8. The company has taken loans from Government of India.

9. The company maintains their reserves and surplus consistently.

 SUGGESTION
 There is lot of pretension consistence demand the automobile industry as a automobile

producer the company can able to source, their funds throw more share holders funds.

 Company is maintaining in inventories a part of current assets for the entire study period.

At shows that excessive inventory level are not good for any organization and any

company. Si the company has to concentrate much more on inventory maintains.

 The company has to main super quick assets in order to maintain sound liquidity.

 During study period there are negative working capital levels for the company so the

company must maintained enough current assets the keep working capital, figure

positively.

 A company has to recollect their our standing amount from the debtor’s regularly.

 The company has to maintain same funds long-term investment.

 The company has to monitory from liability position, in regular intervals.

 The company must be conscious about their working capital position.

 BIBILIOGRAPHY

Author Name of the book Edition

RK Sharma shashi K Gupth Management of accounting 8th edition

Dr.S.N.Maheshwari Financial management 6th edition
I.M pandey Financial management 9th edition

SOURCES:
 Company reports.

 Memorandum of association and Articles of association.