SUBJECT : GIDED BY :

Financial Accounting Jitendra Manglani

PRESENTED BY :

• Madhuri Umretiya
• Aarti Karmur
• Rency Barasiya
• Brinda Barasiya
INTRODUCTION OF COMPANY
• Hero MotoCorp Limited, formerly Hero Honda, is an Indian multinational
motorcycle and scooter manufacturer headquartered in New Delhi. The
name of the company was changed from Hero Honda Motors Limited to
Hero MotoCorp Limited on 29 July 2011.

• The new brand identity and logo of Hero MotoCorp were developed by the
British firm Wolff Olin. The logo was revealed on 9 August 2011 in
London, to coincide with the third test match between England and India.

• The company is one of the largest two-wheeler manufacturers in the

world, as well as in India, where it has a market share of about 37.1% in
the two-wheeler industry.
SWOT ANALYSIS OF COMPANY
Vision and mission
• Mission:-
Re-define mobility through the creation of a mobility
roadmap. Set best practice and benchmarks for the
industry.

• Vision:-
deliver the best and the most cost-effective products &
solutions empowered by superior technologies.
Competitors
• Atul Auto Ltd. ATUAUT.
• Bajaj Auto Ltd. BAJAUL.
• Eicher Motors Ltd. EICMOT.
• Kinetic Engineering Ltd. KINENG.
• Majestic Auto Ltd. MAJAUT.
• Scooters India Ltd. SCOOIN.
• TVS Motor Company Ltd. TVSM.
TOPIC INTRODUCTION
• Comparative statements or comparative financial
statements are statements of financial position of a
business at different periods. These statements help
in determining the profitability of the business by
comparing financial data from two or more
accounting periods.
Advantages & Disadvantages
Advantages Disadvantages
Discovers cause and effect No control over variables
relationships

Poses no ethical issues Thought experiemnt’

Can be studied in the past Very large company

It avoids artificiality Explosure limited to profile

and department.
TYPES OF TOPIC
 Comparative analysis(2019-20)
Particulars Base Year Current Year Difference Change
(CR) (CR) (CR) %

(1) Share capital 39.96 39.96 00 00

Reserve & surplus 13807 14081 274 1.98

Non- current 653 636 (17) 2.60

liabilities

(2) Current liability 4130 3976 (154) 3.72

Current assets 8115 8288 173 2.13

 INTERPRETATION

• In 2020 the share capital of hero company is as same as

2019.which is mutual for company.
• The current liability of company is decreasing by
3.72%.Comparative to 2019 which includes the current ratio
of the company is 1:1. While the standard ratio is 2:1. Hance
the current Ratio is not up to the mark this is bad sign for the
company.
• The company has no borrowings . So they have no financial
burden. Which is positive sign for company.
Comparative analysis (2020-21)
Particulars Base Year Current Year Difference Change
(CR) (CR) (CR) %

(1) Share capital 39.96 39.96 00 00

Reserve & surplus 14081 15139 1059 7.51

Non- current 636 852 216 33.96

liabilities

(2) Current liability 3976 6110 2134 53.67

Current assets 8288 10952 2664 32.14

 Interpretation
• In 2021 the company has not raise their share. But as
compare to the 2020 the Reserve and surplus is increase by
7.51. And also the current assets are increasing by 33.75.
Which is positive sign for the company.
• The current liability of s company is increasing by 53.67%
Comparative to 2020. Where as a current assets also
increasing by 32.14 compare to 2020. The current ratio of
this company is 1:1 while the standard ratio is 2:1. Hance the
current ratio is not up to the mark. This is bad for company.
• The company has no borrowings . So they have no financial
burden. Which is positive sign for company.
Comparative analysis (2019-21)
Particulars Base Year Current Year Difference Change
(CR) (CR) (CR) %

(1) Share capital 39.96 39.96 00 00

Reserve & surplus 13807 15139 1332 9.64

Non- current 653 852 119 30.47

liabilities

(2) Current liability 4130 6110 1980 47.94

Current assets 8115 10952 2837 34.95

 Interpretation
• In 2021 the company has no annual rasie of their share capital.
In 2021 they increase their reserves and surplus by 9.64. And
also they raise their current assets by 34.95 as comparer to
2019. Which is good sign for the company.
• The current liability of a company is increase by 47.94.
Comparative to 2019. Where as a current assets also increasing
by 34.95 . Which indicates current ratio this company is 1:1.
While the standard ratio is 2:1. Hance the current ratio is not up
to the mark. Which is bad for the company.
• The company has no borrowings . So they have no financial
burden. Which is positive sign for company.
Company Financial Position
year profit
2019-20 34,056 m
2020-21 36,248 m
2021-22 29,826 m