S.

NO ITEMS MAIN HEAD SUB-HEAD

Non-current
1 Debenture long-term borrowings
liabilities

non-current
2 Public deposits long-term borrowing
liabilities

Securities premium shareholders,

3 Reserve and surplus
Reserve fund

4 Capital Reserve shareholders fund Reserve and surplus

subscribed capital (shown by

5 Forfeited shares account shareholders fund
way of addition)

Interest Accrued and due

6 current liabilities other current liabilities
on Debentures

Interest accrued but not due

7 current liabilities other current liabilities
on debenture

8 Bills payable current liabilities Trade payables

Advances Received from

9 current liabilities other current liabilities
customers

10 Sundry creditors current liabilities Trade payables

11 Unclaimed dividend current liabilities other current liabilities

subscribed capital (shown by

12 Calls-in-Arrears shareholders fund
way of deduction)
 Calls-in Advance and
13 current liabilities other current liabilities
Interest

Accrued but not due on

14 current liabilities other current liabilities
unsecured loans

Debentures Redemption
15 shareholders fund Reserve and surplus
Reserve

Capital Redemption
16 shareholders fund Reserve and surplus
Reserve

Advance from customers Non-current

17 other long-term liabilities
long-term liabilities

18 Trade payables current liabilities Trade payables

19 Provision for tax current liabilities short-term provisions

Surplus, balance in Reserve and surplus (As

20 shareholders fund
statement and loss (Dr). negative amount)

Surplus, balance in end of shareholders”

21 Reserve and surplus
profit and loss : fund

Non-current
22 Mortgage loan long-term borrowing
liabilities

Non-current
23 Patents fixed Assets–Intangible assets
Assets

Non-current
24 Investment Non-current investments
assets
25 General Reserve shareholders fund Reserve and surplus

26 Bills Receivable current assets Trade Receivables

Borrowing Repayable after Non-current

27 long-term borrowings
3yesrs liabilities

28 Loose tools current assets Inventories

29 Balance with banks current assets cash and cash equivalents

30 Tax Reserve shareholders fund Reserve and surplus

31 Stores and spares current assets Inventories

Non-current
32 Copyrights fixed assets–Intangible assets
assets

33 Accrued Incomes current assets other current assets

Provision for employees Non-current

34 long-term borrowing
benefits liabilities

35 Short-term loans current liabilities short-term borrowing

Non-current
36 Long-term loans long-term borrowing
liabilities

Non-current fixed assets —-Tangible

37 Computers
assets assets
 Non-current
38 Goodwill fixed assets Intangible assets
assets

39 Sundry debtors current assets Trade receivables

nerve urrent
40 Long-term Investments Ncn-current Investments
assets

41 Prepaid Insurance current assets other current / ssets

Non-current
42 Building fixed assets–Tangible assets
assets

43 General Reserve shareholders fund Reserve and surplus

Non-current
44 Bonds long-term borrowing
liabilities

45 Income received in advance current liabilities other current liabilities

Non-current fixed assets—Intangible

46 Trademarks
assets assets

47 Advance tax current assets other current assets

48 Bank overdraft current liabilities short-term borrowing

49 Stock in Trade current assets Inventories

50 Stock of finished goods current assets Inventories

1. 𝐶𝑢𝑟𝑟𝑒𝑛𝑡 𝑅𝑎𝑡𝑖𝑜 = 2. 𝑄𝑢𝑖𝑐𝑘 𝑅𝑎𝑡𝑖𝑜 =

a) Working Capital = C.A.-C.L. b) Q.R. = C.A. – Inventories-Prepaid Exp.

. .
3. 𝐷𝑒𝑏𝑡 𝑡𝑜 𝐸𝑞𝑢𝑖𝑡𝑦 𝑅𝑎𝑡𝑖𝑜 = 4. 𝑇𝑜𝑡𝑎𝑙 𝐴𝑠𝑠𝑒𝑡 𝑡𝑜 𝐷𝑒𝑏𝑡𝑠 𝑅𝑎𝑡𝑖𝑜 =

5. 𝑃𝑟𝑜𝑝𝑟𝑖𝑡𝑎𝑟𝑦 𝑅𝑎𝑡𝑖𝑜 = 6. 𝐷𝑒𝑏𝑡𝑠 𝑡𝑜 𝐶𝑎𝑝𝑖𝑡𝑎𝑙 𝑅𝑎𝑡𝑖𝑜 =

. . . .

.
7. 𝐼𝑛𝑡𝑒𝑟𝑒𝑠𝑡 𝐶𝑜𝑣𝑒𝑟𝑎𝑔𝑒 𝑅𝑎𝑡𝑖𝑜 =
a) T.L. = SHF + LTD + STD b) C.E. = SHF + LTD = NCA + NCI + Working Capital
c) T.D. = STD + LTD d) F.A. = NCA + NCI e) T.A. = NCA + NCI + CA
( )
8. 𝐼𝑛𝑣𝑒𝑛𝑡𝑜𝑟𝑦 𝑇𝑢𝑟𝑛𝑜𝑣𝑒𝑟 𝑅𝑎𝑡𝑖𝑜 =
.
𝑎) 𝐴𝑣𝑒𝑟𝑎𝑔𝑒 𝐼𝑛𝑣𝑒𝑛𝑡𝑜𝑟𝑦 = b) CORFO = RFO (Sales) – Gross Profit
= Op. Stock+ Purchases+ Direct Exp.– Cl. Stock

Profits : 𝑜𝑓 𝐶𝑜𝑠𝑡 = 𝑜𝑓 𝑠𝑎𝑙𝑒𝑠

𝑁𝑒𝑡 𝐶𝑟𝑒𝑑𝑖𝑡 𝑆𝑎𝑙𝑒
9. 𝑇𝑟𝑎𝑑𝑒 𝑅𝑒𝑐𝑒𝑖𝑣𝑎𝑏𝑙𝑒(𝐷𝑒𝑏𝑡𝑜𝑟𝑠) 𝑇𝑢𝑟𝑛𝑜𝑣𝑒𝑟 𝑅𝑎𝑡𝑖𝑜 =
𝐴𝑣𝑒𝑟𝑎𝑔𝑒 𝐴𝑐𝑐𝑜𝑢𝑛𝑡 𝑅𝑒𝑐𝑒𝑖𝑣𝑎𝑏𝑙𝑒

a) Av. A/c Receivable = Av. T/R + Av. B/R

𝑁𝑒𝑡 𝐶𝑟𝑒𝑑𝑖𝑡 𝑃𝑢𝑟𝑐ℎ𝑎𝑠𝑒𝑠
10. 𝑇𝑟𝑎𝑑𝑒 𝑃𝑎𝑦𝑎𝑏𝑙𝑒𝑠 (𝐶𝑟𝑒𝑑𝑖𝑡𝑜𝑟𝑠) 𝑇𝑢𝑟𝑛𝑜𝑣𝑒𝑟 𝑅𝑎𝑡𝑖𝑜 =
𝐴𝑣𝑒𝑟𝑎𝑔𝑒 𝐴𝑐𝑐𝑜𝑢𝑛𝑡 𝑃𝑎𝑦𝑎𝑏𝑙𝑒𝑠

a) Av. A/c Receivable = Av. T/P + Av. B/P

𝑅𝑒𝑣𝑒𝑛𝑢𝑒 𝐹𝑟𝑜𝑚 𝑂𝑝𝑒𝑟𝑎𝑡𝑖𝑜𝑛 𝐶𝑂𝑅𝐹𝑂
11. 𝑊𝑜𝑟𝑘𝑖𝑛𝑔 𝐶𝑎𝑝𝑖𝑡𝑎𝑙 𝑇𝑢𝑟𝑛𝑜𝑣𝑒𝑟 𝑅𝑎𝑡𝑖𝑜 = =
𝑊𝑜𝑟𝑘𝑖𝑛𝑔 𝐶𝑎𝑝𝑖𝑡𝑎𝑙 𝑊𝑜𝑟𝑘𝑖𝑛𝑔 𝐶𝑎𝑝𝑖𝑡𝑎𝑙
𝑅𝑒𝑣𝑒𝑛𝑢𝑒 𝐹𝑟𝑜𝑚 𝑂𝑝𝑒𝑟𝑎𝑡𝑖𝑜𝑛
12. 𝐹𝑖𝑥𝑒𝑑 𝐴𝑠𝑠𝑒𝑡𝑠 𝑇𝑢𝑟𝑛𝑜𝑣𝑒𝑟 𝑅𝑎𝑡𝑖𝑜 =
𝐹𝑖𝑥𝑒𝑑 𝐴𝑠𝑠𝑒𝑡𝑠 (𝑁𝑒𝑡)

a) Net Fixed Assets = Fixed Assets - Depreciation

𝑅𝑒𝑣𝑒𝑛𝑢𝑒 𝐹𝑟𝑜𝑚 𝑂𝑝𝑒𝑟𝑎𝑡𝑖𝑜𝑛
13. 𝑁𝑒𝑡 𝐴𝑠𝑠𝑒𝑡𝑠 𝑇𝑢𝑟𝑛𝑜𝑣𝑒𝑟 𝑅𝑎𝑡𝑖𝑜 =
𝐶𝑎𝑝𝑖𝑡𝑎𝑙 𝐸𝑚𝑝𝑙𝑜𝑦𝑒𝑑
𝐺𝑟𝑜𝑠𝑠 𝑃𝑟𝑜𝑓𝑖𝑡 𝐗 100
14. 𝐺𝑟𝑜𝑠𝑠 𝑃𝑟𝑜𝑓𝑖𝑡 𝑅𝑎𝑡𝑖𝑜 =
𝑅𝑒𝑣𝑒𝑛𝑢𝑒 𝐹𝑟𝑜𝑚 𝑂𝑝𝑒𝑟𝑎𝑡𝑖𝑜𝑛
𝐶𝑂𝑅𝐹𝑂+𝑂𝑝𝑒𝑟𝑎𝑡𝑖𝑛𝑔 𝐸𝑥𝑝. 𝐗 100
15. 𝑂𝑝𝑒𝑟𝑎𝑡𝑖𝑛𝑔 𝑅𝑎𝑡𝑖𝑜 =
𝑅𝑒𝑣𝑒𝑛𝑢𝑒 𝐹𝑟𝑜𝑚 𝑂𝑝𝑒𝑟𝑎𝑡𝑖𝑜𝑛
𝑂𝑝𝑒𝑟𝑎𝑡𝑖𝑛𝑔 𝑃𝑟𝑜𝑓𝑖𝑡 𝐗 100
16. 𝑂𝑝𝑒𝑟𝑎𝑡𝑖𝑛𝑔 𝑃𝑟𝑜𝑓𝑖𝑡 𝑅𝑎𝑡𝑖𝑜 =
𝑅𝑒𝑣𝑒𝑛𝑢𝑒 𝐹𝑟𝑜𝑚 𝑂𝑝𝑒𝑟𝑎𝑡𝑖𝑜𝑛
𝑁𝑒𝑡 𝑃𝑟𝑜𝑓𝑖𝑡 𝐴𝑓𝑡𝑒𝑟 𝑇𝑎𝑥 𝐗 100
17. 𝑁𝑒𝑡 𝑃𝑟𝑜𝑓𝑖𝑡 𝑅𝑎𝑡𝑖𝑜 =
𝑅𝑒𝑣𝑒𝑛𝑢𝑒 𝐹𝑟𝑜𝑚 𝑂𝑝𝑒𝑟𝑎𝑡𝑖𝑜𝑛

a) Net Profit = RFO– CORFO –Operating Exp.– Non Operating Exp.+ Non Operating Income-Tax
Einancual Statement
LA is te end paodact ot inancia acourting of a buiness en texprise
Element : Balance Sheet , Statement ot PL, Notes to Aeconts and
Cash Flow Statement
Obiecbve: . Totertm Compaison |- Limitatims
a Ase soing Rortitability Bgeae Rice leel change.
3. Assessing
Usesi I
Secay
A. Dmdend decsiens

Ratio
Tt is an authnetcal exçze ssion which deine a xelationshig beteen
intexdeçendent ox alated items.
- Can be expressed In pexentage, mes, Pue Ratis(:), foation.
-Liitation
false Rest
3. To detexmine 2.Sualitae
3 May not be campaxabale
-

. Usetal assessing etteiency

A. Snies heo
- Clasticaton ITapes sttenet
Cueent Ratio (Paxe Ratio ), Sick Rati(:)
a Solvency Total Asset to Debt (:),Debt to tayty (:),fzogietyl:2)
a. Taxnasex Artity Tmes

Cash Flaw statement

Jtis astatement that shass the (ash tlow ke: tlo D& outtlosat
Cash and Cash Eaatalent
 Redemptin : Re-pagment
Pzeiminazy Exp.: Gx betoe fotmaion ot clo DATE
PAGE NO.
Pottaence Shaxeholdex>Dividend ke pehele hakdasY
(ASH FLOW TATIMEN T
Cosh Flous, Statement
Cash tlo txom Cash tos eom
Opesating Atvities meutng Acdiviaie s inarcing actuitiks

wdoeking note
Add. Paouision tox tax Gaaxent Yeat
Pxoposed dwidend (Pevious Yenz) XXX
Intexim diidend X XX
Ant transteu to Reseve ox fundl sss dhe to No XXX
Net Rott betoxe tax xErtas oxdns~y tems
less: Reund t taxtinbukance Pxoceeds
Cash Flo Statement
PorticulaS Amt.
CASH ELow FRoM OPERATING ACTOVT ToES
Net Paott betsxe tax 0x Exta Oxdinary Hems
Add : Ttems to boe added: Psoisibn ox Doabt. debt XXX
Depzeciation XXX
Loss on Sale ot Fxed Aseet
Ghoodll
wlo
Peclimina Exçenses XX X
Undexwxitig Gommisson Xx X
X xX
Casto 0ebertuye
Biscout on issue ot debentu8e

Lnt on \ongtem des

 Cash& Cash Eaivalents: Cash Banh.Short tem investhmert
Nin cL:Bank 0ve xdraft X DATE

FAGE NO.
Cagh and ash ea ashond Cash fa t Cunent Tnuestment
Less: Totems to be deducted
Rent lintexestDvidend Recieved X

Raoit onsale of Fined Assets X

Ogeuating Paott beixe wox king laptal Change
Add: Tecxese In
Uncteasein Cucent habilities Co)
X
Less Tncxense
Decxea6e In CL X XXX

less:Tax Pad
Cash Flew txom opesatng Actuities (e) X XX
CASH FLOW FRoM DNVESTUNGh ACTIVJ TaES
Sale ot Fied Assets XXX
Faxchase ot fed Assets
Sale ot iestment
Puxchase dovestnen (xxx
Rent intexest | Didend Recieved
Cash bwTzorm nvesing qthuties. (B) XX X
CASH FI0W FROM FENANCTNG AC TavT HGES
Tssue o shaxes Debentuzes XXX

Redenpton ot shaves |0e bentu~es

Xxx

Repayment af Loan (XXX)

Secuzities Pemim XXX
Pzemio Redemghion.
dant on loan Paid (xXx)
Final divdend (xxx)
Pagmert ot nteim diwdend
Cash tow fzom tinancing Activities (c)
Total Cash Fpo(A+g+c) XXX
Aàd' Dp: Cash &(sh baialents XXX
Clesng Cash &Cash kaialents XXX