V The study has a great significance in knowing the working capital

of the bank. The main aim of this study is to analyze the efficiency
of current assets and current liabilities management.

V This study attempts to comprise the financial performance of the

bank. This study is based on the analysis of the balance sheet and
profit and loss account for the past five years , in order to analyze the
effectiveness of the financial performance of the firm..

V The balance sheet and profit and loss account of past six years are
taken as a tool data collection .
V 2ndian overseas bank was founded on February 10, 1937 by
Shri .M.Ct.M.Chidambaram Chettiyar. 2t is a leading bank
based in Chennai, 2ndia. Since 2
aimed to encourage
overseas banking and foreign exchange operations, it soon
opened its branches in Penang and Singapore. Today, 2ndian
verseas
ank boasts of a vast domain in banking sector with
over 1400 domestic branches and 6 branches overseas.
V . After nationalization, the
ank emphasized on opening its
branches in rural parts of 2ndia. 2n 1979, 2
opened a Foreign
Currency
anking Unit in the free trade zone in Colombo.
V 2n the year 2000, 2ndian verseas
and undertook an initial
public offering (2P  that brought the government's share in
the bank's equity down to 75%. The equity shares of 2
are
listed in the Madras Stock Exchange (Regional,
ombay
Stock Exchange, and National Stock Exchange of 2ndia Ltd.,
Mumbai. Since its inception, 2
has absorbed various banks
including the latest ²
harat verseas
ank ² in 2007.

V The
ank's 2T department has developed software, which is

used by its 1200 branches to provide online banking to
customers.
1.2ND2AN ERSEAS
ANK CRED2T CARDS

2. 2ND2AN ERSEAS
ANK AUT L ANS

3.2ND2AN ERSEAS
ANK PERS NAL L AN

4.2ND2AN ERSEAS
ANK F2ED DEP S2TS

PRIMARY OBJECTIVE:
To study the working capital management of 2ndian overseas
bank.

SECONDARY OBJECTIVE:
1. To find out the past five years financial performance by
analyzing the working capital of 2
.
2. To find out the financial performance through ratio
analysis of 2
.
3. To find out the trend analysis of 2
.
V There is a need for working capital management to avoid the
problems that may occur due to lack of funds.

V Effective working capital management has a crucial role to

play in enhancing the profitability and growth of the firm.

V Working capital management is important to maximize the

shareholders wealth.
1. The working capital is used to determine the liquidity
position of the 2

2. Ratios helps to know operational efficiency by
comparison of present ratios with those of other firms and
financial services.
3. Trend analysis is significant for forecasting and
budgeting. Trend analysis discloses the changes in
financial and operating data between specific periods.
4. To know the efficiency of the study unit and the efficient
management of the capital, the working capital ratios are
prepared.
V The data¶s are mostly collected from secondary source.

V The are no set rules or formula to determine the working capital

requirement of 2
.

V Ratios are interrelated and therefore a single ratio cannot convey any
meaning.
Ö
 Capal:-
Working capital is the fund available for meeting day-to-day
requirements. Difference between current asset and current liabilities
is called working capital .

Cu

 Asss:-
Current assets are resources, which are in cash or will soon be
converted into cash within accounting year.

Cu

 Labls:-
Current liabilities are commitments, which will soon require
settlement within the accounting year.
V A A study on working capital management with special reference
to HMT machine tools Ltd, Kalamassery was done by Ms.Sma
Sav u
on June 2007.
V The objective of the study is to analyze the liquidity position of
the company, to compute the average collection and payment period
and to analyze the short term solvency of the concern.
V The conclusion of the study is that the working capital of the
company is found not satisfactory. Analyzing the various liquidity
ratios, it is found that all the liquidity ratios are not good than the
normal concepts.
V The large holding of current asset strengthens firms liquidity
position but it also reduces the overall profitability. Effort of
reducing working capital is a continuous exercise and it is an
opportunity for improvement.
V
 A study on working capital management in AP LL tyres Ltd,
Kochi was done by Ms.Fa al.A on June 2007.
V The objective of the study is to analyze the management of different
components of working capital in the concern to examine the
liquidity position of the company, to compute the average collection
period and to project the working capital needs of the company.
V The conclusion of the study is that the sufficient working capital
should be maintained. The performance of the company is very
impressive. The company¶s financial management and inventory
management departments are working very effective and efficient.
V The suggestions made will be of much useful to the company for
their better management of working capital.
Rsa

 Ds:
Descriptive research.

C ll
   daa:
The secondary data were collected for the analysis of ratio and
working capital for past 5 years. For measuring the adequacy of
working capital, current ratio, acid test ratios are computed. For
analyzing the growth of the company, trend of each component is
calculated.
PER2 D F STUDY:
The period of study covers five years from 2006 to 2010.

T LS USED F R ANALYS2S:
To analyze the Working Capital Management the following tools and
techniques are used
O Ratio analysis
O Working Capital Analysis
O Trend analysis.