COMPANY PROFILE

Binani Zinc Ltd., a subsidiary of Binani Industries Limited, commenced operations in 1967,
with a capacity of 14,000 TPA. The Company happens to be the first in India to have a custom zinc
smelter for manufacture of electrolytic zinc. Over time, in the incessant pursuit for excellence, the
company has constantly upgraded its production facilities and the plant today boasts of the best-in-class
technology in zinc manufacturing.

Binani Zinc Ltd. has been certified under various International standards viz. ISO 14001:2004,
ISO 9001: 2008, OHSAS 18001:2007 & SA 8000:2008. It is therefore uniquely placed to consistently
achieve manufacturing excellence.

Binani Zinc is the pioneer in manufacturing special high-grade electrolytic zinc of 99.99 /
99.995% purity. The consistent finished product quality has made the company the preferred choice for
customers across all industry segments. From galvanizers to dry cell manufacturers, alloy producers,
specialty chemicals and paint manufacturers, Binani Zinc has been the preferred choice. A focus on
acquiring and mastering all the processes from inception to delivering the finished product to customers
has helped Binani Zinc achieve its present status.
 FINANCIAL MANAGEMENT
Financial management is a managerial activity which is concerned with the planning and
controlling of the firm’s financial resources. The objective of finance management is wealth
maximization by increasing the value of the firm.

Finance functions are concerned with the functions of raising funds, investing them in assets and
distributing returns earned from assets to shareholders . While performing these functions, a firm
attempts to balance cash inflows and outflows. This is called as liquidity decision. Finance functions
include:

• Investment Decision

Investment decision or capital budgeting involves the decision of allocation of capital or

commitment of terms to long-term assets that would yield benefits in the future. Two important
aspects of investment decisions are: (a) the evaluation of the prospective profitability of new
investments and (b) the measurement of a cut-off rate against that the prospective return of new
investments could be compared

• Financing Decision

Financing decision is the second important decision to be performed by the finance manager.
Finance manager must decide when, where and how to acquire funds to meet the firm’s
investment needs. The central issue is the decision regarding the proportion of equity and debt
known as firm’s capital structure. The financing decision must result in best financing mix or
the optimum capital structure for the firm.

• Dividend Decisions

Dividend decision is concerned with decision regarding whether the firm should distribute all
profits, or retain them, or distribute a portion and retain the balance. The optimum dividend
policy is the one that maximizes the market value of the firm’s shares.

• Liquidity Decision

Current assets management that affects a firm’s liquidity is another important finance function.
Current assets should be managed properly for safeguarding the firm against the dangers of
illiquidity and insolvency. Investment in current assets affects the firm’s profitability, liquidity
and risk. There must be a proper trade off between profitability and liquidity. The finance
manager should estimate firm’s needs for current assets and make sure that funds would be
made available when needed.
 INTRODUCTION TO FINANCIAL ANALYSIS

Financial Analysis is commonly called analysis and interpretation of financial statements.

Financial analysis is the process of establishing the relationship between the items in financial
statements for determining the financial strength and weakness of the firm. It is the process of scanning
of the financial statements to judge profitability, solvency, stability, growth and prosperity of a firm.
Thus it is the technique of X-raying the financial position as well as progress of a firm.

Economic decision making, estimating the earning capacity of the firm, accessing financial
position and performance of the business, ascertaining the operating performance, determining the
solvency and liquidity of the business, determining debt capacity, deciding the future prospects of firm,
measuring managerial efficiency of the firm etc. are the important objectives of financial analysis.
Financial analysis includes re-arrangement of financial statements, comparison, analysis and
interpretation.

There are a number of tools available for financial analysis, of which ratio analysis was the first
financial tool developed to analyze and interpret the financial statements. The methods adopted for
financial analysis include;

1. Break – Even Analysis

2. Working Capital Analysis

3. Ratio Analysis

a. Liquidity ratio

b. Leverage Ratio

c. Activity Ratio

d. Profitability Ratio

4. Investment Decision Analysis

5. Cost Ratios

FINANCIAL STATEMENTS – BINANI ZINC LTD.

 BALANCE SHEET

Particulars 2010 2009 2008 2007 2006

Shareholders'
Fund
Share Capital 6,761.81 6,761.81 6,761.81 6,761.81 6,761.81
Reserve and Surplus 1,356.44 1,187.43 1,415.54 1,088.34 322.56
Net Worth 8,118.25 7,949.24 8,177.35 7,850.15 7,084.37
Secured Loans 5,141.17 3,000.00 3,000.00 608.48 7,309.95
Unsecured Loans 0 0 0 3,006.76 875
DEFERRED TAX
LIABILITY 1,094.00 841 941.02 729.5 246.25
Total 14,353.42 11,790.24 12,118.37 12,194.89 15,515.57

Fixed Assets 8,809.67 8,591.24 7,908.08 8,020.70 8,373.76

Capital Work-in-Progress 997.34 892.11 838.82 764.86 151.97
Investment 445.89 245.89 245.89 340.46 180.68

Inventories 12,347.64 5,095.16 5,146.53 15,565.22 10,690.98

Sundry Debtors 1.56 1.69 1.91 249.75 1.52
Cash and Bank balances 5,877.42 2,686.39 4,559.18 391.52 323.24
Loans and Advances 7,096.03 5,084.95 5,388.09 6,874.47 8,464.28
Other Current Assets 1.68 9.99 35.76 288.13 3.41
Current Assets 25,324.33 12,878.18 15,131.47 23,369.09 19,483.43

Liabilities 17,903.65 7,519.09 8,435.55 19,948.56 12,272.34

Provisions 3,320.16 3,298.09 3,570.34 351.66 401.93
Current Liabilities 21,223.81 10,817.18 12,005.89 20,300.22 12,674.27
NET CURRENT ASSETS 4,100.52 2,061.00 3,125.58 3,068.87 6,809.16
Total 14,353.42 11,790.24 12,118.37 12,194.89 15,515.57

PROFIT AND LOSS ACCOUNT

INCOME
Sal e s 41,641.50 30,584.64 51,437.24 64,769.44 20,180.13
Le s s: Ex c i s e D ut y 3,241.61 3,603.22 6,953.41 7,738.39 2,615.50
Net Sales 38,399.89 26,981.42 44,483.83 57,031.05 17,564.63
Ot h e r Inc o m e 1,128.45 1,527.97 3,680.03 1,409.88 551.04
Total 39,528.34 28,509.39 48,163.86 58,440.93 18,115.67

EXPENDITURE
R a w M a t e r i a l s an d G o o d s
Con s u m p t i o n 23,645.67 15,511.23 34,695.18 43,583.63 11,251.07
Ot h e r M a n u f a c t u r i n g
Ex p e n s e s 8,74 7. 7 5 7,815.33 7,878.48 7,230.88 3,606.74
Pa y m e n t s to an d Pr o v i s i o n for
Employe es 1,52 8. 6 0 1,349.34 1,297.89 1,209.04 1,196.35
Ad m i n i s t r a t i o n Ex p e n s e s 3,094. 1 5 2,517.21 1,701.16 1,653.25 796.85
Int e r e s t an d Fi n a n c e C h a r g e s 786.3 9 896 1,277.27 1,711.17 492.98
Depr e ci ati o n 1,22 0. 7 7 735.41 694.36 664.75 643.53
Total 39,023.33 28,824.52 47,544.34 56,052.72 17,987.52

Bal a n c e Pr o fi t 505.01 -315.13 619.52 2,388.21 128.15

Extr a Or d i n a r y Lo s s 0 0 0 970.18 0
Pr o fi t bef o r e Ta x a t i o n 505.01 -315.13 619.52 1,418.03 128.15
Pr o v i s i o n s for Ta x a t i o n 336 -87.02 292.32 652.25 69.5
Profit After Tax 169.01 -228.11 327.2 765.78 58.65
Profit brought forward from
previous year 1,187.43 1,415.54 1,088.34 322.56 263.91
Balance carried to Balance
sheet 1,356.44 1,187.43 1,415.54 1,088.34 322.56
EPS 0.25 -0.34 0.48 1.13 0.09

WORKING CAPITAL ANALYSIS

 Working capital is excess of current assets over current liabilities, i.e., it is the difference
between current assets and current liabilities. Current assets are the assets which can be converted into
cash within an accounting year. It include cash, short-term securities, debtors, bills receivable and
stock. Current liabilities are those claims of outsiders which are expected to mature for payment within
an accounting year and include creditors, bills payable, and outstanding expenses. Net working capital
can be negative or positive. A positive net working capital will arise when current assets exceeds
current liabilities and vice-a-versa.

Working capital = Total Current Assets – Total Current Liabilities

The investment in current assets should be just adequate, not more not less, to the needs of the
business. Excessive investment in current assets should be avoided, because it impairs the firm’s
profitability, as idle investment earns nothing. On the other hand, inadequate amount of working capital
can threaten solvency of the firm because of its inability to meet its current obligations. So the working
capital needs of the firm may be fluctuating with changing business activity. A company should always
maintain currents assets at a higher level than current liabilities, which will maintain the strong liquidity
position of the firm. So financing of current assets should include a healthy mix of long term and short
term funds.

Particulars 2010 2009 2008 2007 2006

Inventories 12,347.64 5,095.16 5,146.53 15,565.22 10,690.98
Sundry Debtors 1.56 1.69 1.91 249.75 1.52
Cash and Bank balances 5,877.42 2,686.39 4,559.18 391.52 323.24
Loans and Advances 7,096.03 5,084.95 5,388.09 6,874.47 8,464.28
Other Current Assets 1.68 9.99 35.76 288.13 3.41
Total Current Assets 25,324.33 12,878.18 15,131.47 23,369.09 19,483.43

Liabilities 17,903.65 7,519.09 8,435.55 19,948.56 12,272.34

Provisions 3,320.16 3,298.09 3,570.34 351.66 401.93
DEFERRED TAX
LIABILITY 1,094.00 841 941.02 729.5 246.25
Total Current Liabilities 22,317.81 11,658.18 12,946.91 21,029.72 12,920.52
WORKING CAPITAL 3,006.52 1,220.00 2,184.56 2,339.37 6,562.91
 WORKING CAPITAL ANALYSIS REPORT
From the above bar diagram, it is evident that the company was careful in managing their
current assets. During the past 5 years, company has maintained the level of current assets above the
current liabilities. Thus the campany is stable in terms of working capital.
 RATIO ANALYSIS
Ratio analysis is an important technique of analysis of financial statements. Ratio simply refers
to one number expressed in terms of another. It shows numerical relationship between two figures.
Ratio is used as a benchmark for evaluating the financial position and performance of a firm. An
accounting figure conveys meaning when it is related to some other relevant information.

Financial Ratios can be classified into various classes according to financial activity or function
to be evaluated;

1) Liquidity ratios

2) Leverage ratios

3) Activity ratios

4) Profitability Ratios
 LIQUIDITY RATIOS

The term liquidity refers to firm’s ability to meet its current liabilities when they become due.
Liquidity ratios are used to measure the liquidity position or short-term financial position of the firm.
The most common ratios which indicate the extend of liquidity or lack of it are;

1) Current ratio : It is also called working capital ratio. It is defined as the ratio of current assets to
current liabilities. Current ratio is the measure of firm’s short term solvency. It indicates the
availability of current assets in rupees for every one rupee of current liability.

Current Ratio = Current Assets / Current Liabilities

2) Quick Ratio: It is also called acid test ratio. Quick ratio establishes a relationship between quick
or liquid assets and current liabilities.

Quick Ratio = (Current Assets – Inventories) / Current Liabilities

LIQUIDITY RATIO ANALYSIS OF BINANI ZINC LIMITED

Particulars 2010 2009 2008 2007 2006

Inventories 12,347.64 5,095.16 5,146.53 15,565.22 10,690.98
Sundry Debtors 1.56 1.69 1.91 249.75 1.52
Cash and Bank
balances 5,877.42 2,686.39 4,559.18 391.52 323.24
Loans and Advances 7,096.03 5,084.95 5,388.09 6,874.47 8,464.28
Other Current Assets 1.68 9.99 35.76 288.13 3.41
Current Assets 25,324.33 12,878.18 15,131.47 23,369.09 19,483.43

Liabilities 17,903.65 7,519.09 8,435.55 19,948.56 12,272.34

Provisions 3,320.16 3,298.09 3,570.34 351.66 401.93
Deffered Tax Liability 1,094.00 841 941.02 729.5 246.25
Current Liabilities 22,317.81 11,658.18 12,946.91 21,029.72 12,920.52

Current Ratio 1.135 1.105 1.169 1.111 1.508

Quick Ratio 0.581 0.668 0.771 0.371 0.681
 LIQUIDITY RATIO ANALYSIS REPORT
A current ratio of 2 or more is considered satisfactory. All the 5 years, the company has
maintained current ratio more than 1. So level of current assets are more than the level of current
liabilities.

The value of quick ratios is low in every 5 years, which indicates that Company may really be
prospering and paying its current obligations in time if it has been turning over its inventories. These
two liquidity ratios indicate that the firm has satisfactory liquid position.
 LEVERAGE RATIO

It is also called as solvency ratio. Solvency refers to the ability of a firm to pay its outside liabilities.
These ratios are used to analyse capital structure of the firm. These ratios indicate mix of funds
provided by owners and lenders. The leverage ratios are calculated to measure the financial risk and
firms’ ability to using debt to share holders’ advantage. Leverage ratios include;

1) Debt-Equity Ratio: This ratio indicates the relative proportion of debt and equity in financing
the assets of the firm. This ratio is also called security ratio.

Debt Equity ratio = Long term debt / Equity

2) Interest Coverage Ratio: Interest coverage ratio is used to test the firm’s debt-servicing capacity.

Interest Coverage Ratio = EBIT / Interest

LEVERAGE RATIO ANALYSIS OF BINANI ZINC LIMITED

Particulars 2010 2009 2008 2007 2006

Share Capital 6,761.81 6,761.81 6,761.81 6,761.81 6,761.81
Reserve and Surplus 1,356.44 1,187.43 1,415.54 1,088.34 322.56
Net Worth/ Equity 8,118.25 7,949.24 8,177.35 7,850.15 7,084.37

Secured Loans 5,141.17 3,000.00 3,000.00 608.48 7,309.95

Unsecured Loans 0.00 0.00 0.00 3,006.76 875
Total Debt 5,141.17 3,000.00 3,000.00 3,615.24 8,184.95

Fixed loans( From

schedule) 283.87 409.97 57.66 164.77 237.36
Other(from schedule) 348.80 367.40 1,033.68 1,303.26 183.62
Interest 632.67 777.37 1,091.34 1,468.03 420.98
EBIT 505.01 -315.13 619.52 1,418.03 128.15

Debt-Equity Ratio 0.633 0.377 0.367 0.461 1.155

Interest Coverage Ratio 0.8 -0.41 0.57 0.97 0.3
LEVERAGE RATIO ANALYSIS REPORT
 ACTIVITY RATIO
Activity ratios indicate the efficiency with which the firm utilizes its assets. These ratios are also called
turnover ratios because they indicate the speed with which asset are being converted or turned over into
cash. Activity Ratios include;

1) Debtors Turnover Ratio : Debtors Turn Over ratio explains the relationship between net credit
sales and average debtors. This ratio shows how quickly debts are realized or converted into
cash. It indicates how effectively the firm collects cash from the debtors.

Debtors Turnover Ratio = Net Credit Sales / Average Debtors

2) Inventory Turn Over Ratio: It shows the relationship between cost of goods sold and average
inventory. It indicates the number of times the stock is converted into sales.

Inventory Turnover ratio = Cost of Goods Sold / Average Inventory

3) Working Capital Turnover Ratio: The ratio between sales and working capital is called working
capital turnover ratio. This ratio shows how many times the working capital is turned over to
produce sales.

Working Capital Turnover ratio = Net Sales / Working Capital

4) Fixed and Current Assets Turnover Ratio: These ratios indicates the efficiency of the firm in
utilizing fixed assets and current assets to generate sales. A higher ratio indicates better
utilization.

Fixed Assets Turnover Ratio = Net Sales / Total Fixed Assets

Current Assets Turnover Ratio = Net Sales / Total Current Assets

 ACTIVITY RATIO ANALYSIS OF BINANI ZINC LIMITED

Particulars 2010 2009 2008 2007 2006

Fix e d As s e t s 8,80 9.6 7 8,59 1 . 2 4 7,90 8.0 8 8,020. 70 8,37 3. 7 6
C u r r e n t As s e t s 25,32 4. 3 3 1 2, 8 7 8. 1 8 1 5, 1 3 1 . 4 7 23,36 9. 0 9 1 9, 4 8 3. 4 3
Net Sales 38,399.89 26,981.42 44,483.83 57,031.05 17,564.63
C o s t Of G o o d s S ol d 33,92 2. 0 2 24,67 5. 9 0 43,87 1 . 5 5 52,0 2 3. 5 5 1 6,0 5 4. 1 6
Av e r a g e Inv e n t o r y 8,72 1 . 4 0 5, 1 2 0. 8 5 1 0, 3 5 5. 8 8 1 3, 1 2 8. 1 0 1 0, 6 9 0. 9 8
Av e r a g e D e b t o r s 1.63 1.8 1 2 5. 8 3 1 2 5. 6 4 1.52
Inventory Turn
Over Ratio 3.372 6.003 9.995 4.161 1.888
Inventory
Conversion Period 108.231 60.806 36.52 87.716 193.369
Debtors Turn Over
Ratio 23,630.70 14,989.68 353.52 453.94 11,555.68
Average Collection
Period 0.015 0.024 1.032 0.804 0.032
Working Capital
Turn Over Ratio 12.772 22.116 20.363 24.379 2.676
Fixed Assets Turn
Over Ratio 4.359 3.141 5.625 7.11 2.098
Current Assets
Turn Over Ratio 1.516 2.095 2.94 2.44 0.902
ACTIVITY RATIO ANALYSIS REPORT
 PROFITABILITY RATIO

Profitability ratios are calculated to measure the operating efficiency of the company. The
profitability ratios are indicators of the sales and the profit of the firm. Profitability ratios include;

1) Net Profit Ratio: Net profit ratio measures the relationship between the net profits and sales of a
business firm. It is also known as profit margin.

Net Profit Ratio = (Net Profit / Net sales )*100

2) Return on Investment: It determines the rate of return on the invested capital. It is used to
compare investment in the company against other investment oppurtunities such as stock,
savings etc.

Return on Investment = Profit Before tax / Capital Employed

PROFITIABILITY RATIO ANALYSIS OF BINANI ZINC

LIMITED

N et Pr o fit R ati o 41 % -75 % 64 % 118 % 29 %

R et u r n O n
Inv e s t m e n t 3.81% -2.88% 5.54% 12.37% 0.84%
 COST RATIOS
Any expenditure taken from trading or P&L account divided by total cost could give a cost ratio
and computed over a period gives can indicate a trend of the cost element. Before computing cost
ratios, one should first compute the ratio of sales to total cost. This ratio indicate to what extent cost is
covered by sales and the direction of cost coverage by sales over a period of time. The following are the
major cost ratios;

1) Cost of goods sold ratio = ( Cost of goods sold / Net sales )* 100
2) Direct Material Cost ratio = (Direct Material Cost / Net sales)*100
3) Direct Labour Cost ratio = (Direct Labour Cost / Net Sales)*100
4) Factory Expenses ratio = ( Factory Expenses / Net Sales) * 100
5) Office and Administrative Expenses Ratio = (Office and Administrative Expenses / Net
Sales) * 100

COST RATIO ANALYSIS OF BINANI ZINC LIMITED

C o s t of G o o d s S ol d
R a ti o 81. 4 6 2 80.68 1 85.29 1 80.32 1 79.55 4
Dir e c t M a t e r i a l C o s t
R a ti o 56.78 4 50.7 1 6 67.45 1 67.290 55.75 3
Dir e c t La b o u r C o s t
R a ti o 3.67 1 4.4 1 2 2.523 1.8 6 7 5.928
Fa c t o r y Ex p e n s e s
R a ti o 21.0 0 7 25.55 3 1 5. 3 1 7 11. 1 6 4 1 7. 8 7 3
Offi c e an d
Ad mi ni strativ e
Ex p e n s e s R ati o 7.430 8.230 3.30 7 2.553 3.949
 BREAK-EVEN ANALYSIS

Profit is the important measure of a firm’s performance. An analysis of the effects of various
factors on profit is an essential step in financial planning and decision making.

The analytical technique used to study the behavior of profit in response to the changes in
volume, costs, and prices is called the cost-volume profit analysis or break-even analysis. CVP analysis
helps to determine the minimum sales volume at which the profit goal of the firm will be achieved. It
helps management in seeking most profitable combination of costs and volume.

Break-even analysis establishes a relationship between revenues and costs with respect to
volume. It indicates the level of sale at which costs and revenues are in equilibrium. The equilibrium
point is called break-even point. Break-even point is that point at which total revenue is equal to total
cost. It is no-profit, no-gain point. The basic assumption of break-even analysis is that costs can be
separated as fixed cost and variable cost. There are two methods for computing the break-even point;

1. Algebraic Method :- The aggregate of fixed cost and variable cost are equated to the sales to
determine break-even point.

2. Graphical Method :- This method constructs a break-even chart, which portrays a pictorial
view of the relationships between costs, volume and profit.

Assumptions of Break-Even Analysis;

 1. Total cost can be separated to fixed costs and variable costs.

2. The selling price per unit remains constant.

3. Constant sales mix.

4. Synchronised production and sales, i.e., inventories remain the same.

BREAK-EVEN ANALYSIS OF BINANI ZINC LIMITED

PARTICULARS 2010 2009 2008 2007 2006

S al e s 41,641.50 30,584.64 51,437.24 64,769.44 20,180.13
Fix e d C o s t 31 4 0 . 7 7 31 4 0 . 7 7 31 4 0 . 7 7 31 4 0 . 7 7 31 4 0 . 7 7
Inte r e s t an d Fi n a n c e C h a r g e s 786.39 896 1,277.27 1,711.17 492.98
Depre ci ati o n 1,2 2 0. 7 7 735.41 694.36 664.75 643.53
P a y m e n t s to an d Pr o v i s i o n for
Em pl oy e e s 1,5 2 8. 6 0 1,349.34 1,297.89 1,209.04 1,196.35
Total Fixed cost 3,535.76 2,980.75 3,269.52 3,584.96 2,332.86
V ari a b l e co s t
Ot h e r M a n u f a c t u r i n g Ex p e n s e s 8,747. 7 5 7,815.33 7,878.48 7,230.88 3,606.74
A d m i n i s t r a t i o n Ex p e n s e s 3,094. 1 5 2,517.21 1,701.16 1,653.25 796.85
R a w M a t e r i a l s an d G o o d s
Cons u m p ti o n 23,645.67 15,511.23 34,695.18 43,583.63 11,251.07
Total Variable Cost 35,487.57 25,843.77 44,274.82 52,467.76 15,654.66
Contribution 6,153.93 4,740.87 7,162.42 12,301.68 4,525.47
Profit 2,618.17 1,760.12 3,892.90 8,716.72 2,192.61
P/V Ratio (in %) 14.778 15.501 13.925 18.993 22.425
23,925.25 19,229.62 23,480.20 18,875.13 10,402.76
Break-even Sales 6 8 4 3 9
Margin of Safety 177.16 113.55 279.57 458.94 97.77
Margin of Safety Ratio ( in %) 0.43 0.37 0.54 0.71 0.48
 Total cost 39,02 3. 3 3 28,82 4. 5 2 47,54 4. 3 4 56,05 2. 7 2 1 7,9 8 7. 5 2

FORMULAS USED:

• Contribution = Sales – Variable Cost

• Profit = Contribution – Fixed Cost

• P/V Ratio = (Contribution / Sales ) * 100

• Break-even Sales =( Total Fixed / (P/V Ratio) ) * 100

• Margin of Safety = Profit / (P/V Ratio)

• Margin of Safety ratio = (Margin of Safety / Sales ) * 100

BREAK-EVEN ANALYSIS REPORT

 It is evident from the above table that P/V ratio is showing a declining tendency, which indicates
that the contribution is also declining, which inturn affects the profitability of the form. The PV ratio
and margin of safety was highest in the year 2007 and company had the greatest sale during this period.

INVESTMENT DECISION ANALYSIS

Investment decisions or capital budgeting involves decision of allocation of capital or
commitment of funds to long-term assets that would yield benefit in future. Long-term assets are those
which affect the firm’s operations beyond the one-year period. Two important aspects of investment
decision are:- (a) the evaluation of the prospective profitability of new investments, and (b) the
measurement of a cut-off rate against that the prospective return of new investments could be
compared.

The evaluation of investment decision include estimation of cash flows, estimation of the
required rate of return and application of a decision rule for making the choice. A number of capital
budgeting techniques are used in practice. Capital budgeting techniques used here include;

1) Net Present value

2) Profitability Index

INVESTMENT DECISION ANALYSIS OF BINANI ZINC LIMITED

Particulars 2010 2009 2008 2007 2006

Equity 8, 1 1 8 . 2 5 7,94 9. 2 4 8, 1 7 7. 3 5 7,850. 1 5 7,084. 3 7
12 1 7.737 1 2 2 6. 6 0 2 1177.522
Inte r e s t on eq u i t y 5 1192.386 5 5 10 6 2. 6 5 5 5
Debt 5,141.17 3,000.00 3,000.00 3,615.24 8,184.95
Inte r e s t on eq u i t y 632.67 777.37 1,091.34 1,468.03 420.98
1 3,2 5 9. 4 10,9 4 9. 2 11, 1 7 7.3 1 1 , 4 6 5. 3
de b t + e q u i t y 2 4 5 9 1 5, 2 6 9. 3 2
 1850.407 23 1 7. 9 4 2 2645. 5 5 2
T O T A L IN T E R E S T 5 1 9 6 9. 7 5 6 5 5 1 4 8 3. 6 3 5 5
W e i g h t e d Av e r a g e 1 3.9 5 5 4 1 1 7.9 8 9 8 8 20.73 7 8 5 23.07 4 2 4 9.7 1 6 4 4 7 7
C o s t of C a p i t a l 8 8 4 8 5
1 7.0 9 4 7 7
CO S T OF CAPI T A L 1
Pr o fi t Aft e r Ta x 169.01 -228.11 327.2 765.78 58.65
Depre ci ati o n 1,22 0. 7 7 735.41 694.36 664.75 643.53
C a s h Infl o w 1,38 9. 7 8 507.3 1,0 2 1 . 5 6 1,43 0. 5 3 702. 1 8
C o s t of ca pi t a l 14 % 43 % 21 % 42 % 10 %
P V fact o r 0.456 0.534 0.624 0.73 1 0.855
Di c o u n t e d C a s h
infl o w 0.06 0.23 0.1 3 0.3 1 0.09
Pr e s e n t val u e of
infl o w 0.40 8 5 1
Inv e s t m e n t 13,259.42 10,949.24 11,177.35 11,465.39 15,269.32
Av e r a g e Inv e s t m e n t 31 0 6 0 . 3 6
-
1 3,2 5 9. 0
Net Present Value 1
0.129217
Profitability Index 6