1.

Current Ratio

Competitors

Vardhman Holdings Bajaj Holdings & Bombay Burmah

Ltd. Investment Ltd. Trading Corporation
Current Ratio 8.71 9.93 0.57

Source: https://www.moneycontrol.com/financials/vardhmanholdings/ratios/VH05

Source: https://www.moneycontrol.com/financials/bajajholdingsinvestment/ratios/BHI

Source: https://www.moneycontrol.com/financials/bombayburmahtradingcorporation/ratios/BBT

Interpretation: This ratio gives sign that company is sufficiently liquid and can easily to pay off
its current liabilities using its current assets. The current ratio of Vardhman Holdings is 8.71
indicates the rupees of current assets available for each rupee of current liabilities the more is
firms ability to meet current obligation and greater safety of fund of short term creditors. The
current ratio with 2:1 or more is considered as satisfactory position of the firm. The current ratio
of Bajaj Holdings & Investment Ltd is 9.93 indicates that the company is doing better as it was
able to decrease the amount of their current liabilities. The current ratio of Bombay Burmah
Trading Corporation has decreased to idle ratio of 1 which means that of 0.57:1 would suggest
the firm has only 57p in assets available to cover every Rs1 it owes. It can also indicate that
current ratio below 1 company may have problem meetings its short term obligations. The
current ratio below 1 indicates that company have cash problem.
 2. Quick Ratio
Competitors

Vardhman Holdings Bajaj Holdings & Bombay Burmah

Ltd. Investment Ltd. Trading Corporation
Quick Ratio 9.93 7.45 3.35

Source: https://www.moneycontrol.com/financials/vardhmanholdings/ratios/VH05

Source: https://www.moneycontrol.com/financials/bajajholdingsinvestment/ratios/BHI

Source: https://www.moneycontrol.com/financials/bombayburmahtradingcorporation/ratios/BBT

Interpretation: The quick ratio of Vardhman Holding Ltd is 9.93 indicates that the firm is liquid
and has the ability to meet its current or liquid liabilities.. So we can figure out from the ratio that
higher the quick ratio which means better the company’s liquidity position. However high quick
ratio indicates that the company has too much cash sitting in its reserve. The quick ratio of Bajaj
Holdings & Investment Ltd is 7.45 which is greater than 1 means that the company has enough
quick assets to pay its current liabilities. Usually a high a quick ratio is indication that the firm is
liquid and has ability to meets its current or liquid liabilities in time. The quick ratio of Bombay
Burmah Trading Corporation is 3.35 indicates that company has sufficient liquid assets to
meets its short term financial obligations.
 3. Inventory ratio

Competitors

Vardhman Holdings Bajaj Holdings & Bombay Burmah

Ltd. Investment Ltd. Trading Corporation
Inventory Ratio

Interpretation: