SYNOPSIS

A STUDY ON CASH FLOW STATEMENT ATAMARARAJA

BATTERIES LTD., AT KARAKAMBADI

Internal Guide: Presented By: External Guide:

Mrs.P.RADHA, M.F.M.,M.B.A.,Ph.D T.LEKHA SRI Mr.V.CHANDRA SEKHAR
Assistant Professor 3rd Semester Finance Department
Accord Business School Accord Business School Amararaja Batteries Ltd.,

INTRODUCTION
Finance is one of the basic foundations of all kinds of economic activities.
Cash flow statement means how much cash will be flow with in the organization
whether it may be inflow or outflow.

Cash flow statement tells us that how the organization is maintaining its cash.
It is very important to every organization that how much of liquidity we are
maintaining. To know the importance of cash to the organization.

INDUSTRY PROFILE
A battery is an electrochemical device in which the free energy of a chemical
reaction is converted into the electrical energy. The chemical energy contained in the
active materials is converted into electrical energy by means of electrochemical
oxidation-reduction reactions.

COMPANY PROFILE

Name : AMARARAJA BATTERIES LTD.,

Industry : Batteries
Founded : 1985
MD & CHAIRMAN : GallaJayadev&Galla Ramachandra Naidu
Head Quarters : Karakambadi (Tirupati)

REVIEW OF LITERATURE:
DEFINITION:
”Finance Management is concerned with the efficient use of any important
economic resource, namely capital funds”.

- EZRA.SOLAMAN

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NEED FOR THE STUDY
This work will be helpful to study the operating activities, investing activities and
Financing activities in the AMARA RAJA BATTERIES LTD .
Cash flow statement is comparision for liquidity position of cash from past year to
present year.

Cash inflows and outflows required for every organization.

SCOPE OF THE STUDY

The study also includes an observation of 2013 to 2018 financial statements of
Amara raja batteries ltd and its financial position.

The scope of the study has been limited to the financial years from 2013-14 to
2017-18 of Amararaja batteries ltd at karakambadi.

It helps in identifying the efficient management of cash.

OBJECTIVES OF THE STUDY:
 To study the liquidity position of the AMARA RAJA BATTERIES LTD

 To understand the cash position of the firm.

 To study the different cash inflow and outflows

 To analyse how the cash flows from operating, investing and financing
activities will be flow.

 To study how the organization is maintaining its cash flows.

SOURCES OF DATA

The study is depends on primary and secondary data from various sources.

Primary Data

First hand information was collected from experts on the basis of which actual
position of the company.

Secondary Data

The secondary data collected from the Annual Reports, Balance Sheets and
other statements, Company’s Official Website etc.

LIMITATIONS OF THE STUDY

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  The study is based on only the balance sheet and profit/Loss Account of the
company and it’s is has its own limitations.

 The project is based mainly on secondary sources of information.

 The study is limited to 5 years only (2013-2018).

 Limited time does not allow for doing more analysis.

FINDINGS
 Net cash flows from operating activities is from2014(29.897) to 2016(45.662)
and decreased in the year 2017(25.772).

 Net cash flows from investing activities has increased in the year
2017(668.35) and decreased in the year 2018(449.85).

 Net cash flows from financing activities has increased in the year
2014(509.1) and decreased in the year 2016(196.09).

 Net cash flows from cash equivalents has increased in the year 2016(400.74)
and decreased in the year 2018(127.18).

 Net cash flows from purchases has increased in the year 2018(380.01) and
decreased in the year 2017(118.9).
SUGGESTIONS

 The company must reduce the operating expenses in order to increase

company’s profits.

 The company should decrease its current liabilities to increase its working
capital.

 To improve the net profit margin of the company, the company needs to
increase the selling price with existing quality of the product.
CONCLUSION

Finally from this study, the cash fluctuations increase in cash level from year
has high variations. So, it is necessary to reduce these variations in cash. To avoid the
high increases in cash and try to invest more fixed assets to maintain the company in a
better position for a long run.

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