2022 2021 2020 2019

CURRENT LIABILITIES
Short Term Borrowings 0 0 6.06 0
Trade Payables 1,378.93 1,495.49 1,612.12 1,481.35
Other Current Liabilities 718.84 575.89 459.61 458.18
Short Term Provisions 630.79 620.56 541.5 428.55
TOTAL CURRENT LIABILITIES 2,728.56 2,691.94 2,619.29 2,368.08

CURRENT ASSETS
Current Investments 2,038.80 2,004.84 834.43 2,011.58
Inventories 3,199.05 3,085.81 3,021.36 2,868.41
Trade Receivables 1,939.62 3,035.37 3,560.27 3,168.73
Cash And Cash Equivalents 1,428.03 874.8 523.07 174.56
Short Term Loans And Advances 0.89 1.9 4.49 5.04
OtherCurrentAssets 3,418.24 1,189.46 1,083.44 1,250.33
TOTAL CURRENT ASSETS 12,024.63 10,192.18 9,027.06 9,478.65

Working Capital 9,296.07 7,500.24 6,407.77 7,110.57

Working capital has increased over the years

term liabilities are more.The liquidity of the
the firm may be shifting from one approach
 Increase/Decrease in 2020 Increase/Decrease in 2021
2018 Increase/Decrease in 2019

174.43 -174.43 6.06 -6.06

1,580.02 -98.67 130.77 -116.63
579.07 -120.89 1.43 116.28
398.18 30.37 112.95 79.06
2,731.70 -363.62 251.21 72.65

1,039.74 971.84 -1,177.15 1,170.41

3,037.98 -169.57 152.95 64.45
2,336.32 832.41 391.54 -524.90
227.53 -52.97 348.51 351.73
17.74 -12.70 -0.55 -2.59
1,278.86 -28.53 -166.89 106.02
7,938.17 1,540.48 -451.59 1,165.12

5,206.47 1,904.10 -702.80 1,092.47

s increased over the years and the funds available for covering short
more.The liquidity of the company has improved and we can say that
fting from one approach to finance its working capital to another.
Increase/Decrease in 2022

0
-116.56
142.95
10.23
36.62

33.96
113.24
-1,095.75
553.23
-1.01
2,228.78
1,832.45

1,795.83
Year Current ratio
2018 2.905945015924
Current ratio trend
2019 4.002673051586
2020 3.446376689866 5
4.5
2021 3.786183941693 4
3.5
2022 4.406950919166 3
2.5
2
Year Quick Ratio 1.5
2018 1.79 1
0.5
2019 2.791392182697 0
2018 2019 2020 2021 2022
2020 2.292873259547
2021 2.639869387876 Current ratio
2022 3.234519306887
Cash Ratio Trend
Year Cash Ratio
2018 0.083292455248 0.6

2019 0.073713725888 0.5

2020 0.199699155115 0.4
2021 0.324970095916 0.3
2022 0.523363972205
0.2
0.1
Year Networking Capital to Current Asset Ratio
2018 0.655877866057 0
2018 2019 2020 2021 2022
2019 0.750166954155
2020 0.709840191602 Cash Ratio
2021 0.735881823123
2022 0.773085741516
 Quick Ratio Trend
3.50
3.00
2.50
2.00
1.50
1.00
0.50
0.00
2018 2019 2020 2021 2022

Quick Ratio

o Trend Networking Capital to Current Asset

Ratio Trend
0.8
0.75
0.7
0.65
0.6
0.55
2018 2019 2020 2021 2022
20 2021 2022
Networking Capital to Current Asset Ratio
Ratio
 25% increase in CL

2022 2021 2020 2019 2018

CURRENT LIABILITIES
Short Term Borrowings 0 0 7.575 0 218.0375
Trade Payables 1723.6625 1869.3625 2015.15 1851.6875 1975.025
Other Current Liabilities 898.55 719.8625 574.5125 572.725 723.8375
Short Term Provisions 788.4875 775.7 676.875 535.6875 497.725
TOTAL CURRENT LIABILITIES 3410.7 3364.925 3274.1125 2960.1 3414.625

CURRENT ASSETS
Current Investments 2548.5 2506.05 1043.0375 2514.475 1299.675
Inventories 3998.8125 3857.2625 3776.7 3585.5125 3797.475
Trade Receivables 2424.525 3794.2125 4450.3375 3960.9125 2920.4
Cash And Cash Equivalents 1785.0375 1093.5 653.8375 218.2 284.4125
Short Term Loans And Advances 1.1125 2.375 5.6125 6.3 22.175
OtherCurrentAssets 4272.8 1486.825 1354.3 1562.9125 1598.575
TOTAL CURRENT ASSETS 15030.7875 12740.225 11283.825 11848.313 9922.713

Working Capital 11620.0875 9375.3 8009.7125 8888.2125 6508.088

25% decrease in CL

2022 2021 2020 2019 2018

CURRENT LIABILITIES
Short Term Borrowings 0 0 4.545 0 130.8225
Trade Payables 1034.1975 1121.6175 1209.09 1111.0125 1185.015
Other Current Liabilities 539.13 431.9175 344.7075 343.635 434.3025
Short Term Provisions 473.0925 465.42 406.125 321.4125 298.635
TOTAL CURRENT LIABILITIES 2046.42 2018.955 1964.4675 1776.06 2048.775

CURRENT ASSETS
Current Investments 1529.1 1503.63 625.8225 1508.685 779.805
Inventories 2399.2875 2314.3575 2266.02 2151.3075 2278.485
Trade Receivables 1454.715 2276.5275 2670.2025 2376.5475 1752.24
Cash And Cash Equivalents 1071.0225 656.1 392.3025 130.92 170.6475
Short Term Loans And Advances 0.6675 1.425 3.3675 3.78 13.305
OtherCurrentAssets 2563.68 892.095 812.58 937.7475 959.145
TOTAL CURRENT ASSETS 9018.4725 7644.135 6770.295 7108.9875 5953.628

Working Capital 6972.0525 5625.18 4805.8275 5332.9275 3904.853

25% increase in CA

2022 2021 2020 2019 2018

CURRENT LIABILITIES
Short Term Borrowings 0 0 6.06 0 174.43
Trade Payables 1,378.93 1,495.49 1,612.12 1,481.35 1,580.02
Other Current Liabilities 718.84 575.89 459.61 458.18 579.07
Short Term Provisions 630.79 620.56 541.5 428.55 398.18
TOTAL CURRENT LIABILITIES 2,728.56 2,691.94 2,619.29 2,368.08 2,731.70

CURRENT ASSETS
Current Investments 2,548.50 2,506.05 1,043.04 2,514.48 1,299.68
Inventories 3,998.81 3,857.26 3,776.70 3,585.51 3,797.48
Trade Receivables 2,424.53 3,794.21 4,450.34 3,960.91 2,920.40
Cash And Cash Equivalents 1,785.04 1,093.50 653.84 218.20 284.41
Short Term Loans And Advances 1.11 2.38 5.61 6.30 22.18
OtherCurrentAssets 4,272.80 1,486.83 1,354.30 1,562.91 1,598.58
TOTAL CURRENT ASSETS 12,024.63 10,192.18 9,027.06 9,478.65 7,938.17

Working Capital 9,296.07 7,500.24 6,407.77 7,110.57 5,206.47

25% decrease in CA

2022 2021 2020 2019 2018

CURRENT LIABILITIES
Short Term Borrowings 0 0 6.06 0 174.43
Trade Payables 1,378.93 1,495.49 1,612.12 1,481.35 1,580.02
Other Current Liabilities 718.84 575.89 459.61 458.18 579.07
Short Term Provisions 630.79 620.56 541.5 428.55 398.18
TOTAL CURRENT LIABILITIES 2,728.56 2,691.94 2,619.29 2,368.08 2,731.70

CURRENT ASSETS
Current Investments 1,529.10 1,503.63 625.82 1,508.69 779.81
Inventories 2,399.29 2,314.36 2,266.02 2,151.31 2,278.49
Trade Receivables 1,454.72 2,276.53 2,670.20 2,376.55 1,752.24
Cash And Cash Equivalents 1,071.02 656.10 392.30 130.92 170.65
Short Term Loans And Advances 0.67 1.43 3.37 3.78 13.31
OtherCurrentAssets 2,563.68 892.10 812.58 937.75 959.15
TOTAL CURRENT ASSETS 12,024.63 10,192.18 9,027.06 9,478.65 7,938.17

Working Capital 9,296.07 7,500.24 6,407.77 7,110.57 5,206.47

crease in CL
Increase/Decrease in Increase/Decrease Increase/Decrease i Increase/Decrease in 2022
2019 in 2020

-218.0375 7.575 -7.575 0

-123.34 163.46 -145.79 -145.70
-151.11 1.79 145.35 178.69
37.96 141.19 98.83 12.79
-454.525 314.0125 90.81 45.78 The increase in curr
increases. It tells us
current liabilities w
other expenses.
1,214.80 -1,471.44 1,463.01 42.45 On the other hand,
-211.96 191.19 80.56 141.55 as less money is tie
Increase or decreas
1,040.51 489.43 -656.13 -1,369.69 funds.
-66.21 435.64 439.66 691.54
-15.88 -0.69 -3.24 -1.26
-35.66 -208.61 132.53 2,785.98
1925.6 -564.487499999999 1,456.40 2,290.56

2,380.13 -878.50 1,365.59 2,244.79

ecrease in CL
Increase/Decrease in Increase/Decrease Increase/Decrease Increase/Decrease
2019 in 2020 in 2021 in 2022

-130.8225 4.545 -4.545 0

-74.00 98.08 -87.47 -87.42
-90.67 1.07 87.21 107.21
22.78 84.71 59.30 7.67
-272.715 188.4075 54.49 27.47

728.88 -882.86 877.81 25.47

-127.18 114.71 48.34 84.93
624.31 293.66 -393.68 -821.81
-39.73 261.38 263.80 414.92
-9.53 -0.41 -1.94 -0.76
-21.40 -125.17 79.52 1,671.59
1155.36 -338.6925 873.84 1,374.34

1,428.08 -527.10 819.35 1,346.87

crease in CA
Increase/Decrease in Increase/Decrease Increase/Decrease Increase/Decrease
2019 in 2020 in 2021 in 2022
 -174.43 6.06 -6.06 0
-98.67 130.77 -116.63 -116.56
-120.89 1.43 116.28 142.95
30.37 112.95 79.06 10.23
-363.62 251.21 72.65 36.62

1,214.80 -1,471.44 1,463.01 42.45

-211.96 191.19 80.56 141.55
1,040.51 489.43 -656.13 -1,369.69
-66.21 435.64 439.66 691.54
-15.88 -0.69 -3.24 -1.26
-35.66 -208.61 132.53 2,785.98
1925.6 -564.487499999999 1,165.12 1,832.45

1,904.10 -702.80 1,092.47 1,795.83

ecrease in CA
Increase/Decrease in Increase/Decrease Increase/Decrease Increase/Decrease
2019 in 2020 in 2021 in 2022

-174.43 6.06 -6.06 0

-98.67 130.77 -116.63 -116.56
-120.89 1.43 116.28 142.95
30.37 112.95 79.06 10.23
-363.62 251.21 72.65 36.62

728.88 -882.86 877.81 25.47

-127.18 114.71 48.34 84.93
624.31 293.66 -393.68 -821.81
-39.73 261.38 263.80 414.92
-9.53 -0.41 -1.94 -0.76
-21.40 -125.17 79.52 1,671.59
1155.36 -338.6925 1,165.12 1,832.45

1,904.10 -702.80 1,092.47 1,795.83

The increase in current liabilities negatively affects the current ratio as the comapny's liquidity
increases. It tells us how much funds are available to cover the current liabilities, so increasing
current liabilities while keeping the current assets constant affects the firms ability to pay for
other expenses.
On the other hand, decreasing the current liabilities makes more funds available to the comapny
as less money is tied in covering the current liabilities.
Increase or decrease in current assets has the oppsite effect on the liquidity and availability of
funds.
 Maximum Permissible Bank Finance
Method One
MPBF = 75% of (Current assets – Current liabilities other than bank borrowings)

Bank Borrowings Current Liabilities-Borrowings

2018 3662.11 -930.41
2019 3830.07 -1,461.99
2020 2369.28 250.01
2021 1420.83 1,271.11
2022 430.8 2,297.76

Method Two
 (75% of Current assets) – (Current liabilities other than bank borrowings)
75% of Current Assets Current Liabilities-Borrowings
2018 5953.6275 -747.16
2019 7108.9875 1.58
2020 6770.295 -362.53
2021 7644.135 -143.90
2022 9018.4725 277.60

Method Three
 [75% of (Current assets – Core current assets)] – Current liabilities other than bank borrowing
Soft Assets Current Assets - Core Current Assets
2018 3,265.51 4,672.66
2019 3,042.97 6,435.68
2020 3,544.43 5,482.63
2021 3,960.61 6,231.57
2022 4,627.08 7,397.55
 MPBF
697.81
1096.4925
6582.7875
6690.8025
-1723.32

MPBF
6,700.79
7,107.41
7,132.82
7,788.03
8,740.88

her than bank borrowings

MPBF
4251.6525
4825.1775
4474.4975
4817.5725
5270.565
 2022 2021 2020 2019 2018
Return on Assets 9.28 9.56 6.53 6.37 6.17
Return on Equity 12.07 13.12 9.81 10.17 9.91
Current Ratio 3 2.88 2.66 3.89 2.82
Debt to Equity 0.04 0.08 0.18 0.29 0.29

The company is following a safe approach for

maintaining funds, ie, a conservative approach. The
current ratio is more than the ideal requirement and
the liquidity position is good. This is also reflected in
the fact that the debt to equity ratio is less, meaning
dependency on debt is less due to availability of
current assets to funds working capital requirements.
fe approach for
rvative approach. The
ideal requirement and
This is also reflected in
y ratio is less, meaning
e to availability of
g capital requirements.