NAME – KESHAV AGARWAL

ROLL NO – MBA/HR02/009
ANSWER 1
A:
Share Capital = Total Shareholders’ Fund - Reserves and Surplus
=Rs (18.37-17.59) Billion = Rs 0.78 Billion
Long-Term Borrowings = Total Non-current Liabilities - Long-Term
Provisions
= Rs (36.09-0.47) Billion = Rs 35.62 Billion
Total Current Liabilities = Total Equity and Liabilities - Total
Shareholders’ Fund - Total Non-current Liabilities
=Rs (56.27-18.37-36.09) Billion = Rs 1.81 Billion
Other Non-Current Assets = Total Non-Current Assets - Tangible
Assets - Intangible Assets - Intangible Assets under development -
Non-Current investments - Long-Term Loans and Advances
= Rs (0.37 – 0.29 – 0.04 – 0 – 0 -0) Billion = Rs 0.04 Billion
Total Assets = Total Equity and Liabilities
= Rs 56.27 Billion
Total Current Assets = Total Assets – Total Non-Current Assets
= Rs (56.27 – 0.37) Billion = Rs 55.9 Billion
Trade Receivables = Total Current Assets - Cash and Bank balances -
Short-Term Loans and Advances - Other Current Assets
= Rs (55.9 – 6.79 - 47.24 - 1.86) Billion = Rs 0.01 Billion
Particulars Amount in ₹ (Billion)
Equity and Liabilities
Shareholders’ Fund
Share Capital 0.78
Reserves and Surplus 17.59
18.37
Non-current Liabilities
Long-Term Borrowings 35.62
Long-Term Provisions 0.47
36.09
Current Liabilities
Short-Term Borrowings
Other Current Liabilities 1.81
Short-Term Provisions
1.81
Total 56.27
Assets
Non-Current Assets
Fixed Assets
Tangible Assets 0.29
Intangible Assets 0.04
Intangible Assets under development 0
Non-Current investments 0
Long-Term Loans and Advances 0
Other Non-Current Assets 0.04
0.37
Current Assets
Trade Receivables 0.01
Cash and Bank balances 6.79
Short-Term Loans and Advances 47.24
Other Current Assets 1.86
55.9
Total 56.27
Aavas Financiers Limited
Balance Sheet as on March 31,2019

B: The biggest asset for Aavas Financiers Limited is Short-Term Loans

and Advances.
The biggest liability for Aavas Financiers Limited is Long-Term
Borrowing.
This is good for the company as the company has short-term loans
and advances which can be used for the creation of more inventories
and expansion of its company without taking any external debt.
Moreover, it has long-term borrowing which can be paid later.
C: Examples of Intangible Assets under Development are trademarks
and patents of Aavas Financiers Limited.

ANSWER 2
A:
For HDFC Bank,
ASSETS = Cash and balances with Reserve Bank of India + Balances
with Banks and Money at Call and Short Notice + Investments
+Advances + Fixed Assets + Other Assets
= 469 + 350 + 2,869 + 8,692+ 42+ 506 = Rs 12,928 Billion
LIABILITIES = Deposits + Borrowings + Other Liabilities and Provisions
= 9,225 + 1,557 + 585 = Rs 11,367 Billion
EQUITY = Capital + Reserves and Surplus
= 5 + 1,536 = Rs 1,541 Billion
We know, Assets = Liabilities + Equity
12,928= 11,367 + 1,541
12928 = 12928

FOR Reliance Industries Limited,

Current Assets = Current Investments + Inventories + Trade
Receivables + Cash and Cash Equivalents + Short-Term Loans and
Advances and Others
 = 709 + 676 + 301 + 75 + 500 = Rs 2,261 Billion
Non-Current Assets = Tangible Assets, Gross + Accumulated
Depreciation+ Tangible Assets, Net
Intangible Assets, Gross + Accumulated Depreciation + Intangible
Assets, Net + Capital Work-in-Progress + Non- Current Investments +
Deferred Tax Assets (Net) +Lon Term Loans and Advances and Others
= 4,384 - 1,317 + 3,068 + 2,098 – 843+ 1,255+ 1,502 + 1,645 +
48 +245
= Rs 7,763 Billion
ASSETS = CURRENT ASSETS + NON-CURRENT ASSETS = 2261+ 7763 =
Rs 10,024 Billion
Current Liabilities = Short-Term Borrowings + Trade Payables + Other
Current Liabilities + Short -Term Provisions
= 644 + 1,083 + 1,433 + 13 = Rs 3,173 Billion
Non-Current Liabilities = Long-Term Borrowings + Deferred Tax
Liabilities (Net) + Other Long-Term Liabilities
= 2,075 + 499 + 323 = Rs 2,897 Billion
EQUITY = Capital + Reserves and Surplus
=59 + 3,895 = Rs 3,954 Billion
Liabilities = Current Liabilities + Non-Current Liabilities
= 3,173 + 2,897 = Rs 6,070 Billion
We know, Assets = Liabilities + Equity
10,024= 6,070 + 3,954
10,024 = 10,024
We can clearly see that HDFC Bank has greater assets and liabilities
than reliance industries because of the nature of industries they are
in. Reliance industries has greater equity than HDFC Bank. We can
also see that percentage of equity as total liabilities and equity is
greater for reliance industries (39.44%) as compared to HDFC Bank
(11.91%).
B:
For HDFC Bank,
4 biggest assets are:
 Advances
 Investment
 Other Assets
 Cash and balances with Reserve Bank of India
4 biggest liabilities and equity are:
 Deposits
 Borrowings
 Reserves and Surplus
 Other Liabilities and Provisions

FOR Reliance Industries Limited,

4 biggest assets are:
 Tangible Assets
 Intangible Assets, Gross
 Non- Current Investments
 Capital Work-in-Progress
4 biggest liabilities and equity are:
 Reserves and Surplus
 Long-Term Borrowings
 Other Current Liabilities
 Trade Payables
For HDFC Bank and Reliance industries there is nothing common in
their biggest assets as both are different industries. For HDFC Bank
advances and investment are important as in the banking industries.
For Reliance tangible and intangible assets are important as it is in
the manufacturing (OIL) and telecom mainly.
For HDFC Bank and Reliance industries Reserves and Surplus Is
common in their biggest liabilities because all industries need to
maintain it for business purpose. All other big liabilities are different
due to different industries. For HDFC Bank borrowings it take from
customers are important as in the banking industries. For Reliance
long term borrowings are important as it is in manufacturing (OIL)
and telecom mainly.
C: Assets of the HDFC bank like advances may be the liability of
reliance industries which can be reflected in the balance sheet in
short-term and long-term borrowings.
Liabilities of HDFC Bank like deposits can be the asset of Reliance
industries as reflected in the balance sheet under Cash and Cash
Equivalents.