RESEARCH METHODOLOGY

 A research methodology encompasses the way in which you intend to carry out your
research. That includes how you plan to tackle things like collection methods,
statistical analysis, participant observations, and more.
 Research methodology simply refers to the practical “how” of any given pieces of
research. More specifically, it’s should have a researcher automatically designs a
study to ensure valid and reliable results that address the research aims and objectives.

For example, how did the researcher go about deciding:

1. What date to collect (and what data to ignore)

2. Who to collect it from (in research, this is called “sampling design”)
3. How to collect it (this is called “data collection method”)
4. How to analyse it (this is called “data analysis method”)

Qualitative, quantitative and mixed-methods are different types of methodologies,

distinguished by whether they focus on words, numbers or both. This is a bit of an over
simplification, but its good starting point for understanding. Let’s take a closer look.

Qualitative research refers to research which focuses on collecting and analysing

words (written or spoken) and textual data, whereas quantitative research focuses on
measurement and testing using numerical data. Qualitative analysis can also focus on other
“softer” data points. Such as body language or the visual elements.

It’s quite common for qualitative methodology to be used when the research aims and
objectives are exploratory in nature. For example, a qualitative methodology might be used to
understand people’s perception about event that took place, or a candidate running for
president.

Contrasted to this, a quantitative methodology is typically used when the research aims
and objectives are confirmatory in nature. For example, a quantitative methodology might be
used to measure the relationship between two variables (e.g. personality type and likelihood
to commit a crime) or to test a set of hypothesis.
 As you’ve probably guessed, the mixed-method methodology attempts to combine the
best of both qualitative and quantitative methodologies to integrate perspectives and create a
rich pictures.

Nature of data:

Primary data is information collected through original or first-hand research. For

example, Surveys and focus group discussions. It is collected by the investigator himself for
specific purpose.

Secondary data is information which has been collected in the past by someone else.
For example researching the internet, newspaper article and company reports. Data collected
by someone for some other purpose but it is utilized by investigator for another purpose is
secondary data.

In this study secondary data is used for research.

RESEARCH DESIGN:

Research design refers to the framework of market research methods and techniques
that are chosen by a researcher. The design that is chosen by the researchers allow them to
utilize the methods that are suitable for the study and to set up their studies successfully in the
future as well.

The design of research can be either qualitative, quantitative, or mixed. Under these
research designs, researchers can choose between different types of research method;
experimental studies, surveys, co relational studies, or quasi-experimental review as studies.
There are also sub-types of research methods namely experimental design, defining research
problems, and descriptive studies.

In this study descriptive research design is used. In a descriptive design a researcher is

solely interested in descriptive the situation or case under their research study. It is a theory-
based design method which is created by gathering, analysing and presenting collected data.
PERIOD OF STUDY:

The study duration of data collecting starting from commencement of data collection
till end to this regard, the pre-trial preparation or pre study preparation as well as statistical
analysis and reporting are not considered. The period of the study is concerned too five years.

SOURCE OF DATA:

The source of data is divided into two types: Internal source and external source.

Internal source: When data is collected from reports and records of the organisation
itself they are called internal source.

External source: when data is collected from source outside the organisation they are
known as the external source.

STATISTICAL TOOLS:

 Rational analysis
 Comparative statement
 Trend analysis

STATEMENT OF THE PROBLEM:

 Finance is viewed as a backbone to accelerating economic development of any

country. In our present day, economic finance is the provision of money at the
time when it is required.
 The balance sheet fails to show how the working capital was raised and used
during the year. This is a serious problem as changes in working capital are
important to assess the financial health of the company.
 Presently a firm communicated information to the users through financial
statement and reports. Includes statement namely balance sheet & profit loss a/c.
 The basic problem faced by the financial manager of an enterprise is to trade off
between the conflicting but equally important goals of liquidity and profitability.
  So the main aim of the study is to analyse the financial position of the company
over a period of time in terms of solvency, liquidity and profitability.

LIMITATIONS OF THE STUDY:

The data available for the study are subject to a few limitations which are as follows:

 As the study is only for the particular concern inter firm comparision is
lender impossible.
 The study covers the periods from 2017-2021 the changes that took place
before and after this period were not taken into consideration.
 The figures of credit sales credit purchases could not be obtain and hence
total sales and total purchase have been considered to calculate the debtors
and creditors turnover ratio respectively.