Objective of Project Report : The main objective of the Project Report is Find the Ratio Analysis of company.

And sub objectives of this report is understand the Meaning of Ratio, Pure Ratio or Simple Ratio, Advantages of Ratio Analysis, Limitations of Ratio Analysis, classification of Ratio, Liquidity Ratio, Profitability Ratio or Income Ratio, Activity & Turnover Ratio, Return on Capital Employed

RATIO ANALYSIS Meaning of Ratio:- A ratio is simple arithmetical expression of the relationship of one number to another. It may be defined as the indicated quotient of two mathematical expressions. According to Accountants Handbook by Wixon, Kell and Bedford, a ratio is an expression of the quantitative relationship between two numbers. Ratio Analysis:- Ratio analysis is the process of determining and presenting the relationship of items and group of items in the statements. According to Batty J. Management Accounting Ratio can assist management in its basic functions of forecasting, planning coordination, control and communication. It is helpful to know about the liquidity, solvency, capital structure and profitability of an organization. It is helpful tool to aid in applying judgement, otherwise complex situations. Ratio analysis can represent following three methods. Ratio may be expressed in the following three ways : 1. Pure Ratio or Simple Ratio :- It is expressed by the simple division of one number by another. For example , if the current assets of a business are Rs. 200000 and its current liabilities are Rs. 100000, the ratio of Current assets to current liabilities will be 2:1. 2. Rate or So Many Times :- In this type , it is calculated how many times a figure is, in comparison to another figure. For example , if a firms credit sales during the year are Rs. 200000 and its debtors at the end of the year are Rs. 40000 , its Debtors Turnover Ratio is 200000/40000 = 5 times. It shows that the credit sales are 5 times in comparison to debtors.

3. Percentage :- In this type, the relation between two figures is expressed in hundredth. For example, if a firms capital is Rs.1000000 and its profit is Rs.200000 the ratio of profit capital, in term of percentage, is 200000/1000000*100 = 20% ADVANTAGE OF RATIO ANALYSIS 1. Helpful in analysis of Financial Statements. 2. Helpful in comparative Study. 3. Helpful in locating the weak spots of the business. 4. Helpful in Forecasting. 5. Estimate about the trend of the business. 6. Fixation of ideal Standards. 7. Effective Control. 8. Study of Financial Soundness. LIMITATIONS OF RATIO ANALYSIS 1. Comparison not possible if different firms adopt different accounting policies. 2. Ratio analysis becomes less effective due to price level changes. 3. Ratio may be misleading in the absence of absolute data. 4. Limited use of a single data.

5. Lack of proper standards. 6. False accounting data gives false ratio. 7. Ratios alone are not adequate for proper conclusions. 8. Effect of personal ability and bias of the analyst. CLASSIFICATION OF RATIO Ratio may be classified into the four categories as follows: A. Liquidity Ratio a. Current Ratio b. Quick Ratio or Acid Test Ratio B. Leverage or Capital Structure Ratio a. Debt Equity Ratio b. Debt to Total Fund Ratio c. Proprietary Ratio d. Fixed Assets to Proprietors Fund Ratio e. Capital Gearing Ratio f. Interest Coverage Ratio C. Activity Ratio or Turnover Ratio a. Stock Turnover Ratio b. Debtors or Receivables Turnover Ratio c. Average Collection Period

d. Creditors or Payables Turnover Ratio e. Average Payment Period f. Fixed Assets Turnover Ratio g. Working Capital Turnover Ratio D. Profitability Ratio or Income Ratio

(A) Profitability Ratio based on Sales : a. Gross Profit Ratio b. Net Profit Ratio c. Operating Ratio d. Expenses Ratio

(B) Profitability Ratio Based on Investment : I. Return on Capital Employed II. Return on Shareholders Funds : a. Return on Total Shareholders Funds b. Return on Equity Shareholders Funds c. Earning Per Share d. Dividend Per Share e. Dividend Payout Ratio f. Earning and Dividend Yield

g. Price Earning Ratio LIQUIDITY RATIO (A) Liquidity Ratio:- It refers to the ability of the firm to meet its current liabilities. The liquidity ratio, therefore, are also called Short-term Solvency Ratio. These ratio are used to assess the short-term financial position of the concern. They indicate the firms ability to meet its current obligation out of current resources. In the words of Saloman J. Flink, Liquidity is the ability of the firms to meet its current obligations as they fall due. Liquidity ratio include two ratio :a. Current Ratio b. Quick Ratio or Acid Test Ratio a. Current Ratio:- This ratio explains the relationship between current assets and current liabilities of a business. Formula:
Current Ratio = Current Assets/ Current Liabilities

Current Assets:-Current assets includes those assets which can be converted into cash with in a years time. Current Assets = Cash in Hand + Cash at Bank + B/R + Short Term Investment + Debtors(Debtors Provision) + Stock(Stock of Finished Goods + Stock of Raw Material + Work in Progress) + Prepaid Expenses.

Current Liabilities :- Current liabilities include those liabilities which are repayable in a years time. Current Liabilities = Bank Overdraft + B/P + Creditors + Provision for Taxation + Proposed Dividend + Unclaimed Dividends + Outstanding Expenses + Loans Payable with in a Year. Significance :- According to accounting principles, a current ratio of 2:1 is supposed to be an ideal ratio. It means that current assets of a business should, at least , be twice of its current liabilities. The higher ratio indicates the better liquidity position, the firm will be able to pay its current liabilities more easily. If the ratio is less than 2:1, it indicate lack of liquidity and shortage of working capital. The biggest drawback of the current ratio is that it is susceptible to window dressing. This ratio can be improved by an equal decrease in both current assets and current liabilities. b. Quick Ratio:- Quick ratio indicates whether the firm is in a position to pay its current liabilities with in a month or immediately. Formula:
Quick Ratio = Liquid Assets/ Current Liabilities

Liquid Assets means those assets, which will yield cash very shortly. Liquid Assets = Current Assets Stock Prepaid Expenses Significance :- An ideal quick ratio is said to be 1:1. If it is more, it is considered to be better. This ratio is a better test of short-term financial position of the company. LEVERAGE OR CAPITAL STRUCTURE RATIO (B) Leverage or Capital Structure Ratio :- This ratio disclose the firms ability to meet the interest costs regularly and Long term indebtedness at maturity.

These ratio include the following ratios : a. Debt Equity Ratio:- This ratio can be expressed in two ways: First Approach : According to this approach, this ratio expresses the relationship between long term debts and shareholders fund. Formula:
Debt Equity Ratio=Long term Loans/Shareholders Funds or Net Worth

Long Term Loans:- These refer to long term liabilities which mature after one year. These include Debentures, Mortgage Loan, Bank Loan, Loan from Financial institutions and Public Deposits etc. Shareholders Funds :- These include Equity Share Capital, Preference Share Capital, Share Premium, General Reserve, Capital Reserve, Other Reserve and Credit Balance of Profit & Loss Account. Second Approach : According to this approach the ratio is calculated as follows:Formula:
Debt Equity Ratio=External Equities/internal Equities

Debt equity ratio is calculated for using second approach. Significance :- This Ratio is calculated to assess the ability of the firm to meet its long term liabilities. Generally, debt equity ratio of is considered safe. If the debt equity ratio is more than that, it shows a rather risky financial position from the long-term point of view, as it indicates that more and more funds invested in the business are provided by long-term lenders.

The lower this ratio, the better it is for long-term lenders because they are more secure in that case. Lower than 2:1 debt equity ratio provides sufficient protection to long-term lenders. b. Debt to Total Funds Ratio : This Ratio is a variation of the debt equity ratio and gives the same indication as the debt equity ratio. In the ratio, debt is expressed in relation to total funds, i.e., both equity and debt. Formula:
Debt to Total Funds Ratio = Long-term Loans/Shareholders funds + Long-term Loans

Significance :- Generally, debt to total funds ratio of 0.67:1 (or 67%) is considered satisfactory. In other words, the proportion of long term loans should not be more than 67% of total funds. A higher ratio indicates a burden of payment of large amount of interest charges periodically and the repayment of large amount of loans at maturity. Payment of interest may become difficult if profit is reduced. Hence, good concerns keep the debt to total funds ratio below 67%. The lower ratio is better from the long-term solvency point of view. c. Proprietary Ratio:- This ratio indicates the proportion of total funds provide by owners or shareholders. Formula:
Proprietary Ratio = Shareholders Funds/Shareholders Funds + Long term loans

Significance :- This ratio should be 33% or more than that. In other words, the proportion of shareholders funds to total funds should be 33% or more.

A higher proprietary ratio is generally treated an indicator of sound financial position from long-term point of view, because it means that the firm is less dependent on external sources of finance. If the ratio is low it indicates that long-term loans are less secured and they face the risk of losing their money. d. Fixed Assets to Proprietors Fund Ratio :- This ratio is also know as fixed assets to net worth ratio. Formula:
Fixed Asset to Proprietors Fund Ratio = Fixed Assets/Proprietors Funds (i.e., Net Worth)

Significance :- The ratio indicates the extent to which proprietors (Shareholders) funds are sunk into fixed assets. Normally , the purchase of fixed assets should be financed by proprietors funds. If this ratio is less than 100%, it would mean that proprietors fund are more than fixed assets and a part of working capital is provided by the proprietors. This will indicate the long-term financial soundness of business. e. Capital Gearing Ratio:- This ratio establishes a relationship between equity capital (including all reserves and undistributed profits) and fixed cost bearing capital. Formula:
Capital Gearing Ratio = Equity Share Capital+ Reserves + P&L Balance/ Fixed cost Bearing Capital

Whereas, Fixed Cost Bearing Capital = Preference Share Capital + Debentures + Long Term Loan

Significance:- If the amount of fixed cost bearing capital is more than the equity share capital including reserves an undistributed profits), it will be called high capital gearing and if it is less, it will be called low capital gearing. The high gearing will be beneficial to equity shareholders when the rate of interest/dividend payable on fixed cost bearing capital is lower than the rate of return on investment in business. Thus, the main objective of using fixed cost bearing capital is to maximize the profits available to equity shareholders. f. Interest Coverage Ratio:- This ratio is also termed as Debt Service Ratio. This ratio is calculated as follows: Formula:
Interest Coverage Ratio = Net Profit before charging interest and tax / Fixed Interest Charges

Significance :- This ratio indicates how many times the interest charges are covered by the profits available to pay interest charges. This ratio measures the margin of safety for long-term lenders. This higher the ratio, more secure the lenders is in respect of payment of interest regularly. If profit just equals interest, it is an unsafe position for the lender as well as for the company also , as nothing will be left for shareholders. An interest coverage ratio of 6 or 7 times is considered appropriate. ACTIVITY RATIO OR TURNOVER RATIO
(C) Activity Ratio or Turnover Ratio :- These ratio are calculated on the bases of cost of sales or sales, therefore, these ratio are also called as Turnover Ratio. Turnover indicates the speed or number of times the capital employed has been rotated in the process of doing business. Higher turnover ratio indicates the better use of capital or resources and in turn lead to higher profitability.

It includes the following : a. Stock Turnover Ratio:- This ratio indicates the relationship between the cost of goods during the year and average stock kept during that year. Formula:
Stock Turnover Ratio = Cost of Goods Sold / Average Stock

Here, Cost of goods sold = Net Sales Gross Profit Average Stock = Opening Stock + Closing Stock/2 Significance:- This ratio indicates whether stock has been used or not. It shows the speed with which the stock is rotated into sales or the number of times the stock is turned into sales during the year. The higher the ratio, the better it is, since it indicates that stock is selling quickly. In a business where stock turnover ratio is high, goods can be sold at a low margin of profit and even than the profitability may be quit high. b. Debtors Turnover Ratio :- This ratio indicates the relationship between credit sales and average debtors during the year : Formula:
Debtor Turnover Ratio = Net Credit Sales / Average Debtors + Average B/R

While calculating this ratio, provision for bad and doubtful debts is not deducted from the debtors, so that it may not give a false impression that debtors are collected quickly.

Significance :- This ratio indicates the speed with which the amount is collected from debtors. The higher the ratio, the better it is, since it indicates that amount from debtors is being collected more quickly. The more quickly the debtors pay, the less the risk from bad- debts, and so the lower the expenses of collection and increase in the liquidity of the firm. By comparing the debtors turnover ratio of the current year with the previous year, it may be assessed whether the sales policy of the management is efficient or not. c. Average Collection Period :- This ratio indicates the time with in which the amount is collected from debtors and bills receivables. Formula:
Average Collection Period = Debtors + Bills Receivable / Credit Sales per day

Here, Credit Sales per day = Net Credit Sales of the year / 365 Second Formula :Average Collection Period = Average Debtors *365 / Net Credit Sales

Average collection period can also be calculated on the bases of Debtors Turnover Ratio. The formula will be:
Average Collection Period = 12 months or 365 days / Debtors Turnover Ratio

Significance :- This ratio shows the time in which the customers are paying for credit sales. A higher debt collection period is thus, an indicates of the inefficiency and negligency on the part of management. On the other hand, if there is decrease

in debt collection period, it indicates prompt payment by debtors which reduces the chance of bad debts. d. Creditors Turnover Ratio :- This ratio indicates the relationship between credit purchases and average creditors during the year . Formula:Creditors Turnover Ratio = Net credit Purchases / Average Creditors + Average B/P

Note :- If the amount of credit purchase is not given in the question, the ratio may be calculated on the bases of total purchase. Significance :- This ratio indicates the speed with which the amount is being paid to creditors. The higher the ratio, the better it is, since it will indicate that the creditors are being paid more quickly which increases the credit worthiness of the firm. d. Average Payment Period :- This ratio indicates the period which is normally taken by the firm to make payment to its creditors. Formula:Average Payment Period = Creditors + B/P/ Credit Purchase per day

This ratio may also be calculated as follows :

Average Payment Period = 12 months or 365 days / Creditors Turnover Ratio

Significance :- The lower the ratio, the better it is, because a shorter payment period implies that the creditors are being paid rapidly.

d. Fixed Assets Turnover Ratio :- This ratio reveals how efficiently the fixed assets are being utilized. Formula:Fixed Assets Turnover Ratio = Cost of Goods Sold/ Net Fixed Assets

Here, Net Fixed Assets = Fixed Assets Depreciation Significance:- This ratio is particular importance in manufacturing concerns where the investment in fixed asset is quit high. Compared with the previous year, if there is increase in this ratio, it will indicate that there is better utilization of fixed assets. If there is a fall in this ratio, it will show that fixed assets have not been used as efficiently, as they had been used in the previous year. e. Working Capital Turnover Ratio :- This ratio reveals how efficiently working capital has been utilized in making sales. Formula :Working Capital Turnover Ratio = Cost of Goods Sold / Working Capital

Here, Cost of Goods Sold = Opening Stock + Purchases + Carriage + Wages + Other Direct Expenses - Closing Stock Working Capital = Current Assets Current Liabilities Significance :- This ratio is of particular importance in non-manufacturing concerns where current assets play a major role in generating sales. It shows the number of times working capital has been rotated in producing sales. A high working capital turnover ratio shows efficient use of working capital and quick turnover of current assets like stock and debtors.

A low working capital turnover ratio indicates under-utilisation of working capital. Profitability Ratios or Income Ratios (D) Profitability Ratios or Income Ratios:- The main object of every business concern is to earn profits. A business must be able to earn adequate profits in relation to the risk and capital invested in it. The efficiency and the success of a business can be measured with the help of profitability ratio. Profitability ratios are calculated to provide answers to the following questions: i. ii. iii. iv. v. Is the firm earning adequate profits? What is the rate of gross profit and net profit on sales? What is the rate of return on capital employed in the firm? What is the rate of return on proprietors (shareholders) funds? What is the earning per share?

Profitability ratio can be determined on the basis of either sales or investment into business. (A) Profitability Ratio Based on Sales : a) Gross Profit Ratio : This ratio shows the relationship between gross profit and sales. Formula :
Gross Profit Ratio = Gross Profit / Net Sales *100

Here, Net Sales = Sales Sales Return Significance:- This ratio measures the margin of profit available on sales. The higher the gross profit ratio, the better it is. No ideal standard is fixed for this ratio, but the gross profit ratio should be adequate enough not only to cover the operating

expenses but also to provide for deprecation, interest on loans, dividends and creation of reserves. b) Net Profit Ratio:- This ratio shows the relationship between net profit and sales. It may be calculated by two methods: Formula:
Net Profit Ratio = Net Profit / Net sales *100 Operating Net Profit = Operating Net Profit / Net Sales *100</

Retail means sale of goods in small quantities, it is concerned with buying of goods in small quantities from the wholesaler and selling them in small quantities to the ultimate consumers as per their requirements. The person engaged in this trade is called the retailer. He acts as a link between the wholesaler and the customers. In retail trade goods are sold to the ultimate consumers for personal use and for the use of the business in small quantities only. The retailer does not specialize in a particular line or a particular product. Rather he maintains a large variety of goods. Generally, sales are limited to a local and on a small scale.

MEANING OF BANKING

Banking has come to occupy a pivotal position in a nations economy. According to the modern concept, banking is a business which not only deals with borrowings, lending and remittance of funds, but also an important instrument for fostering economic growth.
The Banking Regulation Act 1949, defines the term banking as the accepting for the purpose of lending or investment of deposits of money from the public or otherwise and withdraw able by cheque, draft, order or otherwise. Thus, the essentials of banking are:

(1) There should be acceptance of deposited. (2) Deposits should be from the public. (3) Deposits should be repayable on demand or expiry of a term or after a specified periods. (4) The purpose of deposits should be lending or investment. Bank is an institution which deals in money and credit. It buys money from depositors and sell to the borrowers. It is body of persons whether incorporated or not who carry on the business of banking. A bank may defined as a corporation or person which collects deposits from the public, repayable on demand and which supplies and facilitates all kinds of exchanges.

RETAIL BANKING
Retail banking means mobilizing deposit form individuals and providing loan facilities to them in the form of home loans, auto loans, credit cards, etc, is becoming popular. This used to be considered by the banks as a tough proposition because of the volume of operations involved. But during the last couple of years or so, banks seem to have realized that the only sustainable way to increase deposits is to look at small and middle class consumer retail deposit and not the price sensitive corporate depositors. With financial sector reforms gathering momentum, the banking system is facing increasing companies from non-banks and the capital market. More and more companies are tapping the capital market directly for finance. This is one of the main reasons for the banks to focus vigourously on the much ignored retail deposits. Another reason is the current liquidity the margins are 1 to 2 percent above the prime rate; in retail market they are 3to4 percent.

It is reported that Indian retail market has the potential to be second only to the USA. National Readership Survey 5puts Indian households with monthly of over Rs. 5000 at 4.5 million. According to the survey, the category of households with annual income of Rs. 2 lakhs and above is growing at the rate of 30 per cent per annum. No winder, banks with vision and insight are trying to woo this market through a series of innovative additions to their products, services, technology and marketing methods. Fixed and unfixed Deposits, (cluster deposits which can be broken into smaller units to help meet depositors overdraft without breaking up entirely), centralised database for any branch banking (whereby the customer can access his account in any of the branches irrespective of where the account is maintained), room services (whereby the customers are visited at their residences offices to enable them to open their accounts), automatic teller machines, tele banking network, extended banking time, courier pickup for cheques and documents, etc are some of the privileges extended to the customers by the banks in are eagerness to cultivate the retail market. In short, in the bold new world of retail banking the customer is crowned as king.

RETAIL BANKING-A COOL OASIS To bankers struggling through the shifting sands of corporate credit, retail banking looks like a cool oasis. Corporate Credit, retail banking looks like a cool oasis. Corporate customers rely less on commercial banks every day as other fund raising avenues present themselves. As this disintermediation takes place and competition shrinks margins, retail banking has gained an irresistible allure for banks because of its apparently higher margins and potential fir growth. With their large branch networks, banks have secured sizeable deposits-23 percent of GDP. On the assets side, however, retail advances account for a mere seven per cent of total lending. The penetration of products like car loans or credit cards is very low. With very few focused multi-line banks, non banks are often significant players in retail lending, as HDFC is in house loans. Yet, many non-banks lack the minimum size to make the necessary investments and address the challenges of retail banking.
A large number of banks and non-banks have launched or relaunched retail products and are attempting to grow their share of the personal financial services market. Even the term lending institutions have decided that they need to go retail to raise funds. Many organization like ICICI are betting that a large part of their future growth will come from retail customers. Retail banking is much more than as opportunity to addressing dwindling margins. It is an imperative to preserve profits and market positions. Customers now have many more personal financial options, a growing credit culture, a willingness to switch between financial services providers, and a demand for lower interest rates. As they witness these trends, banks realize that they cannot remain passive. The new private sector banks are making inroads in the markets they serve, while competition from non-banks is growing. In respect, older institutions need to revamp their distribution capabilities, customer management capabilities, operating culture, compensation system and operations processing.

WEB IMPACT ON BANKS RETAIL REVENUES: For all those gurus whove been predicting that the net will end the business of said banks, heres a shocker. Even in the SILICON valley-driven USA, Internet is not expected to have a major impact in banks retail revenues. The reason: the absence of a convenient alternative at present to using cash.

According to a report by moodys Investors service, at least in the intermediate term, the internet is not expected to impact large US banks core profitability or competitive position. This is despite the despite business being the simple-most important profit source for most American retail banks. The core retail banking business of deposit taking will be sheltered form web-based competitors and margin shrinkage on this business. Need for convenient access to physical locations coupled with the advantages of multiple delivery channels like branch, ATM, telephone and computers, consumers need to leave money in transactional accounts; customer inertia and the relatively limited cost savings available to consumers from net banking, are cited as the main factors supporting its view. The moodys report, however, cautions that other consumer business such as residential mortgages, auto loans and credit cards may be more vulnerable to web-based competitors. However, most US banks have thin margins or low market shares in these businesses mitigating this impact, says the report made available to the Economic Times. The rating agency is skeptical of banks ability to generate substantial incremental revenues from crossselling financial products to existing customers via the net.

Banks have to maintain a comprehensive and effective web based capability to maintain their competitive position, cautions moodys. The need for customers to take frequent physical receipts, make convenient physical receipts, make convenient physical delivery of cheques using ATMs, inhibition towards paying ATM charges for using another banks ATM network by the consumer and time consuming, difficult and disruptive nature of switching accounts also contribute to the stickiness of retail deposits.

With low bank fees for individual transactions and relatively small bank deposits, the opportunity cost in terms of interest income for customers is not material where the deposits are not large.
Banks offer convenience and choice and the web-based channels of banks have reported rapid growth in the number of customers by retaining current customers.

According to moodys a survey indicated that 35 per cent of Internet banking customer disconnect because they dont find it convenient. Customers prefer to use a variety of channels to conduct their banking which is why it remains to be seen whether a business model based solely on internet banking will generate adequate returns and sustain long term competition against conventional banking systems. The advent of the internet could, however have a powerful effect on banks acquisition strategies by creating uncertainty about the value of purchasing large branch networks, the study says. For some banks, however, the Internet could facilitate an increase in fee income by generating fees from Internet service arrangements like bill presentment and clearing. However, if smart cards or stored value cards or other electronic cash substitute gain popularity, alternatives could become more attractive to customers. On the other hand, banks might be able to reduce costs of servicing the retail customers by moving them over into a paperless environment. Banks could introduce various incentives to the persuade customers to forego paper statements for the basic savings account and credit card, says moodys.

THE RULES HAVE CHANGED

As the 1900s come to their close and we look eagerly towards the new millennium, a revolution that will change the rules and every thing we have understood of the retail market, financial products and other services. Economic boundaries are disappearing, and the global village is a reality where the retail customer will have a choice in a manner we may have never imagined. Providers of retail products and services will battle for market and market share. It is battle that will be fought at different levels and the real winner will be the customer, who will benefit from increased competition through better products, distribution, technology, pricing, and post transaction service. The quality and range of products will expand exponentially convenience of usage, customization to individual needs, and a host of other user-friendly add-ons will create a whole new frontier of applications.

Companies will have to innovate and continuously upgrade their products. Anticipation, listening and responding to your customers needs, will be the buzz-words of this thrust. Distribution will be the next key benchmark of success. The customer will demand (and therefore the provider will have to respond) for greater convenience of access to the product or service and all this at the best cost of delivery. Re-defined methods, the use of technology specifically the Internet-and realigned strategies will drive this important criterion of success. Constraints of location, timing, accessibility etc will all be history. No matter how brilliant the product you have, your distribution flexibility will be the customers selection parameter. Again, quality of the product and responsive strategies for distribution will also have a link to price. Efficiencies on this front will be the next item on your report card. Through innovation in production and delivery and cost reduction strategies, the price to the customer will have to be at maximum benefit. The intelligent customer will be ruthless with any price distortions, which as a consequence of inefficiencies or market exploitation his cost benefit analysis will not allow for these variables. Would you prefer a product, which (hopefully) is never expected to need post sale service or one which offers the best after sale service if required ? Clearly, the relationship with the customer starts with the transaction, does not and with it. Organisation we have to give equal importance to cost sale needs of customers as the pitch made prior to the sale. Technology will perhaps be the single largest driver of this detail thrust. The entire strategy will evolve around the absolute ability of the organisation to be at the cutting as edge of technology. We will have to invest in technology far ahead of immediate needs and be able to anticipate the future direction at a pace we are perhaps not used to. Being able to keep abreast, but more importantly, being able to recognize the immense potential that technology provides at all stages in the retail chain will be of paramount importance. To leverage, exploit and link technology to your business will be the greatest challenge of the new millennium and I am convinced that the retail war will be won and lost on this one aspect, purely because technology increasingly we influence on the entire chain in a retail business cycle. Above all these, I would list attitude towards customer as the single point basis on determining the winner of the race. Attitude to the customer will influence all the areas we have discussed and will ensure excellence in each one of them. It is an intangible, it is not prescribed in a manual nor is it a quantifiable

item in the balance sheet, but an organizations attitude to the customer will be the basis determinant of success for any retail operation. There are interesting and challenging times ahead the future promises a lot but will also make extraordinary demands. The customer will be the most important aspect of your business and ultimately the winner of the retail war. RISK INVOLVED IN RETAIL BUSINESS There are of course, considerable risks in retail banking. They are : (a) (b) (c) (d) (e) (f) (g) (h) Databases on credit history are large. Collection mechanisms are poor. Investments in technology are large. Operating efficiency level needs to be very high. Unlike corporate banking, retail banking involves a large number of small accounts. Demands on processing capabilities are higher. Retail segment is not something you can get into overnight. The right systems and the right architecture needs to be put in place first.

Capital required for a business can be classified under two main categories via, 1) 2)

Fixed Capital Working Capital

Every business needs funds for two purposes for its establishment and to carry out its dayto-day operations. Long terms funds are required to create production facilities through purchase of fixed assets such as p&m, land, building, furniture, etc. Investments in these assets represent that part of firms capital which is blocked on permanent or fixed basis and is called fixed capital. Funds are also needed for short-term purposes for the purchase of raw material, payment of wages and other day to- day expenses etc. These funds are known as working capital. In simple words, working capital refers to that part of the firms capital which is required for financing short- term or current assets such as cash, marketable securities, debtors & inventories. Funds, thus, invested in current assts keep revolving fast and are being constantly converted in to cash and this cash flows out again in exchange for other current assets. Hence, it is also known as revolving or circulating capital or short term capital. CONCEPT OF WORKING CAPITAL There are two concepts of working capital: 1. 2.

Gross working capital Net working capital

The gross working capital is the capital invested in the total current assets of the enterprises current assets are those

Assets which can convert in to cash within a short period normally one accounting year. CONSTITUENTS OF CURRENT ASSETS 1) 2) 3) 4) 5)

Cash in hand and cash at bank Bills receivables Sundry debtors Short term loans and advances. Inventories of stock as:
a. b. c. d.

Raw material Work in process Stores and spares Finished goods

6. Temporary investment of surplus funds. 7. Prepaid expenses 8. Accrued incomes. 9. Marketable securities.

In a narrow sense, the term working capital refers to the net working. Net working capital is the excess of current assets over current liability, or, say:

NET

WORKING

CAPITAL

CURRENT

ASSETS

CURRENT

LIABILITIES. Net working capital can be positive or negative. When the current assets exceeds the current liabilities are more than the current assets. Current liabilities are those liabilities, which are intended to be paid in the ordinary course of business within a short period of normally one accounting year out of the current assts or the income business. CONSTITUENTS OF CURRENT LIABILITIES 1. 2. 3. 4. 5. 6. 7.

Accrued or outstanding expenses. Short term loans, advances and deposits. Dividends payable. Bank overdraft. Provision for taxation , if it does not amt. to app. Of profit. Bills payable. Sundry creditors.

The gross working capital concept is financial or going concern concept whereas net working capital is an accounting concept of working capital. Both the concepts have their own merits. The gross concept is sometimes preferred to the concept of working capital for the following reasons: 1.

It enables the enterprise to provide correct amount of working capital at correct time.

2.

Every management is more interested in total current assets with which it has to operate then the source from where it is made available.

3.

It take into consideration of the fact every increase in the funds of the enterprise would increase its working capital.

4.

This concept is also useful in determining the rate of return on investments in working capital. The net working capital concept, however, is also important for following reasons:
It is qualitative concept, which indicates the firms ability to meet to its operating expenses and short-term liabilities. IT indicates the margin of protection available to the short term creditors. It is an indicator of the financial soundness of enterprises. It suggests the need of financing a part of working capital requirement out of the permanent sources of funds.

CLASSIFICATION OF WORKING CAPITAL Working capital may be classified in to ways: o o On the basis of concept. On the basis of time.

On the basis of concept working capital can be classified as gross working capital and net working capital. On the basis of time, working capital may be classified as: Permanent or fixed working capital. Temporary or variable working capital

PERMANENT OR FIXED WORKING CAPITAL Permanent or fixed working capital is minimum amount which is required to ensure effective utilization of fixed facilities and for maintaining the circulation of current assets. Every firm has to maintain a minimum level of raw material, work- in-process, finished goods and cash balance. This minimum level of current assts is called permanent or fixed working capital as this part of working is permanently blocked in current assets. As the business grow the requirements of working capital also increases due to increase in current assets. TEMPORARY OR VARIABLE WORKING CAPITAL Temporary or variable working capital is the amount of working capital which is required to meet the seasonal demands and some special exigencies. Variable working capital can further be classified as seasonal working capital and special working capital. The capital required to meet the seasonal need of the enterprise is called seasonal working capital. Special working capital is

that part of working capital which is required to meet special exigencies such as launching of extensive marketing for conducting research, etc. Temporary working capital differs from permanent working capital in the sense that is required for short periods and cannot be permanently employed gainfully in the business.

IMPORTANCE OR ADVANTAGE OF ADEQUATE WORKING CAPITAL SOLVENCY OF THE BUSINESS: Adequate working capital helps in maintaining the solvency of the business by providing uninterrupted of production. Goodwill: Sufficient amount of working capital enables a firm to make prompt payments and makes and maintain the goodwill. Easy loans: Adequate working capital leads to high solvency and credit standing can arrange loans from banks and other on easy and favorable terms. Cash Discounts: Adequate working capital also enables a concern to avail cash discounts on the purchases and hence reduces cost. Regular Supply of Raw Material: Sufficient working capital ensures regular supply of raw material and continuous production. Regular Payment Of Salaries, Wages And Other Day TO Day Commitments: It leads to the satisfaction of the employees and raises the morale of its employees, increases their efficiency, reduces wastage and costs and enhances production and profits.

Exploitation Of Favorable Market Conditions: If a firm is having adequate working capital then it can exploit the favorable market conditions such as purchasing its requirements in bulk when the prices are lower and holdings its inventories for higher prices.

Ability To Face Crises: A concern can face the situation during the depression.

Quick And Regular Return On Investments: Sufficient working capital enables a concern to pay quick and regular of dividends to its investors and gains confidence of the investors and can raise more funds in future.

High Morale: Adequate working capital brings an environment of securities, confidence, high morale which results in overall efficiency in a business.

EXCESS OR INADEQUATE WORKING CAPITAL Every business concern should have adequate amount of working capital to run its business operations. It should have neither redundant or excess working capital nor inadequate nor shortages of working capital. Both excess as well as short working capital positions are bad for any business. However, it is the inadequate working capital which is more dangerous from the point of view of the firm. DISADVANTAGES OF REDUNDANT OR EXCESSIVE WORKING CAPITAL 1.

Excessive working capital means ideal funds which earn no profit for the firm and business cannot earn the required rate of return on its investments.

2.

Redundant working capital leads to unnecessary purchasing and accumulation of inventories.

3.

Excessive working capital implies excessive debtors and defective credit policy which causes higher incidence of bad debts.

4. 5.

It may reduce the overall efficiency of the business. If a firm is having excessive working capital then the relations with banks and other financial institution may not be maintained.

6.

Due to lower rate of return n investments, the values of shares may also fall.

7.

The redundant working capital gives rise to speculative transactions

DISADVANTAGES OF INADEQUATE WORKING CAPITAL Every business needs some amounts of working capital. The need for working capital arises due to the time gap between production and realization of cash from sales. There is an operating cycle involved in sales and realization of cash. There are time gaps in purchase of raw material and production; production and sales; and realization of cash. Thus working capital is needed for the following purposes: For the purpose of raw material, components and spares. To pay wages and salaries To incur day-to-day expenses and overload costs such as office expenses. To meet the selling costs as packing, advertising, etc.

To provide credit facilities to the customer. To maintain the inventories of the raw material, work-in-progress, stores and spares and finished stock.

For studying the need of working capital in a business, one has to study the business under varying circumstances such as a new concern requires a lot of funds to meet its initial requirements such as promotion and formation etc. These expenses are called preliminary expenses and are capitalized. The amount needed for working capital depends upon the size of the company and ambitions of its promoters. Greater the size of the business unit, generally larger will be the requirements of the working capital. The requirement of the working capital goes on increasing with the growth and expensing of the business till it gains maturity. At maturity the amount of working capital required is called normal working capital. There are others factors also influence the need of working capital in a business. FACTORS DETERMINING THE WORKING CAPITAL

REQUIREMENTS 1.

NATURE OF BUSINESS:

The requirements of working is

very limited in public utility undertakings such as electricity, water supply and railways because they offer cash sale only and supply services not products, and no funds are tied up in inventories and receivables. On the other hand the trading and financial firms requires less investment in fixed assets but have to invest large amt. of working capital along with fixed investments. 2.

SIZE OF THE BUSINESS:

greater is the requirement of working capital.

Greater the size of the business,

3.

PRODUCTION POLICY:

If the policy is to keep production

steady by accumulating inventories it will require higher working capital. 4.

LENTH OF PRDUCTION CYCLE:

The longer the

manufacturing time the raw material and other supplies have to be carried for a longer in the process with progressive increment of labor and service costs before the final product is obtained. So working capital is directly proportional to the length of the manufacturing process. 5.

SEASONALS VARIATIONS:

Generally, during the busy

season, a firm requires larger working capital than in slack season. 6.

WORKING CAPITAL CYCLE:

The speed with which the

working cycle completes one cycle determines the requirements of working capital. Longer the cycle larger is the requirement of working capital.

DEBTORS CASH FINISHED GOODS

RAW MATERIAL

WORK IN PROGRESS

7.

RATE OF STOCK TURNOVER: There is an inverse co-relationship between the question of working capital and the velocity or speed with which the sales are affected. A firm having a high rate of stock turnover wuill needs

lower amt. of working capital as compared to a firm having a low rate of turnover. 8. CREDIT POLICY: A concern that purchases its requirements on credit and sales its product / services on cash requires lesser amt. of working capital and vice-versa. 9. BUSINESS CYCLE: In period of boom, when the business is prosperous, there is need for larger amt. of working capital due to rise in sales, rise in prices, optimistic expansion of business, etc. On the contrary in time of depression, the business contracts, sales decline, difficulties are faced in collection from debtor and the firm may have a large amt. of working capital. 10. RATE OF GROWTH OF BUSINESS: In faster growing concern, we shall require large amt. of working capital. 11. EARNING CAPACITY AND DIVIDEND POLICY: Some firms have more earning capacity than other due to quality of their products, monopoly conditions, etc. Such firms may generate cash profits from operations and contribute to their working capital. The dividend policy also affects the requirement of working capital. A firm maintaining a steady high rate of cash dividend irrespective of its profits needs working capital than the firm that retains larger part of its profits and does not pay so high rate of cash dividend. 12. PRICE LEVEL CHANGES: Changes in the price level also affect the working capital requirements. Generally rise in prices leads to increase in working capital. Others FACTORS: These are: Operating efficiency.

Management ability. Irregularities of supply. Import policy. Asset structure. Importance of labor. Banking facilities, etc.

MANAGEMENT OF WORKING CAPITAL Management of working capital is concerned with the problem that arises in attempting to manage the current assets, current liabilities. The basic goal of working capital management is to manage the current assets and current liabilities of a firm in such a way that a satisfactory level of working capital is maintained, i.e. it is neither adequate nor excessive as both the situations are bad for any firm. There should be no shortage of funds and also no working capital should be ideal. WORKING CAPITAL MANAGEMENT POLICES of a firm has a great on its probability, liquidity and structural health of the organization. So working capital management is three dimensional in nature as 1.

It concerned with the formulation of policies with regard to profitability, liquidity and risk.

2.

It is concerned with the decision about the composition and level of current assets.

3.

It is concerned with the decision about the composition and level of current liabilities.

WORKING CAPITAL ANALYSIS As we know working capital is t

Credit-card based electronic payment systems : Consumers Awareness and Perception about Credit Card :- To avoid the complexity associated with digital cash and electronic checks, consumers and vendors are also looking at credit card payment on the Internet as one possible time-tested alternative. There is nothing new in the basic process. If consumers want to purchase a product or service, they simply send their credit card details to the service provider involved and the credit card organization will handle this payment like any other.

Table of contents Page No. 1. Introduction 1.1 Significance of the Study 1.2 Review of Literature 1.3 Conceptualization 1-15

1.4 Focus of Study 1.5 Objectives of Study 1.6 Limitations of the Study 1.7 Chapterization 2. Research Methodology 2.1 Universe and Survey Population 2.2 Profile of PNB 2.3 Research Design 2.4 Sample Size and Techniques 2.5 Analysis Pattern 2.6 Applied Statistical Tools 3. Micro Analysis 21-46 16-20

3.1 Analysis of Consumers Awareness about Credit Card 4. Macro Analysis (Inferences & Interpretation) 5. (A) Summary of Major Observations 47-48 49-55

5.1 Marketing Practices Adopted by Banker about Credit Card. 5.2 Emerging Trends in Modern Banking Sector 5.3 Deficiences (B) Suggestions and Recommendations 6. Appendices 6.1 Questionnaires 6.2 Bibliography 56 57-62

6.3 Annexures

Project Description :
Category : Project Report for MBA Title : Consumers Awareness and Perception about Credit Card (PNB-Delhi) Pages : 65 This project is our paid category, its cost is Rs. 2499/- only without Synopsis and Rs. 2999/- only with synopsis. If you need this project, mail us at this id : qweryallprojectreports@gmail.com or phone/sms at +91-9468269340 We will send you a hardcopy with hard binding and a softcopy in CD from courier.

Main Points : Project Report on credit schemes of State Bank of India [SBI] and other Banks. Project Report on Banking System, Introduction of Banking, Commercial Banks, Banking in India, Banking environment in india, India Banking, SBI Bank, SBI Banking, SBI Card, Business Card, SBI Credit Card, Loan Scheme, Loan Repayment, Interest Rate of Banks, Security, ATM of State Bank of India, Use of ATM Card, SBI Regulations

Project Report "Banking System" in India Introduction of Banking

Banking regulation Act, 1949, defines banking as accepting for the purpose of lending or investment, of deposits of money from the public, repayable on demands or otherwise and with draw able on demand by cheques, draft or order otherwise.

Functions of Commercial Banks :

1. To change cash for bank deposits and bank deposits for cash. 2. To transfer bank deposits between individuals and or companies. 3. To exchange deposits for bills of exchange, govt. bonds, the secured and unsecured promises of trade and industrial units. 4. To underwrite capital issues. They are also allowed to invest 5% of their incremental deposit liabilities in shares and debentures in the primary and secondary markets. 5. The lending or advancing of money either upon securities or without securities. 6. The borrowing, raising or taking of money. 7. The collecting and transmitting of money and securities. 8. The buying and selling of foreign exchange including foreign bank notes.

Banking scene in India

The banking sector in India is passing through a period of structural change under the combined impact of financial sector reforms, internal competition, changes in regulations, new technology, global competitive pressure and fast evolving strategic objectives of banks and their existing and potential competitors. Until the last decade, banks were regarded largely as institutions rather akin to public utilities. The market for banking services were oligopolies and Centralized while the market place was regulated and banks were expected to receive assured spreads over their cost of funds. This phenomenon, which was caricatured as 36-3 banking in the united states, meaning that banks accepted deposits at 3%, lent at 6%, and went home at 3 p.m. to play golf, was the result of the sheltered markets and administrated prices for banking products. Existence of entry barriers for new banks meant that competition was restricted to existing players, who often operated as a cartel, even in areas where the freedom to price their products existed. The market place began to change for banks in India as a result of reforms of the financial sectors initiated in the current decade. On account of policy measures introduce to infuse greater competitive vitality in the system, the banking has entered in to a competitive phase. Competition has emerged not only from within the banking system but also from non-banking institutions. Lowering of entry barriers, deregulation of interest rates and growing sophistication of customers have made banking far less oligopolistic today. Introduction of capital adequacy and other prudential norms, freedom granted to enter into new turfs and greater overlap of functions between banks and non-banks have forced banks to get out of their cozy little world and think of the future of the banking.

Emerging Environment of Banking in India

Full convertibility of rupee leading to free mobility of capital, which will mean virtual collapse of the national borders for trade and capital flows.

Greater coordination between monetary, fiscal and exchanged rate policies for achieving the goals of faster and sustainable economic growth, macro-economic stability and export promotion. Close integration of various financial markets such as money market, capital market and forex market. Removal of lowering of existing barriers of competitiveness, which are present today in the form of quantitative instructions on certain imports protective custom duties, reservation of certain utilities for the public sector. Growing privatization and commercialization infrastructure sector. Today, Banks customers are better informed, more sophisticated and discerning. They also have a wide choice to choose from various banks and non-bank intermediaries. Their expectations are soaring. This is particularly true for banks corporate clientele but also applies to customers from personal segment. This is changing profile of customers call for a shift from product-based approach to customers-based approach. A bank aiming at maximizing customer value must, of necessity, plan for customized products. A combination of marketing skills and state-of-the-art technology should enable to bank in maximizing its profits through customer satisfaction. In the next millennium banks will have to be more and more cautions about customer service, profitability, increased productivity, to keep face with changing banking scenario. As banks in India prepare themselves for the millenium these are the shifts in the paradigm they are likely to experience. The 21st century may see the dawn of DARWINIAN BANKING. Only the banks could fulfill the demands of markets and changing items would survive and prosper. A word about SBI card SBI Segment : Small business credit card (SBI credit card) Preamble : Small business units, retail traders, artisans, village industries, small-scale industrial units and tiny units, professionals and self employed persons etc., contribute significantly to the growth of our economy. The entrepreneur himself manages many of the units. Very often, these entrepreneurs complain of procedural delay in sanctions and renewal of limits. They also find it difficult to cope with the demands for audited balance sheet and other statements sought by the bank from time to time for availing credit facilities. With a view to providing hassle free financial supports to the above categories of entrepreneurs who have shown commitment to run the unit successfully and who are dealing with the banks for last two years satisfactorily, new and friendly credit product namely small business credit card scheme is designed. Under the scheme, cumbersome procedural aspects relating to reviews and renewals, submission of balance sheet, stock statements and other statements are done with credit delivery made simple and easy.

Purpose : To meet the credit requirements of small business units, industrial unit, retail trader, artisan, Small Scale Industry (SSI) and tiny units. Eligibility : A. Customers of the following segments with a satisfactory track record for the last two years enjoying credit facilities.

Small industrial units (SSI and tiny units including artisans) Small retail traders (Under SBF) Professional and self employed persons Small business enterprise

B. Units who do not enjoy credit limit with us/other banks at present with excellent performance and credential may be considered. Quantum of loan : Loan up to Rs. 5 Lakh can be sanctioned to eligible persons. Assessment : The small business credit card limit can be fixed as follows :

For small business, retail trader etc. 20% of the annual turnover declared for tax purpose or last twelve months turnover in the operative accounts, whichever is higher.

In respect of parties with good track record, where sales tax returns are not available, the credit limits may be decided taking into consideration the actual turnover in the accounts during the last two years.

For professionals and self employed persons, 50% of their gross annual income as per IT return shall be considered as the limit for issuing the SBI credit card. For small scale industrial units, tiny sector units the assessment norms in vogue as per the Nayak Committee recommendations would continue.

Validity :

Credit card limit will be valid for a period of three years, subject to satisfactory conduct of the accounts. Annual review will be done based on conduct/operations of the A/cs. A major portion of the sales turnover should have been routed through the accounts as revealed by the credit summations.

Repayment :

The working capital advance may be continued subject to that review every year provided the credit summations in the account is not less than 50% of the projected sales turnover. If the credit summations is less than 50% of projected sales turnover. The outstanding as on the due date of review should be made repayable in suitable monthly installments. The term loan is repayable in suitable installments with in a maximum period of five years. In case of composite loans, only the term loan is repayable in installments up to a maximum period of five years.

Interest rate : As per extent instructions issued from time to time relating the market segment. Refinance : No refinance is to be claim from SIDBI Security : Primary : Hypothecation of the stock in trade receivables, machinery, office equipment. Collateral : Under SSI-No collateral security as per existing guidelines of RBI. User SBF :

Up to Rs. 25000/- No collateral security. Over Rs. 25000/- charge over movable/immovable property or third party granted.

However, in case of the excellent track record, sanctioning authority may waive collateral requirement. Margins : Up to Rs. 25000/- - NIL Rs. 25001/- to Rs. 5,00,000/- - 20% Documentation : Documents as per extant instructions.

Credit Card - A Convenient Banking Product : The credit card is a hassle free convenient banking product aimed at simplifying the credit delivery mechanism. Cumbersome procedural aspects relating to reviews and renewals, submission of stock statement, balance sheet and other statements are done away with. The credit limit will be worked as detail above. Small business credit card

Card No. Name Account No. Tel. No. Limit Rs. Date of issue Valid upto .. (Branch Code) Card holders Photograph with signature

Signature of the Brach Manager

The borrower would be issued a photo card indicating sanctioned limit and validity of the limit (sample card) Insurance :

Fixed assets/stock pledged/hypothecated to the bank be fully insured at least to the extent of the bank interests. Bank may waive insurance of assets for equipment against the fire and other risk up to Rs.25000/-

Cover under credit guarantee scheme : All eligible loan accounts sanctioned for small scale industries (other than services) would qualify for cover under CGTFSI scheme (presently the scheme has been introduce in five circles on pilot basis viz. New Delhi, Chandigarh, Lucknow, Patna & Hydrabad). Operation :

Small business credit card accounts should be maintained in a separate ledger. Cheque book should be issued and marked as small business credit card account. Pass book should be issued for mall business credit card holders. Stock statement waived. Submission of audited balance sheet waived. Borrower would be issued a small business credit card with photograph thereon. Cost of photograph to be borne by banks. IRAC norms would be applicable.

Brief opinion report should be recorded. Marked inquiries should be made and recorded in the opinion report and singed by the field officer/cash officer or officers not below that rank. Units within a radius of 5 kilometers may be covered intensively for the issue of credit card. This condition may be waived for such of those units already in the book of the branch.

Inspections :

Half-yearly inspection/monitoring to ensure the end user funds.

Sanction :

Required loan may be sanctioned with in a week after receipt of detailed information. Control return after sanction may be sent to next higher authority for approval .

Scoring Model :

Loan would be sanctioned up to Rs. 5,00,000/- based on the simplified scoring model as given in annexure- II. Those who are scoring less than 60% would not qualify for the loan.

Rationale :

New schemes for hassle free credit facilities to small borrower.

Automatic Teller Machine (ATM) An ATM (Automatic Teller Machine) card is useful to a card holder as it helps him to withdraw cash from banks even when they are closed. This can be done by inserting the card in the ATM installed at various banks locations. State Bank Cash Plus CARD

Signature Panel. Magnetic Stripe

Features of State Bank Cash Plus Card

State Bank Cash Plus Card having the 19 digit. Name of the card holders mention there on it. In case of State Bank Cash Plus Card, there is no expiry period but for the old card, the date after which your card needs to be renewed is the last day of the month indicated on your card. Signature panel on which you must sign as soon as youre your card. It identifies the card as your State Bank Card Plus Card.

The magnetic stripe, which contains encoded information. ATM card possess pincode which having the 4 digit.

Use of State Bank Cash Plus Card

We uses our State Bank Cash Plus Card for cash withdrawal from ATMs. We uses it for making the payments for purchase made at the merchant establishments.

Significance of the Study

This study entitled comparative study of various credit schemes of SBI V/s other banks will be helpful for bankers to maintain customers service policy, for customers while deciding their financing needs and also helpful for other researchers for further research in the future. SBI card provides customers with an option, in addition to the existing banking credit facilities available. With an SBI card customers can enjoy hassle-free credit facilities. This study would help us to know about the problems that are faced by the consumers during transactions. It would also reveal the problems that are being faced by the bank employees while dealing with customers and would also highlight the future prospect of SBI card.

Review of Existing Literature :

It is very essential to know whether the study has already been conducted before. If so, how and to what extent ? And because of this scholar has to go through all the existing literature related to the study. SBI Card, very limited studies have been conducted on the subject. Due to the time restrictions scholar could seek advice from only the limited literature, which is available with the bank. As the concept is completely under the control of various banks and RBI. So the information is directly taken from these sources.

Conceptualization
As the concept includes two terms i.e. cash credit or working capital loans and terms loans. Therefore both the terms are taken into consideration in the proposed study. Due to the privatization of banking sector many big private players entered in this sector giving a tough competition to the existing players. So, to face this stiff competition all the public sector banks have to review their functioning. These aspects will be given importance in this project report. The concept of SBI card, question crops in mind what is a SBI card, What is its shape and size, what is its function. A SBI card is nothing but a identity card containing card holders photographs with signature, card no. Name, A/c No. limit, validity period, branch code with signature of Branch Manager

Standard Chartered Bank in India

The Chartered Bank opened its first overseas branch in India, at Kolkata, on 12 April 1858. Eight years later the Kolkata agent described the Bank's credit locally as splendid and its business as flourishing, particularly the substantial turnover in rice bills with the leading Arab firms. When the Chartered Bank first established itself in India, Kolkata was the most important commercial city, and was the centre of the jute and indigo trades. With the growth of the cotton trade and the opening of the Suez Canal in 1869, Bombay took over from Kolkata as India's main trade centre. Today the Bank's branches and sub-branches in India are directed and administered from Mumbai (Bombay) with Kolkata remaining an important trading and banking centre.

The Aim of Marketing

The aim of marketing is meet & satisfy target customers' needs and wants. Different definitions on marketing has been given by different authors. Such as according to Philip Kotler "Marketing is human activity directed at satisfying needs and wants through exchange processes." In the U.K., a very similar definition was given by the charted Institute of Marketing. "Marketing is the management process responsible for identifying, anticipating and satisfying customer requirements profitably."

Project Report Contents

1. Preface 2. Introduction to Standard Chartered 3. Introduction to Project 4. Scope of the Project 5. Concept of Marketing 6. Objectives of the Study 7. Research Methodology 8. Findings and Analysis 9. Conclusions 10. Suggestions & Recommendations 11. Questionnaire 12. Bibliography.

Project Description :
Title : Factors influencing the Customers towards Banking Services with Special Reference to Standard Chartered Bank, New Delhi. Category : Project Report for MBA Pages : 62 This project is our paid category, its cost is Rs. 2499/- only without Synopsis and Rs. 2999/- only with synopsis. If you need this project, mail us at this id : qweryallprojectreports@gmail.com or phone/sms at +91-9468269340 We will send you a hardcopy with hard binding and a softcopy in CD from courier.

Project Report on Primary Market, Primary Market Issues, Investors Attitude towards Primary Market

Introduction
The past twenty five years have witnessed a process of accelerating change in the worlds financial markets. Driven by an interacting process of liberalization and innovation, regulations have been removed, New product have emerged and old boundaries between financial intermediaries have been blurred. At the same time, growth of capital markets have posed new challenges to economic and financial stability.

Indian Capital Market Role in Investment

The role of Indian capital market which is to provide long term resources required by industries for investment has observed buoyancy in share market with the liberalization of industries and fiscal policies of the government. Finance, the lie blood of industry is mobilized especially through New Issue Market or Primary Market.

Primary Market Meaning :

Primary Market or New Issues Market is that part of capital market where dealing exchanges takes the boundaries de-marketing the financial services are fast eroding. Thanks to the innovations in the financial services, the movement towards made by existing companies are known as further issues.

Project Report Contents

Introduction to Primary Market * Problems of the Primary Market * Developments in Primary Market

Objectives Research Methodology Data Analysis Suggestions Conclusions Limitations Recommendations Bibliography Questionnaire

Project Description :
Title : Investors Attitude towards Primary Market Category : Project Report for MBA Pages : 70 This project is our paid category, its cost is Rs. 2499/- only without Synopsis and Rs. 2999/- only with synopsis. If you need this project, mail us at this id : qweryallprojectreports@gmail.com or phone/sms at +91-9468269340 We will send you a hardcopy with hard binding and a softcopy in CD from courier.

Project Report - Cost of capital

The concept of "cost of capital" is very important in financial management. It is weighted average cost of various sources of finance used by a firm may be in form of debentures, preference share capital, retained earning and equity share capital. A decision to invest in a particular project depend upon the cost of capital of the firm or the cut off rate which is minimum rate of return expected by the investors. When a firm is not able to achieve cut off rate, the market value of share will fall. In fact, cost of capital is minimum rate of return expected by its investors. Every firm have different types of goals or objectives such as profit maximization, cost minimization, wealth maximization and maximum market share. If a firm have main objective is wealth maximization then that firm earn a rate of return more than its cost of capital.

Contents
Profile of Industry Objectives of Study Scope of Study Research methodology Introduction of Project Report Introduction to Cost of Capital Significance of Cost of Capital Problem in Determination of Cost of Capital Computation of Cost of Capital Cost of Debt. Capital Cost of Debt. (Before Tax) Cost of Debt. (After Tax)

 Cost of Redeemable Debt. Cost of Debt which Redeemable in Installments. Cost of Equity Share Capital Cost of Preference Share Capital Cost of Retained Earning Findings & Analysis Conclusion & suggestions Limitations of Study Bibliography

Project Description :
Title : Project Report Cost of Capital of Grasim Industries Ltd. Category : Project Report for MBA Pages : 73 This project is our paid category, its cost is Rs. 2499/- only without Synopsis and Rs. 2999/- only with synopsis. If you need this project, mail us at this id : qweryallprojectreports@gmail.com or phone/sms at +91-9468269340 We will send you a hardcopy with hard binding

Project Report on Customer Satisfaction- A Comparative Study between private & Nationalised Banks
Customer Satisfaction & Indian Banking System "The success of the economic reforms is therefore all to see and the driving force of these reforms is the banking sector". P. Chidam Baram

Former Union Finance Minister P. Chidambaram strongly believes that the country's banking of economic reforms. Banking system occupies an important place a nation's economy. A banking institution is indispensable in a modern society. In plays a pivotal role in the economic development of a country. Thus, economic development of a country depends upon success of banking industry and success of banking Industry is determined to a large extent by now well then needs of its customers have been understood and satisfied. sector has been one of the driving forces in the process

PUBLIC SECTOR BANKS

Public Sector Banks dominate
Project Report on Factor Influencing Banking

commercial banking India. These can be further classified into: (i) (ii) (iii) State Bank of India. Nationalized banks Regional Rural Banks

Service of Standard Chartered Bank Project Report on Banking Services in Retail

NATIONALIZED BANKS
It July 1969, 14 banks with a deposit base of Rs. 50 crores or more were nationalized. Again in 1980. Six more private banks were nationalized, bringing up the number to twenty. These banks were: 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. Bank of Baroda. Punjab National Bank. Bank of India. Canara Bank Central Bank of India. Indian Bank. Indian Overseas Bank Syndicate Bank. UCO Bank. Allahabad Bank. United Bank of India.

12. 13. 14. 15. 16. 17. 18.

19.

Oriental Bank of Commerrce Corporation Bank. Vijaya Bank. Dena Bank. Bank of Maharashtra. Andhra Bank Punjab & Sind Bank.
New Bank of India.

CONTENTS 1)

Introduction
Indian Banking System Something about customer Concept of satisfaction Different types of Banker-Customer Relationships 2) 3) 4) 5) Review of Literature Research Methodology Data Analysis & Interpretation Conclusions & Suggestions Questionnaire

Bibliography

Project Description :
Title : Project

Report on Customer Satisfaction- A Comparative Study between private & Nationalised Banks
Category : Project Report for MBA Pages : 73 This project is our paid category, its cost is Rs. 2499/- only without Synopsis and Rs. 2999/- only. If you need this project, mail us at this id : qweryallprojectreports@gmail.com or phone/sms at +91-9468269340 We will send you a hardcopy with hard binding and a softcopy in CD from courier.

FINANCIAL ANALYSIS of GRASIM INDUSTRIES Financial Analysis is to classify the data in simple form given in financial statements and to compare with each other to find out the strong points and weakness of the business and to take decisions for future. For instance, if all items relating to current assets are placed in one group while all items relating to current liabilities are placed in another group, the comparison between the two groups will provide useful information. Actually the figures given in financial statements do not

speak anything themselves. The analysis of these figures helps the interested reader by giving tongue to these mute heaps of figures. In the words of Finney and Miller: Financial analysis consists in separating facts according to some definite plan, arranging them in groups according to certain circumstances and then presenting them in a convenient and easily read and understandable form. In the words of John N. Myres: Financial statement analysis is largely a study of relationships among the various financial factors in a business, as disclosed by a single set of statements and a study of the trends of these factors as shown in a series of statements. OBJECTS OR PURPOSE OF FINANCIAL ANALYSIS The purpose of financial analysis depends on the needs of the person who is analyzing these statements. These varying needs may be : (i) (ii) (iii) (iv) (v) (vi) To know the Earning Capacity or Profitability. To know the Solvency. To know the Financial Strength. To make comparative study with other firms. To know the capability of payment of interest and dividend. To know the trend of the business.

(vii) To know the efficiency of management. (viii) To provide useful information's to the Management.

Contents
Title 1. Preface & Acknowledgement 2. Financial Analysis - Theory 3. Industry Profile Grasim Industries Ltd. 3. Objectives, Scope & Design of the Study 4. Ratio Analysis 5. Working Capital Analysis 6. Findings along with Suggestions 28 - 59 60 - 120 121 - 124 25 - 27 Page No. 01 - 02 03 - 07 08 - 24

Project Description :
Category : Project Report for MBA Title : FINANCIAL ANALYSIS of GRASIM INDUSTRIES Pages : 85 This project is our paid category, its cost is Rs. 2499/- only without Synopsis and Rs. 2999/- only with synopsis. If you need this project, mail us at this id : qweryallprojectreports@gmail.com or phone/sms at +91-9468269340 We will send you a hardcopy with hard binding and a softcopy in CD from courier.

"RATIO ANALYSIS ?" PROFIT MARGIN & ASSETS TURNOVER Profit Margin : Profit margin is the margin of profit on sales. It is the percent of sales revenue which remains after deducting expenses and other provision from it. The profit margin depends upon the operating cost and selling price of a company. Generally an increase in the sales volume is favourable to profit but not necessary.

A high profit margin on sales is not always a blessing unless it is related to reasonably large volume of sales. The fact is that a low-profit margin on sales is better compared to a higher-margin if the former is accompanied by a rapid turnover. Ultimately it is a return on profitability. Size of profit margin depends upon ability to control operating costs and suitable pricing policy of a company management. Profit margin is a measure of overall profitability. The more commonly used accounting forms of profit are gross profit in origin and net profit margin. Profit margin figures can be best evaluated by expressing them as % of net sales (sales minus sales return, discounts and return etc.) A company should be able to earn adequate profit on each rupee of sales, otherwise it would be difficult for it to cover its fixed costs and fixed charges on debt and to give a reasonable return to shareholders. 1. Gross Profit Margin :

It is the excess of selling price or sale proceeds over the cost of goods sold and it provides the balance for operating expenses, income tax and return on capital employed. It indicates the efficiency of operation and the price policy of the management. Gross profit ratio is an indication of the extent of average mark up on cost of goods. It is primarily test of efficiency of purchase and sales management. Deducting cost of goods sold from value of net sales has arrived at the Gross profit margin of the company. 2. Net Profit Margin :

Net profit margin establishes a relationship between Net Profit and sales. Net profit may be analyzed on two accounts, first net profit before tax and second net profit after tax. Net profit margin indicates the efficiency of management in administrating, manufacturing and selling products. It is overall measure of a company's ability to turn each rupee of sales into Net profit. Thus if the Net profit margin is inadequate the company will fail to achieve a satisfactory return on owner's equity. Net profit margin differ from the operating profit to sales ratio as it is computed after adding non-operating surplus.

3.

Operating Profit Margin :

Operating profit margin is the difference of Net sales and total operating cost. Operating profit margin varies with the disproportionate variation in sales revenue in comparison to costs and vice-versa. When costs remain the same, it is for the management to mark up or down as the case may be. On the contrary, price per unit remaining the same if the management succeeds in bringing about a down variation in all or same of the components of the cost structure the result will be an upward change in the margin of profit on sales. Thus Operating profit margin can be increased either by marking up prices or by reduction in the cost or partly by both. Thus :

4.

Depreciation :

In accounting terminology the word "depreciation" is used for the procedure used to allocate the cost of long term tangible assets to the accounting periods which comprise its useful life. All fixed-assets have a limited period of useful life except land. It is a process of allocation and not of valuation. It is a systematic procedure for allocating the cost of long lived assets over its useful life. It is important for determining the true profit to retained funds in business so that assets can be replaced at proper time for presenting a true balance sheet and as a tax shield. Under this head, we calculate two types of Ratio : a) b) (A) Depreciation to Gross Block Ratio. Depreciation to Net Sales Ratio.

Depreciation to Gross Block Ratio :

Here, Gross block means the total fixed assets of company before depreciation. This ratio is calculated as under :

(B)

Depreciation to Net Sales Ratio : This ratio may be calculated as follow :

5.

Power & Fuel Ratio :

Power & Fuel is an essential requirement, not only its adequate supply but continuous availability. Formula :

6.

Raw Material Consumed Ratio :

The modified raw is used in a broader sense, as this category includes all the materials used in production whether in a natural state or changed by previous processing. In other words, raw materials are the materials used in manufacturing process. These are two types of ratio relating to raw material : a) Ratio of Raw Material consumed to Net Sales. b) Ratio of Raw Material consumed to cost of goods sold. (A) Ratio of Raw Material consumed to Net Sales : This ratio may be calculated by the following formula :

(B)

Ratio of Raw Material consumed to cost of goods sold : This ratio can be calculated by the following formula :

7. Manufacturing, Administration & Selling Expenses to Sales : (A) Manufacturing Expenses :

In manufacturing a company's prices as well as its profit margin are determined to a large extent by its manufacturing expenses because in most industries manufacturing expenses are primary-factors in production. Manufacturing expenses include power and fuel, wages and salaries, bonus, gratuity, P.F. and other allowances, welfare expenses, store, spares and packing materials consumed, depreciation, excise, royalty and other duties, insurance, factory license fees, repairs & maintenance etc. Formula :

(B) Selling, Distribution & Administrative Expenses to Sales :

In an enterprise, besides cost of production, certain other expenses which indirectly contribute to production, have to be incurred. Selling, Distribution & Administration Expenses includes commission to selling agents, brokerage & discount, freight, handling & other expenses, Advertisements & Publicity, Insurance, Rent (including Lease Rent), Rent & Taxes, Stationery, Printing, postage & telephone expenses, traveling conveyance, legal & professional charges, bad & doubtful debts, research cont. donations, director's fees & com. Etc. 8. Operating Profit After Interest but Before Tax : Some companies have been playing corporation tax on the profits earned by them from year to year, whereas some other were exempt from it either because of losses or because of their profits being exempted from tax, but the case of cos. Paying pre-tax and post tax profits is different.

Project Name : Profitability Analysis : If you need this project, mail us at this id : bkm@allprojectreports.com or bhushanmehta245@yahoo.co.in or call at +919355998386.

PROJECT REPORT ON CONVERGENCE OF BANKING SECTOR TO HOUSING FINANCE

INTRODUCTION Earlier it was very difficult to take a loan from the financial institutions. Interest rates were high and a lot of documentation was there. But today when there are a large number of financial institutions in India, who are providing credit facility, it has become very easy to take a loan.
Terms and conditions are liberal i.e. low interest rates, less documentation etc. Interest rates are becoming globally competitive and declining continuously. Now a day just think of purchasing a car and car-financing companies will start knowing at your door and ringing your phone. Financial institutions have adopted liberal credit policies. They enquire less about end use of funds. Various types of loans are there and easily available at cheap rates. When we take the case of home loans, it is a very safe area of loans from the point of view of financial institutions. They are easier to increase their share in the home loan sector. So they are coming with the attractive schemes. Customers can have the benefit of liberal terms and conditions as well as tax benefits if they choose to take a home loan. So the use has gain attention. The increasing number of

Project Report on Credit Card & Debit Card Future of HDFC Bank Project Report on Loan Schemes of Banks Customer Awareness

home loans available today as strengthened the middle class individual to venture forth and fulfill his dreams. Today, the demands of the current social status necessitate that varied means are tapped into in order to achieve the ultimate goal-better living Home loan proposals are thus gaining popularity due to their easy-installments schemes, low interest rates and high returns on the standards of living. While a home loan generally includes financial for home extension, home improvement loans are well as loans for property medication; the terms are more commonly applied to finance schemes for purchasing houses. Home Loan Home loans are loans you have access to, depending on whether you want to buy or build a house and can also be used to repair or extend an existing house. Who can avail of these loans? According to lending institutions, any Indian resident who is over 21 years of age at the beginning of the loan and below 65at its maturity can avail of the loan. Salaried Employees as well as SelfEmployed citizens can apply. NRI Salaried and RBI Self Employed, under RBI guidelines, can approach only nationalized banks and other HDFC for loans. Why should one option for a loan to buy a house? Taking a loan seems like a good option when the money at hand is insufficient to buy the house of your dreams. Consider couples in their twenties and thirties. They enjoy a good income currently, buy their accumulated capital isnt enough to purchase a house. Whereas a home loan can give them access to capital their current earnings.

Also, if you take a 10 years old loan when you are thirty, you could repay it by the time youre forty. So you dont have to be burdened with the interest and are free to plan your retirement savings.

The Quantum of loan that one can avail of :

Loan sanctioned depend on your repayment capacity which is based on your current income and your future repayment capacity. You would include your spouses name to enhance the loan amount. The maximum loan can be sanctioned varies with each bank/institutions and ranges from Rs.10 lakhs to Rs. 1 crore.

Benefits of taking a home loan:

A home loan is very different from a personal loan like a car loan for instance. You can utilize a home loan for financing an asset that will hold its value and even appreciate over the period of the loan. Though its price could fluctuate in the short terms, Total Estate will show capital appreciation over the years. The value of your house generally while the loan remains constant. If you had opted to wait, save up and buy a house, it would, in the long run cost you much more; home loans also come with many tax benefits.

Tax benefits of taking a home loan:

The income tax authorities look with favor upon those servicing a housing loan from specified financial institutions. And, it is up to you to be wise enough to take advantage of this.

Section 24 of the Income Tax:

Interest on loan till Rs.1.5 lakhs per annum is exempted form income tax (under section 23/24(1) of th Income tax act). Section 88 of Income Tax Act:

You get a 20% rebate on repayment of principle during a financial year. Once again, over the years, the principle repayment eligible for rebate has been enhanced from Rs.10,000 to the current limit of Rs.20,000 Stamp duty, registration fee or transfer of such house property to the assesses is also considered under this amount. Financial Institutions, which give, home loans: Leading Banks Housing finance companies Financial implications of availing a loan, small or big. There are several expenses involved apart from repayment of the actual loan amount: 1. Processing fees- A processing fee (PF) is charges at the time of submission of the application form and covers expenses incurred for processing the application form. This fee has to be paid upfront by the customer in some cases, it is non-refundable. 2. 3. Administration fees- to meet operating expenses. Pre-EMI- A simple interest calculated on the disbursement amount in case of a plot under construction. 4. EMI- The EMI is an abbreviated form of the equated money installment and is simply referred to as monthly installment in common parlance. And, being a self-explanatory term that is exactly what it is. The amount you will have to pay you financier every month when repaying your loan. Being a monthly payment, at the end of the year, you would have paid 12 EMIs.

Types of loans available

Broadly two types- fixed rate and variable rate loans; while the former deals with a fixed rate of interest over the entire duration of the loan, the latter has the rate of interest changing according to the fluctuations in the market.

Loan that one can avail

Up to 85-90% of the total cost based primarily upon the individuals payback capacity. General conditions that govern a home loan: These are likely to vary with respect to the different types of housing loans: The maximum period of the loan is normally fixed by HFIs. However, HFIs do provide for different tenors with different terms and conditions. The Installment that you pay is normally restricted to amount 45% of your monthly gross income. You will be eligible for a loan amount, which is the lowest as per your eligibility. This is calculated on the basis of your gross income and payback capabilities. Some HFIs insist on guarantees from other individuals for due repayment of your loan. In such cases you have to arrange for the personal guarantee before the disbursement of your loan tasks place. Most HFIs have a panel of lawyers who go through your property documents to ensure that the documents are clear and are not misrepresented. This is an added benefit that you get when you avail of a loan from an HFI.

You repay the loan either through Deduction against Salary, Post dated cheques, and standing instructions or by Cash/DD.

Contents 1. Introduction 2. Objectives 3. Research Methodology 4. Home Loan Scheme of Various Bank SBI Home Loan PNB Home Loan BOB Home Loan HDFC Home Loan 5. Analysis & Finding 6. Limitations 7. Recommendations and Conclusion 8. Annexure :Questionnaire Bibliography Scheme Scheme Scheme Schemes

Project Description : Category : Project Report for MBA Title : STUDY OF CONVERGENCE OF BANKING SECTOR TO HOUSING FINANCE Pages : 70 This project is our paid category, its cost is Rs. 2499/- only without Synopsis and Rs. 2999/- only with synopsis. If you need this project, mail us at this id : qweryallprojectreports@gmail.com or phone/sms at +91-9468269340 We will send you a hardcopy with hard binding and a softcopy in CD from courier.

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Project Report Employees Emotional Quotient and Emotional Capital

Emotional Quotient and Emotional Capital
In todays life organizations are trying to become more human and positive to create and add value in their internal and external corporate personalities. So the importance of the combination of Mind and Heart has been increased. It helps the organization to attract and retain the customers. Emotional Quotient and Emotional Capital helps the organization to increase its brand value. Emotions are just like a fuel to fire the intelligence of the employee. So it becomes very significant to use the emotions in right manner with right person so it can be in the favour of employee as well as in favour of organization too.

Significance of the study

Emotional capital is the capital possessed by the employees in terms of emotions used by employees to add values to the organization to make it more human and positive. It describes the emotional attachment of the employees while taking the decision by using their knowledge with combination of heart. It also specifies dynamic and deadly business emotions of the employee. Emotional quotient describes the command over the emotions while dealing with the various persons in the business like customer, shareholders, suppliers etc. It can be used as a tool to deal with various parties involved in the business.

Review of literature
In India no such literature is available on the topic. But many foreign writers have presented their valuable views on this topic. In the existing magazines and in some journals there are some articles available for the value addition. This existing literature is helpful for the project. It is helpful for up gradation of knowledge up to a valuable extent.

Focus of problem
In the continuous changing scenario perception of the consumers are also changing. Organizations are focusing to enhance their corporate identity, brand image. Inter and intra relations can be improved through combining Emotional Quotient and Emotional Capital with IQ and IC. Concept behind Emotional Quotient and Emotional Capital is to raise the productivity of overall organization by changing the human nature. It emphasizes on the positive human nature.

To study emotional quotient and emotional capital

Questionnaire
Name : _________________________________________

Designation :___________________________________________ Department : __________________________________________

1. I stay relaxed and composed under pressure.

1.

2.

3.

4.

5.

2. I can identify negative feelings without becoming distressed.

1.

2.

3.

4.

5.

3. I stay focused in getting a job done.

1.

2.

3.

4.

5.

4. I freely admit to making mistakes.

1.

2.

3.

4.

5.

5. I am sensitive to other people's emotions and moods.

1.

2.

3.

4.

5.

6. I can receive feedback or criticism without becoming defensive. 1.

2.

3.

4.

5.

7. I calm myself quickly when I get angry or upset.

1.

2.

3.

4.

5.

8. I communicate my needs and feelings honestly. 1.

2.

3.

4.

5.

9. I can pull myself together quickly after a setback. 1. 10.

2.

3.

4.

5.

I am aware of how my behavior impacts others. 1.

2.

3.

4.

5.

11. I pay attention & listen without jumping to conclusions. 1. 12.

2.

3.

4.

5.

I take regular time out to reflect on my core purpose and vision for how I want to live my life. 1.

2.

3.

4.

5.

Project Description :
Title : Project Report Employees Emotional Quotient and Emotional Capital Category : Project Report for MBA Description : Project Report Employees Emotional Quotient and Emotional Capital, Employees Survey, Training Report on Employees Pages : 64

This project is our paid category, its cost is Rs. 2499/- only. If you need this project, mail us at this id : qweryallprojectreports@gmail.com or phone/sms at +919468269340 We will send you a hardcopy with hard binding and a softcopy in CD from courier.

Project Report on Mutual Funds

Mutual Fund Awareness Among Peoples
Liberalization and globalization, along with the expanded distribution of the wealth among the middle class has evoked an interest of the common man into the intricacies of capital market. Capital Market, once perceived to be a market of only for the elite and speculators, but now also attracted the attention of the common man. The stockbrokers were always influential and affluent, but a lot of transformation has taken place in his image from pawnbrokers to a man of financial acumen. The common man has now started learning the vocabulary of the capital market with terms like bull and bear explored upon in newest dimensions. But the turbulence of the stock market has made the common investor apprehensive that is why the common investor has remained away from the industrial securities markets. Mutual Funds Act as a financial intermediary between the common investors and the capital market. While on one hand they ensures a smooth returns on the investment of the investor and on the other hand they give them a much-desired security. This project is all about the mutual funds awareness, what is the current market position of mutual funds & more or less about the industry growth in future. This project is about the no. of interesting facts such as a very low awareness level regarding Mutual fund amongst the people and so on. This project helped me to know the differ facts as mutual funds industry is highly competitive & no. of schemes launched by differ players of the

industry. Differ schemes have differ advantages for investors as some of the schemes are tax saving, some provides capital gain & some covers the future span of the investors. It was interesting to know the capital market has been growing over the years in India. I feel that same growth will continue in long run with the higher rate.

Objectives of the Project - Mutual Funds

The main objective of this project report is to know about different mutual funds and the market position of different mutual funds.

To find the awareness among the investor about the Mutual Fund. To find out the market position of differ mutual funds. To study the scope of mutual funds industry in the future.

Usefulness of the Study This study provides Future of Mutual Funds industry information as well as awareness level amongst people for Mutual Funds. The first part of the study gives an outlook to management as to how the mutual funds are performing in the current market situation as a result what may be the future of this industry. Other two parts suggest the management that how many persons are aware of the mutual funds & what type of mutual funds & other investment channel they prefer in current Mkt. situation. This study also is very informative the students who want to understand and undertake assignments in the industry. This study also facilitates the general people who can understand the importance and explore the new option for investment.

Project Description :
Title : Project Report on Mutual Funds Category : Project Report for MBA Description : Project Report on Mutual Funds, Mutual Fund Awareness Among Peoples, Mutual Funds Industry, Market Position of differ Mutual Funds, Scope of Mutual Funds Industry in Future Pages : 75

This project is our paid category, its cost is Rs. 2499/- only. If you need this project, mail us at this id : qweryallprojectreports@gmail.com or phone/sms at +919468269340 We will send you a hardcopy with hard binding and a softcopy in CD from courier.

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Profitability Analysis An empirical approach has become very popular during the recent years. The reason for the growing popularity of the subject is that it primarily concerns with the concept and techniques of the analysis of profitability which can be advantage only used by managers, creditors, owners.

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Analytical and critical assessment of the various aspects of financial principles helps judicious application of assets and enables to take right decision at right time. A About Us comprehensive idea is gained to run day to day business in proper perspective. The significance of production/operation, marketing, finance and personnel management is being increasingly realized in modern-corporate world both in India and abroad. This realization has come into light because of increasing complexities of the task of managers and administrators. These branches of management help the managers to reach the objectives of an organization. A study of these management activities enables the people, engaged in either small size unit or a large core industry, to understand their objectives and the way how to achieve them successfully. Profit & Profitability 1. Concepts of Profit :

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Profit plays an important role in every business organization and its determination is really a tough one. Profit is not only concern with the proprietors but

also income-tax authorities, managers, directors etc. because all of them are get a percentage of net profit. Even the accountants are not unanimous on this matter. Now question arises, "What is Profit?" Law and even the accountants have not defined the word "Profit". Generally speaking "The Profit of Business during a given period is the excess of income over expenditure for the period." It may arise from other sources. Maximization of profit has ever been one of the important goals of every business enterprises. The existence, continuance and expansion of business depends, to large extent, on its capacity to earn a good amount of profit every year. The efficiency of a business is measured by the amount of profit earned. A company should earn profits to serving and grow over a long, period of time. The adequacy of profits says Korn and Boyd. "Underlies the entire financial structure of a firm. Only if a company to earn profit will it survive in the long run. Profits are essential, but it would be wrong to assume that every action initiated by the management of the company should be aimed at maximization of profits, irrespective of social consequences. "It is unfortunate that the word profit is looked upon as a term of abuse since some firms always act to maximize profits at the cost of employee's customers and society." There are three concepts of profit : 1. 2. 3. Economic Profit Accounting Profit Social Profit

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PROJECT REPORT ON FUTURE PROSPECTS OF DEBIT & CREDIT CARDS WITH SPECIAL REFERENCE TO H.D.F.C. BANK

Project Report on Banking Sector in India

THE development of plastic money is one of the recent Phenomenon's in the banking sector. Plastic

money is a charge card. It is a direct charge against the limit sectioned. IT is a debt instrument issued by some specialized

companies. It is one step forward towards cashless and chequeless society. The operation is through electronic installations funds transfer {EFT} Project Report on Banking Sector Convergence inter-bank to Housing Finance

and

network. Credit cards are key to the Project Report on Banking Services in Retail opening of bank accounts for daily payments by the card holders. Credit card has been rightly called "PLASTIC MONEY". The objective is to provide convenience and security. It eliminates cash

transactions, and protects from the danger of pick pocketing a lot of cash. There is usually interest free credit for 30 to 45 days.

These plastic cards have the photo identity and holders signature embossed on the card. It also has the issuing banks name and validity period of the card. The bank issuing the credit card knows well the customer and his creditworthiness. Basically, the use of credit cards helps the holder to take the advantage of the two essential aspects of the financial services functions: 1. Transmission of payments 2. The granting of credit. Carrying Credit cards are innovative ones in the line of financial services offered by commercial banks. The idea of credit card was first developed by a BAVARIAN FARMER, FRANZ NESBITUM MC NAMARA, an American business man who found himself without cash at a weekend resort founded Dinners card in 1950. Right from that time, the commercial banks and non banking companies in USA developed the idea of credit card to develop their business. BARCLAYS BANK was the first bank to introduce credit card in 1966 in Britain. The credit card business got momentum in 60s and a number of banks entered the field in a big way.

WHAT IS A CREDIT CARD?

A credit card is a card or mechanism which enables to purchase goods, travel and dine in a hotel without making immediate payments. The holders can use the cards to credit from banks unto 45 days. The credit card relieves the consumer from the botheration cash and ensures safety. It is a convenience of an extended credit without formality. Thus, credit card is a passport to, SAFETY, CONVENIENCE, PRESTIGE AND CREDIT.

WHO CAN BE A CREDIT CARD HOLDER

The general criterion applied is a person spending capacity and not merely his income and his wealth. The other criterion is the worthiness of the client and his average monthly balance. Most of the banks have clear out the norms for giving the credit cards. I. A person who earns a salary of Rs. 60,000/_ per annum is eligible for a card. II. A reference from a banker and the employers of the applicant is insisted upon. III. He should have a savings current account in the bank. IV. His assets and liabilities on a particular date are reported to bank. V. A statement of annual or monthly income. VI. He is considered credit worthy upon to certain limit depending upon his income, assets and expenditure. The eligible customer is asked to fill in application form giving the details of account number , name , address , income , wealth status and a proof of his income/wealth etc.

PARTICULARS DISPLAYED ON THE CREDIT CARDS

Every credit card bears the following particulars: 1. NAME OF THE CUSTOMER: Every card displays the name of customer. It should be spelled correctly. In case, it does not, the customer can contact the customer service cell/helpline and get the necessary correction done. This facility is provided free of cost by the bank.

2. 16-DIGIT CARD NUMBER : A unique 16 digit number is allotted to every customer/ cardholder. 3. VALIDITY DATE : The card mentions the period through which it is valid. The card is usually valid from the it is received by the customer unto and including the last day of the month indicated on the card. After the card has to be renewed. 4. THE VISA HOLOGRAM AND THE VISA LOGO: The hologram and the logo ensure that all the establishments through out the world displaying the visa logo will accept the card. 5. NAME OF THE ISSUING BANK: The card indicates on the top the name of the issuing bank. 6. SIGNATURE PANEL: The back of the card contains the signature panel. The customer must put his signature on the signature panel to prevent misuse by any other person. This identifies the card holder. Signature on the panel would imply that card holder has given his consent to abide by the terms and conditions governing the use of the credit card. The card is valid is only if signed. 7. MAGNETIC STRIP: The black magnetic strip contains important information in encoded from and needs special handling. The card should not be kept in an area where there is a continuous magnetic field. It should not be left on the top the television. Set or near any electronic appliance. The card should be kept away from heat and direct sun light.
8. PIN (PERSONAL IDENTIFICATION NUMBER): Each card holder is

issued a password or pin to enable use of the card for accessing

his/her card account on the ATM and internet and also for availing any privilege, benefit or service that may be offered by bank on the card. The pin is communicated to the cardholder entirely at his/her risk who shall not disclose the pin to any person and shall take all possible care to avoid its discovery by any person. The card holder shall be liable for all transactions made with the use of the pin whether with or without the knowledge of the cardholder.

TABLE OF CONTENTS

DECLARATION ACKNOWLEDGEMENT PREFACE INTRODUCTION

LITERATURE REVIEW RESEARCH METHODOLOGY OBJECTIVE OF STUDY SCOPE OF STUDY METHODS OF DATA COLLECTION TOOLS AND TECHNIQUES OF ANALYSIS LIMITATIONS ANALYSES OF DATA FINDINGS CONCLUSIONS SUGGESTIONS
LIMITATIONS BIBLIOGRAPHIES

Project Description :
Category : MBA Project Report Title : FUTURE PROSPECTS OF DEBIT & CREDIT CARDS WITH SPECIAL REFERENCE TO H.D.F.C. BANK. WE ALSO MAKE THIS PROJECT WITH ANY BANK LIKE SBI [STATE BANK OF INDIA], PNB [PUNJAB NATIONAL BANK], ICICI, UCO BANK ETC. Pages : 105 This project is our paid category, its cost is Rs. 2499/- only without Synopsis and Rs. 2999/- only with synopsis. If you need this project, mail us at this id : qweryallprojectreports@gmail.com or phone/sms at +91-9468269340 We will send you a hardcopy with hard binding and a softcopy in CD from courier.

Working of Stock Exchange & Depositary Services

STOCK EXCHANGE :
The stock exchange is the important segment of its capital market. If the stock exchange is well-regulated function smoothly, then it is an indicator of healthy capital market. If the state of the stock exchange is good, the overall capital market will grow and otherwise it can suffer a great set back

which is not good for the country. The government at various stages controls the stock market and the capitals market. A capital market deals in financial assets, excluding coin and currency. Banking accounts compromises the majority of financial assets. Pension and provident funds insurance policies shares and securities. Financial assets are claim of holders over issuer (business firms and governments). They enter low different segment of financial market. Those having short maturities that are non transferable like bank savings and current accounts set the identification of the monetary financial assets. This market is known as money market, Equity, Preferential shares and bonds and debentures issued by companies and securities issued by the government constitute the financial assets, which are traded in the capital market.

Money Market and Capital Market

Both money market and capital market constitute the financial market. Capital market generally known as stock exchange. This is a institution around which every activity of national capital market revolves. Through the medium stock exchange the investor gets on impetus and motivations to invest in securities without which they would not be able to liquidate the securities. If there would have been no stock exchange many of the savers would have hold their saving either in cash i.e. idle or in bank with low interest rate or low returns. the stock exchange provides the opportunity to investors for the continuous trading in securities. It is continuously engaged in the capital mobilization process. Another consequence of non-existence of stock exchange would have been low saving of the community, which means low investment and lower development of the country. S Securities provide for investor.

Tax Benefits planning and exemption.

Optimum return on investment.

Cautious Approach.

Knowledge of Market.

Ex

Exchange of Securities Transacted.

Cyclopedia of Listed Companies.

High Yield.

Authentic Information

New Entrepreneur encouraged.

Guidance of Investor & Company.

Equity

HISTORY OF STOCK EXCHANGE The first stock exchange was established in London in the year 1773. just after establishment of London stock exchange various countries like France, Germany and USA also established their own stock exchange markets. In India, the first exchange established in Bombay in the year 1875. later, in year 1908, Calcutta stock exchange was established which was recognized in the company in 1923. mean which in 1920 the madras stock exchange limited in 1973. So far the government of India has recognized 22 stock exchange, which was located at major business centers in different parts of country.

Till the mid fifties the stock exchange was governed by their own bye laws and regulations with very little interface by the government. In the year 1925, the government of Bombay promulgated an act securities contracts and control act, 1625 for regulation and the stock exchange. During the world was second trading outside the stock exchange flourished with adverse effect on investors confidence due to base less issues and higher rate of liquidation of companies. In 1956, the center government passed contracts (regulation) act 1956, which came into force through out the country on 20th Feb. 1957.

SEBI Act :
The government of India has enacted an act (SEBI Act 1952), which provides for the establishment of a board to protect the interest of investor in securities. The SEBI has emerged as a monitoring institution of the country fir the development and regulation of stock market, SEBI has issued from time to time guideline to insider trading listing of securities, registration of intermediaries mutual funds etc.

MANAGEMENT OF STOCK EXCHANGE

Management of stock exchange is done an elected body of members. These bodies are know by different names in different stock exchange for example, the BOMBAY, INDORE and AHEMDABAD stock exchange are managed by a governing board. Council of management governs the MADRAS stock exchange. A committee manages the CALCUTTA stock exchange. While the board of director manages stock exchange. These governing bodies are powerful bodies enjoying extensive administrative power of management and control over their respective stock exchange the day-to-day function of the stock exchanges are executed by the sub-committee like the defaulters committee listing committee, settlement committee etc.

STOCK BROKERS SEBI registered stock - brokers interested in providing Internet based trading services will be required to apply to the respective stock exchange for a formal permission. The stock exchange should grant approval or reject the application as the case may be, and communicate its

decision to the member within thirty calendar days of the date of completed application submitted to the exchange. The Exchange closely monitors outstanding position of top buying member-brokers and top selling member-brokers on a daily basis. For this purpose, it has developed various market monitoring reports based on certain pre-set parameters. These reports are scrutinized by officials of the Surveillance Dept. to ascertain whether a member-broker has built up excessive purchase or sale position compared to his normal level of business. Further, it is examined whether purchases or sales are concentrated in one or more scrips, whether the margin cover is adequate, whether transactions have been entered into on behalf of institutional clients and even the quality of scrips, i.e., liquid or illiquid is looked into in order to assess the quality of exposure. The Exchange also scrutinizes the pay-in position of the member-brokers and the member-brokers having larger funds pay-in positions are at times, at the discretion of the Exchange, required to make advance pay-in on T+1 day instead of on T+2 day.
BASIC REQUIREMENTS FOR STOCK BROKERS

Trading will be on existing stock exchanges through order routing system for execution of trades. Therefore, stockbrokers are to comply with the following before the start of trade on Internet.
1. The broker must have a net worth of Rs. 50 lakh if he wants to avail the facility of Internet for his own. 2. Provision for maintenance of adequate back up system. 3. The software system to be used by him should be secured and reliable. 4. To employ the qualified staff for this purpose. 5. To send order/trade confirmation to the client also through e-mail. 6. The contract notes must be issued to the clients as per existing regulation within 24 hours of the execution of trades. 7. The broker and his client should use authentication technologies. The above are some of the important pre-requisites for the stockbroker should intend to take benefits of trading on Internet. However, detailed guidelines issued by the SEBI for the stock exchange

KIND OF STOCK BROKERS 1. Commission Broker

Near about all the brokers buy and sell securities for earning a commission for investor point of view he is the most important person and responsibility is to buy and sell stoke for his customer. It means that he acts as an agent of investor and earns commission for his services rendered. The broker is also an independent dealer in securities. He purchases and sell securities in his own name but he is not allowed to deal with non-member. 2. Jobber

He is an professional speculator who works for a profit called turn he makes a continuous auction in the market in the stoke in which he specialized. He trades in the market evens for small difference in the prices and helps to maintain liquidity in the stoke exchange. 3. Floor Broker

The floor broker buy and sell shares for the other broker on the floor of the exchange. He is an individual member owns his seat and receives his own commission on the orders he execute. He helps other brokers when they are buy and as compensation receives a portion the broker. 4. Odd lit dealer

For trading in stock exchange there a certain number of share a fixed to be transacted in a lot, this is known as round lat which is usually a, 100 share a. Any thing less than the round lot are add lot. If a person is in possession of add lot of share i.e. 10, 20, 30, 40 etc. They he will has to look for the add lot dealer. 5. Budliwala

He is the person who finance or provide credit facilities to the market for this service he charges a fees called contango or backwardation charges. The budliwala gives a fully secured loan for period of 2 to 3 weeks.

6.

Arbitrageur

A person who is specialist in dealing with securities in different stoke exchange centers at the same time. He makes a profit by the difference in the piece prevailing in different centers of the market activity. For example the rte of a certain scrip is higher in some stoke exchange than other on. In this case the broker will buy the scrip from the marked lower price and will sell the scrip in the market at higher price. The profit of the arbitrageur depends on the ability to get the prices from different centers before trading in other stoke exchanges.

STOCK TRADING OVERVIEW

The marketing of the securities on the stock exchange can be done through member of the stock exchange. These member can be either individuals or corporate bodies.
For the process of trading in stock exchange there is the basic need for a transaction between an individual and the broker execute customers order to buy or sell on the stock exchange trading ring. The exchange of scrip between the member of the exchange in from of buying or selling is called trading Broker is the member of recognized stock exchange and help the customers in buying or selling the securities for the brokerage that he receives.

Trading Method
Listing securities are traded on the floor of recognized stock exchange where its member traded. An investor is not permitted to enter the floor of stock exchange and he has trust the broker to:
*. Negotiate the best price for the trade. *. Settle the account, i.e. payment for securities sold on due date.

*. Take delivery of securities purchase. TYPES OF TRADING Trading in stock exchange is conducted in two ways: Ready delivery contract. Forward delivery contract.

BASKET TRADING SYSTEM The Basket Trading System provides the arbitrageurs an opportunity to take advantage of price differences in the underlying Sensex and Futures on the Sensex by simultaneous buying and selling of baskets comprising the Sensex scrips in the Cash Segment and Sensex Futures. This is expected to provide balancing impact on the prices in both cash and futures markets. The Exchange has commenced trading in the Derivatives Segment with effect from June 9, 2000 to enable the investors to, inter-alias, hedge their risks. Initially, the facility of trading in the Derivatives Segment was confined to Index Futures. Subsequently, the Exchange has introduced the Index Options and Options & Futures in select individual stocks. The investors in cash market had felt a need to limit their risk exposure in the market to movement in Sensex. To participate in this system, the member-brokers need to indicate number of Sensex basket(s) to be bought or sold, where the value of one Sensex basket is arrived at by the system by multiplying Rs.50 to prevailing Sensex. For e.g., if the Sensex is 4000, then value of one basket of Sensex would be 4000 x 50= i.e., Rs. 2,00,000/-. The investors can also place orders by entering value of Sensex portfolio to be brought or sold with a minimum value of Rs. 50,000/- for each order.

PROCEDURE OF TRADING
1.Select of broker

The first step is buying or selling of share is to select a broker for transaction business on behalf of the investor. The trading of securities on the stock exchange can be done through members of the exchange.

An investor prefers to select a broker who shall. Act with due skill. Care and diligence in the conduct of all his business. Not create false market either singly or in concert with other.

2.Opening An Account With The Broker

The next step to open account with the broker. It helps the investor to provide his credit worthiness, if the clients were not to do margin money with the broker.

3.Selection Of Securities
This is application for buying securities. The investor may be consulted with broker and take advise for selection of securities.

4.Selection Of Time For Trading This is important to get the best advantage from buying or selling the securities. 5. Placing An Order Various method of placing an order with the broker has been evolved to give the broker leverage when he is on the floor of the stock exchange. 6. Preparation Of Contract Note SEBI circular of 4th Feb. 1991 requires that all member of the recognized stock exchange issue contract note to the investors on the execution of trade. Brokers, therefore issue contract note to the client, which gives the name of the company, price of trade, brokerage, time of execution, provision regarding arbitration etc. in term of the bye-laws of stock exchange, this is statutory requirement and mandatory. 7. Settlement

The settlement is the process where by payment is made by brokers who have made purchase and share delivery by those brokers who have made sales. QUESTIONNAIRE DATE..

NAME ADDRESS.. CONTACT NO.. Q1. Which current broker are you trading? Religare Indiabulls ( ) ( ) Karvy Reliancemoney ( ) ( )

Others.. Q2. Who would provide better service? Broker ( ) Sub broker ( )

Q3. In which segment do you deal? Equity ( ) ( ) Commodity Others ( ) ( )

Mutual fund

Q4. Do u have a pan card. Yes ( ) No ( )

Q5. Do you know about stock exchange? Yes ( ) No ( )

Q6. Do you ever invest money in share market?

Yes

( )

No

( )

Q7. Are you a long term investor or short term investor? Long term ( ) Short term ( )

Q8.Do you know about NSE and BSE? Yes ( ) No ( )

Q9. How is your experience in share market? Good ( ) Bad ( )

Q10. Do you know that whose control on stock exchange? SEBI ( ) IRDA ( )

Q11. Do you know about Depositary services? Yes ( ) No ( )

Q12. Do you know about whose control over depositary services? NSDL BOTH. Q13.How much charges do you pay for Dmat a/c? Less than 500 ( ) More than 500 ( ) ( ) CDSL ( )

Q14. how much brokerage do you pay? Intraday. Delivary.

Q15. Are you satisfied with the service of the company, with which you are dealing? Yes ( ) No ( )

Q16 . Are you satisfied with the current research (tips,sms)? Yes ( ) No ( )

Project Description :
Category : MBA Project Report Title : Working of Stock Exchange & Depositary Services

Pages : 100 This project is our paid category, its cost is Rs. 2499/- only without Synopsis and Rs. 2999/- only with synopsis. If you need this project, mail us at this id : qweryallprojectreports@gmail.com or phone/sms at +91-9468269340 We will send you a hardcopy with hard binding and a softcopy in CD from courier.

Finance The student internship involved a cost/ benefit analysis of Customer Relationship Management Initiatives. The first phase of the internship focused on conducting market research into online competitors to report on the types of customer relationship management strategies and technologies they were using. The second phase, and main focus of the internship, was the creation of a cost/benefit analysis of various potential initiatives. It involved setting up a dynamic, parameter based model that would estimate the costs of various initiatives, their likely benefits and risk factors.

Stipend

: 6000 / Month

Start Date of Internship : 21 May 2012 Application Deadline Duration No of Openings Location Category : 18 May 2012 : 3 - 4 Months : 2 : Mumbai : Accounting/Finance Business/Management Students - PG + Business/Management Students - UG + Commerce Students + Eligible Students : Human Resource Students + Media Students +

AND All Diploma students, All BFA students, All BBA/BBM/BBS students, All B.Com students, All Bcom, BBA, BBI, BCA, Mcom, students Description Athena Advisors is an independent management and financial services consultancy firm. AthenaAdvisors consults on Organisational Development, Credit Bureau and Financial Services. To know more visit www.athenaadvisors.co.in This job is for one of the group companies Athena Credit Counselling Pvt. Ltd (ACCPL) an initiatives for Athena Advisors which will focus on the Credit Counselling to individuals, Lending Institutions (banks, credit card co., etc), and Credit Information Bureaus. Position: Intern Company is looking for an intern, who will be responsible for assisting a project team, and will act as a facilitator to the team. Candidate should have basic knowledge retail loan products (credit card, auto loan, personal loan, housing loan, etc.) Responsibilities: Develop an accurate and comprehensive database of retail loan products in Excel. Research on the competitive websites and prepare the database. This will entail keeping project documents organised. Develop and maintain the database on an ongoing and timely basis.

 Computer skills experienced with Word, Excel formulas / maintaining multiple spreadsheets and email.

Candidate attention to detail, the ability to multi-task and excellent communication skills are all essential to this position. Key Takeaways Strategic Opportunity: An incredible experience of working in a start-up and participate in building a business from ground-up while working along with founder who gave a new dimension to the credit industry in India. Required Skills Ms - Office, Excel, Internet, basic knowledge about the retail loan industry Tags Internship in Accounting/Finance | Internship in Mumbai