ITC LTD Ratio analysis

Project REPORT on itc ltd Ratio Analysis
ITC is one of India's foremost private sector companies with a market capitalisation of over US $ 30 billion and a turnover of US $ 6 billion. ITC is rated among the World's Best Big Companies, Asia's 'Fab 50' and the World's Most Reputable Companies by Forbes magazine, among India's Most Respected Companies A financial statement (or financial report) is a formal record of the financial activities of a business, person, or other entity. In British English—including United Kingdom company law—a financial statement is often referred to as an account, although the term financial statement is also used, particularly by accountants. For a business enterprise, all the relevant financial information, presented in a structured manner and in a form easy to understand, are called the financial statements. They typically include four basic financial statements, accompanied by a management discussion and analysis
1. Statement of Financial Position: also referred to as a balance sheet, reports on a company's assets, liabilities, and ownership equity at a given point in time.
2. Statement of Comprehensive Income: also referred to as Profit and Loss statement (or a "P&L"), reports on a company's income, expenses, and profits over a period of time. Profit & Loss account provide information on the operation of the enterprise. These include sale and the various expenses incurred during the processing state.
3. Statement of Changes in Equity: explains the changes of the company's equity throughout the reporting period
4. Statement of cash flows: reports on a company's cash flow activities, particularly its operating, investing and financing activities.
Objectives of the Study
• To understand the concept of financial analysis
• To understand the ratio analysis in detail
• To understand the financial statements
• To understand the ratio analysis of ITC Ltd
• To understand the importance of financial ratios and other financial statements
• To understand the Types of Financial statements 
To understand the Tools and Techniques of Financial Statement Analysis
DATA ANALYSIS AND METHODOLOGY
Collected Data are analyzed with the help of following tools in a systematic manner given below.
Ratio Analysis
o Long term Solvency ratio
o Short term solvency ratio
o Profitability ratio
o Activity ratio
• Time series
o 3 yearly moving average method
• Comparative Analysis

1. Collection of Last 10 years Financial Data of ITC pvt. Ltd, .
2. Calculation of Various financial ratios.
3. Estimation of Financial Ratios for the financial year 2009-10.
4. Calculation of Actual Financial Ratios for the financial year 2009-10.
5. Comparative Analysis and Deviation Analysis.

Table of Contents
1. Introduction          
• Introduction to Financial ratios      
• Purpose and types of ratios       
• Accounting methods and principles      
• Types of Financial statements       
• Aim of the Study        
• Objectives of the Study       

2. Company Profile         
3. Research Methodology        
4. Secondary Research        
• Financial Analysis        
• Tools and Techniques of Financial Statement Analysis   
• Types of Ratios        
• Advantages and Limitations of Financial Statement Analysis  
5. Data Analysis and Interpretation       
6. Key Findings         
7. Recommendations         
8. Conclusion          
9. Bibliography 

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KEYWORDS : Ratio analysis , Ratio , ITC COMPANY , ITC COMPANY SYNOPSIS, PROJECT, FINANCIAL ANALYSIS