Finance Project on WORKING CAPITAL MANAGEMENT and ITS APPRAISAL

This project is based on the study of working capital management in Sintech Precision Product Ltd. An insight view of the project will encompass – what it is all about, what it aims to achieve, what is its purpose and scope, the various
methods used for collecting data and their sources, including literature survey done, further specifying the limitations of our study and in the last, drawing inferences from the learning so far.

Sintech Precision Products Ltd., founded in 1986, by an enterprising technocrat Mr. N.C.Dhingra is recognized as one of the largest pumping solutions provider today in India. Sintech is an advanced pumping solution provider for water
intensive heavy industries. With a very diverse product portfolio, Sintech provides solutions for multifarious applications like clear water, process, slurry, liquid with suspended solids, sewage, acids, alkalies, seawater and many more.

Sintech has branch offices and dealership network in throughout the nation as well as catering the international market.

The working capital management refers to the management of working capital, or precisely to the management of current assets. A firm’s working capital consists of its investments in current assets, which includes short-term assets—cash and bank balance, inventories, receivable and marketable securities.

This project tries to evaluate how the management of working capital is done in Sintech through inventory ratios, working capital ratios, trends, computation of cash, inventory and working capital, and short term financing.

INTRODUCTION:

The project undertaken is on ―WORKING CAPITAL MANAGEMENT IN SINTECH PRECISION PROUCT LTD‖.
It describes about how the company manages its working capital and the various steps that are required in the management of working capital.

Cash is the lifeline of a company. If this lifeline deteriorates, so does the company’s ability to fund operations, reinvest and meet capital requirements and payments. Understanding a company’s cash flow health is essential to making
investment decisions. A good way to judge a company’s cash flow prospects is to look at its working capital management (WCM).

Working capital refers to the cash a business requires for day-to-day operations or, more specifically, for financing the conversion of raw materials into finished goods, which the company sells for payment. Among the most important items of working capital are levels of inventory, accounts receivable, and accounts payable. Analysts look at these items for signs of a company’s efficiency and financial strength.

The working capital is an important yardstick to measure the company’s operational and financial efficiency. Any company should have a right amount of cash and lines of credit for its business needs at all times.

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