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    Ratio Analysis Of Secure

    Net- Technologies

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    INTRODUCTION TO THE

    COMPANY

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    Secure-Net is an innovative and successful

    training providerbased in Chandigarh.

    Secure-Net is a pioneer in establishingitself as the Global Hub for IT Training

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    RESEARCH METHODOLOGY

    RESEARCH PROBLEM

    y To know the working capital management of SECURE-

    NET with the help of ratio analysis.

    y To analyze the market strength of SECURE-NET

    TECHNOLOGIES .

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    HYPOTHESIS OF THE STUDY

    y A research hypothesis is the statement created by aresearcher when they speculate upon the outcome of a

    research or experiment.For the study of customer preference towards SECURE-

    NET TECHNOLOGIES the following hypothesis was setup.

    y H0: There is no significant relationship between factors and

    satisfaction level.y H1: There is significant relationship between factors and

    satisfaction level.

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    OBJECTIVES OF STUDYy Find out Ratios related to working capital

    management of SECURE-NET and compare with

    last 5 years.y Find deviation of calculated from standard or Norms.

    y To study the customer preference towards SECURE-

    NET TECHNOLOGIES

    y To suggest measures to improve its market share and

    positioning.

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    SCOPE OF STUDYy The scope of this study is to provide an insight into concept of

    working capital management and illustrate it by actually workingcapital management of SECURE-NET .

    RESEARCH DESIGN

    y According to Clifford Woody, research comprises defining andredefining problems, formulating hypothesis or suggested solutions;collecting, organizing and evaluating data; making deductions andreaching conclusions; and at last carefully testing the conclusions todetermine whether they fit the formulating hypothesis.

    y This research is divided in two parts:y Working Capital Management through secondary data based on

    certain parameters;y an exploratory research based on a survey of the concerning literature.

    A sample survey was conducting with the help of Scheduling Methodof collecting data i.e. personally the enumerator visited and got thequestionnaires filled from the respondents. The enumerator in thismethod helps the respondents in recording their answers to variousquestions in the said schedules.

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    STATISTICAL TOOLS USED

    y The various statistical tool used were data distribution

    tables, graphs and pie charts. Ratio analysis was usedfor determining the working capital management of

    SECURE-NET . Hypothesis testing through Chi

    Square test was used in Customer Preference Towards

    SECURE-NET TECHNOLOGIES

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    LIMITATIONS OF THE STUDY

    y Time was limited.

    y The sample size of 100 is very small and more than that could notbe possible.

    y The study was only based on the survey of respondents inCHANDIGARH and no other area could be undertaken for thesurvey due to lack of transport and time.

    y This of working capital management is based solely upon theannual reports of the company in hard copy and through company

    website.y Only 5 companies could be compared for the market analysis in

    order to avoid complexity of data.

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    FINDINGS OF THE STUDY1. The current ratio has shown in a fluctuating trend as 7.41, 2.19, 4.48, 1.98, and

    3.82 during 2003 of which indicates a continuous increase in both current

    assets and current liabilities.

    2. The quick ratio is also in a fluctuating trend through out the period 2003 07resulting as 7.41, 1.65, 4.35, 1.9, and 3.81. The companys present liquidity

    position is satisfactory.

    3. The absolute liquid ratio has been decreased from 3.92 to 1.18, from 2003 07.

    4. The working capital increased from 0.72 to 1.13 in the year 2003 07.

    5. The fixed assets turnover ratio is in increasing trend from the year 2003 07

    (1.26, 1.82, 4.24, 3.69, and 6.82). It indicates that the company is efficiently

    utilizing the fixed assets.

    6. The capital turnover ratio is increased form 2003 05 (0.98, 1.01, and 1.04)

    and decreased in 2006 to 0.98. It increased in the current year as 1.00.

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    SUMMARYy After the analysis ofFinancial Statements, the company

    status is better, because the Net working capital of thecompany is doubled from the last years position.

    y The company profits are huge in the current year; it isbetter to declare the dividend to shareholders.

    y The company is utilising the fixed assets, which majorlyhelp to the growth of the organisation. The companyshould maintain that perfectly.

    y The company fixed deposits are raised from the inception,it gives the other income i.e., Interest on fixed deposits.

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    CONCLUSION

    y The companys overall position is at a good position.

    Particularly the current years position is well due toraise in the profit level from the last year position. It is

    better for the organization to diversify the funds to

    different sectors in the present market scenario.

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