FINAL_ FRA report

8/8/2019 FINAL_ FRA report

1/18

Financial Reporting & Analysis - I

PRELIMINARY REPORT 1

ACC Limited

Submitted to

Prof. Manoj Kumar

Top of Form

Bottom of Form

off

Varun Sood PGP26379

Venkatesan PGP26380Vijay Kumar Yadav PGP26381Vikram Raikhelkar PGP26382Vineet Singh PGP26383Vishal Khandelwal PGP26384


2/18

Question 1: Briefly discuss your assigned company and its industry. How does the industry

scenario of your company looks like? How your company is placed within its industry ?

What are its areas of strengths and weaknesses? What are its future plans? What are

threats and opportunities for your company? Give a recent sales breakdown of your

companys products. Discuss any interesting anecdotes of your company.

Answer:

INTRODUCTION:

1. ACC (ACC Limited) is India's foremost manufacturer of cement and concrete. ACC's

operations are spread throughout the country with 16 modern cement factories, more than 40

Ready mix concrete plants, 20 sales offices, and several zonal offices. It has a workforce ofabout 9,000 persons and a countrywide distribution network of over 9,000 dealers. Since

inception in 1936, the company has been a trendsetter and important benchmark for the cement

industry.

ACC was formed in 1936 when ten existing cement companies came together under one

umbrella in a historic merger - the country's first notable merger at a time when the term mergers

and acquisitions was not even coined.

The house of Tata was intimately associated with the heritage and history of ACC, right from its

formation in 1936 up to 2000. Between the years 1999 and 2000, the Tata group sold all 14.45

per cent of its shareholding in ACC in three stages to subsidiary companies of Gujarat Ambuja

Cements Ltd (later called Ambuja Cement Ltd), who then became the largest single shareholder

in ACC.

A new association was forged between ACC and the Holcim group, a world leader in cement as

well as being large suppliers of concrete, aggregates and certain construction-related services.

Holcim is also a respected name in information technology and research and development. Thegroup has its headquarters in Switzerland with worldwide operations spread across more than 70

countries.

ACC has made significant contributions to the nation building process by way of quality

products, services and sharing expertise. ACCs brand name is synonymous with cement and


3/18

enjoys a high level of equity in the Indian market. It is the only cement company that figures in

the list ofConsumer SuperBrands of India.

Vision: To be one of the most respected companies in India; recognized for challenging

conventions and delivering on our promises.

INDUSTRY SCENARIO

The Indian cement industry is the second largest producer of quality cement in the world after

China. It comprises of 140 large and more than 365 mini cement plants. Over the last few years,

the Indian cement industry witnessed strong growth, with demand reporting a compounded

annual growth rate of 9.3% and capacity addition of 5.6% between FY2004 and FY2008. The

industry's capacity at the beginning of the year 2009-10 was 219 million tonnes.The demands

mainly constitute of followings:

1. Housing- 40% (approx.) 2. Infrastructure 40% 3. Industrial/Commercial- 20%.

Increasing population, rising purchasing power of emerging middle class, and increasing

smaller families (nuclear families), housing demand is likely to grow at a steady rate.

Governments increased focus on infrastructure such as Roads, Highways, Airports, Ports, Rural

urbanization, SEZs etc. would bring in higher demand for cement in coming years.

During the gloomy outlook in fiscal year 2008, cement industry had managed to grow at

7.91%, which shows the resilience of the industry. It is estimated that the cement production

would rise to 236.16 million tonnes in FY11 and to 262.61 million tones in FY12. CARE

research has estimated the domestic demand for cement to grow at 8.8% over the next two years.

COMPANY POSITION IN THE INDUSTRY

Production capacity, Sales, and Net Profit as per Last Annual report of the companies:

ACC Ambuja

Cement

Ultra Tech

Cement

Madras

Cement

India

cement

Shree

cementProduction

Capacity(in mT)

22.4 18.3 19.5 7 10.7 9


4/18

Sales(crores) 8190.90 7181.48 6436.96 2813.80 3805.45 3643.24Net Profit(crores) 1606.73 1218.37 977.02 353.68 354.34 676.10Market

Capitalisation(crores)

15647.8 16958.9 10684.10 2389.21 3400.43 6883.49

ACC Limited is Indias foremost cement manufacturer with a countrywide network of factories

and marketing offices. It is second biggest companies on the basis of Market capitalization. Its

profit margin and gross sales is highest in the industry. Companys captive power plants play a

vital role in providing cost efficient and effective supply of quality power for the plants. This has

given the company a cost advantage amongst the competitors.

Future Plans of ACC:

The company intends to achieve a growth of 12 per cent in the installed capacity of around

27million tonnes at present to 30 million tonnes by end of this financial year through Brownfield

projects.

The Company has planned to promote new applications of cement other than real estate such as

concrete roads, tiles, pre-cast cement products etc.

As a part of its sustainable development program the company intends to reduce CO2 emissions

through upgrading pollution control technology, using alternative fuels and raw materials and

increasing the absorption of materials like fly ash and slag.

Under its alternative fuels and raw materials and waste management programme, the company

aims to derive a bottom line benefit of Rs 100 crore.

It is planning additional captive power generating capacity of 90 MW to be commissioned and

stabilized this year across 3 plants to reduce dependence on grid power.

Strength:

A strong organization backed with global leadership and competence.

ACCs brand equity is strongest among its competitors, as shown by the AC Nielson research

report.

Pioneer in introducing Ready mixed Concrete in India on a commercial basis


5/18

It has country wide supply chain network of 9000 dedicated Dealers.

The company has 40 ready mixed concrete Plants and 16 modern Cement factories of 27 mt

capacity across India.

Weakness:

Competitors are doing much more promotional activity than the company, which has given them

an edge in selling their products.Eg. Birla gold has got tremendous popularity in the recent

years.

Threats:

Large number of players in cement industry makes it more competitive for ACC Limited to

carefully price its product and at the same time satisfy its dealers and customers.

Players such as Jaypee Cement, Prism Cement, and Birla Samrat are eating up considerable

market share.

Due to Indias exponential growth many new international cement companies are expected in

coming years which will bring a tide of change and can start price war.

The emergence of small players in this market may increase the competition and start the

malpractices, and heavy discounts to retailers. They can also influence many retailers by giving

better profit margin, and other benefit.

Excess production capacity of the Cement manufacturers has enabled them to tap the market in

lack of supply by the established player in that market.

Prices of major inputs such as coal, slag, gypsum, fly ash, coal and decontrolling of fuel prices

are pushing up manufacturing and distribution costs.

Opportunities:

The Indian government has considered spending more than US$ 500 Billion on infrastructure in

the 11th Five Year Plan. Government initiatives in the infrastructure sector, coupled with the

housing sector boom and urban development, continue being the main drivers of growth for the

Indian cement industry.

Increased infrastructure spending has been a key focus area. In the Union Budget 2010-

11, US$ 37.4 billion has been provided for infrastructure development.


6/18

The government has also increased budgetary allocation for roads by 13 per cent to US$

4.3 billion.

According to the report of the Technical Group on Estimation of Housing Shortage, an estimated

shortage of 26.53 million houses during the Eleventh Five Year Plan (2007-12) provides a

big opportunity to the cement industry.

Poor states such as Bihar, Jharkhand, Madhya Pradesh, Chhattisgarh are going under

transformation in terms of Infrastructure, New set up of Industry and Housing Development etc.

TYPES OF PRODUCTS:

CEMENTS: SEGMENT WISE SALES INFORMATION:

The company has only one business segment CEMENT and hence disclosure of

segment wise information is not applicable as per accounting standards 17- Segmental

information notified pursuant to the companies, (Accounting Standards) Rules as amended.

The company caters mainly to the needs of domestic market. The expect turnover is not

significant in the context of total turnover. As such there are no reportable Geographical

segments.

The Sales breakdown of Cement, Power Generation and other consultancy income are shown

below

SALES BREAKDOWN OF PRODUCTS:

ORDINARY PORTLAND CEMENT BLENDED CEMENT 43 Grade Cement (OPC 43 Grade )

53 Grade Cement.

Fly ash based Portland pozzalana cement

Portland Slag Cement.BULK CEMENT.CONCRETE VALUE ADDED SERVICE.


7/18

Interesting Anecdotes about the company:

1. Sustainability and Climate change: ACC was honored with FE-EVI Green Business

Leadership Award 2009-10.This award was based on a survey conducted by Financial Express

and Emergent Ventures India (EVI), a company working in the area of climate change, for

contribution towards the environment and excellence in the area of green businesses

Product Name Year Month Sales Quantity

(in lakh mT)

Sales

Value

(Crores)

Product

Mix

Cement 2009 12 212.73 7,828.73 96.57

Purchased Cement

& Other Products2009 12 2.43 98.76 1.21

Power Generation 2009 12 0 58.89 0.72

Clinker 2009 12 2.02 51.47 0.63

Consultancy

Income2009 12 0 46.49 0.57

Other Sales 2009 12 0 20.04 0.24

Contract

Fabrication2009 12 0 1.75 0.02


8/18

2. Conservation of Heritage Structures: The services of ACCs Concrete experts have often been

utilized in the restoration of several national heritage buildings across the country - such as

sections of the Chhatrapati Shivaji Terminus (formerly Victoria Terminus) at Mumbai, the J N

Petit and David Sassoon Libraries in Mumbai, churches in Goa, palaces and royal mansions in

Mysore and Hyderabad and other old structures in the country.

3. Global Impact: ACC Limited is a signatory to the United Nations Global Compact. As a

member they are committed to the ten principles of the Compact which foster better corporate

responsibility in the areas of human rights, labour, environment and anti-corruption

4. HIV/AIDS Treatment: Anti Retroviral Treatment Centres.ACC set up an Anti Retroviral

Treatment Centre for HIV/AIDS treatment in Wadi in the state of Karnataka The center is fully

equipped with new machines and medical equipment as prescribed by NACO ART guidelines.

5. Disaster Relief: ACC and its employees make timely contribution to help in any national

disaster Apart from the Kargil cause, collective contributions by way of cash, food and clothing

has been sent to help victims of calamities such as the Latur earthquake, Himachal Pradesh

floods, Orissa cyclone, Gujarat earthquake, Tsunami and floods in Maharashtra.

Question 2: Discuss the Independent Auditors opinion for the most recent year.

Identify the auditor? Comment on the opinion. How would this opinion influenceyour analysis of the financial statements?

Answer:

SR Batliboi & Associates is the firm which has audited the financial statements of ACC

in the most recent year. They have not found any misrepresentation in any of the financial

statements prepared by the company.

The auditors express that the financial statements present fairly, in all material respectsthe financial position of the company and the results of its operations and its cash flows. They

have issued an unqualified or clean opinion indicating that the financial statements are fairly

presented in the auditors' opinion, are free of material misstatements, and have been prepared in

accordance with generally accepted accounting principles.


9/18

They have revealed that necessary primary books of accounts have been kept by the

company and the Balance Sheet, Profit and Loss statement and Cash Flow statements are in

accordance with the primary books of account.

Further to this, the company has reports showing the quantitative details and situation of

fixed assets. These reports helped the auditors to value the assets in the exact manner. The

company also maintains proper records of inventory and no material discrepancies were found in

physical verification. The company also maintains an internal audit system commensurate with

the size of its business.

The various financial transactions are also fairly presented and give us a clear view of the

various dealings of the company. All these records give us a feeling that the company is very

meticulous in maintaining proper records of all its activities and gives us a feeling that the

statements presented are accurate and devoid of any material errors.

Another point to be noted is that The Institute of Chartered Accountants of India (ICAI)

conferred on ACC its Gold Shield for being best in the ICAI Awards for Excellence in

Financial Reporting for 2008 under the Category Manufacturing and Trading Enterprises. The

award signifies that the accounting policies followed by the enterprise are adjudged the best

amongst the enterprises that participated in the competition on the basis of compliance with

accounting standards, statutory guidelines and other relevant pronouncements.

Influence on our Analysis:

These views increase our confidence in the financial statements published by the company and

assure that these are free from any material errors and are as per the accounting standards

followed in India. There is no exception to any accounting principle seen and hence it reassures

that the company is following all the best practices when preparing its financial statements.

This will help us analyze the financial statements and give us confidence in our findings. The

results that we obtain from our analysis will give us a true picture of the company and help us

know the future potential of the company and the current financial health of the company.


10/18

Question 3 : Examine the Directors report for the most recent year. Comment on

the information contained in the directors report and how would it influence your

financial analysis?

Answer:

A lot of importance is usually given to the Directors report since it is a source of valuable

information about the outlook of the company and is considered to be an absolutely unbiased

account of the company. In case of ACC, the director has presented a very optimistic view of the

company. He begins with emphasizing on the fact that despite the global slowdown, the cement

industry fared well. He also emphasizes the concerns surrounding the cement industry. Some of

the points mentioned by him in the report are as under:

CEMENT industry posted a steady growth of about 10.3% during the year under review.

Cement dispatches were 195 million tons as compared to 177 million tons in 2008.

ACCs installed capacity rose to 26 million tons per annum at the close of the year as

compared to 23 million tons at the end of 2008.

Total consolidated income increased by 9%.

Consolidated profit increased by 42%.

Additional Capacity of 70 million tons for cement is expected, despite a growing demand

for cement. This may create a surplus.

The prices of major inputs for cements viz. coal, slag, gypsum, fly ash and petroleum

products have started rising and may push up manufacturing and distribution costs.Availability of these materials is also one of the areas of concern.

Supply of railway wagons is also likely to worsen during the course of the current year

affecting cement dispatches to some markets.

Some of the concerns are genuine and appreciable. He has mentioned that the rising cost of

inputs is an area of concern. But there is some skepticism regarding the growth in profits

mentioned in the report. Cement process have started to decline in some of the regions due to an

excess capacity build up in some of the regions. There remains this doubt that whether the

cement companies will be able to pass on the increase in raw materials.

Even the impact of increase in excise duty will have an impact on the margins of the company.

We did not find any views regarding the new competition that is emerging in the industry. There

have been a lot of M & A deals happening in this sector and this too poses a threat to the

dominant position enjoyed by ACC.


11/18

Effect on Analysis:

The Director has given a decent account of the company but there are still some areas of concern

that are not highlighted in the report. We would still take into the opinions mentioned but the

expectations would be a little conservative because of some of the threats surrounding the

industry.

Question 4: What revenue recognition policies your company has used in the recent years? Are

these policies consistent in all recent years? Are these policies consistent with the way the

company carries out its business? Do these policies make the reported numbers less conservative

or more conservative?

Answer :

Revenue Recognition Policy of ACC:

As stated in the annual report of the company for the year 2009, the company mentions that

Revenue is recognized to the extent that it is probable that the economic benefits will flow to

the Company and the revenue can be reliably measured.

In case of direct sales the revenue is recognized when the significant risks and rewards of

ownership of goods have passed to the buyer. This does not give a clear picture of the

accounting practice being followed. Passing of risk to the buyer is a very general term and

further details are needed to find out the exact process being followed in the company to

recognize the revenue. This kind of policy provides enough leeway to the company to keep

changing its mode of recognizing revenue and may give an indication that the company may not

be following the rules in the right spirit.

While in case of the income fromworks contract, consultancy and other services rendered the

company accounts for the revenue on a Percentage of completion basis.

In case of Interests the revenue is recognised on a time proportion basis taking into account the

amount outstanding and the rate applicable while in case of dividends, it is accounted for when

the shareholders right to receive payment is established by Balance Sheet Date. In case of

subsidiaries, dividend is recognised even if same are declared after the Balance Sheet date but


12/18

pertains to period on or before the date of balance sheet as per the requirement of Schedule VI of

the Companies Act, 1956.

Comparison with Competitors:

The competitors of ACC such as Ambuja Cement and Ultratech maintain a clear revenue

recognition policy. It is mentioned in Ambuja Cements annual report that in case of domestic

sales, it recognizes revenue on dispatch of products to customers, and in case of exports, sales

are accounted on the basis of dates of Bill of Lading. Sales are disclosed net of sales tax / VAT,

discounts and returns, as applicable. Sales exclude self consumption of cement. Thus the

revenue recognition policy of other players in the field is comparatively more transparent.

Policy over the Years:

The policy has not changed over the years except for a minor change in which the company

added a clause to include the income from works contract, to be accounted for on a percentage

of completion basis.

Our Take on the Policies being followed:

The policies are consistent with the way the company carries out its business. Being a cement

manufacturer the company takes up the responsibility to deliver the goods to the buyer and

accounts it only when the risk has been passed to the buyer. This could have been given in more

detail by the company in its footnotes to denote better clarity about the policy being followed. In

case of the works contract the income is realised over the long term and hence accounted as per

the percentage of completion. As compared to the completed contract method, the percentage

of completion method might look more aggressive as revenue is recognized sooner but it

provides smoother earnings and results in better matching of revenues and expenses over time.

In case of direct sales, ACCs revenue recognition policies seem to be consistent with the

standards but more clarity would have made the practices more transparent. In case of works

contract, though the policy might look a little aggressive, it fulfils the task of matching revenues

with expenses. In case of interest and dividends, the policies are pretty consistent to what other

listed companies follow.


13/18

Question 5: What accounting policy company has for valuation of its tangible and intangible

assets? Has company done revaluation or impairment of any of its tangible or intangible assets?

If yes, what reasons company has specified for doing so?

Answer:

Tangible asset valuation (Book value determination)

a) Fixed assets are stated at cost of acquisition or construction less accumulated

depreciation and impairment losses

b) Leasehold lands are stated at cost value

c) Machinery spares which can be used only in connection with a particular item of fixed

assets and the use of which is irregular, are capitalized at cost net of Cenvat

d) Borrowing costs relating to acquisition of fixed assets which takes substantial period of

time to get ready for its intended use are included to the extent they relate to the period

till such assets are ready to be put to use. All other borrowing costs are charged to

revenue.

e) Current investments are carried at the lower of cost or fair value. Long term investments

are stated at cost. Provision for diminution in the value of long-term investments is made

only if such a decline is other than temporary.

f) In case of new projects and substantial expansion of existing factories, expenditure

incurred including trial production expenses net of revenue earned, and attributable

interest and financing costs, prior to commencement of commercial production are

capitalized.

Intangible asset Valuation

a) Computer software used is stated at cost value and are amortized over a period of three

yearsb) Costs incurred to gain access to mineral reserves are capitalized and depreciated over the

life of the quarry, which is based on the estimated tones of raw materials to be extracted

from the reserves.


14/18

c) Expenditure on Research phase is recognized as an expense when it is incurred.

Expenditure on development phase which results in creation of assets is included in

Fixed Assets.

Revaluation or impairment

The carrying amounts of assets are reviewed at each Balance Sheet date if there is any indication

of impairment based on internal / external factors. An impairment loss will be recognized

wherever the carrying amount of an asset exceeds its estimated recoverable amount. The

recoverable amount is greater of the asset's net selling price and value in use. In assessing the

value in use, the estimated future cash flows are discounted to the present value at the weighted

average cost of capital. Previously recognized impairment loss is further provided or reversed

depending on changes in circumstances. Revaluation and Impairment are captured under

Addition/adjustments and deductions/adjustments columns respectively in the below table.However no explicit mention is made by the company for revaluation and impairment details.

Below table gives the Book value of tangible and intangible assets as at 31-12-2009

Assets Gross block at costTangible As at 31-12-

2008

Additions/Adjustmen

ts

Deductions/adjustment As at 31-

12-2009Leasehold land 300.06 - - 300.06

Buildings 3931.46 942.65 35.93 4838.18Machinery and Plant 7320.49 1557.34 75.59 8802.14Furniture, Fixture,

& Equipment

271.79 23.38 53.28 241.29

Motor cars,Trucks 1479.76 26.68 - 1506.44Electric installations 468.83 304.01 1.84 771

Inventory 566.98 - - 648.94Stores and spares, &

fuels

16.02 - - 29.73

Intangible

Assets (Software) 8.92 264.39 - 273.31


15/18

Question 6: What depreciation policy your company has used in the recent years? Is this policy

consistent in all the years? Is this policy consistent with the way company carries out its

business? Does this policy make the reported numbers more or less conservative?

Answer: Depreciation is provided on the straight line method at the rates prescribed in Schedule

XIV of the Companies Act, 1956, on a pro-rata basis.

The useful life of transit mixers and pumps is estimated at 8 years and 6 years

respectively

Buildings, civil cost and installations are estimated to have useful life of 10 years

Cost of leasehold land is amortized over the period of the lease

Capital assets whose ownership does not vest in the Company have been depreciated

over the period of five years.

Machinery spares which can be used only in connection with a particular item of FixedAssets and the use of which is irregular, are capitalized at cost net of Cenvat and are

depreciated over the remaining useful life of the related asset. The written down value of

such spares is charged to the Profit and Loss Account, on issue for consumption.

These assets are depreciated over the useful life on straight line method on a pro-rata basis.

The above assets, if transferred from ACC Limited, under the business purchase agreement, are

depreciated over the remaining useful life considering the period for which ACC Limited has

already used such assets. Useful life of certain assets is tailored based upon the commercial

agreements and the carrying amount of such assets is allocated over their useful life.

In case of Plant & Machinery and Electrical installation at the Ready Mixed Concrete

plants, depreciation has been provided on triple shift basis for the entire year even though the

plants have worked only double and single shifts at various times, based on assessment of

estimated useful life.

All other assets are depreciated on the straight line method at the rates prescribed in

Schedule XIV of the Companies Act, 1956, on a pro-rata basis.

INTANGIBLES

Computer Software cost is amortised over a period of three years.


16/18

Costs incurred to gain access to mineral reserves are capitalized and depreciated over the

life of the quarry, which is based on the estimated tonnes of raw materials to be extracted

from the reserves.

DEPRECIATION POLICY OVER YEARS

in respect of assets acquired up to July 31, 1968 on the written down value method at the

rates prescribed in Schedule XIV of the Companies Act, 1956;

in respect of assets acquired during the period August 1, 1968 to July 31, 1986 on the

straight line method at the rates in force at the time of acquisition of assets in accordance

with Circular No. : 1/86 dated May 21, 1986 issued by the Department of Company

Affairs;

in respect of assets acquired on or after August 1, 1986 on the straight line method at therates prescribed in Schedule XIV of the Companies Act, 1956, on a pro-rata basis.

As on December 2009

ACC AMBUJA

CEMENTS

SAMRUDDHI ULTRATECHCEMENT SHREE

CEMENTS

GROSS

BLOCK

6,826.27 6,224.13 9,038.70 8,078.14 2,950.86

ACC

DEPN

2,667.98 2,784.09 2,585.19 3,136.46 2,198.91

NET

BLOCK

4,158.29 3,440.04 6,453.51 4,941.68 751.95

The depreciation policy followed by the company is deemed to be slightly on the conservative

side.

The company follows straight line depreciation method which is consistent with the industry

trend. The useful life of mixers, pumps and buildings is given as 8, 6 and 10 years respectively.

In spite of working for single or double shifts the company is depreciating its plants and

machinery on triple shift basis.


17/18

The above facts highlight a slightly conservative approach on the part of the company. It is

choosing to depreciate the assets relatively quickly which will lead to reduced profits and lesser

value of assets on the balance sheet thus making the numbers being reported more conservative.

Question 7 : What inventory valuation policies your company has used in the recent years? Are

these policies consistent in all the recent years? Are these policies consistent with the way the

company carries out its business? Do these policies make the reported numbers more

conservative or less conservative?

Answer:

The various types of inventories in case of ACC are valued as follows:

a) Raw materials, fuels, packing materials, stores and sparesLower of cost or net realizable value. This is similar to the practice being followed under IFRS.

Net Realizable Value is equal to the estimated sales price less the estimated selling costs. If Net

Realizable Value is less than the balance sheet cost, the inventory is written down to the net

realizable value and a loss is recognized in the income statement.

However, materials and other items held for use in the production of inventories are not written

down below cost if the finished products in which they will be incorporated are expected to be

sold at or above cost. Cost is determined on a weighted average basis.

b) Work-in-progress and finished goods

Lower of cost and net realizable value. Cost includes direct materials and labor and a proportion

of manufacturing overheads based on normal operating capacity. Cost of finished goods includes

excise duty.Net realizable value is the estimated selling price in the ordinary course of business,

less estimated costs of completion and estimated costs necessary to make the sale.

The company has been following the same policy in the recent years. These policies are

consistent in the recent years.

Regarding the raw materials used in production of inventories, it is mentioned that the

company does not write them down if the finished goods in which they will be used can

be sold at or above cost. This policy can be debatable because cement prices are usually

pretty volatile in current economic environment. Hence it cannot be said with certainty


18/18

that the finished goods will be sold at or above cost. Raw materials constitute a large

chunk of cost for the cement companies and so if moving forward the prices of raw

materials might come down reducing the cement prices. In such a case, it might be

prudent to record raw materials also at the lower of cost or net realizable value and in

some cases, it might be necessary to write them down.

A point to note is that the company determines the cost on a weighted average basis

which gives a reasonable estimate of the inventory and is a approach which yields a

value between FIFO and LIFO. In light of the above analysis it can be said that the

companys policy regarding inventory valuation are not very conservative.

PART 1 : Basic Analytical Techniques

Question 8: Summarize the impact of Clause 49 of the Listing Agreement and other recent

regulatory Corporate Governance initiatives in India on the quality of reporting and

disclosures being done by your company.

Answer:

Date post:	09-Apr-2018
Category:	Documents
Upload:	varunsood
View:	218 times
Download:	0 times

FINAL_ FRA report

Documents