1. 49
LIST OF CHARTS:
4.1 Liquidity Ratio:
4.1.1 Current Ratio:
4.1.2 Quick Ratio:
4.1.3 Absolute Liquidity Ratio:
0
0.2
0.4
0.6
0.8
1
1.2
1.4
1.6
2009-2010 2010-2011 2011-2012 2012-2013 2013-2014
CURRENT RATIO
0
0.2
0.4
0.6
0.8
1
1.2
1.4
QUICK RATIO
0
0.2
0.4
0.6
0.8
1
1.2
ABSOLUTE LIQUIDITY RATIO

2. 50
4.2 Solvency Ratio:
4.2.1 Debt-Equity Ratio:
4.2.2 Proprietary Ratio:
4.2.3 Fixed Assets Ratio:
0
0.2
0.4
0.6
0.8
1
1.2
1.4
DEBT-EQUITY RATIO
0.48
0.49
0.5
0.51
0.52
0.53
0.54
0.55
PROPRIETARY RATIO
0
0.05
0.1
0.15
0.2
0.25
0.3
0.35
0.4
FIXED ASSET RATIO

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4.2.4 Fixed Assets to Proprietor Fund Ratio:
4.2.5 Total Debt Ratio:
4.3 Profitability Ratio:
4.3.1 Net Profit Ratio:
0
0.05
0.1
0.15
0.2
0.25
0.3
0.35
0.4
FIXED ASSETS TO PROPRIETOR FUND
RATIO
0
0.002
0.004
0.006
0.008
0.01
0.012
TOTAL DEBT RATIO
0
10
20
30
40
50
60
NET PROFIT RATIO

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4.3.2 Operating Profit Ratio:
4.3.3 Return On Investment:
4.3.4 Return On Shareholder Fund:
0
5
10
15
20
25
30
35
40
OPERATING PROFIT RATIO(%)
0
2
4
6
8
10
12
RETURN ON INVESTMENT(%)
0
2
4
6
8
10
12
14
16
RETURN ON SHAREHOLDER FUND(%)

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4.3.5 Operating Expense Ratio:
4.4 Turnover Ratio:
4.4.1 Working Capital Turnover Ratio:
4.4.2 Capital Turnover Ratio:
0
10
20
30
40
50
60
70
80
90
100
OPERATING EXPENSE RATIO(%)
0
0.5
1
1.5
2
2.5
WORKING CAPITAL TURNOVER RATIO
0
0.05
0.1
0.15
0.2
0.25
0.3
0.35
CAPITAL TURNOVER RATIO

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4.4.3 Fixed Asset Turnover Ratio:
4.4.4 Owned Capital Turnover Ratio:
4.4.5 Debtors Turnover Ratio:
0
0.2
0.4
0.6
0.8
1
1.2
1.4
FIXED ASSET TURNOVER RATIO
0
0.05
0.1
0.15
0.2
0.25
0.3
0.35
OWNED CAPITAL TURNOVER RATIO
0
1
2
3
4
5
6
7
DEBTORS TURNOVER RATIO

7. 55
CHAPTER V
5. Summary:
5.1 Findings:
 The management of working capital plays a vital role in running of a successful
business. So, things should go with a proper understanding for managing cash,
receivables and inventory.
 The current ratio benchmark is 2:1 in none of the year’s current ratio reached the
benchmark ratio. From the year 2008-2014 the current ratio has been declining. This
indicates weakened ability to meet the current obligation.
 The quick ratio benchmark is 1. For the years 2008-2014 the quick ratio was above
the benchmark. This indicates ability to meet short term obligations. For the period
2012-2014 the ratio was lesser.
 A fixed asset to proprietor ratio has declined continuously
 Fixed asset to long term debt ratio has consistently declined
 The debt equity benchmark is 1.the debt equity ratio is determined to ascertain the
soundness of the long term financial policies of the company. For the years 2008-
2014 the ratio was lesser the benchmark ratio. This indicates the weakened ability to
meet the long term obligation. For the period 2012-2014 the debt equity ratio is equal
to the benchmark ratio. This indicate the ability to meet the long term obligation.
5.2 Suggestions:
 The current ratio was declined. This indicates that the company had not met the
benchmark ratio. Therefore, current asset should be increased to meet the current
obligation.
 The quick ratio for the period 2012-2014 was declined. This indicates that the company
had not met the benchmark ratio. Therefore, quick asset should be increased to meet
the short term obligation.
 The absolute liquid ratio for the period 2013-2014 was declined. This indicates
company has low capacity to meet emergencies. This reveals that the cash and bank
balances should be increased.
 Proprietary ratio has should maintained before.
 Fixed asset ratio has declined continuously. It reveals that the investment in fixed assets
should be increased.

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 The total debt ratio was declined. Therefore, the company has to retained total debt
ratio as it done in previous year 2012-2014.
 Net profit ratio was declined. Therefore, profit of the company should be increased by
reducing the expense.
 Operating profit ratio was declined. It reveals operating profit should be increased by
reducing the operating expenditure.
 Return on investment has declined for the year 2008-2014. It indicates company need
to improve profit by reducing its expenditure.
5.3 Conclusion:
This study relates to find out the working capital management of Chennai port trust. Operating
income of the company has declined compared to operating expenditure. This indicates the
profitability of the company has reduced. Ratio analysis revealed that the liquidity ratio has
been declining. This indicates that liquidity asset should be increased to meet the short term
obligation. Solvency ratio is satisfactory while profitability ratio has declined. This indicates
that profitability of the company was not satisfactory. These are analyzed from the last 5yrs
statement of the company

9. 57
BIBLIOGRAPHY
Following sources have been sought for the preparation of this report:
Financial Statements (Annual Reports)
Direct interaction with the employees of the company
Internet
www.chennaiport.in
www.google.com
www.ibef.org
www.hindubusinessline.com
Textbooks on financial management -
 I.M.Pandey
 Khan and Jain
 Prasanna Chandra

10. 58
ANNEXURES