Financial Trend Analysis: Wipro Company

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The main objective of this report is to conduct the financial trend analysis of the company…”wipro company” which is listed under the bombaystock exchange and National stock exchange
The financial trend analysis will basically help in calculating the various financial ratio such as profitability ratio, turnover ratio, leverage ratio..
This analysis wiil help to calculae true financial position of a company..
The various element of report are summarized as follows:
• To study the background of a company
• To collect the financial statement i.e balance sheet &profit loss of company for past 3 years
• To study these financial statement and calculate various ratios..

Today wipro is one of the most successful technological companies in India and around the world. Wipro ltd. Iincorporated in the year 1945 by Mohamed hasham premji. Azim H premji is …show more content…

Current assets include cash with in year. Like securities, inventory, prepaid expense. Current ratio should be 2:1 it is satisfactory ratio. Higher current ratio more safety. Current Liabilities are creditors, bill payable, etc.
Current ratio = Current assets / current Liabilities
 Quick ratio : quick ratio helps to measure how well company can meet short term financial Liabilities.. quick ratio is also known as acid ratio.. it includes current assets minus inventory and prepaid expenses and current Liabilities
Quick ratio = cash+ cash equivalent+ short term investment + current receivable / current Liabilities
And total current assets- inventories - prepaid expenses /current Liabilities
 Debt ratio: Debt ratio use to analysis long term solvency of any company. It can be calculated by dividing total Liabilities by total assets of a firm. Lower the ratio more stability of

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