A study on financial statement (trading, profit and loss account) with special reference to kolar milk union limited (Komul)

Finance is one of the major elements. Which activities the overall growth of the economy. Finance is regard as the lifeblood of a business enterprise. This is because in the modem money-oriented economy finance is one the basic foundations of all kinds of economic activities. It is the master key which provides the access to all the sources for being employed in manufacturing and merchandising activities. It has rightly been said that business needs money to take more money. However it is also prove that so money will get more money. Before taking a leading decision, the banker will have to study the financial status and other activities of the firm. Financial status can be assessed by examining the financial statements which includes the capital and revenue accounts which are known as balance sheet, income account, manufacturing account, appropriation account, analysis of the statements audit report and directors report. Banks normally adopt going concern analysis and gone convert analysis. Going concern analysis implies that the firm will continue in business. The Management makes use of various financial techniques device etc. for administrating the financial assets of the firm the most effective way. Financial management therefore means the entire games of management efforts divided to the management of finance, with its sources and services of the enterprise.