Description
This PPT include total capital employed, debt capital, equity capital, retained earnings for year 2010, 2011, 2012
1.
2. 3. 4. 5.
Presented by Shashank Goswami PRN 094 Shashank Parulkar PRN 095 Shrey Vasa PRN 096 Shubham tiwari PRN 098 Siddharth Dubey PRN 100
Definition: Money invested in a business to generate income. It Consists of : 1. Debt Capital 2. Equity Capital 3. Preferential Capital 4. Retained Earning
As on Total Capital 31.03.2012 80,490.41 31.03.2011 62,390.74 31.03.2010 54,598.58
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Debt capital is the capital that a business raises by taking out a loan. It is a loan made to a company that is normally repaid at some future date. Debt capital differs from equity or share capital because subscribers to debt capital do not become part owners of the business, but are merely creditors, and the suppliers of debt capital usually receive a contractually fixed annual percentage return on their loan, and this is known as the coupon rate.
As on Debt Capital (Cr.) 31.03.2012 51,103.63 31.03.2011 37340.19 31.03.2010 24607.32
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Invested money that, in contrast to debt capital , is not repaid to the investors in the normal course of business . It represents the risk capital staked by the owners through purchase of a company's common stock (ordinary shares ). On the balance sheet of the company , equity capital is listed as stockholder’s equity or owners’ equity. Also called equity financing or share capital
As on 31.03.2012 31.03.2011 121.77 31.03.2010 120.44 Equity Capital 122.48 (Cr.)
When a company generates a profit, management has one of two choices: they can either pay it out to shareholders as a cash dividend, or retain the earnings and reinvest them in the business.
As on Total
31.03.12 29,264.30
31.03.11 24,514.93
31.03.10 20,490.56
Ratio that measures the percentage of net income paid out in dividends. It equals dividends per share divided by earnings per share. Stockholders generally favor companies that distribute a high percentage of their earnings in the form of dividends. As on 31.03.12 31.03.11 25.15 31.03.10 19.72
Dividend payout 24.95 (Net Profit)
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Cost of Debt refers to how much money it costs a firm when using debt for financing. Whenever anyone takes debt they must repay interest. The associated interest is the cost of debt. Cost of debt capital= Interest *(1- Tax rate)/Debt Capital Corporate Tax rate =40%( for domestic company with earning more than INR 10m)
As on Cost of debt capital (%) 31.03.12 2.22 31.03.11 2.17 31.03.10 2.73
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Based on Dividend Payout ratio we have determine the company’s performance. Higher the ratio, better the stock’s performance.
30 25
20 15 10 5 0 2010 2011 2012 L&T Reliance
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http://www.answers.com/topic/dividend-payout#ixzz2GSrPRnSL http://www.businessdictionary.com/definition/equity-capital.html#ixzz2GSAvk1n4 http://www.moneycontrol.com/financials/larsentoubro/balance-sheet/LT#LT http://www.indiacompanysetup.com/india-corporate-tax-rates/
doc_609716277.pptx
This PPT include total capital employed, debt capital, equity capital, retained earnings for year 2010, 2011, 2012
1.
2. 3. 4. 5.
Presented by Shashank Goswami PRN 094 Shashank Parulkar PRN 095 Shrey Vasa PRN 096 Shubham tiwari PRN 098 Siddharth Dubey PRN 100
Definition: Money invested in a business to generate income. It Consists of : 1. Debt Capital 2. Equity Capital 3. Preferential Capital 4. Retained Earning
As on Total Capital 31.03.2012 80,490.41 31.03.2011 62,390.74 31.03.2010 54,598.58
?
?
Debt capital is the capital that a business raises by taking out a loan. It is a loan made to a company that is normally repaid at some future date. Debt capital differs from equity or share capital because subscribers to debt capital do not become part owners of the business, but are merely creditors, and the suppliers of debt capital usually receive a contractually fixed annual percentage return on their loan, and this is known as the coupon rate.
As on Debt Capital (Cr.) 31.03.2012 51,103.63 31.03.2011 37340.19 31.03.2010 24607.32
?
?
Invested money that, in contrast to debt capital , is not repaid to the investors in the normal course of business . It represents the risk capital staked by the owners through purchase of a company's common stock (ordinary shares ). On the balance sheet of the company , equity capital is listed as stockholder’s equity or owners’ equity. Also called equity financing or share capital
As on 31.03.2012 31.03.2011 121.77 31.03.2010 120.44 Equity Capital 122.48 (Cr.)
When a company generates a profit, management has one of two choices: they can either pay it out to shareholders as a cash dividend, or retain the earnings and reinvest them in the business.
As on Total
31.03.12 29,264.30
31.03.11 24,514.93
31.03.10 20,490.56
Ratio that measures the percentage of net income paid out in dividends. It equals dividends per share divided by earnings per share. Stockholders generally favor companies that distribute a high percentage of their earnings in the form of dividends. As on 31.03.12 31.03.11 25.15 31.03.10 19.72
Dividend payout 24.95 (Net Profit)
?
? ?
Cost of Debt refers to how much money it costs a firm when using debt for financing. Whenever anyone takes debt they must repay interest. The associated interest is the cost of debt. Cost of debt capital= Interest *(1- Tax rate)/Debt Capital Corporate Tax rate =40%( for domestic company with earning more than INR 10m)
As on Cost of debt capital (%) 31.03.12 2.22 31.03.11 2.17 31.03.10 2.73
?
Based on Dividend Payout ratio we have determine the company’s performance. Higher the ratio, better the stock’s performance.
30 25
20 15 10 5 0 2010 2011 2012 L&T Reliance
? ?
?
?
http://www.answers.com/topic/dividend-payout#ixzz2GSrPRnSL http://www.businessdictionary.com/definition/equity-capital.html#ixzz2GSAvk1n4 http://www.moneycontrol.com/financials/larsentoubro/balance-sheet/LT#LT http://www.indiacompanysetup.com/india-corporate-tax-rates/
doc_609716277.pptx