Financing decisions and analysis of monno ceramic
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Transcript of Financing decisions and analysis of monno ceramic
TERM PAPER PRESENTATION
on “Financing Decisions and Analysis of
Monno Ceramic Industries Limited (MONNOCERA)
Presented by: Md. kowshick AhmedID: 16251009Section: ABBA in MKT
Executive Summary
What is Financing Decision?
What is Financing Decision?
Financing decisions is concerned with the borrowing andallocation of funds required for the investment decisions.
2 sources:
❶ Using a company’s own money, such as share capital,retained earnings or
❷ Borrowing funds from the outside in the form debenture,loan, bond, etc.
History of Monno Ceramic Industries Limited
Industry Ceramics Manufacturing
Founded 1985 By Mr. H.R. Khan Monno
Headquarters Dhaka, Bangladesh
Area served Asia, Europe and Africa
Products Porcelain, New Bone China, Ivory China
and Bone China tableware
Vision and Mission of Monno Ceramic Industries Limited
Vision :
They consider business to be a way to the prosperity of the shareholdersand every other partner, society and in addition the national enthusiasm allin all.
Mission:
The mission of the company is to provide world class quality product to ourvalid customers, strictly maintain ethical standard, in business operation.
Nature of Financing used by Monno Ceramics Industries Ltd.
Equity financing is the process of raising capital through the sale of shares in an enterprise.
▪ Share capital
▪ Revenue Reserve
Debt financing means borrowing money and not giving up ownership. Debt financing often comes with strict conditions or covenants in addition to having to pay interest and principal at specified dates.
(That mainly indicates the liabilities session)
Findings part
DEBT-EQUITY RATIO:
Debt to equity ratio is a long term solvency ratio that indicates the soundness of long-term financialpolicies of a company. It shows the relation between the portion of assets financed by creditors and theportion of assets financed by stockholders.
▪ Debt equity ratio =𝐓𝐨𝐭𝐚𝐥 𝐝𝐞𝐛𝐭 / 𝐒𝐡𝐚𝐫𝐞𝐡𝐨𝐥𝐝𝐞𝐫𝐬′𝐞𝐪𝐮𝐢𝐭𝐲
Year 2010 2011 2012 2013 2014
Debt to Equity Ratio 0.30 0.30 0.75 0.75 0.74
DEBT-EQUITY RATIO:
▪
2010 2011 2012 2013 2014
Debt To Equity Ratio 0.3 0.3 0.75 0.75 0.74
0.3 0.3
0.75 0.75 0.74
Debt to Equity Ratio
Debt To Equity Ratio
Financing Analysis
Share holders Equity
Findings and Analysis
Non current liabilities and its changes in %
2010 2011 2012 2013 2014
Total Current liabilites/shor term
financing554,535,953 643,167,477 694,545,970 70269061 77,284,355
Total Current liabilities /short term financing
Total current liabilities- short term Financing
Monno ceramic industries Stock Price
208.56
192
96 96 95
0
50
100
150
200
250
2010 2011 2012 2013 2014
Stock Price
▪
Thank
YOU