PROJECT VIVA
Topic:-
AN ANALYTICAL STUDY OF
RATIO ANALYSIS OF FEDEX
TRANSPORT COMPANY
Name:- CHAKRAVATI RUPESH LOKHANDE
Guide:- DR. RAGHVENDRA MISHRA
INTRODUCTION
• Finance may be defined as the art and science of managing money. It includes financial service and
financial instruments. Finance is also referred to as the provision of money at the time when it is
needed. Finance function is the procurement of funds and their effective utilization in business
concerns. The concept of finance includes capital, money and amount. But each word is having unique
meaning. Studying and understanding the concept of finance become an important part of the business
concern.
• Business concern needs finance to meet their requirements in the economic world. Any kind of
business activity depends on the finance. Hence the money required to meet the needs of business is
termed as business finance and it is also called as lifeblood of business organization. Whether the
business concerns are big or small, they finance to fulfill their business activities
• Business finance deals primarily activity concerned with planning, raising, controlling, administering
of funds used in the business.
COMPANY PROFILE
FedEx Corporation is an American multinational delivery Services Company headquartered
in Memphis, Tennessee. The name "FedEx" is a syllabic abbreviation of the name of the
company's original air division, Federal Express (now FedEx Express), which was used from
1973 until 2000. The company is known for its overnight shipping service and pioneering a
system that could track packages and provide real-time updates on package location, a feature
that has now been implemented by most other carrier services.
OBJECTIVES
• To study and analyze the financial position of the FedEx Corporation.
• To study the smooth working and functioning of the company.
• To study the profitability made by the FedEx transport company.
• To study and compare the useful interpretation of financial statement for
three years.
• To determine the efficiency with which the firm is utilizing its various assets
in generating sales.
CURRENT RATIO:
CURRENT RATIO =CURRENT ASSETS / CURRENT LIABILITY
Particulars 2018 2019 2020
Current Assets 12628 13341 13086
Current 7918 9627 9013
Liability
Ratio 1.59:1 1.38:1 1.45:1
GRAPHICAL REPRESENTATION
Current Ratio
1.65
1.6
1.55
1.5
1.45
Current Ratio
1.4
1.35
1.3
1.25
2018 2019 2020
Interpretation: As it is clearly shown that the current ratio is much higher in 2018 as compared
to 2019 and 2020.
The company can exploit favorable market conditions like purchase its requirements in large
quantity when the price is lower in the market.
FINDINGS
• For the analysis of overall financial position of the company “Ratio Analysis”
is such a tool which plays an important role in deciding whether the company
is sound or not.
• For overall analysis of the financial position, it is very necessary to gaze the
profitability, short term & long terms financial position of the company.
• The ratio analysis is basically meant for the studding the trend of each
element viz., liquidity, profitability and leverages. The ratios study at FedEx
shows that the company is well managed and almost all ratios are favorable.
• Company is utilizes the funds efficiently.
• It is found that company depend on the outsider fund to fiancé its fixed asset.
CONCLUSION
• Company should try to circulate or decrees, the operating cost of the product to
get the higher Profit margin on sales.
• The companies should maintain the current assets to meet the current liabilities.
• The company should maintain its liquidity in future also, to the pay the short
term obligations.
• The company should maintain its interest covering capacity to pay interest in
future.
• The company should utilize the funds efficiently and effectively which are
provided by shareholders.
• Company should maintain its expenses properly.
LIMITATIONS
• The study is completely depreciation end on the published document I.E. Balance sheet, profit and loss account.
• There is no slandered for each ratio.
• The scope of study is vast therefore it is difficult to all aspect of it.
• Period is limited i.E.50 days.
• It is not possible to collect all cooperative data and detailed information because of confidently.
The study is restricted to the fedex corporation.
