Hello pals quite babu chuno of you are buyer in the capital market around equity market nonetheless tell me how many of you see the annual records of those company in which you are investing very few annual report is certainly a very really important tool for you to be able to know in detail around the company but not only its financials but. numerous things which will give a person a sharper idea regardless of whether to invest in this business or certainly not and in the event yes with what amount very best right valuation so a few go through within detail the material involving annual report and exactly how accomplish you interpret them consequently first of all as soon as you open this total annual report there is company's profile the name connected with the company the panel of directors with the corporation how quite a few all of our exec directors. marketer administrators how many are independent film fans then which are often the auditors of this business who are the corporation admin of this company who will be the bankers of this company who are the registrar in addition to transfer broker of this organization almost all whole lot of depth you get which will be also very important for the reason that when you know who are classified as the independent administrators and if an individual read their own profile you are going to come. to be able to know the quality with this company and its management then comes the notice regarding Annual General Getting together with nowadays notice many a good times is attached in the annual report on its own as well as send as an accompaniment or an extra divide duplicate but notice is definitely also extremely important because away from each other from the standard official matters it in addition has its own special organizations to hold out and also you must fully grasp that what are. those people spatial businesses is typically the firm raising capital is definitely the corporation hiring involving his split or will be the company purchasing quite a few additional company these are all of mentioned in those people promises is a special organization and nowadays in this particular time of Evo rollator walker you can all engage straight into the you realize in that resolutions saying of course or even no then comes an incredibly crucial part of administrators record directors in his or her. report offer a summary of the financials on the business any changes in often the cash structure of often the company what is the business outlook for upcoming what in relation to the subsidiary plus associate companies how performed they will conduct was there almost any change in the mother board of directors of the particular on the company all often the properties from the companies are usually insured and assured romantic relationship with the people the employees the staff of the particular. company plus a whole lot of information including the particular appreciation to the men and women who have backed typically the company along with that directors survey there is usually a management dialogue record in management discussion not only the company's whole location is usually discussed in picture but it really is connected using the global happenings using the local domestic financial system with the market by itself where the company is and. in that how performed this business perform the whole SWOT evaluation of this company the risk management policies the HR insurance policies I mean various statutory commitments are defined explained in typically the management debate report and nowadays one particular more report that is on corporate social accountability CSR as you all realize CSR initially is suitable to the firms which often have turnover of. thousand crore in Indian rupees or have the revenue of five crore or more or net really worth greater than 500 crore virtually any one of this if many people have they become trusted because of this CSR obligations I actually will not necessarily go in detail for that you can observe my another video following obtaining completed the director's report the another significant together with rather very crucial part of the balance sheet is the auditor's report now what do the Auditor. auditors do the auditors approve the fairness of the particular statement of issues associated with the company its profit and loss account its balance sheet is following up associated with standard routines accounting specifications and when the auditor locates right now there is some deviation there are many litigations some cases organization has not paid the income tax or any flaws which have to not normally be now there in the regular training course of the business often the auditor. authorize it review and then for you it will be very important as an educated investor to look over these requirements and evaluate what will are the effect of these qualifications around the company in future consequently auditor report is really important then we come face to face with the monetary statements often the fiscal record comprising over earnings and loss bank account this profit and loss consideration has to be carefully read and understood what is the. top brand of the company from this main business of this company how much the corporation has earned total cash flow what are the spending what is the percent of the raw material if the idea is a manufacturing business which is usually consumed this can be a large markup high contribution corporation as well as less margin a lesser amount of share company exactly what charges are there in often the business are they fixed or varying are. that they in preparing to different proportion to other peer companies or there is also a change what is the proportion involving Abeyta to the particular gross sales making before attention depreciation inside text the fact that is a beta very best net profit percentage in advance of text and what will be the netting profit percentage after text message and well then compare with the PR companies. how this company will be performing among them all because you is surely an buyer you are going to be able to invest in the equity of this company and even then up coming comes often the balance sheet this declaration of matter with the company balance sheet again is very important document because that demonstrates the total wellness involving the organization what. is the capital from the company what are the stored with the company if anyone look to liability lateral what are the long term secured loan long-term unsecured credit card loan short term placed loan short term unprotected loans then what are current debts of the firm exactly what are the provisions which will the business has designed and then to the particular advantage side what will be the fixed investments what are the current resources very best. investment which the particular company has turned the present assets comprising involving inventory book financial debt money together with advances and then with the help of various ratios you examine the health position of this firm then an additional statement and that is there can be a cash flow declaration how cash has are available in plus gone the cash came through typically the income it came by the void of capital if that is if there in this particular year the idea came via. the particular raising of funding the idea came up through the increase in the debts it gone into redemption of dimensions when ventures were there it went into k-pax building it entered increase in the doing work capital how is the fit between the long lasting and the short term regardless of whether the short term resources have got recently been put in for the long term which will be not really best suited and regardless of whether the long term resource is raised have very little use for. long name will invest in quick term you have to analyze that and then take a judgment and then comes she jewels together with notes to the bank account you have to look over just about every routine the break-up of funds the break-up of reserves the split up of loans secured personal loan and based loan split up of creditors breakup regarding datas funding and advances fixed resources there will be the fixed resource plan and notes regardless of if the corporation is. following the accounting standard consecutively or can there be any change in often the accounting standard policies if full disclosure of contingent debts have recently been made contingent liability can get for any virtually any expenses which the company has not yet accepted this can possibly be for any contract which has already been awarded but which has not completely provided for or spent together with the amount which is by now invested or the. border money it might be for this guarantee issued because of the lenders for and on part of the company and several notes clarifying this bureaucratic remuneration the taxation insurance plan the textareas the case is usually pending from the company together with whole lot of information which will the administration wants to give by way of a records to the particular accounts one crucial position which we left to be covered was the business. governance report therefore here in the annual record also the business do approve that that followed often the practice regarding corporate governance as required under typically the law under the policies and one more thing is that just in case the company has subsidiaries firms associate companies then this has to give a combined accounts as well which is also part of often the annual report I are going to not go in detail of that which a person can look at. however ultimately the principles will be the same therefore a new then as an individual you have to always be an informed investor and be an informed individual aside from what you notice and watch in the tv as well as on the internet this is very crucial for you yourself for you to glance at the balance sheet regarding the company you will be shelling out you are investing hundreds lakhs and crores of rupees in the equities of these nice but a person are not. disturbing for you to commit 1/2 several hours an individual know reading and understanding the balance sheet thus from my advices currently is always that start reading analyzing the particular financial accounts plus yearly report of often the company you will end up better advised investor give thanks you.
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