1 OVERVIEW OF THE ORGANIZATION

1.1 BRIEF HISTORY OF ORGANIZATION

General Fan Company is the company acquired the ISO 9001 authentication GFC is one of the

largest manufacturing companies in Pakistan fan. Although it began as a small production

company in 1954, after flourishing, become the largest manufacturer of fans, it has become the

export of the company Pakistan. It is based in Gujarat, most of them are manufactured in

Gujarat. In 1960 the company began exporting the fan in Iraq. Although the company faces

poor financial problems for some time management, in 1970, the new management took over

in 1978, the general manager of Mechanical Engineers Muhammad Ilyas has GFC Fan

Company (CEO) now. Time. The new machine, such as automatic lathe winch and casting

machines was introduced in 1982. Some of the latest automatic winder in 1985, was bought

from Taiwan. To purchase of Japanese manufacturing equipment made of enameled wire in

1987, it has been to produce a high quality enamelled copper wire to provide a high quality

product to the customer. In 1993, a set of plastic injection molding machine, plastic parts were

manufactured. Fourth of modern tools, the mold was done in order to make a mold of the

cutting machine, wire EDM machine, CNC milling machine, Flat and cylindrical grinding, are

configured with automatic rotation machines. GFC Fan Company, immediately becomes the

majority of Pakistan's exports to the country, which currently exports its products to over 30

countries worldwide. Because of its quality, and beyond all competitors, it becomes the best

player in the Pakistani society. This is the first of the company's export trophy and received the

mark of the year award is .GFC, he won the Export Trophy Award 12 today.GFC is also a

pioneer in introducing the latest technologies in Pakistan and it has pride that many other

countries especially Chinese are now copying its designs and adopting its product strategies.

1
1.2 VISION

GFC fan vision statement is:

“Our goal is to go beyond the expectation of our customers by providing them, products of

outstanding quality and greater value, to extend presence in international market through

innovative technology and make the “PAK” brand an icon and symbol of quality on the map

of this world”

1.3 MISSION

GFC fan mission statement is:

“Our goal is to exceed customer satisfaction through supreme quality products, manufactured

to the highest standards that last a lifetime.”

1.4 BUSINESS VOLUME

GFC fan (PVT) Ltd. Pakistan is one of the largest manufacturer company of fans in Pakistan.
It is a step forward [1] important in Gujarat there are more than 500 production sites, is one
of the few production bases throughout Pakistan. Today, in more than 30 countries around the
world has been exporting high quality total fan of .GFC exports was $ 13 million. This year is
planned 15 million.

Fans CEO Haji Muhammad Ilyas GFC, despite the lack of inflation and gas and energy, in
the first seven months of this year, the fiscal fan said exports increased over the previous
year.

Fan Pakistan GFC, for a total of 895,000 fans in the monetary value of 19,150 crore, exported
compared to 619,000 fans last year, the amount is 12 billion rupees. This year has been an
increase of 45 percent.

The total number of employees of the GFC is 501-1000 people.

The GFC fans have won all three major markets:

2
• the domestic market by 16%

• South Asia 16%

• East Asia 16%

GFC is also a pioneer in introducing the latest technology in Pakistan, to copy a lot of special
design is in the countries China, we are proud to have adopted a product strategy.

GFC is also a pioneer in introducing the latest technology in Pakistan, to copy a lot of special
design is in the countries China, we are proud to have adopted a product strategy.

3
1.5 HIERARCHICAL LEVEL OF COMPANY IN A HIERARCHICAL
STRUCTURE, WHICH WILL BE DISCUSSED AT ALL LEVELS OF
MANAGEMENT AND WORKERS. BOARD OF DIRECTORS AND CEO
IS THE MOST SENIOR EXECUTIVES, MANAGING DIRECTORS IN
MEDIUM AND LONG TERM WILL HAVE THE FINAL MANAGEMENT
TO LOWER MANAGEMENT.

Board of Directors

Chief Executive Officer

(CEO)

Director Director Director

Fin. &Pur. Marketing Production

General
Manager
Accounts

Manager Manager Manager Manager Manager Manager

Sales Auditing H. R. M Exp. & Ceiling & Quality Control
Imp. Pedestal

Cashier R&D
Interna External Department
l

4
1.6 BOARD OF DIRECTORS

Shareholders select the board of director. Board of directors has the ultimate authority of

making policies and decisions of company. Board of directors selects CEO of a company.

Muhammad
Ijaz

Nighat Ilyas Nazim Ijaz

Mobeen Board of Asim Ijaz

Ahmed IIyas Directors

Nabeel
Farhat Ijaz
Ahmed Ilyas

Muhammad
Ilyas

Muhammad Ilyas and Muhammad Ijaz Both are brothers, we are owners of a joint venture.

Muhammad heal is the CEO of the company, Ijazu Muhammad is the financial director and

procurement. The entire Board of Directors is the family. Fans GFC company is owned and

run by two ordinary families.

5
1.7 EXPORTS

GFC produces a wide range of products, even for customers abroad and domestic customers

and offering the product.

GFC started exporting the fan in Iraq in 1960. GFC beginning mainly exported in 1993, has

been exported to the current in many parts of the world, more than 30 countries. It was known

as one of the best fan Pakistan manufacturer. The total value of exports amounted to 12 million

dollars a year, which is increasing day by day. Because of its quality, currently, Asia, the

Middle East, has won the African and European markets.

GFC is the United States, United Kingdom, France, Italy, Malaysia, Bangladesh, Sri Lanka,

Saudi Arabia, Qatar, Yemen, United Arab Emirates, Iraq, Iran, Jordan, Afghanistan, Sudan,

Djibouti , Kenya, Mozambique, South Africa, Angola, Senegal, Cameroon, Nigeria, Gambia,

Ghana, Congo.

Details of export during last thirteen years are given in the image below:

Figure 1-1: Details of Exports during Last 13 Years

6
1.8 PRODUCTS

Following products are currently being manufactured by GFC Fans.

1.8.1 FANS

Major fans categories are:

1.8.1.1 CEILING FANS

 Standard Series

 Elite Series

 Export Series

 Reversible Series

1.8.1.2 PEDESTAL FANS

1.8.1.3 BRACKET FANS

 Standard Series

 Elite Series

 Heavy Duty Series

1.8.1.4 CIRCUMATIC FANS

1.8.1.5 TCP AND TABLE FANS

 TCP

 Table

7
1.8.1.6 LOUVRE FANS

1.8.1.7 EXHAUST FANS

 Exhaust Plastic

 Exhaust metal

1.8.1.8 MIST FANS

1.8.1.9 FLOOR FANS

1.8.2 HOME APPLIANCES

 Major home appliances are:

 Washing machines

 Room coolers

 Water heaters

1.8.3 OTHER PRODUCTS

 Skimming Machine

 Copper Wire

 Cooler Pump

 Cooler Fan

[1]

8
1.9 COMPETITORS

2 The competitors, but is supposed to be fundamentally rival, in fact, make strategic

decisions, contribute to high-quality products that are more useful for the market. All
companies, who want to give a competitive advantage by creating a cheap and high
quality products.
3 The GFC is a list of competitors that produce fans Pakistan.
4 Some of them are listed below.
5
6 • True Fan
7 • PAK Fan
8 • Eggplant Fan Yu
9 • Fan Indus
10 • NSAIDs Millat
11 • MEFCO fan
12 • METCO Fan
13 • Fan Value
14 • Liaqat Fans
15 • Fan KARAM

16 • Wahid Fan
COMPANY DEPARTMENTS

We operate an efficient, in order to achieve the goal, you need a lot of departments working

together. Therefore, to work systematically, the company GFC fans are working to the next

field.

List of departments is given below:

 Purchases Department

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  Inspection Department

 Production Department

 Accounts Department

 Sales And Marketing

 Research And Development

 Human Resource Department

 Imports And Exports

 Internal Audit

16.1 PURCHASE DEPARTMENT

purchasing department, it is one of the main departments of any manufacturing company. Its

main function is to buy raw materials in domestic and foreign markets. Buying departmental

function it will be greatly affected. The main responsibility of this department is to buy the

goods. The quality of the production depends on the quality of raw materials, customer

confidence can only be provided a high-quality product.

Throughout the production company, to provide the raw material in the production department

and the Order of the department purchases of raw materials. GFC is a major supplier offers a

product for the entire warehouse.

GFC (distribution center) purchasing department also buy Gujuranwara, the raw material of

local cities such as Lahore. In addition, China, Taiwan, South Korea, United Kingdom, Hong

Kong, have to import raw materials from countries such as Japan.

GFC has produced other countries as follows importation.

• Chemical products

• mechanic

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• Mini Motor

• aluminum foil

• copper wire and rod

• plastic

The estimated purchasing department to hold all the purchase records occurred and the cost.

Material Purchase Inspection

Purchased From Department Department
Market

16.2 INSPECTION DEPARTMENT

The GFC has inspection department, we are required to review all the material purchasing

department and sales. There is work to ensure that all objects and items received in the

distribution center. GFC distribution center, there is a test department to verify the quality of

the products received.

GFC inspection department, are not acceptable to let the poor quality product, back to any

seller defective goods, check the product level.

inspection service limits the balance of the following products.

• hit

• Low quality

11
• the seller is not permitted

inspection department to guarantee the following products:

• highest quality

• an authorized dealer

• No bad

12
16.3 PRODUCTION DEPARTMENT

The production department of each company has its importance, it can not be of any prosperity

of society if not superior productivity. GFC is responsible for a large part of the production for

the manufacture of all the products of Gujarat, and supplies it to the distribution center.

GFC is distribution, and concentrating all the products of the leading providers, then provided

the provider of the final product.

production department of the GFC is under the supervision of Mr. AsimIjaz (director of

production division), operating under their supervision. The obligation is to ensure the quality

of production.

All staff in the production sector is not very good, of which 20 people perform the role of the

management team, ie the workers who work for 700-800 people actually produces high quality

articles that are of society is a real resource.

the production of GFC is divided into four sub-sector.

• Motor section

• The section of the body

• Packaging Section

• lace Area

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16.3.1 MOTOR SECTION

A. This is an important part of the production sector. In these sections, ceiling fans, pedestal

fans, of various products, such as to colder air motors are constructed.

B. fan, a variety of engine, that is 36 ", 48", to use the engine and 56 ".

C. pedestal of the fan motor is completely different from the ventilator. The department has

also produced the fan motors standing.

D. the local temperature will use the engine in two ways. Fan and water pump.

This section also covers the following sections:

16.3.1.1 WINDING SECTION

In this section copper wire is used and is made winded to make the motors and for further

production.

16.3.1.2 COIL TESTING SECTION

In this section the coil for winding is being tested and only recommended wire is used for

winding section.

16.3.2 BODY SECTION

In this section bodies of various departments are made no matter whether the body is made up

of plastic or any metal. Bodies of fans, washing machines, coolers, heaters and other products

are made.

This section consists of following subsections:

 Blade Section

14
  CNG Milling Section

 Plastic Molding Section

 Copper Wire Section

16.3.2.1 BLADE SECTION

In this section blades for fans and air cooler are produced and this section makes sure the quality

and elegant design of product.

16.3.2.2 PLASTIC MOLDING SECTION

This section is particularly for the plastic manufacturing. Plastic is used for manufacturing of

plastic bodies and spare parts of various products.

16.3.2.3 COPPER WIRE SECTION

In this section GFC makes copper wire for its own production and for selling in the market.

This copper wire is used for motor winding.

16.3.3 FITTING SECTION

In this section all the parts manufactured in different sections are assembled to make final

product. In this section finished product is made to sell.

16.3.4 PACKAGING SECTION

It is the final section before the product is going to sell. After packaging products are sent to

selling marketing department which actually makes the product sell in the market.

Raw Production Finished

Department
Material Goods

15
16.4 MARKETING AND SELLING DEPARTMENT

Sales and marketing is very important throughout the company. Here, in fact, sell the product,

we are the bridge between the company and the customer. This department will promote

manufactured products companies.

In GFC, son of Muhammad Iriyasu to serve as director of marketing, advertising Iriyasu

Ahmad Naberu, she is responsible for marketing. Marketing department will inform the

products and specialized specific customers actually.

GFC is selling the product in many local markets and overseas markets. Its products are 40%

of registered companies, and the remaining 60 percent are sold to unregistered companies. GFC

mainly in Karachi has accounted for 18% to 40% of the market.Research And Development

Department

Research and development (R&D) is very important in any company and it takes the companies

away from their competitors. This department makes research of market and its changes. This

department informs the production department about the taste of customer and varying trends

of the market.In GFC department Mr. Shahbaz is the manager of Research and Development

department.

16.5 INTERNAL AUDIT DEPARTMENT

Internal Internal audits are performed to confirm the responsibility of the accounting

department, then adjust whether the intentional or unintentional errors in the accounts.

16
The GFC, there is also the internal audit function, which operates under the supervision of Mr.

Malik Tafheem.

The main responsibility of this department is to keep on the company's behalf, it is to make

sure there are no errors.

This area, to protect the accounts of fraud company of any society, save the company a great

loss.

Human Resource Department

Human resource department is responsible of hiring, training and firing of employees.

Like many other companies GFC also has a human resource department which does all the

functions mentioned above.

GFC has human resource department which works on employees training, improving their

skills and to motivate them.

There are three types of training done in GFC HR department:

 Induction Training

 On The Job Training

 Off The Job Training

There is a well-trained team behind every successful business. GFC has a best team that

collectively works for the completion of company’s goals.

Employee’s selection is done after a complete recruiting process. Any person who fulfills the

jobs requirement is selected on merit basis.

17
16.6 IMPORTS AND EXPORTS DEPARTMENT

GFC force is heavily dependent on exports. Shahid Ali said he is responsible for this

department. And this department is really the source of income of the company GFC. GFC is,

China, Japan, Hong Kong, by a number of countries, such as Taiwan, has exported machinery

and many other parts.

GFC is also the United States, the United Kingdom, France, Italy, Malaysia, Bangladesh, Sri

Lanka, Saudi Arabia, Qatar, Yemen, exports its products to 30 countries like the United Arab

Emirates.

GFC started exporting the fan in Iraq in 1960. GFC beginning mainly exported in 1993, has

been exported to the current in many parts of the world, more than 30 countries. It was known

as one of the best fan Pakistan manufacturer. The total value of exports amounted to 12 million

dollars a year, which is increasing day by day. Because of its quality, currently, Asia, the

Middle East, has won the African and European markets.

This department is responsible for maintaining the import and export, if really necessary.

Import and Export Department of the GFC is very important in order to capture the world

market for exports and imports of goods, are working carefully. In particular, GFC is unique

in the export of the fan, which was very much appreciated the quality and duration of the GFC

for the safety of advanced technology and price in many countries.

18
16.7 ACCOUNTS DEPARTMENT

Department for any organization is the most important departments. Each organization also can

not work and do not maintain an account. This is due to the fact that dealing with all kinds of

issues related to money, is a large, complex sector into practice. Revenues, expenses such as

employee salaries

GFC accounts department, has been working under the responsibility of Shahid-ur-Rehman is

the general manager of the accounting department.

Accounts Department distribution center GFC is administered by Muhammad Saleman

Chowhan is a personal account manager.Functions And Operations Of Accounts Department

Following functions are performed by the accounts department:

Prepare statement of daily receipts and payments

 Voucher Preparation

 Preparation Of Financial Statement

 Cash Disbursement

 Monthly Trail Balance Preparation

 Ending Adjustments

 Monthly Cash Flows Projection

 Bank Reconciliation Statements

 Sales Invoices

 Sales Tax Invoices

 Report To FBR

19
It also performs the following functions:

 Inventory Reports

 Comparison Of Cash Flows Actual Vs Budgeted

 Capital Investment

 Fixed Assets Schedule Report

 Receivables

 Payables

 Fixed Overheads

 Variable Overheads

 Preparation Of Productions Statement

 Preparation Of Stock Statements

 Wages And Salaries Preparation

 Sales Volume Preparation

 Capital Budgeting

 Raw Material Including Material On The Way

 Finished Goods Stock

 Advances And Receipts

 Factory Over Heads

 Cash/Bank Balance In Hand

 Cash And Pass Books

20
16.7.1 SOURCES OF RECEIPTS AND PAYMENTS

16.7.1.1 SOURCES OF RECEIPTS:

 Recovery From Sales Through Distribution center

 Sales Proceeds Of Left Over Material

 From Export

16.7.1.2 SOURCES OF PAYMENTS:

 Wages

 Staff Salaries

 Utilities Expenses

 Govt. Dues

16.7.1.2.1 GOVT. PAYMENTS:

 Custom Dues

 Sales Tax

 Electricity, Sui Gas And Telephone Bills

16.7.1.2.2 PAYMENTS TO SUPPLIERS

 Suppliers Are Paid On Credit/Cash Basis

 Vendors Are Paid On Cash Basis

 Payments To Foreign Suppliers

21
17 PLAN FOR INTERNSHIP

In my BS program (financial) required is at least 20 weeks to undergo an internship.

Furthermore, my academic knowledge to be able to use it effectively, it is supposed to work in

the finance department can get more information on the accounts and finances. I'm looking for

a commercial organization, which required practices. Finally, I had the opportunity to work in

GFC Distribution Center in Rawalpindi. It 'very good fan of the largest manufacturing company

in Pakistan, was probably one of the closet.

While I was trying to commit accounting department, basically, when I went to the friendly

environment, I had the opportunity to see the work of many other departments and GFC.

GFC logistics center, has worked as a hub supplier products GFC in this region. Purchased a

product from the GFC, in order to provide the end user, it has a nearly 400 of the (distributor)

customers and 60 cities. GFC its urban area distribution center, will begin in Kashmir from

Jhelum.

18 TRAINING PROGRAM

18.1 BRIEF INTRODUCTION OF BRANCH WHERE I HAVE WORKED

I have received training of 20 weeks in the distribution center GFC in Rawalpindi.

MalikNaheed Sultan is the managing director of the center. M. Suleman Chowhan is the

administrator of the account. There are other assistant managers and other staff non-directive.

The distribution center, which provides fans the GFC produced more than 20 cities in Pakistan,

22
have no more than 400 customers. The following is a standard of performance in the business

operations of a logistics center department.

• inventory

• purchase

• Sales

• bill

My Training And Learning

I worked under his supervision. Working environment suited me up to my satisfaction. I got

major training in accounts department but I learned working of all other departments as well.I

tried to learn all the working in the finance department. I was assigned to maintain accounts

department. Present working accountant helped me a lot learning about all the functions and

working of accounts department and maintain them quite well. He also helped me

understanding the practical implications of what I have learned during my academic career in

MBA.

In addition I also learned about the other departments of Distribution center besides Accounts

department such as purchase department, audit department and inspection of material as well.

During my internship time span I learned all major standards of operations of GFC Distribution

center

GFC Distribution center has a single vendor which is GFC and it is supplier too. Its accounts

department majorly works on following accounts.

23
Major accounts I worked in during my internship in GFC Distribution centeraccounts

department:

18.2 TASKS ASSIGNED TO ME BY THE ACCOUNTS DEPARTMENT

 Inventory Register

 Trial Balance

 Daily Voucher Activity

 Cash Book

 Bank Book (Pass Book)

 Auditing Report

 Purchases Account

 Sales Account

 Receipts Account

 Payments Account

 Capital Budgeting

 Financial Statements

 Reconciliation Of Accounts

Details of all departments and work I have done during my internship is given below along

with general entries and working for each.

18.2.1 INVENTORY ACCOUNTS REGISTER

Or the action as it is the most important consideration of the producer, the distribution

center GFC, no stock accounts of the accounts recording the following items.

24
 • Open the inventory

last year's inventories

• Sales to customers

Sales to customers

• The operating result

The return of the bad customer inventory

• purchase

Purchases from a supplier (GFC)

• Purchase of return value

Returned to the supplier's stock defective products

• amount issued

Credit / cash money issued to the customer base is the amount

• receive the amount

Amount received by the supplier or provider

• dependency ratio

It belongs to a different category of unit price of every product

• Close Stock

Month or the end of the fiscal year,

Specimen for inventory register is given:

Inventory Register

GFC Pvt. Ltd Pakistan (Distribution center)

For the month of February 2015

(Bracket fan)
Code Item Open Sales Sales Purchases Purchases Closing Pur Amount
Qty. Name Qty. Qty. Return Return Qty. Rate
005 Bracket 5 3 1 8 2 9 2000 18000
25
Fan
Narration:

The previous post is for the fan support, showing all transactions made on the day of opening

and closing of the quantity and balance.

The entry under the ceiling fan, shows all the transactions made on the opening day and closing

and the balance amount.

Similarly, all trade is done, the total balance and the amount of each element at the end of the

period is calculated.

The balance and the total number of books, you need to adjust the volume of the store.

18.2.2 TRIAL BALANCE(FAN)

Estimated balance is the sum and a period of time (usually a month) a list of all that the bank

has the debit and credit. The trial balance format in two programming files, the entire balance

of debt is displayed in a single column, the balance of total credit shown in the other

columns. The trial balances, all transactions during the period are recorded in the journal will

be created after it has been recorded in the general ledger.

The key to the preparation of the trial balance is to ensure that the entire balance of the

account described in the right column. Appropriate columns are as follows.

Active = discovered

Debt = total asset

Expenses = discovered

Equity = balance credit

26
Revenue = total asset

of FMDC distribution center it will also prepare a verification in the same way the budget.

Specimen for trial balance is given:

Trial Balance (Fan)

For the period of………!

Opening Current Closing

Account Account Name Dr. Cr. Dr. Cr. Dr. Cr.
ID

01-002-005 Customer A 00 5000 00 00 00 5000

01-003-006 Customer B 1000 00 00 200 800 00
01-003-007 Customer C 4000 00 00 00 4000 00

Narration:

In three input of the above, the balances of the routes are available for customers of the GFC

distribution center. And their customers, the company Dr. E 'when you get a certain amount

of money. It prepares estimated in the same way, budget finally balanced.

18.2.3 DAILY VOUCHER ACTIVITY REPORT (FAN)

18.2.3.1 RECEIPTS AND PAYMENTS

In three of the above input, track balances are available to customers of the GFC distribution

center. And its customers, the company Dr. E And when it receives a certain amount of

money. Prepare budget estimated in the same way, we finally balanced.

Receipts:

When some amount is collected form customer we record an entry:

Debit Credit 27

Cash A/C xxx 00

Customer A/C 00 xxx

Payments:

When some amount is sent through Bankto main GFC account, we record entry as:

Debit Credit
0 Bank A/C xxx 00

Cash A/C 00 xxx

Narration: cash payment is made to GFC through bank

Note: along with account name, voucher sequence, voucher type and voucher date is also

mentioned.

That all is done on worksheet.

A specimen for daily voucher entry is given under.

Specimen for receipts and payments of voucher is given under:

Daily Voucher Activity Report (Fan)

For the month of February 2015

Receipts:

Voucher Voucher Account Account Name Debit Credit

Date Seq. Code

01-01-15 10001 200005 Cash A/C 50000 0

01-01-15 10001 200002 Customer A A/C 0 50000
02-01-15 10002 200005 Cash A/C 80000 0
02-01-15 10002 200004 Customer B A/C 0 80000

28
 Payments:

Voucher Voucher Account Account Name Debit Credit

Date Seq. Code

03-01-15 10005 50004 Allied Bank A/C 40000 0

03-01-15 10005 20005 Cash A/C 0 40000
04-01-15 10006 50004 Allied Bank A/C 70000 0
04-01-15 10006 20005 Cash A/C 0 70000

Narration: in the above entries cash is received from customer A and B and voucher is made

and recorded.

Every account has its unique code. As you can see cash account has a code; 20005 so it means

wherever Cash is recorded it have the same code, same as for all other accounts.

(The values for the data above were assumed for demonstration only)

18.2.4 CASH BOOK

Cashbook is basically a financial magazine that includes all receipts and cash payments,

including bank deposits and withdrawal. Entry into the cash book, are recorded in the general

ledger. Cashbook is set to a newspaper article based Bank as an internal monitoring methods.

The GFC headend is a cashbook with a cash transaction records.

It also records all the expenses to be made every day.

Specimen of Cash book is given under:

29
 Cash Book

For the month of February 2015

Date Voucher A/C Account Name Narration Debit Credit Closing

ID
Opening Balance 2000
05-02-15 600005 12345 Ali Electronics Amount Received 1000 0 3000

05-02-15 600006 78967 Freight In Truck Rent 0 50 2950

05-02-15 600007 34567 Ahmad & sons Amount Received 2000 0 4950

05-02-15 600008 10002 Allied Bank Money Withdrawn 0 1000 3950

Narration:

In the above table few temporary accounts are made. You can see that all the receipts are

debited and all the outflows are credited and after each entry updated balance is given.

Similarly all the entries are recorded and at the end of the period updated balance is made. At

the end reconciliation of cash and pass book is done.

18.2.5 PASS BOOK

In contrast to the book written chest, the book was written by the bank, which remains in the

possession of depositors. Deposits will be credited to the credit side, .GFC logistics center

that is extracted from the side of payments, in the end, the settlement of accounts.

General entries in Pass book are as follows:

Pass book

For the month of February 2015

Date Particulars Debit Credit

(Withdrawals) (Deposited)

10-10-14 Cash A/C (check no….) 80000 0 30

Narration: cash withdrawn by check

11-10-14 Cash A/C 0 60000

Narration:

In a typical voice of the above, the amount collected is given in the booklet, which amounts

used can be seen that has been reserved in the booklet.

In the same way as the cash book, the current balance, which will be solved with the book

cash at the end of the period it is created.

All accounts, all of the data has been properly maintained, so there is no error, they are kept

manually before being posted on the web pages.

18.2.6 FINANCIAL STATEMENTS

The standard contents of a set of financial statements are:

18.2.6.1 BALANCE SHEET

Balance is one of the main budget to be used by accountants and entrepreneurs. This is the

date of filing of the company's activities, showing liabilities and equity. It does not display

information to cover over time.

Distribution GFC field, to create a balance at the end of the period, indicating the actual

position of the base of the company.

Here is a simple sample of balance sheet:

GFC fans (distribution centre)

Balance sheet
For the year…………!

Assets Liabilities& Owners’ Equity

Current Assets Current Liabilities

31
Investments Long-Term Liabilities

Property, Plants and Equipments Total Liabilities

From this statement company actually finds its financial position. Most of the financial ratios

such as solvency ratio, quick ratio, current ratio and turnover ratios are calculated to check

the current position of company.

18.2.6.2 INCOME STATEMENT

It shows the results of the entity's operations and financial activities for the reporting period.

It includes revenues, expenses, gains, and losses.

A sample of double entry income statement is given under:

GFC fans distribution center

Income statement
For the year………………!

Sales (Revenues) xxx

Less: Cost of goods sold (xxx)

Gross profit xxx

Less: Operating expenses:
Wages expenses xxx
Rent expenses xxx
Utilities expenses xxx
Admin expenses xxx
Depreciation expenses xxx
Interest expenses xxx
Total expenses: (xxx)
Total income xxx

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Above sample is according to double entry system. Company prepares income statement to

check the net losses.

By using income statements company finds the ratios such as gross margin, earning per share

(EPS) and times interest earned etc to check the financial position of the company.

18.2.6.3 STATEMENT OF CASH FLOWS

cash flow statement shows the changes in the cash flows of the company during the reporting

period.

Fan GFC company also has the most types of budget. three sections

1. Cash flows from operating activities

This section contains the cash flow of the main income-generating activities such as sales and

purchases of goods and services. Net cash flows from operating activities, can be calculated

using two methods. One is a direct and indirect one.

2. Cash flows from investing activities

The investment cash flow is the cash flow and out-flow related activity intended to generate

future cash flows. This is due to the purchase and sale of long-term assets include cash

inflows and outflows.

3. Cash flows from financing activities

Cash flows from financing activities, the question of own resources, the acquisition of

treasury shares, as per cash flow of dividend payments relating to transactions with

shareholders and creditors.

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The cash flow, provides an important link between the balance sheet and income statement.

cash flow statement, if liquidity is coming from the normal course of business, even

businesses are re-investment, will help determine if companies are to increase liquidity.

Analysis of the GFC fan company Pakistan:

19 SWOT ANALYSIS

20 SWOT is basically the disadvantages of the strengths, weaknesses, opportunities and

threats.

21 SWOT analysis is to understand their strengths and weaknesses, is a technique that can
be used to help you identify threats and opportunities that are open are facing.

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Strengths and weaknesses are internal factors, opportunities and threats are external factors

affecting the company. This SWOT analysis is sometimes referred to as the internal / external

analysis. Strengths and opportunities is an area that will help you achieve the goal, but the

weaknesses and threats are dangerous areas, in order to achieve the goal.

Brief definition of all the four parts is given along with the complete SWOT analysis of

Pakistan GFC fans given society.

Strengths

The strengths segment of a SWOT analysis provides an area to list everything done right

either individually or as an organization

Strengths tell us about the following things that needed to be taken into account to achieve

the goals.

 What advantages does our organization have?

 What do we do better than anyone else?

 What lowest-cost resources can we draw upon that others can't?

 What do people in your market see as our strengths?

 What factors mean that we "get the sale"?

By keeping in mind all the given points GFC fans have the following strengths:

 GFC has following edge over its competitors:

 GFC is the largest manufacturer of fans in Pakistan

 GFC the largest market in the Pakistan

 GFC has the highest export of fans

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  GFC has the largest captured market globally

 GFC providing the best quality

 GFC using the latest machinery to manufacture its products

 GFC has a stream of products

 GFC’s products are cheaper than its customers

 GFC is a contributing the major part in GDP

 GFC has the flexibility to meet market changes

 GFC providing a great number of job opportunities

 GFC providing the best innovation products

 GFC products are less harmful to the environment

 GFC always makes customer oriented books

21.1 WEAKNESSES

The weak segment contains the fabric needed improvement or personally. The area is also

damaging weaknesses are internal to the organization's objectives.

Weakness area basically tells the followings things to be considered:

 What could we improve?

 What should we avoid?

 What are people in our market likely to see as weaknesses?

 What factors lose we sales?

 Our company has no market presence or reputation

 We have a small staff with a shallow skills base in many areas

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  We are vulnerable to vital staff being sick, leaving, etc.

 Our cash flow will be unreliable in the early stages

By considering all of above points GFC has the following weaknesses:

 GFC is investing less in inspection R &D department.

 GFC still lacking in technology

 GFC paying less attention to its economy of scale

 GFC is paying less attention to rural area market

 GFC has male dominated workforce

 GFC is mostly stagnant with the fans only

 GFC is providing comparatively less pay to its employees

 GFC has all it manufacturing in Gujarat

 GFC has Low electricity safety standards

 GFC is only restricted to urban areas

 GFC has non-proactive marketing

 GFC has comparatively less staff in its distribution centers

 GFC is paying less attention regarding solar energy consumption

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21.2 OPPORTUNITIES

The next part of the SWOT analysis is an opportunity. This means there are opportunities for

improvement throughout the organization. As a result, the opportunities SWOT segment is

important. Within this segment, the organization identifies internal and external

opportunities.

The occasion is the external factors that can help to achieve the goal of society

fundamentally.

Useful opportunities can come from such things as:

 Changes in technology and markets on both a broad and narrow scale.

 Changes in government policy related to your field.

 Changes in social patterns, population profiles, lifestyle changes, and so on.

 Local events.

 Our competitors may be slow to adopt new technologies

By taking into account all the above mentioned points GFC is starving to capture its

opportunities, which are as follows.

 Growing demand in export market

 Growing demand in rural areas

 Scope for economies of scale

 Innovation towards energy efficient fans

 Innovation regarding solar energy consumption

 Capturing more international market

 Adopting latest technology to reduce cost

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  Using workforce diversity concept

 Producing other electric appliances

 Hiring professionals to improve quality

 Franchising abroad to reduce custom charges

21.3 THREATS

The next part of the SWOT analysis is an opportunity. This means there are opportunities for

improvement throughout the organization. As a result, the opportunities SWOT segment is

important. Within this segment, the organization identifies internal and external

opportunities.

The occasion is the external factors that can help to achieve the goal of society

fundamentally.

 What obstacles do we face?

 What are our competitors doing?

 Are quality standards or specifications for our job, products or services changing?

 Is changing technology threatening our position?

 Do we have bad debt or cash-flow problems?

GFC is facing following threats:

 Emerging of global competitors

 Low electricity safety standards

 Decreasing trends in Income of customers

 Local political issues

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  Negative image of Pakistan due to terrorism

 Demand for imported products

 Industry resistance to change

 Low entry and exit barriers for new entrants

 Change in mood, life style and demands of customers

22 CONCLUSIONS

Fan work GFC (distribution center) was a truly wonderful experience. In my practice, has

learned a lot about the real side of the company, which will explore the capabilities of my

reports, it really helps the academic work practical skills.

After practice, I played a liability more confidence in their work. I will deal with the public,

to learn to work with colleagues who have helped to improve my ability to interact with

people from different regions.

Because I was specializing in finance, my internship in the accounting department really

helped run on my financial problems. I, and all the main aspects of the finance department,

tried to learn the document that has been prepared in order to carry out the accounts of the

distribution center.

In my practice, I have also learned behavior and how to help workers.

GFC has become one of the largest manufacturing industry in Pakistan has made great

strides. Therefore, the whole department is in progress. Launched the product abroad, we

maintain the quality.

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In my practice, I have learned the most important thing of all you need to maintain the

account. In addition, you can also learn how and strategies needed to run the business.

In addition to the accounting department, all other departments to work in the distribution

center GFC is particularly observed buying and selling products.

All departments are discussed to work in GFC, last SWOT analysis explains all the

advantages of the GFC, weakness, opportunities and threats.

23 RECOMMENDATIONS

During my internship at the fan distribution center GFC, I observed all the functions of the
center, has tried to win a focus on the GFC fan company that works as a whole. GFC works
quite effectively, but still needs to improve in many departments.

GFC is a manufacturing company fan leader in Pakistan, there are still many areas in which it
made a lot of improvement in order to fill the gaps that have been discussed also in the
SWOT analysis.

It has been discussed here in some of the issues that I have observed is a solution.

• GFC is still paying more attention to the production, you should pay attention to other
departments, in particular research and development of inspection.

• GFC is, because of the low salary package because of the low level of salary of the
employee, it is less likely to pay the employee's interests. You can increase the level of
employee commitment to address properly.

• Another big problem is, FGC is run by two of the joint family, because it is the Board of
Directors and the company's decision-makers, the employee does not have the GFC due to
lack of long-term management of non-living thing. Ambitious level can be increased to
participate in decision making.

• Since the GFC technology has not yet reached the international standard, you can increase it
by searching on the world market. So that it can eliminate the manual system, MIS system
should be more efficient.

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• Because you are using the bill GFC department is still the old system, it is necessary to
replace the latest accounting software.

• GFC is because it is not concentrated in the countryside, there is a need to expand the
market focus is also in rural areas.

GFC because he has to go to full production in Gujarat, it is also necessary to transfer

production to other regions, it is possible to reduce transportation costs and transportation
costs.

• GFC, we will need to diversify its business by investing in other electrical appliances, in
order to minimize the risk.

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24 REFERENCES

[1] "Gujrat Online," [Online]. Available: http://www.gujratonline.info/fanindustry.php.

[2] "GFC Fans," [Online]. Available: http://www.gfcfans.com/.

[3] "Pak Biz," [Online]. Available: http://pakbiz.com/Fan_SID104.html.

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