Project Report-Master Company Analysis- UttarPradesh
Hemanth
29 December 2017
1. Introduction
Paid up Capital of a Company
Paid up share capital of a company is the amount of money for which shares were issued to the shareholder for which payment was made by the shareholder. Paid up capital will always be less than authorised capital as a company cannot issue shares above it authorised capital.
2. Overview of the Study
Our field study concerns Paidup capital and Authorized capital of various companies in UttarPradesh, located in India - in Asia.The economy of Uttar Pradesh is the second largest economy in India . According to budget 2017-18, Uttar Pradesh’s GSDP is ???14.46 lakh crore (US$230 billion). According to 2011 census report Uttar Pradesh have 22.3% urban population. Maharashtra have 5,08,18,259 urban population while Uttar Pradesh have 4,44,95,063. State have 7 cities with population more than one million. After partition in 2000, the new Uttar Pradesh state produces about 92% of the output of the old Uttar Pradesh state. In this study, we compare the prices of authorized and paidup capitals of various business companies in UttarPradesh and analyze if they are dependent on each other.
3. An indepth view of the capitals
3.1 Overview
Authorised Capital
- All new companies must authorise a minimum amount of capital, which:
- For private limited companies and OPCs is Rs. 1 lakh;
- and for public limited companies is Rs. 5 lakh.
Such capital is first decided at the beginning of the firm’s incorporation.
As the amount of authorized capital increases, so will the ROC fee.
Even after the incorporation of the company, the authorized capital can be changed at any point of time.
This is no way means that a person owes such an amount to anyone.
This capital is not liable for use to calculate the net worth of the company.
As mentioned earlier, it is the limit to which a firm can issue shares. One can issue shares less than the authorized capital too. You can check the fee related to such a capital at the MCA portal.
Start-ups tend to register their companies with the minimum authorised capital, as the fees for incorporation are tied to the amount authorised. But some companies do incorporate with authorised capital much larger than current requirements so that they don’t have to inform the RoC when they want to raise more money. However, even if there is an increase in paid-up capital, the RoC must be informed.
Paid-up capital
Until the Companies (Amendments) Bill 2015, in effect May 26, 2015, companies had to have paid-up capital worth at least the minimum authorised capital. But the amendment has removed this requirement. This means that you can now choose to have paid-up capital of as little as Rs. 5,000 (this is the amount you actually need to invest toward the business).
Paid up capital cannot be more than authorized capital; it can be lower or equal to it.
The company has to issue shares of the amount that has been decided as paid up capital during the time of incorporation. This needs to be done within 60 days of incorporation of the company.
A company can issue shares and also buy them back, subject to certain terms and conditions.
The amount that a firm receives as paid up capital can be used for business expenses of the company.
Unlike authorized capital, paid up capital is liable to be considered for calculation of the company’s net worth. It is, however, imperative to add that both authorized and paid up capital are mentioned in the balance sheet but only one is used for calculating the firm’s net worth. :
Hypothesis Considered
Significant Relationship Between Authorized and Paid-up Capitals
3.2 Data
The dataset is attained from the following website :
About the website :
The website provides data on master details of any company registered with Registrar of Companies (RoC). Data contains various information like Corporate Identification Number(CIN), Company Name, Company Status, Company Class, Company Category, Authorized Capital in INR, Paid-up Capital in INR, Date of Registration, Registered State, Registrar of Companies, Principal Business Activity, Registered Office Address and Sub Category.
To understand the authorized and paidup capital better, consider the example:
ABC Ltd was registered with registrar with a registered capital of Rs. 20,000,000 where each share is of Rs. 10.
In response to the advertisements made by the company to buy shares in the company applications have been received for 1,000,000 shares but company actually issued 700,000 shares where company has called for Rs. 8 per share.
All the calls have been met in full except three shareholders who still owe for their 6000 shares in total.
Solution:
Authorized capital = Rs. 20,000,000
Subscribed capital = 1,000,000 x Rs. 10 = Rs. 10,000,000
Issued capital = 700,000 x Rs.10 = Rs. 7,000,000
Called-up capital = 700,000 x Rs. 8 = Rs. 5,600,000
Paid-up capital = 5,600,000 - (6000 x Rs. 8 ) = Rs. 5,552,000
Results
The R^2 value of the regression analysis is 0.9 ,which is a very good model -> The model’s, p-value: < 2.2e-16 is also lower than the statistical significance level of 0.05
Inference
The PAIDUP_CAPITAL is response variable or dependent variable. Predictor variables IS AUTHORIZED_CAPITAL. The results of the regression analysis indicates that we can safely reject the null hypothesis that the value for the coefficient is zero. (or) In other words, the predictor variable has no explanatory relationship with the response variable.
References
https://www.r-project.org/other-docs.html
https://www.r-bloggers.com https://www.rdocumentation.org
https://cran.r-project.org/manuals.html
https://en.wikipedia.org/wiki/Economy_of_Uttar_Pradesh
https://data.gov.in/resources/company-master-data-uttar-pradesh-upto-31st-march-2015
##COLLEGE:VIT CHENNAI
##EMAIL:yhemanth.teja2015@vit.ac.inPART A - STATISTICAL ANALYSIS
Reading and describing data
setwd("C:\\Users\\Internship")
library(readr)
MBA <- read_csv("company_master_data_upto_Mar_2015_Uttar_Pradesh.csv")## Parsed with column specification:
## cols(
## CORPORATE_IDENTIFICATION_NUMBER = col_character(),
## DATE_OF_REGISTRATION = col_character(),
## COMPANY_NAME = col_character(),
## COMPANY_STATUS = col_character(),
## COMPANY_CLASS = col_character(),
## COMPANY_CATEGORY = col_character(),
## AUTHORIZED_CAPITAL = col_number(),
## PAIDUP_CAPITAL = col_number(),
## REGISTERED_STATE = col_character(),
## REGISTRAR_OF_COMPANIES = col_character(),
## PRINCIPAL_BUSINESS_ACTIVITY = col_character(),
## REGISTERED_OFFICE_ADDRESS = col_character(),
## SUB_CATEGORY = col_character()
## )dim(MBA)## [1] 65165 13Descriptive Statistics
Variable Analysis
One way contengency tables
mytable1 <- with(MBA, table(COMPANY_CLASS))
mytable1## COMPANY_CLASS
## One Person Company Private Public
## 229 57708 7228table(MBA$COMPANY_STATUS)##
## ACTIVE
## 48079
## ACTIVE IN PROGRESS
## 5
## AMALGAMATED
## 197
## CONVERTED TO LLP
## 24
## CONVERTED TO LLP AND DISSOLVED
## 66
## DISSOLVED
## 5
## DORMANT
## 4327
## Dormant under section 455 of Companies Act, 2013
## 7
## LIQUIDATED
## 16
## STRIKE OFF
## 11107
## UNDER LIQUIDATION
## 214
## UNDER PROCESS OF STRIKING OFF
## 1118Two way Contingency tables
mytable5 <- xtabs(~ PRINCIPAL_BUSINESS_ACTIVITY+COMPANY_STATUS, data=MBA)
mytable5## COMPANY_STATUS
## PRINCIPAL_BUSINESS_ACTIVITY ACTIVE
## Agriculture and Allied Activities 1303
## Business Services 12617
## Community, personal & Social Services 3732
## Construction 6876
## Electricity, Gas & Water companies 276
## Finance 1700
## Insurance 89
## Manufacturing (Food stuffs) 2318
## Manufacturing (Leather & products thereof) 357
## Manufacturing (Machinery & Equipments) 1429
## Manufacturing (Metals & Chemicals, and products thereof) 3527
## Manufacturing (Others) 347
## Manufacturing (Paper & Paper products, Publishing, printing and reproduction of recorded media) 772
## Manufacturing (Textiles) 949
## Manufacturing (Wood Products) 106
## Mining & Quarrying 263
## Real Estate and Renting 6456
## Trading 3794
## Transport, storage and Communications 938
## COMPANY_STATUS
## PRINCIPAL_BUSINESS_ACTIVITY ACTIVE IN PROGRESS
## Agriculture and Allied Activities 0
## Business Services 0
## Community, personal & Social Services 0
## Construction 1
## Electricity, Gas & Water companies 0
## Finance 1
## Insurance 0
## Manufacturing (Food stuffs) 0
## Manufacturing (Leather & products thereof) 0
## Manufacturing (Machinery & Equipments) 0
## Manufacturing (Metals & Chemicals, and products thereof) 2
## Manufacturing (Others) 0
## Manufacturing (Paper & Paper products, Publishing, printing and reproduction of recorded media) 1
## Manufacturing (Textiles) 0
## Manufacturing (Wood Products) 0
## Mining & Quarrying 0
## Real Estate and Renting 0
## Trading 0
## Transport, storage and Communications 0
## COMPANY_STATUS
## PRINCIPAL_BUSINESS_ACTIVITY AMALGAMATED
## Agriculture and Allied Activities 1
## Business Services 7
## Community, personal & Social Services 3
## Construction 13
## Electricity, Gas & Water companies 1
## Finance 36
## Insurance 0
## Manufacturing (Food stuffs) 22
## Manufacturing (Leather & products thereof) 5
## Manufacturing (Machinery & Equipments) 8
## Manufacturing (Metals & Chemicals, and products thereof) 24
## Manufacturing (Others) 0
## Manufacturing (Paper & Paper products, Publishing, printing and reproduction of recorded media) 8
## Manufacturing (Textiles) 13
## Manufacturing (Wood Products) 1
## Mining & Quarrying 0
## Real Estate and Renting 3
## Trading 20
## Transport, storage and Communications 0
## COMPANY_STATUS
## PRINCIPAL_BUSINESS_ACTIVITY CONVERTED TO LLP
## Agriculture and Allied Activities 0
## Business Services 0
## Community, personal & Social Services 0
## Construction 4
## Electricity, Gas & Water companies 0
## Finance 2
## Insurance 0
## Manufacturing (Food stuffs) 1
## Manufacturing (Leather & products thereof) 1
## Manufacturing (Machinery & Equipments) 0
## Manufacturing (Metals & Chemicals, and products thereof) 2
## Manufacturing (Others) 0
## Manufacturing (Paper & Paper products, Publishing, printing and reproduction of recorded media) 1
## Manufacturing (Textiles) 0
## Manufacturing (Wood Products) 0
## Mining & Quarrying 0
## Real Estate and Renting 11
## Trading 1
## Transport, storage and Communications 1
## COMPANY_STATUS
## PRINCIPAL_BUSINESS_ACTIVITY CONVERTED TO LLP AND DISSOLVED
## Agriculture and Allied Activities 0
## Business Services 4
## Community, personal & Social Services 4
## Construction 20
## Electricity, Gas & Water companies 1
## Finance 3
## Insurance 0
## Manufacturing (Food stuffs) 2
## Manufacturing (Leather & products thereof) 2
## Manufacturing (Machinery & Equipments) 1
## Manufacturing (Metals & Chemicals, and products thereof) 3
## Manufacturing (Others) 0
## Manufacturing (Paper & Paper products, Publishing, printing and reproduction of recorded media) 2
## Manufacturing (Textiles) 0
## Manufacturing (Wood Products) 0
## Mining & Quarrying 0
## Real Estate and Renting 17
## Trading 7
## Transport, storage and Communications 0
## COMPANY_STATUS
## PRINCIPAL_BUSINESS_ACTIVITY DISSOLVED
## Agriculture and Allied Activities 1
## Business Services 1
## Community, personal & Social Services 0
## Construction 0
## Electricity, Gas & Water companies 0
## Finance 0
## Insurance 0
## Manufacturing (Food stuffs) 0
## Manufacturing (Leather & products thereof) 0
## Manufacturing (Machinery & Equipments) 0
## Manufacturing (Metals & Chemicals, and products thereof) 2
## Manufacturing (Others) 0
## Manufacturing (Paper & Paper products, Publishing, printing and reproduction of recorded media) 0
## Manufacturing (Textiles) 0
## Manufacturing (Wood Products) 0
## Mining & Quarrying 0
## Real Estate and Renting 0
## Trading 0
## Transport, storage and Communications 1
## COMPANY_STATUS
## PRINCIPAL_BUSINESS_ACTIVITY DORMANT
## Agriculture and Allied Activities 244
## Business Services 197
## Community, personal & Social Services 103
## Construction 117
## Electricity, Gas & Water companies 8
## Finance 2054
## Insurance 1
## Manufacturing (Food stuffs) 230
## Manufacturing (Leather & products thereof) 49
## Manufacturing (Machinery & Equipments) 162
## Manufacturing (Metals & Chemicals, and products thereof) 513
## Manufacturing (Others) 15
## Manufacturing (Paper & Paper products, Publishing, printing and reproduction of recorded media) 84
## Manufacturing (Textiles) 105
## Manufacturing (Wood Products) 21
## Mining & Quarrying 19
## Real Estate and Renting 17
## Trading 259
## Transport, storage and Communications 34
## COMPANY_STATUS
## PRINCIPAL_BUSINESS_ACTIVITY Dormant under section 455 of Companies Act, 2013
## Agriculture and Allied Activities 0
## Business Services 2
## Community, personal & Social Services 0
## Construction 0
## Electricity, Gas & Water companies 0
## Finance 0
## Insurance 0
## Manufacturing (Food stuffs) 1
## Manufacturing (Leather & products thereof) 0
## Manufacturing (Machinery & Equipments) 1
## Manufacturing (Metals & Chemicals, and products thereof) 1
## Manufacturing (Others) 1
## Manufacturing (Paper & Paper products, Publishing, printing and reproduction of recorded media) 0
## Manufacturing (Textiles) 0
## Manufacturing (Wood Products) 0
## Mining & Quarrying 0
## Real Estate and Renting 0
## Trading 1
## Transport, storage and Communications 0
## COMPANY_STATUS
## PRINCIPAL_BUSINESS_ACTIVITY LIQUIDATED
## Agriculture and Allied Activities 0
## Business Services 0
## Community, personal & Social Services 1
## Construction 0
## Electricity, Gas & Water companies 0
## Finance 2
## Insurance 0
## Manufacturing (Food stuffs) 1
## Manufacturing (Leather & products thereof) 1
## Manufacturing (Machinery & Equipments) 2
## Manufacturing (Metals & Chemicals, and products thereof) 0
## Manufacturing (Others) 0
## Manufacturing (Paper & Paper products, Publishing, printing and reproduction of recorded media) 1
## Manufacturing (Textiles) 1
## Manufacturing (Wood Products) 0
## Mining & Quarrying 0
## Real Estate and Renting 0
## Trading 1
## Transport, storage and Communications 0
## COMPANY_STATUS
## PRINCIPAL_BUSINESS_ACTIVITY STRIKE OFF
## Agriculture and Allied Activities 549
## Business Services 1002
## Community, personal & Social Services 414
## Construction 667
## Electricity, Gas & Water companies 55
## Finance 942
## Insurance 11
## Manufacturing (Food stuffs) 929
## Manufacturing (Leather & products thereof) 196
## Manufacturing (Machinery & Equipments) 705
## Manufacturing (Metals & Chemicals, and products thereof) 2056
## Manufacturing (Others) 103
## Manufacturing (Paper & Paper products, Publishing, printing and reproduction of recorded media) 406
## Manufacturing (Textiles) 478
## Manufacturing (Wood Products) 95
## Mining & Quarrying 107
## Real Estate and Renting 142
## Trading 1206
## Transport, storage and Communications 151
## COMPANY_STATUS
## PRINCIPAL_BUSINESS_ACTIVITY UNDER LIQUIDATION
## Agriculture and Allied Activities 8
## Business Services 7
## Community, personal & Social Services 4
## Construction 3
## Electricity, Gas & Water companies 1
## Finance 34
## Insurance 0
## Manufacturing (Food stuffs) 14
## Manufacturing (Leather & products thereof) 3
## Manufacturing (Machinery & Equipments) 7
## Manufacturing (Metals & Chemicals, and products thereof) 60
## Manufacturing (Others) 0
## Manufacturing (Paper & Paper products, Publishing, printing and reproduction of recorded media) 7
## Manufacturing (Textiles) 12
## Manufacturing (Wood Products) 0
## Mining & Quarrying 1
## Real Estate and Renting 0
## Trading 12
## Transport, storage and Communications 1
## COMPANY_STATUS
## PRINCIPAL_BUSINESS_ACTIVITY UNDER PROCESS OF STRIKING OFF
## Agriculture and Allied Activities 24
## Business Services 210
## Community, personal & Social Services 53
## Construction 66
## Electricity, Gas & Water companies 3
## Finance 329
## Insurance 3
## Manufacturing (Food stuffs) 27
## Manufacturing (Leather & products thereof) 5
## Manufacturing (Machinery & Equipments) 28
## Manufacturing (Metals & Chemicals, and products thereof) 85
## Manufacturing (Others) 5
## Manufacturing (Paper & Paper products, Publishing, printing and reproduction of recorded media) 18
## Manufacturing (Textiles) 21
## Manufacturing (Wood Products) 3
## Mining & Quarrying 9
## Real Estate and Renting 53
## Trading 132
## Transport, storage and Communications 26mytable5 <- xtabs(~ COMPANY_STATUS+COMPANY_CLASS, data=MBA)
mytable5## COMPANY_CLASS
## COMPANY_STATUS One Person Company
## ACTIVE 229
## ACTIVE IN PROGRESS 0
## AMALGAMATED 0
## CONVERTED TO LLP 0
## CONVERTED TO LLP AND DISSOLVED 0
## DISSOLVED 0
## DORMANT 0
## Dormant under section 455 of Companies Act, 2013 0
## LIQUIDATED 0
## STRIKE OFF 0
## UNDER LIQUIDATION 0
## UNDER PROCESS OF STRIKING OFF 0
## COMPANY_CLASS
## COMPANY_STATUS Private Public
## ACTIVE 44540 3310
## ACTIVE IN PROGRESS 4 1
## AMALGAMATED 106 91
## CONVERTED TO LLP 21 3
## CONVERTED TO LLP AND DISSOLVED 61 5
## DISSOLVED 3 2
## DORMANT 2587 1740
## Dormant under section 455 of Companies Act, 2013 6 1
## LIQUIDATED 11 5
## STRIKE OFF 9401 1706
## UNDER LIQUIDATION 71 143
## UNDER PROCESS OF STRIKING OFF 897 221mytable5 <- xtabs(~ PRINCIPAL_BUSINESS_ACTIVITY+COMPANY_STATUS, data=MBA)
mytable5## COMPANY_STATUS
## PRINCIPAL_BUSINESS_ACTIVITY ACTIVE
## Agriculture and Allied Activities 1303
## Business Services 12617
## Community, personal & Social Services 3732
## Construction 6876
## Electricity, Gas & Water companies 276
## Finance 1700
## Insurance 89
## Manufacturing (Food stuffs) 2318
## Manufacturing (Leather & products thereof) 357
## Manufacturing (Machinery & Equipments) 1429
## Manufacturing (Metals & Chemicals, and products thereof) 3527
## Manufacturing (Others) 347
## Manufacturing (Paper & Paper products, Publishing, printing and reproduction of recorded media) 772
## Manufacturing (Textiles) 949
## Manufacturing (Wood Products) 106
## Mining & Quarrying 263
## Real Estate and Renting 6456
## Trading 3794
## Transport, storage and Communications 938
## COMPANY_STATUS
## PRINCIPAL_BUSINESS_ACTIVITY ACTIVE IN PROGRESS
## Agriculture and Allied Activities 0
## Business Services 0
## Community, personal & Social Services 0
## Construction 1
## Electricity, Gas & Water companies 0
## Finance 1
## Insurance 0
## Manufacturing (Food stuffs) 0
## Manufacturing (Leather & products thereof) 0
## Manufacturing (Machinery & Equipments) 0
## Manufacturing (Metals & Chemicals, and products thereof) 2
## Manufacturing (Others) 0
## Manufacturing (Paper & Paper products, Publishing, printing and reproduction of recorded media) 1
## Manufacturing (Textiles) 0
## Manufacturing (Wood Products) 0
## Mining & Quarrying 0
## Real Estate and Renting 0
## Trading 0
## Transport, storage and Communications 0
## COMPANY_STATUS
## PRINCIPAL_BUSINESS_ACTIVITY AMALGAMATED
## Agriculture and Allied Activities 1
## Business Services 7
## Community, personal & Social Services 3
## Construction 13
## Electricity, Gas & Water companies 1
## Finance 36
## Insurance 0
## Manufacturing (Food stuffs) 22
## Manufacturing (Leather & products thereof) 5
## Manufacturing (Machinery & Equipments) 8
## Manufacturing (Metals & Chemicals, and products thereof) 24
## Manufacturing (Others) 0
## Manufacturing (Paper & Paper products, Publishing, printing and reproduction of recorded media) 8
## Manufacturing (Textiles) 13
## Manufacturing (Wood Products) 1
## Mining & Quarrying 0
## Real Estate and Renting 3
## Trading 20
## Transport, storage and Communications 0
## COMPANY_STATUS
## PRINCIPAL_BUSINESS_ACTIVITY CONVERTED TO LLP
## Agriculture and Allied Activities 0
## Business Services 0
## Community, personal & Social Services 0
## Construction 4
## Electricity, Gas & Water companies 0
## Finance 2
## Insurance 0
## Manufacturing (Food stuffs) 1
## Manufacturing (Leather & products thereof) 1
## Manufacturing (Machinery & Equipments) 0
## Manufacturing (Metals & Chemicals, and products thereof) 2
## Manufacturing (Others) 0
## Manufacturing (Paper & Paper products, Publishing, printing and reproduction of recorded media) 1
## Manufacturing (Textiles) 0
## Manufacturing (Wood Products) 0
## Mining & Quarrying 0
## Real Estate and Renting 11
## Trading 1
## Transport, storage and Communications 1
## COMPANY_STATUS
## PRINCIPAL_BUSINESS_ACTIVITY CONVERTED TO LLP AND DISSOLVED
## Agriculture and Allied Activities 0
## Business Services 4
## Community, personal & Social Services 4
## Construction 20
## Electricity, Gas & Water companies 1
## Finance 3
## Insurance 0
## Manufacturing (Food stuffs) 2
## Manufacturing (Leather & products thereof) 2
## Manufacturing (Machinery & Equipments) 1
## Manufacturing (Metals & Chemicals, and products thereof) 3
## Manufacturing (Others) 0
## Manufacturing (Paper & Paper products, Publishing, printing and reproduction of recorded media) 2
## Manufacturing (Textiles) 0
## Manufacturing (Wood Products) 0
## Mining & Quarrying 0
## Real Estate and Renting 17
## Trading 7
## Transport, storage and Communications 0
## COMPANY_STATUS
## PRINCIPAL_BUSINESS_ACTIVITY DISSOLVED
## Agriculture and Allied Activities 1
## Business Services 1
## Community, personal & Social Services 0
## Construction 0
## Electricity, Gas & Water companies 0
## Finance 0
## Insurance 0
## Manufacturing (Food stuffs) 0
## Manufacturing (Leather & products thereof) 0
## Manufacturing (Machinery & Equipments) 0
## Manufacturing (Metals & Chemicals, and products thereof) 2
## Manufacturing (Others) 0
## Manufacturing (Paper & Paper products, Publishing, printing and reproduction of recorded media) 0
## Manufacturing (Textiles) 0
## Manufacturing (Wood Products) 0
## Mining & Quarrying 0
## Real Estate and Renting 0
## Trading 0
## Transport, storage and Communications 1
## COMPANY_STATUS
## PRINCIPAL_BUSINESS_ACTIVITY DORMANT
## Agriculture and Allied Activities 244
## Business Services 197
## Community, personal & Social Services 103
## Construction 117
## Electricity, Gas & Water companies 8
## Finance 2054
## Insurance 1
## Manufacturing (Food stuffs) 230
## Manufacturing (Leather & products thereof) 49
## Manufacturing (Machinery & Equipments) 162
## Manufacturing (Metals & Chemicals, and products thereof) 513
## Manufacturing (Others) 15
## Manufacturing (Paper & Paper products, Publishing, printing and reproduction of recorded media) 84
## Manufacturing (Textiles) 105
## Manufacturing (Wood Products) 21
## Mining & Quarrying 19
## Real Estate and Renting 17
## Trading 259
## Transport, storage and Communications 34
## COMPANY_STATUS
## PRINCIPAL_BUSINESS_ACTIVITY Dormant under section 455 of Companies Act, 2013
## Agriculture and Allied Activities 0
## Business Services 2
## Community, personal & Social Services 0
## Construction 0
## Electricity, Gas & Water companies 0
## Finance 0
## Insurance 0
## Manufacturing (Food stuffs) 1
## Manufacturing (Leather & products thereof) 0
## Manufacturing (Machinery & Equipments) 1
## Manufacturing (Metals & Chemicals, and products thereof) 1
## Manufacturing (Others) 1
## Manufacturing (Paper & Paper products, Publishing, printing and reproduction of recorded media) 0
## Manufacturing (Textiles) 0
## Manufacturing (Wood Products) 0
## Mining & Quarrying 0
## Real Estate and Renting 0
## Trading 1
## Transport, storage and Communications 0
## COMPANY_STATUS
## PRINCIPAL_BUSINESS_ACTIVITY LIQUIDATED
## Agriculture and Allied Activities 0
## Business Services 0
## Community, personal & Social Services 1
## Construction 0
## Electricity, Gas & Water companies 0
## Finance 2
## Insurance 0
## Manufacturing (Food stuffs) 1
## Manufacturing (Leather & products thereof) 1
## Manufacturing (Machinery & Equipments) 2
## Manufacturing (Metals & Chemicals, and products thereof) 0
## Manufacturing (Others) 0
## Manufacturing (Paper & Paper products, Publishing, printing and reproduction of recorded media) 1
## Manufacturing (Textiles) 1
## Manufacturing (Wood Products) 0
## Mining & Quarrying 0
## Real Estate and Renting 0
## Trading 1
## Transport, storage and Communications 0
## COMPANY_STATUS
## PRINCIPAL_BUSINESS_ACTIVITY STRIKE OFF
## Agriculture and Allied Activities 549
## Business Services 1002
## Community, personal & Social Services 414
## Construction 667
## Electricity, Gas & Water companies 55
## Finance 942
## Insurance 11
## Manufacturing (Food stuffs) 929
## Manufacturing (Leather & products thereof) 196
## Manufacturing (Machinery & Equipments) 705
## Manufacturing (Metals & Chemicals, and products thereof) 2056
## Manufacturing (Others) 103
## Manufacturing (Paper & Paper products, Publishing, printing and reproduction of recorded media) 406
## Manufacturing (Textiles) 478
## Manufacturing (Wood Products) 95
## Mining & Quarrying 107
## Real Estate and Renting 142
## Trading 1206
## Transport, storage and Communications 151
## COMPANY_STATUS
## PRINCIPAL_BUSINESS_ACTIVITY UNDER LIQUIDATION
## Agriculture and Allied Activities 8
## Business Services 7
## Community, personal & Social Services 4
## Construction 3
## Electricity, Gas & Water companies 1
## Finance 34
## Insurance 0
## Manufacturing (Food stuffs) 14
## Manufacturing (Leather & products thereof) 3
## Manufacturing (Machinery & Equipments) 7
## Manufacturing (Metals & Chemicals, and products thereof) 60
## Manufacturing (Others) 0
## Manufacturing (Paper & Paper products, Publishing, printing and reproduction of recorded media) 7
## Manufacturing (Textiles) 12
## Manufacturing (Wood Products) 0
## Mining & Quarrying 1
## Real Estate and Renting 0
## Trading 12
## Transport, storage and Communications 1
## COMPANY_STATUS
## PRINCIPAL_BUSINESS_ACTIVITY UNDER PROCESS OF STRIKING OFF
## Agriculture and Allied Activities 24
## Business Services 210
## Community, personal & Social Services 53
## Construction 66
## Electricity, Gas & Water companies 3
## Finance 329
## Insurance 3
## Manufacturing (Food stuffs) 27
## Manufacturing (Leather & products thereof) 5
## Manufacturing (Machinery & Equipments) 28
## Manufacturing (Metals & Chemicals, and products thereof) 85
## Manufacturing (Others) 5
## Manufacturing (Paper & Paper products, Publishing, printing and reproduction of recorded media) 18
## Manufacturing (Textiles) 21
## Manufacturing (Wood Products) 3
## Mining & Quarrying 9
## Real Estate and Renting 53
## Trading 132
## Transport, storage and Communications 26mytable5 <- xtabs(~ COMPANY_CATEGORY+COMPANY_CLASS, data=MBA)
mytable5## COMPANY_CLASS
## COMPANY_CATEGORY One Person Company Private Public
## Company Limited by Guarantee 0 67 62
## Company Limited by Shares 229 57621 7154
## Unlimited Company 0 20 12Data visualisation with Boxplots
par(mfrow=c(1,2))
with(MBA, boxplot(MBA$AUTHORIZED_CAPITAL/1000000000,main="Authorized Capital Average",ylab="Average in billion(Rs)/-"))
par(mfrow=c(1,2))
with(MBA, boxplot(MBA$PAIDUP_CAPITAL/1000000000,main="Paidup Capital Average",ylab="Average in billion(Rs)/-"))
boxplot(MBA$PAIDUP_CAPITAL,horizontal = TRUE,outline = FALSE, main="Boxplot of Paid-up Capital")
boxplot(MBA$AUTHORIZED_CAPITAL/10,horizontal = TRUE,outline = FALSE, main="Boxplot of Authorized Capital")
Paid-up Capital:
Paid-up capital is the amount of money a company has received from shareholders in exchange for shares of stock. Paid-up capital is created when a company sells its shares on the primary market, directly to investors.
Scatterplot showing the the distribution of authorized and paid-up capital
library(car)
scatterplot(MBA$AUTHORIZED_CAPITAL~MBA$PAIDUP_CAPITAL, ylim=c(100000,10000000000), xlim=c(100000,10000000000), xlab="Paid-up capital", ylab="Authorized capital")
Histogram
hist(log(MBA$AUTHORIZED_CAPITAL), n=30, xlab="Log distribution of authorized capital", main="Distribution of Authorized capital")
hist(log(MBA$PAIDUP_CAPITAL), n=30, xlab="Log distribution of paid-up capital", main="Distribution of Paid-up capital")
PART B- TESTS AND ANALYSIS
Chi-Squared Test
Assumption 1: Company status depends on Company Category
mytable<- xtabs(~COMPANY_STATUS+COMPANY_CATEGORY, data=MBA)
mytable## COMPANY_CATEGORY
## COMPANY_STATUS Company Limited by Guarantee
## ACTIVE 104
## ACTIVE IN PROGRESS 0
## AMALGAMATED 1
## CONVERTED TO LLP 0
## CONVERTED TO LLP AND DISSOLVED 0
## DISSOLVED 0
## DORMANT 13
## Dormant under section 455 of Companies Act, 2013 0
## LIQUIDATED 0
## STRIKE OFF 10
## UNDER LIQUIDATION 0
## UNDER PROCESS OF STRIKING OFF 1
## COMPANY_CATEGORY
## COMPANY_STATUS Company Limited by Shares
## ACTIVE 47955
## ACTIVE IN PROGRESS 5
## AMALGAMATED 196
## CONVERTED TO LLP 24
## CONVERTED TO LLP AND DISSOLVED 66
## DISSOLVED 5
## DORMANT 4310
## Dormant under section 455 of Companies Act, 2013 7
## LIQUIDATED 16
## STRIKE OFF 11092
## UNDER LIQUIDATION 213
## UNDER PROCESS OF STRIKING OFF 1115
## COMPANY_CATEGORY
## COMPANY_STATUS Unlimited Company
## ACTIVE 20
## ACTIVE IN PROGRESS 0
## AMALGAMATED 0
## CONVERTED TO LLP 0
## CONVERTED TO LLP AND DISSOLVED 0
## DISSOLVED 0
## DORMANT 4
## Dormant under section 455 of Companies Act, 2013 0
## LIQUIDATED 0
## STRIKE OFF 5
## UNDER LIQUIDATION 1
## UNDER PROCESS OF STRIKING OFF 2chisq.test(mytable)## Warning in chisq.test(mytable): Chi-squared approximation may be incorrect##
## Pearson's Chi-squared test
##
## data: mytable
## X-squared = 25.82, df = 22, p-value = 0.2595Since p-value <0.05, we say that company status and company category loan are not independent.
ASSUMPTION 2 - Company status depends on Company Category
mytable<- xtabs(~COMPANY_STATUS+COMPANY_CLASS, data=MBA)
mytable## COMPANY_CLASS
## COMPANY_STATUS One Person Company
## ACTIVE 229
## ACTIVE IN PROGRESS 0
## AMALGAMATED 0
## CONVERTED TO LLP 0
## CONVERTED TO LLP AND DISSOLVED 0
## DISSOLVED 0
## DORMANT 0
## Dormant under section 455 of Companies Act, 2013 0
## LIQUIDATED 0
## STRIKE OFF 0
## UNDER LIQUIDATION 0
## UNDER PROCESS OF STRIKING OFF 0
## COMPANY_CLASS
## COMPANY_STATUS Private Public
## ACTIVE 44540 3310
## ACTIVE IN PROGRESS 4 1
## AMALGAMATED 106 91
## CONVERTED TO LLP 21 3
## CONVERTED TO LLP AND DISSOLVED 61 5
## DISSOLVED 3 2
## DORMANT 2587 1740
## Dormant under section 455 of Companies Act, 2013 6 1
## LIQUIDATED 11 5
## STRIKE OFF 9401 1706
## UNDER LIQUIDATION 71 143
## UNDER PROCESS OF STRIKING OFF 897 221chisq.test(mytable)## Warning in chisq.test(mytable): Chi-squared approximation may be incorrect##
## Pearson's Chi-squared test
##
## data: mytable
## X-squared = 5869.2, df = 22, p-value < 2.2e-16Since p-value <0.05, we say that company status and company class loan are not independent.
ASSUMPTION 3
COMPANY CATEGORY depends on COMPANY CLASS
mytable<- xtabs(~COMPANY_CLASS+COMPANY_CATEGORY, data=MBA)
mytable## COMPANY_CATEGORY
## COMPANY_CLASS Company Limited by Guarantee
## One Person Company 0
## Private 67
## Public 62
## COMPANY_CATEGORY
## COMPANY_CLASS Company Limited by Shares Unlimited Company
## One Person Company 229 0
## Private 57621 20
## Public 7154 12chisq.test(mytable)## Warning in chisq.test(mytable): Chi-squared approximation may be incorrect##
## Pearson's Chi-squared test
##
## data: mytable
## X-squared = 202.12, df = 4, p-value < 2.2e-16Since p-value <0.05, we say that company category and company class are not independent.
T-tests
Hypothesis 1: There is no significant difference between the means of income of the applicant and loan amount.
t.test(MBA$PAIDUP_CAPITAL,MBA$AUTHORIZED_CAPITAL)##
## Welch Two Sample t-test
##
## data: MBA$PAIDUP_CAPITAL and MBA$AUTHORIZED_CAPITAL
## t = -1.2728, df = 111180, p-value = 0.2031
## alternative hypothesis: true difference in means is not equal to 0
## 95 percent confidence interval:
## -40213366 8548249
## sample estimates:
## mean of x mean of y
## 18468122 34300681Since p-value is GREATER than 0.05. Therefore there is NO significant difference between the paidup capital and authorized capital. ##REGRESSION MODEL
model <- lm(formula = MBA$PAIDUP_CAPITAL ~ MBA$AUTHORIZED_CAPITAL + MBA$AUTHORIZED_CAPITAL, data = MBA)
summary(model)##
## Call:
## lm(formula = MBA$PAIDUP_CAPITAL ~ MBA$AUTHORIZED_CAPITAL + MBA$AUTHORIZED_CAPITAL,
## data = MBA)
##
## Residuals:
## Min 1Q Median 3Q Max
## -9.130e+10 2.685e+06 2.999e+06 2.999e+06 4.018e+10
##
## Coefficients:
## Estimate Std. Error t value Pr(>|t|)
## (Intercept) -2.958e+06 1.825e+06 -1.621 0.105
## MBA$AUTHORIZED_CAPITAL 5.955e-01 6.680e-04 891.495 <2e-16 ***
## ---
## Signif. codes: 0 '***' 0.001 '**' 0.01 '*' 0.05 '.' 0.1 ' ' 1
##
## Residual standard error: 452300000 on 61426 degrees of freedom
## (3737 observations deleted due to missingness)
## Multiple R-squared: 0.9283, Adjusted R-squared: 0.9283
## F-statistic: 7.948e+05 on 1 and 61426 DF, p-value: < 2.2e-16model$coefficients## (Intercept) MBA$AUTHORIZED_CAPITAL
## -2.958116e+06 5.955468e-01plot(model)
##CONCLUSION
Multiple Regression Model -> The model has PAIDUP_CAPITAL as response variable or dependent variable. -> Predictor variables IS AUTHORIZED_CAPITAL. -> The R^2 value is 0.9283 which is a very good model -> The model’s, p-value: < 2.2e-16 is also lower than the statistical significance level of 0.05, this indicates that we can safely reject the null hypothesis that the value for the coefficient is zero (or in other words, the predictor variable has no explanatory relationship with the response variable).
Thank You