A Study on Financial Stability and Operational Efficiency of a RSM Chartered Accountancy Firm Chennai.

Abstract

The present study aims to analyse the financial stability and operational efficiency of the RSM Chartered Accountancy Firm, Chennai on the basis of audited financial statements for five years (2020–2021 to 2024–2025). The primary goal of the study is to assess the financial soundness, profitability, liquidity and efficiency of the firm. Secondary data is obtained from the annual reports and financial statements of the organization used in the study. The financial and operational performance of the firm were analyzed using various financial tools including ratio analysis, trend analysis and comparative financial statement analysis. The analysis indicates that the firm had good financial stability and efficient operation in the current study. Overall, revenue, profitability and current assets were increasing, reflecting the expansion and improvement of businesses. But changes in debt, operating costs and profits show the need for a more effective control of costs and financial management. The study emphasizes the advantages and disadvantages of the firm in its financial resource management, financial liability management, and operational activities management. The results of the study can be valuable for management, investors, researchers and other stakeholders in gaining an understanding of the financial and operational performance of professional service companies.