Abstract:
This thesis is about the problem faced by Mahr Traders, In this thesis I have tried to cover all
aspects that can lead Mahr Traders into a problem and applied my best effort to figure out what
measures Mahr Traders can take in future to come out of the current shortage of cash.
Mahr Traders incorporated on 28th of April 1986 as a Sole Proprietorship company in Pakistan,
with the registered office in Karachi, Sindh. Mahr Trader is a manufacturing company and it
manufactures corrugated cartons for packaging various products like garments, handicrafts,
bottles, food items, electronics etc.
Mahr Trders purchases the raw material according to the demand of their clients and as the prices
of raw material paper and chemicals involved in the manufacturing of packages shoot up their
company faces various problems for example the clients do not want to pay higher prices and the
creditors demand that payment be made with in a month’s time therefore it gets difficult for the
company to cover its fixed and variable costs at times.