Look at the code you have posted - how is that controlling a RTC chip connected to i2c? It looks like it is initialising an internal timer - theres no i2c stuff I can see.

Actually, I posted the code generated by the code architect to initialize the timer only and not for I2C RTC. I’ve done the I2C code portion, sir. After completing the I2C master portion only, I moved to the RTC code.

I’ve checked the operation of the code, which I’ve written for the I2C by executing step by step in my IDE tool. The status of the SMBus register SMB0STA (System bus Status registers that stores the code based on the status of the SMBus).
The status flow of the SMBus is as follows:

Master transmitter:-[Write_RTC]
 1.  START condition transmitted.
                case SMB_START:    	//0x08
 2.   Slave address + WRITE transmitted.  ACK received.
                 case SMB_MTADDACK:   	//0x18
3.    Data byte transmitted.  ACK received.
                 case SMB_MTDBACK:    	//0x28
4.    Idle state                        //0xF8
Master Receiver:-[Read_RTC]
1.  START condition transmitted.
                case SMB_START:    	//0x08
 2.   Slave address + WRITE transmitted.  ACK received.
                case SMB_MTADDACK:   	//0x18
3.    Data byte transmitted.  ACK received.
                case SMB_MTDBACK:    	//0x28
4.    Repeated START condition transmitted.
          case SMB_RP_START:     	//0x10  
5.    Slave address + READ transmitted.  ACK received.
               case SMB_MRADDACK:    	//0x40
6.     Data byte received.  NACK transmitted.
                case SMB_MRDBNACK:    	//0x58
7.    Idle state                        //0xF8

Based on the I2C application from the silabs only I did the I2C code for this RTC interfacing application. I’ve also sent (WRITE) one data to an address in the RTC and READ the same. Now, I’ve to work with the RTC code portion .That is, initially I’ve store time to the RTC and then to read and display the real time from the data registers of the RTC.
I’m ready to do research, understand and work, sir. Please tell me whether I can follow the Philips 554/591 I2C RTC (Real-Time Clock) example provided in the link below for the C8051F120.
http://www.esacademy.com/faq/progs/i2c.htm
Presently, i've written the RTC code portion based on the above example code.Since you've already worked with the C8051F120 chip,tell me briefly the steps to be followed in the external RTC code.So that,i can check with my program.

Regards,
veena.