Professional Documents
Culture Documents
INTRODUCTION
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INTRODUCTION
This chapter explains about the background and states the objectives of the project. The
purpose of the study is to determine the cash management to be done in asmoli sugar mill.
Cash management is comprehensive terms, and covers the entire process to be done for
managing cash in which all the activities are involved in it. Cash management is a part of
finance where it is restricted to direct inducement on a long term basis services. The same
cash management strategies are applied by Asmoli sugar mill to promote their business &
boost up its profits. The Asmoli sugar mill is perform several tasks to have full utilization
of cash in which they want to invest in their business according to their budget they have
Co-generation is to produce electricity with the help of turbine & providing that
electricity to the nearby area and even to the government because of their tie-up
In the present competitive world if any business organization has to survive it needs to
keep an eye on various forces operating in the market. More over competitors constantly
try to win over others. In this scenario, every business organization needs to monitor the
changes taking place in the market &how to increase our profits by using strategies and
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CASH MANAGEMENT
The term cash management refers to the management of cash and 'near cash assets' while
cash includes coins, currency notes, cheques, bank drafts, and the demand deposits, the
near cash assets include marketable securities and time deposits with banks. Such
‘CASH MANAGEMENT ‘refers to the management of cash and the whole accounts
department works very hard on it. Their main objective is to maintain cash outflow in
proportion to the cash inflow of the company and to avoid over drafting. Cash section
maintain cash outflow as per the payment requirement and in accordance with the
Cash Management
Business analysts report that poor management is the main reason for business failure.
Poor cash management is probably the most frequent stumbling block for entrepreneurs.
Understanding the basic concepts of cash flow will help you plan for the unforeseen
Knowing when, where, and how your cash needs will occur
Being prepared to meet these needs when they occur, by keeping good
The starting point for good cash flow management is developing a cash flow projection.
Smart business owners know how to develop both short-term (weekly, monthly) cash
flow projections to help them manage daily cash, and long-term (annual, 3-5 year) cash
flow projections to help them develop the necessary capital strategy to meet their
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business needs. They also prepare and use historical cash flow statements to understand
Inspite of the fact that cash does not earn any substantial return for the business, it is held
resulting both inflow and outflow of cash, at times the cash outflow exceeds the cash
maintain adequate cash balance. Thus, a firm with the motive of making routine business
2). Precautionary Motive - A firm holds cash balance to meet sudden cash needs arising
prices of raw materials, presentation of bills for payment earlier than expected date more
amount of cash will be kept by the firm if 1there will be more possibility of such
contingencies
3). Speculative Motive -SOCIAL SECURITY DISABILITY also keeps cash balance to
nature.
4). Compensation Motive - Banks provide certain services to their customers free of
charge. So they usually require the customers to keep minimum cash balance with them
which unable them to earn interest and compensate for the free services render.
INTRODUCTION OF CASH
Cash is that form of money which the person can use any time. It may be in the form of
any currency. It is also called liquid money .it is the most desirable form of money
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IT IS LIQUID MONEY
The most important nature of cash is its liquid form. Cash is that form of money which is
available to use any time. So the liquidity is the main feature of cash.
Cash is the most important sector of business without cash business cannot run
Cash is one of the most acceptable form of receipts because if the payment is
made in the form of cash then it will give more security to the receiver. That is
Cash is the part of current asset and is shown on the assets side of the balance
sheet. Cash at bank and cash in hand are two major parts of cash.
Now I am going to discuss all the things, tools and procedure, which the SOCIAL
1). Controlling Level Of Cash - One of the basic objectives of cash management is to
minimize the level of cash balance with the firm. This objective is sought to be achieved
2)Preparing Cash Budget - Cash budget is the most important device for planning and
controlling the use of cash. It involves the future receipts and payments of the firm. On
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the basis of this information the finance manager can determine the future cash needs of
the firm.
between cash receipts and payments on the basis of normal business activities.
large cash balance. If it has arrangements with banks for borrowing money in
times of emergencies.
collect the payment from the customers, and deposit in the local bank accounts
this system facilities fast movement of funds. This system is good in case of the
Lock Box System: This system is more popular in the U.S.A. and is further step
in speeding up collection of cash. This system has been devised to element delay
between actual receipt of checks by the regional collection centers and its deposits
in the local bank account. Under this system SOCIAL SECURITY DISABILITY
higher a post office box and instructs its customers for their remits to the box. It
also reduces the chances of fraud in the cash collection process and controls the
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cash inflows better. In order to avoid the unnecessary pockets of idle funds, the
Control over cash outflow signifies slow disbursement. In order to control the
consideration.
single control account, i.e., from the central office of the company. However, the
Payment Should Be Made On The Due Dates, neither before nor after. The
company should neither loss cash discount nor its prestige on account of delayed
payments. The company should, therefore, made payments within the terms
Playing Float:- Technique should be used by the company for maximizing the
availability of funds. The term 'float' means the account tide up in checks, which
have been issued by SOCIAL SECURITY DISABILITY but not have yet been
presented, for payment by the creditors. As a result of time lag between issue of a
cheque and its actual presentation, The actual bank balance of a firm may be more
than the balance shown in the books. The difference is called 'payment of float'.
The longer the 'float period the greater would be the benefit of the firm
All Business transaction involves give & take. Earlier this give & take was settled
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• Presence of two persons who could satisfy each other’s need.
The Origin of cash can be easily understand by with the below three stages
Early Cash:- It was to overcome the disadvantages of Barter that a need for a
medium of exchange was felt & commodity as medium as entered the business
arena. The commodity money didn’t serve the purpose well because was devoid
of basic features of good money, i.e., durability, divisibility & portability. Metals
became the medium of exchange. First it was silver then gold. These metals were
weighted every time a transaction was settled. Later on, to overcome the
difficulties of weight age every time, the metals were cut down in to pieces of
Present Day Cash:- With the increase of business & trade it became increasingly
explained above. Thus started the era of paper money the initial use of paper
money was in the form of receipts given by London goldsmiths for deposits of
coin. In the first phase of paper money, these receipts were accepted as medium
advent of internet has further intensified its penetration. Cash too, has remained
aloof from its impact. In fact, mass experiments are going on which could
transform the way we could think about money. A new breed of cash, which is
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Under the system one may have E-cash in the form of a credit card size piece of
plastic with an embedded microchip that one can load with E-money purchased
With traditional currency or one can have E- cash in his personal computer or
electronic wallet downloaded over phone lines from the issuer of e money.
E cash can be issued both by banks and non banks. As on date non-banking corporations
are more aggressive in this process of cash replacement. Commercial banks are entrusted
with the creation of money by central banks of concerned countries by keeping a fraction
of deposit as reserve.
E-cash represents the biggest revolution in the currency since bold replaced co-wrie
shells some experts look at it’s as a revolution similar to industrial revolution. Some of
Banks that issue e-cash could find it much cheaper than handling checks and papers that
accompany traditional money. Unlike credit card which provides no privacy to its users
Cash flow statement should report Cash flow (inflow and outflow) during particular
period classified by operating, investing and financing activities in such a manner as most
suitable and appropriate to its business. Classification of cash flows by activities on the
financial position information which may help the users to assess the impact of those
activities on the enterprise and the amount of its cash and cash equivalents .this
information may also be used to evaluate the relation ships among those activities.A
single transaction may include cash flow which may be classified differently.
Cash flow statement is a statement of cash flow and cash flow signifies the movements of
cash in and out if a business concern. Inflow of cash I known as source or cash and
outflow of cash is called use. This statement also depicts factor for such inflow &outflow
of cash .thus ,cash flow statement is a statement designed to highlight upon the causes
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which bring change in case position between two balance sheets dates. It virtually takes
the nature and character of cash receipts and cash payments ,though the basic information
used in the preparation of this statement differs form that which is used in recording cash
Refund of tax.
Financial activities :
(4) Item of cash outflow (uses) the activities of which cash is put to use in a business
operation activities ,
(A)Operation activities :
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Cash payment to creditors and of bills payable
Cash dividends
for certain services offered primarily to larger business customers. It may be used to
certain size, but it is more often used to describe specific services such as cash
The following is a list of services generally offered by banks and utilised by larger
process for a very large business, since it issues so many checks it can take a lot
of human monitoring to understand which checks have not cleared and therefore
what the company's true balance is. To address this, banks have developed a
system which allows companies to upload a list of all the checks that they issue
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on a daily basis, so that at the end of the month the bank statement will show not
only which checks have cleared, but also which have not. More recently, banks
have used this system to prevent checks from being fraudulently cashed if they
Armored Car Services: Large retailers who collect a great deal of cash may have
the bank pick this cash Most banks have an Internet-based system which is more
advanced than the one available to consumers. This enables managers to create
and authorize special internal logon credentials, allowing employees to send wires
and access other cash management features normally not found on the consumer
web site. up via an armored car company, instead of asking its employees to
system used to transfer funds between banks. Companies use this to pay others,
especially employees (this is how direct deposit works). Certain companies also
use it to collect funds from customers (this is generally how automatic payment
because under this system banks assume that the company initiating the debit is
Balance Reporting Services: Corporate clients who actively manage their cash
other banks. They include information on cash positions as well as 'float' (e.g.,
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on all forms of payment activity, including deposits, checks, wire transfers in and
Cash Concentration Services: Large or national chain retailers often are in areas
where their primary bank does not have branches. Therefore, they open bank
accounts at various local banks in the area. To prevent funds in these accounts
from being idle and not earning sufficient interest, many of these companies have
an agreement set with their primary bank, whereby their primary bank uses the
Automated Clearing House to electronically "pull" the money from these banks
number of payments via checks in the mail have the bank set up a post office box
for them, open their mail, and deposit any checks found. This is referred to as a
"lockbox" service.
Positive Pay: Positive pay is a service whereby the company electronically shares
its check register of all written checks with the bank. The bank therefore will only
pay checks listed in that register, with exactly the same specifications as listed in
the register (amount, payee, serial number, etc.). This system dramatically reduces
check fraud.
bank. Under this system, excess funds from a company's bank accounts are
automatically moved into a money market mutual fund overnight, and then
moved back the next morning. This allows them to earn interest overnight. This is
with large numbers of stores or locations can very often be confused if all those
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impossible to know which deposits were from which stores without seeking to
view images of those deposits. To help correct this problem, banks developed a
system where each store is given their own bank account, but all the money
deposited into the individual store accounts are automatically moved or swept into
the company's main bank account. This allows the company to look at individual
statements for each store. U.S. banks are almost all converting their systems so
that companies can tell which store made a particular deposit, even if these
deposits are all deposited into a single account. Therefore, zero balance
office. Bank wire transfers are often the most expedient method for transferring
funds between bank accounts. A bank wire transfer is a message to the receiving
bank requesting them to effect payment in accordance with the instructions given.
The message also includes settlement instructions. The actual wire transfer itself
call.
Management Services. The bank provides a daily report, typically early in the
day, that provides the amount of disbursements that will be charged to the
customer's account. This early knowledge of daily funds requirement allows the
payments are issued through a remote branch of a bank and customer is able to
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In the past, other services have been offered the usefulness of which has diminished with
the rise of the Internet. For example, companies could have daily faxes of their most
recent transactions.
Cash management services can be costly but usually the cost to a company is outweighed
Internal Factors
Internal Factors are products of management policies followed either consciously &
Following are some of the avenues from where these factors emanate & affect the cash in
a business:
• Operating policies: These refer to all types of decisions which make the
business operative. Operating policies are basically aims for the business
LEVEL. For this it has to gear up its entire department like production, marketing
sales etc.
• Fixed Assets: Fixed assets are the long lived properties of the business which it
owns & uses as an aid to generate the profits. So far as cash is concerned
The cash is ‘sunk’ for a longer period whenever these are purchased.
there is no escape from selling goods on credit The credit policy followed by the
business has a direct bearing on the cash in the business. The cash remains
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‘blocked’ to the extent and period of credit allowed. Also credit term like cash
• Inventory: Inventory refers to the stock held by the business. Funds are normally
• Raw –Material
• Work in process
• Finished goods
to creditors & suppliers. Extracting maximum credit from suppliers, utilizing cash
• Miscellaneous: Other factors which affect the cash flow may arise due to
commercial & statutory requirements. Some of the examples are periodic deposit
External Factors
External factors are covered by all determinants relevant to the overall economy &/or a
particular industry
• Monetary & fiscal factors: These factors relate to the money supply in the
economy. During period of inflation, the economy is flushed with money, Price
rise has a cascading effect on the output and the business has cash in abundance.
On the other hand, during recessionary period demand for goods contracts &
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The fiscal factors too, have a direct bearing on the cash availability in a business Tax is
an important fiscal factors which determines the size of disposable cash in the hands of
business.
there may be some special factors unique to a particular industry as well. These
Cash
Purchas
Sales e
Stock Labour
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WIP
DIAGRAM OF CASH FLOW CYCLE
Figure-1
Cash Budget: - It is the most significant tool of controlling the use of cash. It
after ascertaining the reasons for deviations between the actual and budgeted
Inflows And Outflows Of Cash :- In order to check the change in cash position
of the firm from one period to another a cash flow statement is cash.
Different ratio, liquidity ratio, receivables turnover ratio, and inventory turnover
BUDGET:
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As we knew that cash is a non earning asset. Cash not required for the temporary period
can be invested in near cash asset i.e., marketable securities, which are readily
convertible into cash, short term securities are considered “near cash” because they are
income bearing and near cash items, excess cash should be invested in marketable
securities, which can be promptly converted into cash for two reasons -:
The working capital requirements fluctuate due to reasonability and different business
aid. Excess cash in slack season is idle temporarily and it should be used for investment
Excess cash may be held as a buffer to meet unpredictable financial need the decision to
invest in short term securities must take into account following points :
Safety: there are two types of risk associated with dealing in securities i.e. price
risk and default risk. Price risk refers to adverse price movements. Default risk is
the risk that an issuing organization may not be able to its obligations safe
Company in the following short term investments may invest the temporary cash
surplus:-
Deposit Accounts: - This is a very flexible investment with low risk but interest
Term Deposits:- Interest rates are higher and depend on length of deposit, but
• Current Ratio:- It is the best ratio to find relationship between the current assets
and current liabilities. We can easily calculate the current ratio with the help of
Example:
As we all know that the current ratio of any company may be 2:1, but according to the
USA accounting standard any company should maintain a ratio of 1.33:1. Moreover we
can see from the above calculations that the current ratio of SOCIAL SECURITY
DISABILITY in 2003-04 was 1.22:1 which is quite unfavorable and bad from the
companies point of view, the current assets and current liabilities were in inappropriate
proportion. It means that the company was not quite able to meet out its liabilities. The
current ratio of the company is continuously rising i.e. in 2004-05 it was 1.14:1, in 2006-
07 it was 1.12:1. In 2007-08 the current ratio has gone down to 0.96:1 which was the
lowest in the last five years due to the increase in current liabilities and decrease in the
The current assets decreased due to decrease in inventory which was65365 in 2007-08
as compared to67627 in 2006-07 the current ratio further Detroit in 2007-08 to 0.96:1
which is not favorable from companies point of view. Decrease in current assets is again
due to stock, or inventory and sundry debtors. It indicates that the ideal stock is less,
• Liquidity Ratio:- This ratio establishes a relationship between quick assets and
current liabilities.
The major objective to compute this ratio is to measure the ability of the firm to meet its
short-term obligations as and when due without relying upon the realization stock.
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We can easily calculate this ratio with the help of the following formula:
Example:
Liquid ratio indicates that what amounts of liquid assets are available for each rupee of
current liability. We know that the liquid ratio of any company may be 1:1, is considered
to be satisfactory. Now comparing the company's position according to the liquid ratio. In
2005-6 the liquid ratio of the company was 0.75:1 which was less than the standard ratio
that indicates liquid position of the company was not good. The liquid ratio started
decreasing in 2006-07 was 0.54:1 which was 0.63:1 in 2007-08 .It followed the same
trend 0.54:1 which were the worst liquidity position years for the company. But again it
followed a upward trend in 2008-09 & 2009-10, the ratios were 0.67:1 & 0.64:1
respectively. It means that the liquidity position of the company is constantly decreasing
it is due to large amount of current liabilities as compared to liquid assets. Also the
number of debtors of the company is increasing. This is not better from management's
point of view. As more of amount is blocked in the debts and chances of bad debt will
increase. Analysis Of Cash Management Statement With The Help Of Cash Flow
Statement: -
Cash flow statement shows inflows & outflows of cash or sources and application of cash
during a periodic period. This statement explains the various transactions, which have
affected the cash balance and cumulative impact of these transactions in cash balances
between two balance sheet dates. This statement is extremely helpful in planning for
immediate future to avoid serious cash shortages. A proper planning of cash transactions
It helps us to plan of optimum utilization of funds and avoid the situations leading to idle
cash \ surplus.
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It ensures timely payment of dividend and other major cash transactions.
It exhibit in right peers perceive the company's ability to meet demand of trade creditors
In accordance with the provision of the payment of wages act and rules made
there under, Accounts officer notify the dates of payment of wages of various
Mode Of Payment
to the instructions contained in the pass order on the debit advice cum payment
voucher.
Payment System
packet system. The pay packet contain the exact amount payable to the employees
along with the net amount is noted on the pay packet system. This is not
necessary if pay slips containing details of the gross amount of salary and
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Payment through pay packet or in loose cash is made by the pay disbursement
officials selected for the purpose, who should be permanent employees of the
Accounts officer notices the time for payment at each counter or shop floor to the
concerned officers in charge well in time. The disburser is available at the counter
floor only during these specific hours and the officers in charge are expected to
see that all the employees working with are available to receive the payment
The employees who do not receive the salary during these hours will be paid on
days specifically notified for payment of unpaid wages. Salary remaining unpaid
for 10 days or more is remitted back to the bank and the amount is credited to
Identification
to receive the payment on the pay bills by initiating against the individuals name
in the pay bill. He should also sign on the pay bill, certify that he has identified &
receive their payment. Each employee presents himself before the pay disburser
& sign against his name in the pay bill. In case of illiterate person, the identifying
official insures that the left hand thumb impression is given by the individual
No claim for support will be entertained if the employee concerned has left the
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Payment Through Bank:On the receipt of the pay bill, bank wing separate out
the cases requiring payment through banks & send cheques to the concerned bank
one day in advance of the due date of disbursement.If for nay reason
cheques/letters of the authority are made out more than one day in advance, they
will bear an endorsement, “payable on or after ………” & the due date of
The pay disburser shell be responsible for cash received by them from the time of
obtaining payment from chief cashier till pay has been disbursed & unpaid
Payment of dues one employee should not be made to another accept on the
written authority of the person to whom the payment is due which shell be
Signature of the employee to whom the payment is due shall be attested by the
The employee to whom the payment is made o9n the basis of authority letter
BUDGETING:
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• Cash forecasting means of cash near future. It is very important task because it
avoids the problem of over cash and under cash. Cash forecasting is based on two
major factors:
• Forecasting of payment
• Forecasting of receipts
• Forecasting Of Payment:
requirement of cash for payment purpose. There are a lot of many payments, which the
Medical reimbursement
Traveling allowances
Pending of bills
Argent bills
Statuary bills - sales tax, excise duty, reasonable provident fund (RPF), income
tax.
Priority payments.
Salary payments
Overtime payment
Incentives
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• Forecasting Of Receipts
Forecasting of receipts means to forecast the cash that the company receives. There are
Tender document
Earnest money
Security deposit
Payment by customer
After forecasting the receipts and the payments companies makes a comparison
between them and estimate the net difference and on the basis of the difference
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CHAPTER 2
SCOPE
AND
IMPORTANCE
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SCOPE AND IMPORTANCE
It will help to understand the cash inflow and outflow of the organization
It will help in comparing the cash inflow and outflow of the organization with the
It will also help to compare the actual and budgeted cash inflow and outflow of
the organization.
I am able to learn from this report that how the cash is being managed or how it
Cash management is ultimately about cash flow -- and very few small businesses are
awash in cash. Even successful, growing companies are vulnerable to cash flow problems
because they tend to add employees and inventory rapidly. This may quickly deplete the
Because having cash at the right time is so important, entrepreneurs must pay close
Here are some tips for saving money and managing cash flow:
Make financial projections. Forecast both expenses and anticipated revenues for
at least the coming year. This will help you predict when you're likely to have
cash and when you're likely to need it. You should also maintain a cash reserve if
possible.
Create contingency plans. Have several budget projections, including best case
and worst case scenarios, and think about how you might respond. In the event
sales don't take off as expected or there's some unforeseen problem, you'll be
better prepared.
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Keep a lid on spending. One of the most common problems with new businesses
is the owners' tendency to spend freely. There's no need to have lavish offices or
expensive furniture. Remember, you're in this for the long haul: You should try to
get as much value as possible out of every transaction, whether you're leasing
Keep inventory low. Don't stock inventory based on your fantasy of what you
think you'll be selling in six months. Instead, stock only what you know you can
Lease, don't buy. Another good way to conserve cash is to lease equipment
instead of buying it. Although leasing can be more expensive in the long run, it
helps you avoid laying out a lot of capital all at once for things like office
(without burning them out), use independent contractors and consider outsourcing
certain nonessential functions. Employees are expensive, so you should put off
adding permanent hires as long as you can -- or at least until you're earning the
living expenses before going into business. Admittedly, this may be difficult, but
you should at least avoid paying yourself an excessive salary. Too many
entrepreneurs waste cash by paying themselves big salaries without the revenues
to justify them.
possible. Offer incentives like discounts or late fees, and adopt more effective
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Don't be wasteful. Recycle and reuse what you can -- for example, boxes, and
computer discs and file folders. The savings may not be large on any given item,
Examine the cash conversion and operating cycles of a company and methods
Identify objectives and methods used to collect receipts quickly and control
disbursements.
liquidity.
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CHAPTER 3
LITERATURE REVIEW
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LITERATURE REVIEW
Czyzewski and Hicks pointed in their paper that companies strive for the maximum
return for the certain amount and the given structure of the assets. From microeconomics
point of view, adding another penny on the optimal mix of input results in the decrease of
the return on the given input. In other words, when the marginal cost is equal to marginal
return the company stays in the optimal capital structure. Their research revealed that the
companies with the higher ROA ratio also have higher cash to total assets ratio. However,
they didn’t explore deeply the factors that affect the asset structure of the firms. Therefore
a large amount of research emerges concerning the determinants of cash holdings. Cash
Orr argues against the view presented by Sprenkle in 1969 that the amount of cash held
pointing out that one transaction demand model - Baumol-Tomin model fails to predict
the level of cash holdings in large business firms. However, Orr argues that the failure of
Baumol-Tomin model to predict the cash holdings in business firms cannot be regarded
as strong evidence to support the other view, because the variables used and data
predicting these variables are inadequate and irrelevant. Sprenkle finds that the
predictive mean cash level of 465 companies of Fortune’s 500 largest manufactures using
holdings with only one exception. Orr finds that holding the cash flow steady and
related model - Miller-Orr model with better data and variables. This more realistic data
leads to the mean cash holdings twice as good as Sprenkle’s best prediction among the
fifty largest firms, but this model is still trapped in the limited assumptions.Compensating
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Collusive bank hypothesis (Hodgman, 1961) holds that High competition among banks is
limited due to increasing the borrowers’ mean balances as a result of the loan. The second
explanation provided by Davis and Guttentag (1963) holds that the compensating balance
that the firms will voluntarily keep is larger than the banks’ minimum requirements. Frost
point out that firms are not willing to hold much compensating balance as the banks
expect and therefore the fee system for bank service emerges. Orr doubt supports Davis
and Guttentag’s view that if the voluntary compensating balance is sufficient to the bank
demand for money.Orr concludes that B-T model‘s heavy underestimation of cash
holdings in business firms cannot overthrow the transaction demand model, as Sprenkle
T model is little correspondence to other researchers’ view that either firms’ voluntary
compensating balance is sufficient to the banks’ requirement or bank service fee system is
demand theory.
As early as late 90s and the beginning of 21st century, the topic about what are the
important factors that affect the cash reserves in business firms emerged vividly. As
indicated in the Dittmar et al.’s paper (2003), many factors have been examined before,
for example, tradeoff model and financial hierarchy model in which researchers have
already tested the impact of some of factors on the cash holding level in business firms.
Kim, Mauer and Sherman (1998) argue that optimal cash holdings are decreasing in the
rate of return on current investment opportunities, which is consistent with the transaction
cost motive. Almeida et al. (2002) intend to prove the precautionary motive but end up
with the results consistent with agency problems, but there is still little support for the
agency cost motive as mentioned in the authors’ paper. No one has really done the
research to test it. Therefore Dittmar et al. summarize previous research and use some of
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their testing data to test agency cost and conclude a new result that agency problem is the
most important factor that determines the level of cash holdings, while other factors
either do not matter or are less important. According to Dittmar et al. (2003) to examine
whether the importance of proxies for the precautionary and transactions cost motive is
larger in the countries with more shareholder protection is an important task. Only the
full argumentation of these effects can prove that agency cost view is the dominant factor
that determines the cash holding level in the firms. As early as 1960s, topic of cash
management or perhaps more concrete, the level of cash holdings in the companies has
been paid attention to. This kind of research never stops and more and more research
In 1969 Sprenkle presented that compensating balance affects the cash holdings
In 1974 Orr re-examined Sprenkle’s argumentation and rejected his results. Orr
pointed out that the failure of transaction demand model is not because of the flaw
of the model per se, but because of the inappropriate assumption. Compensating
time and many hypotheses still exist which seem to object the Sprenkle’s
model and hierarchy views of corporate cash holdings and find that the results
favor tradeoff model. In other word, they conclude that the transaction cost
motive and precautionary motive are the determinants of cash holding level in the
firms.
In a couple of year before 1999 and after, many papers argue this topic. Some of
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them examine the effect of cash flow, some of them explore the effect of capital
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CHAPTER 4
INDUSTRY PROFILE
36
INDUSTRY PROFILE
Uttar Pradesh Sugar Industry is one of the largest sugar industries in the Indian economy.
The lavish measures in form of new promotional policies for the Uttar Pradesh sugar
industry by the state government of Uttar Pradesh was introduced at a time when it was
much needed to further boost the growth of the Uttar Pradesh sugar industry. The
improvements in the plant capacity and the introduction of new techniques which enables
the optimization of the existing plant capacities has the further made the growth definite.
With the new promotional policies of the Uttar Pradesh sugar industry, the investors have
already starting eying the future prospects. There are 20 more sugar processing units are
coming up as a part of Uttar Pradesh sugar industry. The existing companies under the
Uttar Pradesh sugar industry are planning an investment pertaining to expansion of about
Rs 4,000 crore. At present the major companies in the Uttar Pradesh sugar industry are
Balrampur Chini, Simbhaoli Sugars Ltd., Bajaj Hindusthan Ltd., etc. A batch of
Brownfield and Greenfield expansion projects has already started their activities of
crushing cane. The increase in the capacity would help the Uttar Pradesh sugar industry
to churn out an extra 140,000 tons of crushed cane everyday to the existing 2.Y million
tons of sugar produced within a few years time. The total sugar production under the
Uttar Pradesh sugar industry would lead to 7.5 million tons, making Uttar Pradesh the
The Uttar Pradesh sugar industry has a bright future as one of the prospective players in
the global sugar market. The demand for sugar across the world has been growing
exponentially. The Uttar Pradesh sugar industry with its capacity can cater to this
international demand. The advantages of the Uttar Pradesh sugar industry are that the
cost of production is quite low and the climatic conditions and the conditions of the soil
are favorable to the sugarcane production. The region of India where the state of Uttar
Pradesh lies is one of the most fertile lands in India called the 'doab'. This is an extremely
37
fertile belt of lands between the rivers Ganges and Jamuna. To boost the production of
the Uttar Pradesh sugar industry, the government of Uttar Pradesh is likely to set up a
research and development unit which would develop better quality sugarcane plants to
have better yield and diseases-resistant crops to ensure that the industry has a sustainable
growth. The geographical position of the state of Uttar Pradesh is one of the key
advantages as it is very easy to access. With all these developments the Uttar Pradesh
sugar industry can meet the increasing domestic demands in India, which due to the
improvements in the economic conditions and the rise in the general income level. The
yearly basis.
At present, the situation of the Indian sugar production can improve with all these
measures. In the financial year of 2004-2005, India had to import 8.89 lakh tons of sugar
from different countries due to the huge decline in the national sugar production. These
measures would have a long term effect on the sugar production of the state and therefore
38
Sugar Industry in India is well developed with a consumer base of more than billions of
There is around 45 millions of sugar cane growers in India and a larger portion of rural
labourers in the country largely rely upon this industry. Sugar Industry is one of the
agricultural based industries. In India it is the second largest agricultural industry after
textile industry.
As to the statistics there were a total number of 571 sugar factories in India as on March
31, 2005 compared to 138 during1950-51. These 571 sugar mills produce a total quantity
of 19.2 million tones (MT). Sugar production in India increased from 15.5 MT in 1998-
99 to 20.1 MT in 2002-03.
39
Department of Agriculture and Co-operation, sugarcane production in 2004-05 is
The following table shows level of sugar production (In Lakh Tones) in Indian States:
The sugar production in the states largely depends upon monsoon. From 1998-03 good
Sugar Pricing:
Government of India fixes Statutory Minimum Price (SMP) for sugarcane according to
Clause 3 of the Sugarcane Order. This statutory Minimum Price is designed through the
consent of Commission for Agricultural Coast and Prices (CACP) and respective state
Governments. For the year 2004-05, the rate was fixed at Rs. 74.50 per quintal with a
40
The following policy initiatives are taken to boost the Sugar industry:
Government declared the new policy on August 20, 1998 with regards to
licenses for new factories, which shows that there will be no sugar factory
in a radius of 15 km.
In the year 1982, the sugar development fund was set up with a view to
Global sugar industry did not remain unaffected with the financial meltdown and recent
slowdown in the world economy. The recessionary trends have impacted the liquidity
position, which depressed values and created new correlations between commodities,
equities and emerging market currencies. The reduction in risk appetite and withdrawals
of funds from commodity markets has reduced its depth and market making abilities.
Lower capital is being earmarked for future expansions and the Brazilian industry is
already showing sign of falling short of market expectations with regard to production
estimates for 2009-10 and beyond. Fall in crude prices to a level below US $50 per barrel
may impact the commercial viability of ethanol as a substitute to petroleum products. The
environmental impact of ethanol as a renewable fuel, however, will keep its demand alive
and nearly constant. The changing currency conversion rates have started affecting
domestic cost calculations and import/export values. Falling freight rates, with Baltic
freight indices gone down by nearly 90% from 11500 in May 2008 to around 1000 in
November 2009, have made movement of sugar feasible to longer distances. The trade
clusters created in 2008-09 season are dismantling. While these issues are creating short
term disruption, the long term impact is difficult to ascertain at present. However, the
world sugar consumption is growing year after year. Indian sugar, however, is expected
41
to remain un-affected as it is driven by high domestic demand which is least elastic; sugar
business is mostly in cash and carry; and Indian farmers are not credit dependant. Some
commodity exchanges, lower pipeline stocks and slower growth. Higher interest costs
would also affect the industry, which is highly capital intensive. The financial stress may
reduce flow of funds to the sugar sector resulting in low capacity expansion, lack of
2009-10 should witness a fall in global production by over 7.9 mmtrv; due to a fall in
production by over 5 mmt in India and around 3 mmtrv in EU. Unlike Brazil, the sugar
industry in these countries is largely dependent on their domestic markets, and lower
production will translate into lower exports from these countries affecting the globally
tradable sugar. Globally, floating sugar will reduce to 48.2 mmtrv from 51 mmtrv in
2009-10. India is likely to produce 20 mmtrv of sugar in the 2009-10, as per the latest
official estimates available. 2009-10 will largely be driven by emerging markets; with
India and China being the main drivers. On a regional basis, Asia and Africa will have a
more modest consumption growth. With lower production and rising consumption, the
stock to use ratio at the end of 2009-10 is expected to be lower by 12.1%, from 27.1
decline in Brazilian sugar production in 2009-10, will reduce global production by nearly
6% year-over-year in 2008/09 leaving the global balance in a 1.8 mmtrv deficit- a deficit
42
India Sugar balancing (figs in mmt)
the port.
43
Fig 4: World Sugar Prices
Global sugar industry did not remain unaffected with the financial meltdown and recent
slowdown in the world economy. The recessionary trends have impacted the liquidity
position, which depressed values and created new correlations between commodities,
equities and emerging market currencies. The reduction in risk appetite and withdrawals
of funds from commodity markets has reduced its depth and market making abilities.
Lower capital is being earmarked for future expansions and the Brazilian industry is
already showing sign of falling short of market expectations with regard to production
estimates for 2009-10 and beyond. Fall in crude prices to a level below US $50 per barrel
may impact the commercial viability of ethanol as a substitute to petroleum products. The
environmental impact of ethanol as a renewable fuel, however, will keep its demand alive
and nearly constant. The changing currency conversion rates have started affecting
domestic cost calculations and import/export values. Falling freight rates, with Baltic
44
freight indices gone down by nearly 90% from 11500 in May 2008 to around 1000 in
45
CHAPTER 5
COMPANY PROFILE
46
COMPANY PROFILE
HISTORY
The Dhampur Group began its operations at Dhampur, Uttar Pradesh in 1933 with a
crushing capacity of 300 TCD. The current capacity of Dhampur Group is 39,500 TCD.
Its products include Power, Ethanol, Chemicals, Refined Sugar and Plantation White
Sugar.
Lala Ram Narain ji [1880 – 1943], founder of the Dhampur Group, took on the task of
supporting his entire family at a very young age and shouldered his responsibilities with
fortitude and confidence. During this period he worked with a forest contractor but the
craving to press forward and accomplish, burnt deep within his heart. He soon spotted an
opportunity in supply of wooden sleepers, for laying new railway tracks and boldly
struck out on his own. His determination defied logistics and laid the foundations of the
Dhampur Group.
From such modest beginnings, he hand-crafted the destiny of the corporate house that
today, directly and indirectly, provides employment and livelihood to a large number of
In the early 1930’s, while the strategists debated over choice of role models on which to
shape the Indian economy, Lala Ram Narain ji anticipated the need for industrialization.
The outcome of his foresight was investment in two sugar mills – one at Dhampur and
47
Shri Murli Manohar ji [1916 – 1964], eldest son of Lala Ram Narain ji took up the
baton at an early age to carry forward the vision and legacy of his father. Even in face of
from his father manifested itself in 1947 when the Indian Sugar Industry was passing
He resisted efforts to divest the Dhampur unit and took over the Managing Agency of
the factory agreeing to pay a fixed dividend to his partners. He accomplished this task
with great élan and successfully turned around the fortunes of the Dhampur factory.
He passed away at the young age of 48 but the path for the future generations had
Dhampur Today
visionary innovativeness and emphasis on continuous R&D have made the company a
Starting from 300 TCD in 1933 the Dhampur Group has recorded an impressive
performance taking its crushing capacity of sugarcane to 39500 metric tonnes per day,
with power co-generation capacity of 145 MW and alcochem capacity of 270,000 liters
per day. Through its successful pioneering efforts, the Dhampur Group directed the
Feeders, Fiber based single tandem, Pressure Evaporation System with Falling Film
Type Evaporator Bodies, Vertical Continuous Pans etc. These innovations became the
Dhampur's sugarcane co-generation capacity is one of the largest in the country and it
has perhaps the highest ethanol manufacturing capacity relative to it’s cane crushing
capacity, in the country. It is also the first and the largest producer of refined sulphurless
48
sugar in the country.
Dhampur stands tall with the collective confidence that our farmers, our workers, our
vendors and our stakeholders have pledged with us. Their sense of belonging, their
hopes and expectations motivate us to perform better each time. Preserving their trust
and have worked towards continuous improvement in every sphere of our activity. In
our quest for excellence we have given special consideration to our social obligations,
whether it is caring for the rural hinterland or the environment we live in. A significant
and endearing feat for the Group is that some of its employees have been a part of the
Projections of the sugarcane based Industry in India are exceptionally promising and
and ethanol.
in financial performance.
value.
49
In a country where agriculture is the predominant activity, sugarcane processing units
wield a tremendous impact on the area of their location. We continue to play our role
with absolute commitment and watch with fascination and pride as even the most
backward areas where our units are located, slowly transform into a beehive of
activity, touching the lives of thousands of people, now a part of the ever increasing
Dhampur family.
50
CHAPTER 6
PRODUCT PROFILE
51
PRODUCT PROFILE
SUGAR:
BRAND : DHAMPUR
With the belief that the Indian consumer today is as quality and health conscious as any
other consumer today the world over, Dhampur Sugar Mills made an initiative to produce
a sugar comparable to the high standards of the western countries, in India. Dhampur
embarked on the project in 1996, under the aegis of the Sugar Technology Mission to
make sugar that would be sparkling white, pure and healthier. Dhampur perfected the
technique and the result was India's first double refined sulphurless sugar sold under it’s
brand Dhampur
Dhampur is a better sugar simply because its processing continues long after that of
The secret behind Dhampur's purity is the unique Defeco Remelt Process, in
which the sugar after it has crystallized is melted all over again and all the
The double refined Dhampur sugar has no impurities, so its crystals have natural
impeccable hygiene.
52
POWER
BAGASSE, the residual fiber of sugarcane after crushing and extraction, is a valuable
by-product generated during the sugar manufacturing process. It has high calorific value
and is therefore used to generate steam and thereby electricity, which is a conventional
In 1994, Dhampur was the first sugar company in India to start eco-friendly cogeneration
at one of it’s units, with a low project outlay as compared to conventional power plants.
Conventionally, this was restricted to providing captive power in order to meet the
energy requirements of the sugar factory. However, Dhampur was one of the first to
realize the tremendous potential it had towards reducing the power deficit, by supplying
to the grid, thereby contributing to the bio-energy effort undertaken by the country.
An additional benefit of using bagasse is that it is a renewable source of fuel and does
not contribute to Greenhouse gasses as the sugarcane plantation consumes more carbon
dioxide than that generated in burning bagasse. Today, the Group’s combined co-
Dhampur is the first in the world to install 105 kg.cm2 boiler and turbine in its sugar
division, which has increased efficiencies in bagasse usage and made it perhaps the most
efficient cogeneration unit in the world. Dhampur additionally installed energy saving
53
devices which would further increase bagasse savings. This saving would enable the
company to run its power plants without external bagasse purchases. Power generation in
Dhampur was the first sugar company in Uttar Pradesh, which was allowed export of
power under ‘Open Access’ (during off-season), from 1st October, 2009, resulting in
higher realizations.
ETHANOL
Ethanol is a generic name for Ethyl Alcohol which is a product of sugarcane molasses
and colourless liquid, widely used as a solvent of substances intended for human contact
blended, as an additive with fuel for motor vehicles, it is known as Motor Fuel Grade
Alcohol or Power Alcohol. It can be blended with petrol in varying quantities up to any
extent depending upon the technology of the engine. Up to 15% blend no modifications
Usage of ethanol-blended gasoline began in the late 1970s. Environmentally, the use of
ethanol blends has assisted in reducing carbon monoxide emissions. In the United States,
one out of every eight gallons of gasoline sold contains ethanol. Most of this ethanol is
purchased as blends of 10% ethanol and 90% gasoline, known as E10, and is used as an
In India we are presently using E5 that is, 5% ethanol blend with gasoline but a
54
Most sugar companies in India are evolving into integrated players as diversification into
distillery, ethanol and power has become possible. This has improved the demand for
The Government of India has made blending of 5% Ethanol in motor vehicle fuels,
compulsory all over India. This directive has provided sugar mills the opportunity to
A 5% ethanol blend on an all-India basis would require around 500 million liters. The
current installed capacity would be adequate to meet this requirement as also for E10
blend, even after fully meeting the requirement of the chemical industry and potable
manufacturing process
as benzene.
55
India presently has an installed capacity of over 3,000 million liters per annum but is
CHAPTER 7
RESEARCH
METHODOLOGY
56
RESEARCH METHODOLOGY
• Research Methodology:
discover or revise facts, theories, applications, etc. methodology is the system of methods
Research design: For the study, exploratory design was undertaken understand
Sampling method- For this research work I have chosen non- probability
convenience sampling method. I have chosen this method for timely completion
of the work and also managers and employees were not available all the time.
• Research Objective: This research is basically conducted for studying how cash
is utilized by the organization. The main objectives of the report are as under:
Examine the cash conversion and operating cycles of a company and methods
Identify objectives and methods used to collect receipts quickly and control
disbursements
liquidity
Duration – 6 WEEKS
57
Types of Data collection method-
• Research Design
Research design is simply the framework or plan for a study, used as a guide in collecting
concerned with determining the frequency with which something occurs or the
Sampling Design
Sampling Design:
procedure that assures that each Population element is gives a non-zero chance of
Simple Random
Systematic
Cluster
Stratified
Double
58
2. Non-Probability Sampling: Non probability sampling is non-random and subjective.
That is each member does not have a known non zero chance of being included. Types of
Non-Probability Sampling
1. Convenience
2. Judgment
3. Quota
• Primary sources: The data are collected directly from the universe by conducting
interviews, etc. these are the original sources from which the researcher directly
• Secondary sources: The data are collected from the secondary sources such as
magazines, journals, etc. These sources consist of already variable data in the
form of statements, and reports, which may include sensory reports, financial
Data Approach- There are several Approach of data collection. The primary sources of
Observation
Interviewing
Stimulation
Mail survey
Projective techniques
directly get the data from a universe and based on that data one can carry on the research.
59
Interviewing: Interviewing is another mode of direct data collection, which provides
particular system. The experiment is done on the model and not on the real system
Mail survey: Through Mail survey, we can get direct data from the universe, the
responds and the feedback based on which the research can be carried out.
Projective techniques: Projective techniques are based on the theory that the description
are the vague objects and requires interpretation, and this interpretation can be based on
on specific aspects.
To compare the cash inflow and outflow of the organization with the help of two
To compare the actual and budgeted cash inflow and outflow of the organization
60
CHAPTER 8
FINDINGS
AND
ANALYSIS
61
FINDINGS AND ANALYSIS
62
CASH FLOW STATEMENT
63
64
CASH FLOW STATEMENT
YEAR : 07-08
FORM NO : 25
DIVISION : DHAMPUR SUGAR MILLS LTD.
65
SUB TOTAL (INFLOW NON- 0 0 0 0
OPERATIONS)
OUT FLOW (NON-OPERATION)
SHARE OF TAX & DIV. & OTHERS 8074 11678 127078 12710
CAPITAL EXPENDITURE 2012 8730 2392 2141
REPMT. OF LOAN (DIRECT) 117 242 195 300
PAYMENT ON BEHALF OF 928 1750 996 1043
OTHERS
OUT FLOW (NON OPERATION) -11131 -22400 -16290 -16194
TOTAL OUT FLOW (OPERATION) 140552 175194 162039 161524
OVERALL SUR./DEFICIT 23385 13130 65 4587
66
CASH FLOW STATEMENT
YEAR : 08-09
FORM NO : 25
DIVISION : DHAMPUR SUGAR MILLS LTD.
68
CASH FLOW STATEMENT
YEAR : 09-10
FORM NO : 5.1
DIVISION : DHAMPUR SUGAR MILLS LTD.
|
DESCRIPTION ACTUAL BUDGET ACTUAL APPOVED
2006-07 2007-08 2007-08 BE 2008-09
INFLOW (OPERATIONS)
DIRECT AGAINST ADVANCES
NON SOCIAL SECURITY 50856 40050 59338 57800
DISABILITY
RECEPT AGAINST CURRENT DESP.
1) SOCIAL SECURITY DISABILITY. 2946 3419 2837 1394
Incl. Libya.
2) NON SOCIAL SECURITY 161272 216954 182316 284978
DISABILITY
SUB – TOTAL 215074 260423 244487 344172
EXPERT INSENTIVE 464 750 279 750
other recipt 4143 4050 4085 4225
sub – total 4598 4800 4364 4975
cash inflow (operation) 219672 265223 248851 349147
outflow (operations)
1. material (indigenous)
1) social security disability 21176 20150 24179 22541
2) non social security disability 35007 31280 41556 40075
2. material (imported) 40907 51070 37371 96058
3. cutom duty 3677 5250 6603 14510
4. pmt. to sub-cont (fab) 2638 3300 3431 3800
sub- total 103405 111050 113140 176984
personnel payments 28216 33173 32151 38590
sales tax 6750 9100 5234 7300
excise duty 11633 20237 13883 23270
other expenses
1) social security disability 3198 4177 3410 4348
2) non social security disability 9343 12600 12514 16021
INTEREST:
DIRECT (OTHERS) 108 170 130 219
ALLOCATION FROM CORP. OFF -2000 -2100 -3670 -3801
EXCHANGE VARIATION 0 0 -63 0
SUB-TOTAL 57248 77357 63589 85947
TOTAL OUTFLOW (OPERATIONS) 160653 188407 176729 262931
OPERATING SUR./DEFICIT 59019 76816 72122 86216
INFLOW NON- OPERATIONS 0 0 0 0
SUB TOTAL (INFLOW NON- 0 0 0 0
OPERATIONS)
OUT FLOW (NON-OPERATION)
SHARE OF TAX & DIV. & OTHERS 15612 20116 23228 23035
69
CAPITAL EXPENDITURE 6363 20448 7720 22426
REPMT. OF LOAN (DIRECT) 320 415 326 524
PAYMENT ON BEHALF OF OTHERS 1895 1190 1718 1540
OUT FLOW (NON OPERATION) -24190 -42169 -32992 -47525
TOTAL OUT FLOW (OPERATION) 184843 230576 209721 310456
OVERALL SUR./DEFICIT 34829 34647 39130 38691
actual
109523
2004-05
248851 118645 2005-06
2006-07
163937
219672 2007-08
166111
2008-09
2009-10
Interpretation: Cash inflow are rising every year with a slow pace .There hasn’t been any
70
Cash outflow (operation)Actual
actual
2004-05
Interpretation: Cash outflow are rising every year with a slow pace. There hasn’t been
actual
17867 7004
39130 2004-05
23385 2005-06
34829 2006-07
2007-08
2008-09
2009-10
4587
71
• Interpretation: It is showing an irregular trend i.e steep rise & steep fall in
budget
0
2005-06
265223 118486
143496 2006-07
2008-09
2009-10
• Interpretation: Cash inflow (budget) is rising with a slow pace. there hasn’t been
72
CHAPTER 9
CONCLUSION
73
CONCLUSION
It is very difficult to elaborate all the work of cash section. But I have tried my level best
to cover all the work done by it. This project was undertaken in order to know the
the backbone of the finance department and organization itself. All money transactions
are done through this department. Cash department should be totally connected with
corporate office. It works on the instruction of corporate office. That is why the system is
called centralized cash management system. All tools should be used by cash department
& in an efficient and reliable way. Salary disbursement, system should be marvelous and
other tools like bank book, cash book, voucher, cash draft etc. should be helpful to
maintain account up to date and in a systematic form. Staff of cash section should be a
mixture of youth & experience, knowledgeable and hard working. This stems out from
the reason that company is able to get raw material on credit basis and supply good to
buyers on cash basis. There is a continuous increase in cash inflow (operations) actual
On the other hand same trend is followed by cash outflow (operations) and cash outflow
(budgeted).
showing uneven trend. This might be because of the recession that the economy was
facing in the recent years Cash management tools should be used by cash department &
in a more efficient and reliable way. Salary disbursement, system should be marvelous
and other tools like bank book, cash book, voucher, cash draft etc. should be helpful to
74
CHAPTER 10
SUGGESTIONS
75
SUGGESTIONS
• No doubt SOCIAL SECURITY DISABILITY and its cash department are very
good. They are performing their functions in a very impressive way but if the
• Staff of the cash department should be sufficient because the load is always very
much there on them. So it will be good if organization increase its working force
• Network should be advance in nature, so that the information may get easily &
• Cash section should not be very far away from other departments like finance
department which controls the cash section. So that employees would not have to
face difficulties, because every time they have to go there again and again.
• Cash section should not be very small in size. Specially book keeping section. It
76
CHAPTER 11
LIMITATION
77
LIMITATIONS
There are no special arrangements for trainees and moreover this was for the first
time any management trainee was going under training in the organization.
A period of 2 months is not enough to gain a deep insight of the cash management
of an organization.
Except few, other employees were not interested to provide data to the trainees
Internal audit was going on in the organization due to which very less time was
The finance department was doing their work under pressure due to the reason of
external auditor.
78
BIBLIOGRAPHY
BOOKS:
• Cooper and Schindler (1998), “Business Research Methods”, Tata Mc Graw Hill, 9th
edition
• Maheshwari S.N. & Maheshwari S.K., “An Introduction to Accounting, 2000, Vikas
Websites:
• http://business.mapsofindia.com/sugar-industry/uttarpradesh.html
• http://www.indiansugar.com/briefings/wsm.htm
• http://google.com/
• http://beginnersinvest.com/od/analysingbalancesheet/a/current-
ratio.htm
• http://en.wikipedia.org/wiki/Cash_management
79
• Nirmal Agarwal, “Economic analysis of Sugar Industry”,
http://www.scribd.com/doc/35888350/Analysis-of-the-Sugar-Industry ,
• “http://www.economywatch.com/business-and-economy/sugar-industry.html,
80
81
ANNEXURE
82
CASH FLOW STATEMENT
YEAR : 04-05
FORM NO : 25
DIVISION : DHAMPUR SUGAR MILLS LTD.
EXCHANGE VARIATION 0 0 0 14
SUB-TOTAL 45570 41054 46107 45644
83
CASH FLOW STATEMENT
YEAR : 05-06
FORM NO : 25
DIVISION : DHAMPUR SUGAR MILLS LTD.
84
CASH FLOW STATEMENT
YEAR : 06-07
FORM NO : 25
DIVISION : DHAMPUR SUGAR MILLS LTD.
EXCHANGE VARIATION 0 0 0 0
SUB-TOTAL 50728 62919 57404 57248
85
CASH FLOW STATEMENT
YEAR : 07-08
FORM NO : 5.1
DIVISION : DHAMPUR SUGAR MILLS LTD.
86