8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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27

TABLE ndash IV ndash 1 (C)

Income and expenditure Budget on Dharani Sugars and Chemicals

Limited in the year 2010 ndash 2011

Particular

Budget Rs in Lakhs

Actual Rs In Lakhs

Income

Sugar

Molasses

Bagasse

Industrial Alcohol

Power

Others

Other in come

26496

-

675

1800

1224

75

50

1663691

22895

28673

237776

102725

7252

13417

Total

Less Excise duty

IncreaseDecrease in Stock

30320

-

-

2076429

-80972

105993

Total income 30320 1889464

Expenditure

Raw Material

Sugar cane

Raw Sugar

Molasses

Power

Fuel for co-generation

Stores and spares consumed

Salaries and wages

Administrative expenses

Packing expenses

Repair and maintenance

Interest

Depreciation

20160

-

200

-

-

900

800

250

662

450

1500

550

1709962

-

25380

21668

-

82289

80448

29237

50837

47321

157751

67785

Total

Less Excise duty

25472

-

2272707

2931

Total expenditure 25472 2269776

Profit after depreciation 4848 380312

(Source Secondary Data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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28

Interpretation

1 Table - IV1(c) represents that the Company estimated profit Rs4848

lakhs for 2010 - 2011 But the Actual profit they got Rs380312 lakhs the

profit is decreased mainly due it more expenditure on Interest expenses

and depreciation and administrative expenses

2 The firm has estimated total income Rs30320 lakhs But they get Rs

1889464 lakhs The income is decreased Rs1142536 lakhs

3 In this year the company estimated expenditure Rs25472 lakhs But the

actual expenditure Rs2269776 lakhs The expenditure is decreased

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 336

29

DIAGRAM ndash IV ndash 1 (C)

DIAGRAM SHOWING THE INCOME AND EXPENDITURE BUDGET

ON DHARANI SUGARS AND CHEMICAL

LIMITED IN THE YEAR 2010 ndash 2011

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 436

30

TABLE - IV ndash 2 (A)

Dharani Sugars and Chemical Limited

Purchase Budget in the year 2008- 2009

Particular Budget Sugarcane

Quantity in Metric Ton

Actual Sugarcane

Quantity in Metric Ton

Raw material consumed 800000 609866

Add closing stock - -

Less opening stock 800000 609866

Purchases 800000 609866

Budgeted amp Actual Rate 1150 116950

Purchase Budget Actual

Purchase Price

9200 712226

(Source Secondary Data)

Interpretation

1 The table IV2(a) represents that the company has to estimated purchase of

Raw material 800000 lakhs metric to me per year But the company can get

only 609866 lakhs tones This is due to water scarcity in some villages

2 The company has estimated the Raw material cost per metric ton is Rs1150

But the actual cost has increases 116950 is mainly due to cane price increased

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 536

31

DIAGRAM ndash IV ndash2 (A)

DIAGRAM SHOWING PURCHASE BUDGET

IN THE YEAR 2008 - 2009

983105983139983156983157983137983148983084 983097983090983088983088

983106983157983140983143983141983156983084 983095983089983090983090

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 636

32

Dharani Sugars and Chemical Limited

Purchase Budget in the year 2009- 2010

Table - IV ndash 2 (B)

Particular Budget Sugarcane

Quantity in Metric Ton

Actual Sugarcane

Quantity in Metric Ton

Raw material consumed 1500000 1416450

Add closing stock - -

Less opening stock 1500000 1416450

Purchases 1500000 1416450

Budgeted amp Actual Rate 1150 1205

Purchase Budget Actual

Purchase Price

17250 1706828

(Source Secondary data)

Interpretation

1 The table IV2 (b) represents that the company has to estimated purchase of

Raw material 1500 lakhs metric ton per year But the company can get only

1416 lakhs tones This is due to water scarcity in some villages

2 The company has estimates the Raw material cost per metric ton Rs1150

But the actual cost has increases Rsl205 is mainly due to cane price increased

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 736

33

DIAGRAM ndash IV ndash 2 (B)

DIAGRAM SHOWING PURCHASE BUDGET

IN THE YEAR 2009 - 2010

983106983157983140983143983141983156983084 983089983095983090983093983088

983105983139983156983157983137983148983084 983089983095983088983094983096

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 836

34

DHARANI SUGARS AND CHEMICAL LIMITED

PURCHASE BUDGET IN THE YEAR 2010 - 2011

Table - IV ndash 2 (B)

Particular Budget Sugarcane

Quantity in Metric Ton

Actual Sugarcane

Quantity in Metric Ton

Raw material consumed 1800000 1507248

Add closing stock - -

Less opening stock 1800000 1507248

Purchases 1800000 1507248

Budgeted amp Actual Rate 1120 1135

Purchase Budget Actual

Purchase Price

20160 1709962

(Source Secondary data)

Interpretation

1 The table IV2 (c) represents that the company has to estimated purchase of

Raw material 1800 lakhs matric tone per year But the company can get only

1507 lakhs tones This is due to water scarcity in some villages

2 The company has estimated the Raw material cost per metric to me is Rsl

120 But the actual cost has increases 1135 is mainly due to cane price

increases

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 936

35

DIAGRAM ndash IV ndash 2 (C)

DIAGRAM SHOWING PURCHASE BUDGET

IN THE YEAR 2010 - 2011

983106983157983140983143983141983156983084 983090983088983089983094983088

983105983139983156983157983137983148983084 983089983095983088983097983097

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1036

36

TABLE - IV ndash 3 (A)

DHARANI SUGARS AND CHEMICAL LIMITED

PRODUCTION BUDGET IN THE YEAR 2008-09

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales

Less Return

Add Closing

Stock

736000

200000

36000

12000

90000000

250000

30000000

45000000

Less

Budgeted

Opening stock

200000 12000 250000

-

Budgeted

Production

736000 36000 1000000 75000000

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1136

37

Actual Production

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty in

liters

Power in Unit

Sales Less

Return

1690248 2000 8706980 59494400

Add Closing

Stock

283193 8303 830174 -

Add Transfer to

distillery

own

consumption

- 27670 1200 24875600

Total (-

)Opening stock

1973441

634281

37973

3796

9538354

1880732

84370000

Actual

Production

1339160 34177 7657622 84370000

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1236

38

Interpretation

1 The Table IV - 3 (a) represents that the company is assured that all the

production material has been sold

2 The Budget production sugar is 736 lakhs quintals But actual production is

Rsl339 lakhs quintals The Sugar production is increased This is mainly due to

raw sugar availability

3 The molasses production is 34177 metric tons as against Budget qty of

36080 matric tones

4

The company is estimated spirit production 9000 lakhs liters But thecompany produced 7658 lakhs liters This is mainly due to molasses reduction

5 The company is estimated power 750 crore units But Power process 84370

Increaseshe power unit This is mainly due to Baggage availability

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1336

39

DIAGRAM - IV ndash 3 (A)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2008-09

983095983091983094983088983088983088

983091983094983088983088983088983088983088

983089983088983088983088983088983088983088

983089983091983091983097983089983094

983091983092983089983095983095983088983088

983095983094983093983095983094983090983090

983088

983089983088983088983088983088983088983088

983090983088983088983088983088983088983088

983091983088983088983088983088983088983088

983092983088983088983088983088983088983088

983093983088983088983088983088983088983088

983094983088983088983088983088983088983088

983095983088983088983088983088983088983088

983096983088983088983088983088983088983088

983097983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1436

40

TABLE - IV ndash 3 (B)

Dharani Sugars and Chemical Limited

Production Budget in the year 2009-10

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closhing

Stock

1380000

200000

67500

12000

9000000

250000

80000000

40000000

(-) Budgeted

Opening stock

200000 12000 250000 4000000

Budgeted

Production

1380000 67500 9000000 8000000

Assumption

All Production has been treated as sales

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1536

41

Actual Production

Particular Sugar Qty

in Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return Add

Closing

Stock

1380716

216611

23216

16657

10460887

250442

43020800

(+)Transfer to

distillery own

consumption

- 35499 900 27715200

Total

(-)Opening

stock

1597327

283193

75372

8303

10712229

830174

707

36000

Actual

Production

1314134 67069 9882055 7073600

0

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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42

Interpretation

1 The table IV - 3 (b) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1380 lakhs quintals as against

actual production 1314 lakhs quintals This is dully sugar content

available in the sugar cane

3 The molasses production is 67069 lares as against Budget quantity of

67500

4 The company is estimated sprit production only 90 lakhs liters But the

company actual produced 9882 lakhs liters this is mainly due to molassesavailability

5 The company is estimated power unit in 800 lakhs units But the

company produced 70736 lakhs unit It is mainly due to Baggage

availability and own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1736

43

DIAGRAM ndash IV - 3 (b)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2009-10

983089983091983096983088983088983088983088

983094983095983093983088983088983088983088

983097983088983088983088983088983088983088

983089983091983089983092983089983091983092

983094983095983088983094983097983088983088

983097983096983096983090983088983093983093

983088

983090983088983088983088983088983088983088

983092983088983088983088983088983088983088

983094983088983088983088983088983088983088

983096983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983089983090983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1836

44

TABLE - IV ndash 3 (C)

Dharani Sugars and Chemical Limited

Production Budget in the year 2010-2011

Particular Sugar Qty in

Quintals

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1656000

200000

81000

12000

9000000

250000

80000000

-

Less Budgeted

Opening stock

200000 12000 250000 -

Budgeted

Production

1656000 81000 9000000 80000000

Assumption -

All Production has been treated as sales

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1936

45

Actual Production

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1316329

283097

44954

8061

9525923

224844

33528800

(+) Transfer to

distillery own

consumption

- 36000 900 28503775

Total 1599423 89015 9751667 62032575

(-) Opening

stock

216611 16657 250442 -

Actual

Production

1382812 72358 9501225 62032575

(Source Secondary data)

Interpretation

1 The table IV 3(c) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1656 lakhs quintals as against

actual production 1382 lakhs quintals This is dully sugar contant

available in the sugar cane

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2036

46

3 The molasses production is 72358 tones as against Budget quantity

Rs81000

4 The company is estimated sprit production only 90 lakhs liters But the

company actual production 9501 lakhs liters This is mainly due to

molasses availability

5 The company is estimated power unit in 800 lakhs unit But the company

product 62032 lakhs unit It is mainly due to Baggage availability and

own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2136

47

DIAGRAM ndash IV ndash 3 (c)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2010-11

983089983094983093983094983088983088983088

983096983089983088983088983088983088983088

983097983088983088983088983088983088983088

983089983091983096983090983096983089983090

983095983090983091983093983096983088983088

983097983093983088983089983090983090983093

983088

983089983088983088983088983088983088983088

983090983088983088983088983088983088983088

983091983088983088983088983088983088983088

983092983088983088983088983088983088983088

983093983088983088983088983088983088983088

983094983088983088983088983088983088983088

983095983088983088983088983088983088983088

983096983088983088983088983088983088983088

983097983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2236

48

TABLE ndash IV ndash 4 (A)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2008 ndash 2009

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 11776 2889684 1712084

Molasses - 2830 2830

Bagasse 300 8498 21502

Industrial Alcohol 1800 187851 7851

Power 918 183800 92076

(Source Secondary data)

Interpretation

1 The table IV 4 (a) represents that the sugar sales are higher as compared

to Budget the varience is 1712084 lakhs is mainly more off log

2 Baggage sales are less as compared to Budget the variance is Rs21502

lakhs Mainly due to consumption at Baggage is more use of generating

power

3 Industrial Alcohol sales are less as compare to the Budget the variance is

Rs7851 lakhs

4 Power sales are higher as compare to Budget Rs92076 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2336

49

DIAGRAM ndash IV ndash 4 (a)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2008 ndash 09

983089983089983095983095983094

983097983089983096 983089983096983088983088

983090983096983096983097983094

983089983096983091983096 983089983096983095983096

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983091983093983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2436

50

TABLE ndash IV ndash 4 (B)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2009 ndash 2010

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 23460 2393392 47392

Molasses - 22598 22598

Bagasse 565 41120 15380

Industrial Alcohol 1800 244182 64182

Power 1224 122539 3139

(Source Secondary data)

Interpretation

1 The table IV - 4 (b) represents that the sugar sales is higher as

compared to Budget the variance is 47392 lakhs is mainly more off

tag

2 Baggage sales are less as compared to Budget the variance is Rs

1538 lakhs mainly due to consumption at Baggage is more use for

generating power

3 Industrial Alcohol sales are less as compare to the Budget the variance

is Rs64182 lakhs

4 Power sales are higher as compare to Budget Rs3139 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2536

51

DIAGRAM ndash IV ndash 4 (b)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2009 - 10

983090983091983092983094983088

983089983090983090983092 983089983096983088983088

983090983091983097983091983091

983089983090983090983093983090983092983092983089

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2636

52

TABLE ndash IV ndash 4 (C)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2010 ndash 2011

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 26496 1663691 985909

Molasses 983085 22895 22895

Bagasse 675 28673 38827

Industrial Alcohol 1800 237776 57776

Power 1224 102725 19675

(Source Secondary data)

Interpretation

1 The table IV - 4 (c) represents that the sugar sales is higher as compared to

Budget the variance is 985909 lakhs is mainly more off tag

2 Baggage sales is less as compare to Budget the variance is Rs37827

lakhs mainly due to consumption at Baggage is more use for generating

power

3 Industrial Alcohol sales are less as compared to the Budget the variance is

Rs57776 lakhs

4 Power sales are higher as compare to Budget Rs 19675 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2736

53

DIAGRAM ndash IV ndash 4 (c)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2010 - 11

983090983094983092983097983094

983089983090983090983092 983089983096983088983088

983089983094983094983091983094

983089983088983090983095983090983091983095983095

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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54

TABLE ndash IV ndash 5 (a)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2008 ndash 2009

Particular Budget Rs in

Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 9957 9957

Receipt

Sales 3000000 3085100 85100

Other income 8000 894100 941

Loan Received - - -

Investment Received 97543 - 109500

Total Receipt 3105543 3094041 193541

Payment

Purchase of Raw material 1800000 1831857 -31857

Repayment of creditors 190000 198755 -8755

Fuel for-cogeneration 170000 180686 10686

Stores and spares consumed 50000 51962 1962

Salaries and wages 52000 55107 3107

Administrative expenses 60000 60778 778

Packing expenses 70000 73824 -3824

Interest 160000 162467 -2467

Loan Repaid 410000 416750 6750

Fixed asset purchased 10000 11202 -1202

Total Payment 2972000 3043397 71397

Opening Balance + ReceiptPayment

Closing Balance 143500 606015

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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55

Interpretation

1 The table IV - 5 (a) represents that the firm estimated total receipt

Rs3105543 lakhs But the company gets total receipt Rs3094041 lakhs

The variance is Rsl 1502 lakhs This variance is unfavorable

2 The actual total payment is increased Rs71397 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3036

56

DIAGRAM ndash IV ndash 5 (a)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2008 - 09

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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57

TABLE ndash IV ndash 5 (b)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2009 ndash 2010

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 60601 60601

Receipt

Sales 2555000 2725064 169064

Other income 5000 17279 8279Loan Received 200000 313264 113264

Investment Received - - -

Total Receipt 2764000 3116208 290607

Payment

Purchase of Raw material 1813000 1756750 56350

Repayment of creditors 113300 - 113300

Fuel for-cogeneration - -983085

Stores and spares consumed 65000 73693 8693Salaries and wages 65000 67923 2923

Administrative expenses 30000 40866 10866

Packing expenses 56000 117714 61914

Interest 180000 186505 6505

Loan Repaid 300000 292385 -5684

Fixed asset purchased 60601983085

-60601

Total Payment

Opening Balance + Receipt Payment

Closing Balance

2682901 2784240 148493

141700 331968

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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58

Interpretation

1 The table IV - 5 (b) represents that the firm estimated total receipt

Rs27640 lakhs But the company gets total receipt Rs3116208

lakhs The variance is Rs352208 lakhs It is favorable

2 The actual total payment is increased Rs101339 lakhs as compare

to Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3336

59

DIAGRAM ndash IV ndash 5 (b)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2009 - 10

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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60

TABLE ndash IV ndash 5 (C)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2010 ndash 2011

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 331968 331968

Receipt

Sales 3100000 35500 50000Other income 9000 9571 571

Loan Received - - -

Total Receipt 3109000 3559571 50571

Payment

Purchase of Raw material 2100000 2231857 31857

Repayment of Creditors 150000 161355 11355

Fuel for Cogeneration 190000 263168 73168

Stores and spares consumed 80000 88612 8612Salaries and Wages 55000 57L37 2107

Administrative expenses 66000 69187 3187

Packing and forwarding expenses 70000 73827 3824

Interest paid 150000 157267 7267

Loan Repaid 420000 612715 192715

Fixed asset purchased 75168 130023 54855

Total Payment 3356168 3845148 388947

(Receipt-Payment)

Closing Balance 84800 46391

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 236

28

Interpretation

1 Table - IV1(c) represents that the Company estimated profit Rs4848

lakhs for 2010 - 2011 But the Actual profit they got Rs380312 lakhs the

profit is decreased mainly due it more expenditure on Interest expenses

and depreciation and administrative expenses

2 The firm has estimated total income Rs30320 lakhs But they get Rs

1889464 lakhs The income is decreased Rs1142536 lakhs

3 In this year the company estimated expenditure Rs25472 lakhs But the

actual expenditure Rs2269776 lakhs The expenditure is decreased

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 336

29

DIAGRAM ndash IV ndash 1 (C)

DIAGRAM SHOWING THE INCOME AND EXPENDITURE BUDGET

ON DHARANI SUGARS AND CHEMICAL

LIMITED IN THE YEAR 2010 ndash 2011

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 436

30

TABLE - IV ndash 2 (A)

Dharani Sugars and Chemical Limited

Purchase Budget in the year 2008- 2009

Particular Budget Sugarcane

Quantity in Metric Ton

Actual Sugarcane

Quantity in Metric Ton

Raw material consumed 800000 609866

Add closing stock - -

Less opening stock 800000 609866

Purchases 800000 609866

Budgeted amp Actual Rate 1150 116950

Purchase Budget Actual

Purchase Price

9200 712226

(Source Secondary Data)

Interpretation

1 The table IV2(a) represents that the company has to estimated purchase of

Raw material 800000 lakhs metric to me per year But the company can get

only 609866 lakhs tones This is due to water scarcity in some villages

2 The company has estimated the Raw material cost per metric ton is Rs1150

But the actual cost has increases 116950 is mainly due to cane price increased

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 536

31

DIAGRAM ndash IV ndash2 (A)

DIAGRAM SHOWING PURCHASE BUDGET

IN THE YEAR 2008 - 2009

983105983139983156983157983137983148983084 983097983090983088983088

983106983157983140983143983141983156983084 983095983089983090983090

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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32

Dharani Sugars and Chemical Limited

Purchase Budget in the year 2009- 2010

Table - IV ndash 2 (B)

Particular Budget Sugarcane

Quantity in Metric Ton

Actual Sugarcane

Quantity in Metric Ton

Raw material consumed 1500000 1416450

Add closing stock - -

Less opening stock 1500000 1416450

Purchases 1500000 1416450

Budgeted amp Actual Rate 1150 1205

Purchase Budget Actual

Purchase Price

17250 1706828

(Source Secondary data)

Interpretation

1 The table IV2 (b) represents that the company has to estimated purchase of

Raw material 1500 lakhs metric ton per year But the company can get only

1416 lakhs tones This is due to water scarcity in some villages

2 The company has estimates the Raw material cost per metric ton Rs1150

But the actual cost has increases Rsl205 is mainly due to cane price increased

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 736

33

DIAGRAM ndash IV ndash 2 (B)

DIAGRAM SHOWING PURCHASE BUDGET

IN THE YEAR 2009 - 2010

983106983157983140983143983141983156983084 983089983095983090983093983088

983105983139983156983157983137983148983084 983089983095983088983094983096

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 836

34

DHARANI SUGARS AND CHEMICAL LIMITED

PURCHASE BUDGET IN THE YEAR 2010 - 2011

Table - IV ndash 2 (B)

Particular Budget Sugarcane

Quantity in Metric Ton

Actual Sugarcane

Quantity in Metric Ton

Raw material consumed 1800000 1507248

Add closing stock - -

Less opening stock 1800000 1507248

Purchases 1800000 1507248

Budgeted amp Actual Rate 1120 1135

Purchase Budget Actual

Purchase Price

20160 1709962

(Source Secondary data)

Interpretation

1 The table IV2 (c) represents that the company has to estimated purchase of

Raw material 1800 lakhs matric tone per year But the company can get only

1507 lakhs tones This is due to water scarcity in some villages

2 The company has estimated the Raw material cost per metric to me is Rsl

120 But the actual cost has increases 1135 is mainly due to cane price

increases

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 936

35

DIAGRAM ndash IV ndash 2 (C)

DIAGRAM SHOWING PURCHASE BUDGET

IN THE YEAR 2010 - 2011

983106983157983140983143983141983156983084 983090983088983089983094983088

983105983139983156983157983137983148983084 983089983095983088983097983097

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1036

36

TABLE - IV ndash 3 (A)

DHARANI SUGARS AND CHEMICAL LIMITED

PRODUCTION BUDGET IN THE YEAR 2008-09

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales

Less Return

Add Closing

Stock

736000

200000

36000

12000

90000000

250000

30000000

45000000

Less

Budgeted

Opening stock

200000 12000 250000

-

Budgeted

Production

736000 36000 1000000 75000000

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1136

37

Actual Production

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty in

liters

Power in Unit

Sales Less

Return

1690248 2000 8706980 59494400

Add Closing

Stock

283193 8303 830174 -

Add Transfer to

distillery

own

consumption

- 27670 1200 24875600

Total (-

)Opening stock

1973441

634281

37973

3796

9538354

1880732

84370000

Actual

Production

1339160 34177 7657622 84370000

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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38

Interpretation

1 The Table IV - 3 (a) represents that the company is assured that all the

production material has been sold

2 The Budget production sugar is 736 lakhs quintals But actual production is

Rsl339 lakhs quintals The Sugar production is increased This is mainly due to

raw sugar availability

3 The molasses production is 34177 metric tons as against Budget qty of

36080 matric tones

4

The company is estimated spirit production 9000 lakhs liters But thecompany produced 7658 lakhs liters This is mainly due to molasses reduction

5 The company is estimated power 750 crore units But Power process 84370

Increaseshe power unit This is mainly due to Baggage availability

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1336

39

DIAGRAM - IV ndash 3 (A)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2008-09

983095983091983094983088983088983088

983091983094983088983088983088983088983088

983089983088983088983088983088983088983088

983089983091983091983097983089983094

983091983092983089983095983095983088983088

983095983094983093983095983094983090983090

983088

983089983088983088983088983088983088983088

983090983088983088983088983088983088983088

983091983088983088983088983088983088983088

983092983088983088983088983088983088983088

983093983088983088983088983088983088983088

983094983088983088983088983088983088983088

983095983088983088983088983088983088983088

983096983088983088983088983088983088983088

983097983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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40

TABLE - IV ndash 3 (B)

Dharani Sugars and Chemical Limited

Production Budget in the year 2009-10

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closhing

Stock

1380000

200000

67500

12000

9000000

250000

80000000

40000000

(-) Budgeted

Opening stock

200000 12000 250000 4000000

Budgeted

Production

1380000 67500 9000000 8000000

Assumption

All Production has been treated as sales

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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41

Actual Production

Particular Sugar Qty

in Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return Add

Closing

Stock

1380716

216611

23216

16657

10460887

250442

43020800

(+)Transfer to

distillery own

consumption

- 35499 900 27715200

Total

(-)Opening

stock

1597327

283193

75372

8303

10712229

830174

707

36000

Actual

Production

1314134 67069 9882055 7073600

0

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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42

Interpretation

1 The table IV - 3 (b) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1380 lakhs quintals as against

actual production 1314 lakhs quintals This is dully sugar content

available in the sugar cane

3 The molasses production is 67069 lares as against Budget quantity of

67500

4 The company is estimated sprit production only 90 lakhs liters But the

company actual produced 9882 lakhs liters this is mainly due to molassesavailability

5 The company is estimated power unit in 800 lakhs units But the

company produced 70736 lakhs unit It is mainly due to Baggage

availability and own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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43

DIAGRAM ndash IV - 3 (b)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2009-10

983089983091983096983088983088983088983088

983094983095983093983088983088983088983088

983097983088983088983088983088983088983088

983089983091983089983092983089983091983092

983094983095983088983094983097983088983088

983097983096983096983090983088983093983093

983088

983090983088983088983088983088983088983088

983092983088983088983088983088983088983088

983094983088983088983088983088983088983088

983096983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983089983090983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1836

44

TABLE - IV ndash 3 (C)

Dharani Sugars and Chemical Limited

Production Budget in the year 2010-2011

Particular Sugar Qty in

Quintals

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1656000

200000

81000

12000

9000000

250000

80000000

-

Less Budgeted

Opening stock

200000 12000 250000 -

Budgeted

Production

1656000 81000 9000000 80000000

Assumption -

All Production has been treated as sales

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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45

Actual Production

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1316329

283097

44954

8061

9525923

224844

33528800

(+) Transfer to

distillery own

consumption

- 36000 900 28503775

Total 1599423 89015 9751667 62032575

(-) Opening

stock

216611 16657 250442 -

Actual

Production

1382812 72358 9501225 62032575

(Source Secondary data)

Interpretation

1 The table IV 3(c) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1656 lakhs quintals as against

actual production 1382 lakhs quintals This is dully sugar contant

available in the sugar cane

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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46

3 The molasses production is 72358 tones as against Budget quantity

Rs81000

4 The company is estimated sprit production only 90 lakhs liters But the

company actual production 9501 lakhs liters This is mainly due to

molasses availability

5 The company is estimated power unit in 800 lakhs unit But the company

product 62032 lakhs unit It is mainly due to Baggage availability and

own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2136

47

DIAGRAM ndash IV ndash 3 (c)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2010-11

983089983094983093983094983088983088983088

983096983089983088983088983088983088983088

983097983088983088983088983088983088983088

983089983091983096983090983096983089983090

983095983090983091983093983096983088983088

983097983093983088983089983090983090983093

983088

983089983088983088983088983088983088983088

983090983088983088983088983088983088983088

983091983088983088983088983088983088983088

983092983088983088983088983088983088983088

983093983088983088983088983088983088983088

983094983088983088983088983088983088983088

983095983088983088983088983088983088983088

983096983088983088983088983088983088983088

983097983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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48

TABLE ndash IV ndash 4 (A)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2008 ndash 2009

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 11776 2889684 1712084

Molasses - 2830 2830

Bagasse 300 8498 21502

Industrial Alcohol 1800 187851 7851

Power 918 183800 92076

(Source Secondary data)

Interpretation

1 The table IV 4 (a) represents that the sugar sales are higher as compared

to Budget the varience is 1712084 lakhs is mainly more off log

2 Baggage sales are less as compared to Budget the variance is Rs21502

lakhs Mainly due to consumption at Baggage is more use of generating

power

3 Industrial Alcohol sales are less as compare to the Budget the variance is

Rs7851 lakhs

4 Power sales are higher as compare to Budget Rs92076 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2336

49

DIAGRAM ndash IV ndash 4 (a)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2008 ndash 09

983089983089983095983095983094

983097983089983096 983089983096983088983088

983090983096983096983097983094

983089983096983091983096 983089983096983095983096

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983091983093983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2436

50

TABLE ndash IV ndash 4 (B)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2009 ndash 2010

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 23460 2393392 47392

Molasses - 22598 22598

Bagasse 565 41120 15380

Industrial Alcohol 1800 244182 64182

Power 1224 122539 3139

(Source Secondary data)

Interpretation

1 The table IV - 4 (b) represents that the sugar sales is higher as

compared to Budget the variance is 47392 lakhs is mainly more off

tag

2 Baggage sales are less as compared to Budget the variance is Rs

1538 lakhs mainly due to consumption at Baggage is more use for

generating power

3 Industrial Alcohol sales are less as compare to the Budget the variance

is Rs64182 lakhs

4 Power sales are higher as compare to Budget Rs3139 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2536

51

DIAGRAM ndash IV ndash 4 (b)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2009 - 10

983090983091983092983094983088

983089983090983090983092 983089983096983088983088

983090983091983097983091983091

983089983090983090983093983090983092983092983089

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2636

52

TABLE ndash IV ndash 4 (C)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2010 ndash 2011

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 26496 1663691 985909

Molasses 983085 22895 22895

Bagasse 675 28673 38827

Industrial Alcohol 1800 237776 57776

Power 1224 102725 19675

(Source Secondary data)

Interpretation

1 The table IV - 4 (c) represents that the sugar sales is higher as compared to

Budget the variance is 985909 lakhs is mainly more off tag

2 Baggage sales is less as compare to Budget the variance is Rs37827

lakhs mainly due to consumption at Baggage is more use for generating

power

3 Industrial Alcohol sales are less as compared to the Budget the variance is

Rs57776 lakhs

4 Power sales are higher as compare to Budget Rs 19675 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2736

53

DIAGRAM ndash IV ndash 4 (c)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2010 - 11

983090983094983092983097983094

983089983090983090983092 983089983096983088983088

983089983094983094983091983094

983089983088983090983095983090983091983095983095

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2836

54

TABLE ndash IV ndash 5 (a)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2008 ndash 2009

Particular Budget Rs in

Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 9957 9957

Receipt

Sales 3000000 3085100 85100

Other income 8000 894100 941

Loan Received - - -

Investment Received 97543 - 109500

Total Receipt 3105543 3094041 193541

Payment

Purchase of Raw material 1800000 1831857 -31857

Repayment of creditors 190000 198755 -8755

Fuel for-cogeneration 170000 180686 10686

Stores and spares consumed 50000 51962 1962

Salaries and wages 52000 55107 3107

Administrative expenses 60000 60778 778

Packing expenses 70000 73824 -3824

Interest 160000 162467 -2467

Loan Repaid 410000 416750 6750

Fixed asset purchased 10000 11202 -1202

Total Payment 2972000 3043397 71397

Opening Balance + ReceiptPayment

Closing Balance 143500 606015

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2936

55

Interpretation

1 The table IV - 5 (a) represents that the firm estimated total receipt

Rs3105543 lakhs But the company gets total receipt Rs3094041 lakhs

The variance is Rsl 1502 lakhs This variance is unfavorable

2 The actual total payment is increased Rs71397 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3036

56

DIAGRAM ndash IV ndash 5 (a)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2008 - 09

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3136

57

TABLE ndash IV ndash 5 (b)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2009 ndash 2010

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 60601 60601

Receipt

Sales 2555000 2725064 169064

Other income 5000 17279 8279Loan Received 200000 313264 113264

Investment Received - - -

Total Receipt 2764000 3116208 290607

Payment

Purchase of Raw material 1813000 1756750 56350

Repayment of creditors 113300 - 113300

Fuel for-cogeneration - -983085

Stores and spares consumed 65000 73693 8693Salaries and wages 65000 67923 2923

Administrative expenses 30000 40866 10866

Packing expenses 56000 117714 61914

Interest 180000 186505 6505

Loan Repaid 300000 292385 -5684

Fixed asset purchased 60601983085

-60601

Total Payment

Opening Balance + Receipt Payment

Closing Balance

2682901 2784240 148493

141700 331968

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3236

58

Interpretation

1 The table IV - 5 (b) represents that the firm estimated total receipt

Rs27640 lakhs But the company gets total receipt Rs3116208

lakhs The variance is Rs352208 lakhs It is favorable

2 The actual total payment is increased Rs101339 lakhs as compare

to Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3336

59

DIAGRAM ndash IV ndash 5 (b)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2009 - 10

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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60

TABLE ndash IV ndash 5 (C)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2010 ndash 2011

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 331968 331968

Receipt

Sales 3100000 35500 50000Other income 9000 9571 571

Loan Received - - -

Total Receipt 3109000 3559571 50571

Payment

Purchase of Raw material 2100000 2231857 31857

Repayment of Creditors 150000 161355 11355

Fuel for Cogeneration 190000 263168 73168

Stores and spares consumed 80000 88612 8612Salaries and Wages 55000 57L37 2107

Administrative expenses 66000 69187 3187

Packing and forwarding expenses 70000 73827 3824

Interest paid 150000 157267 7267

Loan Repaid 420000 612715 192715

Fixed asset purchased 75168 130023 54855

Total Payment 3356168 3845148 388947

(Receipt-Payment)

Closing Balance 84800 46391

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 336

29

DIAGRAM ndash IV ndash 1 (C)

DIAGRAM SHOWING THE INCOME AND EXPENDITURE BUDGET

ON DHARANI SUGARS AND CHEMICAL

LIMITED IN THE YEAR 2010 ndash 2011

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 436

30

TABLE - IV ndash 2 (A)

Dharani Sugars and Chemical Limited

Purchase Budget in the year 2008- 2009

Particular Budget Sugarcane

Quantity in Metric Ton

Actual Sugarcane

Quantity in Metric Ton

Raw material consumed 800000 609866

Add closing stock - -

Less opening stock 800000 609866

Purchases 800000 609866

Budgeted amp Actual Rate 1150 116950

Purchase Budget Actual

Purchase Price

9200 712226

(Source Secondary Data)

Interpretation

1 The table IV2(a) represents that the company has to estimated purchase of

Raw material 800000 lakhs metric to me per year But the company can get

only 609866 lakhs tones This is due to water scarcity in some villages

2 The company has estimated the Raw material cost per metric ton is Rs1150

But the actual cost has increases 116950 is mainly due to cane price increased

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 536

31

DIAGRAM ndash IV ndash2 (A)

DIAGRAM SHOWING PURCHASE BUDGET

IN THE YEAR 2008 - 2009

983105983139983156983157983137983148983084 983097983090983088983088

983106983157983140983143983141983156983084 983095983089983090983090

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 636

32

Dharani Sugars and Chemical Limited

Purchase Budget in the year 2009- 2010

Table - IV ndash 2 (B)

Particular Budget Sugarcane

Quantity in Metric Ton

Actual Sugarcane

Quantity in Metric Ton

Raw material consumed 1500000 1416450

Add closing stock - -

Less opening stock 1500000 1416450

Purchases 1500000 1416450

Budgeted amp Actual Rate 1150 1205

Purchase Budget Actual

Purchase Price

17250 1706828

(Source Secondary data)

Interpretation

1 The table IV2 (b) represents that the company has to estimated purchase of

Raw material 1500 lakhs metric ton per year But the company can get only

1416 lakhs tones This is due to water scarcity in some villages

2 The company has estimates the Raw material cost per metric ton Rs1150

But the actual cost has increases Rsl205 is mainly due to cane price increased

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 736

33

DIAGRAM ndash IV ndash 2 (B)

DIAGRAM SHOWING PURCHASE BUDGET

IN THE YEAR 2009 - 2010

983106983157983140983143983141983156983084 983089983095983090983093983088

983105983139983156983157983137983148983084 983089983095983088983094983096

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 836

34

DHARANI SUGARS AND CHEMICAL LIMITED

PURCHASE BUDGET IN THE YEAR 2010 - 2011

Table - IV ndash 2 (B)

Particular Budget Sugarcane

Quantity in Metric Ton

Actual Sugarcane

Quantity in Metric Ton

Raw material consumed 1800000 1507248

Add closing stock - -

Less opening stock 1800000 1507248

Purchases 1800000 1507248

Budgeted amp Actual Rate 1120 1135

Purchase Budget Actual

Purchase Price

20160 1709962

(Source Secondary data)

Interpretation

1 The table IV2 (c) represents that the company has to estimated purchase of

Raw material 1800 lakhs matric tone per year But the company can get only

1507 lakhs tones This is due to water scarcity in some villages

2 The company has estimated the Raw material cost per metric to me is Rsl

120 But the actual cost has increases 1135 is mainly due to cane price

increases

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 936

35

DIAGRAM ndash IV ndash 2 (C)

DIAGRAM SHOWING PURCHASE BUDGET

IN THE YEAR 2010 - 2011

983106983157983140983143983141983156983084 983090983088983089983094983088

983105983139983156983157983137983148983084 983089983095983088983097983097

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1036

36

TABLE - IV ndash 3 (A)

DHARANI SUGARS AND CHEMICAL LIMITED

PRODUCTION BUDGET IN THE YEAR 2008-09

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales

Less Return

Add Closing

Stock

736000

200000

36000

12000

90000000

250000

30000000

45000000

Less

Budgeted

Opening stock

200000 12000 250000

-

Budgeted

Production

736000 36000 1000000 75000000

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1136

37

Actual Production

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty in

liters

Power in Unit

Sales Less

Return

1690248 2000 8706980 59494400

Add Closing

Stock

283193 8303 830174 -

Add Transfer to

distillery

own

consumption

- 27670 1200 24875600

Total (-

)Opening stock

1973441

634281

37973

3796

9538354

1880732

84370000

Actual

Production

1339160 34177 7657622 84370000

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1236

38

Interpretation

1 The Table IV - 3 (a) represents that the company is assured that all the

production material has been sold

2 The Budget production sugar is 736 lakhs quintals But actual production is

Rsl339 lakhs quintals The Sugar production is increased This is mainly due to

raw sugar availability

3 The molasses production is 34177 metric tons as against Budget qty of

36080 matric tones

4

The company is estimated spirit production 9000 lakhs liters But thecompany produced 7658 lakhs liters This is mainly due to molasses reduction

5 The company is estimated power 750 crore units But Power process 84370

Increaseshe power unit This is mainly due to Baggage availability

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1336

39

DIAGRAM - IV ndash 3 (A)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2008-09

983095983091983094983088983088983088

983091983094983088983088983088983088983088

983089983088983088983088983088983088983088

983089983091983091983097983089983094

983091983092983089983095983095983088983088

983095983094983093983095983094983090983090

983088

983089983088983088983088983088983088983088

983090983088983088983088983088983088983088

983091983088983088983088983088983088983088

983092983088983088983088983088983088983088

983093983088983088983088983088983088983088

983094983088983088983088983088983088983088

983095983088983088983088983088983088983088

983096983088983088983088983088983088983088

983097983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1436

40

TABLE - IV ndash 3 (B)

Dharani Sugars and Chemical Limited

Production Budget in the year 2009-10

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closhing

Stock

1380000

200000

67500

12000

9000000

250000

80000000

40000000

(-) Budgeted

Opening stock

200000 12000 250000 4000000

Budgeted

Production

1380000 67500 9000000 8000000

Assumption

All Production has been treated as sales

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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41

Actual Production

Particular Sugar Qty

in Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return Add

Closing

Stock

1380716

216611

23216

16657

10460887

250442

43020800

(+)Transfer to

distillery own

consumption

- 35499 900 27715200

Total

(-)Opening

stock

1597327

283193

75372

8303

10712229

830174

707

36000

Actual

Production

1314134 67069 9882055 7073600

0

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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42

Interpretation

1 The table IV - 3 (b) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1380 lakhs quintals as against

actual production 1314 lakhs quintals This is dully sugar content

available in the sugar cane

3 The molasses production is 67069 lares as against Budget quantity of

67500

4 The company is estimated sprit production only 90 lakhs liters But the

company actual produced 9882 lakhs liters this is mainly due to molassesavailability

5 The company is estimated power unit in 800 lakhs units But the

company produced 70736 lakhs unit It is mainly due to Baggage

availability and own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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43

DIAGRAM ndash IV - 3 (b)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2009-10

983089983091983096983088983088983088983088

983094983095983093983088983088983088983088

983097983088983088983088983088983088983088

983089983091983089983092983089983091983092

983094983095983088983094983097983088983088

983097983096983096983090983088983093983093

983088

983090983088983088983088983088983088983088

983092983088983088983088983088983088983088

983094983088983088983088983088983088983088

983096983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983089983090983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1836

44

TABLE - IV ndash 3 (C)

Dharani Sugars and Chemical Limited

Production Budget in the year 2010-2011

Particular Sugar Qty in

Quintals

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1656000

200000

81000

12000

9000000

250000

80000000

-

Less Budgeted

Opening stock

200000 12000 250000 -

Budgeted

Production

1656000 81000 9000000 80000000

Assumption -

All Production has been treated as sales

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1936

45

Actual Production

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1316329

283097

44954

8061

9525923

224844

33528800

(+) Transfer to

distillery own

consumption

- 36000 900 28503775

Total 1599423 89015 9751667 62032575

(-) Opening

stock

216611 16657 250442 -

Actual

Production

1382812 72358 9501225 62032575

(Source Secondary data)

Interpretation

1 The table IV 3(c) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1656 lakhs quintals as against

actual production 1382 lakhs quintals This is dully sugar contant

available in the sugar cane

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2036

46

3 The molasses production is 72358 tones as against Budget quantity

Rs81000

4 The company is estimated sprit production only 90 lakhs liters But the

company actual production 9501 lakhs liters This is mainly due to

molasses availability

5 The company is estimated power unit in 800 lakhs unit But the company

product 62032 lakhs unit It is mainly due to Baggage availability and

own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2136

47

DIAGRAM ndash IV ndash 3 (c)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2010-11

983089983094983093983094983088983088983088

983096983089983088983088983088983088983088

983097983088983088983088983088983088983088

983089983091983096983090983096983089983090

983095983090983091983093983096983088983088

983097983093983088983089983090983090983093

983088

983089983088983088983088983088983088983088

983090983088983088983088983088983088983088

983091983088983088983088983088983088983088

983092983088983088983088983088983088983088

983093983088983088983088983088983088983088

983094983088983088983088983088983088983088

983095983088983088983088983088983088983088

983096983088983088983088983088983088983088

983097983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2236

48

TABLE ndash IV ndash 4 (A)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2008 ndash 2009

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 11776 2889684 1712084

Molasses - 2830 2830

Bagasse 300 8498 21502

Industrial Alcohol 1800 187851 7851

Power 918 183800 92076

(Source Secondary data)

Interpretation

1 The table IV 4 (a) represents that the sugar sales are higher as compared

to Budget the varience is 1712084 lakhs is mainly more off log

2 Baggage sales are less as compared to Budget the variance is Rs21502

lakhs Mainly due to consumption at Baggage is more use of generating

power

3 Industrial Alcohol sales are less as compare to the Budget the variance is

Rs7851 lakhs

4 Power sales are higher as compare to Budget Rs92076 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2336

49

DIAGRAM ndash IV ndash 4 (a)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2008 ndash 09

983089983089983095983095983094

983097983089983096 983089983096983088983088

983090983096983096983097983094

983089983096983091983096 983089983096983095983096

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983091983093983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2436

50

TABLE ndash IV ndash 4 (B)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2009 ndash 2010

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 23460 2393392 47392

Molasses - 22598 22598

Bagasse 565 41120 15380

Industrial Alcohol 1800 244182 64182

Power 1224 122539 3139

(Source Secondary data)

Interpretation

1 The table IV - 4 (b) represents that the sugar sales is higher as

compared to Budget the variance is 47392 lakhs is mainly more off

tag

2 Baggage sales are less as compared to Budget the variance is Rs

1538 lakhs mainly due to consumption at Baggage is more use for

generating power

3 Industrial Alcohol sales are less as compare to the Budget the variance

is Rs64182 lakhs

4 Power sales are higher as compare to Budget Rs3139 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2536

51

DIAGRAM ndash IV ndash 4 (b)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2009 - 10

983090983091983092983094983088

983089983090983090983092 983089983096983088983088

983090983091983097983091983091

983089983090983090983093983090983092983092983089

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2636

52

TABLE ndash IV ndash 4 (C)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2010 ndash 2011

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 26496 1663691 985909

Molasses 983085 22895 22895

Bagasse 675 28673 38827

Industrial Alcohol 1800 237776 57776

Power 1224 102725 19675

(Source Secondary data)

Interpretation

1 The table IV - 4 (c) represents that the sugar sales is higher as compared to

Budget the variance is 985909 lakhs is mainly more off tag

2 Baggage sales is less as compare to Budget the variance is Rs37827

lakhs mainly due to consumption at Baggage is more use for generating

power

3 Industrial Alcohol sales are less as compared to the Budget the variance is

Rs57776 lakhs

4 Power sales are higher as compare to Budget Rs 19675 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2736

53

DIAGRAM ndash IV ndash 4 (c)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2010 - 11

983090983094983092983097983094

983089983090983090983092 983089983096983088983088

983089983094983094983091983094

983089983088983090983095983090983091983095983095

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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54

TABLE ndash IV ndash 5 (a)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2008 ndash 2009

Particular Budget Rs in

Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 9957 9957

Receipt

Sales 3000000 3085100 85100

Other income 8000 894100 941

Loan Received - - -

Investment Received 97543 - 109500

Total Receipt 3105543 3094041 193541

Payment

Purchase of Raw material 1800000 1831857 -31857

Repayment of creditors 190000 198755 -8755

Fuel for-cogeneration 170000 180686 10686

Stores and spares consumed 50000 51962 1962

Salaries and wages 52000 55107 3107

Administrative expenses 60000 60778 778

Packing expenses 70000 73824 -3824

Interest 160000 162467 -2467

Loan Repaid 410000 416750 6750

Fixed asset purchased 10000 11202 -1202

Total Payment 2972000 3043397 71397

Opening Balance + ReceiptPayment

Closing Balance 143500 606015

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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55

Interpretation

1 The table IV - 5 (a) represents that the firm estimated total receipt

Rs3105543 lakhs But the company gets total receipt Rs3094041 lakhs

The variance is Rsl 1502 lakhs This variance is unfavorable

2 The actual total payment is increased Rs71397 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3036

56

DIAGRAM ndash IV ndash 5 (a)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2008 - 09

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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57

TABLE ndash IV ndash 5 (b)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2009 ndash 2010

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 60601 60601

Receipt

Sales 2555000 2725064 169064

Other income 5000 17279 8279Loan Received 200000 313264 113264

Investment Received - - -

Total Receipt 2764000 3116208 290607

Payment

Purchase of Raw material 1813000 1756750 56350

Repayment of creditors 113300 - 113300

Fuel for-cogeneration - -983085

Stores and spares consumed 65000 73693 8693Salaries and wages 65000 67923 2923

Administrative expenses 30000 40866 10866

Packing expenses 56000 117714 61914

Interest 180000 186505 6505

Loan Repaid 300000 292385 -5684

Fixed asset purchased 60601983085

-60601

Total Payment

Opening Balance + Receipt Payment

Closing Balance

2682901 2784240 148493

141700 331968

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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58

Interpretation

1 The table IV - 5 (b) represents that the firm estimated total receipt

Rs27640 lakhs But the company gets total receipt Rs3116208

lakhs The variance is Rs352208 lakhs It is favorable

2 The actual total payment is increased Rs101339 lakhs as compare

to Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3336

59

DIAGRAM ndash IV ndash 5 (b)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2009 - 10

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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60

TABLE ndash IV ndash 5 (C)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2010 ndash 2011

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 331968 331968

Receipt

Sales 3100000 35500 50000Other income 9000 9571 571

Loan Received - - -

Total Receipt 3109000 3559571 50571

Payment

Purchase of Raw material 2100000 2231857 31857

Repayment of Creditors 150000 161355 11355

Fuel for Cogeneration 190000 263168 73168

Stores and spares consumed 80000 88612 8612Salaries and Wages 55000 57L37 2107

Administrative expenses 66000 69187 3187

Packing and forwarding expenses 70000 73827 3824

Interest paid 150000 157267 7267

Loan Repaid 420000 612715 192715

Fixed asset purchased 75168 130023 54855

Total Payment 3356168 3845148 388947

(Receipt-Payment)

Closing Balance 84800 46391

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 436

30

TABLE - IV ndash 2 (A)

Dharani Sugars and Chemical Limited

Purchase Budget in the year 2008- 2009

Particular Budget Sugarcane

Quantity in Metric Ton

Actual Sugarcane

Quantity in Metric Ton

Raw material consumed 800000 609866

Add closing stock - -

Less opening stock 800000 609866

Purchases 800000 609866

Budgeted amp Actual Rate 1150 116950

Purchase Budget Actual

Purchase Price

9200 712226

(Source Secondary Data)

Interpretation

1 The table IV2(a) represents that the company has to estimated purchase of

Raw material 800000 lakhs metric to me per year But the company can get

only 609866 lakhs tones This is due to water scarcity in some villages

2 The company has estimated the Raw material cost per metric ton is Rs1150

But the actual cost has increases 116950 is mainly due to cane price increased

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 536

31

DIAGRAM ndash IV ndash2 (A)

DIAGRAM SHOWING PURCHASE BUDGET

IN THE YEAR 2008 - 2009

983105983139983156983157983137983148983084 983097983090983088983088

983106983157983140983143983141983156983084 983095983089983090983090

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 636

32

Dharani Sugars and Chemical Limited

Purchase Budget in the year 2009- 2010

Table - IV ndash 2 (B)

Particular Budget Sugarcane

Quantity in Metric Ton

Actual Sugarcane

Quantity in Metric Ton

Raw material consumed 1500000 1416450

Add closing stock - -

Less opening stock 1500000 1416450

Purchases 1500000 1416450

Budgeted amp Actual Rate 1150 1205

Purchase Budget Actual

Purchase Price

17250 1706828

(Source Secondary data)

Interpretation

1 The table IV2 (b) represents that the company has to estimated purchase of

Raw material 1500 lakhs metric ton per year But the company can get only

1416 lakhs tones This is due to water scarcity in some villages

2 The company has estimates the Raw material cost per metric ton Rs1150

But the actual cost has increases Rsl205 is mainly due to cane price increased

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 736

33

DIAGRAM ndash IV ndash 2 (B)

DIAGRAM SHOWING PURCHASE BUDGET

IN THE YEAR 2009 - 2010

983106983157983140983143983141983156983084 983089983095983090983093983088

983105983139983156983157983137983148983084 983089983095983088983094983096

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 836

34

DHARANI SUGARS AND CHEMICAL LIMITED

PURCHASE BUDGET IN THE YEAR 2010 - 2011

Table - IV ndash 2 (B)

Particular Budget Sugarcane

Quantity in Metric Ton

Actual Sugarcane

Quantity in Metric Ton

Raw material consumed 1800000 1507248

Add closing stock - -

Less opening stock 1800000 1507248

Purchases 1800000 1507248

Budgeted amp Actual Rate 1120 1135

Purchase Budget Actual

Purchase Price

20160 1709962

(Source Secondary data)

Interpretation

1 The table IV2 (c) represents that the company has to estimated purchase of

Raw material 1800 lakhs matric tone per year But the company can get only

1507 lakhs tones This is due to water scarcity in some villages

2 The company has estimated the Raw material cost per metric to me is Rsl

120 But the actual cost has increases 1135 is mainly due to cane price

increases

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 936

35

DIAGRAM ndash IV ndash 2 (C)

DIAGRAM SHOWING PURCHASE BUDGET

IN THE YEAR 2010 - 2011

983106983157983140983143983141983156983084 983090983088983089983094983088

983105983139983156983157983137983148983084 983089983095983088983097983097

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1036

36

TABLE - IV ndash 3 (A)

DHARANI SUGARS AND CHEMICAL LIMITED

PRODUCTION BUDGET IN THE YEAR 2008-09

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales

Less Return

Add Closing

Stock

736000

200000

36000

12000

90000000

250000

30000000

45000000

Less

Budgeted

Opening stock

200000 12000 250000

-

Budgeted

Production

736000 36000 1000000 75000000

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1136

37

Actual Production

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty in

liters

Power in Unit

Sales Less

Return

1690248 2000 8706980 59494400

Add Closing

Stock

283193 8303 830174 -

Add Transfer to

distillery

own

consumption

- 27670 1200 24875600

Total (-

)Opening stock

1973441

634281

37973

3796

9538354

1880732

84370000

Actual

Production

1339160 34177 7657622 84370000

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1236

38

Interpretation

1 The Table IV - 3 (a) represents that the company is assured that all the

production material has been sold

2 The Budget production sugar is 736 lakhs quintals But actual production is

Rsl339 lakhs quintals The Sugar production is increased This is mainly due to

raw sugar availability

3 The molasses production is 34177 metric tons as against Budget qty of

36080 matric tones

4

The company is estimated spirit production 9000 lakhs liters But thecompany produced 7658 lakhs liters This is mainly due to molasses reduction

5 The company is estimated power 750 crore units But Power process 84370

Increaseshe power unit This is mainly due to Baggage availability

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1336

39

DIAGRAM - IV ndash 3 (A)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2008-09

983095983091983094983088983088983088

983091983094983088983088983088983088983088

983089983088983088983088983088983088983088

983089983091983091983097983089983094

983091983092983089983095983095983088983088

983095983094983093983095983094983090983090

983088

983089983088983088983088983088983088983088

983090983088983088983088983088983088983088

983091983088983088983088983088983088983088

983092983088983088983088983088983088983088

983093983088983088983088983088983088983088

983094983088983088983088983088983088983088

983095983088983088983088983088983088983088

983096983088983088983088983088983088983088

983097983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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40

TABLE - IV ndash 3 (B)

Dharani Sugars and Chemical Limited

Production Budget in the year 2009-10

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closhing

Stock

1380000

200000

67500

12000

9000000

250000

80000000

40000000

(-) Budgeted

Opening stock

200000 12000 250000 4000000

Budgeted

Production

1380000 67500 9000000 8000000

Assumption

All Production has been treated as sales

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1536

41

Actual Production

Particular Sugar Qty

in Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return Add

Closing

Stock

1380716

216611

23216

16657

10460887

250442

43020800

(+)Transfer to

distillery own

consumption

- 35499 900 27715200

Total

(-)Opening

stock

1597327

283193

75372

8303

10712229

830174

707

36000

Actual

Production

1314134 67069 9882055 7073600

0

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1636

42

Interpretation

1 The table IV - 3 (b) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1380 lakhs quintals as against

actual production 1314 lakhs quintals This is dully sugar content

available in the sugar cane

3 The molasses production is 67069 lares as against Budget quantity of

67500

4 The company is estimated sprit production only 90 lakhs liters But the

company actual produced 9882 lakhs liters this is mainly due to molassesavailability

5 The company is estimated power unit in 800 lakhs units But the

company produced 70736 lakhs unit It is mainly due to Baggage

availability and own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1736

43

DIAGRAM ndash IV - 3 (b)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2009-10

983089983091983096983088983088983088983088

983094983095983093983088983088983088983088

983097983088983088983088983088983088983088

983089983091983089983092983089983091983092

983094983095983088983094983097983088983088

983097983096983096983090983088983093983093

983088

983090983088983088983088983088983088983088

983092983088983088983088983088983088983088

983094983088983088983088983088983088983088

983096983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983089983090983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1836

44

TABLE - IV ndash 3 (C)

Dharani Sugars and Chemical Limited

Production Budget in the year 2010-2011

Particular Sugar Qty in

Quintals

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1656000

200000

81000

12000

9000000

250000

80000000

-

Less Budgeted

Opening stock

200000 12000 250000 -

Budgeted

Production

1656000 81000 9000000 80000000

Assumption -

All Production has been treated as sales

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1936

45

Actual Production

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1316329

283097

44954

8061

9525923

224844

33528800

(+) Transfer to

distillery own

consumption

- 36000 900 28503775

Total 1599423 89015 9751667 62032575

(-) Opening

stock

216611 16657 250442 -

Actual

Production

1382812 72358 9501225 62032575

(Source Secondary data)

Interpretation

1 The table IV 3(c) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1656 lakhs quintals as against

actual production 1382 lakhs quintals This is dully sugar contant

available in the sugar cane

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2036

46

3 The molasses production is 72358 tones as against Budget quantity

Rs81000

4 The company is estimated sprit production only 90 lakhs liters But the

company actual production 9501 lakhs liters This is mainly due to

molasses availability

5 The company is estimated power unit in 800 lakhs unit But the company

product 62032 lakhs unit It is mainly due to Baggage availability and

own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2136

47

DIAGRAM ndash IV ndash 3 (c)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2010-11

983089983094983093983094983088983088983088

983096983089983088983088983088983088983088

983097983088983088983088983088983088983088

983089983091983096983090983096983089983090

983095983090983091983093983096983088983088

983097983093983088983089983090983090983093

983088

983089983088983088983088983088983088983088

983090983088983088983088983088983088983088

983091983088983088983088983088983088983088

983092983088983088983088983088983088983088

983093983088983088983088983088983088983088

983094983088983088983088983088983088983088

983095983088983088983088983088983088983088

983096983088983088983088983088983088983088

983097983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2236

48

TABLE ndash IV ndash 4 (A)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2008 ndash 2009

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 11776 2889684 1712084

Molasses - 2830 2830

Bagasse 300 8498 21502

Industrial Alcohol 1800 187851 7851

Power 918 183800 92076

(Source Secondary data)

Interpretation

1 The table IV 4 (a) represents that the sugar sales are higher as compared

to Budget the varience is 1712084 lakhs is mainly more off log

2 Baggage sales are less as compared to Budget the variance is Rs21502

lakhs Mainly due to consumption at Baggage is more use of generating

power

3 Industrial Alcohol sales are less as compare to the Budget the variance is

Rs7851 lakhs

4 Power sales are higher as compare to Budget Rs92076 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2336

49

DIAGRAM ndash IV ndash 4 (a)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2008 ndash 09

983089983089983095983095983094

983097983089983096 983089983096983088983088

983090983096983096983097983094

983089983096983091983096 983089983096983095983096

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983091983093983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2436

50

TABLE ndash IV ndash 4 (B)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2009 ndash 2010

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 23460 2393392 47392

Molasses - 22598 22598

Bagasse 565 41120 15380

Industrial Alcohol 1800 244182 64182

Power 1224 122539 3139

(Source Secondary data)

Interpretation

1 The table IV - 4 (b) represents that the sugar sales is higher as

compared to Budget the variance is 47392 lakhs is mainly more off

tag

2 Baggage sales are less as compared to Budget the variance is Rs

1538 lakhs mainly due to consumption at Baggage is more use for

generating power

3 Industrial Alcohol sales are less as compare to the Budget the variance

is Rs64182 lakhs

4 Power sales are higher as compare to Budget Rs3139 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2536

51

DIAGRAM ndash IV ndash 4 (b)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2009 - 10

983090983091983092983094983088

983089983090983090983092 983089983096983088983088

983090983091983097983091983091

983089983090983090983093983090983092983092983089

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2636

52

TABLE ndash IV ndash 4 (C)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2010 ndash 2011

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 26496 1663691 985909

Molasses 983085 22895 22895

Bagasse 675 28673 38827

Industrial Alcohol 1800 237776 57776

Power 1224 102725 19675

(Source Secondary data)

Interpretation

1 The table IV - 4 (c) represents that the sugar sales is higher as compared to

Budget the variance is 985909 lakhs is mainly more off tag

2 Baggage sales is less as compare to Budget the variance is Rs37827

lakhs mainly due to consumption at Baggage is more use for generating

power

3 Industrial Alcohol sales are less as compared to the Budget the variance is

Rs57776 lakhs

4 Power sales are higher as compare to Budget Rs 19675 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2736

53

DIAGRAM ndash IV ndash 4 (c)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2010 - 11

983090983094983092983097983094

983089983090983090983092 983089983096983088983088

983089983094983094983091983094

983089983088983090983095983090983091983095983095

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2836

54

TABLE ndash IV ndash 5 (a)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2008 ndash 2009

Particular Budget Rs in

Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 9957 9957

Receipt

Sales 3000000 3085100 85100

Other income 8000 894100 941

Loan Received - - -

Investment Received 97543 - 109500

Total Receipt 3105543 3094041 193541

Payment

Purchase of Raw material 1800000 1831857 -31857

Repayment of creditors 190000 198755 -8755

Fuel for-cogeneration 170000 180686 10686

Stores and spares consumed 50000 51962 1962

Salaries and wages 52000 55107 3107

Administrative expenses 60000 60778 778

Packing expenses 70000 73824 -3824

Interest 160000 162467 -2467

Loan Repaid 410000 416750 6750

Fixed asset purchased 10000 11202 -1202

Total Payment 2972000 3043397 71397

Opening Balance + ReceiptPayment

Closing Balance 143500 606015

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2936

55

Interpretation

1 The table IV - 5 (a) represents that the firm estimated total receipt

Rs3105543 lakhs But the company gets total receipt Rs3094041 lakhs

The variance is Rsl 1502 lakhs This variance is unfavorable

2 The actual total payment is increased Rs71397 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3036

56

DIAGRAM ndash IV ndash 5 (a)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2008 - 09

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3136

57

TABLE ndash IV ndash 5 (b)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2009 ndash 2010

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 60601 60601

Receipt

Sales 2555000 2725064 169064

Other income 5000 17279 8279Loan Received 200000 313264 113264

Investment Received - - -

Total Receipt 2764000 3116208 290607

Payment

Purchase of Raw material 1813000 1756750 56350

Repayment of creditors 113300 - 113300

Fuel for-cogeneration - -983085

Stores and spares consumed 65000 73693 8693Salaries and wages 65000 67923 2923

Administrative expenses 30000 40866 10866

Packing expenses 56000 117714 61914

Interest 180000 186505 6505

Loan Repaid 300000 292385 -5684

Fixed asset purchased 60601983085

-60601

Total Payment

Opening Balance + Receipt Payment

Closing Balance

2682901 2784240 148493

141700 331968

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3236

58

Interpretation

1 The table IV - 5 (b) represents that the firm estimated total receipt

Rs27640 lakhs But the company gets total receipt Rs3116208

lakhs The variance is Rs352208 lakhs It is favorable

2 The actual total payment is increased Rs101339 lakhs as compare

to Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3336

59

DIAGRAM ndash IV ndash 5 (b)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2009 - 10

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3436

60

TABLE ndash IV ndash 5 (C)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2010 ndash 2011

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 331968 331968

Receipt

Sales 3100000 35500 50000Other income 9000 9571 571

Loan Received - - -

Total Receipt 3109000 3559571 50571

Payment

Purchase of Raw material 2100000 2231857 31857

Repayment of Creditors 150000 161355 11355

Fuel for Cogeneration 190000 263168 73168

Stores and spares consumed 80000 88612 8612Salaries and Wages 55000 57L37 2107

Administrative expenses 66000 69187 3187

Packing and forwarding expenses 70000 73827 3824

Interest paid 150000 157267 7267

Loan Repaid 420000 612715 192715

Fixed asset purchased 75168 130023 54855

Total Payment 3356168 3845148 388947

(Receipt-Payment)

Closing Balance 84800 46391

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3536

61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 536

31

DIAGRAM ndash IV ndash2 (A)

DIAGRAM SHOWING PURCHASE BUDGET

IN THE YEAR 2008 - 2009

983105983139983156983157983137983148983084 983097983090983088983088

983106983157983140983143983141983156983084 983095983089983090983090

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 636

32

Dharani Sugars and Chemical Limited

Purchase Budget in the year 2009- 2010

Table - IV ndash 2 (B)

Particular Budget Sugarcane

Quantity in Metric Ton

Actual Sugarcane

Quantity in Metric Ton

Raw material consumed 1500000 1416450

Add closing stock - -

Less opening stock 1500000 1416450

Purchases 1500000 1416450

Budgeted amp Actual Rate 1150 1205

Purchase Budget Actual

Purchase Price

17250 1706828

(Source Secondary data)

Interpretation

1 The table IV2 (b) represents that the company has to estimated purchase of

Raw material 1500 lakhs metric ton per year But the company can get only

1416 lakhs tones This is due to water scarcity in some villages

2 The company has estimates the Raw material cost per metric ton Rs1150

But the actual cost has increases Rsl205 is mainly due to cane price increased

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 736

33

DIAGRAM ndash IV ndash 2 (B)

DIAGRAM SHOWING PURCHASE BUDGET

IN THE YEAR 2009 - 2010

983106983157983140983143983141983156983084 983089983095983090983093983088

983105983139983156983157983137983148983084 983089983095983088983094983096

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 836

34

DHARANI SUGARS AND CHEMICAL LIMITED

PURCHASE BUDGET IN THE YEAR 2010 - 2011

Table - IV ndash 2 (B)

Particular Budget Sugarcane

Quantity in Metric Ton

Actual Sugarcane

Quantity in Metric Ton

Raw material consumed 1800000 1507248

Add closing stock - -

Less opening stock 1800000 1507248

Purchases 1800000 1507248

Budgeted amp Actual Rate 1120 1135

Purchase Budget Actual

Purchase Price

20160 1709962

(Source Secondary data)

Interpretation

1 The table IV2 (c) represents that the company has to estimated purchase of

Raw material 1800 lakhs matric tone per year But the company can get only

1507 lakhs tones This is due to water scarcity in some villages

2 The company has estimated the Raw material cost per metric to me is Rsl

120 But the actual cost has increases 1135 is mainly due to cane price

increases

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 936

35

DIAGRAM ndash IV ndash 2 (C)

DIAGRAM SHOWING PURCHASE BUDGET

IN THE YEAR 2010 - 2011

983106983157983140983143983141983156983084 983090983088983089983094983088

983105983139983156983157983137983148983084 983089983095983088983097983097

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1036

36

TABLE - IV ndash 3 (A)

DHARANI SUGARS AND CHEMICAL LIMITED

PRODUCTION BUDGET IN THE YEAR 2008-09

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales

Less Return

Add Closing

Stock

736000

200000

36000

12000

90000000

250000

30000000

45000000

Less

Budgeted

Opening stock

200000 12000 250000

-

Budgeted

Production

736000 36000 1000000 75000000

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1136

37

Actual Production

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty in

liters

Power in Unit

Sales Less

Return

1690248 2000 8706980 59494400

Add Closing

Stock

283193 8303 830174 -

Add Transfer to

distillery

own

consumption

- 27670 1200 24875600

Total (-

)Opening stock

1973441

634281

37973

3796

9538354

1880732

84370000

Actual

Production

1339160 34177 7657622 84370000

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1236

38

Interpretation

1 The Table IV - 3 (a) represents that the company is assured that all the

production material has been sold

2 The Budget production sugar is 736 lakhs quintals But actual production is

Rsl339 lakhs quintals The Sugar production is increased This is mainly due to

raw sugar availability

3 The molasses production is 34177 metric tons as against Budget qty of

36080 matric tones

4

The company is estimated spirit production 9000 lakhs liters But thecompany produced 7658 lakhs liters This is mainly due to molasses reduction

5 The company is estimated power 750 crore units But Power process 84370

Increaseshe power unit This is mainly due to Baggage availability

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1336

39

DIAGRAM - IV ndash 3 (A)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2008-09

983095983091983094983088983088983088

983091983094983088983088983088983088983088

983089983088983088983088983088983088983088

983089983091983091983097983089983094

983091983092983089983095983095983088983088

983095983094983093983095983094983090983090

983088

983089983088983088983088983088983088983088

983090983088983088983088983088983088983088

983091983088983088983088983088983088983088

983092983088983088983088983088983088983088

983093983088983088983088983088983088983088

983094983088983088983088983088983088983088

983095983088983088983088983088983088983088

983096983088983088983088983088983088983088

983097983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1436

40

TABLE - IV ndash 3 (B)

Dharani Sugars and Chemical Limited

Production Budget in the year 2009-10

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closhing

Stock

1380000

200000

67500

12000

9000000

250000

80000000

40000000

(-) Budgeted

Opening stock

200000 12000 250000 4000000

Budgeted

Production

1380000 67500 9000000 8000000

Assumption

All Production has been treated as sales

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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41

Actual Production

Particular Sugar Qty

in Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return Add

Closing

Stock

1380716

216611

23216

16657

10460887

250442

43020800

(+)Transfer to

distillery own

consumption

- 35499 900 27715200

Total

(-)Opening

stock

1597327

283193

75372

8303

10712229

830174

707

36000

Actual

Production

1314134 67069 9882055 7073600

0

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1636

42

Interpretation

1 The table IV - 3 (b) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1380 lakhs quintals as against

actual production 1314 lakhs quintals This is dully sugar content

available in the sugar cane

3 The molasses production is 67069 lares as against Budget quantity of

67500

4 The company is estimated sprit production only 90 lakhs liters But the

company actual produced 9882 lakhs liters this is mainly due to molassesavailability

5 The company is estimated power unit in 800 lakhs units But the

company produced 70736 lakhs unit It is mainly due to Baggage

availability and own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1736

43

DIAGRAM ndash IV - 3 (b)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2009-10

983089983091983096983088983088983088983088

983094983095983093983088983088983088983088

983097983088983088983088983088983088983088

983089983091983089983092983089983091983092

983094983095983088983094983097983088983088

983097983096983096983090983088983093983093

983088

983090983088983088983088983088983088983088

983092983088983088983088983088983088983088

983094983088983088983088983088983088983088

983096983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983089983090983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1836

44

TABLE - IV ndash 3 (C)

Dharani Sugars and Chemical Limited

Production Budget in the year 2010-2011

Particular Sugar Qty in

Quintals

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1656000

200000

81000

12000

9000000

250000

80000000

-

Less Budgeted

Opening stock

200000 12000 250000 -

Budgeted

Production

1656000 81000 9000000 80000000

Assumption -

All Production has been treated as sales

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1936

45

Actual Production

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1316329

283097

44954

8061

9525923

224844

33528800

(+) Transfer to

distillery own

consumption

- 36000 900 28503775

Total 1599423 89015 9751667 62032575

(-) Opening

stock

216611 16657 250442 -

Actual

Production

1382812 72358 9501225 62032575

(Source Secondary data)

Interpretation

1 The table IV 3(c) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1656 lakhs quintals as against

actual production 1382 lakhs quintals This is dully sugar contant

available in the sugar cane

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2036

46

3 The molasses production is 72358 tones as against Budget quantity

Rs81000

4 The company is estimated sprit production only 90 lakhs liters But the

company actual production 9501 lakhs liters This is mainly due to

molasses availability

5 The company is estimated power unit in 800 lakhs unit But the company

product 62032 lakhs unit It is mainly due to Baggage availability and

own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2136

47

DIAGRAM ndash IV ndash 3 (c)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2010-11

983089983094983093983094983088983088983088

983096983089983088983088983088983088983088

983097983088983088983088983088983088983088

983089983091983096983090983096983089983090

983095983090983091983093983096983088983088

983097983093983088983089983090983090983093

983088

983089983088983088983088983088983088983088

983090983088983088983088983088983088983088

983091983088983088983088983088983088983088

983092983088983088983088983088983088983088

983093983088983088983088983088983088983088

983094983088983088983088983088983088983088

983095983088983088983088983088983088983088

983096983088983088983088983088983088983088

983097983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2236

48

TABLE ndash IV ndash 4 (A)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2008 ndash 2009

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 11776 2889684 1712084

Molasses - 2830 2830

Bagasse 300 8498 21502

Industrial Alcohol 1800 187851 7851

Power 918 183800 92076

(Source Secondary data)

Interpretation

1 The table IV 4 (a) represents that the sugar sales are higher as compared

to Budget the varience is 1712084 lakhs is mainly more off log

2 Baggage sales are less as compared to Budget the variance is Rs21502

lakhs Mainly due to consumption at Baggage is more use of generating

power

3 Industrial Alcohol sales are less as compare to the Budget the variance is

Rs7851 lakhs

4 Power sales are higher as compare to Budget Rs92076 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2336

49

DIAGRAM ndash IV ndash 4 (a)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2008 ndash 09

983089983089983095983095983094

983097983089983096 983089983096983088983088

983090983096983096983097983094

983089983096983091983096 983089983096983095983096

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983091983093983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2436

50

TABLE ndash IV ndash 4 (B)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2009 ndash 2010

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 23460 2393392 47392

Molasses - 22598 22598

Bagasse 565 41120 15380

Industrial Alcohol 1800 244182 64182

Power 1224 122539 3139

(Source Secondary data)

Interpretation

1 The table IV - 4 (b) represents that the sugar sales is higher as

compared to Budget the variance is 47392 lakhs is mainly more off

tag

2 Baggage sales are less as compared to Budget the variance is Rs

1538 lakhs mainly due to consumption at Baggage is more use for

generating power

3 Industrial Alcohol sales are less as compare to the Budget the variance

is Rs64182 lakhs

4 Power sales are higher as compare to Budget Rs3139 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2536

51

DIAGRAM ndash IV ndash 4 (b)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2009 - 10

983090983091983092983094983088

983089983090983090983092 983089983096983088983088

983090983091983097983091983091

983089983090983090983093983090983092983092983089

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2636

52

TABLE ndash IV ndash 4 (C)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2010 ndash 2011

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 26496 1663691 985909

Molasses 983085 22895 22895

Bagasse 675 28673 38827

Industrial Alcohol 1800 237776 57776

Power 1224 102725 19675

(Source Secondary data)

Interpretation

1 The table IV - 4 (c) represents that the sugar sales is higher as compared to

Budget the variance is 985909 lakhs is mainly more off tag

2 Baggage sales is less as compare to Budget the variance is Rs37827

lakhs mainly due to consumption at Baggage is more use for generating

power

3 Industrial Alcohol sales are less as compared to the Budget the variance is

Rs57776 lakhs

4 Power sales are higher as compare to Budget Rs 19675 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2736

53

DIAGRAM ndash IV ndash 4 (c)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2010 - 11

983090983094983092983097983094

983089983090983090983092 983089983096983088983088

983089983094983094983091983094

983089983088983090983095983090983091983095983095

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2836

54

TABLE ndash IV ndash 5 (a)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2008 ndash 2009

Particular Budget Rs in

Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 9957 9957

Receipt

Sales 3000000 3085100 85100

Other income 8000 894100 941

Loan Received - - -

Investment Received 97543 - 109500

Total Receipt 3105543 3094041 193541

Payment

Purchase of Raw material 1800000 1831857 -31857

Repayment of creditors 190000 198755 -8755

Fuel for-cogeneration 170000 180686 10686

Stores and spares consumed 50000 51962 1962

Salaries and wages 52000 55107 3107

Administrative expenses 60000 60778 778

Packing expenses 70000 73824 -3824

Interest 160000 162467 -2467

Loan Repaid 410000 416750 6750

Fixed asset purchased 10000 11202 -1202

Total Payment 2972000 3043397 71397

Opening Balance + ReceiptPayment

Closing Balance 143500 606015

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2936

55

Interpretation

1 The table IV - 5 (a) represents that the firm estimated total receipt

Rs3105543 lakhs But the company gets total receipt Rs3094041 lakhs

The variance is Rsl 1502 lakhs This variance is unfavorable

2 The actual total payment is increased Rs71397 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3036

56

DIAGRAM ndash IV ndash 5 (a)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2008 - 09

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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57

TABLE ndash IV ndash 5 (b)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2009 ndash 2010

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 60601 60601

Receipt

Sales 2555000 2725064 169064

Other income 5000 17279 8279Loan Received 200000 313264 113264

Investment Received - - -

Total Receipt 2764000 3116208 290607

Payment

Purchase of Raw material 1813000 1756750 56350

Repayment of creditors 113300 - 113300

Fuel for-cogeneration - -983085

Stores and spares consumed 65000 73693 8693Salaries and wages 65000 67923 2923

Administrative expenses 30000 40866 10866

Packing expenses 56000 117714 61914

Interest 180000 186505 6505

Loan Repaid 300000 292385 -5684

Fixed asset purchased 60601983085

-60601

Total Payment

Opening Balance + Receipt Payment

Closing Balance

2682901 2784240 148493

141700 331968

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3236

58

Interpretation

1 The table IV - 5 (b) represents that the firm estimated total receipt

Rs27640 lakhs But the company gets total receipt Rs3116208

lakhs The variance is Rs352208 lakhs It is favorable

2 The actual total payment is increased Rs101339 lakhs as compare

to Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3336

59

DIAGRAM ndash IV ndash 5 (b)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2009 - 10

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3436

60

TABLE ndash IV ndash 5 (C)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2010 ndash 2011

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 331968 331968

Receipt

Sales 3100000 35500 50000Other income 9000 9571 571

Loan Received - - -

Total Receipt 3109000 3559571 50571

Payment

Purchase of Raw material 2100000 2231857 31857

Repayment of Creditors 150000 161355 11355

Fuel for Cogeneration 190000 263168 73168

Stores and spares consumed 80000 88612 8612Salaries and Wages 55000 57L37 2107

Administrative expenses 66000 69187 3187

Packing and forwarding expenses 70000 73827 3824

Interest paid 150000 157267 7267

Loan Repaid 420000 612715 192715

Fixed asset purchased 75168 130023 54855

Total Payment 3356168 3845148 388947

(Receipt-Payment)

Closing Balance 84800 46391

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 636

32

Dharani Sugars and Chemical Limited

Purchase Budget in the year 2009- 2010

Table - IV ndash 2 (B)

Particular Budget Sugarcane

Quantity in Metric Ton

Actual Sugarcane

Quantity in Metric Ton

Raw material consumed 1500000 1416450

Add closing stock - -

Less opening stock 1500000 1416450

Purchases 1500000 1416450

Budgeted amp Actual Rate 1150 1205

Purchase Budget Actual

Purchase Price

17250 1706828

(Source Secondary data)

Interpretation

1 The table IV2 (b) represents that the company has to estimated purchase of

Raw material 1500 lakhs metric ton per year But the company can get only

1416 lakhs tones This is due to water scarcity in some villages

2 The company has estimates the Raw material cost per metric ton Rs1150

But the actual cost has increases Rsl205 is mainly due to cane price increased

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 736

33

DIAGRAM ndash IV ndash 2 (B)

DIAGRAM SHOWING PURCHASE BUDGET

IN THE YEAR 2009 - 2010

983106983157983140983143983141983156983084 983089983095983090983093983088

983105983139983156983157983137983148983084 983089983095983088983094983096

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 836

34

DHARANI SUGARS AND CHEMICAL LIMITED

PURCHASE BUDGET IN THE YEAR 2010 - 2011

Table - IV ndash 2 (B)

Particular Budget Sugarcane

Quantity in Metric Ton

Actual Sugarcane

Quantity in Metric Ton

Raw material consumed 1800000 1507248

Add closing stock - -

Less opening stock 1800000 1507248

Purchases 1800000 1507248

Budgeted amp Actual Rate 1120 1135

Purchase Budget Actual

Purchase Price

20160 1709962

(Source Secondary data)

Interpretation

1 The table IV2 (c) represents that the company has to estimated purchase of

Raw material 1800 lakhs matric tone per year But the company can get only

1507 lakhs tones This is due to water scarcity in some villages

2 The company has estimated the Raw material cost per metric to me is Rsl

120 But the actual cost has increases 1135 is mainly due to cane price

increases

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 936

35

DIAGRAM ndash IV ndash 2 (C)

DIAGRAM SHOWING PURCHASE BUDGET

IN THE YEAR 2010 - 2011

983106983157983140983143983141983156983084 983090983088983089983094983088

983105983139983156983157983137983148983084 983089983095983088983097983097

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1036

36

TABLE - IV ndash 3 (A)

DHARANI SUGARS AND CHEMICAL LIMITED

PRODUCTION BUDGET IN THE YEAR 2008-09

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales

Less Return

Add Closing

Stock

736000

200000

36000

12000

90000000

250000

30000000

45000000

Less

Budgeted

Opening stock

200000 12000 250000

-

Budgeted

Production

736000 36000 1000000 75000000

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1136

37

Actual Production

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty in

liters

Power in Unit

Sales Less

Return

1690248 2000 8706980 59494400

Add Closing

Stock

283193 8303 830174 -

Add Transfer to

distillery

own

consumption

- 27670 1200 24875600

Total (-

)Opening stock

1973441

634281

37973

3796

9538354

1880732

84370000

Actual

Production

1339160 34177 7657622 84370000

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1236

38

Interpretation

1 The Table IV - 3 (a) represents that the company is assured that all the

production material has been sold

2 The Budget production sugar is 736 lakhs quintals But actual production is

Rsl339 lakhs quintals The Sugar production is increased This is mainly due to

raw sugar availability

3 The molasses production is 34177 metric tons as against Budget qty of

36080 matric tones

4

The company is estimated spirit production 9000 lakhs liters But thecompany produced 7658 lakhs liters This is mainly due to molasses reduction

5 The company is estimated power 750 crore units But Power process 84370

Increaseshe power unit This is mainly due to Baggage availability

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1336

39

DIAGRAM - IV ndash 3 (A)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2008-09

983095983091983094983088983088983088

983091983094983088983088983088983088983088

983089983088983088983088983088983088983088

983089983091983091983097983089983094

983091983092983089983095983095983088983088

983095983094983093983095983094983090983090

983088

983089983088983088983088983088983088983088

983090983088983088983088983088983088983088

983091983088983088983088983088983088983088

983092983088983088983088983088983088983088

983093983088983088983088983088983088983088

983094983088983088983088983088983088983088

983095983088983088983088983088983088983088

983096983088983088983088983088983088983088

983097983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1436

40

TABLE - IV ndash 3 (B)

Dharani Sugars and Chemical Limited

Production Budget in the year 2009-10

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closhing

Stock

1380000

200000

67500

12000

9000000

250000

80000000

40000000

(-) Budgeted

Opening stock

200000 12000 250000 4000000

Budgeted

Production

1380000 67500 9000000 8000000

Assumption

All Production has been treated as sales

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1536

41

Actual Production

Particular Sugar Qty

in Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return Add

Closing

Stock

1380716

216611

23216

16657

10460887

250442

43020800

(+)Transfer to

distillery own

consumption

- 35499 900 27715200

Total

(-)Opening

stock

1597327

283193

75372

8303

10712229

830174

707

36000

Actual

Production

1314134 67069 9882055 7073600

0

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1636

42

Interpretation

1 The table IV - 3 (b) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1380 lakhs quintals as against

actual production 1314 lakhs quintals This is dully sugar content

available in the sugar cane

3 The molasses production is 67069 lares as against Budget quantity of

67500

4 The company is estimated sprit production only 90 lakhs liters But the

company actual produced 9882 lakhs liters this is mainly due to molassesavailability

5 The company is estimated power unit in 800 lakhs units But the

company produced 70736 lakhs unit It is mainly due to Baggage

availability and own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1736

43

DIAGRAM ndash IV - 3 (b)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2009-10

983089983091983096983088983088983088983088

983094983095983093983088983088983088983088

983097983088983088983088983088983088983088

983089983091983089983092983089983091983092

983094983095983088983094983097983088983088

983097983096983096983090983088983093983093

983088

983090983088983088983088983088983088983088

983092983088983088983088983088983088983088

983094983088983088983088983088983088983088

983096983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983089983090983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1836

44

TABLE - IV ndash 3 (C)

Dharani Sugars and Chemical Limited

Production Budget in the year 2010-2011

Particular Sugar Qty in

Quintals

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1656000

200000

81000

12000

9000000

250000

80000000

-

Less Budgeted

Opening stock

200000 12000 250000 -

Budgeted

Production

1656000 81000 9000000 80000000

Assumption -

All Production has been treated as sales

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1936

45

Actual Production

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1316329

283097

44954

8061

9525923

224844

33528800

(+) Transfer to

distillery own

consumption

- 36000 900 28503775

Total 1599423 89015 9751667 62032575

(-) Opening

stock

216611 16657 250442 -

Actual

Production

1382812 72358 9501225 62032575

(Source Secondary data)

Interpretation

1 The table IV 3(c) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1656 lakhs quintals as against

actual production 1382 lakhs quintals This is dully sugar contant

available in the sugar cane

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2036

46

3 The molasses production is 72358 tones as against Budget quantity

Rs81000

4 The company is estimated sprit production only 90 lakhs liters But the

company actual production 9501 lakhs liters This is mainly due to

molasses availability

5 The company is estimated power unit in 800 lakhs unit But the company

product 62032 lakhs unit It is mainly due to Baggage availability and

own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2136

47

DIAGRAM ndash IV ndash 3 (c)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2010-11

983089983094983093983094983088983088983088

983096983089983088983088983088983088983088

983097983088983088983088983088983088983088

983089983091983096983090983096983089983090

983095983090983091983093983096983088983088

983097983093983088983089983090983090983093

983088

983089983088983088983088983088983088983088

983090983088983088983088983088983088983088

983091983088983088983088983088983088983088

983092983088983088983088983088983088983088

983093983088983088983088983088983088983088

983094983088983088983088983088983088983088

983095983088983088983088983088983088983088

983096983088983088983088983088983088983088

983097983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2236

48

TABLE ndash IV ndash 4 (A)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2008 ndash 2009

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 11776 2889684 1712084

Molasses - 2830 2830

Bagasse 300 8498 21502

Industrial Alcohol 1800 187851 7851

Power 918 183800 92076

(Source Secondary data)

Interpretation

1 The table IV 4 (a) represents that the sugar sales are higher as compared

to Budget the varience is 1712084 lakhs is mainly more off log

2 Baggage sales are less as compared to Budget the variance is Rs21502

lakhs Mainly due to consumption at Baggage is more use of generating

power

3 Industrial Alcohol sales are less as compare to the Budget the variance is

Rs7851 lakhs

4 Power sales are higher as compare to Budget Rs92076 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2336

49

DIAGRAM ndash IV ndash 4 (a)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2008 ndash 09

983089983089983095983095983094

983097983089983096 983089983096983088983088

983090983096983096983097983094

983089983096983091983096 983089983096983095983096

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983091983093983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2436

50

TABLE ndash IV ndash 4 (B)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2009 ndash 2010

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 23460 2393392 47392

Molasses - 22598 22598

Bagasse 565 41120 15380

Industrial Alcohol 1800 244182 64182

Power 1224 122539 3139

(Source Secondary data)

Interpretation

1 The table IV - 4 (b) represents that the sugar sales is higher as

compared to Budget the variance is 47392 lakhs is mainly more off

tag

2 Baggage sales are less as compared to Budget the variance is Rs

1538 lakhs mainly due to consumption at Baggage is more use for

generating power

3 Industrial Alcohol sales are less as compare to the Budget the variance

is Rs64182 lakhs

4 Power sales are higher as compare to Budget Rs3139 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2536

51

DIAGRAM ndash IV ndash 4 (b)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2009 - 10

983090983091983092983094983088

983089983090983090983092 983089983096983088983088

983090983091983097983091983091

983089983090983090983093983090983092983092983089

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2636

52

TABLE ndash IV ndash 4 (C)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2010 ndash 2011

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 26496 1663691 985909

Molasses 983085 22895 22895

Bagasse 675 28673 38827

Industrial Alcohol 1800 237776 57776

Power 1224 102725 19675

(Source Secondary data)

Interpretation

1 The table IV - 4 (c) represents that the sugar sales is higher as compared to

Budget the variance is 985909 lakhs is mainly more off tag

2 Baggage sales is less as compare to Budget the variance is Rs37827

lakhs mainly due to consumption at Baggage is more use for generating

power

3 Industrial Alcohol sales are less as compared to the Budget the variance is

Rs57776 lakhs

4 Power sales are higher as compare to Budget Rs 19675 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2736

53

DIAGRAM ndash IV ndash 4 (c)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2010 - 11

983090983094983092983097983094

983089983090983090983092 983089983096983088983088

983089983094983094983091983094

983089983088983090983095983090983091983095983095

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2836

54

TABLE ndash IV ndash 5 (a)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2008 ndash 2009

Particular Budget Rs in

Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 9957 9957

Receipt

Sales 3000000 3085100 85100

Other income 8000 894100 941

Loan Received - - -

Investment Received 97543 - 109500

Total Receipt 3105543 3094041 193541

Payment

Purchase of Raw material 1800000 1831857 -31857

Repayment of creditors 190000 198755 -8755

Fuel for-cogeneration 170000 180686 10686

Stores and spares consumed 50000 51962 1962

Salaries and wages 52000 55107 3107

Administrative expenses 60000 60778 778

Packing expenses 70000 73824 -3824

Interest 160000 162467 -2467

Loan Repaid 410000 416750 6750

Fixed asset purchased 10000 11202 -1202

Total Payment 2972000 3043397 71397

Opening Balance + ReceiptPayment

Closing Balance 143500 606015

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2936

55

Interpretation

1 The table IV - 5 (a) represents that the firm estimated total receipt

Rs3105543 lakhs But the company gets total receipt Rs3094041 lakhs

The variance is Rsl 1502 lakhs This variance is unfavorable

2 The actual total payment is increased Rs71397 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3036

56

DIAGRAM ndash IV ndash 5 (a)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2008 - 09

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3136

57

TABLE ndash IV ndash 5 (b)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2009 ndash 2010

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 60601 60601

Receipt

Sales 2555000 2725064 169064

Other income 5000 17279 8279Loan Received 200000 313264 113264

Investment Received - - -

Total Receipt 2764000 3116208 290607

Payment

Purchase of Raw material 1813000 1756750 56350

Repayment of creditors 113300 - 113300

Fuel for-cogeneration - -983085

Stores and spares consumed 65000 73693 8693Salaries and wages 65000 67923 2923

Administrative expenses 30000 40866 10866

Packing expenses 56000 117714 61914

Interest 180000 186505 6505

Loan Repaid 300000 292385 -5684

Fixed asset purchased 60601983085

-60601

Total Payment

Opening Balance + Receipt Payment

Closing Balance

2682901 2784240 148493

141700 331968

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3236

58

Interpretation

1 The table IV - 5 (b) represents that the firm estimated total receipt

Rs27640 lakhs But the company gets total receipt Rs3116208

lakhs The variance is Rs352208 lakhs It is favorable

2 The actual total payment is increased Rs101339 lakhs as compare

to Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3336

59

DIAGRAM ndash IV ndash 5 (b)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2009 - 10

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3436

60

TABLE ndash IV ndash 5 (C)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2010 ndash 2011

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 331968 331968

Receipt

Sales 3100000 35500 50000Other income 9000 9571 571

Loan Received - - -

Total Receipt 3109000 3559571 50571

Payment

Purchase of Raw material 2100000 2231857 31857

Repayment of Creditors 150000 161355 11355

Fuel for Cogeneration 190000 263168 73168

Stores and spares consumed 80000 88612 8612Salaries and Wages 55000 57L37 2107

Administrative expenses 66000 69187 3187

Packing and forwarding expenses 70000 73827 3824

Interest paid 150000 157267 7267

Loan Repaid 420000 612715 192715

Fixed asset purchased 75168 130023 54855

Total Payment 3356168 3845148 388947

(Receipt-Payment)

Closing Balance 84800 46391

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3536

61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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33

DIAGRAM ndash IV ndash 2 (B)

DIAGRAM SHOWING PURCHASE BUDGET

IN THE YEAR 2009 - 2010

983106983157983140983143983141983156983084 983089983095983090983093983088

983105983139983156983157983137983148983084 983089983095983088983094983096

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 836

34

DHARANI SUGARS AND CHEMICAL LIMITED

PURCHASE BUDGET IN THE YEAR 2010 - 2011

Table - IV ndash 2 (B)

Particular Budget Sugarcane

Quantity in Metric Ton

Actual Sugarcane

Quantity in Metric Ton

Raw material consumed 1800000 1507248

Add closing stock - -

Less opening stock 1800000 1507248

Purchases 1800000 1507248

Budgeted amp Actual Rate 1120 1135

Purchase Budget Actual

Purchase Price

20160 1709962

(Source Secondary data)

Interpretation

1 The table IV2 (c) represents that the company has to estimated purchase of

Raw material 1800 lakhs matric tone per year But the company can get only

1507 lakhs tones This is due to water scarcity in some villages

2 The company has estimated the Raw material cost per metric to me is Rsl

120 But the actual cost has increases 1135 is mainly due to cane price

increases

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 936

35

DIAGRAM ndash IV ndash 2 (C)

DIAGRAM SHOWING PURCHASE BUDGET

IN THE YEAR 2010 - 2011

983106983157983140983143983141983156983084 983090983088983089983094983088

983105983139983156983157983137983148983084 983089983095983088983097983097

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1036

36

TABLE - IV ndash 3 (A)

DHARANI SUGARS AND CHEMICAL LIMITED

PRODUCTION BUDGET IN THE YEAR 2008-09

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales

Less Return

Add Closing

Stock

736000

200000

36000

12000

90000000

250000

30000000

45000000

Less

Budgeted

Opening stock

200000 12000 250000

-

Budgeted

Production

736000 36000 1000000 75000000

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1136

37

Actual Production

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty in

liters

Power in Unit

Sales Less

Return

1690248 2000 8706980 59494400

Add Closing

Stock

283193 8303 830174 -

Add Transfer to

distillery

own

consumption

- 27670 1200 24875600

Total (-

)Opening stock

1973441

634281

37973

3796

9538354

1880732

84370000

Actual

Production

1339160 34177 7657622 84370000

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1236

38

Interpretation

1 The Table IV - 3 (a) represents that the company is assured that all the

production material has been sold

2 The Budget production sugar is 736 lakhs quintals But actual production is

Rsl339 lakhs quintals The Sugar production is increased This is mainly due to

raw sugar availability

3 The molasses production is 34177 metric tons as against Budget qty of

36080 matric tones

4

The company is estimated spirit production 9000 lakhs liters But thecompany produced 7658 lakhs liters This is mainly due to molasses reduction

5 The company is estimated power 750 crore units But Power process 84370

Increaseshe power unit This is mainly due to Baggage availability

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1336

39

DIAGRAM - IV ndash 3 (A)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2008-09

983095983091983094983088983088983088

983091983094983088983088983088983088983088

983089983088983088983088983088983088983088

983089983091983091983097983089983094

983091983092983089983095983095983088983088

983095983094983093983095983094983090983090

983088

983089983088983088983088983088983088983088

983090983088983088983088983088983088983088

983091983088983088983088983088983088983088

983092983088983088983088983088983088983088

983093983088983088983088983088983088983088

983094983088983088983088983088983088983088

983095983088983088983088983088983088983088

983096983088983088983088983088983088983088

983097983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1436

40

TABLE - IV ndash 3 (B)

Dharani Sugars and Chemical Limited

Production Budget in the year 2009-10

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closhing

Stock

1380000

200000

67500

12000

9000000

250000

80000000

40000000

(-) Budgeted

Opening stock

200000 12000 250000 4000000

Budgeted

Production

1380000 67500 9000000 8000000

Assumption

All Production has been treated as sales

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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41

Actual Production

Particular Sugar Qty

in Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return Add

Closing

Stock

1380716

216611

23216

16657

10460887

250442

43020800

(+)Transfer to

distillery own

consumption

- 35499 900 27715200

Total

(-)Opening

stock

1597327

283193

75372

8303

10712229

830174

707

36000

Actual

Production

1314134 67069 9882055 7073600

0

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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42

Interpretation

1 The table IV - 3 (b) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1380 lakhs quintals as against

actual production 1314 lakhs quintals This is dully sugar content

available in the sugar cane

3 The molasses production is 67069 lares as against Budget quantity of

67500

4 The company is estimated sprit production only 90 lakhs liters But the

company actual produced 9882 lakhs liters this is mainly due to molassesavailability

5 The company is estimated power unit in 800 lakhs units But the

company produced 70736 lakhs unit It is mainly due to Baggage

availability and own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1736

43

DIAGRAM ndash IV - 3 (b)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2009-10

983089983091983096983088983088983088983088

983094983095983093983088983088983088983088

983097983088983088983088983088983088983088

983089983091983089983092983089983091983092

983094983095983088983094983097983088983088

983097983096983096983090983088983093983093

983088

983090983088983088983088983088983088983088

983092983088983088983088983088983088983088

983094983088983088983088983088983088983088

983096983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983089983090983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1836

44

TABLE - IV ndash 3 (C)

Dharani Sugars and Chemical Limited

Production Budget in the year 2010-2011

Particular Sugar Qty in

Quintals

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1656000

200000

81000

12000

9000000

250000

80000000

-

Less Budgeted

Opening stock

200000 12000 250000 -

Budgeted

Production

1656000 81000 9000000 80000000

Assumption -

All Production has been treated as sales

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1936

45

Actual Production

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1316329

283097

44954

8061

9525923

224844

33528800

(+) Transfer to

distillery own

consumption

- 36000 900 28503775

Total 1599423 89015 9751667 62032575

(-) Opening

stock

216611 16657 250442 -

Actual

Production

1382812 72358 9501225 62032575

(Source Secondary data)

Interpretation

1 The table IV 3(c) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1656 lakhs quintals as against

actual production 1382 lakhs quintals This is dully sugar contant

available in the sugar cane

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2036

46

3 The molasses production is 72358 tones as against Budget quantity

Rs81000

4 The company is estimated sprit production only 90 lakhs liters But the

company actual production 9501 lakhs liters This is mainly due to

molasses availability

5 The company is estimated power unit in 800 lakhs unit But the company

product 62032 lakhs unit It is mainly due to Baggage availability and

own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2136

47

DIAGRAM ndash IV ndash 3 (c)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2010-11

983089983094983093983094983088983088983088

983096983089983088983088983088983088983088

983097983088983088983088983088983088983088

983089983091983096983090983096983089983090

983095983090983091983093983096983088983088

983097983093983088983089983090983090983093

983088

983089983088983088983088983088983088983088

983090983088983088983088983088983088983088

983091983088983088983088983088983088983088

983092983088983088983088983088983088983088

983093983088983088983088983088983088983088

983094983088983088983088983088983088983088

983095983088983088983088983088983088983088

983096983088983088983088983088983088983088

983097983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2236

48

TABLE ndash IV ndash 4 (A)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2008 ndash 2009

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 11776 2889684 1712084

Molasses - 2830 2830

Bagasse 300 8498 21502

Industrial Alcohol 1800 187851 7851

Power 918 183800 92076

(Source Secondary data)

Interpretation

1 The table IV 4 (a) represents that the sugar sales are higher as compared

to Budget the varience is 1712084 lakhs is mainly more off log

2 Baggage sales are less as compared to Budget the variance is Rs21502

lakhs Mainly due to consumption at Baggage is more use of generating

power

3 Industrial Alcohol sales are less as compare to the Budget the variance is

Rs7851 lakhs

4 Power sales are higher as compare to Budget Rs92076 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2336

49

DIAGRAM ndash IV ndash 4 (a)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2008 ndash 09

983089983089983095983095983094

983097983089983096 983089983096983088983088

983090983096983096983097983094

983089983096983091983096 983089983096983095983096

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983091983093983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2436

50

TABLE ndash IV ndash 4 (B)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2009 ndash 2010

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 23460 2393392 47392

Molasses - 22598 22598

Bagasse 565 41120 15380

Industrial Alcohol 1800 244182 64182

Power 1224 122539 3139

(Source Secondary data)

Interpretation

1 The table IV - 4 (b) represents that the sugar sales is higher as

compared to Budget the variance is 47392 lakhs is mainly more off

tag

2 Baggage sales are less as compared to Budget the variance is Rs

1538 lakhs mainly due to consumption at Baggage is more use for

generating power

3 Industrial Alcohol sales are less as compare to the Budget the variance

is Rs64182 lakhs

4 Power sales are higher as compare to Budget Rs3139 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2536

51

DIAGRAM ndash IV ndash 4 (b)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2009 - 10

983090983091983092983094983088

983089983090983090983092 983089983096983088983088

983090983091983097983091983091

983089983090983090983093983090983092983092983089

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2636

52

TABLE ndash IV ndash 4 (C)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2010 ndash 2011

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 26496 1663691 985909

Molasses 983085 22895 22895

Bagasse 675 28673 38827

Industrial Alcohol 1800 237776 57776

Power 1224 102725 19675

(Source Secondary data)

Interpretation

1 The table IV - 4 (c) represents that the sugar sales is higher as compared to

Budget the variance is 985909 lakhs is mainly more off tag

2 Baggage sales is less as compare to Budget the variance is Rs37827

lakhs mainly due to consumption at Baggage is more use for generating

power

3 Industrial Alcohol sales are less as compared to the Budget the variance is

Rs57776 lakhs

4 Power sales are higher as compare to Budget Rs 19675 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2736

53

DIAGRAM ndash IV ndash 4 (c)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2010 - 11

983090983094983092983097983094

983089983090983090983092 983089983096983088983088

983089983094983094983091983094

983089983088983090983095983090983091983095983095

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2836

54

TABLE ndash IV ndash 5 (a)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2008 ndash 2009

Particular Budget Rs in

Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 9957 9957

Receipt

Sales 3000000 3085100 85100

Other income 8000 894100 941

Loan Received - - -

Investment Received 97543 - 109500

Total Receipt 3105543 3094041 193541

Payment

Purchase of Raw material 1800000 1831857 -31857

Repayment of creditors 190000 198755 -8755

Fuel for-cogeneration 170000 180686 10686

Stores and spares consumed 50000 51962 1962

Salaries and wages 52000 55107 3107

Administrative expenses 60000 60778 778

Packing expenses 70000 73824 -3824

Interest 160000 162467 -2467

Loan Repaid 410000 416750 6750

Fixed asset purchased 10000 11202 -1202

Total Payment 2972000 3043397 71397

Opening Balance + ReceiptPayment

Closing Balance 143500 606015

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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55

Interpretation

1 The table IV - 5 (a) represents that the firm estimated total receipt

Rs3105543 lakhs But the company gets total receipt Rs3094041 lakhs

The variance is Rsl 1502 lakhs This variance is unfavorable

2 The actual total payment is increased Rs71397 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3036

56

DIAGRAM ndash IV ndash 5 (a)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2008 - 09

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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57

TABLE ndash IV ndash 5 (b)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2009 ndash 2010

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 60601 60601

Receipt

Sales 2555000 2725064 169064

Other income 5000 17279 8279Loan Received 200000 313264 113264

Investment Received - - -

Total Receipt 2764000 3116208 290607

Payment

Purchase of Raw material 1813000 1756750 56350

Repayment of creditors 113300 - 113300

Fuel for-cogeneration - -983085

Stores and spares consumed 65000 73693 8693Salaries and wages 65000 67923 2923

Administrative expenses 30000 40866 10866

Packing expenses 56000 117714 61914

Interest 180000 186505 6505

Loan Repaid 300000 292385 -5684

Fixed asset purchased 60601983085

-60601

Total Payment

Opening Balance + Receipt Payment

Closing Balance

2682901 2784240 148493

141700 331968

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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58

Interpretation

1 The table IV - 5 (b) represents that the firm estimated total receipt

Rs27640 lakhs But the company gets total receipt Rs3116208

lakhs The variance is Rs352208 lakhs It is favorable

2 The actual total payment is increased Rs101339 lakhs as compare

to Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3336

59

DIAGRAM ndash IV ndash 5 (b)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2009 - 10

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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60

TABLE ndash IV ndash 5 (C)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2010 ndash 2011

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 331968 331968

Receipt

Sales 3100000 35500 50000Other income 9000 9571 571

Loan Received - - -

Total Receipt 3109000 3559571 50571

Payment

Purchase of Raw material 2100000 2231857 31857

Repayment of Creditors 150000 161355 11355

Fuel for Cogeneration 190000 263168 73168

Stores and spares consumed 80000 88612 8612Salaries and Wages 55000 57L37 2107

Administrative expenses 66000 69187 3187

Packing and forwarding expenses 70000 73827 3824

Interest paid 150000 157267 7267

Loan Repaid 420000 612715 192715

Fixed asset purchased 75168 130023 54855

Total Payment 3356168 3845148 388947

(Receipt-Payment)

Closing Balance 84800 46391

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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34

DHARANI SUGARS AND CHEMICAL LIMITED

PURCHASE BUDGET IN THE YEAR 2010 - 2011

Table - IV ndash 2 (B)

Particular Budget Sugarcane

Quantity in Metric Ton

Actual Sugarcane

Quantity in Metric Ton

Raw material consumed 1800000 1507248

Add closing stock - -

Less opening stock 1800000 1507248

Purchases 1800000 1507248

Budgeted amp Actual Rate 1120 1135

Purchase Budget Actual

Purchase Price

20160 1709962

(Source Secondary data)

Interpretation

1 The table IV2 (c) represents that the company has to estimated purchase of

Raw material 1800 lakhs matric tone per year But the company can get only

1507 lakhs tones This is due to water scarcity in some villages

2 The company has estimated the Raw material cost per metric to me is Rsl

120 But the actual cost has increases 1135 is mainly due to cane price

increases

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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35

DIAGRAM ndash IV ndash 2 (C)

DIAGRAM SHOWING PURCHASE BUDGET

IN THE YEAR 2010 - 2011

983106983157983140983143983141983156983084 983090983088983089983094983088

983105983139983156983157983137983148983084 983089983095983088983097983097

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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36

TABLE - IV ndash 3 (A)

DHARANI SUGARS AND CHEMICAL LIMITED

PRODUCTION BUDGET IN THE YEAR 2008-09

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales

Less Return

Add Closing

Stock

736000

200000

36000

12000

90000000

250000

30000000

45000000

Less

Budgeted

Opening stock

200000 12000 250000

-

Budgeted

Production

736000 36000 1000000 75000000

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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37

Actual Production

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty in

liters

Power in Unit

Sales Less

Return

1690248 2000 8706980 59494400

Add Closing

Stock

283193 8303 830174 -

Add Transfer to

distillery

own

consumption

- 27670 1200 24875600

Total (-

)Opening stock

1973441

634281

37973

3796

9538354

1880732

84370000

Actual

Production

1339160 34177 7657622 84370000

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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38

Interpretation

1 The Table IV - 3 (a) represents that the company is assured that all the

production material has been sold

2 The Budget production sugar is 736 lakhs quintals But actual production is

Rsl339 lakhs quintals The Sugar production is increased This is mainly due to

raw sugar availability

3 The molasses production is 34177 metric tons as against Budget qty of

36080 matric tones

4

The company is estimated spirit production 9000 lakhs liters But thecompany produced 7658 lakhs liters This is mainly due to molasses reduction

5 The company is estimated power 750 crore units But Power process 84370

Increaseshe power unit This is mainly due to Baggage availability

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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39

DIAGRAM - IV ndash 3 (A)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2008-09

983095983091983094983088983088983088

983091983094983088983088983088983088983088

983089983088983088983088983088983088983088

983089983091983091983097983089983094

983091983092983089983095983095983088983088

983095983094983093983095983094983090983090

983088

983089983088983088983088983088983088983088

983090983088983088983088983088983088983088

983091983088983088983088983088983088983088

983092983088983088983088983088983088983088

983093983088983088983088983088983088983088

983094983088983088983088983088983088983088

983095983088983088983088983088983088983088

983096983088983088983088983088983088983088

983097983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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40

TABLE - IV ndash 3 (B)

Dharani Sugars and Chemical Limited

Production Budget in the year 2009-10

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closhing

Stock

1380000

200000

67500

12000

9000000

250000

80000000

40000000

(-) Budgeted

Opening stock

200000 12000 250000 4000000

Budgeted

Production

1380000 67500 9000000 8000000

Assumption

All Production has been treated as sales

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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41

Actual Production

Particular Sugar Qty

in Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return Add

Closing

Stock

1380716

216611

23216

16657

10460887

250442

43020800

(+)Transfer to

distillery own

consumption

- 35499 900 27715200

Total

(-)Opening

stock

1597327

283193

75372

8303

10712229

830174

707

36000

Actual

Production

1314134 67069 9882055 7073600

0

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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42

Interpretation

1 The table IV - 3 (b) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1380 lakhs quintals as against

actual production 1314 lakhs quintals This is dully sugar content

available in the sugar cane

3 The molasses production is 67069 lares as against Budget quantity of

67500

4 The company is estimated sprit production only 90 lakhs liters But the

company actual produced 9882 lakhs liters this is mainly due to molassesavailability

5 The company is estimated power unit in 800 lakhs units But the

company produced 70736 lakhs unit It is mainly due to Baggage

availability and own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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43

DIAGRAM ndash IV - 3 (b)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2009-10

983089983091983096983088983088983088983088

983094983095983093983088983088983088983088

983097983088983088983088983088983088983088

983089983091983089983092983089983091983092

983094983095983088983094983097983088983088

983097983096983096983090983088983093983093

983088

983090983088983088983088983088983088983088

983092983088983088983088983088983088983088

983094983088983088983088983088983088983088

983096983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983089983090983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1836

44

TABLE - IV ndash 3 (C)

Dharani Sugars and Chemical Limited

Production Budget in the year 2010-2011

Particular Sugar Qty in

Quintals

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1656000

200000

81000

12000

9000000

250000

80000000

-

Less Budgeted

Opening stock

200000 12000 250000 -

Budgeted

Production

1656000 81000 9000000 80000000

Assumption -

All Production has been treated as sales

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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45

Actual Production

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1316329

283097

44954

8061

9525923

224844

33528800

(+) Transfer to

distillery own

consumption

- 36000 900 28503775

Total 1599423 89015 9751667 62032575

(-) Opening

stock

216611 16657 250442 -

Actual

Production

1382812 72358 9501225 62032575

(Source Secondary data)

Interpretation

1 The table IV 3(c) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1656 lakhs quintals as against

actual production 1382 lakhs quintals This is dully sugar contant

available in the sugar cane

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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46

3 The molasses production is 72358 tones as against Budget quantity

Rs81000

4 The company is estimated sprit production only 90 lakhs liters But the

company actual production 9501 lakhs liters This is mainly due to

molasses availability

5 The company is estimated power unit in 800 lakhs unit But the company

product 62032 lakhs unit It is mainly due to Baggage availability and

own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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47

DIAGRAM ndash IV ndash 3 (c)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2010-11

983089983094983093983094983088983088983088

983096983089983088983088983088983088983088

983097983088983088983088983088983088983088

983089983091983096983090983096983089983090

983095983090983091983093983096983088983088

983097983093983088983089983090983090983093

983088

983089983088983088983088983088983088983088

983090983088983088983088983088983088983088

983091983088983088983088983088983088983088

983092983088983088983088983088983088983088

983093983088983088983088983088983088983088

983094983088983088983088983088983088983088

983095983088983088983088983088983088983088

983096983088983088983088983088983088983088

983097983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2236

48

TABLE ndash IV ndash 4 (A)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2008 ndash 2009

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 11776 2889684 1712084

Molasses - 2830 2830

Bagasse 300 8498 21502

Industrial Alcohol 1800 187851 7851

Power 918 183800 92076

(Source Secondary data)

Interpretation

1 The table IV 4 (a) represents that the sugar sales are higher as compared

to Budget the varience is 1712084 lakhs is mainly more off log

2 Baggage sales are less as compared to Budget the variance is Rs21502

lakhs Mainly due to consumption at Baggage is more use of generating

power

3 Industrial Alcohol sales are less as compare to the Budget the variance is

Rs7851 lakhs

4 Power sales are higher as compare to Budget Rs92076 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2336

49

DIAGRAM ndash IV ndash 4 (a)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2008 ndash 09

983089983089983095983095983094

983097983089983096 983089983096983088983088

983090983096983096983097983094

983089983096983091983096 983089983096983095983096

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983091983093983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2436

50

TABLE ndash IV ndash 4 (B)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2009 ndash 2010

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 23460 2393392 47392

Molasses - 22598 22598

Bagasse 565 41120 15380

Industrial Alcohol 1800 244182 64182

Power 1224 122539 3139

(Source Secondary data)

Interpretation

1 The table IV - 4 (b) represents that the sugar sales is higher as

compared to Budget the variance is 47392 lakhs is mainly more off

tag

2 Baggage sales are less as compared to Budget the variance is Rs

1538 lakhs mainly due to consumption at Baggage is more use for

generating power

3 Industrial Alcohol sales are less as compare to the Budget the variance

is Rs64182 lakhs

4 Power sales are higher as compare to Budget Rs3139 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2536

51

DIAGRAM ndash IV ndash 4 (b)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2009 - 10

983090983091983092983094983088

983089983090983090983092 983089983096983088983088

983090983091983097983091983091

983089983090983090983093983090983092983092983089

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2636

52

TABLE ndash IV ndash 4 (C)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2010 ndash 2011

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 26496 1663691 985909

Molasses 983085 22895 22895

Bagasse 675 28673 38827

Industrial Alcohol 1800 237776 57776

Power 1224 102725 19675

(Source Secondary data)

Interpretation

1 The table IV - 4 (c) represents that the sugar sales is higher as compared to

Budget the variance is 985909 lakhs is mainly more off tag

2 Baggage sales is less as compare to Budget the variance is Rs37827

lakhs mainly due to consumption at Baggage is more use for generating

power

3 Industrial Alcohol sales are less as compared to the Budget the variance is

Rs57776 lakhs

4 Power sales are higher as compare to Budget Rs 19675 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2736

53

DIAGRAM ndash IV ndash 4 (c)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2010 - 11

983090983094983092983097983094

983089983090983090983092 983089983096983088983088

983089983094983094983091983094

983089983088983090983095983090983091983095983095

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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54

TABLE ndash IV ndash 5 (a)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2008 ndash 2009

Particular Budget Rs in

Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 9957 9957

Receipt

Sales 3000000 3085100 85100

Other income 8000 894100 941

Loan Received - - -

Investment Received 97543 - 109500

Total Receipt 3105543 3094041 193541

Payment

Purchase of Raw material 1800000 1831857 -31857

Repayment of creditors 190000 198755 -8755

Fuel for-cogeneration 170000 180686 10686

Stores and spares consumed 50000 51962 1962

Salaries and wages 52000 55107 3107

Administrative expenses 60000 60778 778

Packing expenses 70000 73824 -3824

Interest 160000 162467 -2467

Loan Repaid 410000 416750 6750

Fixed asset purchased 10000 11202 -1202

Total Payment 2972000 3043397 71397

Opening Balance + ReceiptPayment

Closing Balance 143500 606015

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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55

Interpretation

1 The table IV - 5 (a) represents that the firm estimated total receipt

Rs3105543 lakhs But the company gets total receipt Rs3094041 lakhs

The variance is Rsl 1502 lakhs This variance is unfavorable

2 The actual total payment is increased Rs71397 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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56

DIAGRAM ndash IV ndash 5 (a)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2008 - 09

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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57

TABLE ndash IV ndash 5 (b)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2009 ndash 2010

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 60601 60601

Receipt

Sales 2555000 2725064 169064

Other income 5000 17279 8279Loan Received 200000 313264 113264

Investment Received - - -

Total Receipt 2764000 3116208 290607

Payment

Purchase of Raw material 1813000 1756750 56350

Repayment of creditors 113300 - 113300

Fuel for-cogeneration - -983085

Stores and spares consumed 65000 73693 8693Salaries and wages 65000 67923 2923

Administrative expenses 30000 40866 10866

Packing expenses 56000 117714 61914

Interest 180000 186505 6505

Loan Repaid 300000 292385 -5684

Fixed asset purchased 60601983085

-60601

Total Payment

Opening Balance + Receipt Payment

Closing Balance

2682901 2784240 148493

141700 331968

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3236

58

Interpretation

1 The table IV - 5 (b) represents that the firm estimated total receipt

Rs27640 lakhs But the company gets total receipt Rs3116208

lakhs The variance is Rs352208 lakhs It is favorable

2 The actual total payment is increased Rs101339 lakhs as compare

to Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3336

59

DIAGRAM ndash IV ndash 5 (b)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2009 - 10

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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60

TABLE ndash IV ndash 5 (C)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2010 ndash 2011

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 331968 331968

Receipt

Sales 3100000 35500 50000Other income 9000 9571 571

Loan Received - - -

Total Receipt 3109000 3559571 50571

Payment

Purchase of Raw material 2100000 2231857 31857

Repayment of Creditors 150000 161355 11355

Fuel for Cogeneration 190000 263168 73168

Stores and spares consumed 80000 88612 8612Salaries and Wages 55000 57L37 2107

Administrative expenses 66000 69187 3187

Packing and forwarding expenses 70000 73827 3824

Interest paid 150000 157267 7267

Loan Repaid 420000 612715 192715

Fixed asset purchased 75168 130023 54855

Total Payment 3356168 3845148 388947

(Receipt-Payment)

Closing Balance 84800 46391

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 936

35

DIAGRAM ndash IV ndash 2 (C)

DIAGRAM SHOWING PURCHASE BUDGET

IN THE YEAR 2010 - 2011

983106983157983140983143983141983156983084 983090983088983089983094983088

983105983139983156983157983137983148983084 983089983095983088983097983097

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1036

36

TABLE - IV ndash 3 (A)

DHARANI SUGARS AND CHEMICAL LIMITED

PRODUCTION BUDGET IN THE YEAR 2008-09

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales

Less Return

Add Closing

Stock

736000

200000

36000

12000

90000000

250000

30000000

45000000

Less

Budgeted

Opening stock

200000 12000 250000

-

Budgeted

Production

736000 36000 1000000 75000000

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1136

37

Actual Production

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty in

liters

Power in Unit

Sales Less

Return

1690248 2000 8706980 59494400

Add Closing

Stock

283193 8303 830174 -

Add Transfer to

distillery

own

consumption

- 27670 1200 24875600

Total (-

)Opening stock

1973441

634281

37973

3796

9538354

1880732

84370000

Actual

Production

1339160 34177 7657622 84370000

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1236

38

Interpretation

1 The Table IV - 3 (a) represents that the company is assured that all the

production material has been sold

2 The Budget production sugar is 736 lakhs quintals But actual production is

Rsl339 lakhs quintals The Sugar production is increased This is mainly due to

raw sugar availability

3 The molasses production is 34177 metric tons as against Budget qty of

36080 matric tones

4

The company is estimated spirit production 9000 lakhs liters But thecompany produced 7658 lakhs liters This is mainly due to molasses reduction

5 The company is estimated power 750 crore units But Power process 84370

Increaseshe power unit This is mainly due to Baggage availability

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1336

39

DIAGRAM - IV ndash 3 (A)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2008-09

983095983091983094983088983088983088

983091983094983088983088983088983088983088

983089983088983088983088983088983088983088

983089983091983091983097983089983094

983091983092983089983095983095983088983088

983095983094983093983095983094983090983090

983088

983089983088983088983088983088983088983088

983090983088983088983088983088983088983088

983091983088983088983088983088983088983088

983092983088983088983088983088983088983088

983093983088983088983088983088983088983088

983094983088983088983088983088983088983088

983095983088983088983088983088983088983088

983096983088983088983088983088983088983088

983097983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1436

40

TABLE - IV ndash 3 (B)

Dharani Sugars and Chemical Limited

Production Budget in the year 2009-10

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closhing

Stock

1380000

200000

67500

12000

9000000

250000

80000000

40000000

(-) Budgeted

Opening stock

200000 12000 250000 4000000

Budgeted

Production

1380000 67500 9000000 8000000

Assumption

All Production has been treated as sales

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1536

41

Actual Production

Particular Sugar Qty

in Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return Add

Closing

Stock

1380716

216611

23216

16657

10460887

250442

43020800

(+)Transfer to

distillery own

consumption

- 35499 900 27715200

Total

(-)Opening

stock

1597327

283193

75372

8303

10712229

830174

707

36000

Actual

Production

1314134 67069 9882055 7073600

0

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1636

42

Interpretation

1 The table IV - 3 (b) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1380 lakhs quintals as against

actual production 1314 lakhs quintals This is dully sugar content

available in the sugar cane

3 The molasses production is 67069 lares as against Budget quantity of

67500

4 The company is estimated sprit production only 90 lakhs liters But the

company actual produced 9882 lakhs liters this is mainly due to molassesavailability

5 The company is estimated power unit in 800 lakhs units But the

company produced 70736 lakhs unit It is mainly due to Baggage

availability and own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1736

43

DIAGRAM ndash IV - 3 (b)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2009-10

983089983091983096983088983088983088983088

983094983095983093983088983088983088983088

983097983088983088983088983088983088983088

983089983091983089983092983089983091983092

983094983095983088983094983097983088983088

983097983096983096983090983088983093983093

983088

983090983088983088983088983088983088983088

983092983088983088983088983088983088983088

983094983088983088983088983088983088983088

983096983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983089983090983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1836

44

TABLE - IV ndash 3 (C)

Dharani Sugars and Chemical Limited

Production Budget in the year 2010-2011

Particular Sugar Qty in

Quintals

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1656000

200000

81000

12000

9000000

250000

80000000

-

Less Budgeted

Opening stock

200000 12000 250000 -

Budgeted

Production

1656000 81000 9000000 80000000

Assumption -

All Production has been treated as sales

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1936

45

Actual Production

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1316329

283097

44954

8061

9525923

224844

33528800

(+) Transfer to

distillery own

consumption

- 36000 900 28503775

Total 1599423 89015 9751667 62032575

(-) Opening

stock

216611 16657 250442 -

Actual

Production

1382812 72358 9501225 62032575

(Source Secondary data)

Interpretation

1 The table IV 3(c) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1656 lakhs quintals as against

actual production 1382 lakhs quintals This is dully sugar contant

available in the sugar cane

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2036

46

3 The molasses production is 72358 tones as against Budget quantity

Rs81000

4 The company is estimated sprit production only 90 lakhs liters But the

company actual production 9501 lakhs liters This is mainly due to

molasses availability

5 The company is estimated power unit in 800 lakhs unit But the company

product 62032 lakhs unit It is mainly due to Baggage availability and

own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2136

47

DIAGRAM ndash IV ndash 3 (c)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2010-11

983089983094983093983094983088983088983088

983096983089983088983088983088983088983088

983097983088983088983088983088983088983088

983089983091983096983090983096983089983090

983095983090983091983093983096983088983088

983097983093983088983089983090983090983093

983088

983089983088983088983088983088983088983088

983090983088983088983088983088983088983088

983091983088983088983088983088983088983088

983092983088983088983088983088983088983088

983093983088983088983088983088983088983088

983094983088983088983088983088983088983088

983095983088983088983088983088983088983088

983096983088983088983088983088983088983088

983097983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2236

48

TABLE ndash IV ndash 4 (A)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2008 ndash 2009

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 11776 2889684 1712084

Molasses - 2830 2830

Bagasse 300 8498 21502

Industrial Alcohol 1800 187851 7851

Power 918 183800 92076

(Source Secondary data)

Interpretation

1 The table IV 4 (a) represents that the sugar sales are higher as compared

to Budget the varience is 1712084 lakhs is mainly more off log

2 Baggage sales are less as compared to Budget the variance is Rs21502

lakhs Mainly due to consumption at Baggage is more use of generating

power

3 Industrial Alcohol sales are less as compare to the Budget the variance is

Rs7851 lakhs

4 Power sales are higher as compare to Budget Rs92076 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2336

49

DIAGRAM ndash IV ndash 4 (a)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2008 ndash 09

983089983089983095983095983094

983097983089983096 983089983096983088983088

983090983096983096983097983094

983089983096983091983096 983089983096983095983096

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983091983093983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2436

50

TABLE ndash IV ndash 4 (B)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2009 ndash 2010

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 23460 2393392 47392

Molasses - 22598 22598

Bagasse 565 41120 15380

Industrial Alcohol 1800 244182 64182

Power 1224 122539 3139

(Source Secondary data)

Interpretation

1 The table IV - 4 (b) represents that the sugar sales is higher as

compared to Budget the variance is 47392 lakhs is mainly more off

tag

2 Baggage sales are less as compared to Budget the variance is Rs

1538 lakhs mainly due to consumption at Baggage is more use for

generating power

3 Industrial Alcohol sales are less as compare to the Budget the variance

is Rs64182 lakhs

4 Power sales are higher as compare to Budget Rs3139 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2536

51

DIAGRAM ndash IV ndash 4 (b)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2009 - 10

983090983091983092983094983088

983089983090983090983092 983089983096983088983088

983090983091983097983091983091

983089983090983090983093983090983092983092983089

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2636

52

TABLE ndash IV ndash 4 (C)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2010 ndash 2011

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 26496 1663691 985909

Molasses 983085 22895 22895

Bagasse 675 28673 38827

Industrial Alcohol 1800 237776 57776

Power 1224 102725 19675

(Source Secondary data)

Interpretation

1 The table IV - 4 (c) represents that the sugar sales is higher as compared to

Budget the variance is 985909 lakhs is mainly more off tag

2 Baggage sales is less as compare to Budget the variance is Rs37827

lakhs mainly due to consumption at Baggage is more use for generating

power

3 Industrial Alcohol sales are less as compared to the Budget the variance is

Rs57776 lakhs

4 Power sales are higher as compare to Budget Rs 19675 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2736

53

DIAGRAM ndash IV ndash 4 (c)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2010 - 11

983090983094983092983097983094

983089983090983090983092 983089983096983088983088

983089983094983094983091983094

983089983088983090983095983090983091983095983095

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2836

54

TABLE ndash IV ndash 5 (a)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2008 ndash 2009

Particular Budget Rs in

Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 9957 9957

Receipt

Sales 3000000 3085100 85100

Other income 8000 894100 941

Loan Received - - -

Investment Received 97543 - 109500

Total Receipt 3105543 3094041 193541

Payment

Purchase of Raw material 1800000 1831857 -31857

Repayment of creditors 190000 198755 -8755

Fuel for-cogeneration 170000 180686 10686

Stores and spares consumed 50000 51962 1962

Salaries and wages 52000 55107 3107

Administrative expenses 60000 60778 778

Packing expenses 70000 73824 -3824

Interest 160000 162467 -2467

Loan Repaid 410000 416750 6750

Fixed asset purchased 10000 11202 -1202

Total Payment 2972000 3043397 71397

Opening Balance + ReceiptPayment

Closing Balance 143500 606015

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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55

Interpretation

1 The table IV - 5 (a) represents that the firm estimated total receipt

Rs3105543 lakhs But the company gets total receipt Rs3094041 lakhs

The variance is Rsl 1502 lakhs This variance is unfavorable

2 The actual total payment is increased Rs71397 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3036

56

DIAGRAM ndash IV ndash 5 (a)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2008 - 09

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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57

TABLE ndash IV ndash 5 (b)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2009 ndash 2010

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 60601 60601

Receipt

Sales 2555000 2725064 169064

Other income 5000 17279 8279Loan Received 200000 313264 113264

Investment Received - - -

Total Receipt 2764000 3116208 290607

Payment

Purchase of Raw material 1813000 1756750 56350

Repayment of creditors 113300 - 113300

Fuel for-cogeneration - -983085

Stores and spares consumed 65000 73693 8693Salaries and wages 65000 67923 2923

Administrative expenses 30000 40866 10866

Packing expenses 56000 117714 61914

Interest 180000 186505 6505

Loan Repaid 300000 292385 -5684

Fixed asset purchased 60601983085

-60601

Total Payment

Opening Balance + Receipt Payment

Closing Balance

2682901 2784240 148493

141700 331968

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3236

58

Interpretation

1 The table IV - 5 (b) represents that the firm estimated total receipt

Rs27640 lakhs But the company gets total receipt Rs3116208

lakhs The variance is Rs352208 lakhs It is favorable

2 The actual total payment is increased Rs101339 lakhs as compare

to Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3336

59

DIAGRAM ndash IV ndash 5 (b)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2009 - 10

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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60

TABLE ndash IV ndash 5 (C)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2010 ndash 2011

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 331968 331968

Receipt

Sales 3100000 35500 50000Other income 9000 9571 571

Loan Received - - -

Total Receipt 3109000 3559571 50571

Payment

Purchase of Raw material 2100000 2231857 31857

Repayment of Creditors 150000 161355 11355

Fuel for Cogeneration 190000 263168 73168

Stores and spares consumed 80000 88612 8612Salaries and Wages 55000 57L37 2107

Administrative expenses 66000 69187 3187

Packing and forwarding expenses 70000 73827 3824

Interest paid 150000 157267 7267

Loan Repaid 420000 612715 192715

Fixed asset purchased 75168 130023 54855

Total Payment 3356168 3845148 388947

(Receipt-Payment)

Closing Balance 84800 46391

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3536

61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1036

36

TABLE - IV ndash 3 (A)

DHARANI SUGARS AND CHEMICAL LIMITED

PRODUCTION BUDGET IN THE YEAR 2008-09

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales

Less Return

Add Closing

Stock

736000

200000

36000

12000

90000000

250000

30000000

45000000

Less

Budgeted

Opening stock

200000 12000 250000

-

Budgeted

Production

736000 36000 1000000 75000000

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1136

37

Actual Production

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty in

liters

Power in Unit

Sales Less

Return

1690248 2000 8706980 59494400

Add Closing

Stock

283193 8303 830174 -

Add Transfer to

distillery

own

consumption

- 27670 1200 24875600

Total (-

)Opening stock

1973441

634281

37973

3796

9538354

1880732

84370000

Actual

Production

1339160 34177 7657622 84370000

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1236

38

Interpretation

1 The Table IV - 3 (a) represents that the company is assured that all the

production material has been sold

2 The Budget production sugar is 736 lakhs quintals But actual production is

Rsl339 lakhs quintals The Sugar production is increased This is mainly due to

raw sugar availability

3 The molasses production is 34177 metric tons as against Budget qty of

36080 matric tones

4

The company is estimated spirit production 9000 lakhs liters But thecompany produced 7658 lakhs liters This is mainly due to molasses reduction

5 The company is estimated power 750 crore units But Power process 84370

Increaseshe power unit This is mainly due to Baggage availability

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1336

39

DIAGRAM - IV ndash 3 (A)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2008-09

983095983091983094983088983088983088

983091983094983088983088983088983088983088

983089983088983088983088983088983088983088

983089983091983091983097983089983094

983091983092983089983095983095983088983088

983095983094983093983095983094983090983090

983088

983089983088983088983088983088983088983088

983090983088983088983088983088983088983088

983091983088983088983088983088983088983088

983092983088983088983088983088983088983088

983093983088983088983088983088983088983088

983094983088983088983088983088983088983088

983095983088983088983088983088983088983088

983096983088983088983088983088983088983088

983097983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1436

40

TABLE - IV ndash 3 (B)

Dharani Sugars and Chemical Limited

Production Budget in the year 2009-10

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closhing

Stock

1380000

200000

67500

12000

9000000

250000

80000000

40000000

(-) Budgeted

Opening stock

200000 12000 250000 4000000

Budgeted

Production

1380000 67500 9000000 8000000

Assumption

All Production has been treated as sales

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1536

41

Actual Production

Particular Sugar Qty

in Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return Add

Closing

Stock

1380716

216611

23216

16657

10460887

250442

43020800

(+)Transfer to

distillery own

consumption

- 35499 900 27715200

Total

(-)Opening

stock

1597327

283193

75372

8303

10712229

830174

707

36000

Actual

Production

1314134 67069 9882055 7073600

0

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1636

42

Interpretation

1 The table IV - 3 (b) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1380 lakhs quintals as against

actual production 1314 lakhs quintals This is dully sugar content

available in the sugar cane

3 The molasses production is 67069 lares as against Budget quantity of

67500

4 The company is estimated sprit production only 90 lakhs liters But the

company actual produced 9882 lakhs liters this is mainly due to molassesavailability

5 The company is estimated power unit in 800 lakhs units But the

company produced 70736 lakhs unit It is mainly due to Baggage

availability and own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1736

43

DIAGRAM ndash IV - 3 (b)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2009-10

983089983091983096983088983088983088983088

983094983095983093983088983088983088983088

983097983088983088983088983088983088983088

983089983091983089983092983089983091983092

983094983095983088983094983097983088983088

983097983096983096983090983088983093983093

983088

983090983088983088983088983088983088983088

983092983088983088983088983088983088983088

983094983088983088983088983088983088983088

983096983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983089983090983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1836

44

TABLE - IV ndash 3 (C)

Dharani Sugars and Chemical Limited

Production Budget in the year 2010-2011

Particular Sugar Qty in

Quintals

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1656000

200000

81000

12000

9000000

250000

80000000

-

Less Budgeted

Opening stock

200000 12000 250000 -

Budgeted

Production

1656000 81000 9000000 80000000

Assumption -

All Production has been treated as sales

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1936

45

Actual Production

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1316329

283097

44954

8061

9525923

224844

33528800

(+) Transfer to

distillery own

consumption

- 36000 900 28503775

Total 1599423 89015 9751667 62032575

(-) Opening

stock

216611 16657 250442 -

Actual

Production

1382812 72358 9501225 62032575

(Source Secondary data)

Interpretation

1 The table IV 3(c) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1656 lakhs quintals as against

actual production 1382 lakhs quintals This is dully sugar contant

available in the sugar cane

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2036

46

3 The molasses production is 72358 tones as against Budget quantity

Rs81000

4 The company is estimated sprit production only 90 lakhs liters But the

company actual production 9501 lakhs liters This is mainly due to

molasses availability

5 The company is estimated power unit in 800 lakhs unit But the company

product 62032 lakhs unit It is mainly due to Baggage availability and

own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2136

47

DIAGRAM ndash IV ndash 3 (c)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2010-11

983089983094983093983094983088983088983088

983096983089983088983088983088983088983088

983097983088983088983088983088983088983088

983089983091983096983090983096983089983090

983095983090983091983093983096983088983088

983097983093983088983089983090983090983093

983088

983089983088983088983088983088983088983088

983090983088983088983088983088983088983088

983091983088983088983088983088983088983088

983092983088983088983088983088983088983088

983093983088983088983088983088983088983088

983094983088983088983088983088983088983088

983095983088983088983088983088983088983088

983096983088983088983088983088983088983088

983097983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2236

48

TABLE ndash IV ndash 4 (A)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2008 ndash 2009

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 11776 2889684 1712084

Molasses - 2830 2830

Bagasse 300 8498 21502

Industrial Alcohol 1800 187851 7851

Power 918 183800 92076

(Source Secondary data)

Interpretation

1 The table IV 4 (a) represents that the sugar sales are higher as compared

to Budget the varience is 1712084 lakhs is mainly more off log

2 Baggage sales are less as compared to Budget the variance is Rs21502

lakhs Mainly due to consumption at Baggage is more use of generating

power

3 Industrial Alcohol sales are less as compare to the Budget the variance is

Rs7851 lakhs

4 Power sales are higher as compare to Budget Rs92076 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2336

49

DIAGRAM ndash IV ndash 4 (a)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2008 ndash 09

983089983089983095983095983094

983097983089983096 983089983096983088983088

983090983096983096983097983094

983089983096983091983096 983089983096983095983096

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983091983093983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2436

50

TABLE ndash IV ndash 4 (B)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2009 ndash 2010

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 23460 2393392 47392

Molasses - 22598 22598

Bagasse 565 41120 15380

Industrial Alcohol 1800 244182 64182

Power 1224 122539 3139

(Source Secondary data)

Interpretation

1 The table IV - 4 (b) represents that the sugar sales is higher as

compared to Budget the variance is 47392 lakhs is mainly more off

tag

2 Baggage sales are less as compared to Budget the variance is Rs

1538 lakhs mainly due to consumption at Baggage is more use for

generating power

3 Industrial Alcohol sales are less as compare to the Budget the variance

is Rs64182 lakhs

4 Power sales are higher as compare to Budget Rs3139 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2536

51

DIAGRAM ndash IV ndash 4 (b)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2009 - 10

983090983091983092983094983088

983089983090983090983092 983089983096983088983088

983090983091983097983091983091

983089983090983090983093983090983092983092983089

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2636

52

TABLE ndash IV ndash 4 (C)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2010 ndash 2011

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 26496 1663691 985909

Molasses 983085 22895 22895

Bagasse 675 28673 38827

Industrial Alcohol 1800 237776 57776

Power 1224 102725 19675

(Source Secondary data)

Interpretation

1 The table IV - 4 (c) represents that the sugar sales is higher as compared to

Budget the variance is 985909 lakhs is mainly more off tag

2 Baggage sales is less as compare to Budget the variance is Rs37827

lakhs mainly due to consumption at Baggage is more use for generating

power

3 Industrial Alcohol sales are less as compared to the Budget the variance is

Rs57776 lakhs

4 Power sales are higher as compare to Budget Rs 19675 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2736

53

DIAGRAM ndash IV ndash 4 (c)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2010 - 11

983090983094983092983097983094

983089983090983090983092 983089983096983088983088

983089983094983094983091983094

983089983088983090983095983090983091983095983095

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2836

54

TABLE ndash IV ndash 5 (a)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2008 ndash 2009

Particular Budget Rs in

Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 9957 9957

Receipt

Sales 3000000 3085100 85100

Other income 8000 894100 941

Loan Received - - -

Investment Received 97543 - 109500

Total Receipt 3105543 3094041 193541

Payment

Purchase of Raw material 1800000 1831857 -31857

Repayment of creditors 190000 198755 -8755

Fuel for-cogeneration 170000 180686 10686

Stores and spares consumed 50000 51962 1962

Salaries and wages 52000 55107 3107

Administrative expenses 60000 60778 778

Packing expenses 70000 73824 -3824

Interest 160000 162467 -2467

Loan Repaid 410000 416750 6750

Fixed asset purchased 10000 11202 -1202

Total Payment 2972000 3043397 71397

Opening Balance + ReceiptPayment

Closing Balance 143500 606015

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2936

55

Interpretation

1 The table IV - 5 (a) represents that the firm estimated total receipt

Rs3105543 lakhs But the company gets total receipt Rs3094041 lakhs

The variance is Rsl 1502 lakhs This variance is unfavorable

2 The actual total payment is increased Rs71397 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3036

56

DIAGRAM ndash IV ndash 5 (a)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2008 - 09

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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57

TABLE ndash IV ndash 5 (b)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2009 ndash 2010

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 60601 60601

Receipt

Sales 2555000 2725064 169064

Other income 5000 17279 8279Loan Received 200000 313264 113264

Investment Received - - -

Total Receipt 2764000 3116208 290607

Payment

Purchase of Raw material 1813000 1756750 56350

Repayment of creditors 113300 - 113300

Fuel for-cogeneration - -983085

Stores and spares consumed 65000 73693 8693Salaries and wages 65000 67923 2923

Administrative expenses 30000 40866 10866

Packing expenses 56000 117714 61914

Interest 180000 186505 6505

Loan Repaid 300000 292385 -5684

Fixed asset purchased 60601983085

-60601

Total Payment

Opening Balance + Receipt Payment

Closing Balance

2682901 2784240 148493

141700 331968

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3236

58

Interpretation

1 The table IV - 5 (b) represents that the firm estimated total receipt

Rs27640 lakhs But the company gets total receipt Rs3116208

lakhs The variance is Rs352208 lakhs It is favorable

2 The actual total payment is increased Rs101339 lakhs as compare

to Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3336

59

DIAGRAM ndash IV ndash 5 (b)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2009 - 10

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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60

TABLE ndash IV ndash 5 (C)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2010 ndash 2011

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 331968 331968

Receipt

Sales 3100000 35500 50000Other income 9000 9571 571

Loan Received - - -

Total Receipt 3109000 3559571 50571

Payment

Purchase of Raw material 2100000 2231857 31857

Repayment of Creditors 150000 161355 11355

Fuel for Cogeneration 190000 263168 73168

Stores and spares consumed 80000 88612 8612Salaries and Wages 55000 57L37 2107

Administrative expenses 66000 69187 3187

Packing and forwarding expenses 70000 73827 3824

Interest paid 150000 157267 7267

Loan Repaid 420000 612715 192715

Fixed asset purchased 75168 130023 54855

Total Payment 3356168 3845148 388947

(Receipt-Payment)

Closing Balance 84800 46391

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1136

37

Actual Production

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty in

liters

Power in Unit

Sales Less

Return

1690248 2000 8706980 59494400

Add Closing

Stock

283193 8303 830174 -

Add Transfer to

distillery

own

consumption

- 27670 1200 24875600

Total (-

)Opening stock

1973441

634281

37973

3796

9538354

1880732

84370000

Actual

Production

1339160 34177 7657622 84370000

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1236

38

Interpretation

1 The Table IV - 3 (a) represents that the company is assured that all the

production material has been sold

2 The Budget production sugar is 736 lakhs quintals But actual production is

Rsl339 lakhs quintals The Sugar production is increased This is mainly due to

raw sugar availability

3 The molasses production is 34177 metric tons as against Budget qty of

36080 matric tones

4

The company is estimated spirit production 9000 lakhs liters But thecompany produced 7658 lakhs liters This is mainly due to molasses reduction

5 The company is estimated power 750 crore units But Power process 84370

Increaseshe power unit This is mainly due to Baggage availability

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1336

39

DIAGRAM - IV ndash 3 (A)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2008-09

983095983091983094983088983088983088

983091983094983088983088983088983088983088

983089983088983088983088983088983088983088

983089983091983091983097983089983094

983091983092983089983095983095983088983088

983095983094983093983095983094983090983090

983088

983089983088983088983088983088983088983088

983090983088983088983088983088983088983088

983091983088983088983088983088983088983088

983092983088983088983088983088983088983088

983093983088983088983088983088983088983088

983094983088983088983088983088983088983088

983095983088983088983088983088983088983088

983096983088983088983088983088983088983088

983097983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1436

40

TABLE - IV ndash 3 (B)

Dharani Sugars and Chemical Limited

Production Budget in the year 2009-10

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closhing

Stock

1380000

200000

67500

12000

9000000

250000

80000000

40000000

(-) Budgeted

Opening stock

200000 12000 250000 4000000

Budgeted

Production

1380000 67500 9000000 8000000

Assumption

All Production has been treated as sales

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1536

41

Actual Production

Particular Sugar Qty

in Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return Add

Closing

Stock

1380716

216611

23216

16657

10460887

250442

43020800

(+)Transfer to

distillery own

consumption

- 35499 900 27715200

Total

(-)Opening

stock

1597327

283193

75372

8303

10712229

830174

707

36000

Actual

Production

1314134 67069 9882055 7073600

0

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1636

42

Interpretation

1 The table IV - 3 (b) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1380 lakhs quintals as against

actual production 1314 lakhs quintals This is dully sugar content

available in the sugar cane

3 The molasses production is 67069 lares as against Budget quantity of

67500

4 The company is estimated sprit production only 90 lakhs liters But the

company actual produced 9882 lakhs liters this is mainly due to molassesavailability

5 The company is estimated power unit in 800 lakhs units But the

company produced 70736 lakhs unit It is mainly due to Baggage

availability and own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1736

43

DIAGRAM ndash IV - 3 (b)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2009-10

983089983091983096983088983088983088983088

983094983095983093983088983088983088983088

983097983088983088983088983088983088983088

983089983091983089983092983089983091983092

983094983095983088983094983097983088983088

983097983096983096983090983088983093983093

983088

983090983088983088983088983088983088983088

983092983088983088983088983088983088983088

983094983088983088983088983088983088983088

983096983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983089983090983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1836

44

TABLE - IV ndash 3 (C)

Dharani Sugars and Chemical Limited

Production Budget in the year 2010-2011

Particular Sugar Qty in

Quintals

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1656000

200000

81000

12000

9000000

250000

80000000

-

Less Budgeted

Opening stock

200000 12000 250000 -

Budgeted

Production

1656000 81000 9000000 80000000

Assumption -

All Production has been treated as sales

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1936

45

Actual Production

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1316329

283097

44954

8061

9525923

224844

33528800

(+) Transfer to

distillery own

consumption

- 36000 900 28503775

Total 1599423 89015 9751667 62032575

(-) Opening

stock

216611 16657 250442 -

Actual

Production

1382812 72358 9501225 62032575

(Source Secondary data)

Interpretation

1 The table IV 3(c) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1656 lakhs quintals as against

actual production 1382 lakhs quintals This is dully sugar contant

available in the sugar cane

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2036

46

3 The molasses production is 72358 tones as against Budget quantity

Rs81000

4 The company is estimated sprit production only 90 lakhs liters But the

company actual production 9501 lakhs liters This is mainly due to

molasses availability

5 The company is estimated power unit in 800 lakhs unit But the company

product 62032 lakhs unit It is mainly due to Baggage availability and

own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2136

47

DIAGRAM ndash IV ndash 3 (c)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2010-11

983089983094983093983094983088983088983088

983096983089983088983088983088983088983088

983097983088983088983088983088983088983088

983089983091983096983090983096983089983090

983095983090983091983093983096983088983088

983097983093983088983089983090983090983093

983088

983089983088983088983088983088983088983088

983090983088983088983088983088983088983088

983091983088983088983088983088983088983088

983092983088983088983088983088983088983088

983093983088983088983088983088983088983088

983094983088983088983088983088983088983088

983095983088983088983088983088983088983088

983096983088983088983088983088983088983088

983097983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2236

48

TABLE ndash IV ndash 4 (A)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2008 ndash 2009

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 11776 2889684 1712084

Molasses - 2830 2830

Bagasse 300 8498 21502

Industrial Alcohol 1800 187851 7851

Power 918 183800 92076

(Source Secondary data)

Interpretation

1 The table IV 4 (a) represents that the sugar sales are higher as compared

to Budget the varience is 1712084 lakhs is mainly more off log

2 Baggage sales are less as compared to Budget the variance is Rs21502

lakhs Mainly due to consumption at Baggage is more use of generating

power

3 Industrial Alcohol sales are less as compare to the Budget the variance is

Rs7851 lakhs

4 Power sales are higher as compare to Budget Rs92076 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2336

49

DIAGRAM ndash IV ndash 4 (a)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2008 ndash 09

983089983089983095983095983094

983097983089983096 983089983096983088983088

983090983096983096983097983094

983089983096983091983096 983089983096983095983096

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983091983093983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2436

50

TABLE ndash IV ndash 4 (B)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2009 ndash 2010

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 23460 2393392 47392

Molasses - 22598 22598

Bagasse 565 41120 15380

Industrial Alcohol 1800 244182 64182

Power 1224 122539 3139

(Source Secondary data)

Interpretation

1 The table IV - 4 (b) represents that the sugar sales is higher as

compared to Budget the variance is 47392 lakhs is mainly more off

tag

2 Baggage sales are less as compared to Budget the variance is Rs

1538 lakhs mainly due to consumption at Baggage is more use for

generating power

3 Industrial Alcohol sales are less as compare to the Budget the variance

is Rs64182 lakhs

4 Power sales are higher as compare to Budget Rs3139 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2536

51

DIAGRAM ndash IV ndash 4 (b)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2009 - 10

983090983091983092983094983088

983089983090983090983092 983089983096983088983088

983090983091983097983091983091

983089983090983090983093983090983092983092983089

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2636

52

TABLE ndash IV ndash 4 (C)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2010 ndash 2011

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 26496 1663691 985909

Molasses 983085 22895 22895

Bagasse 675 28673 38827

Industrial Alcohol 1800 237776 57776

Power 1224 102725 19675

(Source Secondary data)

Interpretation

1 The table IV - 4 (c) represents that the sugar sales is higher as compared to

Budget the variance is 985909 lakhs is mainly more off tag

2 Baggage sales is less as compare to Budget the variance is Rs37827

lakhs mainly due to consumption at Baggage is more use for generating

power

3 Industrial Alcohol sales are less as compared to the Budget the variance is

Rs57776 lakhs

4 Power sales are higher as compare to Budget Rs 19675 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2736

53

DIAGRAM ndash IV ndash 4 (c)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2010 - 11

983090983094983092983097983094

983089983090983090983092 983089983096983088983088

983089983094983094983091983094

983089983088983090983095983090983091983095983095

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2836

54

TABLE ndash IV ndash 5 (a)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2008 ndash 2009

Particular Budget Rs in

Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 9957 9957

Receipt

Sales 3000000 3085100 85100

Other income 8000 894100 941

Loan Received - - -

Investment Received 97543 - 109500

Total Receipt 3105543 3094041 193541

Payment

Purchase of Raw material 1800000 1831857 -31857

Repayment of creditors 190000 198755 -8755

Fuel for-cogeneration 170000 180686 10686

Stores and spares consumed 50000 51962 1962

Salaries and wages 52000 55107 3107

Administrative expenses 60000 60778 778

Packing expenses 70000 73824 -3824

Interest 160000 162467 -2467

Loan Repaid 410000 416750 6750

Fixed asset purchased 10000 11202 -1202

Total Payment 2972000 3043397 71397

Opening Balance + ReceiptPayment

Closing Balance 143500 606015

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2936

55

Interpretation

1 The table IV - 5 (a) represents that the firm estimated total receipt

Rs3105543 lakhs But the company gets total receipt Rs3094041 lakhs

The variance is Rsl 1502 lakhs This variance is unfavorable

2 The actual total payment is increased Rs71397 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3036

56

DIAGRAM ndash IV ndash 5 (a)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2008 - 09

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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57

TABLE ndash IV ndash 5 (b)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2009 ndash 2010

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 60601 60601

Receipt

Sales 2555000 2725064 169064

Other income 5000 17279 8279Loan Received 200000 313264 113264

Investment Received - - -

Total Receipt 2764000 3116208 290607

Payment

Purchase of Raw material 1813000 1756750 56350

Repayment of creditors 113300 - 113300

Fuel for-cogeneration - -983085

Stores and spares consumed 65000 73693 8693Salaries and wages 65000 67923 2923

Administrative expenses 30000 40866 10866

Packing expenses 56000 117714 61914

Interest 180000 186505 6505

Loan Repaid 300000 292385 -5684

Fixed asset purchased 60601983085

-60601

Total Payment

Opening Balance + Receipt Payment

Closing Balance

2682901 2784240 148493

141700 331968

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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58

Interpretation

1 The table IV - 5 (b) represents that the firm estimated total receipt

Rs27640 lakhs But the company gets total receipt Rs3116208

lakhs The variance is Rs352208 lakhs It is favorable

2 The actual total payment is increased Rs101339 lakhs as compare

to Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3336

59

DIAGRAM ndash IV ndash 5 (b)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2009 - 10

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3436

60

TABLE ndash IV ndash 5 (C)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2010 ndash 2011

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 331968 331968

Receipt

Sales 3100000 35500 50000Other income 9000 9571 571

Loan Received - - -

Total Receipt 3109000 3559571 50571

Payment

Purchase of Raw material 2100000 2231857 31857

Repayment of Creditors 150000 161355 11355

Fuel for Cogeneration 190000 263168 73168

Stores and spares consumed 80000 88612 8612Salaries and Wages 55000 57L37 2107

Administrative expenses 66000 69187 3187

Packing and forwarding expenses 70000 73827 3824

Interest paid 150000 157267 7267

Loan Repaid 420000 612715 192715

Fixed asset purchased 75168 130023 54855

Total Payment 3356168 3845148 388947

(Receipt-Payment)

Closing Balance 84800 46391

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1236

38

Interpretation

1 The Table IV - 3 (a) represents that the company is assured that all the

production material has been sold

2 The Budget production sugar is 736 lakhs quintals But actual production is

Rsl339 lakhs quintals The Sugar production is increased This is mainly due to

raw sugar availability

3 The molasses production is 34177 metric tons as against Budget qty of

36080 matric tones

4

The company is estimated spirit production 9000 lakhs liters But thecompany produced 7658 lakhs liters This is mainly due to molasses reduction

5 The company is estimated power 750 crore units But Power process 84370

Increaseshe power unit This is mainly due to Baggage availability

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1336

39

DIAGRAM - IV ndash 3 (A)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2008-09

983095983091983094983088983088983088

983091983094983088983088983088983088983088

983089983088983088983088983088983088983088

983089983091983091983097983089983094

983091983092983089983095983095983088983088

983095983094983093983095983094983090983090

983088

983089983088983088983088983088983088983088

983090983088983088983088983088983088983088

983091983088983088983088983088983088983088

983092983088983088983088983088983088983088

983093983088983088983088983088983088983088

983094983088983088983088983088983088983088

983095983088983088983088983088983088983088

983096983088983088983088983088983088983088

983097983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1436

40

TABLE - IV ndash 3 (B)

Dharani Sugars and Chemical Limited

Production Budget in the year 2009-10

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closhing

Stock

1380000

200000

67500

12000

9000000

250000

80000000

40000000

(-) Budgeted

Opening stock

200000 12000 250000 4000000

Budgeted

Production

1380000 67500 9000000 8000000

Assumption

All Production has been treated as sales

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1536

41

Actual Production

Particular Sugar Qty

in Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return Add

Closing

Stock

1380716

216611

23216

16657

10460887

250442

43020800

(+)Transfer to

distillery own

consumption

- 35499 900 27715200

Total

(-)Opening

stock

1597327

283193

75372

8303

10712229

830174

707

36000

Actual

Production

1314134 67069 9882055 7073600

0

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1636

42

Interpretation

1 The table IV - 3 (b) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1380 lakhs quintals as against

actual production 1314 lakhs quintals This is dully sugar content

available in the sugar cane

3 The molasses production is 67069 lares as against Budget quantity of

67500

4 The company is estimated sprit production only 90 lakhs liters But the

company actual produced 9882 lakhs liters this is mainly due to molassesavailability

5 The company is estimated power unit in 800 lakhs units But the

company produced 70736 lakhs unit It is mainly due to Baggage

availability and own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1736

43

DIAGRAM ndash IV - 3 (b)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2009-10

983089983091983096983088983088983088983088

983094983095983093983088983088983088983088

983097983088983088983088983088983088983088

983089983091983089983092983089983091983092

983094983095983088983094983097983088983088

983097983096983096983090983088983093983093

983088

983090983088983088983088983088983088983088

983092983088983088983088983088983088983088

983094983088983088983088983088983088983088

983096983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983089983090983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1836

44

TABLE - IV ndash 3 (C)

Dharani Sugars and Chemical Limited

Production Budget in the year 2010-2011

Particular Sugar Qty in

Quintals

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1656000

200000

81000

12000

9000000

250000

80000000

-

Less Budgeted

Opening stock

200000 12000 250000 -

Budgeted

Production

1656000 81000 9000000 80000000

Assumption -

All Production has been treated as sales

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1936

45

Actual Production

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1316329

283097

44954

8061

9525923

224844

33528800

(+) Transfer to

distillery own

consumption

- 36000 900 28503775

Total 1599423 89015 9751667 62032575

(-) Opening

stock

216611 16657 250442 -

Actual

Production

1382812 72358 9501225 62032575

(Source Secondary data)

Interpretation

1 The table IV 3(c) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1656 lakhs quintals as against

actual production 1382 lakhs quintals This is dully sugar contant

available in the sugar cane

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2036

46

3 The molasses production is 72358 tones as against Budget quantity

Rs81000

4 The company is estimated sprit production only 90 lakhs liters But the

company actual production 9501 lakhs liters This is mainly due to

molasses availability

5 The company is estimated power unit in 800 lakhs unit But the company

product 62032 lakhs unit It is mainly due to Baggage availability and

own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2136

47

DIAGRAM ndash IV ndash 3 (c)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2010-11

983089983094983093983094983088983088983088

983096983089983088983088983088983088983088

983097983088983088983088983088983088983088

983089983091983096983090983096983089983090

983095983090983091983093983096983088983088

983097983093983088983089983090983090983093

983088

983089983088983088983088983088983088983088

983090983088983088983088983088983088983088

983091983088983088983088983088983088983088

983092983088983088983088983088983088983088

983093983088983088983088983088983088983088

983094983088983088983088983088983088983088

983095983088983088983088983088983088983088

983096983088983088983088983088983088983088

983097983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2236

48

TABLE ndash IV ndash 4 (A)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2008 ndash 2009

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 11776 2889684 1712084

Molasses - 2830 2830

Bagasse 300 8498 21502

Industrial Alcohol 1800 187851 7851

Power 918 183800 92076

(Source Secondary data)

Interpretation

1 The table IV 4 (a) represents that the sugar sales are higher as compared

to Budget the varience is 1712084 lakhs is mainly more off log

2 Baggage sales are less as compared to Budget the variance is Rs21502

lakhs Mainly due to consumption at Baggage is more use of generating

power

3 Industrial Alcohol sales are less as compare to the Budget the variance is

Rs7851 lakhs

4 Power sales are higher as compare to Budget Rs92076 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2336

49

DIAGRAM ndash IV ndash 4 (a)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2008 ndash 09

983089983089983095983095983094

983097983089983096 983089983096983088983088

983090983096983096983097983094

983089983096983091983096 983089983096983095983096

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983091983093983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2436

50

TABLE ndash IV ndash 4 (B)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2009 ndash 2010

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 23460 2393392 47392

Molasses - 22598 22598

Bagasse 565 41120 15380

Industrial Alcohol 1800 244182 64182

Power 1224 122539 3139

(Source Secondary data)

Interpretation

1 The table IV - 4 (b) represents that the sugar sales is higher as

compared to Budget the variance is 47392 lakhs is mainly more off

tag

2 Baggage sales are less as compared to Budget the variance is Rs

1538 lakhs mainly due to consumption at Baggage is more use for

generating power

3 Industrial Alcohol sales are less as compare to the Budget the variance

is Rs64182 lakhs

4 Power sales are higher as compare to Budget Rs3139 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2536

51

DIAGRAM ndash IV ndash 4 (b)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2009 - 10

983090983091983092983094983088

983089983090983090983092 983089983096983088983088

983090983091983097983091983091

983089983090983090983093983090983092983092983089

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2636

52

TABLE ndash IV ndash 4 (C)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2010 ndash 2011

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 26496 1663691 985909

Molasses 983085 22895 22895

Bagasse 675 28673 38827

Industrial Alcohol 1800 237776 57776

Power 1224 102725 19675

(Source Secondary data)

Interpretation

1 The table IV - 4 (c) represents that the sugar sales is higher as compared to

Budget the variance is 985909 lakhs is mainly more off tag

2 Baggage sales is less as compare to Budget the variance is Rs37827

lakhs mainly due to consumption at Baggage is more use for generating

power

3 Industrial Alcohol sales are less as compared to the Budget the variance is

Rs57776 lakhs

4 Power sales are higher as compare to Budget Rs 19675 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2736

53

DIAGRAM ndash IV ndash 4 (c)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2010 - 11

983090983094983092983097983094

983089983090983090983092 983089983096983088983088

983089983094983094983091983094

983089983088983090983095983090983091983095983095

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2836

54

TABLE ndash IV ndash 5 (a)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2008 ndash 2009

Particular Budget Rs in

Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 9957 9957

Receipt

Sales 3000000 3085100 85100

Other income 8000 894100 941

Loan Received - - -

Investment Received 97543 - 109500

Total Receipt 3105543 3094041 193541

Payment

Purchase of Raw material 1800000 1831857 -31857

Repayment of creditors 190000 198755 -8755

Fuel for-cogeneration 170000 180686 10686

Stores and spares consumed 50000 51962 1962

Salaries and wages 52000 55107 3107

Administrative expenses 60000 60778 778

Packing expenses 70000 73824 -3824

Interest 160000 162467 -2467

Loan Repaid 410000 416750 6750

Fixed asset purchased 10000 11202 -1202

Total Payment 2972000 3043397 71397

Opening Balance + ReceiptPayment

Closing Balance 143500 606015

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2936

55

Interpretation

1 The table IV - 5 (a) represents that the firm estimated total receipt

Rs3105543 lakhs But the company gets total receipt Rs3094041 lakhs

The variance is Rsl 1502 lakhs This variance is unfavorable

2 The actual total payment is increased Rs71397 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3036

56

DIAGRAM ndash IV ndash 5 (a)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2008 - 09

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3136

57

TABLE ndash IV ndash 5 (b)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2009 ndash 2010

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 60601 60601

Receipt

Sales 2555000 2725064 169064

Other income 5000 17279 8279Loan Received 200000 313264 113264

Investment Received - - -

Total Receipt 2764000 3116208 290607

Payment

Purchase of Raw material 1813000 1756750 56350

Repayment of creditors 113300 - 113300

Fuel for-cogeneration - -983085

Stores and spares consumed 65000 73693 8693Salaries and wages 65000 67923 2923

Administrative expenses 30000 40866 10866

Packing expenses 56000 117714 61914

Interest 180000 186505 6505

Loan Repaid 300000 292385 -5684

Fixed asset purchased 60601983085

-60601

Total Payment

Opening Balance + Receipt Payment

Closing Balance

2682901 2784240 148493

141700 331968

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3236

58

Interpretation

1 The table IV - 5 (b) represents that the firm estimated total receipt

Rs27640 lakhs But the company gets total receipt Rs3116208

lakhs The variance is Rs352208 lakhs It is favorable

2 The actual total payment is increased Rs101339 lakhs as compare

to Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3336

59

DIAGRAM ndash IV ndash 5 (b)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2009 - 10

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3436

60

TABLE ndash IV ndash 5 (C)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2010 ndash 2011

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 331968 331968

Receipt

Sales 3100000 35500 50000Other income 9000 9571 571

Loan Received - - -

Total Receipt 3109000 3559571 50571

Payment

Purchase of Raw material 2100000 2231857 31857

Repayment of Creditors 150000 161355 11355

Fuel for Cogeneration 190000 263168 73168

Stores and spares consumed 80000 88612 8612Salaries and Wages 55000 57L37 2107

Administrative expenses 66000 69187 3187

Packing and forwarding expenses 70000 73827 3824

Interest paid 150000 157267 7267

Loan Repaid 420000 612715 192715

Fixed asset purchased 75168 130023 54855

Total Payment 3356168 3845148 388947

(Receipt-Payment)

Closing Balance 84800 46391

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3536

61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1336

39

DIAGRAM - IV ndash 3 (A)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2008-09

983095983091983094983088983088983088

983091983094983088983088983088983088983088

983089983088983088983088983088983088983088

983089983091983091983097983089983094

983091983092983089983095983095983088983088

983095983094983093983095983094983090983090

983088

983089983088983088983088983088983088983088

983090983088983088983088983088983088983088

983091983088983088983088983088983088983088

983092983088983088983088983088983088983088

983093983088983088983088983088983088983088

983094983088983088983088983088983088983088

983095983088983088983088983088983088983088

983096983088983088983088983088983088983088

983097983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1436

40

TABLE - IV ndash 3 (B)

Dharani Sugars and Chemical Limited

Production Budget in the year 2009-10

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closhing

Stock

1380000

200000

67500

12000

9000000

250000

80000000

40000000

(-) Budgeted

Opening stock

200000 12000 250000 4000000

Budgeted

Production

1380000 67500 9000000 8000000

Assumption

All Production has been treated as sales

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1536

41

Actual Production

Particular Sugar Qty

in Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return Add

Closing

Stock

1380716

216611

23216

16657

10460887

250442

43020800

(+)Transfer to

distillery own

consumption

- 35499 900 27715200

Total

(-)Opening

stock

1597327

283193

75372

8303

10712229

830174

707

36000

Actual

Production

1314134 67069 9882055 7073600

0

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1636

42

Interpretation

1 The table IV - 3 (b) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1380 lakhs quintals as against

actual production 1314 lakhs quintals This is dully sugar content

available in the sugar cane

3 The molasses production is 67069 lares as against Budget quantity of

67500

4 The company is estimated sprit production only 90 lakhs liters But the

company actual produced 9882 lakhs liters this is mainly due to molassesavailability

5 The company is estimated power unit in 800 lakhs units But the

company produced 70736 lakhs unit It is mainly due to Baggage

availability and own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1736

43

DIAGRAM ndash IV - 3 (b)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2009-10

983089983091983096983088983088983088983088

983094983095983093983088983088983088983088

983097983088983088983088983088983088983088

983089983091983089983092983089983091983092

983094983095983088983094983097983088983088

983097983096983096983090983088983093983093

983088

983090983088983088983088983088983088983088

983092983088983088983088983088983088983088

983094983088983088983088983088983088983088

983096983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983089983090983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1836

44

TABLE - IV ndash 3 (C)

Dharani Sugars and Chemical Limited

Production Budget in the year 2010-2011

Particular Sugar Qty in

Quintals

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1656000

200000

81000

12000

9000000

250000

80000000

-

Less Budgeted

Opening stock

200000 12000 250000 -

Budgeted

Production

1656000 81000 9000000 80000000

Assumption -

All Production has been treated as sales

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1936

45

Actual Production

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1316329

283097

44954

8061

9525923

224844

33528800

(+) Transfer to

distillery own

consumption

- 36000 900 28503775

Total 1599423 89015 9751667 62032575

(-) Opening

stock

216611 16657 250442 -

Actual

Production

1382812 72358 9501225 62032575

(Source Secondary data)

Interpretation

1 The table IV 3(c) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1656 lakhs quintals as against

actual production 1382 lakhs quintals This is dully sugar contant

available in the sugar cane

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2036

46

3 The molasses production is 72358 tones as against Budget quantity

Rs81000

4 The company is estimated sprit production only 90 lakhs liters But the

company actual production 9501 lakhs liters This is mainly due to

molasses availability

5 The company is estimated power unit in 800 lakhs unit But the company

product 62032 lakhs unit It is mainly due to Baggage availability and

own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2136

47

DIAGRAM ndash IV ndash 3 (c)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2010-11

983089983094983093983094983088983088983088

983096983089983088983088983088983088983088

983097983088983088983088983088983088983088

983089983091983096983090983096983089983090

983095983090983091983093983096983088983088

983097983093983088983089983090983090983093

983088

983089983088983088983088983088983088983088

983090983088983088983088983088983088983088

983091983088983088983088983088983088983088

983092983088983088983088983088983088983088

983093983088983088983088983088983088983088

983094983088983088983088983088983088983088

983095983088983088983088983088983088983088

983096983088983088983088983088983088983088

983097983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2236

48

TABLE ndash IV ndash 4 (A)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2008 ndash 2009

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 11776 2889684 1712084

Molasses - 2830 2830

Bagasse 300 8498 21502

Industrial Alcohol 1800 187851 7851

Power 918 183800 92076

(Source Secondary data)

Interpretation

1 The table IV 4 (a) represents that the sugar sales are higher as compared

to Budget the varience is 1712084 lakhs is mainly more off log

2 Baggage sales are less as compared to Budget the variance is Rs21502

lakhs Mainly due to consumption at Baggage is more use of generating

power

3 Industrial Alcohol sales are less as compare to the Budget the variance is

Rs7851 lakhs

4 Power sales are higher as compare to Budget Rs92076 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2336

49

DIAGRAM ndash IV ndash 4 (a)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2008 ndash 09

983089983089983095983095983094

983097983089983096 983089983096983088983088

983090983096983096983097983094

983089983096983091983096 983089983096983095983096

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983091983093983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2436

50

TABLE ndash IV ndash 4 (B)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2009 ndash 2010

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 23460 2393392 47392

Molasses - 22598 22598

Bagasse 565 41120 15380

Industrial Alcohol 1800 244182 64182

Power 1224 122539 3139

(Source Secondary data)

Interpretation

1 The table IV - 4 (b) represents that the sugar sales is higher as

compared to Budget the variance is 47392 lakhs is mainly more off

tag

2 Baggage sales are less as compared to Budget the variance is Rs

1538 lakhs mainly due to consumption at Baggage is more use for

generating power

3 Industrial Alcohol sales are less as compare to the Budget the variance

is Rs64182 lakhs

4 Power sales are higher as compare to Budget Rs3139 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2536

51

DIAGRAM ndash IV ndash 4 (b)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2009 - 10

983090983091983092983094983088

983089983090983090983092 983089983096983088983088

983090983091983097983091983091

983089983090983090983093983090983092983092983089

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2636

52

TABLE ndash IV ndash 4 (C)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2010 ndash 2011

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 26496 1663691 985909

Molasses 983085 22895 22895

Bagasse 675 28673 38827

Industrial Alcohol 1800 237776 57776

Power 1224 102725 19675

(Source Secondary data)

Interpretation

1 The table IV - 4 (c) represents that the sugar sales is higher as compared to

Budget the variance is 985909 lakhs is mainly more off tag

2 Baggage sales is less as compare to Budget the variance is Rs37827

lakhs mainly due to consumption at Baggage is more use for generating

power

3 Industrial Alcohol sales are less as compared to the Budget the variance is

Rs57776 lakhs

4 Power sales are higher as compare to Budget Rs 19675 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2736

53

DIAGRAM ndash IV ndash 4 (c)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2010 - 11

983090983094983092983097983094

983089983090983090983092 983089983096983088983088

983089983094983094983091983094

983089983088983090983095983090983091983095983095

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2836

54

TABLE ndash IV ndash 5 (a)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2008 ndash 2009

Particular Budget Rs in

Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 9957 9957

Receipt

Sales 3000000 3085100 85100

Other income 8000 894100 941

Loan Received - - -

Investment Received 97543 - 109500

Total Receipt 3105543 3094041 193541

Payment

Purchase of Raw material 1800000 1831857 -31857

Repayment of creditors 190000 198755 -8755

Fuel for-cogeneration 170000 180686 10686

Stores and spares consumed 50000 51962 1962

Salaries and wages 52000 55107 3107

Administrative expenses 60000 60778 778

Packing expenses 70000 73824 -3824

Interest 160000 162467 -2467

Loan Repaid 410000 416750 6750

Fixed asset purchased 10000 11202 -1202

Total Payment 2972000 3043397 71397

Opening Balance + ReceiptPayment

Closing Balance 143500 606015

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2936

55

Interpretation

1 The table IV - 5 (a) represents that the firm estimated total receipt

Rs3105543 lakhs But the company gets total receipt Rs3094041 lakhs

The variance is Rsl 1502 lakhs This variance is unfavorable

2 The actual total payment is increased Rs71397 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3036

56

DIAGRAM ndash IV ndash 5 (a)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2008 - 09

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3136

57

TABLE ndash IV ndash 5 (b)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2009 ndash 2010

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 60601 60601

Receipt

Sales 2555000 2725064 169064

Other income 5000 17279 8279Loan Received 200000 313264 113264

Investment Received - - -

Total Receipt 2764000 3116208 290607

Payment

Purchase of Raw material 1813000 1756750 56350

Repayment of creditors 113300 - 113300

Fuel for-cogeneration - -983085

Stores and spares consumed 65000 73693 8693Salaries and wages 65000 67923 2923

Administrative expenses 30000 40866 10866

Packing expenses 56000 117714 61914

Interest 180000 186505 6505

Loan Repaid 300000 292385 -5684

Fixed asset purchased 60601983085

-60601

Total Payment

Opening Balance + Receipt Payment

Closing Balance

2682901 2784240 148493

141700 331968

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3236

58

Interpretation

1 The table IV - 5 (b) represents that the firm estimated total receipt

Rs27640 lakhs But the company gets total receipt Rs3116208

lakhs The variance is Rs352208 lakhs It is favorable

2 The actual total payment is increased Rs101339 lakhs as compare

to Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3336

59

DIAGRAM ndash IV ndash 5 (b)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2009 - 10

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3436

60

TABLE ndash IV ndash 5 (C)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2010 ndash 2011

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 331968 331968

Receipt

Sales 3100000 35500 50000Other income 9000 9571 571

Loan Received - - -

Total Receipt 3109000 3559571 50571

Payment

Purchase of Raw material 2100000 2231857 31857

Repayment of Creditors 150000 161355 11355

Fuel for Cogeneration 190000 263168 73168

Stores and spares consumed 80000 88612 8612Salaries and Wages 55000 57L37 2107

Administrative expenses 66000 69187 3187

Packing and forwarding expenses 70000 73827 3824

Interest paid 150000 157267 7267

Loan Repaid 420000 612715 192715

Fixed asset purchased 75168 130023 54855

Total Payment 3356168 3845148 388947

(Receipt-Payment)

Closing Balance 84800 46391

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3536

61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1436

40

TABLE - IV ndash 3 (B)

Dharani Sugars and Chemical Limited

Production Budget in the year 2009-10

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closhing

Stock

1380000

200000

67500

12000

9000000

250000

80000000

40000000

(-) Budgeted

Opening stock

200000 12000 250000 4000000

Budgeted

Production

1380000 67500 9000000 8000000

Assumption

All Production has been treated as sales

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1536

41

Actual Production

Particular Sugar Qty

in Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return Add

Closing

Stock

1380716

216611

23216

16657

10460887

250442

43020800

(+)Transfer to

distillery own

consumption

- 35499 900 27715200

Total

(-)Opening

stock

1597327

283193

75372

8303

10712229

830174

707

36000

Actual

Production

1314134 67069 9882055 7073600

0

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1636

42

Interpretation

1 The table IV - 3 (b) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1380 lakhs quintals as against

actual production 1314 lakhs quintals This is dully sugar content

available in the sugar cane

3 The molasses production is 67069 lares as against Budget quantity of

67500

4 The company is estimated sprit production only 90 lakhs liters But the

company actual produced 9882 lakhs liters this is mainly due to molassesavailability

5 The company is estimated power unit in 800 lakhs units But the

company produced 70736 lakhs unit It is mainly due to Baggage

availability and own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1736

43

DIAGRAM ndash IV - 3 (b)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2009-10

983089983091983096983088983088983088983088

983094983095983093983088983088983088983088

983097983088983088983088983088983088983088

983089983091983089983092983089983091983092

983094983095983088983094983097983088983088

983097983096983096983090983088983093983093

983088

983090983088983088983088983088983088983088

983092983088983088983088983088983088983088

983094983088983088983088983088983088983088

983096983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983089983090983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1836

44

TABLE - IV ndash 3 (C)

Dharani Sugars and Chemical Limited

Production Budget in the year 2010-2011

Particular Sugar Qty in

Quintals

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1656000

200000

81000

12000

9000000

250000

80000000

-

Less Budgeted

Opening stock

200000 12000 250000 -

Budgeted

Production

1656000 81000 9000000 80000000

Assumption -

All Production has been treated as sales

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1936

45

Actual Production

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1316329

283097

44954

8061

9525923

224844

33528800

(+) Transfer to

distillery own

consumption

- 36000 900 28503775

Total 1599423 89015 9751667 62032575

(-) Opening

stock

216611 16657 250442 -

Actual

Production

1382812 72358 9501225 62032575

(Source Secondary data)

Interpretation

1 The table IV 3(c) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1656 lakhs quintals as against

actual production 1382 lakhs quintals This is dully sugar contant

available in the sugar cane

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2036

46

3 The molasses production is 72358 tones as against Budget quantity

Rs81000

4 The company is estimated sprit production only 90 lakhs liters But the

company actual production 9501 lakhs liters This is mainly due to

molasses availability

5 The company is estimated power unit in 800 lakhs unit But the company

product 62032 lakhs unit It is mainly due to Baggage availability and

own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2136

47

DIAGRAM ndash IV ndash 3 (c)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2010-11

983089983094983093983094983088983088983088

983096983089983088983088983088983088983088

983097983088983088983088983088983088983088

983089983091983096983090983096983089983090

983095983090983091983093983096983088983088

983097983093983088983089983090983090983093

983088

983089983088983088983088983088983088983088

983090983088983088983088983088983088983088

983091983088983088983088983088983088983088

983092983088983088983088983088983088983088

983093983088983088983088983088983088983088

983094983088983088983088983088983088983088

983095983088983088983088983088983088983088

983096983088983088983088983088983088983088

983097983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2236

48

TABLE ndash IV ndash 4 (A)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2008 ndash 2009

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 11776 2889684 1712084

Molasses - 2830 2830

Bagasse 300 8498 21502

Industrial Alcohol 1800 187851 7851

Power 918 183800 92076

(Source Secondary data)

Interpretation

1 The table IV 4 (a) represents that the sugar sales are higher as compared

to Budget the varience is 1712084 lakhs is mainly more off log

2 Baggage sales are less as compared to Budget the variance is Rs21502

lakhs Mainly due to consumption at Baggage is more use of generating

power

3 Industrial Alcohol sales are less as compare to the Budget the variance is

Rs7851 lakhs

4 Power sales are higher as compare to Budget Rs92076 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2336

49

DIAGRAM ndash IV ndash 4 (a)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2008 ndash 09

983089983089983095983095983094

983097983089983096 983089983096983088983088

983090983096983096983097983094

983089983096983091983096 983089983096983095983096

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983091983093983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2436

50

TABLE ndash IV ndash 4 (B)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2009 ndash 2010

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 23460 2393392 47392

Molasses - 22598 22598

Bagasse 565 41120 15380

Industrial Alcohol 1800 244182 64182

Power 1224 122539 3139

(Source Secondary data)

Interpretation

1 The table IV - 4 (b) represents that the sugar sales is higher as

compared to Budget the variance is 47392 lakhs is mainly more off

tag

2 Baggage sales are less as compared to Budget the variance is Rs

1538 lakhs mainly due to consumption at Baggage is more use for

generating power

3 Industrial Alcohol sales are less as compare to the Budget the variance

is Rs64182 lakhs

4 Power sales are higher as compare to Budget Rs3139 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2536

51

DIAGRAM ndash IV ndash 4 (b)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2009 - 10

983090983091983092983094983088

983089983090983090983092 983089983096983088983088

983090983091983097983091983091

983089983090983090983093983090983092983092983089

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2636

52

TABLE ndash IV ndash 4 (C)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2010 ndash 2011

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 26496 1663691 985909

Molasses 983085 22895 22895

Bagasse 675 28673 38827

Industrial Alcohol 1800 237776 57776

Power 1224 102725 19675

(Source Secondary data)

Interpretation

1 The table IV - 4 (c) represents that the sugar sales is higher as compared to

Budget the variance is 985909 lakhs is mainly more off tag

2 Baggage sales is less as compare to Budget the variance is Rs37827

lakhs mainly due to consumption at Baggage is more use for generating

power

3 Industrial Alcohol sales are less as compared to the Budget the variance is

Rs57776 lakhs

4 Power sales are higher as compare to Budget Rs 19675 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2736

53

DIAGRAM ndash IV ndash 4 (c)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2010 - 11

983090983094983092983097983094

983089983090983090983092 983089983096983088983088

983089983094983094983091983094

983089983088983090983095983090983091983095983095

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2836

54

TABLE ndash IV ndash 5 (a)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2008 ndash 2009

Particular Budget Rs in

Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 9957 9957

Receipt

Sales 3000000 3085100 85100

Other income 8000 894100 941

Loan Received - - -

Investment Received 97543 - 109500

Total Receipt 3105543 3094041 193541

Payment

Purchase of Raw material 1800000 1831857 -31857

Repayment of creditors 190000 198755 -8755

Fuel for-cogeneration 170000 180686 10686

Stores and spares consumed 50000 51962 1962

Salaries and wages 52000 55107 3107

Administrative expenses 60000 60778 778

Packing expenses 70000 73824 -3824

Interest 160000 162467 -2467

Loan Repaid 410000 416750 6750

Fixed asset purchased 10000 11202 -1202

Total Payment 2972000 3043397 71397

Opening Balance + ReceiptPayment

Closing Balance 143500 606015

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2936

55

Interpretation

1 The table IV - 5 (a) represents that the firm estimated total receipt

Rs3105543 lakhs But the company gets total receipt Rs3094041 lakhs

The variance is Rsl 1502 lakhs This variance is unfavorable

2 The actual total payment is increased Rs71397 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3036

56

DIAGRAM ndash IV ndash 5 (a)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2008 - 09

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3136

57

TABLE ndash IV ndash 5 (b)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2009 ndash 2010

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 60601 60601

Receipt

Sales 2555000 2725064 169064

Other income 5000 17279 8279Loan Received 200000 313264 113264

Investment Received - - -

Total Receipt 2764000 3116208 290607

Payment

Purchase of Raw material 1813000 1756750 56350

Repayment of creditors 113300 - 113300

Fuel for-cogeneration - -983085

Stores and spares consumed 65000 73693 8693Salaries and wages 65000 67923 2923

Administrative expenses 30000 40866 10866

Packing expenses 56000 117714 61914

Interest 180000 186505 6505

Loan Repaid 300000 292385 -5684

Fixed asset purchased 60601983085

-60601

Total Payment

Opening Balance + Receipt Payment

Closing Balance

2682901 2784240 148493

141700 331968

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3236

58

Interpretation

1 The table IV - 5 (b) represents that the firm estimated total receipt

Rs27640 lakhs But the company gets total receipt Rs3116208

lakhs The variance is Rs352208 lakhs It is favorable

2 The actual total payment is increased Rs101339 lakhs as compare

to Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3336

59

DIAGRAM ndash IV ndash 5 (b)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2009 - 10

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3436

60

TABLE ndash IV ndash 5 (C)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2010 ndash 2011

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 331968 331968

Receipt

Sales 3100000 35500 50000Other income 9000 9571 571

Loan Received - - -

Total Receipt 3109000 3559571 50571

Payment

Purchase of Raw material 2100000 2231857 31857

Repayment of Creditors 150000 161355 11355

Fuel for Cogeneration 190000 263168 73168

Stores and spares consumed 80000 88612 8612Salaries and Wages 55000 57L37 2107

Administrative expenses 66000 69187 3187

Packing and forwarding expenses 70000 73827 3824

Interest paid 150000 157267 7267

Loan Repaid 420000 612715 192715

Fixed asset purchased 75168 130023 54855

Total Payment 3356168 3845148 388947

(Receipt-Payment)

Closing Balance 84800 46391

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3536

61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1536

41

Actual Production

Particular Sugar Qty

in Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return Add

Closing

Stock

1380716

216611

23216

16657

10460887

250442

43020800

(+)Transfer to

distillery own

consumption

- 35499 900 27715200

Total

(-)Opening

stock

1597327

283193

75372

8303

10712229

830174

707

36000

Actual

Production

1314134 67069 9882055 7073600

0

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1636

42

Interpretation

1 The table IV - 3 (b) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1380 lakhs quintals as against

actual production 1314 lakhs quintals This is dully sugar content

available in the sugar cane

3 The molasses production is 67069 lares as against Budget quantity of

67500

4 The company is estimated sprit production only 90 lakhs liters But the

company actual produced 9882 lakhs liters this is mainly due to molassesavailability

5 The company is estimated power unit in 800 lakhs units But the

company produced 70736 lakhs unit It is mainly due to Baggage

availability and own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1736

43

DIAGRAM ndash IV - 3 (b)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2009-10

983089983091983096983088983088983088983088

983094983095983093983088983088983088983088

983097983088983088983088983088983088983088

983089983091983089983092983089983091983092

983094983095983088983094983097983088983088

983097983096983096983090983088983093983093

983088

983090983088983088983088983088983088983088

983092983088983088983088983088983088983088

983094983088983088983088983088983088983088

983096983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983089983090983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1836

44

TABLE - IV ndash 3 (C)

Dharani Sugars and Chemical Limited

Production Budget in the year 2010-2011

Particular Sugar Qty in

Quintals

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1656000

200000

81000

12000

9000000

250000

80000000

-

Less Budgeted

Opening stock

200000 12000 250000 -

Budgeted

Production

1656000 81000 9000000 80000000

Assumption -

All Production has been treated as sales

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1936

45

Actual Production

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1316329

283097

44954

8061

9525923

224844

33528800

(+) Transfer to

distillery own

consumption

- 36000 900 28503775

Total 1599423 89015 9751667 62032575

(-) Opening

stock

216611 16657 250442 -

Actual

Production

1382812 72358 9501225 62032575

(Source Secondary data)

Interpretation

1 The table IV 3(c) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1656 lakhs quintals as against

actual production 1382 lakhs quintals This is dully sugar contant

available in the sugar cane

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2036

46

3 The molasses production is 72358 tones as against Budget quantity

Rs81000

4 The company is estimated sprit production only 90 lakhs liters But the

company actual production 9501 lakhs liters This is mainly due to

molasses availability

5 The company is estimated power unit in 800 lakhs unit But the company

product 62032 lakhs unit It is mainly due to Baggage availability and

own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2136

47

DIAGRAM ndash IV ndash 3 (c)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2010-11

983089983094983093983094983088983088983088

983096983089983088983088983088983088983088

983097983088983088983088983088983088983088

983089983091983096983090983096983089983090

983095983090983091983093983096983088983088

983097983093983088983089983090983090983093

983088

983089983088983088983088983088983088983088

983090983088983088983088983088983088983088

983091983088983088983088983088983088983088

983092983088983088983088983088983088983088

983093983088983088983088983088983088983088

983094983088983088983088983088983088983088

983095983088983088983088983088983088983088

983096983088983088983088983088983088983088

983097983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2236

48

TABLE ndash IV ndash 4 (A)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2008 ndash 2009

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 11776 2889684 1712084

Molasses - 2830 2830

Bagasse 300 8498 21502

Industrial Alcohol 1800 187851 7851

Power 918 183800 92076

(Source Secondary data)

Interpretation

1 The table IV 4 (a) represents that the sugar sales are higher as compared

to Budget the varience is 1712084 lakhs is mainly more off log

2 Baggage sales are less as compared to Budget the variance is Rs21502

lakhs Mainly due to consumption at Baggage is more use of generating

power

3 Industrial Alcohol sales are less as compare to the Budget the variance is

Rs7851 lakhs

4 Power sales are higher as compare to Budget Rs92076 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2336

49

DIAGRAM ndash IV ndash 4 (a)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2008 ndash 09

983089983089983095983095983094

983097983089983096 983089983096983088983088

983090983096983096983097983094

983089983096983091983096 983089983096983095983096

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983091983093983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2436

50

TABLE ndash IV ndash 4 (B)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2009 ndash 2010

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 23460 2393392 47392

Molasses - 22598 22598

Bagasse 565 41120 15380

Industrial Alcohol 1800 244182 64182

Power 1224 122539 3139

(Source Secondary data)

Interpretation

1 The table IV - 4 (b) represents that the sugar sales is higher as

compared to Budget the variance is 47392 lakhs is mainly more off

tag

2 Baggage sales are less as compared to Budget the variance is Rs

1538 lakhs mainly due to consumption at Baggage is more use for

generating power

3 Industrial Alcohol sales are less as compare to the Budget the variance

is Rs64182 lakhs

4 Power sales are higher as compare to Budget Rs3139 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2536

51

DIAGRAM ndash IV ndash 4 (b)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2009 - 10

983090983091983092983094983088

983089983090983090983092 983089983096983088983088

983090983091983097983091983091

983089983090983090983093983090983092983092983089

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2636

52

TABLE ndash IV ndash 4 (C)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2010 ndash 2011

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 26496 1663691 985909

Molasses 983085 22895 22895

Bagasse 675 28673 38827

Industrial Alcohol 1800 237776 57776

Power 1224 102725 19675

(Source Secondary data)

Interpretation

1 The table IV - 4 (c) represents that the sugar sales is higher as compared to

Budget the variance is 985909 lakhs is mainly more off tag

2 Baggage sales is less as compare to Budget the variance is Rs37827

lakhs mainly due to consumption at Baggage is more use for generating

power

3 Industrial Alcohol sales are less as compared to the Budget the variance is

Rs57776 lakhs

4 Power sales are higher as compare to Budget Rs 19675 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2736

53

DIAGRAM ndash IV ndash 4 (c)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2010 - 11

983090983094983092983097983094

983089983090983090983092 983089983096983088983088

983089983094983094983091983094

983089983088983090983095983090983091983095983095

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2836

54

TABLE ndash IV ndash 5 (a)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2008 ndash 2009

Particular Budget Rs in

Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 9957 9957

Receipt

Sales 3000000 3085100 85100

Other income 8000 894100 941

Loan Received - - -

Investment Received 97543 - 109500

Total Receipt 3105543 3094041 193541

Payment

Purchase of Raw material 1800000 1831857 -31857

Repayment of creditors 190000 198755 -8755

Fuel for-cogeneration 170000 180686 10686

Stores and spares consumed 50000 51962 1962

Salaries and wages 52000 55107 3107

Administrative expenses 60000 60778 778

Packing expenses 70000 73824 -3824

Interest 160000 162467 -2467

Loan Repaid 410000 416750 6750

Fixed asset purchased 10000 11202 -1202

Total Payment 2972000 3043397 71397

Opening Balance + ReceiptPayment

Closing Balance 143500 606015

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2936

55

Interpretation

1 The table IV - 5 (a) represents that the firm estimated total receipt

Rs3105543 lakhs But the company gets total receipt Rs3094041 lakhs

The variance is Rsl 1502 lakhs This variance is unfavorable

2 The actual total payment is increased Rs71397 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3036

56

DIAGRAM ndash IV ndash 5 (a)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2008 - 09

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3136

57

TABLE ndash IV ndash 5 (b)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2009 ndash 2010

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 60601 60601

Receipt

Sales 2555000 2725064 169064

Other income 5000 17279 8279Loan Received 200000 313264 113264

Investment Received - - -

Total Receipt 2764000 3116208 290607

Payment

Purchase of Raw material 1813000 1756750 56350

Repayment of creditors 113300 - 113300

Fuel for-cogeneration - -983085

Stores and spares consumed 65000 73693 8693Salaries and wages 65000 67923 2923

Administrative expenses 30000 40866 10866

Packing expenses 56000 117714 61914

Interest 180000 186505 6505

Loan Repaid 300000 292385 -5684

Fixed asset purchased 60601983085

-60601

Total Payment

Opening Balance + Receipt Payment

Closing Balance

2682901 2784240 148493

141700 331968

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3236

58

Interpretation

1 The table IV - 5 (b) represents that the firm estimated total receipt

Rs27640 lakhs But the company gets total receipt Rs3116208

lakhs The variance is Rs352208 lakhs It is favorable

2 The actual total payment is increased Rs101339 lakhs as compare

to Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3336

59

DIAGRAM ndash IV ndash 5 (b)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2009 - 10

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3436

60

TABLE ndash IV ndash 5 (C)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2010 ndash 2011

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 331968 331968

Receipt

Sales 3100000 35500 50000Other income 9000 9571 571

Loan Received - - -

Total Receipt 3109000 3559571 50571

Payment

Purchase of Raw material 2100000 2231857 31857

Repayment of Creditors 150000 161355 11355

Fuel for Cogeneration 190000 263168 73168

Stores and spares consumed 80000 88612 8612Salaries and Wages 55000 57L37 2107

Administrative expenses 66000 69187 3187

Packing and forwarding expenses 70000 73827 3824

Interest paid 150000 157267 7267

Loan Repaid 420000 612715 192715

Fixed asset purchased 75168 130023 54855

Total Payment 3356168 3845148 388947

(Receipt-Payment)

Closing Balance 84800 46391

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3536

61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1636

42

Interpretation

1 The table IV - 3 (b) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1380 lakhs quintals as against

actual production 1314 lakhs quintals This is dully sugar content

available in the sugar cane

3 The molasses production is 67069 lares as against Budget quantity of

67500

4 The company is estimated sprit production only 90 lakhs liters But the

company actual produced 9882 lakhs liters this is mainly due to molassesavailability

5 The company is estimated power unit in 800 lakhs units But the

company produced 70736 lakhs unit It is mainly due to Baggage

availability and own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1736

43

DIAGRAM ndash IV - 3 (b)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2009-10

983089983091983096983088983088983088983088

983094983095983093983088983088983088983088

983097983088983088983088983088983088983088

983089983091983089983092983089983091983092

983094983095983088983094983097983088983088

983097983096983096983090983088983093983093

983088

983090983088983088983088983088983088983088

983092983088983088983088983088983088983088

983094983088983088983088983088983088983088

983096983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983089983090983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1836

44

TABLE - IV ndash 3 (C)

Dharani Sugars and Chemical Limited

Production Budget in the year 2010-2011

Particular Sugar Qty in

Quintals

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1656000

200000

81000

12000

9000000

250000

80000000

-

Less Budgeted

Opening stock

200000 12000 250000 -

Budgeted

Production

1656000 81000 9000000 80000000

Assumption -

All Production has been treated as sales

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1936

45

Actual Production

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1316329

283097

44954

8061

9525923

224844

33528800

(+) Transfer to

distillery own

consumption

- 36000 900 28503775

Total 1599423 89015 9751667 62032575

(-) Opening

stock

216611 16657 250442 -

Actual

Production

1382812 72358 9501225 62032575

(Source Secondary data)

Interpretation

1 The table IV 3(c) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1656 lakhs quintals as against

actual production 1382 lakhs quintals This is dully sugar contant

available in the sugar cane

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2036

46

3 The molasses production is 72358 tones as against Budget quantity

Rs81000

4 The company is estimated sprit production only 90 lakhs liters But the

company actual production 9501 lakhs liters This is mainly due to

molasses availability

5 The company is estimated power unit in 800 lakhs unit But the company

product 62032 lakhs unit It is mainly due to Baggage availability and

own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2136

47

DIAGRAM ndash IV ndash 3 (c)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2010-11

983089983094983093983094983088983088983088

983096983089983088983088983088983088983088

983097983088983088983088983088983088983088

983089983091983096983090983096983089983090

983095983090983091983093983096983088983088

983097983093983088983089983090983090983093

983088

983089983088983088983088983088983088983088

983090983088983088983088983088983088983088

983091983088983088983088983088983088983088

983092983088983088983088983088983088983088

983093983088983088983088983088983088983088

983094983088983088983088983088983088983088

983095983088983088983088983088983088983088

983096983088983088983088983088983088983088

983097983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2236

48

TABLE ndash IV ndash 4 (A)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2008 ndash 2009

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 11776 2889684 1712084

Molasses - 2830 2830

Bagasse 300 8498 21502

Industrial Alcohol 1800 187851 7851

Power 918 183800 92076

(Source Secondary data)

Interpretation

1 The table IV 4 (a) represents that the sugar sales are higher as compared

to Budget the varience is 1712084 lakhs is mainly more off log

2 Baggage sales are less as compared to Budget the variance is Rs21502

lakhs Mainly due to consumption at Baggage is more use of generating

power

3 Industrial Alcohol sales are less as compare to the Budget the variance is

Rs7851 lakhs

4 Power sales are higher as compare to Budget Rs92076 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2336

49

DIAGRAM ndash IV ndash 4 (a)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2008 ndash 09

983089983089983095983095983094

983097983089983096 983089983096983088983088

983090983096983096983097983094

983089983096983091983096 983089983096983095983096

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983091983093983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2436

50

TABLE ndash IV ndash 4 (B)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2009 ndash 2010

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 23460 2393392 47392

Molasses - 22598 22598

Bagasse 565 41120 15380

Industrial Alcohol 1800 244182 64182

Power 1224 122539 3139

(Source Secondary data)

Interpretation

1 The table IV - 4 (b) represents that the sugar sales is higher as

compared to Budget the variance is 47392 lakhs is mainly more off

tag

2 Baggage sales are less as compared to Budget the variance is Rs

1538 lakhs mainly due to consumption at Baggage is more use for

generating power

3 Industrial Alcohol sales are less as compare to the Budget the variance

is Rs64182 lakhs

4 Power sales are higher as compare to Budget Rs3139 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2536

51

DIAGRAM ndash IV ndash 4 (b)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2009 - 10

983090983091983092983094983088

983089983090983090983092 983089983096983088983088

983090983091983097983091983091

983089983090983090983093983090983092983092983089

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2636

52

TABLE ndash IV ndash 4 (C)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2010 ndash 2011

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 26496 1663691 985909

Molasses 983085 22895 22895

Bagasse 675 28673 38827

Industrial Alcohol 1800 237776 57776

Power 1224 102725 19675

(Source Secondary data)

Interpretation

1 The table IV - 4 (c) represents that the sugar sales is higher as compared to

Budget the variance is 985909 lakhs is mainly more off tag

2 Baggage sales is less as compare to Budget the variance is Rs37827

lakhs mainly due to consumption at Baggage is more use for generating

power

3 Industrial Alcohol sales are less as compared to the Budget the variance is

Rs57776 lakhs

4 Power sales are higher as compare to Budget Rs 19675 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2736

53

DIAGRAM ndash IV ndash 4 (c)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2010 - 11

983090983094983092983097983094

983089983090983090983092 983089983096983088983088

983089983094983094983091983094

983089983088983090983095983090983091983095983095

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2836

54

TABLE ndash IV ndash 5 (a)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2008 ndash 2009

Particular Budget Rs in

Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 9957 9957

Receipt

Sales 3000000 3085100 85100

Other income 8000 894100 941

Loan Received - - -

Investment Received 97543 - 109500

Total Receipt 3105543 3094041 193541

Payment

Purchase of Raw material 1800000 1831857 -31857

Repayment of creditors 190000 198755 -8755

Fuel for-cogeneration 170000 180686 10686

Stores and spares consumed 50000 51962 1962

Salaries and wages 52000 55107 3107

Administrative expenses 60000 60778 778

Packing expenses 70000 73824 -3824

Interest 160000 162467 -2467

Loan Repaid 410000 416750 6750

Fixed asset purchased 10000 11202 -1202

Total Payment 2972000 3043397 71397

Opening Balance + ReceiptPayment

Closing Balance 143500 606015

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2936

55

Interpretation

1 The table IV - 5 (a) represents that the firm estimated total receipt

Rs3105543 lakhs But the company gets total receipt Rs3094041 lakhs

The variance is Rsl 1502 lakhs This variance is unfavorable

2 The actual total payment is increased Rs71397 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3036

56

DIAGRAM ndash IV ndash 5 (a)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2008 - 09

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3136

57

TABLE ndash IV ndash 5 (b)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2009 ndash 2010

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 60601 60601

Receipt

Sales 2555000 2725064 169064

Other income 5000 17279 8279Loan Received 200000 313264 113264

Investment Received - - -

Total Receipt 2764000 3116208 290607

Payment

Purchase of Raw material 1813000 1756750 56350

Repayment of creditors 113300 - 113300

Fuel for-cogeneration - -983085

Stores and spares consumed 65000 73693 8693Salaries and wages 65000 67923 2923

Administrative expenses 30000 40866 10866

Packing expenses 56000 117714 61914

Interest 180000 186505 6505

Loan Repaid 300000 292385 -5684

Fixed asset purchased 60601983085

-60601

Total Payment

Opening Balance + Receipt Payment

Closing Balance

2682901 2784240 148493

141700 331968

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3236

58

Interpretation

1 The table IV - 5 (b) represents that the firm estimated total receipt

Rs27640 lakhs But the company gets total receipt Rs3116208

lakhs The variance is Rs352208 lakhs It is favorable

2 The actual total payment is increased Rs101339 lakhs as compare

to Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3336

59

DIAGRAM ndash IV ndash 5 (b)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2009 - 10

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

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60

TABLE ndash IV ndash 5 (C)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2010 ndash 2011

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 331968 331968

Receipt

Sales 3100000 35500 50000Other income 9000 9571 571

Loan Received - - -

Total Receipt 3109000 3559571 50571

Payment

Purchase of Raw material 2100000 2231857 31857

Repayment of Creditors 150000 161355 11355

Fuel for Cogeneration 190000 263168 73168

Stores and spares consumed 80000 88612 8612Salaries and Wages 55000 57L37 2107

Administrative expenses 66000 69187 3187

Packing and forwarding expenses 70000 73827 3824

Interest paid 150000 157267 7267

Loan Repaid 420000 612715 192715

Fixed asset purchased 75168 130023 54855

Total Payment 3356168 3845148 388947

(Receipt-Payment)

Closing Balance 84800 46391

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3536

61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1736

43

DIAGRAM ndash IV - 3 (b)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2009-10

983089983091983096983088983088983088983088

983094983095983093983088983088983088983088

983097983088983088983088983088983088983088

983089983091983089983092983089983091983092

983094983095983088983094983097983088983088

983097983096983096983090983088983093983093

983088

983090983088983088983088983088983088983088

983092983088983088983088983088983088983088

983094983088983088983088983088983088983088

983096983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983089983090983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1836

44

TABLE - IV ndash 3 (C)

Dharani Sugars and Chemical Limited

Production Budget in the year 2010-2011

Particular Sugar Qty in

Quintals

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1656000

200000

81000

12000

9000000

250000

80000000

-

Less Budgeted

Opening stock

200000 12000 250000 -

Budgeted

Production

1656000 81000 9000000 80000000

Assumption -

All Production has been treated as sales

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1936

45

Actual Production

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1316329

283097

44954

8061

9525923

224844

33528800

(+) Transfer to

distillery own

consumption

- 36000 900 28503775

Total 1599423 89015 9751667 62032575

(-) Opening

stock

216611 16657 250442 -

Actual

Production

1382812 72358 9501225 62032575

(Source Secondary data)

Interpretation

1 The table IV 3(c) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1656 lakhs quintals as against

actual production 1382 lakhs quintals This is dully sugar contant

available in the sugar cane

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2036

46

3 The molasses production is 72358 tones as against Budget quantity

Rs81000

4 The company is estimated sprit production only 90 lakhs liters But the

company actual production 9501 lakhs liters This is mainly due to

molasses availability

5 The company is estimated power unit in 800 lakhs unit But the company

product 62032 lakhs unit It is mainly due to Baggage availability and

own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2136

47

DIAGRAM ndash IV ndash 3 (c)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2010-11

983089983094983093983094983088983088983088

983096983089983088983088983088983088983088

983097983088983088983088983088983088983088

983089983091983096983090983096983089983090

983095983090983091983093983096983088983088

983097983093983088983089983090983090983093

983088

983089983088983088983088983088983088983088

983090983088983088983088983088983088983088

983091983088983088983088983088983088983088

983092983088983088983088983088983088983088

983093983088983088983088983088983088983088

983094983088983088983088983088983088983088

983095983088983088983088983088983088983088

983096983088983088983088983088983088983088

983097983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2236

48

TABLE ndash IV ndash 4 (A)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2008 ndash 2009

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 11776 2889684 1712084

Molasses - 2830 2830

Bagasse 300 8498 21502

Industrial Alcohol 1800 187851 7851

Power 918 183800 92076

(Source Secondary data)

Interpretation

1 The table IV 4 (a) represents that the sugar sales are higher as compared

to Budget the varience is 1712084 lakhs is mainly more off log

2 Baggage sales are less as compared to Budget the variance is Rs21502

lakhs Mainly due to consumption at Baggage is more use of generating

power

3 Industrial Alcohol sales are less as compare to the Budget the variance is

Rs7851 lakhs

4 Power sales are higher as compare to Budget Rs92076 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2336

49

DIAGRAM ndash IV ndash 4 (a)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2008 ndash 09

983089983089983095983095983094

983097983089983096 983089983096983088983088

983090983096983096983097983094

983089983096983091983096 983089983096983095983096

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983091983093983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2436

50

TABLE ndash IV ndash 4 (B)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2009 ndash 2010

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 23460 2393392 47392

Molasses - 22598 22598

Bagasse 565 41120 15380

Industrial Alcohol 1800 244182 64182

Power 1224 122539 3139

(Source Secondary data)

Interpretation

1 The table IV - 4 (b) represents that the sugar sales is higher as

compared to Budget the variance is 47392 lakhs is mainly more off

tag

2 Baggage sales are less as compared to Budget the variance is Rs

1538 lakhs mainly due to consumption at Baggage is more use for

generating power

3 Industrial Alcohol sales are less as compare to the Budget the variance

is Rs64182 lakhs

4 Power sales are higher as compare to Budget Rs3139 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2536

51

DIAGRAM ndash IV ndash 4 (b)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2009 - 10

983090983091983092983094983088

983089983090983090983092 983089983096983088983088

983090983091983097983091983091

983089983090983090983093983090983092983092983089

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2636

52

TABLE ndash IV ndash 4 (C)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2010 ndash 2011

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 26496 1663691 985909

Molasses 983085 22895 22895

Bagasse 675 28673 38827

Industrial Alcohol 1800 237776 57776

Power 1224 102725 19675

(Source Secondary data)

Interpretation

1 The table IV - 4 (c) represents that the sugar sales is higher as compared to

Budget the variance is 985909 lakhs is mainly more off tag

2 Baggage sales is less as compare to Budget the variance is Rs37827

lakhs mainly due to consumption at Baggage is more use for generating

power

3 Industrial Alcohol sales are less as compared to the Budget the variance is

Rs57776 lakhs

4 Power sales are higher as compare to Budget Rs 19675 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2736

53

DIAGRAM ndash IV ndash 4 (c)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2010 - 11

983090983094983092983097983094

983089983090983090983092 983089983096983088983088

983089983094983094983091983094

983089983088983090983095983090983091983095983095

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2836

54

TABLE ndash IV ndash 5 (a)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2008 ndash 2009

Particular Budget Rs in

Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 9957 9957

Receipt

Sales 3000000 3085100 85100

Other income 8000 894100 941

Loan Received - - -

Investment Received 97543 - 109500

Total Receipt 3105543 3094041 193541

Payment

Purchase of Raw material 1800000 1831857 -31857

Repayment of creditors 190000 198755 -8755

Fuel for-cogeneration 170000 180686 10686

Stores and spares consumed 50000 51962 1962

Salaries and wages 52000 55107 3107

Administrative expenses 60000 60778 778

Packing expenses 70000 73824 -3824

Interest 160000 162467 -2467

Loan Repaid 410000 416750 6750

Fixed asset purchased 10000 11202 -1202

Total Payment 2972000 3043397 71397

Opening Balance + ReceiptPayment

Closing Balance 143500 606015

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2936

55

Interpretation

1 The table IV - 5 (a) represents that the firm estimated total receipt

Rs3105543 lakhs But the company gets total receipt Rs3094041 lakhs

The variance is Rsl 1502 lakhs This variance is unfavorable

2 The actual total payment is increased Rs71397 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3036

56

DIAGRAM ndash IV ndash 5 (a)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2008 - 09

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3136

57

TABLE ndash IV ndash 5 (b)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2009 ndash 2010

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 60601 60601

Receipt

Sales 2555000 2725064 169064

Other income 5000 17279 8279Loan Received 200000 313264 113264

Investment Received - - -

Total Receipt 2764000 3116208 290607

Payment

Purchase of Raw material 1813000 1756750 56350

Repayment of creditors 113300 - 113300

Fuel for-cogeneration - -983085

Stores and spares consumed 65000 73693 8693Salaries and wages 65000 67923 2923

Administrative expenses 30000 40866 10866

Packing expenses 56000 117714 61914

Interest 180000 186505 6505

Loan Repaid 300000 292385 -5684

Fixed asset purchased 60601983085

-60601

Total Payment

Opening Balance + Receipt Payment

Closing Balance

2682901 2784240 148493

141700 331968

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3236

58

Interpretation

1 The table IV - 5 (b) represents that the firm estimated total receipt

Rs27640 lakhs But the company gets total receipt Rs3116208

lakhs The variance is Rs352208 lakhs It is favorable

2 The actual total payment is increased Rs101339 lakhs as compare

to Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3336

59

DIAGRAM ndash IV ndash 5 (b)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2009 - 10

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3436

60

TABLE ndash IV ndash 5 (C)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2010 ndash 2011

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 331968 331968

Receipt

Sales 3100000 35500 50000Other income 9000 9571 571

Loan Received - - -

Total Receipt 3109000 3559571 50571

Payment

Purchase of Raw material 2100000 2231857 31857

Repayment of Creditors 150000 161355 11355

Fuel for Cogeneration 190000 263168 73168

Stores and spares consumed 80000 88612 8612Salaries and Wages 55000 57L37 2107

Administrative expenses 66000 69187 3187

Packing and forwarding expenses 70000 73827 3824

Interest paid 150000 157267 7267

Loan Repaid 420000 612715 192715

Fixed asset purchased 75168 130023 54855

Total Payment 3356168 3845148 388947

(Receipt-Payment)

Closing Balance 84800 46391

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3536

61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1836

44

TABLE - IV ndash 3 (C)

Dharani Sugars and Chemical Limited

Production Budget in the year 2010-2011

Particular Sugar Qty in

Quintals

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1656000

200000

81000

12000

9000000

250000

80000000

-

Less Budgeted

Opening stock

200000 12000 250000 -

Budgeted

Production

1656000 81000 9000000 80000000

Assumption -

All Production has been treated as sales

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1936

45

Actual Production

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1316329

283097

44954

8061

9525923

224844

33528800

(+) Transfer to

distillery own

consumption

- 36000 900 28503775

Total 1599423 89015 9751667 62032575

(-) Opening

stock

216611 16657 250442 -

Actual

Production

1382812 72358 9501225 62032575

(Source Secondary data)

Interpretation

1 The table IV 3(c) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1656 lakhs quintals as against

actual production 1382 lakhs quintals This is dully sugar contant

available in the sugar cane

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2036

46

3 The molasses production is 72358 tones as against Budget quantity

Rs81000

4 The company is estimated sprit production only 90 lakhs liters But the

company actual production 9501 lakhs liters This is mainly due to

molasses availability

5 The company is estimated power unit in 800 lakhs unit But the company

product 62032 lakhs unit It is mainly due to Baggage availability and

own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2136

47

DIAGRAM ndash IV ndash 3 (c)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2010-11

983089983094983093983094983088983088983088

983096983089983088983088983088983088983088

983097983088983088983088983088983088983088

983089983091983096983090983096983089983090

983095983090983091983093983096983088983088

983097983093983088983089983090983090983093

983088

983089983088983088983088983088983088983088

983090983088983088983088983088983088983088

983091983088983088983088983088983088983088

983092983088983088983088983088983088983088

983093983088983088983088983088983088983088

983094983088983088983088983088983088983088

983095983088983088983088983088983088983088

983096983088983088983088983088983088983088

983097983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2236

48

TABLE ndash IV ndash 4 (A)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2008 ndash 2009

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 11776 2889684 1712084

Molasses - 2830 2830

Bagasse 300 8498 21502

Industrial Alcohol 1800 187851 7851

Power 918 183800 92076

(Source Secondary data)

Interpretation

1 The table IV 4 (a) represents that the sugar sales are higher as compared

to Budget the varience is 1712084 lakhs is mainly more off log

2 Baggage sales are less as compared to Budget the variance is Rs21502

lakhs Mainly due to consumption at Baggage is more use of generating

power

3 Industrial Alcohol sales are less as compare to the Budget the variance is

Rs7851 lakhs

4 Power sales are higher as compare to Budget Rs92076 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2336

49

DIAGRAM ndash IV ndash 4 (a)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2008 ndash 09

983089983089983095983095983094

983097983089983096 983089983096983088983088

983090983096983096983097983094

983089983096983091983096 983089983096983095983096

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983091983093983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2436

50

TABLE ndash IV ndash 4 (B)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2009 ndash 2010

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 23460 2393392 47392

Molasses - 22598 22598

Bagasse 565 41120 15380

Industrial Alcohol 1800 244182 64182

Power 1224 122539 3139

(Source Secondary data)

Interpretation

1 The table IV - 4 (b) represents that the sugar sales is higher as

compared to Budget the variance is 47392 lakhs is mainly more off

tag

2 Baggage sales are less as compared to Budget the variance is Rs

1538 lakhs mainly due to consumption at Baggage is more use for

generating power

3 Industrial Alcohol sales are less as compare to the Budget the variance

is Rs64182 lakhs

4 Power sales are higher as compare to Budget Rs3139 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2536

51

DIAGRAM ndash IV ndash 4 (b)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2009 - 10

983090983091983092983094983088

983089983090983090983092 983089983096983088983088

983090983091983097983091983091

983089983090983090983093983090983092983092983089

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2636

52

TABLE ndash IV ndash 4 (C)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2010 ndash 2011

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 26496 1663691 985909

Molasses 983085 22895 22895

Bagasse 675 28673 38827

Industrial Alcohol 1800 237776 57776

Power 1224 102725 19675

(Source Secondary data)

Interpretation

1 The table IV - 4 (c) represents that the sugar sales is higher as compared to

Budget the variance is 985909 lakhs is mainly more off tag

2 Baggage sales is less as compare to Budget the variance is Rs37827

lakhs mainly due to consumption at Baggage is more use for generating

power

3 Industrial Alcohol sales are less as compared to the Budget the variance is

Rs57776 lakhs

4 Power sales are higher as compare to Budget Rs 19675 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2736

53

DIAGRAM ndash IV ndash 4 (c)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2010 - 11

983090983094983092983097983094

983089983090983090983092 983089983096983088983088

983089983094983094983091983094

983089983088983090983095983090983091983095983095

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2836

54

TABLE ndash IV ndash 5 (a)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2008 ndash 2009

Particular Budget Rs in

Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 9957 9957

Receipt

Sales 3000000 3085100 85100

Other income 8000 894100 941

Loan Received - - -

Investment Received 97543 - 109500

Total Receipt 3105543 3094041 193541

Payment

Purchase of Raw material 1800000 1831857 -31857

Repayment of creditors 190000 198755 -8755

Fuel for-cogeneration 170000 180686 10686

Stores and spares consumed 50000 51962 1962

Salaries and wages 52000 55107 3107

Administrative expenses 60000 60778 778

Packing expenses 70000 73824 -3824

Interest 160000 162467 -2467

Loan Repaid 410000 416750 6750

Fixed asset purchased 10000 11202 -1202

Total Payment 2972000 3043397 71397

Opening Balance + ReceiptPayment

Closing Balance 143500 606015

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2936

55

Interpretation

1 The table IV - 5 (a) represents that the firm estimated total receipt

Rs3105543 lakhs But the company gets total receipt Rs3094041 lakhs

The variance is Rsl 1502 lakhs This variance is unfavorable

2 The actual total payment is increased Rs71397 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3036

56

DIAGRAM ndash IV ndash 5 (a)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2008 - 09

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3136

57

TABLE ndash IV ndash 5 (b)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2009 ndash 2010

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 60601 60601

Receipt

Sales 2555000 2725064 169064

Other income 5000 17279 8279Loan Received 200000 313264 113264

Investment Received - - -

Total Receipt 2764000 3116208 290607

Payment

Purchase of Raw material 1813000 1756750 56350

Repayment of creditors 113300 - 113300

Fuel for-cogeneration - -983085

Stores and spares consumed 65000 73693 8693Salaries and wages 65000 67923 2923

Administrative expenses 30000 40866 10866

Packing expenses 56000 117714 61914

Interest 180000 186505 6505

Loan Repaid 300000 292385 -5684

Fixed asset purchased 60601983085

-60601

Total Payment

Opening Balance + Receipt Payment

Closing Balance

2682901 2784240 148493

141700 331968

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3236

58

Interpretation

1 The table IV - 5 (b) represents that the firm estimated total receipt

Rs27640 lakhs But the company gets total receipt Rs3116208

lakhs The variance is Rs352208 lakhs It is favorable

2 The actual total payment is increased Rs101339 lakhs as compare

to Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3336

59

DIAGRAM ndash IV ndash 5 (b)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2009 - 10

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3436

60

TABLE ndash IV ndash 5 (C)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2010 ndash 2011

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 331968 331968

Receipt

Sales 3100000 35500 50000Other income 9000 9571 571

Loan Received - - -

Total Receipt 3109000 3559571 50571

Payment

Purchase of Raw material 2100000 2231857 31857

Repayment of Creditors 150000 161355 11355

Fuel for Cogeneration 190000 263168 73168

Stores and spares consumed 80000 88612 8612Salaries and Wages 55000 57L37 2107

Administrative expenses 66000 69187 3187

Packing and forwarding expenses 70000 73827 3824

Interest paid 150000 157267 7267

Loan Repaid 420000 612715 192715

Fixed asset purchased 75168 130023 54855

Total Payment 3356168 3845148 388947

(Receipt-Payment)

Closing Balance 84800 46391

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3536

61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 1936

45

Actual Production

Particular Sugar Qty in

Quintal

Molasses Qty in

Metric tone

Industrial

Alcohol Qty

in liters

Power in Unit

Sales Less

Return

Add Closing

Stock

1316329

283097

44954

8061

9525923

224844

33528800

(+) Transfer to

distillery own

consumption

- 36000 900 28503775

Total 1599423 89015 9751667 62032575

(-) Opening

stock

216611 16657 250442 -

Actual

Production

1382812 72358 9501225 62032575

(Source Secondary data)

Interpretation

1 The table IV 3(c) represents that the company is assured that all the

production material has been sold

2 The Budgeted production of sugar is 1656 lakhs quintals as against

actual production 1382 lakhs quintals This is dully sugar contant

available in the sugar cane

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2036

46

3 The molasses production is 72358 tones as against Budget quantity

Rs81000

4 The company is estimated sprit production only 90 lakhs liters But the

company actual production 9501 lakhs liters This is mainly due to

molasses availability

5 The company is estimated power unit in 800 lakhs unit But the company

product 62032 lakhs unit It is mainly due to Baggage availability and

own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2136

47

DIAGRAM ndash IV ndash 3 (c)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2010-11

983089983094983093983094983088983088983088

983096983089983088983088983088983088983088

983097983088983088983088983088983088983088

983089983091983096983090983096983089983090

983095983090983091983093983096983088983088

983097983093983088983089983090983090983093

983088

983089983088983088983088983088983088983088

983090983088983088983088983088983088983088

983091983088983088983088983088983088983088

983092983088983088983088983088983088983088

983093983088983088983088983088983088983088

983094983088983088983088983088983088983088

983095983088983088983088983088983088983088

983096983088983088983088983088983088983088

983097983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2236

48

TABLE ndash IV ndash 4 (A)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2008 ndash 2009

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 11776 2889684 1712084

Molasses - 2830 2830

Bagasse 300 8498 21502

Industrial Alcohol 1800 187851 7851

Power 918 183800 92076

(Source Secondary data)

Interpretation

1 The table IV 4 (a) represents that the sugar sales are higher as compared

to Budget the varience is 1712084 lakhs is mainly more off log

2 Baggage sales are less as compared to Budget the variance is Rs21502

lakhs Mainly due to consumption at Baggage is more use of generating

power

3 Industrial Alcohol sales are less as compare to the Budget the variance is

Rs7851 lakhs

4 Power sales are higher as compare to Budget Rs92076 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2336

49

DIAGRAM ndash IV ndash 4 (a)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2008 ndash 09

983089983089983095983095983094

983097983089983096 983089983096983088983088

983090983096983096983097983094

983089983096983091983096 983089983096983095983096

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983091983093983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2436

50

TABLE ndash IV ndash 4 (B)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2009 ndash 2010

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 23460 2393392 47392

Molasses - 22598 22598

Bagasse 565 41120 15380

Industrial Alcohol 1800 244182 64182

Power 1224 122539 3139

(Source Secondary data)

Interpretation

1 The table IV - 4 (b) represents that the sugar sales is higher as

compared to Budget the variance is 47392 lakhs is mainly more off

tag

2 Baggage sales are less as compared to Budget the variance is Rs

1538 lakhs mainly due to consumption at Baggage is more use for

generating power

3 Industrial Alcohol sales are less as compare to the Budget the variance

is Rs64182 lakhs

4 Power sales are higher as compare to Budget Rs3139 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2536

51

DIAGRAM ndash IV ndash 4 (b)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2009 - 10

983090983091983092983094983088

983089983090983090983092 983089983096983088983088

983090983091983097983091983091

983089983090983090983093983090983092983092983089

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2636

52

TABLE ndash IV ndash 4 (C)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2010 ndash 2011

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 26496 1663691 985909

Molasses 983085 22895 22895

Bagasse 675 28673 38827

Industrial Alcohol 1800 237776 57776

Power 1224 102725 19675

(Source Secondary data)

Interpretation

1 The table IV - 4 (c) represents that the sugar sales is higher as compared to

Budget the variance is 985909 lakhs is mainly more off tag

2 Baggage sales is less as compare to Budget the variance is Rs37827

lakhs mainly due to consumption at Baggage is more use for generating

power

3 Industrial Alcohol sales are less as compared to the Budget the variance is

Rs57776 lakhs

4 Power sales are higher as compare to Budget Rs 19675 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2736

53

DIAGRAM ndash IV ndash 4 (c)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2010 - 11

983090983094983092983097983094

983089983090983090983092 983089983096983088983088

983089983094983094983091983094

983089983088983090983095983090983091983095983095

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2836

54

TABLE ndash IV ndash 5 (a)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2008 ndash 2009

Particular Budget Rs in

Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 9957 9957

Receipt

Sales 3000000 3085100 85100

Other income 8000 894100 941

Loan Received - - -

Investment Received 97543 - 109500

Total Receipt 3105543 3094041 193541

Payment

Purchase of Raw material 1800000 1831857 -31857

Repayment of creditors 190000 198755 -8755

Fuel for-cogeneration 170000 180686 10686

Stores and spares consumed 50000 51962 1962

Salaries and wages 52000 55107 3107

Administrative expenses 60000 60778 778

Packing expenses 70000 73824 -3824

Interest 160000 162467 -2467

Loan Repaid 410000 416750 6750

Fixed asset purchased 10000 11202 -1202

Total Payment 2972000 3043397 71397

Opening Balance + ReceiptPayment

Closing Balance 143500 606015

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2936

55

Interpretation

1 The table IV - 5 (a) represents that the firm estimated total receipt

Rs3105543 lakhs But the company gets total receipt Rs3094041 lakhs

The variance is Rsl 1502 lakhs This variance is unfavorable

2 The actual total payment is increased Rs71397 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3036

56

DIAGRAM ndash IV ndash 5 (a)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2008 - 09

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3136

57

TABLE ndash IV ndash 5 (b)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2009 ndash 2010

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 60601 60601

Receipt

Sales 2555000 2725064 169064

Other income 5000 17279 8279Loan Received 200000 313264 113264

Investment Received - - -

Total Receipt 2764000 3116208 290607

Payment

Purchase of Raw material 1813000 1756750 56350

Repayment of creditors 113300 - 113300

Fuel for-cogeneration - -983085

Stores and spares consumed 65000 73693 8693Salaries and wages 65000 67923 2923

Administrative expenses 30000 40866 10866

Packing expenses 56000 117714 61914

Interest 180000 186505 6505

Loan Repaid 300000 292385 -5684

Fixed asset purchased 60601983085

-60601

Total Payment

Opening Balance + Receipt Payment

Closing Balance

2682901 2784240 148493

141700 331968

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3236

58

Interpretation

1 The table IV - 5 (b) represents that the firm estimated total receipt

Rs27640 lakhs But the company gets total receipt Rs3116208

lakhs The variance is Rs352208 lakhs It is favorable

2 The actual total payment is increased Rs101339 lakhs as compare

to Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3336

59

DIAGRAM ndash IV ndash 5 (b)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2009 - 10

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3436

60

TABLE ndash IV ndash 5 (C)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2010 ndash 2011

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 331968 331968

Receipt

Sales 3100000 35500 50000Other income 9000 9571 571

Loan Received - - -

Total Receipt 3109000 3559571 50571

Payment

Purchase of Raw material 2100000 2231857 31857

Repayment of Creditors 150000 161355 11355

Fuel for Cogeneration 190000 263168 73168

Stores and spares consumed 80000 88612 8612Salaries and Wages 55000 57L37 2107

Administrative expenses 66000 69187 3187

Packing and forwarding expenses 70000 73827 3824

Interest paid 150000 157267 7267

Loan Repaid 420000 612715 192715

Fixed asset purchased 75168 130023 54855

Total Payment 3356168 3845148 388947

(Receipt-Payment)

Closing Balance 84800 46391

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3536

61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2036

46

3 The molasses production is 72358 tones as against Budget quantity

Rs81000

4 The company is estimated sprit production only 90 lakhs liters But the

company actual production 9501 lakhs liters This is mainly due to

molasses availability

5 The company is estimated power unit in 800 lakhs unit But the company

product 62032 lakhs unit It is mainly due to Baggage availability and

own consumption units

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2136

47

DIAGRAM ndash IV ndash 3 (c)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2010-11

983089983094983093983094983088983088983088

983096983089983088983088983088983088983088

983097983088983088983088983088983088983088

983089983091983096983090983096983089983090

983095983090983091983093983096983088983088

983097983093983088983089983090983090983093

983088

983089983088983088983088983088983088983088

983090983088983088983088983088983088983088

983091983088983088983088983088983088983088

983092983088983088983088983088983088983088

983093983088983088983088983088983088983088

983094983088983088983088983088983088983088

983095983088983088983088983088983088983088

983096983088983088983088983088983088983088

983097983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2236

48

TABLE ndash IV ndash 4 (A)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2008 ndash 2009

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 11776 2889684 1712084

Molasses - 2830 2830

Bagasse 300 8498 21502

Industrial Alcohol 1800 187851 7851

Power 918 183800 92076

(Source Secondary data)

Interpretation

1 The table IV 4 (a) represents that the sugar sales are higher as compared

to Budget the varience is 1712084 lakhs is mainly more off log

2 Baggage sales are less as compared to Budget the variance is Rs21502

lakhs Mainly due to consumption at Baggage is more use of generating

power

3 Industrial Alcohol sales are less as compare to the Budget the variance is

Rs7851 lakhs

4 Power sales are higher as compare to Budget Rs92076 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2336

49

DIAGRAM ndash IV ndash 4 (a)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2008 ndash 09

983089983089983095983095983094

983097983089983096 983089983096983088983088

983090983096983096983097983094

983089983096983091983096 983089983096983095983096

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983091983093983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2436

50

TABLE ndash IV ndash 4 (B)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2009 ndash 2010

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 23460 2393392 47392

Molasses - 22598 22598

Bagasse 565 41120 15380

Industrial Alcohol 1800 244182 64182

Power 1224 122539 3139

(Source Secondary data)

Interpretation

1 The table IV - 4 (b) represents that the sugar sales is higher as

compared to Budget the variance is 47392 lakhs is mainly more off

tag

2 Baggage sales are less as compared to Budget the variance is Rs

1538 lakhs mainly due to consumption at Baggage is more use for

generating power

3 Industrial Alcohol sales are less as compare to the Budget the variance

is Rs64182 lakhs

4 Power sales are higher as compare to Budget Rs3139 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2536

51

DIAGRAM ndash IV ndash 4 (b)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2009 - 10

983090983091983092983094983088

983089983090983090983092 983089983096983088983088

983090983091983097983091983091

983089983090983090983093983090983092983092983089

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2636

52

TABLE ndash IV ndash 4 (C)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2010 ndash 2011

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 26496 1663691 985909

Molasses 983085 22895 22895

Bagasse 675 28673 38827

Industrial Alcohol 1800 237776 57776

Power 1224 102725 19675

(Source Secondary data)

Interpretation

1 The table IV - 4 (c) represents that the sugar sales is higher as compared to

Budget the variance is 985909 lakhs is mainly more off tag

2 Baggage sales is less as compare to Budget the variance is Rs37827

lakhs mainly due to consumption at Baggage is more use for generating

power

3 Industrial Alcohol sales are less as compared to the Budget the variance is

Rs57776 lakhs

4 Power sales are higher as compare to Budget Rs 19675 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2736

53

DIAGRAM ndash IV ndash 4 (c)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2010 - 11

983090983094983092983097983094

983089983090983090983092 983089983096983088983088

983089983094983094983091983094

983089983088983090983095983090983091983095983095

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2836

54

TABLE ndash IV ndash 5 (a)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2008 ndash 2009

Particular Budget Rs in

Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 9957 9957

Receipt

Sales 3000000 3085100 85100

Other income 8000 894100 941

Loan Received - - -

Investment Received 97543 - 109500

Total Receipt 3105543 3094041 193541

Payment

Purchase of Raw material 1800000 1831857 -31857

Repayment of creditors 190000 198755 -8755

Fuel for-cogeneration 170000 180686 10686

Stores and spares consumed 50000 51962 1962

Salaries and wages 52000 55107 3107

Administrative expenses 60000 60778 778

Packing expenses 70000 73824 -3824

Interest 160000 162467 -2467

Loan Repaid 410000 416750 6750

Fixed asset purchased 10000 11202 -1202

Total Payment 2972000 3043397 71397

Opening Balance + ReceiptPayment

Closing Balance 143500 606015

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2936

55

Interpretation

1 The table IV - 5 (a) represents that the firm estimated total receipt

Rs3105543 lakhs But the company gets total receipt Rs3094041 lakhs

The variance is Rsl 1502 lakhs This variance is unfavorable

2 The actual total payment is increased Rs71397 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3036

56

DIAGRAM ndash IV ndash 5 (a)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2008 - 09

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3136

57

TABLE ndash IV ndash 5 (b)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2009 ndash 2010

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 60601 60601

Receipt

Sales 2555000 2725064 169064

Other income 5000 17279 8279Loan Received 200000 313264 113264

Investment Received - - -

Total Receipt 2764000 3116208 290607

Payment

Purchase of Raw material 1813000 1756750 56350

Repayment of creditors 113300 - 113300

Fuel for-cogeneration - -983085

Stores and spares consumed 65000 73693 8693Salaries and wages 65000 67923 2923

Administrative expenses 30000 40866 10866

Packing expenses 56000 117714 61914

Interest 180000 186505 6505

Loan Repaid 300000 292385 -5684

Fixed asset purchased 60601983085

-60601

Total Payment

Opening Balance + Receipt Payment

Closing Balance

2682901 2784240 148493

141700 331968

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3236

58

Interpretation

1 The table IV - 5 (b) represents that the firm estimated total receipt

Rs27640 lakhs But the company gets total receipt Rs3116208

lakhs The variance is Rs352208 lakhs It is favorable

2 The actual total payment is increased Rs101339 lakhs as compare

to Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3336

59

DIAGRAM ndash IV ndash 5 (b)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2009 - 10

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3436

60

TABLE ndash IV ndash 5 (C)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2010 ndash 2011

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 331968 331968

Receipt

Sales 3100000 35500 50000Other income 9000 9571 571

Loan Received - - -

Total Receipt 3109000 3559571 50571

Payment

Purchase of Raw material 2100000 2231857 31857

Repayment of Creditors 150000 161355 11355

Fuel for Cogeneration 190000 263168 73168

Stores and spares consumed 80000 88612 8612Salaries and Wages 55000 57L37 2107

Administrative expenses 66000 69187 3187

Packing and forwarding expenses 70000 73827 3824

Interest paid 150000 157267 7267

Loan Repaid 420000 612715 192715

Fixed asset purchased 75168 130023 54855

Total Payment 3356168 3845148 388947

(Receipt-Payment)

Closing Balance 84800 46391

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3536

61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2136

47

DIAGRAM ndash IV ndash 3 (c)

DIAGRAM SHOWING PRODUCTION BUDGET

IN THE YEAR 2010-11

983089983094983093983094983088983088983088

983096983089983088983088983088983088983088

983097983088983088983088983088983088983088

983089983091983096983090983096983089983090

983095983090983091983093983096983088983088

983097983093983088983089983090983090983093

983088

983089983088983088983088983088983088983088

983090983088983088983088983088983088983088

983091983088983088983088983088983088983088

983092983088983088983088983088983088983088

983093983088983088983088983088983088983088

983094983088983088983088983088983088983088

983095983088983088983088983088983088983088

983096983088983088983088983088983088983088

983097983088983088983088983088983088983088

983089983088983088983088983088983088983088983088

983123983157983143983137983154 983117983151983148983137983155983141983155 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2236

48

TABLE ndash IV ndash 4 (A)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2008 ndash 2009

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 11776 2889684 1712084

Molasses - 2830 2830

Bagasse 300 8498 21502

Industrial Alcohol 1800 187851 7851

Power 918 183800 92076

(Source Secondary data)

Interpretation

1 The table IV 4 (a) represents that the sugar sales are higher as compared

to Budget the varience is 1712084 lakhs is mainly more off log

2 Baggage sales are less as compared to Budget the variance is Rs21502

lakhs Mainly due to consumption at Baggage is more use of generating

power

3 Industrial Alcohol sales are less as compare to the Budget the variance is

Rs7851 lakhs

4 Power sales are higher as compare to Budget Rs92076 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2336

49

DIAGRAM ndash IV ndash 4 (a)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2008 ndash 09

983089983089983095983095983094

983097983089983096 983089983096983088983088

983090983096983096983097983094

983089983096983091983096 983089983096983095983096

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983091983093983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2436

50

TABLE ndash IV ndash 4 (B)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2009 ndash 2010

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 23460 2393392 47392

Molasses - 22598 22598

Bagasse 565 41120 15380

Industrial Alcohol 1800 244182 64182

Power 1224 122539 3139

(Source Secondary data)

Interpretation

1 The table IV - 4 (b) represents that the sugar sales is higher as

compared to Budget the variance is 47392 lakhs is mainly more off

tag

2 Baggage sales are less as compared to Budget the variance is Rs

1538 lakhs mainly due to consumption at Baggage is more use for

generating power

3 Industrial Alcohol sales are less as compare to the Budget the variance

is Rs64182 lakhs

4 Power sales are higher as compare to Budget Rs3139 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2536

51

DIAGRAM ndash IV ndash 4 (b)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2009 - 10

983090983091983092983094983088

983089983090983090983092 983089983096983088983088

983090983091983097983091983091

983089983090983090983093983090983092983092983089

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2636

52

TABLE ndash IV ndash 4 (C)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2010 ndash 2011

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 26496 1663691 985909

Molasses 983085 22895 22895

Bagasse 675 28673 38827

Industrial Alcohol 1800 237776 57776

Power 1224 102725 19675

(Source Secondary data)

Interpretation

1 The table IV - 4 (c) represents that the sugar sales is higher as compared to

Budget the variance is 985909 lakhs is mainly more off tag

2 Baggage sales is less as compare to Budget the variance is Rs37827

lakhs mainly due to consumption at Baggage is more use for generating

power

3 Industrial Alcohol sales are less as compared to the Budget the variance is

Rs57776 lakhs

4 Power sales are higher as compare to Budget Rs 19675 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2736

53

DIAGRAM ndash IV ndash 4 (c)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2010 - 11

983090983094983092983097983094

983089983090983090983092 983089983096983088983088

983089983094983094983091983094

983089983088983090983095983090983091983095983095

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2836

54

TABLE ndash IV ndash 5 (a)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2008 ndash 2009

Particular Budget Rs in

Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 9957 9957

Receipt

Sales 3000000 3085100 85100

Other income 8000 894100 941

Loan Received - - -

Investment Received 97543 - 109500

Total Receipt 3105543 3094041 193541

Payment

Purchase of Raw material 1800000 1831857 -31857

Repayment of creditors 190000 198755 -8755

Fuel for-cogeneration 170000 180686 10686

Stores and spares consumed 50000 51962 1962

Salaries and wages 52000 55107 3107

Administrative expenses 60000 60778 778

Packing expenses 70000 73824 -3824

Interest 160000 162467 -2467

Loan Repaid 410000 416750 6750

Fixed asset purchased 10000 11202 -1202

Total Payment 2972000 3043397 71397

Opening Balance + ReceiptPayment

Closing Balance 143500 606015

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2936

55

Interpretation

1 The table IV - 5 (a) represents that the firm estimated total receipt

Rs3105543 lakhs But the company gets total receipt Rs3094041 lakhs

The variance is Rsl 1502 lakhs This variance is unfavorable

2 The actual total payment is increased Rs71397 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3036

56

DIAGRAM ndash IV ndash 5 (a)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2008 - 09

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3136

57

TABLE ndash IV ndash 5 (b)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2009 ndash 2010

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 60601 60601

Receipt

Sales 2555000 2725064 169064

Other income 5000 17279 8279Loan Received 200000 313264 113264

Investment Received - - -

Total Receipt 2764000 3116208 290607

Payment

Purchase of Raw material 1813000 1756750 56350

Repayment of creditors 113300 - 113300

Fuel for-cogeneration - -983085

Stores and spares consumed 65000 73693 8693Salaries and wages 65000 67923 2923

Administrative expenses 30000 40866 10866

Packing expenses 56000 117714 61914

Interest 180000 186505 6505

Loan Repaid 300000 292385 -5684

Fixed asset purchased 60601983085

-60601

Total Payment

Opening Balance + Receipt Payment

Closing Balance

2682901 2784240 148493

141700 331968

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3236

58

Interpretation

1 The table IV - 5 (b) represents that the firm estimated total receipt

Rs27640 lakhs But the company gets total receipt Rs3116208

lakhs The variance is Rs352208 lakhs It is favorable

2 The actual total payment is increased Rs101339 lakhs as compare

to Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3336

59

DIAGRAM ndash IV ndash 5 (b)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2009 - 10

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3436

60

TABLE ndash IV ndash 5 (C)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2010 ndash 2011

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 331968 331968

Receipt

Sales 3100000 35500 50000Other income 9000 9571 571

Loan Received - - -

Total Receipt 3109000 3559571 50571

Payment

Purchase of Raw material 2100000 2231857 31857

Repayment of Creditors 150000 161355 11355

Fuel for Cogeneration 190000 263168 73168

Stores and spares consumed 80000 88612 8612Salaries and Wages 55000 57L37 2107

Administrative expenses 66000 69187 3187

Packing and forwarding expenses 70000 73827 3824

Interest paid 150000 157267 7267

Loan Repaid 420000 612715 192715

Fixed asset purchased 75168 130023 54855

Total Payment 3356168 3845148 388947

(Receipt-Payment)

Closing Balance 84800 46391

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3536

61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2236

48

TABLE ndash IV ndash 4 (A)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2008 ndash 2009

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 11776 2889684 1712084

Molasses - 2830 2830

Bagasse 300 8498 21502

Industrial Alcohol 1800 187851 7851

Power 918 183800 92076

(Source Secondary data)

Interpretation

1 The table IV 4 (a) represents that the sugar sales are higher as compared

to Budget the varience is 1712084 lakhs is mainly more off log

2 Baggage sales are less as compared to Budget the variance is Rs21502

lakhs Mainly due to consumption at Baggage is more use of generating

power

3 Industrial Alcohol sales are less as compare to the Budget the variance is

Rs7851 lakhs

4 Power sales are higher as compare to Budget Rs92076 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2336

49

DIAGRAM ndash IV ndash 4 (a)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2008 ndash 09

983089983089983095983095983094

983097983089983096 983089983096983088983088

983090983096983096983097983094

983089983096983091983096 983089983096983095983096

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983091983093983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2436

50

TABLE ndash IV ndash 4 (B)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2009 ndash 2010

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 23460 2393392 47392

Molasses - 22598 22598

Bagasse 565 41120 15380

Industrial Alcohol 1800 244182 64182

Power 1224 122539 3139

(Source Secondary data)

Interpretation

1 The table IV - 4 (b) represents that the sugar sales is higher as

compared to Budget the variance is 47392 lakhs is mainly more off

tag

2 Baggage sales are less as compared to Budget the variance is Rs

1538 lakhs mainly due to consumption at Baggage is more use for

generating power

3 Industrial Alcohol sales are less as compare to the Budget the variance

is Rs64182 lakhs

4 Power sales are higher as compare to Budget Rs3139 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2536

51

DIAGRAM ndash IV ndash 4 (b)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2009 - 10

983090983091983092983094983088

983089983090983090983092 983089983096983088983088

983090983091983097983091983091

983089983090983090983093983090983092983092983089

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2636

52

TABLE ndash IV ndash 4 (C)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2010 ndash 2011

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 26496 1663691 985909

Molasses 983085 22895 22895

Bagasse 675 28673 38827

Industrial Alcohol 1800 237776 57776

Power 1224 102725 19675

(Source Secondary data)

Interpretation

1 The table IV - 4 (c) represents that the sugar sales is higher as compared to

Budget the variance is 985909 lakhs is mainly more off tag

2 Baggage sales is less as compare to Budget the variance is Rs37827

lakhs mainly due to consumption at Baggage is more use for generating

power

3 Industrial Alcohol sales are less as compared to the Budget the variance is

Rs57776 lakhs

4 Power sales are higher as compare to Budget Rs 19675 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2736

53

DIAGRAM ndash IV ndash 4 (c)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2010 - 11

983090983094983092983097983094

983089983090983090983092 983089983096983088983088

983089983094983094983091983094

983089983088983090983095983090983091983095983095

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2836

54

TABLE ndash IV ndash 5 (a)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2008 ndash 2009

Particular Budget Rs in

Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 9957 9957

Receipt

Sales 3000000 3085100 85100

Other income 8000 894100 941

Loan Received - - -

Investment Received 97543 - 109500

Total Receipt 3105543 3094041 193541

Payment

Purchase of Raw material 1800000 1831857 -31857

Repayment of creditors 190000 198755 -8755

Fuel for-cogeneration 170000 180686 10686

Stores and spares consumed 50000 51962 1962

Salaries and wages 52000 55107 3107

Administrative expenses 60000 60778 778

Packing expenses 70000 73824 -3824

Interest 160000 162467 -2467

Loan Repaid 410000 416750 6750

Fixed asset purchased 10000 11202 -1202

Total Payment 2972000 3043397 71397

Opening Balance + ReceiptPayment

Closing Balance 143500 606015

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2936

55

Interpretation

1 The table IV - 5 (a) represents that the firm estimated total receipt

Rs3105543 lakhs But the company gets total receipt Rs3094041 lakhs

The variance is Rsl 1502 lakhs This variance is unfavorable

2 The actual total payment is increased Rs71397 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3036

56

DIAGRAM ndash IV ndash 5 (a)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2008 - 09

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3136

57

TABLE ndash IV ndash 5 (b)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2009 ndash 2010

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 60601 60601

Receipt

Sales 2555000 2725064 169064

Other income 5000 17279 8279Loan Received 200000 313264 113264

Investment Received - - -

Total Receipt 2764000 3116208 290607

Payment

Purchase of Raw material 1813000 1756750 56350

Repayment of creditors 113300 - 113300

Fuel for-cogeneration - -983085

Stores and spares consumed 65000 73693 8693Salaries and wages 65000 67923 2923

Administrative expenses 30000 40866 10866

Packing expenses 56000 117714 61914

Interest 180000 186505 6505

Loan Repaid 300000 292385 -5684

Fixed asset purchased 60601983085

-60601

Total Payment

Opening Balance + Receipt Payment

Closing Balance

2682901 2784240 148493

141700 331968

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3236

58

Interpretation

1 The table IV - 5 (b) represents that the firm estimated total receipt

Rs27640 lakhs But the company gets total receipt Rs3116208

lakhs The variance is Rs352208 lakhs It is favorable

2 The actual total payment is increased Rs101339 lakhs as compare

to Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3336

59

DIAGRAM ndash IV ndash 5 (b)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2009 - 10

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3436

60

TABLE ndash IV ndash 5 (C)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2010 ndash 2011

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 331968 331968

Receipt

Sales 3100000 35500 50000Other income 9000 9571 571

Loan Received - - -

Total Receipt 3109000 3559571 50571

Payment

Purchase of Raw material 2100000 2231857 31857

Repayment of Creditors 150000 161355 11355

Fuel for Cogeneration 190000 263168 73168

Stores and spares consumed 80000 88612 8612Salaries and Wages 55000 57L37 2107

Administrative expenses 66000 69187 3187

Packing and forwarding expenses 70000 73827 3824

Interest paid 150000 157267 7267

Loan Repaid 420000 612715 192715

Fixed asset purchased 75168 130023 54855

Total Payment 3356168 3845148 388947

(Receipt-Payment)

Closing Balance 84800 46391

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3536

61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2336

49

DIAGRAM ndash IV ndash 4 (a)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2008 ndash 09

983089983089983095983095983094

983097983089983096 983089983096983088983088

983090983096983096983097983094

983089983096983091983096 983089983096983095983096

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983091983093983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2436

50

TABLE ndash IV ndash 4 (B)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2009 ndash 2010

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 23460 2393392 47392

Molasses - 22598 22598

Bagasse 565 41120 15380

Industrial Alcohol 1800 244182 64182

Power 1224 122539 3139

(Source Secondary data)

Interpretation

1 The table IV - 4 (b) represents that the sugar sales is higher as

compared to Budget the variance is 47392 lakhs is mainly more off

tag

2 Baggage sales are less as compared to Budget the variance is Rs

1538 lakhs mainly due to consumption at Baggage is more use for

generating power

3 Industrial Alcohol sales are less as compare to the Budget the variance

is Rs64182 lakhs

4 Power sales are higher as compare to Budget Rs3139 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2536

51

DIAGRAM ndash IV ndash 4 (b)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2009 - 10

983090983091983092983094983088

983089983090983090983092 983089983096983088983088

983090983091983097983091983091

983089983090983090983093983090983092983092983089

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2636

52

TABLE ndash IV ndash 4 (C)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2010 ndash 2011

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 26496 1663691 985909

Molasses 983085 22895 22895

Bagasse 675 28673 38827

Industrial Alcohol 1800 237776 57776

Power 1224 102725 19675

(Source Secondary data)

Interpretation

1 The table IV - 4 (c) represents that the sugar sales is higher as compared to

Budget the variance is 985909 lakhs is mainly more off tag

2 Baggage sales is less as compare to Budget the variance is Rs37827

lakhs mainly due to consumption at Baggage is more use for generating

power

3 Industrial Alcohol sales are less as compared to the Budget the variance is

Rs57776 lakhs

4 Power sales are higher as compare to Budget Rs 19675 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2736

53

DIAGRAM ndash IV ndash 4 (c)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2010 - 11

983090983094983092983097983094

983089983090983090983092 983089983096983088983088

983089983094983094983091983094

983089983088983090983095983090983091983095983095

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2836

54

TABLE ndash IV ndash 5 (a)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2008 ndash 2009

Particular Budget Rs in

Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 9957 9957

Receipt

Sales 3000000 3085100 85100

Other income 8000 894100 941

Loan Received - - -

Investment Received 97543 - 109500

Total Receipt 3105543 3094041 193541

Payment

Purchase of Raw material 1800000 1831857 -31857

Repayment of creditors 190000 198755 -8755

Fuel for-cogeneration 170000 180686 10686

Stores and spares consumed 50000 51962 1962

Salaries and wages 52000 55107 3107

Administrative expenses 60000 60778 778

Packing expenses 70000 73824 -3824

Interest 160000 162467 -2467

Loan Repaid 410000 416750 6750

Fixed asset purchased 10000 11202 -1202

Total Payment 2972000 3043397 71397

Opening Balance + ReceiptPayment

Closing Balance 143500 606015

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2936

55

Interpretation

1 The table IV - 5 (a) represents that the firm estimated total receipt

Rs3105543 lakhs But the company gets total receipt Rs3094041 lakhs

The variance is Rsl 1502 lakhs This variance is unfavorable

2 The actual total payment is increased Rs71397 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3036

56

DIAGRAM ndash IV ndash 5 (a)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2008 - 09

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3136

57

TABLE ndash IV ndash 5 (b)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2009 ndash 2010

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 60601 60601

Receipt

Sales 2555000 2725064 169064

Other income 5000 17279 8279Loan Received 200000 313264 113264

Investment Received - - -

Total Receipt 2764000 3116208 290607

Payment

Purchase of Raw material 1813000 1756750 56350

Repayment of creditors 113300 - 113300

Fuel for-cogeneration - -983085

Stores and spares consumed 65000 73693 8693Salaries and wages 65000 67923 2923

Administrative expenses 30000 40866 10866

Packing expenses 56000 117714 61914

Interest 180000 186505 6505

Loan Repaid 300000 292385 -5684

Fixed asset purchased 60601983085

-60601

Total Payment

Opening Balance + Receipt Payment

Closing Balance

2682901 2784240 148493

141700 331968

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3236

58

Interpretation

1 The table IV - 5 (b) represents that the firm estimated total receipt

Rs27640 lakhs But the company gets total receipt Rs3116208

lakhs The variance is Rs352208 lakhs It is favorable

2 The actual total payment is increased Rs101339 lakhs as compare

to Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3336

59

DIAGRAM ndash IV ndash 5 (b)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2009 - 10

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3436

60

TABLE ndash IV ndash 5 (C)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2010 ndash 2011

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 331968 331968

Receipt

Sales 3100000 35500 50000Other income 9000 9571 571

Loan Received - - -

Total Receipt 3109000 3559571 50571

Payment

Purchase of Raw material 2100000 2231857 31857

Repayment of Creditors 150000 161355 11355

Fuel for Cogeneration 190000 263168 73168

Stores and spares consumed 80000 88612 8612Salaries and Wages 55000 57L37 2107

Administrative expenses 66000 69187 3187

Packing and forwarding expenses 70000 73827 3824

Interest paid 150000 157267 7267

Loan Repaid 420000 612715 192715

Fixed asset purchased 75168 130023 54855

Total Payment 3356168 3845148 388947

(Receipt-Payment)

Closing Balance 84800 46391

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3536

61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2436

50

TABLE ndash IV ndash 4 (B)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2009 ndash 2010

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 23460 2393392 47392

Molasses - 22598 22598

Bagasse 565 41120 15380

Industrial Alcohol 1800 244182 64182

Power 1224 122539 3139

(Source Secondary data)

Interpretation

1 The table IV - 4 (b) represents that the sugar sales is higher as

compared to Budget the variance is 47392 lakhs is mainly more off

tag

2 Baggage sales are less as compared to Budget the variance is Rs

1538 lakhs mainly due to consumption at Baggage is more use for

generating power

3 Industrial Alcohol sales are less as compare to the Budget the variance

is Rs64182 lakhs

4 Power sales are higher as compare to Budget Rs3139 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2536

51

DIAGRAM ndash IV ndash 4 (b)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2009 - 10

983090983091983092983094983088

983089983090983090983092 983089983096983088983088

983090983091983097983091983091

983089983090983090983093983090983092983092983089

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2636

52

TABLE ndash IV ndash 4 (C)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2010 ndash 2011

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 26496 1663691 985909

Molasses 983085 22895 22895

Bagasse 675 28673 38827

Industrial Alcohol 1800 237776 57776

Power 1224 102725 19675

(Source Secondary data)

Interpretation

1 The table IV - 4 (c) represents that the sugar sales is higher as compared to

Budget the variance is 985909 lakhs is mainly more off tag

2 Baggage sales is less as compare to Budget the variance is Rs37827

lakhs mainly due to consumption at Baggage is more use for generating

power

3 Industrial Alcohol sales are less as compared to the Budget the variance is

Rs57776 lakhs

4 Power sales are higher as compare to Budget Rs 19675 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2736

53

DIAGRAM ndash IV ndash 4 (c)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2010 - 11

983090983094983092983097983094

983089983090983090983092 983089983096983088983088

983089983094983094983091983094

983089983088983090983095983090983091983095983095

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2836

54

TABLE ndash IV ndash 5 (a)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2008 ndash 2009

Particular Budget Rs in

Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 9957 9957

Receipt

Sales 3000000 3085100 85100

Other income 8000 894100 941

Loan Received - - -

Investment Received 97543 - 109500

Total Receipt 3105543 3094041 193541

Payment

Purchase of Raw material 1800000 1831857 -31857

Repayment of creditors 190000 198755 -8755

Fuel for-cogeneration 170000 180686 10686

Stores and spares consumed 50000 51962 1962

Salaries and wages 52000 55107 3107

Administrative expenses 60000 60778 778

Packing expenses 70000 73824 -3824

Interest 160000 162467 -2467

Loan Repaid 410000 416750 6750

Fixed asset purchased 10000 11202 -1202

Total Payment 2972000 3043397 71397

Opening Balance + ReceiptPayment

Closing Balance 143500 606015

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2936

55

Interpretation

1 The table IV - 5 (a) represents that the firm estimated total receipt

Rs3105543 lakhs But the company gets total receipt Rs3094041 lakhs

The variance is Rsl 1502 lakhs This variance is unfavorable

2 The actual total payment is increased Rs71397 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3036

56

DIAGRAM ndash IV ndash 5 (a)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2008 - 09

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3136

57

TABLE ndash IV ndash 5 (b)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2009 ndash 2010

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 60601 60601

Receipt

Sales 2555000 2725064 169064

Other income 5000 17279 8279Loan Received 200000 313264 113264

Investment Received - - -

Total Receipt 2764000 3116208 290607

Payment

Purchase of Raw material 1813000 1756750 56350

Repayment of creditors 113300 - 113300

Fuel for-cogeneration - -983085

Stores and spares consumed 65000 73693 8693Salaries and wages 65000 67923 2923

Administrative expenses 30000 40866 10866

Packing expenses 56000 117714 61914

Interest 180000 186505 6505

Loan Repaid 300000 292385 -5684

Fixed asset purchased 60601983085

-60601

Total Payment

Opening Balance + Receipt Payment

Closing Balance

2682901 2784240 148493

141700 331968

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3236

58

Interpretation

1 The table IV - 5 (b) represents that the firm estimated total receipt

Rs27640 lakhs But the company gets total receipt Rs3116208

lakhs The variance is Rs352208 lakhs It is favorable

2 The actual total payment is increased Rs101339 lakhs as compare

to Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3336

59

DIAGRAM ndash IV ndash 5 (b)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2009 - 10

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3436

60

TABLE ndash IV ndash 5 (C)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2010 ndash 2011

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 331968 331968

Receipt

Sales 3100000 35500 50000Other income 9000 9571 571

Loan Received - - -

Total Receipt 3109000 3559571 50571

Payment

Purchase of Raw material 2100000 2231857 31857

Repayment of Creditors 150000 161355 11355

Fuel for Cogeneration 190000 263168 73168

Stores and spares consumed 80000 88612 8612Salaries and Wages 55000 57L37 2107

Administrative expenses 66000 69187 3187

Packing and forwarding expenses 70000 73827 3824

Interest paid 150000 157267 7267

Loan Repaid 420000 612715 192715

Fixed asset purchased 75168 130023 54855

Total Payment 3356168 3845148 388947

(Receipt-Payment)

Closing Balance 84800 46391

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3536

61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2536

51

DIAGRAM ndash IV ndash 4 (b)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2009 - 10

983090983091983092983094983088

983089983090983090983092 983089983096983088983088

983090983091983097983091983091

983089983090983090983093983090983092983092983089

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2636

52

TABLE ndash IV ndash 4 (C)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2010 ndash 2011

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 26496 1663691 985909

Molasses 983085 22895 22895

Bagasse 675 28673 38827

Industrial Alcohol 1800 237776 57776

Power 1224 102725 19675

(Source Secondary data)

Interpretation

1 The table IV - 4 (c) represents that the sugar sales is higher as compared to

Budget the variance is 985909 lakhs is mainly more off tag

2 Baggage sales is less as compare to Budget the variance is Rs37827

lakhs mainly due to consumption at Baggage is more use for generating

power

3 Industrial Alcohol sales are less as compared to the Budget the variance is

Rs57776 lakhs

4 Power sales are higher as compare to Budget Rs 19675 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2736

53

DIAGRAM ndash IV ndash 4 (c)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2010 - 11

983090983094983092983097983094

983089983090983090983092 983089983096983088983088

983089983094983094983091983094

983089983088983090983095983090983091983095983095

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2836

54

TABLE ndash IV ndash 5 (a)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2008 ndash 2009

Particular Budget Rs in

Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 9957 9957

Receipt

Sales 3000000 3085100 85100

Other income 8000 894100 941

Loan Received - - -

Investment Received 97543 - 109500

Total Receipt 3105543 3094041 193541

Payment

Purchase of Raw material 1800000 1831857 -31857

Repayment of creditors 190000 198755 -8755

Fuel for-cogeneration 170000 180686 10686

Stores and spares consumed 50000 51962 1962

Salaries and wages 52000 55107 3107

Administrative expenses 60000 60778 778

Packing expenses 70000 73824 -3824

Interest 160000 162467 -2467

Loan Repaid 410000 416750 6750

Fixed asset purchased 10000 11202 -1202

Total Payment 2972000 3043397 71397

Opening Balance + ReceiptPayment

Closing Balance 143500 606015

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2936

55

Interpretation

1 The table IV - 5 (a) represents that the firm estimated total receipt

Rs3105543 lakhs But the company gets total receipt Rs3094041 lakhs

The variance is Rsl 1502 lakhs This variance is unfavorable

2 The actual total payment is increased Rs71397 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3036

56

DIAGRAM ndash IV ndash 5 (a)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2008 - 09

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3136

57

TABLE ndash IV ndash 5 (b)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2009 ndash 2010

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 60601 60601

Receipt

Sales 2555000 2725064 169064

Other income 5000 17279 8279Loan Received 200000 313264 113264

Investment Received - - -

Total Receipt 2764000 3116208 290607

Payment

Purchase of Raw material 1813000 1756750 56350

Repayment of creditors 113300 - 113300

Fuel for-cogeneration - -983085

Stores and spares consumed 65000 73693 8693Salaries and wages 65000 67923 2923

Administrative expenses 30000 40866 10866

Packing expenses 56000 117714 61914

Interest 180000 186505 6505

Loan Repaid 300000 292385 -5684

Fixed asset purchased 60601983085

-60601

Total Payment

Opening Balance + Receipt Payment

Closing Balance

2682901 2784240 148493

141700 331968

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3236

58

Interpretation

1 The table IV - 5 (b) represents that the firm estimated total receipt

Rs27640 lakhs But the company gets total receipt Rs3116208

lakhs The variance is Rs352208 lakhs It is favorable

2 The actual total payment is increased Rs101339 lakhs as compare

to Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3336

59

DIAGRAM ndash IV ndash 5 (b)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2009 - 10

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3436

60

TABLE ndash IV ndash 5 (C)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2010 ndash 2011

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 331968 331968

Receipt

Sales 3100000 35500 50000Other income 9000 9571 571

Loan Received - - -

Total Receipt 3109000 3559571 50571

Payment

Purchase of Raw material 2100000 2231857 31857

Repayment of Creditors 150000 161355 11355

Fuel for Cogeneration 190000 263168 73168

Stores and spares consumed 80000 88612 8612Salaries and Wages 55000 57L37 2107

Administrative expenses 66000 69187 3187

Packing and forwarding expenses 70000 73827 3824

Interest paid 150000 157267 7267

Loan Repaid 420000 612715 192715

Fixed asset purchased 75168 130023 54855

Total Payment 3356168 3845148 388947

(Receipt-Payment)

Closing Balance 84800 46391

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3536

61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2636

52

TABLE ndash IV ndash 4 (C)

Dharani Sugars and Chemical Limited

Sales Budget in the Year 2010 ndash 2011

Particular Budget Rs in

lakhs

Actual Rs in

lakhs

Variance

Sugar 26496 1663691 985909

Molasses 983085 22895 22895

Bagasse 675 28673 38827

Industrial Alcohol 1800 237776 57776

Power 1224 102725 19675

(Source Secondary data)

Interpretation

1 The table IV - 4 (c) represents that the sugar sales is higher as compared to

Budget the variance is 985909 lakhs is mainly more off tag

2 Baggage sales is less as compare to Budget the variance is Rs37827

lakhs mainly due to consumption at Baggage is more use for generating

power

3 Industrial Alcohol sales are less as compared to the Budget the variance is

Rs57776 lakhs

4 Power sales are higher as compare to Budget Rs 19675 lakhs

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2736

53

DIAGRAM ndash IV ndash 4 (c)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2010 - 11

983090983094983092983097983094

983089983090983090983092 983089983096983088983088

983089983094983094983091983094

983089983088983090983095983090983091983095983095

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2836

54

TABLE ndash IV ndash 5 (a)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2008 ndash 2009

Particular Budget Rs in

Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 9957 9957

Receipt

Sales 3000000 3085100 85100

Other income 8000 894100 941

Loan Received - - -

Investment Received 97543 - 109500

Total Receipt 3105543 3094041 193541

Payment

Purchase of Raw material 1800000 1831857 -31857

Repayment of creditors 190000 198755 -8755

Fuel for-cogeneration 170000 180686 10686

Stores and spares consumed 50000 51962 1962

Salaries and wages 52000 55107 3107

Administrative expenses 60000 60778 778

Packing expenses 70000 73824 -3824

Interest 160000 162467 -2467

Loan Repaid 410000 416750 6750

Fixed asset purchased 10000 11202 -1202

Total Payment 2972000 3043397 71397

Opening Balance + ReceiptPayment

Closing Balance 143500 606015

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2936

55

Interpretation

1 The table IV - 5 (a) represents that the firm estimated total receipt

Rs3105543 lakhs But the company gets total receipt Rs3094041 lakhs

The variance is Rsl 1502 lakhs This variance is unfavorable

2 The actual total payment is increased Rs71397 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3036

56

DIAGRAM ndash IV ndash 5 (a)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2008 - 09

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3136

57

TABLE ndash IV ndash 5 (b)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2009 ndash 2010

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 60601 60601

Receipt

Sales 2555000 2725064 169064

Other income 5000 17279 8279Loan Received 200000 313264 113264

Investment Received - - -

Total Receipt 2764000 3116208 290607

Payment

Purchase of Raw material 1813000 1756750 56350

Repayment of creditors 113300 - 113300

Fuel for-cogeneration - -983085

Stores and spares consumed 65000 73693 8693Salaries and wages 65000 67923 2923

Administrative expenses 30000 40866 10866

Packing expenses 56000 117714 61914

Interest 180000 186505 6505

Loan Repaid 300000 292385 -5684

Fixed asset purchased 60601983085

-60601

Total Payment

Opening Balance + Receipt Payment

Closing Balance

2682901 2784240 148493

141700 331968

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3236

58

Interpretation

1 The table IV - 5 (b) represents that the firm estimated total receipt

Rs27640 lakhs But the company gets total receipt Rs3116208

lakhs The variance is Rs352208 lakhs It is favorable

2 The actual total payment is increased Rs101339 lakhs as compare

to Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3336

59

DIAGRAM ndash IV ndash 5 (b)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2009 - 10

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3436

60

TABLE ndash IV ndash 5 (C)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2010 ndash 2011

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 331968 331968

Receipt

Sales 3100000 35500 50000Other income 9000 9571 571

Loan Received - - -

Total Receipt 3109000 3559571 50571

Payment

Purchase of Raw material 2100000 2231857 31857

Repayment of Creditors 150000 161355 11355

Fuel for Cogeneration 190000 263168 73168

Stores and spares consumed 80000 88612 8612Salaries and Wages 55000 57L37 2107

Administrative expenses 66000 69187 3187

Packing and forwarding expenses 70000 73827 3824

Interest paid 150000 157267 7267

Loan Repaid 420000 612715 192715

Fixed asset purchased 75168 130023 54855

Total Payment 3356168 3845148 388947

(Receipt-Payment)

Closing Balance 84800 46391

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3536

61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2736

53

DIAGRAM ndash IV ndash 4 (c)

DIAGRAM SHOWING SALES BUDGET

IN THE YEAR 2010 - 11

983090983094983092983097983094

983089983090983090983092 983089983096983088983088

983089983094983094983091983094

983089983088983090983095983090983091983095983095

983088

983093983088983088983088

983089983088983088983088983088

983089983093983088983088983088

983090983088983088983088983088

983090983093983088983088983088

983091983088983088983088983088

983123983157983143983137983154 983120983151983159983141983154 983105983148983139983151983144983151983148

983106983157983140983143983141983156 983105983139983156983157983137983148

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2836

54

TABLE ndash IV ndash 5 (a)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2008 ndash 2009

Particular Budget Rs in

Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 9957 9957

Receipt

Sales 3000000 3085100 85100

Other income 8000 894100 941

Loan Received - - -

Investment Received 97543 - 109500

Total Receipt 3105543 3094041 193541

Payment

Purchase of Raw material 1800000 1831857 -31857

Repayment of creditors 190000 198755 -8755

Fuel for-cogeneration 170000 180686 10686

Stores and spares consumed 50000 51962 1962

Salaries and wages 52000 55107 3107

Administrative expenses 60000 60778 778

Packing expenses 70000 73824 -3824

Interest 160000 162467 -2467

Loan Repaid 410000 416750 6750

Fixed asset purchased 10000 11202 -1202

Total Payment 2972000 3043397 71397

Opening Balance + ReceiptPayment

Closing Balance 143500 606015

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2936

55

Interpretation

1 The table IV - 5 (a) represents that the firm estimated total receipt

Rs3105543 lakhs But the company gets total receipt Rs3094041 lakhs

The variance is Rsl 1502 lakhs This variance is unfavorable

2 The actual total payment is increased Rs71397 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3036

56

DIAGRAM ndash IV ndash 5 (a)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2008 - 09

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3136

57

TABLE ndash IV ndash 5 (b)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2009 ndash 2010

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 60601 60601

Receipt

Sales 2555000 2725064 169064

Other income 5000 17279 8279Loan Received 200000 313264 113264

Investment Received - - -

Total Receipt 2764000 3116208 290607

Payment

Purchase of Raw material 1813000 1756750 56350

Repayment of creditors 113300 - 113300

Fuel for-cogeneration - -983085

Stores and spares consumed 65000 73693 8693Salaries and wages 65000 67923 2923

Administrative expenses 30000 40866 10866

Packing expenses 56000 117714 61914

Interest 180000 186505 6505

Loan Repaid 300000 292385 -5684

Fixed asset purchased 60601983085

-60601

Total Payment

Opening Balance + Receipt Payment

Closing Balance

2682901 2784240 148493

141700 331968

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3236

58

Interpretation

1 The table IV - 5 (b) represents that the firm estimated total receipt

Rs27640 lakhs But the company gets total receipt Rs3116208

lakhs The variance is Rs352208 lakhs It is favorable

2 The actual total payment is increased Rs101339 lakhs as compare

to Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3336

59

DIAGRAM ndash IV ndash 5 (b)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2009 - 10

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3436

60

TABLE ndash IV ndash 5 (C)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2010 ndash 2011

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 331968 331968

Receipt

Sales 3100000 35500 50000Other income 9000 9571 571

Loan Received - - -

Total Receipt 3109000 3559571 50571

Payment

Purchase of Raw material 2100000 2231857 31857

Repayment of Creditors 150000 161355 11355

Fuel for Cogeneration 190000 263168 73168

Stores and spares consumed 80000 88612 8612Salaries and Wages 55000 57L37 2107

Administrative expenses 66000 69187 3187

Packing and forwarding expenses 70000 73827 3824

Interest paid 150000 157267 7267

Loan Repaid 420000 612715 192715

Fixed asset purchased 75168 130023 54855

Total Payment 3356168 3845148 388947

(Receipt-Payment)

Closing Balance 84800 46391

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3536

61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2836

54

TABLE ndash IV ndash 5 (a)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2008 ndash 2009

Particular Budget Rs in

Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 9957 9957

Receipt

Sales 3000000 3085100 85100

Other income 8000 894100 941

Loan Received - - -

Investment Received 97543 - 109500

Total Receipt 3105543 3094041 193541

Payment

Purchase of Raw material 1800000 1831857 -31857

Repayment of creditors 190000 198755 -8755

Fuel for-cogeneration 170000 180686 10686

Stores and spares consumed 50000 51962 1962

Salaries and wages 52000 55107 3107

Administrative expenses 60000 60778 778

Packing expenses 70000 73824 -3824

Interest 160000 162467 -2467

Loan Repaid 410000 416750 6750

Fixed asset purchased 10000 11202 -1202

Total Payment 2972000 3043397 71397

Opening Balance + ReceiptPayment

Closing Balance 143500 606015

(Source Secondary data)

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2936

55

Interpretation

1 The table IV - 5 (a) represents that the firm estimated total receipt

Rs3105543 lakhs But the company gets total receipt Rs3094041 lakhs

The variance is Rsl 1502 lakhs This variance is unfavorable

2 The actual total payment is increased Rs71397 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3036

56

DIAGRAM ndash IV ndash 5 (a)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2008 - 09

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3136

57

TABLE ndash IV ndash 5 (b)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2009 ndash 2010

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 60601 60601

Receipt

Sales 2555000 2725064 169064

Other income 5000 17279 8279Loan Received 200000 313264 113264

Investment Received - - -

Total Receipt 2764000 3116208 290607

Payment

Purchase of Raw material 1813000 1756750 56350

Repayment of creditors 113300 - 113300

Fuel for-cogeneration - -983085

Stores and spares consumed 65000 73693 8693Salaries and wages 65000 67923 2923

Administrative expenses 30000 40866 10866

Packing expenses 56000 117714 61914

Interest 180000 186505 6505

Loan Repaid 300000 292385 -5684

Fixed asset purchased 60601983085

-60601

Total Payment

Opening Balance + Receipt Payment

Closing Balance

2682901 2784240 148493

141700 331968

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3236

58

Interpretation

1 The table IV - 5 (b) represents that the firm estimated total receipt

Rs27640 lakhs But the company gets total receipt Rs3116208

lakhs The variance is Rs352208 lakhs It is favorable

2 The actual total payment is increased Rs101339 lakhs as compare

to Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3336

59

DIAGRAM ndash IV ndash 5 (b)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2009 - 10

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3436

60

TABLE ndash IV ndash 5 (C)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2010 ndash 2011

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 331968 331968

Receipt

Sales 3100000 35500 50000Other income 9000 9571 571

Loan Received - - -

Total Receipt 3109000 3559571 50571

Payment

Purchase of Raw material 2100000 2231857 31857

Repayment of Creditors 150000 161355 11355

Fuel for Cogeneration 190000 263168 73168

Stores and spares consumed 80000 88612 8612Salaries and Wages 55000 57L37 2107

Administrative expenses 66000 69187 3187

Packing and forwarding expenses 70000 73827 3824

Interest paid 150000 157267 7267

Loan Repaid 420000 612715 192715

Fixed asset purchased 75168 130023 54855

Total Payment 3356168 3845148 388947

(Receipt-Payment)

Closing Balance 84800 46391

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3536

61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 2936

55

Interpretation

1 The table IV - 5 (a) represents that the firm estimated total receipt

Rs3105543 lakhs But the company gets total receipt Rs3094041 lakhs

The variance is Rsl 1502 lakhs This variance is unfavorable

2 The actual total payment is increased Rs71397 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3036

56

DIAGRAM ndash IV ndash 5 (a)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2008 - 09

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3136

57

TABLE ndash IV ndash 5 (b)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2009 ndash 2010

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 60601 60601

Receipt

Sales 2555000 2725064 169064

Other income 5000 17279 8279Loan Received 200000 313264 113264

Investment Received - - -

Total Receipt 2764000 3116208 290607

Payment

Purchase of Raw material 1813000 1756750 56350

Repayment of creditors 113300 - 113300

Fuel for-cogeneration - -983085

Stores and spares consumed 65000 73693 8693Salaries and wages 65000 67923 2923

Administrative expenses 30000 40866 10866

Packing expenses 56000 117714 61914

Interest 180000 186505 6505

Loan Repaid 300000 292385 -5684

Fixed asset purchased 60601983085

-60601

Total Payment

Opening Balance + Receipt Payment

Closing Balance

2682901 2784240 148493

141700 331968

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3236

58

Interpretation

1 The table IV - 5 (b) represents that the firm estimated total receipt

Rs27640 lakhs But the company gets total receipt Rs3116208

lakhs The variance is Rs352208 lakhs It is favorable

2 The actual total payment is increased Rs101339 lakhs as compare

to Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3336

59

DIAGRAM ndash IV ndash 5 (b)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2009 - 10

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3436

60

TABLE ndash IV ndash 5 (C)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2010 ndash 2011

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 331968 331968

Receipt

Sales 3100000 35500 50000Other income 9000 9571 571

Loan Received - - -

Total Receipt 3109000 3559571 50571

Payment

Purchase of Raw material 2100000 2231857 31857

Repayment of Creditors 150000 161355 11355

Fuel for Cogeneration 190000 263168 73168

Stores and spares consumed 80000 88612 8612Salaries and Wages 55000 57L37 2107

Administrative expenses 66000 69187 3187

Packing and forwarding expenses 70000 73827 3824

Interest paid 150000 157267 7267

Loan Repaid 420000 612715 192715

Fixed asset purchased 75168 130023 54855

Total Payment 3356168 3845148 388947

(Receipt-Payment)

Closing Balance 84800 46391

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3536

61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3036

56

DIAGRAM ndash IV ndash 5 (a)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2008 - 09

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3136

57

TABLE ndash IV ndash 5 (b)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2009 ndash 2010

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 60601 60601

Receipt

Sales 2555000 2725064 169064

Other income 5000 17279 8279Loan Received 200000 313264 113264

Investment Received - - -

Total Receipt 2764000 3116208 290607

Payment

Purchase of Raw material 1813000 1756750 56350

Repayment of creditors 113300 - 113300

Fuel for-cogeneration - -983085

Stores and spares consumed 65000 73693 8693Salaries and wages 65000 67923 2923

Administrative expenses 30000 40866 10866

Packing expenses 56000 117714 61914

Interest 180000 186505 6505

Loan Repaid 300000 292385 -5684

Fixed asset purchased 60601983085

-60601

Total Payment

Opening Balance + Receipt Payment

Closing Balance

2682901 2784240 148493

141700 331968

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3236

58

Interpretation

1 The table IV - 5 (b) represents that the firm estimated total receipt

Rs27640 lakhs But the company gets total receipt Rs3116208

lakhs The variance is Rs352208 lakhs It is favorable

2 The actual total payment is increased Rs101339 lakhs as compare

to Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3336

59

DIAGRAM ndash IV ndash 5 (b)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2009 - 10

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3436

60

TABLE ndash IV ndash 5 (C)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2010 ndash 2011

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 331968 331968

Receipt

Sales 3100000 35500 50000Other income 9000 9571 571

Loan Received - - -

Total Receipt 3109000 3559571 50571

Payment

Purchase of Raw material 2100000 2231857 31857

Repayment of Creditors 150000 161355 11355

Fuel for Cogeneration 190000 263168 73168

Stores and spares consumed 80000 88612 8612Salaries and Wages 55000 57L37 2107

Administrative expenses 66000 69187 3187

Packing and forwarding expenses 70000 73827 3824

Interest paid 150000 157267 7267

Loan Repaid 420000 612715 192715

Fixed asset purchased 75168 130023 54855

Total Payment 3356168 3845148 388947

(Receipt-Payment)

Closing Balance 84800 46391

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3536

61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3136

57

TABLE ndash IV ndash 5 (b)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2009 ndash 2010

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 60601 60601

Receipt

Sales 2555000 2725064 169064

Other income 5000 17279 8279Loan Received 200000 313264 113264

Investment Received - - -

Total Receipt 2764000 3116208 290607

Payment

Purchase of Raw material 1813000 1756750 56350

Repayment of creditors 113300 - 113300

Fuel for-cogeneration - -983085

Stores and spares consumed 65000 73693 8693Salaries and wages 65000 67923 2923

Administrative expenses 30000 40866 10866

Packing expenses 56000 117714 61914

Interest 180000 186505 6505

Loan Repaid 300000 292385 -5684

Fixed asset purchased 60601983085

-60601

Total Payment

Opening Balance + Receipt Payment

Closing Balance

2682901 2784240 148493

141700 331968

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3236

58

Interpretation

1 The table IV - 5 (b) represents that the firm estimated total receipt

Rs27640 lakhs But the company gets total receipt Rs3116208

lakhs The variance is Rs352208 lakhs It is favorable

2 The actual total payment is increased Rs101339 lakhs as compare

to Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3336

59

DIAGRAM ndash IV ndash 5 (b)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2009 - 10

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3436

60

TABLE ndash IV ndash 5 (C)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2010 ndash 2011

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 331968 331968

Receipt

Sales 3100000 35500 50000Other income 9000 9571 571

Loan Received - - -

Total Receipt 3109000 3559571 50571

Payment

Purchase of Raw material 2100000 2231857 31857

Repayment of Creditors 150000 161355 11355

Fuel for Cogeneration 190000 263168 73168

Stores and spares consumed 80000 88612 8612Salaries and Wages 55000 57L37 2107

Administrative expenses 66000 69187 3187

Packing and forwarding expenses 70000 73827 3824

Interest paid 150000 157267 7267

Loan Repaid 420000 612715 192715

Fixed asset purchased 75168 130023 54855

Total Payment 3356168 3845148 388947

(Receipt-Payment)

Closing Balance 84800 46391

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3536

61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3236

58

Interpretation

1 The table IV - 5 (b) represents that the firm estimated total receipt

Rs27640 lakhs But the company gets total receipt Rs3116208

lakhs The variance is Rs352208 lakhs It is favorable

2 The actual total payment is increased Rs101339 lakhs as compare

to Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3336

59

DIAGRAM ndash IV ndash 5 (b)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2009 - 10

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3436

60

TABLE ndash IV ndash 5 (C)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2010 ndash 2011

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 331968 331968

Receipt

Sales 3100000 35500 50000Other income 9000 9571 571

Loan Received - - -

Total Receipt 3109000 3559571 50571

Payment

Purchase of Raw material 2100000 2231857 31857

Repayment of Creditors 150000 161355 11355

Fuel for Cogeneration 190000 263168 73168

Stores and spares consumed 80000 88612 8612Salaries and Wages 55000 57L37 2107

Administrative expenses 66000 69187 3187

Packing and forwarding expenses 70000 73827 3824

Interest paid 150000 157267 7267

Loan Repaid 420000 612715 192715

Fixed asset purchased 75168 130023 54855

Total Payment 3356168 3845148 388947

(Receipt-Payment)

Closing Balance 84800 46391

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3536

61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3336

59

DIAGRAM ndash IV ndash 5 (b)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2009 - 10

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3436

60

TABLE ndash IV ndash 5 (C)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2010 ndash 2011

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 331968 331968

Receipt

Sales 3100000 35500 50000Other income 9000 9571 571

Loan Received - - -

Total Receipt 3109000 3559571 50571

Payment

Purchase of Raw material 2100000 2231857 31857

Repayment of Creditors 150000 161355 11355

Fuel for Cogeneration 190000 263168 73168

Stores and spares consumed 80000 88612 8612Salaries and Wages 55000 57L37 2107

Administrative expenses 66000 69187 3187

Packing and forwarding expenses 70000 73827 3824

Interest paid 150000 157267 7267

Loan Repaid 420000 612715 192715

Fixed asset purchased 75168 130023 54855

Total Payment 3356168 3845148 388947

(Receipt-Payment)

Closing Balance 84800 46391

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3536

61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3436

60

TABLE ndash IV ndash 5 (C)

DHARANI SUGARS AND CHEMICALS LTD

CASH BUDGET IN THE YEAR 2010 ndash 2011

Particular Budget Rs

in Lakhs

Actual Rs

in Lakhs

Variance

Opening Balance 331968 331968

Receipt

Sales 3100000 35500 50000Other income 9000 9571 571

Loan Received - - -

Total Receipt 3109000 3559571 50571

Payment

Purchase of Raw material 2100000 2231857 31857

Repayment of Creditors 150000 161355 11355

Fuel for Cogeneration 190000 263168 73168

Stores and spares consumed 80000 88612 8612Salaries and Wages 55000 57L37 2107

Administrative expenses 66000 69187 3187

Packing and forwarding expenses 70000 73827 3824

Interest paid 150000 157267 7267

Loan Repaid 420000 612715 192715

Fixed asset purchased 75168 130023 54855

Total Payment 3356168 3845148 388947

(Receipt-Payment)

Closing Balance 84800 46391

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3536

61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3536

61

Interpretation

1 The table IV - 5 (c) represents that the firm estimated total receipt

Rs31090 lakhs But the company gets total receipt Rs3559571 lakhs

The variance is Rs450571 lakhs It is favorable

2 The actual total payment is increased Rs38898 lakhs as compare to

Budget This variance is unfavorable

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11

8122019 A STUDY ON EFFECTIVENESS OF THE BUDGETARY CONTROL WITH REFERENCE TO DHARANI SUGARS AND CHEMIChellip

httpslidepdfcomreaderfulla-study-on-effectiveness-of-the-budgetary-control-with-reference-to-dharani 3636

DIAGRAM ndash IV ndash 5 (c)

DIAGRAM SHOWING CASH BUDGET

IN THE YEAR 2010 ndash 11