Common Abbreviations for Knowledge

 Common Abbreviations for Knowledge

Terminology:

Computer Related:

*P D F*

Portable Document Format.

*H T M L* 

Hyper Text Mark up Language.

*N E F T*

National Electronic Fund Transfer.

*M I C R* 

Magnetic Inc Character Recognition.

 *I F S C* 

Finance Related:

Indian Financial System Code.

*I S P* 

Internet Service Provider.

*E C S* 

Electronic Clearing System.

 *CRR* 

Cash Reserve Ratio.

 *R T C* 

Real Time Clock.

*I P*

Internet Protocol.

*C A G*

Comptroller and Auditor General.

*F E R A*

Foreign Exchange Regulation Act.

*I S R O*

 Indian Space Research organization.

*I S D N* 

Integrated Services Digital Network.

*SAARC* 

South Asian Association for Regional co –operation.

*O M R* 

Optical Mark Recognition.

*A H R L* 

Asian Human Right Commission.

 *J P E G* 

Joint Photo Expert Group.

 *U. R. L.* 

Uniform Resource Locator.

*I R D P* 

Integrated Rural Development programme.

*A. S. L. V.* 

Augmented satellite Launch vehicle.

*I. C. U.*

Intensive Care Unit.

*A. T. M.* 

Automated Teller Machine.

*C. T. S.* 

Cheque Transaction System.

*C. T. R* 

Cash Transaction Receipt.

*N E F T* 

National Electronic Funds Transfer.

*G D P* 

Gross Domestic Product.

*F D I*

Foreign Direct Investment.

*E P F O* 

Employees Provident Fund Organization.

*C R R* 

Cash Reserve Ratio.

*CFRA* 

Combined Finance & Revenue Accounts.

*GPF* 

General Provident Fund.

 *GMT*

Global Mean Time.

*GPS* 

Global Positioning System.

*GNP* 

Gross National Product.

*SEU* 

Slightly Enriched Uranium.

*GST* 

Goods and Service Tax.

*GOOGLE* 

Global Organization Of Oriented GroupLanguage Of Earth.

*YAHOO* 

Yet Another Hierarchical Officious Oracle .

*WINDOW* 

Wide Interactive Network Development for Office work Solution .

*COMPUTER* 

Common Oriented Machine Particularly United and used under Technical and Educational Research.

*VIRUS* 

Vital Information Resources Under Siege.

 *UMTS* 

Universal Mobile Telecommunications System.

*AMOLED* 

Active-matrix organic light-emitting diode.

*OLED* 

Organic light-emitting diode

*IMEI* 

International Mobile Equipment Identity.

*ESN* 

Electronic Serial Number.

Next Article:

Important Innovations and Discoveries : 

https://successinexamination.blogspot.com/2019/08/important-inventions-and-discoveries.html

Accounting Financial Procedures in Haryana Government

 Accounting Financial Procedures in Haryana Government

-Dr. Lalit Kumar Setia

There are three types of funds were maintained:

1.    Consolidated Fund:

All the receipts and payments which are done through the treasury, are come under the Consolidated Fund. Only powers are granted to withdraw the money, as per the sanctioning authority. The budget is used for taking the approval of the public/citizens through their representatives. The budget document is prepared every year and submitted to the FD by 31^st December of the previous year. For example for FY 2022-23, the proposed budget should be submitted by 31^st December 2021. After getting the budget proposal from all departments, it is presented in the assembly/parliament and the amount is allocated by 31^st March of the last year. In the field office, firstly BM-10 is prepared. Thereafter BM-2 is prepared. The DDO (HoO) will send the BM-2 to the Budget Controlling Officer (Mediators between HoO and HoD) èBudget Controlling Authority (Head of Department) èFD

The FD will prepare the consolidated form of The budget proposal and the same is converted to the Budget Speech. After allocation of the budget, the same is communicated from top to bottom.

FM èFDèBCAèBCOèDDO.

How to spend sanctioned Budget:

Seek Administrative and Financial Sanction / approval.

In each department, there are delegated powers for sanction of expenditure.

HoO – 5000 (for recurring exp.) and 10000 (for non-recurring exp.)

HoD – 50000 (for recurring exp.) and 100000 (for non-recurring exp)

FD – Full Power

If the amount of expenditure is more than the the capacity of sanctioning authority then the file will be sent to the next competent authority. In such a case, if the amount of expenditure is bifurcated into two amounts for taking the sanction at the lower level and spend the same. Then it will be considered financial irregularity, known as Split-Up Case.

Delegation of Financial Power

To speed the work of the office, generally the HoD delegates its financial powers to the HoO or Mediators.

Similarly, the FD also enhanced the powers of HoD with delegation. For example:

Suppose FD increased the power of HoD to 500000 from 100000.

HoD increased the power of HoO to 100000 from 10000.

Can HoD increase the powers of HoO further up to his delegated powers?

No. The rule is “The delegated powers cannot be further delegated”.

èAfter getting the approval of the expenditure to be done, from the competent authority

Firstly prepare the estimated expenditure in figures either with the help of approved sources or GeM or amount spent in earlier purchases.

Procure Goods / Services / Works.

Mode of Procurement:

èApproved Source èIf the items are available with the approved sources then we have to procure from them. In such as no audit objection can be raised towards the payment authority. The list of approved sources is available on https://dsndharyana.gov.in/

The Approved Source can be denied or by-pass on three parameters:

a.     The supply of the item is not available with the approved source. (No Objection Certificate / Non Availability Certificate).

b.    In case, directions from the HoD received or approval is taken from HoD to procure the items from market.

c.     In case of emergency, when there is no time to approach Approved Source and permission is granted by the Competent Authority to procure directly from the market.

Procurement from Market (Mode of Procurement in Market)

Online – Government e-Marketplace – GeM

·       Direct Purchase  - Up to 25,000

·       L-1 Purchase – 25001 to 500000

·       Online Bidding / Reverse Auction – Above Rs. 500000

Offline – Physical Market where orders are put-up in physical mode.

·       Without Quotation – Up to 10000

·       With Quotation – 10001 to 100000

·       e-Tender – Above 100000

For Direct Purchase / Without QuotationèNo Comparison is required.

For L-1 Purchase / With Quotation èAt least three prices are required.

For Online Bidding / RA / e-Tender è At least three bidders are required.

Spend the money and procure the goods.

The goods will be received by the Store in-charge / Care Taker (Store). He will inspect the items with the specifications given in the bill. If the items are not as per specifications, no entry in the stock register will be made and the items will be returned.

After finding the accurate specifications, he will accept the items and record the same in the Store register/stock register.

The bill will be sent to the Finance branch for payment. The voucher will be taken upon the concerned file and approval of payment will be taken.

After taking the approval of payment, the payment will be made to the supplier.

The items will be used to the concerned who demanded earlier.

2.    Contingency Fund

The expenditure which is unforeseen at the time of budget and required to be spent in the office, are met from the Contingency fund which is maintained at the disposal of the governor of the state. It is basically an imprest account.

3.    Public Accounts

The expenditure which is neither related to Consolidated Fund nor related to Contingency fund, is maintained in Public Accounts.

GIS, PPF, NPS, GPF, EPF etc.

For public accounts, there is an authority to monitor the expenditure which is independently allowed to create wealth.

The payments from these accounts are made as per the norms of the Government.

Payments and Receipts in Haryana Government:

èDigital Vouchers – We are supposed to scan and upload all the vouchers related to payment. In e-Billing (Maker Login).

èPayments are done directly in the account of the recipient with e-Billing UCP mode.

èThe Maker login is used to make the bill and the Checker login is used to verify the bill and the TO login is used to process the payment in the account of the payee.

èThere are two types of payments – Pay Bills (Basic Pay, DA, LTC, Arrears) and Other Bills (Medical Reimbursement, TA, Contingency Bills Payment, Personal Ledger Account related payments, and GPF Advances).

èChecker is generally DDO and the maker is a government employee supposed to support the checker for making bills.

èThe government has issued instructions for the non-maintenance of the bank account or in other words, without the permission of FD, an office cannot open and maintain a bank account for its payments or receipts.

Receipts in Haryana government:

e-GRAS è

there is a checker login for the DDOs and no maker login. The whole responsibility w.r.t. timely deposit of revenues and cash collections lie with the DDO.

In e-GRAS è

Citizen Login – 

Any person can deposit an amount directly in the receipts head of government and that receipt will be used for the entry in the cash book by the departments.

Checker Login - Checker password of e-Billing is used for it.

Next Page - Responsibilities of Head of Accounting Organizations

https://drlalitsetia.blogspot.com/2021/08/responsibilities-of-head-of-accounting.html

Financial Terminology for Drawing and Disbursing Officers and Financial Executives

Financial Terminology for Drawing and
Disbursing Officers and Financial Executives

-Dr.Lalit Kumar Setia*

Accumulated Fund:

This is the capital of a non-profit-making organization, shown in the Balance Sheet, and it is the net investment made by the contributing members of such an organization. However, it is shown under the head, Accumulated Fund. It represents the members’ equity and provides the risk finance for the assets which the organization is holding and for any other operations undertaken. It often represents the cumulative surplus of subscriptions over expenditure and contains no item of long-term funding provided explicitly at the organization’s formation or later.

Allowance:

An amount permitted to be set off against an income or profit in determining the taxable amount e.g. Capital allowance in respect of fixed assets.

Annual General Meeting:

A meeting which is held every year by a Company’s shareholders in order to review the business transacted, profits or losses made, appoint retire any directors, auditors etc. or any other such matter which is required to be discussed by the shareholders.

Appreciation:

An increase in the value (1) of stocks and shares when their prices rise on the stock exchange (2) of a currency when its value increases in terms of other currencies or (3) of stock or inventory held by manufacturers or traders in a period of rising prices.

Articles of Association:

A set of rules that govern the internal working of a company. They cover things like the issue and transfer of shares, the procedure for calling general meetings, shareholder’s voting rights etc.  This document has to be registered with the registrar of companies.

Assessment:

A statement showing a person’s tax liability for tax and the method of its calculation.

Asset:

The goods, property and resources of all kinds of a company, firm or an individual which are available for the payment of debts and liabilities.  When a balance sheet of a company its drawn-up everything it owns at that time, that has a money value is listed as an asset.  Assets are categorized as fixed or tangible assets e.g. machinery, building etc.  Intangible or fictious assets such as goodwill and current assets such as cash, stock, debtors, bill receivable etc.

Auction:

A sale of a commodity for which bids are made by prospective buyers and the commodity is to be sold to the highest bidder. The completion of the auction is signified by the auctioneer (often by a hammer blow) and there is then a valid contract between the highest bidder and the seller. Prior to the sale, the seller, usually a broker acting on behalf of the owner arranges for the commodity to be made available for inspection and sampling by prospective buyers.  It is a common method of selling items of a unique or unusual nature, such as large houses, works of art, antique furniture etc.

Audit:

The examination, usually yearly or half-yearly, of books of account, by a person specially appointed as the auditor for the purpose of ascertaining the correctness of the books and to give a true and fair view.  Under the Companies Acts this is compulsory for limited companies.

Auditing Standards:

These are statements that prescribe the conduct of audits, and are issued by the Companies Act or Auditing Practices Committee or such bodies that have been set up as professional accountancy bodies and whose members have the statutory right to audit the accounts of limited companies.

Auditor:

A person who conducts an audit.

Auditors’ Report:

An annual report from auditors of company is required by its shareholders along with the financial statements or final accounts for the accounting year.  The auditors are supposed to give a true and fair view of the financial operations of the company.  They are also supposed to give a full account of any reservations that they have in the form of a Qualified auditors report.

Authorized Capital:

The capital of a company as authorized by its memorandum of association. It is also called the ‘norminal’ and ‘registered’ capital.  The actual amount of capital issued may be less than this, and so the company, if it should wish, will be able to increase its capital at a later date upto the full amount authorized without further application to the Registrar of Companies, Whenever a new company is formed it has to state its authorized capital in order to be registered with the Registrar of Companies.

Automated Teller Machine:

This is a robot which dispenses cash and, in some cases, deals with certain other basic banking transactions of a kind which traditionally would have been handled by a cashier or teller over a bank counter.

Average:

A single figure representing a group of figures.  Arithmetic mean, Geometric mean, Median, Mode etc. are measures of an average.  A term used in marine insurance, as the amount payable by the owner of a ship and by the cargo owners, in proportion to their individual interests, to make good any loss caused by throwing part of the cargo overboard or cutting away the masts or such similar things, in order to prevent the loss of the ship and the rest of the cargo.

Bad Debt:

A debt that is difficult or impossible to collect.  This is an amount legally owed to the business, but unlikely to be paid because of bankruptcy or dishonesty or any other reason.

Bailment:

The delivery of goods or chattels to another person for a particular purpose other than on a sale.  The law of bailment is derived from the Roman law on the subject, but it touches and concerns a number of aspects of business life.  For example, auctioneers common carriers, pawnbrokers, dry-cleaners and bankers are all involved in contracts of bailment.  In the financial world, the principal examples of bailment are safe custody and hire-purchase.

Balance:

An outstanding amount on any account not closed anything a debit or credit.

Balance Sheet:

A balance sheet shows the assets and liabilities at a point of time of a company or other incorporated body or of a private person.  It is usually a picture of trading enterprise, but can be a statement drawn up by a charity, club, or a partnership.  It reflects the position of assets and liabilities on a particular date.  It is a ‘stock’ statement, unlike the ‘flow’ statements like the Profit and Loss account or trading account, which reflects a firm’s business operations for a particular period i.e. throughout the accounting period.

Bank Charges:

This is the commission charged by a bank to a customer for managing or maintaining its account.  This term is often used lossely to describe interest charges on bank loans and overdrafts.  Today bank charges account for nearly thirty per cent of the total cost of the banking services.

Bills of Exchange:

An unconditional order in writing, addressed by one person to another signed by the person giving it, requiring the addressee to pay on demand or at a stated future date a sum of money to a certain person or to the order of that person or to the bearer.  It is negotiable instrument requiring one person to pay a sum of money to another on a specific date on the order of a third person.

Blue chips:

Shares of successful progressive by the shareholders of a public or private limited company primarily for planning and policy making in addition to other functions.

Board of Directors:

A committee elected by the shareholders of a public or private limited company primarily for planning and policy making in addition to other functions.

Bonus:

An additional sum or payment than the amount agreed or contracted for e.g. in Life Insurance where policies are ‘with profits’, the insured receives an annual addition, known as bonus which is determined on the basis of profits earned by the insurance company.  Manufacturing industries often give bonus to their workers in addition to wages, worked out on different principles or systems of bonus, such as the productivity bonus or task bonus system.

Bonus Shares:

Share issued on a pro-rata basis to the existing shareholders by a company free of charge.  These are usually issued out of capital or revenue reserves.  This is capitalization of reserves or undistributed profits by a company.  The main aim of a bonus issue is to bring the capital of a company more closely in line with the level of the company’s assets.

Book Keeping:

A systematic method of maintaining records of business transactions.  It is keeping an account of what comes in and what goes out on a transaction day-to-day basis.  A record of financial dealings.

Book Value:

The value of the assets appearing in books of accounts on the debit side.  This is usually the price at which an asset has been acquired by a firm or company.  The book value after the asset is in use would be the value after deducting the depreciation to date.

Branch Accounts:

A system of maintaining accounts of business activities at places other than the main or head office, by a person known as a manager who is given a considerable number of powers.

Break Even:

A point or stage of business where there is neither a profit nor loss.  It is also known as the point from where profits begin.  Break-even analysis entrails the categorization of costs into fixed, variable and semi-variable.  A break-even chart shows the trend of total costs and revenues graphically and also indicates the break-even point.

Broker:

An agent acting on behalf of a principal, except in the case of the bill broker, who usually acts on his own account. Simply, a person who buys and sells goods, bills, stocks etc.  on behalf of another person.

Brokerage:

The charge or commission charged by brokers to clients on whose behalf they are carrying out the business transactions.

Budget:

The word was derived from the French word, “Bougette” which means “Little Bag”, or a receptacle of documents and accounts.  A budget is a statement of intentions or a plan of stating expected incomes and expenses under a given set of operating conditions.  It is also defined as an “overall financial plan for future activities.” It can be viewed as a plan for the utilization and coordination of materials, labour and other resources.

Business expenses:

Expenses incurred by a company in the course of its business activities or related to the business activities.

Business Income:

At current costs valuation, the total income that accrues to a firm or company during a particular accounting period.  This is arrived at after making several adjustments to sales income.

Previous : Earlier Paragraph on Financial Terminology 

Next : Continued......

*Copyright © 2018 Dr. Lalit Kumar. All rights reserved.

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5. Financial Terminology for Drawing and Disbursing Officers and Financial Executives

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Financial Terminology for Finance Officers

Financial Terminology for Finance Officers

-Dr. Lalit Kumar Setia*

There are various financial terms used frequently in business newspapers, articles of economics, and financial stuff available online. Each Drawing and Disbursing Officer, Financial Manager, Economist, Bureaucrat, and Minister should aware of these terms to perform their functions more confidently. After compiling the information, such terms have been collected, researched and described as under:

·                 Abatement – 

It refers complete or partial cancellation of a levy imposed by a government. The abatements apply to tax levies, special assessments, and service charges.

·                 Accrual – 

Accrual means which has happened but receipt or payment for which has not been processed. In other words, those expenses which have been incurred but payment is not made will be accrued expenses and those incomes which have been earned but amount is not received yet, will be accrued incomes.

·                 Amalgamation – 

A process of consolidation or merger in which two or more entities are merged and transformed to a single entity.

·                 Anomaly – 

Something different from common rule, happens irregularly and becomes difficult to be explained with any particular theory or rules. For example, in fixation of pay, sometimes pay is fixed but it is fixed wrongly and challenged by the affected person; known as anomalies in pay fixation.

·                 Appraisal – 

It is evaluation of usefulness of person or entity. Performance Appraisal will be evaluation of performance. Project Appraisal will be evaluation of Project. Usually, appraisals are made to support the decision-making.

·                 Arbitrator - 

A person assigned with the task of arbitration (sorting out any dispute). He or she listens both parties of the dispute and gives a ruling which seems fair to both parties, in that case.

·                 Audit – 

It refers to the process of checking or verifying records relating to rules and regulations. The person associated with the task of audit, is known as auditor.

·                 Automatic teller machine (ATM) – 

A machine which dispenses cash and also allows banking customers to perform a set of financial transactions with the help of debit or credit cards.

Continued..... 

*Copyright © 2018 Dr. Lalit Kumar. All rights reserved. 

Previous Article : Block Chain for Publishers – Future of Authors and Readers  

1. Compliance of Financial Rules in Government Organizations
2. Financial Terminology for Drawing and Disbursing Officers and Financial Executives
3. Organizational Performance depends upon Accountability and Compliance of Rules
4. Fixing Responsibility of an Officer or Staff in Frauds & Embezzlement
5. Financial Terminology for Drawing and Disbursing Officers and Financial Executives
6. Tax Deduction at Source for Deductors
7. Fixing Responsibility of an Officer or Staff in Frauds & Embezzlement

8. Superintendents enforce and supervise administrative control