Description
It describes the workings of the BLML case.
Variance Analysis (Quarterly Basis)
Income Statement
Planned Quarter ended 30.6.99 Sales Raw Material Consumption Direct Labour Depreciation Manufacturing Overheads Cost of Production Adjustement of Inventory COGS Admin & Selling Exp Operating Profit COGS expsd as % of sales Raw Material exprsd as % of COP Direct Labour exprsd as % of COP Manufacturing Overhead as % of COP 2160 Actual Quarter ended 30.6.99 2074 Planned Quarter ended 30.9.99 3120 Actual Quarter ended 30.9.99 2739
Deviations -86
Deviation -381 0 2 -2 0 1 1 -228 -227 -27 -427
624 624 120 120 1488 48 1536 114 510
656 629 120 128 1533 25 1558 120 396
32 5 0 8 45 -23 22 6 -114
624 624 120 120 1488 624 2112 185 823
626 622 120 121 1489 396 1885 158 396
71.11%
75.12%
67.69%
68.82%
41.94%
42.79%
41.94%
42.04%
41.94%
41.03%
41.94%
41.77%
8.06%
8.35%
8.06%
8.13%
Contribution margin
Planned Quarter ended 30.6.99 Actual Quarter ended 30.6.99 Planned Quarter ended 30.9.99 Actual Quarter ended 30.9.99
Sales COGS Contribution Contribution as a % of Sales
2160 1536 624 28.89%
2074 1558 516 24.88%
3120 2112 1008 32.31%
2739 1885 854 31.18%
(all figures in lakhs)
Planned Quarter Ended 31.12.99 1600 Actual Quarter Ended 31.12.99 1336 Planned Quarter Ended 31.3.2000 1120 Actual Quarter Ended 31.3.2000 Deviation 962 -158 0 -188 -114 0 -20 -322 208 -114 -36 -8
Deviation -264 0 -98 -56 0 25 -129 26 -103 -53 -108
624 624 120 120 1488 -288 1200 143 257
526 568 120 145 1359 -262 1097 90 149
624 624 120 120 1488 -576 912 107 101
436 510 120 100 1166 -368 798 71 93
75.00%
82.11%
81.43%
82.95%
41.94%
38.70%
41.94%
37.39%
41.94%
41.80%
41.94%
43.74%
8.06%
10.67%
8.06%
8.58%
Planned Quarter Ended 31.12.99
Actual Quarter Ended 31.12.99
Planned Quarter Ended 31.3.2000
Actual Quarter Ended 31.3.2000
Planned Year ended 31.3.2000
Actual Year ended 31.3.2000
1600 1200 400 25.00%
1336 1097 239 17.89%
1120 912 208 18.57%
962 798 164 17.05%
8000 5760 2240 28.00%
7111 5338 1773 24.93%
(all amounts expressed are in lakhs) Operating Cycle 1. Raw Material storage period a) Annual Consumption of Raw material b) Average daily consumption of Raw Material c) Average stock of Raw Material Opening stock Closing Stock d) Raw Material Storage period (days) 2. Work-in-progress (Conversion Period) a) Annual cost of Production ( Opening WIP + Raw material Consumed + Other Expenses + Depreciation - Closing Stock b) Daily Cost of Production c) Average Stock of WIP Opening stock Closing Stock d) Average Conversion Period (days) 3. Finished Goods Storage Period a) Annual Cost of Sales (Opening Stock of FG + Cost of Production + Selling & Admin cost - Closing Stock of FG) b) Daily Cost of Sales c) Average stock of Finished Goods Opening stock Closing Stock d) Finished Goods Storage Period (days) 4. Average Collection Period a) Annual Credit Sales b) Average daily credit sales 8000 22.22 7111 19.75 Planned Actual 1120 1120 1312 1487 17.53 15.61 6309 5619 Planned Actual 832 832 832 674 16.53 15.85 5952 5705 Planned Actual 217 217 208 121 Planned 2496 6.93 Actual 2244 6.23
212.5 30.65
169 27.11
832
753
50.32
48.87
1216 69.39
1303.5 83.51
c) Average Credit Balance Opening balance Closing balance d) Average Collection Period (days) 5. Average Payable Period a) Annual Credit purchases made by the company b) Average daily Credit purchase c) Average balance of Payables Opening balance Closing balance d) Average Payable Period (days) Planned Actual 231 235 208 145 2496 6.93 2244 6.23 Planned Actual 558 527 560 387 559 25.16 457 23.14
219.5 31.66
190 30.48
Operating Cycle
143.85
152.15
ts expressed are in lakhs)
Cash Report
Planned Quarter ended 30.6.99 Cash Receipts Accounts Receivable Cash Payments Accounts Payable Direct Labour Manufacturing Overheads Admin & Selling Exp Interest Dividend Net Block Taxes Term Loan Instalments Total payments Excess receipts over payments Bank Receipts Cash withdrawn from Bank 647 624 120 114 152 80 920 122 0 2779 1478
Actual Quarter ended 30.6.99
Planned Quarter ended 30.9.99
Actual Quarter ended 30.9.99
Planned Quarter ended 31.12.99
Actual Quarter ended 31.12.99
Planned Quarter ended 31.3.2000
1425
2960
2424
2240
2121
1320
665 629 128 120 140 80 999 136 0 2897
624 624 120 185 128 80 120 75 200 2156
668 622 121 158 138 80 130 95 200 2212
624 624 120 143 96 80 120 149 0 1956
572 568 145 90 121 80 89 168 0 1833
624 624 120 107 108 160 120 176 200 2239
-1301 921 371
-1472 1040 417
804 117 0
212 820 17
284 0 -167
288 517 -13
-919 749 167
Actual Quarter ended 31.3.2000
1281
429 510 100 71 124 160 92 17 200 1703
-422 872 -2
Interest PBT Tax PAT Dividend Retained earnings Operating Profit Term Loan Instalments
planned Quarter ended 30.6.99 152 358 154 204 80 124 510 400
actual Quarter ended 30.6.99 140 256 110 146 80 66 396
planned Quarter ended 30.9.99 -12 128 -102 695 -44 -58 0 -58 -114 299 396 80 316 823
actual Quarter ended 30.9.99 138 558 240 318 80 238 396
10 -137 -59 -78 0 -78 -427
Interest coverage Ratio = EBIT/Interest Expense 3.36
2.83
6.43
2.87
Debt Service Ratio = EBIT/(Interest Expense + Principal Payment of debt) 0.92 0.73
1.56
0.74
planned Quarter Ended 31.12.99 96 161 69 92 -80 12 257
actual Quarter Ended 31.12.99 121 28 12 16 -80 -64 149
planned Quarter Ended 31.3.2000 25 108 -133 -7 0 -57 -3 -76 -4 0 0 -160 -76 -108 -164 101
actual Quarter Ended 31.3.2000 124 -31 -13 -18 -160 -178 93
16 -24 0 -10 -14 0 0 -14 -8
2.68
1.23
0.94
0.75
0.52
0.29
0.20
0.18
doc_822427394.xlsx
It describes the workings of the BLML case.
Variance Analysis (Quarterly Basis)
Income Statement
Planned Quarter ended 30.6.99 Sales Raw Material Consumption Direct Labour Depreciation Manufacturing Overheads Cost of Production Adjustement of Inventory COGS Admin & Selling Exp Operating Profit COGS expsd as % of sales Raw Material exprsd as % of COP Direct Labour exprsd as % of COP Manufacturing Overhead as % of COP 2160 Actual Quarter ended 30.6.99 2074 Planned Quarter ended 30.9.99 3120 Actual Quarter ended 30.9.99 2739
Deviations -86
Deviation -381 0 2 -2 0 1 1 -228 -227 -27 -427
624 624 120 120 1488 48 1536 114 510
656 629 120 128 1533 25 1558 120 396
32 5 0 8 45 -23 22 6 -114
624 624 120 120 1488 624 2112 185 823
626 622 120 121 1489 396 1885 158 396
71.11%
75.12%
67.69%
68.82%
41.94%
42.79%
41.94%
42.04%
41.94%
41.03%
41.94%
41.77%
8.06%
8.35%
8.06%
8.13%
Contribution margin
Planned Quarter ended 30.6.99 Actual Quarter ended 30.6.99 Planned Quarter ended 30.9.99 Actual Quarter ended 30.9.99
Sales COGS Contribution Contribution as a % of Sales
2160 1536 624 28.89%
2074 1558 516 24.88%
3120 2112 1008 32.31%
2739 1885 854 31.18%
(all figures in lakhs)
Planned Quarter Ended 31.12.99 1600 Actual Quarter Ended 31.12.99 1336 Planned Quarter Ended 31.3.2000 1120 Actual Quarter Ended 31.3.2000 Deviation 962 -158 0 -188 -114 0 -20 -322 208 -114 -36 -8
Deviation -264 0 -98 -56 0 25 -129 26 -103 -53 -108
624 624 120 120 1488 -288 1200 143 257
526 568 120 145 1359 -262 1097 90 149
624 624 120 120 1488 -576 912 107 101
436 510 120 100 1166 -368 798 71 93
75.00%
82.11%
81.43%
82.95%
41.94%
38.70%
41.94%
37.39%
41.94%
41.80%
41.94%
43.74%
8.06%
10.67%
8.06%
8.58%
Planned Quarter Ended 31.12.99
Actual Quarter Ended 31.12.99
Planned Quarter Ended 31.3.2000
Actual Quarter Ended 31.3.2000
Planned Year ended 31.3.2000
Actual Year ended 31.3.2000
1600 1200 400 25.00%
1336 1097 239 17.89%
1120 912 208 18.57%
962 798 164 17.05%
8000 5760 2240 28.00%
7111 5338 1773 24.93%
(all amounts expressed are in lakhs) Operating Cycle 1. Raw Material storage period a) Annual Consumption of Raw material b) Average daily consumption of Raw Material c) Average stock of Raw Material Opening stock Closing Stock d) Raw Material Storage period (days) 2. Work-in-progress (Conversion Period) a) Annual cost of Production ( Opening WIP + Raw material Consumed + Other Expenses + Depreciation - Closing Stock b) Daily Cost of Production c) Average Stock of WIP Opening stock Closing Stock d) Average Conversion Period (days) 3. Finished Goods Storage Period a) Annual Cost of Sales (Opening Stock of FG + Cost of Production + Selling & Admin cost - Closing Stock of FG) b) Daily Cost of Sales c) Average stock of Finished Goods Opening stock Closing Stock d) Finished Goods Storage Period (days) 4. Average Collection Period a) Annual Credit Sales b) Average daily credit sales 8000 22.22 7111 19.75 Planned Actual 1120 1120 1312 1487 17.53 15.61 6309 5619 Planned Actual 832 832 832 674 16.53 15.85 5952 5705 Planned Actual 217 217 208 121 Planned 2496 6.93 Actual 2244 6.23
212.5 30.65
169 27.11
832
753
50.32
48.87
1216 69.39
1303.5 83.51
c) Average Credit Balance Opening balance Closing balance d) Average Collection Period (days) 5. Average Payable Period a) Annual Credit purchases made by the company b) Average daily Credit purchase c) Average balance of Payables Opening balance Closing balance d) Average Payable Period (days) Planned Actual 231 235 208 145 2496 6.93 2244 6.23 Planned Actual 558 527 560 387 559 25.16 457 23.14
219.5 31.66
190 30.48
Operating Cycle
143.85
152.15
ts expressed are in lakhs)
Cash Report
Planned Quarter ended 30.6.99 Cash Receipts Accounts Receivable Cash Payments Accounts Payable Direct Labour Manufacturing Overheads Admin & Selling Exp Interest Dividend Net Block Taxes Term Loan Instalments Total payments Excess receipts over payments Bank Receipts Cash withdrawn from Bank 647 624 120 114 152 80 920 122 0 2779 1478
Actual Quarter ended 30.6.99
Planned Quarter ended 30.9.99
Actual Quarter ended 30.9.99
Planned Quarter ended 31.12.99
Actual Quarter ended 31.12.99
Planned Quarter ended 31.3.2000
1425
2960
2424
2240
2121
1320
665 629 128 120 140 80 999 136 0 2897
624 624 120 185 128 80 120 75 200 2156
668 622 121 158 138 80 130 95 200 2212
624 624 120 143 96 80 120 149 0 1956
572 568 145 90 121 80 89 168 0 1833
624 624 120 107 108 160 120 176 200 2239
-1301 921 371
-1472 1040 417
804 117 0
212 820 17
284 0 -167
288 517 -13
-919 749 167
Actual Quarter ended 31.3.2000
1281
429 510 100 71 124 160 92 17 200 1703
-422 872 -2
Interest PBT Tax PAT Dividend Retained earnings Operating Profit Term Loan Instalments
planned Quarter ended 30.6.99 152 358 154 204 80 124 510 400
actual Quarter ended 30.6.99 140 256 110 146 80 66 396
planned Quarter ended 30.9.99 -12 128 -102 695 -44 -58 0 -58 -114 299 396 80 316 823
actual Quarter ended 30.9.99 138 558 240 318 80 238 396
10 -137 -59 -78 0 -78 -427
Interest coverage Ratio = EBIT/Interest Expense 3.36
2.83
6.43
2.87
Debt Service Ratio = EBIT/(Interest Expense + Principal Payment of debt) 0.92 0.73
1.56
0.74
planned Quarter Ended 31.12.99 96 161 69 92 -80 12 257
actual Quarter Ended 31.12.99 121 28 12 16 -80 -64 149
planned Quarter Ended 31.3.2000 25 108 -133 -7 0 -57 -3 -76 -4 0 0 -160 -76 -108 -164 101
actual Quarter Ended 31.3.2000 124 -31 -13 -18 -160 -178 93
16 -24 0 -10 -14 0 0 -14 -8
2.68
1.23
0.94
0.75
0.52
0.29
0.20
0.18
doc_822427394.xlsx