Accounting and Finance Functions in an Automotive Components Manufacturing Company

2293 Words Sep 14th, 2010 10 Pages

AREAS 1. Accounts Receivable. 2. Accounts Payable. 3. Inventory. 4. Direct and Indirect Taxes. 5. Payroll. 6. Treasury Operations. 7. Manufacturing/Final Accounts. Accounts.

Activities in Accounts Receivable Function

1. Recording of Invoices based on the Sales made during the day. 2. Recording of Receipts during the day. 3. Passing the credit notes/debit notes and recording the same. 4. Preparing the Account Receivables report on periodical basis and giving the information to the concerned like: a. Aged AR to the Top Management. b. AR-Customer details to the sales/marketing people for collection and
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5. Ensure proper deduction of Provident fund is made and remitted to the Government in time.

Activities of Treasury Function

1. Prepare the daily, weekly and monthly cash flow/funds flow statement for the company based on the inputs from the AR, AP, Production departments. 2. Ensure that the working capital availments with the banks are within the limits. 3. Project Management (Fixed assets) is also another important activity in this function. 4. Try to minimize the Interest cost by optioning for various financial instruments. 5. Forex cover, bill discounting/letter of credit facilities, interaction with banks etc. are other activities in Treasury function.

Activities in Manufacturing/Final Accounts Function

1. Preparation of the Yearly Budgets, monthly estimates, comparison of the actuals vs. estimates. 2. Preparation of various Manufacturing accounts in Inventory, Production, Scrap etc. including quantitative records. 3. Comparison of the Actual Manufacturing results with the Standards and the reasons for the deviations. 4. Preparation of the Monthly Management accounts and Yearly Statutory accounts as per the Companies Act, 1956. 5. Liaison with Internal and Statutory Auditors for preparation of accounts, checking of transactions, scrutiny of records, physical verification of stocks, fixed assets etc. also form activities in this
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