Skip to main content


Network A system of interconnected computers and computerized peripherals such as printers is called computer network. This interconnection among computers facilitates information sharing among them. Computers may connect to each other by either wired or wireless media. A computer network consists of a collection of computers, printers and other equipment that is connected together so that they can communicate with each other.  

Network application
A Network application is any application running on one host and provides a communication to another application running on a different host, the application may use an existing application layer protocols such as: HTTP(e.g. the Browser and web server), SMTP(e.g. the email-client). And may be the application does not use any existing protocols and depends on the socket programming to communicate to another application. So the web application is a type of the network applications. 
There are lots of advantages from build up a network, but the th…

Budgeting Systems Tally.ERP 9

In this lesson, you will learn:
Different Budget Methods: Which Works Best for You?
• The basic concept of Budgeting Systems in Tally.ERP 9 

o Keeping track of company expenditure.

o Making use of funds effectively.

• Enabling Budget in Tally.ERP 9.

• Step-wise process of creating budget.

• Displaying Budgets and Variances for Groups and Ledgers.

• Displaying budgets for cost center.

Trainer’s Note

• Begin the lesson explaining the concept of Budgeting System inTally.ERP 9. Explain how 
budgeting keeps track of company expenditure and make use of funds effectively.

• After explaining the use and concept of Budgeting System, let focus on the process that 
enables Budgets in Tally.ERP 9. Now teach the process clearly so that each and every 
student can create budget in their own. Use different examples to support your teachings. 
However, make sure you test their skill to ensure the best result from the students.

Next explain what is displaying budget and Variances for Groups and Ledgers and follow 
this point with the displaying budgets for Cost Centre. 

• During the session, keep the students encouraged by explaining the lesson more 
interactive and interesting.

Budgeting System in Tally.ERP 9 is a plan prepared to ensure the flow of fund in an organization. 

It largely incorporates financial guidelines for the forthcoming plan of action for a selected span of time. 

Budgeting helps a company to maintain a track of how much money it has, where its money is going and allocate those funds at any point of time. A proper budgeting system ensures a 
business to keep a track of its expenditure and make use of the funds effectively. Consequently, business owners can compare revenues and expenses with utmost ease, and more significantly, make better future investments. 

Taking care of the budgeting process is no longer a challenging task with Tally.ERP 9’s powerful and intuitive Budgeting feature. It enables users to create multiple budgets as per their requirements and include these figures in a financial statement. Now, users can compare the actual and budgeted figures along with variance right from one screen.To enable Budgets in Tally.ERP 9:

• Go to Gateway of Tally > F11: Features (Accounting Features)

• Set ‘Maintain Budgets and Controls’ to ‘Yes.’

• Accept to save.

Creating Budgets

Budgets can be created for an individual ledger account, groups of ledger accounts and Cost Centers or for all of them. For example, we can generate budgets for traveling, advertisement, operations etc. 

To Create Budgets:

• Go to Gateway of Tally > Accounts Info. > Budgets

• Select ‘Create’ > Press ‘Enter’ 

Enter budget name in ‘Name’ 

• Select ‘Primary’ in ‘Under’ 

• Specify the ‘Period of Budget’ in ‘From:’ and ‘To:’

o For Group Budgets:

If you want to track all expenses, you can generate Financial Budget as shown below:

• Set ‘Yes’ under ‘Group’ in ‘Set/Alter Budgets of’> Press ‘Enter’

• In ‘Group Budgets’ screen, select the required Group in ‘Account Name’

• Select the appropriate ‘Type of Budget’

• Enter budget ‘Amount’

• Accept the screen

Note: ‘On Closing Balance’ option is used to compare the closing balances of the Accounts with the budgets in the final statements. ‘On Nett Transactions’ is used to monitor the transaction amounts (not the balances) for a specified period.

o For Ledger Budget 

Just as we have produced the group ledger, ledger budget can be generated as follows: 

• Set ‘Yes’ under ‘Cost Centres’ in ‘Set/Alter Budgets of’> Press ‘Enter’ 

• In ‘Cost Centre Budget’ screen, select the required Cost Centres and enter 
‘Expenses’ for each Cost Centre (Income and Closing Balance can also be entered in 
case it required)

Based on your requirement, you can make necessary changes to Budgets as per your 
requirement. To do these: 

• Go to Gateway of Tally> Accounts Info> Budgets> Alter

To delete budget, press ‘Alt+D’ on the budget alteration screen.

When the required budgets are formed, they can be displayed in the new columns in financial statement such as Balance Sheet, Profit & Loss Account etc. However, Business owners can use this handy feature in order to compare budgeting figures against the actual figures.
Let’s incorporate the created Group Budgets in Trial Balance and view the variance:

Go to Gateway of Tally> Display> Trial Balance

• Press ‘Alt+B’ or click on ‘B: Budget Variance’

• On the Variance Analysis screen, select the appropriate Budgets> Press ‘Enter’

Now, the report has columns for Group Budget, Actuals, and Budget Variance as given below:

By default, the cost centre report in Tally.ERP 9 automatically shows the value of Budgets 
and Variance with the corresponding actuals based on the last voucher entry date. Tally 
enables its user a significant and useful capabilities for time based on allocation of budget 
amount. Therefore, if a user changes the time period, say from yearly to quarterly, Tally 
automatically allocates the related amount based on the period selected. Hence, variance is 
based on the original amount and the proportional budget for that time period.
To display this: 

• Go to Gateway of Tally> Display> Statements of Accounts> Cost Centres> Category 

Press ‘Alt+B’ and select the required budget and the report will display budgets and variance 
as mentioned below:

Tally.ERP 9 provides a handy option to view the budgets and variance based on month, half-year, 
quarter, fortnight etc. To do this: 

• Press ‘Alt+N

• Select the required ‘Column Details’

• Set ‘Yes’ to ‘Show Total Column’ and press ‘Enter’

With Tally.ERP 9, Budgeting for future business planning and deriving information on how the funds have been utilized easily with the ability to see variance in the budgets based on user specified time periods.


Popular posts from this blog

What if Analysis

What-If Analysis What-If Analysis in Excel allows you to try out different values (scenarios) for formulas. The following example helps you master what-if analysis quickly and easily.  Use scenarios to consider many different variables  A scenario is a set of values that Excel saves and can substitute automatically in cells on a worksheet. You can create and save different groups of values on a worksheet and then switch to any of these new scenarios to view different results. 
Create Different Scenarios 
Note: You can simply type in a different revenue and Cost into cell B2 and B3 respectively to see the corresponding result of a scenario in cell B4. However, what-if analysis enables you to easily compare the results of different scenarios.  
I. On the Data tab, click What-If Analysis and select Scenario Manager from the list. The Scenario Manager Dialog box appears  II. Add a scenario by clicking on Add.  III. Type a name (e.g. “First Case”), select cell B2 and B3 (represents “Revenue” and “…


Asking For and Giving Opinions on Likes and Dislikes

Words Meaning Sample Sentence Opinion A statement or judgment formed about some matter. Bhoomika gave her final opinion on the company’s matter. Dialogue A conversation between two or more people. Her dialogue stated her opinion about the company’s matter. Expression The action of making known one’s thought or feelings. Her expression was sad at the meeting. Frank An open, honest, and direct speech or writing Bhoomika is very frank with her friends. Recover Return to normal state of health, mind or strength. The company’s economic crisis will be recovered soon. Turmoil A state of great disturbance. The company is facing financial turmoil. Economics The branch of knowledge concerned with the production, consumption, and transfer of wealth. Bhoomika studied Economics at the State University. Betrayed Expose to danger by treacherously giving information to an enemy.


Apology Etiquette and Office Vocabulary 

Chapter Vocabulary

Word Meaning Sample Sentence Stressed A state of any mental or emotional tension. Ram seems much stressed after his poor exam. Launch An act of instance of starting something. The government launched a new scheme for the poor people. Error A mistake Ravi found a grammatical error in his new grammar book. Scold Blaming someone for any wrong doing Bhuvan scolded his employees for their poor performance. Accuse Claiming that someone has done something wrong. Bharati accuses her friend Chaya for stealing her necklace. Fair Good and honest Ravi got promoted for doing a fair job. Ashamed Embarrassed or guilty because of one’s action. <