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Cash Management Practices Followed in Agribusiness Sector in Western Tamil Nadu

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N. Deepa

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Indian Journal of Economics and Development
Year : 2016, Volume : 12, Issue : 1a
First page : ( 447) Last page : ( 450)
Print ISSN : 2277-5412. Online ISSN : 2322-0430.
Article DOI : 10.5958/2322-0430.2016.00103.7

Cash Management Practices Followed in Agribusiness Sector in Western Tamil Nadu

Deepd N.*
Department of Agricultural and Rural Management, Tamil Nadu Agricultural University, Coimbatore-641 003

*Correspondencs author’s email: ndeepa@tnau.ac.in

JEL Codes C81, O13, Q12, Q16

Online published on 26 April, 2016.

Abstract
On, cash management practices, respondents of coconut oil mills were asked about preparation of cash budgets, determination of target balance and occurrence of cash shortage/Surplus. Cash management practices were analyzed using mean score and coefficient of variation. The study sample consisted of 40 coconut oil mills in Western Tamil Nadu and the data collected for five-year period from 2009–10 to 2013–14. The coefficient of variation (CV) of all the cash management practices reflected the high degree of consistency in cash management practices adopted by the efficient category oil mills. Hence, it is suggested that the oil mills in inefficient category have to take efforts to prepare cash budgets, which would reduce the problem of occurrence of cash shortage/surplus.

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