Traffic suspense represents earnings accrued at stations that remain unrealized. It has several components, including station outstandings, accounts office balance sheet, cash in transit, and demands recoverable. Station outstandings include freight awaiting realization from major parties. The accounts office balance sheet is used to incorporate traffic cash received. Cash in transit is station cash credited but received in the following month. Demands recoverable include dues from land rent and maintenance charges. Traffic suspense affects the railway's gross surplus or shortfall and financial viability. It is cleared through admitted debits paid in cash or recovered, objected debits resolved, and efforts to deliver or dispose of goods and recover outstanding amounts. Regular monitoring and meetings are suggested

1. TRAFFIC
SUSPENSEBy
Noopur Tripathi
IRAS 2011
DyFACAO/AMV

2. SUSPENSE- THE
TEMPORARY
CESSATION OR
SUSPENSION OF
SOMETHING.

3. WHAT
IS
TRAFFI
C
SUSPEN
SE?Traffic suspense represents the
earnings accrued at stations or
otherwise but remains unrealised.

4. COMPONENTS OF
TRAFFIC SUSPENSE
➤ Station outstandings
➤ Accounts office balance sheet
➤ Cash in transit
➤ Demands recoverable
➤ Miscellaneous

5. STATION OUTSTANDINGS
➤ Comprise of freight outstandings in respect of goods on hand
and not in hand, freight and demurrage awaiting realisation
from major parties such as powerhouses and state electricity
boards, remission orders/CCOs, Credit authority awaited and
accounts office debit.

6. ACCOUNTS OFFICE BALANCE SHEET
➤ Prepared for the purpose of taking the carriage bills into
account and Of watching their realisation from the firms or
departments concerned, as also for incorporating in accounts
the traffic Cash received otherwise than through theStation
balance sheets.

7. CASH IN TRANSIT
➤ Stations take credit in their balance sheets for cash realised by
them in the month irrespective of whether it is remitted to and
acknowledged by the cashier in that month or in the
subsequent month. Such station cash for which credit has
been allowed to the stations in one month but, which has been
received in the cash office after the third of the following month
and consequently included in the general booksIn the following
month, is called cash in transit.

8. DEMANDS
RECOVERABLE➤ To bring into account all dues
pertaining to
➤ Land rent charges for
engineering and commercial
plots
➤ Interest,Maintenance charges
and inspection charges for
sightings.
➤ Rent of buildings.
➤ Maintenance charges for
ROBs, FOBs and level
crossings
➤ Miscellaneous

9. SIGNIFICANCE OF TRAFFIC SUSPENSE
➤ Gross earnings- traffic suspense=gross traffic receipts
➤ Gross traffic receipts- total working expenses = net traffic
receipts
➤ Net traffic receipts + net misc receipts = net railway revenue
➤ Net railway revenue- dividend payable to general revenue =
gross surplus

10. ➤ Thus the increase or decrease of the traffic suspense affects
the gross surplus or shortfall and has an important bearing on
the viability of financial results of a railway.

11. HOW IS TRAFFIC
SUSPENSE CLEARED?

12. ADMITTED
DEBITS➤ Paid in cash by the staff
responsible.
➤ Recovered through the salary.
➤ Transferred to another station
➤ Written off if irrecoverable

13. OBJECTED DEBIT
➤ If the objection is found valid, necessary credit advice will be
issued to the station, who will take special credit in the balance
sheet on hand on its authority, sending the same in support of
special credit.
➤ If the objection is found incorrect, the case will be returned to
the outstanding section with the remarks rebutting the
objection and the outstanding branch will inform the
stationmaster to bring the same under admitted debit and
arrange to clear the debit.

14. FREIGHT OUT STANDING ON
GOODS/PARCELS ON HAND➤ Cleared through delivery to the consignees.
➤ In the case of consignee is not forthcoming for taking delivery,
disposal is arranged by transfer to LPO Or auction sale.
➤ For consignment received without invoices, booking sections
are referred to ascertain the names of consignees for ensuring
the delivery

15. FREIGHT OUTSTANDING ON
GOODS/PARCELS NOT TO HAND
➤ Efforts are made to trace them by reporting the matter to the
booking station/Special credits in balance sheet vice previous
accountal of memo deliveries et cetera

16. ➤ Freight of invoices/PWP awaiting clearance through certified
over charge sheets are cleared through certified overcharge
sheets/ special credits in balance sheets vice previous
accountal of Memo deliveries etc.

17. ➤ Demurrage and wharfage waiting clearance cleared on the
basis of remission only as and when received

18. ➤ Outstanding recoveries from powerhouses etc against match
deliveries etc to clear, it is enjoined upon the station to arrange
the periodic reconciliation with the siding owners and
arranging recovery of theNet dues and adjustment of the
balance through, certified over charge sheets,

19. ➤ Imprest cash- These outstandings are continuing in nature.
However, obsolete tariff and timetables are returned and credit
taken for the value thereof.

20. ➤ Balances under AOB should normally be cleared within 3
months as these mostly pertain to bills issued to govt
ministries
➤ Duly watching demands recoverable.

21. SUGGESTIONS TO
IMPROVE TRAFFIC
SUSPENSE
CLEARANCE

22. ➤ Regular meetings of
SrDCMs/CIS/SrTIAs
➤ Regular monitoring of court
cases
➤ Disputed records to be
preserved
➤ Recoveries to be made

23. “A man grows most tired while
standing still.
Chinese proverb

24. THANK YOU