Project Report
OWNERSHIP AND MANAGEMENT PLAN
Annexure-I
Rs. in Lacs.
S. No. Particulars Amount
1 Cost of Land & Building Owned
2 Cost of Plant & Machinery 13.00
3 Cost of Misc. Fixed Assets 2.00
15.00
Sources of Funds
1 Own Contribution 12.00
2 Unsecured Loans 3.00
15.00
ECONOMIC / PROFITABILITY OF THE PROJECT
Annexure : II
Rs. in Lacs
S. No. Particulars I II III IV V
Capacity Utilisation 60% 70% 80% 80% 80%
A Sales 108.00 126.00 144.00 158.00 174.00
Total (A) 108.00 126.00 144.00 158.00 174.00
B Cost of Production
Raw Materials/Purchase 73.44 85.68 97.92 107.71 118.48
Power & Fuel 7.52 8.78 10.03 11.03 12.13
Consumable 5.00 6.00 7.00 8.00 9.00
Wages/Salaries 10.63 12.40 14.17 15.59 17.15
Repairs & Maintainence 0.50 0.60 0.70 0.80 0.90
Depreciation 2.15 1.84 1.57 1.35 1.15
Total (B) 99.24 115.30 131.39 144.48 158.81
C Cost of Sales 8.76 10.70 12.61 13.52 15.19
D Gross Profit 8.76 10.70 12.61 13.52 15.19
Selling Distt. & Adam. Exps. 3.66 4.50 5.31 5.12 5.69
E Ope. Profit Before Intt & Tax 5.10 6.20 7.30 8.40 9.50
Interest :-
Term Loan ------- ------- ------- ------- -------
Working Capital ------- ------- ------- ------- -------
F Profit after Intt. 5.10 6.20 7.30 8.40 9.50
Taxes 0.10 0.20 0.30 0.40 0.50
G Profit after Tax 5.00 6.00 7.00 8.00 9.00
Annexure : III
Rs. in Lacs
Installed Capaity of Rw Material Requirement
Capacity Per Day : 1500 Pcs of Hinges
Shift : (8 Hours + 4 Hours = 12 Hours)
Production Per Month : 37500 Pcs of Hines
No. of Working Days : 25 days in a month
Production per anum : 450000 Pcs of Hines
Raw Material Consumption for 1500 Pcs Per Day
S. No. Item Quantity Rate Amount
1 Strips SS 300 Kg 106/- 31,800.00
2 Wire/Pin 75 Kg 120/- 9,000.00
40,800.00
Yearly Consumption : Rs. 12240000/-
Or Say 122.40 Lacs
Capacity Utilisation :
1st Year 60% Capacity Utilisation : Rs. 73.44 Lacs
2nd Year 70% Capacity Utilisation : Rs. 85.68 Lacs
3rd Year 80% Capacity Utilisation : Rs. 97.92 Lacs
Annexure : IV
Rs. in Lacs
Sales Realisation:
Total Production Capacity
S. No. Particulars Production Capacity
1 Hinges 450000 Pcs P.A
Realisation:
S. No. Particulars Production Rate Amount
1 Hinges 450000 Pcs 40/- 18000000
Or Say 180.00 Lacs
Capacity Utilisation :
1st Year 60% Capacity Utilisation : Rs. 108.00 Lacs
2nd Year 70% Capacity Utilisation : Rs. 126.00 Lacs
3rd Year 80% Capacity Utilisation : Rs. 144.00 Lacs
Annexure : V
Rs. in Lacs
Details of Power Requirements
Particulars Value
Total Power Requirements 49 KW
Power Load Factor 0, 746
No. of Working Hours / Day 12
No. of Units Required / Day 440 Units
No. of Units Required per anum 132000 Units
No. of Working Days in a year 300.00
50% Units available by UHBVN 66000 Units
50% Units available by D.G Set 66000 Units
Rate/Unit UHBVN Rs. 9.00 = 594,000.00
Rate/Unit D.G. Set Rs. 10.00 = 660,000.00
Total Expenditure 1,254,000.00
Or Says Rs. 12.54 Lacs
Capacity Utilisation :
1st Year 60% Capacity Utilisation : Rs. 7.52 Lacs
2nd Year 70% Capacity Utilisation : Rs. 8.78 Lacs
3rd Year 80% Capacity Utilisation : Rs. 10.03 Lacs
Annexure VI
Rs. in Lacs
Schedule of Wages
S. No Designation No. of Posts Wages P.M Amount
1 Manager 1 15,000.00 15,000.00
2 Super Visor 1 12,000.00 12,000.00
3 Skilled Worker 6 10,000.00 60,000.00
4 Semi Skilled Worker 4 9,000.00 36,000.00
12
Monthly Wages 123,000.00
Add 20% for other benefits 24,600.00
Total Monthly Wages 147,600.00
Yearly Wages : Rs. 17.71 Lacs
Capacity Utilisation :
1st Year 60% Capacity Utilisation : Rs. 10.63 Lacs
2nd Year 70% Capacity Utilisation : Rs. 12.40 Lacs
3rd Year 80% Capacity Utilisation : Rs. 14.17 Lacs
Annexure-VII
Rs. In Lacs.
Schedule of Depriciation
Plant & Misc. Fixed
Particulars Machinery Assets Total
Cost 13.00 2.00
Rate of Depreciation 15% 10%
1st Year Depreciation 1.95 0.20 2.15
W.D.V. 11.05 1.80
2nd Year Depreciation 1.66 0.18 1.84
W.D.V. 9.39 1.62
3rd Year Depreciation 1.41 0.16 1.57
W.D.V. 7.98 1.46
4th Year Dereciation 1.20 0.15 1.35
W.D.V. 6.78 1.31
5th Year Depreciation 1.02 0.13 1.15
W.D.V. 5.76 1.18
Cash Flow Statement
Annexure: VIII
Rs. In Lacs
Particulars I II III IV V
Cash Accruals (Net Profit before
Intt. Tax) 5.10 6.20 7.30 8.40 9.50
Own Contribution 12.00 ------- ------- ------- -------
Depreciation 2.15 1.84 1.57 1.35 1.15
Increase in Unsecured Loan 3.00 ------- ------- ------- -------
Increase in Working Capital ------- ------- ------- ------- -------
Increase in Term Loan ------- ------- ------- ------- -------
Short Term Deposit ------- ------- ------- ------- -------
Total Sources ( A) 22.25 8.04 8.87 9.75 10.65
Disposition of Funds:
Decrease in Unsecured Loan ------- 1.00 1.00 1.00 -------
Security & Deposits ------- ------- ------- ------- -------
Cash & Bank Bal. ------- ------- ------- ------- -------
Increase in capital Expenditure 15.00 ------- ------- ------- -------
Decrease in Term Loan ------- ------- ------- ------- -------
Increase in Net Current Assets ------- 1.00 1.00 0.50 1.50
Interest ------- ------- ------- ------- -------
Tax 0.10 0.20 0.30 0.40 0.50
Drawing / Dividends 5.00 5.50 6.50 7.50 8.50
Total Disposition ( B) 20.10 7.70 8.80 9.40 10.50
( C ) Op. Balaance. ------- 2.15 2.49 2.56 2.91
(D ) Net Surplus 2.15 0.34 0.07 0.35 0.15
(E ) Closing Balance 2.15 2.49 2.56 2.91 3.06
PROJECTED BALANCE SHEET
Annexure: IX
Rs. In Lacs
Liabilities I II III IV V
Term Loan ( Bank) ------- ------- ------- ------- -------
Unsecured Loans 3.00 2.00 1.00 ------- -------
Secured Loan from Bank (W.C.) ------- ------- ------- ------- -------
Net Worth:
Own Contribution 12.00 12.00 12.00 12.00 12.00
Reserve & Surplus ------- 0.50 1.00 1.50 2.00
Total 15.00 14.50 14.00 13.50 14.00
Assets:-
Net Fixed Assets 12.85 11.01 9.44 8.09 6.94
Net Current Assets ------- 1.00 2.00 2.50 4.00
Cash & Bank Balance 2.15 2.49 2.56 2.91 3.06
Prelimnary & Pre-op-exps. ------- ------- ------- ------- -------
Total 15.00 14.50 14.00 13.50 14.00
