PROPOSAL BY:-

2010
MUHD. ZULFAHMI BIN MOHD. SOBRI
MANAGER OF FINANCIAL DEPARTMENT
WARISAN RMN

SUCCESSFUL PLAN FOR COMPANY

 Table of Contents

• Introduction

• Overview

• Task Specification

• Conjectures

• Procedure : Part 1

: Part 2

• Further Exploration

• Conclusion

• Reflection

Introduction
A bank is a financial intermediary that accepts deposits and
channels those deposits into lending activities, either directly or
through capital markets. A bank connects customers with capital
deficits to customers with capital surpluses.

Banking is generally a highly regulated industry, and government

restrictions on financial activities by banks have varied over time
and location. The current set of global bank capital standards are
called Basel II. In some countries such as Germany, banks have
historically owned major stakes in industrial corporations while in
other countries such as the United States banks are prohibited
from owning non-financial companies. In Japan, banks are usually
the nexus of a cross-share holding entity known as the keiretsu.

The oldest bank still in existence is Monte dei Paschi di Siena,

headquartered in Siena, Italy, which has been operating
continuously since 1472.[1]

History of Banking

Banks date back to ancient times. During the 3rd century AD,
banks in Persia and other territories in the Persian Sassanid
Empire issued letters of credit known as Ṣakks. Muslim traders
are known to have used the cheque or ṣakk system since the time
of Harun al-Rashid (9th century) of the Abbasid Caliphate. In the
9th century, a Muslim businessman could cash an early form of
the cheque in China drawn on sources in Baghdad,[2][verification
needed] a tradition that was significantly strengthened in the
13th and 14th centuries, during the Mongol Empire.[citation
needed] Fragments found in the Cairo Geniza indicate that in the
12th century cheques remarkably similar to our own were in use,
only smaller to save costs on the paper. They contain a sum to be
paid and then the order "May so and so pay the bearer such and
such an amount". The date and name of the issuer are also
apparent. The earliest known state deposit bank, Banco di San
Giorgio (Bank of St. George), was founded in 1407 at Genoa, Italy.
[3] Banking in the modern sense of the word can be traced to
medieval and early Renaissance Italy, to the rich cities in the
north like Florence, Venice and Genoa. The Bardi and Peruzzi
families dominated banking in 14th century Florence, establishing
branches in many other parts of Europe[4]. Perhaps the most
famous Italian bank was the Medici bank, set up by Giovanni
Medici in 1397

Origin of the word

The name bank derives from the Italian word banco "desk/bench",
used during the Renaissance by Jewish Florentine bankers, who
used to make their transactions above a desk covered by a green
tablecloth.[6]

The earliest evidence of money-changing activity is depicted on a

silver drachm coin from ancient Hellenic colony Trapezus on the
Black Sea, modern Trabzon, c. 350–325 BC, presented in the
British Museum in London. The coin shows a banker's table
(trapeza) laden with coins, a pun on the name of the city. In fact,
even today in Modern Greek the word Trapeza (Τράπεζα) means
both a table and a bank.
 Overview
Warisan RMN provides enterprises with a computer
components platform for everyone . It was established in 2009.
Our company enables to sell the good and quality computer
components and deliver to people most important software on
their computer. Our company has the big mission to achieve it. As
we know, each company wants their company gain the maximum
profit. So, that is our mission.
Every business requires some form of investment and a
sufficient of costumers to buy its products or services that give
profits on a continuous basis. When pricing experts set a selling
price for a new product, our goal is to maximize profits. We begin
by estimating the demand for the product at various selling
prices. Generally, the demand for a product will increase as the
selling prices decreases.
 Task specification

Part 1

We are required to:-

Gain maximum profit
- Determine the relationship between the demand and the selling
price
-Calculate the total yearly profit
-Finding maximum profit using differentiation and completing the
square
-Determine the number of the computer components to be
manufactured

Part 2

We are required to:-

Finding a loan
-Calculate the total amount of interest
-Calculate the average interest rate per month
-Tabulate the yearly repayment for each loan
-Find out the maximum amount of loan
-Choose loan for company
-Find out the amount of the reserve fund
 Conjecture

Part 1
My conjecture for this part is:-

The higher the demand,

The higher the profit that can be

gained.

This is because people want an item at a lower price.

So, demand will be higher and lead to greater profitability.

Part 2
My conjecture is:-

Differences in the rate of the loan

causes differences rate of interest.
 Procedure

Selling price per unit , s (RM) Estimated yearly demands , d (unit)

75 4500

125 3500

200 2000

250 1000

PART 1
1(a)
TABLE 1

The graph shows the relationships between estimated yearly

demand against selling price for a unit of computer components.

Graph shows the demand of society for computer components

produced by the Warisan RMN.
-When the selling price of RM25, demand is required by 5500.
-When the selling price of RM50, demand is required by 5000.
-When the selling price of RM75, demand is required by 4500.
-When the selling price of RM100, demand is required by 4000.
-When the selling price of RM125, demand is required by 3500.
-When the selling price of RM150, demand is required by 3000.
-When the selling price of RM175, demand is required by 2500.
-When the selling price of RM200, demand is required by 2000.
-When the selling price of RM225, demand is required by 1500.
-When the selling price of RM250, demand is required by 1000.

1(b)
One unit of particular computer component is RM50.
The selling price for one unit is RMs.
So, to find the profit earned is RMs-RM50.
So, we use this formulae:-

Y = (s-50)d

Y = Total yearly profit

s = selling price

d = demands

Selling price per Estimated yearly Total yearly profit, Y

unit , s (RM) demands , d (unit)
(RM)

75 4500 (75 – 50) x 4500 = 112500

125 3500 (125 – 50) x 3500 = 262500

200 2000 (200 – 50) x 2000 = 300000

250 1000 (250 – 50) x 1000 = 200000

 First of all, let's find the gradient and the y-intercept of the graph.

Gradient, m = 4500-100075-250 = -20

y -intercept, c = 6000

Then let's form the linear equation of the graph

y=mx+cd= -20s+6000

Substitute this into the equation of yearly profit

Y=s-50×dY=s-50×-20s+6000
Y= -20s2+7000s-300000

Y = Yearly
profit
s = Selling
Price

1(c)
Method 1
• differentiation
Y= -20s2+ 7000s-300000

dYds= -40s+7000

The yearly profit, Y, is maximum when dYds =0

-40s+7000=040s=7000s=175

Therefore, the yearly profit, Y, is maximum when the selling price,

s = RM175

Method 2
• completing the square
 Y= -20s2+ 7000s-300000
Y= -20s2-350s-300000= -20s2-350s-35022-35022-300000Y= -20s-1752+612500-
300000Y= -20s-1752+312500

Maximum profit, Y, is maximum at RM312500 when the selling

price, s, is RM175

1(d)
d= -20s+6000

For maximum profit, the selling price, s, is RM175,

d= -20175+6000

d= 2500

So, the number of computer components to be manufactured is

2500 units.

PART 2

Loan Monthly Payment (RM)

Amount
(RM) 12 months 24 months 36 months 48 months 60 months

10 000 1 034.00 617.00 478.00 409.00 367.00

 15 000 1 550.00 925.00 717.00 613.00 550.00

20 000 2 067.00 1 234.00 956.00 817.00 734.00

25 000 2 584.00 1 542.00 1 195.00 1 021.00 917.00

30 000 3 100.00 1 850.00 1 434.00 1 225.00 1 100.00

35 000 3 617.00 2 159.00 1 673.00 1 430.00 1 284.00

40 000 4 134.00 2 467.00 1 912.00 1 634.00 1 467.00

45 000 4 650.00 2 775.00 2 150.00 1 838.00 1 650.00

50 000 5 167.00 3 084.00 2 389.00 2 042.00 1 834.00

TABLE 2

2(a)
Total Loan Total Interest Incurred (RM)
(RM) 12 months 24 months 36 months 48 months 60 months

10 000 2 408 4 808 7 208 9 632 12 020

20 000 4 804 9 616 14 416 19 216 24 040

30 000 7 200 14 400 21 624 28 800 36 000

40 000 9 608 19 208 28 832 38 432 48 020

50 000 12 004 24 016 36 004 48 016 60 040

TABLE 3
2(b)
Total Loan Average Interest Per Month (RM)
(RM) 12 months 24 months 36 months 48 months 60 months

10 000 200 200 200 200 200

20 000 400 400 400 400 400

30 000 600 600 600 600 600

40 000 800 800 800 800 800

50 000 1000 1000 1000 1000 1000

TABLE 4

We use this formulae:-

Total Loan Average Interest Rate Per Month

(RM) 12 months 24 months 36 months 48 months 60 months

10 000 2% 2% 2% 2% 2%

20 000 2% 2% 2% 2% 2%

30 000 2% 2% 2% 2% 2%

40 000 2% 2% 2% 2% 2%

50 000 2% 2% 2% 2% 2%

RATE= AMOUNT OF INTEREST INCURREDTOTAL LOANX 100 %

TABLE 5

Since the interest rate is constant 2% over time, the average

interest per month remain same every month. The average
interest per month is also directly proportional to the amount of
loan.

The interest rate is the same for any term of loan and it’s affected
by the amount of loan. The interest rate (24% per annum) is too
high for a normal bank loan.
2(c)
 Loan Annual Payment (RM)
Amount
(RM) 12 months 24 months 36 months 48 months 60 months

10 000 12 408 7 404 5 736 4 908 4 404

15 000 18 600 11 100 8 604 7 356 6 600

20 000 24 804 14 808 11 472 9 804 8 808

25 000 31 008 18 504 14 340 12 252 11 004

30 000 37 200 22 200 17 208 14 700 13 200

35 000 43 404 25 908 20 076 17 160 15 408

40 000 49 608 29 604 22 944 19 608 17 604

45 000 55 800 33 300 25 800 22 056 19 800

50 000 62 004 37 008 28 668 24 505 22 008

55 000 68 196 40 704 31 536 26 952 24 204

60 000 74 376 44 412 34 404 29 405 26 412

65 000 80 604 48 108 37 272 31 800 28 608

70 000 86 808 51 816 40 140 34 308 30 812

75 000 93 000 55 512 43 008 36 757 33 012

80 000 99 204 59 208 45 864 39 204 35 208

85 000 105 395 62 916 48 732 41 664 37 416

90 000 111 600 66 612 51 600 44 112 39 612

95 000 117 804 70 320 56 184 46 560 41 820

100 000 124 008 74 016 57 336 49 008 44 016

TABLE 6

For total annual payment for 12 months, the payment are:-

12 408, 18 600, 24 804, 31 008, 37 200, 43 404, 49 608 .....

T2 - T1 = 18 600 – 12 400 = 6 192
T3 - T2 = 24 804 – 18 600 = 6 204
T4 - T3 = 31 008 – 24 804 = 6 204
T5 - T4 = 37 200 – 31 008 = 6 192
T6 - T5 = 43 404 – 37 200 = 6 204
T7 - T6 = 49 608 – 43 404 = 6 204

The difference of the annual payment is 6 192 and 6 204.

The difference is approximately the same, hence we assume that

the annual payment form an arithmetic progression with common
difference ≈ 6 200.

2(d)

BUDGET = RM 200000 X 20%

= RM 40000

Repayment Period Maximum Amount of Loan (RM)

12 Months 30 000

24 Months 50 000

36 Months 65 000

48 Months 80 000

60 Months 90 000

The best loan is:-

RM50000 because :

• We don’t know the financial state of our company for over

than 2 years. So, this is the best loan we can make that our
survey by the financial section shows that we can stand with
this profit for 2 years.
• We don’t have to pay high interest that can lead to the loss.

monthly interest= 2.5%12= 524%=0.2083%

Amount of Reserved Fund

End of Month
(RM)

31/01/2010 50 000 x 1.002083 = 50 104

28/02/2010 50 104 x 1.002083 = 50 208

31/03/2010 50 208 x 1.002083 = 50 313

30/04/2010 50 313 x 1.002083 = 50 418

31/05/2010 50 418 x 1.002083 = 50 523

30/06/2010 50 523 x 1.002083 = 50 628

31/07/2010 50 628 x 1.002083 = 50 733

31/08/2010 50 733 x 1.002083 = 50 839

Reserve 30/09/2010 50 839 x 1.002083 = 50 945
fund = RM 31/10/2010 50 945 x 1.002083 = 51 051
50000
30/11/2010 51 051 x 1.002083 = 51 157
Interest rate
= 2.5% per 31/12/2010 51 157 x 1.002083 = 51 264

annum
 Verification

Part 1
My conjecture is not accepted.
It is because profitability of a company are fixed at a price only.
That’s why we use differentiation method to find the fixed profit.

Part 2
My conjecture is accepted.
It is because the rate of every loan amount are differences even a
little bit.
In the same time, they also are approximately equal.
So, we must choose the best loan for our company.
 Further Exploration
There are some differences between Islamic and Conventional
banking systems basically can be seen from the angle as follows:

1. In the Islamic banking system, the use of a laptop in the laptop

as a capital gain to the origin of money is not allowed (free of
interest). This is due to non-profit based laptop available for the
return of lawful justice. Why did not the original capital gains to
the fund shall be based on profit and loss sharing of common
(profit / loss sharing). So if only one party to bear the loss while
the other remains a profit under any circumstances, this is a real
injustice and the practice of usury.

Basic aspects of profit in the conventional banks are based on

profits that have meaning, especially in activities involving public
funds (savings account users) are not directly involved usury.

2. Islamic banking activities is based on business contracts that

allowed in Islam such as
- Al-Mudharabah (Trustee profit sharing)
- Al-Musharakah (Joint-venture profit sharing)
- Al-Bai 'Bithaman Ajil (Deferred Instalment Sale)
- Al-Ijarah (Leasing)
- Bai salam (Salam sale)
- Bai alistisna `(Sale on order)

Where contracts are legitimate businesses as an alternative to

the system is in the laptop business in the conventional banks.

3. Many conventional banks using public funds for personal

benefits or group (shareholders), as a result, investment and
business is focused on continuing to maximize the profit
immediately without looking at the effects on society, whether
long or short.

About the different Islamic banks because the banks theoretically

be responsible for all deposits from the public and provide
efficient services in the public interest for socio-economic goals of
Islam are concerned.

4. In terms of the relationship between conventional bank

customers is limited to the relationship between creditors and
borrowers only. But in the Islamic bank, the bank will act as
project manager or financier engaged in raising funds or trusts
that are based on profit or loss.

In addition customers can also share all the negative effects

without any guarantee of profit from the bank or the right to take
advantage of the benefits that have been determined. Therefore,
the Islamic bank is a real money manager for clients to share the
information with them.

5. Islamic banking system is real consumer savings, while

according to other definitions of the actual role of conventional
banks are (famous author) that the supply of money or other
words, the main creator of inflationary pressures.

Based on the above characteristics, then this is the savings in

conventional bank can be regarded as a debt that is as depositors
have debts to the bank and not a savings alone.

Estimates are on what is happening in the realm of reality and not

in accordance with the given name does not matter which we
have named as a reserve, or with a different name but in reality,
it has limitations violate the meaning of his own savings and
closer to the meaning but the meaning of 'debt has reached a `as
is described above.

This is acknowledged by most Western economists in the reserves

or savings benefit for such returns are considered 'debts' but if
the savings alone, and no savings of any profits earned by
depositors.

Islam prohibits usury, the ownership of the property based on

many laptop systems and even harmful characteristics of the
system is designed notebook also lead to the property is not
'clean', then as an alternative Islam has opened the way for the
acquisition of other assets such as business contracts mentioned
above.

Islam is only one door closes it is clear that brought destruction to

the community but otherwise wide open.

Which means there are many other legitimate alternatives. So

how fair to Islam, if an opportunity is closed because of the
drawback it will come other opportunities open area of the road
and get a lot of good.
Reflection
 When I think success
I see it comes
When i dream success
I see it comes
When i touch success
It fates away
Success success
My hope
I'll find success
Embrace success
When i hold success
I'll keep it save
When I have success
I'll share it
Conclusion
Success success
My world
I'll rule
Yes, I'll influence
Thought, Oh thought
My Success Success
I'll keep,
I see
Success a life
Success my hope
Success my world
Success My World
by Fiefa Bruce
Part 1
- selling goods at prices lower than cost price will result in loss
- and vice versa ...
So, we must study deeply on the number of products
manufactured and the suitable prices so that our company gain
the maximum profit.

Part 2
- To make a loan, we can apply from any banks. Then, we choose
any loans provided.
- But we need to think rationally and smart to choose a loan so
that the loan that
we have chosen will not give bad effects to company.

Overall
- In our daily life, we use application of our knowledge such as
Additional -Mathematics and others.
- Make decisions that benefit to company like choose loan and so
on.
- Also make saving for the future and unexpected events like
accidents or others. Never give up when the company suffered
losses.
- Find a way to bring it back.