OPENING BALANCE SHEET

LIABILITIES AMOUNT(Rs.) ASSETS

SHARE CAPITAL 32000 BUILDING

LONG TERM LOAN 128000 PLANT & EQUIPMENT
CASH

TOTAL 160000 TOTAL

CLOSING BALANCE SHEET

LIABILITIES AMOUNT (Rs.) ASSETS

SHARE CAPITAL 32000 BUILDING

RESERVE FUND 530553.33 PLANT & EQUIPMENT
LONG TERM LOAN 128000 DEBTORS
CASH

TOTAL 690553.33 TOTAL

AMOUNT(Rs.)

100000
50000
10000

160000

AMOUNT (Rs.)

90000.00
37500.00
540000
23053.33

690553.33
Sl.No. Details
A Investment
A1 Land
A2 Building
A3 Plant and Machinery
Total Investment
B Sales
B1 Capacity Utilisation (%)
B2 Production of Kernel(in Kgs)
B3 Selling Price (Rs./Kg)
Sales Revenue
C Cost of Production and Sales
C1 Raw Materials
C2 Power & Fuel
C3 Salaries(1Sec@Rs5000, 1guard@Rs1800PM for 12 months)
C4 Wages(40 labourers) @Rs1800 PM(9 months)
C5 Factory Overheads
C6 Selling Expenses
C7 Interest on Working Capital Loan
Total Cost of Production and Sales
D Profit Before Depreciation, Interest and Tax (PBDIT)
E Depreciation
F Profit Before Interest (PBI)
G Interest on Term Loan
H Profit after interest and depreciation
Dividend
Reserve Fund

DETAILS OF DEPRECIATION
1 Value of buildings at yr beginning
2 Depreciation on buildings
3 Value of P&M at yr beginning
 4 Depreciation on P&M
5 Total Depreciation

Sl.No. Details
1 Total Variable Cost
2 Total Fixed Cost
3 Sales
4 Contribution/ Kg
5 Break Even Quantity (Kg)
 Year 0 Year 1

100000.00
50000.00
150000.00

2160000.00

1440000.00
0.00
81600.00
40000.00
12000.00
4000.00
9566.67
1587166.67
572833.33
22500.00
550333.33
14080.00
536253.33
3200.00
533053.33

100000.00
0.10 10000.00
50000.00
 0.25 12500.00
22500.00

M-00 M-01
1493166.67
34900.00
2160000.00
#DIV/0!
#DIV/0!
HILL BROOM: PROFIT AND LOSS ACCOUNT

Sales 2160000.00
Less:
Raw Material 1440000.00
Power & Fuel 2500.00
Salaries 81600.00
Wages 40000.00
Factory Overheads 12000.00
Depreciation 22500.00
Selling Expenses 4000.00
Interest on loan@11% 14080.00
Interest on short term loan 9566.67
Total Expenses 1626246.67

Net Profit 533753.33

Less: Dividend 3200.00
Reserve Fund 530553.33
HILL BROOM: CASH FLOW Aggregated for the Year March April May

Purchase price per kg Hill Broom 20.0 20.0 0.0

Raw Material(Hill Broom) 1440000.0 360000.0 360000.0 0.0
Power & Fuel 2500.0 500.0 500.0 500.0
Salaries 81600.0 6800.0 6800.0 6800.0
Wages 40000.0 10000.0 10000.0 0.0
Manufaturing Overheads 12000.0 3000.0 3000.0 0.0
Selling Expenses 4000.0 1000.0 1000.0 0.0
Interest on short term loan @14%pa 9566.7 4666.7 3500.0
Interest on loan@11% 14080.0
Total Expenses 1603746.7 381300.0 385966.7 10800.0

Sales Quantity 54000.0 13500.0 13500.0 0.0

Sales @ Rs 40/kg (assuming25% wastage) one month credit 2160000.0 540000.0 540000.0 0.0
Cash received from Debtors 1620000.0 540000.0 540000.0
Opening Cash Balance 10000.0 10000.0 28700.0 82733.3
Total Receipts 10000.0 568700.0 622733.3
Cash surplus or deficit -371300.0 182733.3 611933.3
Borrowings 520000.0 400000.0 0.0 0.0
Loan Payments 520000.0 0.0 100000.0 300000.0
Ending cash Balance 40333.3 28700.0 82733.3 311933.3
Profit before depreciation
Less:- Depreciation 556253.3
Profit after interest & depreciation 22500.0
Less:- Dividend @ 10% 533753.3
Profit after dividend 10000.0
523753.3
Calculations for interest
400000.0
Borrowings 520000.0 400000.0 0.0 0.0
Loan Payments 520000.0 0.0 100000.0 300000.0
Net borrowings 400000.0 300000.0 0.0
Interest Cost 4666.7 3500.0 0.0
June July August September October November December January February

0.0 0.0 0.0 0.0 0.0 0.0 0.0 20.0 20.0

0.0 0.0 0.0 0.0 0.0 0.0 0.0 360000.0 360000.0
0.0 0.0 0.0 0.0 0.0 0.0 0.0 500.0 500.0
6800.0 6800.0 6800.0 6800.0 6800.0 6800.0 6800.0 6800.0 6800.0
0.0 0.0 0.0 0.0 0.0 0.0 0.0 10000.0 10000.0
0.0 0.0 0.0 0.0 0.0 0.0 0.0 3000.0 3000.0
0.0 0.0 0.0 0.0 0.0 0.0 0.0 1000.0 1000.0
0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 1400.0

6800.0 6800.0 6800.0 6800.0 6800.0 6800.0 6800.0 381300.0 382700.0

0.0 0.0 0.0 0.0 0.0 0.0 0.0 13500.0 13500.0

0.0 0.0 0.0 0.0 0.0 0.0 0.0 540000.0 540000.0
0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 540000.0
311933.3 305133.3 298333.3 291533.3 284733.3 277933.3 271133.3 264333.3 3033.3
311933.3 305133.3 298333.3 291533.3 284733.3 277933.3 271133.3 264333.3 543033.3
305133.3 298333.3 291533.3 284733.3 277933.3 271133.3 264333.3 -116966.7 160333.3
0.0 0.0 0.0 0.0 120000.0
0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 120000.0
305133.3 298333.3 291533.3 284733.3 277933.3 271133.3 264333.3 3033.3 40333.3
interest 14080.0
dividend 3200.0

loan 0.0
17280.0
Ending Cash 23053.3
0.0 0.0 0.0 0.0 0.0 0.0 0.0 120000.0 0.0
0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 120000.0
0.0 0.0 0.0 0.0 0.0 0.0 0.0 120000.0 0.0
0.0 0.0 0.0 0.0 0.0 0.0 0.0 1400.0 0.0
Sl.No. Details M-00 M-01 M-02 M-03
A Investment
A1 Land -1.20
A2 Building -6.00
A3 Plant and Machinery -1.00
A5 Preliminary Expenses -0.50
A7 Working Capital Margin -15.49
Total Investment -24.19
B Sales
B1 Capacity Utilisation (%) 80.00 80.00 80.00
B2 Production of Kernel(in Kgs) 32400 32400 32400
B3 Selling Price (Rs./Kg) 200 210 221
Sales Revenue 64.80 68.04 71.44
C Cost of Production and Sales
C1 Raw Materials 49.25 51.71 54.30
C2 Power & Fuel 0.65 0.68 0.71
C3 Salaries(1Sec@Rs5000, 1guard@Rs1800PM for 12 months) 0.82 0.82 0.82
C4 Wages(40 labourers) @Rs1800 PM(9 months) 6.48 6.48 6.48
C5 Factory Overheads 0.50 0.53 0.55
C6 Selling Expenses 0.50 0.55 0.61
C7 Interest on Working Capital Loan 0.10 6.59 6.92
Total Cost of Production and Sales 58.29 67.35 70.39
D Profit Before Depreciation, Interest and Tax (PBDIT) 6.51 0.69 1.06
E Depreciation 0.85 0.73 0.63
F Profit Before Interest and Tax (PBIT) 5.66 -0.04 0.43
G Interest on Term Loan #REF! 1.25 1.13
H Profit Before Tax (PBT) #REF! -1.29 -0.70
I Write-off of preliminary expenses 0.05 0.05 0.05
J PBT less write-off of prel exp. #REF! -1.34 -0.75
K Unabsorbed loss of previous years 0.00 0.17 0.00
L Gross Income #REF! -1.51 -0.75
N Total Income #REF! -1.51 -0.75
O Income-tax Rate (%) 36.75 36.75 36.75
P Income-tax 0.00 -0.56 -0.28
Q Profit after tax (PAT) #REF! -0.96 -0.48
R Net Salvage Value of fixed assets
S Net Recovery of Working Capital Margin
T Net Cash Flow (NCF) -24.19 #REF! 0.61 0.92
U Present Value (PV) of Net Cash Flows -24.19 #REF!
V Net Present Value (NPV) #REF!
WORKING CAPITAL ESTIMATES
Norm in
months

1 Raw materials 49.25 51.71 54.30

5 Total current assets 49.25 51.71 54.30
6 Working capital margin @ 25% of total current assets 12.31 12.93 13.57
7 Trade credit 0.50 2.05 2.15 2.26
8 Bank credit for working capital 34.88 36.63 38.46
9 Interest rate on Working Capital Loan (%) 18.00 18.00 18.00
10 Interest on Working Capital Loan 6.28 6.59 6.92
DETAILS OF DEPRECIATION
 1 Value of buildings at yr beginning 6.00 5.40 4.86
2 Depreciation on buildings 10.00 0.60 0.54 0.49
3 Value of P&M at yr beginning 1.00 0.75 0.56
4 Depreciation on P&M 25.00 0.25 0.19 0.14
5 Total Depreciation 0.85 0.73 0.63
INTEREST ON TERM LOANS
1 Loan at the beginning of first half 10.43 10.43 9.78
2 Loan repayable during first half 0.00 0.00 0.65
3 Loan at the beginning of second half 10.43 10.43 9.13
4 Loan repayable during second half 0.00 0.65 0.65
5 Annual interest rate (%) 12.00 12.00 12.00
6 Annual interest 1.25 1.25 1.13
COST OF CAPITAL
1 Promoter's Equity 6.00 6.00 6.00
2 Term Loan 10.43 10.43 9.46
3 Khadi Village Industrial C 7.00 7.00 7.00
4 Dividend Rate (%) 0.00 12.00 12.00
5 Weighted cost of capital 4.82 9.20 9.30
6 Weighted average cost of capital 11.83

Sl.No. Details M-00 M-01 M-02 M-03

1 Total Variable Cost 55.49 64.54 67.55
2 Total Fixed Cost 2.83 2.72 2.64
3 Sales 64.80 64.80 64.80
4 Contribution/ Kg 0.00029 0.00029 0.00029
5 Break Even Quantity (Kg) 9849 9485 9199
M-04 M-05 M-06 M-07 M-08 M-09 M-10

80.00 80.00 80.00 80.00 80.00 80.00 80.00

32400 32400 32400 32400 32400 32400 32400
232 243 255 268 281 295 310
75.01 78.76 82.70 86.84 91.18 95.74 100.53

57.01 59.86 62.85 66.00 69.30 72.76 76.40

0.75 0.79 0.83 0.87 0.91 0.96 1.01
0.82 0.82 0.82 0.82 0.82 0.82 0.82
6.48 6.48 6.48 6.48 6.48 6.48 6.48
0.58 0.61 0.64 0.67 0.70 0.74 0.78
0.67 0.73 0.81 0.89 0.97 1.07 1.18
7.27 7.63 8.01 8.41 8.84 9.28 9.74
73.57 76.92 80.43 84.13 88.02 92.10 96.40
1.44 1.85 2.27 2.71 3.16 3.64 4.13
0.54 0.47 0.41 0.36 0.32 0.28 0.25
0.90 1.38 1.85 2.34 2.84 3.35 3.88
0.98 0.82 0.67 0.51 0.35 0.20 0.04
-0.08 0.55 1.19 1.83 2.49 3.15 3.84
0.05 0.05 0.05 0.05 0.05 0.05 0.05
-0.13 0.50 1.14 1.78 2.44 3.10 3.79
0.00 0.00 0.00 0.00 0.00 0.00 0.00
-0.13 0.50 1.14 1.78 2.44 3.10 3.79
-0.13 0.50 1.14 1.78 2.44 3.10 3.79
36.75 36.75 36.75 36.75 36.75 36.75 36.75
-0.05 0.18 0.42 0.66 0.90 1.14 1.39
-0.08 0.32 0.72 1.13 1.54 1.96 2.40
2.65
15.49
1.13 1.36 1.61 1.86 2.14 2.42 20.86

57.01 59.86 62.85 66.00 69.30 72.76 76.40

57.01 59.86 62.85 66.00 69.30 72.76 76.40
14.25 14.97 15.71 16.50 17.32 18.19 19.10
2.38 2.49 2.62 2.75 2.89 3.03 3.18
40.38 42.40 44.52 46.75 49.09 51.54 54.12
18.00 18.00 18.00 18.00 18.00 18.00 18.00
7.27 7.63 8.01 8.41 8.84 9.28 9.74
 4.37 3.94 3.54 3.19 2.87 2.58 2.32
0.44 0.39 0.35 0.32 0.29 0.26 0.23
0.42 0.32 0.24 0.18 0.13 0.10 0.08
0.11 0.08 0.06 0.04 0.03 0.03 0.02
0.54 0.47 0.41 0.36 0.32 0.28 0.25

8.48 7.18 5.88 4.58 3.28 1.98 0.68

0.65 0.65 0.65 0.65 0.65 0.65 0.68
7.83 6.53 5.23 3.93 2.63 1.33 0.00
0.65 0.65 0.65 0.65 0.65 0.65
12.00 12.00 12.00 12.00 12.00 12.00 12.00
0.98 0.82 0.67 0.51 0.35 0.20 0.04

6.00 6.00 6.00 6.00 6.00 6.00 6.00

8.16 6.86 5.56 4.26 2.96 1.66 0.34
7.00 7.00 7.00 7.00 7.00 7.00 7.00
14.00 14.00 16.00 16.00 18.00 18.00 20.00
10.31 10.58 11.96 12.51 14.56 15.75 19.33

M-04 M-05 M-06 M-07 M-08 M-09 M-10

70.72 74.04 77.54 81.21 85.08 89.14 93.40
2.58 2.53 2.49 2.46 2.45 2.43 2.43
64.80 64.80 64.80 64.80 64.80 64.80 64.80
0.00029 0.00029 0.00029 0.00029 0.00029 0.00029 0.00029
8977 8805 8675 8580 8514 8473 8454