Working capital Expenditure

B.
1 Cost of Animal
i Sow Improved 126000.00
36 3500.00
L.W.Y
ii Boar Improved 14000.00
4 3500.00
Rs 140000.00

2 Feed
i 1.5 Kg./pig /day X 40 pig 10800 Kg@ Rs.28/Kg
X 180 days feed 302400.00

ii Insurance 6% of value of animals 8400.00

40
iii 2 Labour @
4000/person/month 2 X 12 96000.00

iv Cost of Medicines 40 Adults 100 per Pig 40000.00

v Transportation cost on Rs. 4000/- pm X 12 50000.00
feed & meat
vi Utensils/buckets 15000.00
vii Contingency fund
20000.00
Total 531800.00

SUMMERY

A Capital expenditure on Fix Assets 960000.00

B 1.cost of animal 140000.00
ii.Working capital expenses 531800.00
Total (A+B) Loan Component Rs: 1631800.00
Rupees sixteen Lacs, thirty-one thousands and eight hundreds only
Project report for 20 unit Piggery breeding farm under Chief Ministers start up scheme for
Labi Bakcha, Phensang Gyenzel GPU, Kabi Lungchuk Assembly Constitutency, North Sikkim

Scheme Chief Ministers start up scheme

Sponsoring Deptt. Commerce & Industries Department
Name of promoter Chultrim Lepcha
Area Labi Bakcha, Phensang Gyenzel GPU, North Sikkim
Name of Bank

Project abstract

Cost already
A Cost of Project Cost of be incurred Total
incurred
i Land 0.00 0.00 0.00
ii Building 380000.00 0.00 380000.00
iii Electrification 20000.00 0.00 20000.00
iv Water supply 40000.00 0.00 40000.00
Baricade fencing 40000.00 0.00 40000.00

vi Preliminary and pre 329200.00 0.00 329200.00

operative expenses
809200.00 0.00 809200.00

B Means of Finance

Cost of be Cost already

Cost of Project Unit value Bank loan
incurred incurred
I Fixed asset
1 Land 0.00 Own land 0.00
2 Building 350000.00 0.00 350000.00
3 Electrification 20000.00 0.00 20000.00
4 Water supply 40000.00 0.00 40000.00
5 Provision Store 30000.00 0.00 30000.00
6 Barb wire fencing 40000.00 0.00 40000.00
480000.00 0.00 480000.00
II Working capital & pre operative expenses
1 Cost of animal 70000.00 0.00 70000.00
II Feed 54000.00 0.00 54000.00

6 % of value of
animal of 20
i Insusrance sow 4200.00 0.00 4200.00
ii Farm Labor wages 96000.00 0.00 96000.00
Medicines & animal 20000.00 0.00 20000.00
iii health
iv Untensils & fixtures 15000.00 0.00 15000.00
Transportation cost on
v feed & product 4000X12 50000.00 0.00 50000.00
vii Contingency funds 20000.00 0.00 20000.00
329200.00 0.00 329200.00

Total Bank Finance (I + II) 480000.00 329200.00 809200.00

 BREAK EVEN ANALYSIS :
Years Year-1 Year-2 Year-3 Year-4 Year-5

Capacity Utilisation (%) 90 95 95 95 95

Revenue (Rs. in lacs) A 6.90 7.50 8.20 8.80 9.50

Variable Costs

Expenses 2.59 2.80 3.20 3.50 3.70

B 2.59 2.80 3.20 3.50 3.70

Contribution C =A-B 4.31 4.70 5.00 5.30 5.80

Fixed cost

Salary/Wages 0.92 0.95 0.95 0.98 1.00

Expenses 3.29 3.35 3.45 3.50 3.60
Interest on Loan 0.48 0.45 0.35 0.30 0.20
Depreciation 0.32 0.32 0.32 0.32 0.32
Amortised Expenses 0.07 0.07 0.07 0.07 0.07

D 5.08 5.14 5.14 5.17 5.19

BREAK EVEN POINT

Sales Value (A*D/C)E 8.13 8.20 8.43 8.58 8.50

% of Total capacity E*30/A 35.34 32.80 30.84 29.25 26.84
% of capacity utilisation E*100/A 117.82 109.33 102.80 97.55 89.47
Margin Of Safety A-E (1.23) (0.70) (0.23) 0.22 1.00

CASH BREAK EVEN POINT

Total Fixed Costs 5.08 5.14 5.14 5.17 5.19

Less : Depreciation 0.32 0.32 0.32 0.32 0.32
Less : Amortised Expenses 0.07 0.07 0.07 0.07 0.07
NET CASH FIXED COSTS (F) 4.69 4.75 4.75 4.78 4.80

CASH BREAK EVEN POINT

Sales Value, G = ( F *A/ C) 7.51 7.58 7.79 7.94 7.86
% of Total capacity 59.85 55.59 52.25 49.60 45.52
%age of Capacity Utilisation 67.97 63.33 57.93 54.32 50.53
Margin Of Safety 2.21 2.75 3.45 4.02 4.70

Basis :
50 % of the Expenses have been considered as variable expenses and the
rest as Fixed Expenses.