PROFIT & LOSS ACCOUNT FOR THE PERIOD OF FIRST TWO YEARS

FIRST YEAR SECOND YEAR

Income from Services (Sales) 4,700,000.00 100.00 7,200,000.00 100.00

less : Vat 5% -235,000.00

4,465,000.00

1 Purchase Consumables 120,000.00 2.55 216,000.00 3.00

2 Wages to workers account 661,200.00 14.07 1,118,400.00 15.53

3 Overtime Wages 165,300.00 3.52 279,612.00 3.88

4 Air fare/ Leave salary/ Gratuity - workers 86,842.00 1.85 148,724.00 2.07

5 Fire Insurance 6,000.00 0.13 6,000.00 0.08

6 Insurance W.Compensation+ MEDICAL 24,000.00 0.51 37,200.00 0.52

7 Ship Repairs Liability Insurance - 42,000.00

8 Port Pass Expenses 6,000.00 0.13 20,000.00 0.28

9 QA Testing & certification Expenses 15,000.00 0.32 24,000.00 0.33

10 Repairs & Maintenance (Equipment) 18,000.00 0.38 24,000.00 0.33

11 Sub-Contracting Account 1,160,000.00 1,600,000.00

12 Visa expenses for workers 90,000.00 1.91 156,000.00 2.17

13 workshop rent 70,000.00 1.49 70,000.00 0.97

14 Workers Accommodation Rent 120,000.00 2.55 172,000.00 2.39

15 Workers Accommodation Expenses 12,000.00 0.26 20,000.00 0.28

16 Workshop Expenses 18,000.00 0.38 24,000.00 0.33

Total cost of sales 2,572,342.00 30.05 3,957,936.00 32.17

Gross profit (1) 2,127,658.00 45.27 3,242,064.00 45.03

IV OVERHEAD EXPENSES:

1 Advertisement 2,000.00 0.04 5,000.00 0.07

2 Air Fare Paid Account 3,400.00 0.07 6,200.00 0.09
3 Audit fee 6,000.00 0.13 6,000.00 0.08
4 Bank Charges Accounts 1,000.00 0.02 2,000.00 0.03
5 Depreciation charges - - 48,000.00 0.67
6 Directors Fee - 240,000.00 - - 240,000.00 -
7 Electricity and water Expenses 18,000.00 0.38 24,000.00 0.33
8 Gratuity Paid 10,011.00 0.21 20,712.00 0.29
9 Insurance - Medical 3,000.00 0.06 4,200.00 0.06
10 Insurance - W.compensation 4,000.00 0.09 4,500.00 0.06
11 Insurance - Vehicles 9,000.00 0.19 15,000.00 0.21
12 Leave Salary 14,500.00 0.31 30,000.00 0.42
13 Leagal Fee 2,000.00 0.04 3,000.00 0.04
14 Local Conveyance 1,000.00 0.02 1,500.00 0.02
15 Medical expenses 3,000.00 0.06 4,000.00 0.06
16 Mislanious Expenses 2,000.00 0.04 5,000.00 0.07
17 Office Expenses 6,000.00 0.13 9,000.00 0.13
18 Port fee charges 15,000.00 0.32 24,000.00 0.33
19 Postage and telegrams 1,500.00 0.03 2,500.00 0.03
20 Preliminery expenses write off 12,000.00 0.26 12,000.00 0.17
21 Printing and Stationery 6,000.00 0.13 9,000.00 0.13
22 Rent for Staff accommodation 36,000.00 0.77 42,000.00 0.58
23 Rent for office 24,000.00 0.51 42,000.00 0.58
24 Repairs and Maintenance 3,000.00 0.06 5,000.00 0.07
25 Salaries and allowances 210,000.00 4.47 450,000.00 6.25
26 Sponsorship Fee 20,000.00 0.43 40,000.00 0.56
27 Staff welfare Expenses 3,000.00 0.06 5,000.00 0.07
28 Telephone and Fax Charges 30,000.00 0.64 48,000.00 0.67
29 Trade Licence Fee 30,000.00 0.64 60,000.00 0.83
30 Travelling Expenses 9,000.00 0.19 12,000.00 0.17
31 Vehicle Fuel Expenses 24,000.00 0.51 30,000.00 0.42
32 Vehicle Hire Charges 9,000.00 0.19 24,000.00 0.33
33 Vehicles Repairs & maint. 9,000.00 0.19 15,000.00 0.21
34 Vehicle road toll 9,000.00 0.19 12,000.00 0.17
35 Visa & Recruitment Expenses write off 15,000.00 0.32 27,000.00 0.38
 Total Expenses 550,411 11.71 1,047,612 14.55

V 1,577,247 33.56 2,194,452 30.48

PROFIT BEFORE DIRECTORS FEE 1,577,247 2,194,452

NET INCOME AFTER DEDUCTING DIRECTORS FEE 1,337,247 1,954,452

NEW PARTNER DIRECTORS FEE 120,000 120,000

NEW PARTNER PROFIT SHARE 35% 468,036 684,058
588,036 804,058