Rs.

Total Demand in Product Category 2000000

Market Share 20%

Total Sales Target 400000
Market Information
Unit Effect on sales Cost
Price 1 20000
Promotion 1 30000 50000
Place 1 10000 20000
Average price in market 200
Simulation
Decision Selling Price Sales effect Cost of marketing
Price -50 190 1000000
Promotion 1 30000 50000
Place 2 20000 40000
1050000 90000
Revenue 1050000
Cost of goods sold (COGS) 875000
Marketing Expenses 90000
Total Costs 965000
Profit/Loss 85000

Fixed Assets 1000000

Working Capital
1. Raw material inventory 218750
3. Credit Sales 72916.67
4. Cash for operation 7500
Total Working Capital 299166.7
Total Capital 1299167

Capital Structure
Equity 60% 779500
Loan 40% 519667
1299167

Interest on loan 15% 77950

Return on Equity (ROE) 10.9%

Return on Investment (ROI) 6.5%

Break Even Point (BEP) FC = mkt cost + interest

FC/(S-VC) 96.0%
 SP 150
CP 125 0.833333
Profit Margin 25