CASH FLOW STATEMENT CHAPTER-7

YEAR I II III IV V

SOURCES OF FUNDS

Excess of Income Over Expenditure 100814.25 147035.50 210264.00 274144.63 339388.06

Add : Depreciation 135000.00 114750.00 97537.50 82906.88 70470.84
Cash Accruals 235814.25 261785.50 307801.50 357051.50 409858.90

Increase in Own Funds 400000.00 0.00 0.00 0.00 0.00

Increase in cash credit 100000.00

Increase in Term Loan 500000.00 0.00 0.00 0.00 0.00

1235814.25 261785.50 307801.50 357051.50 409858.90

APPLICATION OF FUNDS

Increase in Fixed Assets 900000.00 0.00 0.00 0.00 0.00

Increase in Investments 0.00 0.00 0.00 0.00 0.00

Repayment of Loan 78900.00 105200.00 105200.00 105200.00 105500.00

Increase in Net Current Assets 100000.00 10000.00 11000.00 12100.00 13310.00

Drawings 130000.00 150000.00 160000.00 170000.00 250000.00

1208900.00 265200.00 276200.00 287300.00 368810.00

Opening Balance 0.00 26914.25 23499.75 55101.25 124852.75

Net Increse / Decrease 26914.25 -3414.50 31601.50 69751.50 41048.90

Closing Balance 26914.25 23499.75 55101.25 124852.75 165901.65

LIST OF PLANT AND MACHINERY PROPOSED TO BE PURCHASED

S.NO. NAME OF MACHINE VALUE

1 Gym Machines
2 Treadmill
3 Cross trainer
4 Spin bike
5 cross over+smith
6 shoulder press 900000.00
7 Dumbble Bouncer
8 N2 Plates
9 Leg Press+Hack squat
10 Other Machineries
11 furniture & Fixture
Total 900000.00
 CHAPTER-2
PROJECT AT A GLANCE

NAME : REHAN BAIG

FATHER'S NAME : USMAN BAIG

ADDRESS : BAIG COMPLEX, 2ND FLOOR, NAINITAL ROAD

BAHERI , NAREILLY

STATUS : PRIVATE

SIZE OF THE UNIT : SMALL SCALE

NAME OF THE UNIT : STATUS GYM CENTRE

PROPOSED SITE : BAIG COMPLEX, 2ND FLOOR, NAINITAL ROAD

BAHERI , NAREILLY

NATURE : NEW

NO. OF WORKING DAYS/ANNUM : 300 DAYS

NO OF WORKING HOURS/DAY : 10 HOURS

NO OF EMPLOYEES : 4

ANNUAL TURNPOVER
Ist 960000.00
2nd 1056000.00
3rd 1161600.00
4th 1277760.00
5th 1405536.00

ANNUAL PROFIT
Ist 100814.25
2nd 147035.50
3rd 210264.00
4th 274144.63
5th 339388.06
 PROJECT REPORT

1 Name of applicant REHAN BAIG

2 Name of Proposed Project STATUS GYM CENTRE

3 Address of Proposed Work Place BAIG COMPLEX, 2ND FLOOR, NAINITAL ROAD
BAHERI , NAREILLY

4 Land and Building (Own/ Rented) OWN

5 PLANT & MACHINERY

1) DETAIL AS PER PROJECT REPORT Rs. 900000.00

TOTAL 900000.00
6 RAW MATERIAL (PER MONTH)
Rs. 25000.00

TOTAL 25000.00
7 SALERY &WAGES(PER MONTH)
1) Manager (Self) Rs. 0.00
2) Skilled Labour 2 No. Rs. 16000.00
3) Helper 2 No. Rs. 6000.00
TOTAL 22000.00
8 SUNDRY EXP.(PER MONTH )
1) Stationery & Postage Rs. 1200.00
2) Electric Expenses Rs. 5000.00
3) Travelling & Other Expenses Rs. 2500.00
TOTAL 8700.00
9 PRODUCTION COST(PER MONTH)
1) Raw Material Rs. 25000.00
2) Salary & Wages Rs. 22000.00
3) Sundry Expenses Rs. 8700.00
TOTAL 55700.00

10 1) RECEIPT FROM SALE OF GOODS Rs. 80000.00

Rs.
TOTAL 80000.00

11 PROFIT(10-9)PER MONTH Rs. 24300.00

12 PROJECT COST
1) FIXED CAPITAL Rs. 900000.00
2) WORKING CAPITAL Rs. 100000.00
TOTAL 1000000.00
13 MEANS OF FINANCE
1) BANK LOAN Rs. 500000.00
2) CASH CREDIT Rs. 100000.00
2) SELF CONTRIBUTION Rs. 400000.00
TOTAL 1000000.00
REPAYMENT AND INTEREST CALCULATION SCHEDULE

Term Loan 500000.00

500000.00

Rate of Interest 13.00%

Instalments 20
Period Op. Balance Rep. of Principal Cl. Balance Interest

Ist Year
(i) 0 0.00 0.00
(ii) 500000.00 26300 473700.00 16250.00
(iii) 473700.00 26300 447400.00 15395.25
(iv) 447400.00 26300 421100.00 14540.50
78900.00 46185.75
IInd Year
(i) 421100.00 26300 394800.00 13685.75
(ii) 394800.00 26300 368500.00 12831.00
(iii) 368500.00 26300 342200.00 11976.25
(iv) 342200.00 26300 315900.00 11121.50
105200.00 49614.50
IIIrd Year
(i) 315900.00 26300 289600.00 10266.75
(ii) 289600.00 26300 263300.00 9412.00
(iii) 263300.00 26300 237000.00 8557.25
(iv) 237000.00 26300 210700.00 7702.50
105200.00 35938.50
IV th Year
(i) 210700.00 26300 184400.00 6847.75
(ii) 184400.00 26300 158100.00 5993.00
(iii) 158100.00 26300 131800.00 5138.25
(iv) 131800.00 26300 105500.00 4283.50
105200.00 22262.50
Vth Year
(i) 105500.00 26300 79200.00 3428.75
(ii) 79200.00 26300 52900.00 2574.00
(iii) 52900.00 26300 26600.00 1719.25
(iv) 26600.00 26600 0.00 864.50
105500.00 8586.50

Cash credit Rs. 1,00,000.00

Rate of Interest 12.00
 CHAPTER-6
PROJECTED BALANCE SHEET

ASSETS I II III IV V

Fixed Assets: 900000.00 765000.00 650250.00 552712.50 469805.63

Less: Depriciation 135000.00 114750.00 97537.50 82906.88 70470.84
Net Fixed Assets 765000.00 650250.00 552712.50 469805.63 399334.78

Stock in hand
Paper & Consumables 100000.00 110000.00 121000.00 133100.00 146410.00

Cash & bank Balance 26914.25 23499.75 55101.25 124852.75 165901.65

TOTAL 891914.25 783749.75 728813.75 727758.38 711646.43

LIABILITIES

Proprietor's Fund 400000.00 370814.25 367849.75 418113.75 522258.38

Add:- Net Profit 100814.25 147035.50 210264.00 274144.63 339388.06
Less:- Drawings 130000.00 150000.00 160000.00 170000.00 250000.00
370814.25 367849.75 418113.75 522258.38 611646.43

Cash Credit 100000.00 100000.00 100000.00 100000.00 100000.00

Bank Loan 421100.00 315900.00 210700.00 105500.00 0.00

TOTAL 891914.25 783749.75 728813.75 727758.38 711646.43

 CHAPTER-5
PROFITABILITY ESTIMATES OF THE PROJECT

PARTICULARS I II III IV V

Sales / receipts / Annum 960000.00 1056000.00 1161600.00 1277760.00 1405536.00

960000.00 1056000.00 1161600.00 1277760.00 1405536.00

COST OF PRODUCTION

Purchase/ Consumables 300000.00 330000.00 363000.00 399300.00 439230.00

Salaries & Wages 264000.00 290400.00 319440.00 351384.00 386522.40

Stationery & Postage 12000.00 13200.00 14520.00 15972.00 17569.20

Power & Fuel 60000.00 66000.00 72600.00 79860.00 87846.00

Travelling & Other Expenses 30000.00 33000.00 36300.00 39930.00 43923.00

Depreciation 135000.00 114750.00 97537.50 82906.88 70470.84

Intt on Cash Credit 12000.00 12000.00 12000.00 12000.00 12000.00

Interest on Loan 46185.75 49614.50 35938.50 22262.50 8586.50

859185.75 908964.50 951336.00 1003615.38 1066147.94

NET PROFIT 100814.25 147035.50 210264.00 274144.63 339388.06

NET PROFIT% 11% 14% 18% 21% 24%
COMPUTATION OF DEPRECAITION AS PER INCOME TAX ACT, 1961 CHAPTER-8

I st Year
Particulars Rate of Dep Op. Balance Addition Deduction Total Depreciation WDV
PLANT & MACHINERY 15.00% 0.00 900000.00 0.00 900000.00 135000.00 765000.00
TOTAL 0.00 900000.00 0.00 900000.00 135000.00 765000.00

II nd Year
Particulars Rate of Dep Op. Balance Addition Deduction Total Depreciation WDV
PLANT & MACHINERY 15.00% 765000.00 0.00 0.00 765000.00 114750.00 650250.00
TOTAL 765000.00 0.00 0.00 765000.00 114750.00 650250.00

III rd Year
Particulars Rate of Dep Op. Balance Addition Deduction Total Depreciation WDV
PLANT & MACHINERY 15.00% 650250.00 0.00 0.00 650250.00 97537.50 552712.50
TOTAL 650250.00 0.00 0.00 650250.00 97537.50 552712.50

IV th Year
Particulars Rate of Dep Op. Balance Addition Deduction Total Depreciation WDV
PLANT & MACHINERY 15.00% 552712.50 0.00 0.00 552712.50 82906.88 469805.63
TOTAL 552712.50 0.00 0.00 552712.50 82906.88 469805.63

V th Year
Particulars Rate of Dep Op. Balance Addition Deduction Total Depreciation WDV
PLANT & MACHINERY 15.00% 469805.63 0.00 0.00 469805.63 70470.84 399334.78
TOTAL 469805.63 0.00 0.00 469805.63 70470.84 399334.78
DEBT SERVICE COVERAGE RATIO

YEAR I II III IV

FUNDS FROM OPERATION (A) 235814.25 261785.50 307801.50 357051.50

INTT. ON BANK LOAN (B) 46185.75 49614.50 35938.50 22262.50

FUNDS AVAILABLE FOR DEBT SERVICING 282000.00 311400.00 343740.00 379314.00

C=(A+B)

TERM LOAN INSTALMENT (D) 78900.00 105200.00 105200.00 105200.00

INTT. ON TERM LOAN (E) 46185.75 49614.50 35938.50 22262.50

TOTAL DEBT OBLIGATION (F) 125085.75 154814.50 141138.50 127462.50

DEST SERVICE COVERAGE RATIO (C/F) 2.25 2.01 2.44 2.98

AVERAGE DSCR ------------------------------- 2.67 -------------------------

 CHAPTER-10

409858.90

8586.50

418445.40

105200.00

8586.50

113786.50

3.68

-------------------------
COMPONENTS FOR PROJECTIONS OF PRODUCTIONS & PROFITABILITY STATEMENTS

1 PURCHASES/ CONSUMABLES:

It is expected that during the year purchases of Consumables like food items. Towel etc will be Rs. 3.00lacs
per annum and there fore it comes to Rs. 25,000/- per month.

2 SALARIES & WAGES :

The salaries and wages considered for trainer @ 8000 and for other staff @ 3000 pm.
a further increase of 10% is expected every year.
Per Month Total per Annum
Trainer 2 8000 192000
Helper 2 3000 72000
Total 264000

3 STATIONERY AND POSTAGE

Stationery and Postage been considered @ 1000.00 Per Month which comes to Rs. 12000/-
per annum a further increase of 10% is expected every year.
Rs. 12000.00
4 POWER & FUEL:

The unit runs on Electricity and for power backup a genset is required . The estimated cost of
such power comes to Rs. 5000/- per month ie. 60000/- per annum a further increase of 10 %
is expected every year.
Rs. 60000.00

5 TRAVELLING AND OTHER EXPENSES:

Travelling and other administrative expenses estimated @ Rs.500 Per monts and for
administrative salaries Rs. 2000/- pm and further 10 % increaseevery year has been estimated.
Travelling & other Adm Salaries Total
I st Year 6000.00 24000.00 30000.00
II nd Year 6600.00 26400.00 33000.00
III rd Year 7260.00 29040.00 36300.00
IV th Year 7986.00 31944.00 39930.00
V th Year 8784.60 35138.40 43923.00

7 SALES REALISATION:

It is expected that per member earning for the gym will be Rs. 9600/- P.A for 100 member is expected in the first year and
thereafter a 10 % increase is expected every year.
Member PA Fee Total Sales & Receipt
I st Year 100.00 9600.00 960000.00
II nd Year 110.00 9600.00 1056000.00
III rd Year 121.00 9600.00 1161600.00
IV th Year 133.10 9600.00 1277760.00
V th Year 146.41 9600.00 1405536.00
COST OF THE PROJECT CHAPTER-3
Proposed
PLANT & MACHINERY 900000.00

WORKING CAPITAL 100000.00

1000000.00
MEANS OF FINANCE CHAPTER-4
Proposed
Promoter's Contribution 400000.00

Cash Credit 100000.00

Bank Loan 500000.00

1000000.00