Army Welfare Trust

Biodegradable Tableware Manufacturing Facility

Financial Model - Assumptions

BST Plant and Machinery - Specifications Production Figures

Capacity (Kgs per Hour) 333
Workshop Area Requirement (Sq. M) 1,152
Raw Materials (Pulp) Consumption per Hour (Kgs) 333
Electricity Consumption (KWH) 742
Fuel (Gas) Consumption (CMH) 220
Water Consumption (Cubic Meter per Hour) 0.98
Chemical for Water Resistance 37
Chemical for Oil Resistance 37
Operators Required (Per Shift) 42
Daily Repair and Maintenance Cost 80
Useful Life (Years) 10
Yearly Repair and Maintenance Expense 30,000

Product Specifications Plates

Weight (grams) 21
Size (cm) 25

Installation Cost - Supplier Support Cost

Time Required to Instal the Plant 21
No. of Supplier's Engineers 2
Salart per Day (USD) 150
Total Salary Expense 6,300
Dailay Food and Accomodation Expenses (USD) 100
Total Food and Accomodation Expenses (USD) 2,100
Air Tickets 2,000
Total Cost 10,400

Installation Cost - PH Support Cost

Time Required for Installation, Training and Kick-Off 30
No. of Staff from PH 2
Salart per Day (USD) 150
Total Salary Expense 9,000
Dailay Food and Accomodation Expenses (USD) 200
Total Food and Accomodation Expenses (USD) 6,000
Air Tickets 4,000
Total Cost 19,000
Army Welfare Trust
Biodegradable Tableware Manufacturing Facility
Financial Model - Assumptions

Property, Plant and Equipment

Plant and Machinery Cost and Specifications Costs / Specs
Purchase Price (Based on Quotation) Besure
Main Equipment Price $ 2,866,500.00
Auxiliary Equipment (Boiler, Storage Tanks etc) $ 287,683.20
Total $ 3,154,183.20

Installation Costs (Based on Info. From PH) Supplier

Cost Component Besure
Pipe Work $ 15,000.00
Electrical Cables $ 35,000.00
Switchgear $ 28,000.00
Pulp Storage and Water Tanks (3) $ -
Drainage Works $ -
Supplier's Engineers $ 10,400.00
PH Support Cost $ 19,000.00
Total Installation Costs $ 107,400.00
Purchase Price plus Installation Costs $ 3,261,583.20
Contingencies 5%
Estimated Final Cost of Production Plant 3,424,662.36

Plant and Machinery - Specifications Besure

Capacity (Kgs per Hour) 333
Workshop Area Requirement (Sq. M) 1,152
Raw Materials (Pulp) Consumption per Hour (Kgs) 333
Electricity Consumption (KWH) 742
Fuel (Gas) Consumption (CMH) 220
Water Consumption (Cubic Meter per Hour) 0.98
Chemical for Water Resistance 37
Chemical for Oil Resistance 37
Operators Required (Per Shift) 42
Daily Repair and Maintenance Cost 80
Useful Life (Years) 10
Yearly Repair and Maintenance Expense 30,000

Land Cost Cost (PKR)

Area Requirements for 1 x 16 x 16 Plant (Square Meter) 1,152.00
Future Expansion Requirements (Square Meter) 1,152.00
Total Area Requirements 2,304.00
Warehouses and Service Areas 1,000.00
Total Area Requirements (Square Meter) 3,304.00
Total Area Requirements (Acres) 0.82
Price per Acre (PKR) 7,500,000.00
Total Cost of Land (PKR) 6,123,054.11
Exchange Rate 165.00
Total Cost of Land (USD) 37,109.42

Building Cost (PKR)

Factory / Workshop Square Meter) 1,152
Warehouses and Service Areas (Square Meter) 1,000
Total Covered Area (Square Meter) 2,152
Total Covered Area (Square Feet) 23,164
Construction Cost per Square Feet (PKR) 1,600
Total Building Cost - PKR 37,062,260
Contingencies 10%
Total Building Cost & Contingencies (PKR) 40,768,487
Exchange Rate 165
Total Building Cost & Contingencies (USD) 247,081.74

Furniture, Fixtures and Equipment Cost (PKR)

Furniture and Fixtures 2,000,000.00
Office Equipment 1,500,000.00
Total Cost of Furniture, Fixtures and Equipment (PKR) 3,500,000.00
Exchange Rate 165.00
Total Cost of Furniture, Fixtures and Equipment (USD) 21,212.12

Production Capacity and Inputs

Production Capacity Plates (Units)
No. of Shifts per Day 3
Hours per Shift 8
Working Days per Year 310
Total Production Capacity per Hour (No. of Units) 15,873
Efficiency 90%
Annual Production / Machine Operating Hours 7440
Annual Production Capacity (No. of Units) 106,285,714.29

Raw Materials Consumption and Cost Virgin Pulp

Raw Material Consumption per Unit (grams) 21.00
Wastage (% of Raw Material Consumption per Unit) 1.50%
CNF Karachi Price (USD) per Tonn $ 900.00
Custom Duty
Sale Tax
Income Tax
Additional Custom Duty
Landed Cost per Tonn (USD) 900.00

Raw Materials - Port Clearing Charges Virgin Pulp

Port Clearing Charges (as % of Landed Cost) 5%

Raw Materials - Transportation Cost Virgin Pulp

Weight per Container (Tonns) ### 50.00
Transportation Cost per Container (PKR) 60,000.00
Transportation Cost per Tonn (PKR) 1,200.00

Labour Cost Amount

Minimum Wage in Pakistan - Unskilled 17,500.00
AWT Retention Premium 30%
Proposed Monthly Salary - Unskilled Labour 22,750.00
Months in a Year 12.00
Yearly Cost / Labour 273,000.00
No. of Working Days 310.00
Per Day Per Labour Cost 880.65
Working Hours 8.00
Per Hour Rate - PKR 110.08

Water, Gas and Electricity Consumption per Hour

Electricity 742.49
Gas 220.00
Water 0.98

Administrative Expenses
Staffing Plan, Remuneration and Insurance No. of Employees
CEO / Managing Director 1
Finance Manager 1
Production Manager 1
Sales and Distribution Manager 1
Supply Chain Manager 1
HR Manager 1
Warehouse Manager 1
Accounts and Finance Executives 2
Production Supervisers 2
Sales Executives 2
Supply Chain Executives 2
Admin and Support Staff 2
Production Workers 126
Total 143.00

Utilities Monthly
Utilities - Telephone 20,000.00
Utilities - Internet 20,000.00
Utilities - Electricity 50,000.00
Office Supplies 25,000.00
Total Utilities Expenses 115,000.00

Repair and Maintenance - Plant and Machinery Daily

Day to Day Repair and Maintenance (USD) 80.00
Yearly Repair and Maitenance Expenses (USD) 0
Building Repair and Maintenance Expenses (1% of Cost)

Other Expenses Monthly

Carriage Outwards Expenses 120,000.00

Plant, Building and Stock Insurance Expenses Yearly

Pland and Machinery Insurance - % of Book Value 0.5%
Building Insurance - % of Book Value 1.0%
Inventory Insurance - % of Book Value 1.0%

Sale Price and Advertising Expense

Other Assumptions % / Amount
Advertising and Business Development Expense (% of Sales) 0.50%
Sale Price (USD) 0.059

Working Capital Requirements

No. of Days in a Year 365
No. of Working Days in a Year 310
Credit Terms with Customer (PH) - Days 30
Credit Terms with Suppliers 21
Suppllier Lead Time (Days) 30
Supplier Warehouse to Port (Days) 3
Processing at Port (Days) till Vehicle Departure 7
In Transit Time (Days) 10
Karachi Port Processing Time (Days) till Ready for Delivery 7
Delivery and Unloading (Days) 3
Allowance for Uncertainities (Days) 5
Total Raw Material Inventory Days 65
Water Repellent Oil Repellent
2.33 2.33
1.50% 1.50%
$ 1,000.00 $ 1,000.00

1,000.00 1,000.00

Water Repellent Oil Repellent

5% 5%

Water Repellent Oil Repellent

50.00 50.00
 60,000.00 60,000.00
1,200.00 1,200.00

Unit Rate per Unit (PKR)

KW 5.62
Cubic Meter 36.12
Cubic Meter 60.00

Monthly Salary Monthly Salary Expense Yearly Salary Expense

1,200,000 1,200,000 14,400,000
450,000 450,000 5,400,000
450,000 450,000 5,400,000
300,000 300,000 3,600,000
200,000 200,000 2,400,000
200,000 200,000 2,400,000
150,000 150,000 1,800,000
80,000 160,000 1,920,000
80,000 160,000 1,920,000
50,000 100,000 1,200,000
50,000 100,000 1,200,000
40,000 80,000 960,000
- - -
3,250,000 3,550,000 42,600,000

Yearly
240,000.00
240,000.00
600,000.00
300,000.00
1,380,000.00

Yearly
24,800.00
30,000
2,470.82

Yearly
1,440,000.00
Insruance Premium per Year Insurance Cost per Year
30,000 30,000
15,000 15,000
15,000 15,000
15,000 15,000
15,000 15,000
15,000 15,000
15,000 15,000
10,000 20,000
10,000 20,000
10,000 20,000
10,000 20,000
10,000 20,000
5,000 630,000
850,000
Army Welfare Trust
Biodegradable Tableware Manufacturing Facility
Financial Model - Calculations

Exchange and Inflation Rate

Exchange / Inflation Rate
Inflation Rate - PK
Rupee Devaluation
Increase in Labour Cost
Inflation Rate - USA
Exchange Rate (USD / PKR)

Production and Sales Plan

Production Plan - Plant Capacity and Capacity Utilization
Production Capacity (No. of Units per Year)
Production Capacity Utilization (% of Total Production Capacity)
Total No. of Units Produced

Inventory Movements
Opening Inventory
Production During the Year
No. of Units Sold During the Year
Inventory Held

Product Costing
Raw Material - Pulp
Landed Cost - Per Tonn (USD)
Port Clearing Charges - Per Tonn (USD)
Transportation Cost - Per Tonn (PKR)
Transportation Cost - Per Tonn (USD)
Total Cost - Per Tonn (USD)
Total Cost - Per Gram (USD)
Pulp Consumption per Unit - Net
Pulp Consumption per Unit - Gross (Including Wastage)
Cost per Unit of Product

Raw Material - Water Repellent

Landed Cost - Per Tonn (USD)
Port Clearing Charges - Per Tonn (USD)
Transportation Cost - Per Tonn (PKR)
Transportation Cost - Per Tonn (USD)
Total Cost - Per Tonn (USD)
Total Cost - Per Gram (USD)
Water Repellent Consumption per Unit - Net
Water Repellent Consumption per Unit - Gross (Including Wastage)
Cost per Unit of Product

Raw Material - Oil Repellent

Landed Cost - Per Tonn (USD)
Port Clearing Charges - Per Tonn (USD)
Transportation Cost - Per Tonn (PKR)
Transportation Cost - Per Tonn (USD)
Total Cost - Per Tonn (USD)
Total Cost - Per Gram (USD)
Cost per Unit of Product

Labour Cost
Labour Cost per Hour per Labour (PKR)
Labour Cost per Hour per Labour (USD)
No. of Labours per Shift
Total Labour Cost per Hour (USD)

Electricity
Consumption Per Hour (KW)
Cost per Unit (PKR / KW)
Cost per Unit (USD /KW)
Electricity Cost per Hour (USD)

Gas
Consumption Per Hour (Cubic Meter)
Cost per Unit (PKR / Cubic Meter)
Cost per Unit (USD / Cubic Meter)
Gas Cost per Hour (USD)

Water
Consumption Per Hour (Cubic Meter)
Cost per Unit (PKR / Cubic Meter)
Cost per Unit (USD / Cubic Meter)
Water Cost per Hour (USD)

Product Cost
Total Raw Material Cost
Total Other Input Costs (Electricity, Gas and Water)
Total Production Cost
Production Cost per Unit

Sales and Cost of Goods Sold

Product Cost
Sales During the year
Sales
Cost of Goods Sold
Opening Inventory Sold During the Year
Inventory Produced and Sold During the Year
Total Cost of Goods Sold During the Year

Expenses
Administrative Expenses
Salaries (PKR)
Health Insurance (PKR)
Utilities (PKR)
Carriage Outward / Transportation Expenses (PKR)
Employees' Leave Salary
Employees' Gratuity
Plant and Machinery Insurance
Building Insurance
Stock Insurance
Total Administrative Expenses (PKR)
Total Administrative Expenses (USD)

Advertising and Marketing Expenses

Advertising and Business Development Expneses (USD)

Repair and Maintenance Expenses

Day to Day Repair and Maintenance (USD)
Major / Periodic Repair and Maintenance Expenses
Building Facilities Repair and Maintenance Expenses
Total Repair and Maintenance Expenses

Working Capital Calculations (Current Assets - Current Liabilities)

Finished Goods Inventory
Inventory - Raw Materials
Accounts Receivables
Accounts Payables
Accrued Liabilities
Net Working Capital Requirements
 1 2 3 4 5 6
0% 7% 7% 7% 7% 7%
0% 3% 3% 3% 3% 3%
0% 10% 10% 10% 10% 10%
0% 2% 2% 2% 2% 2%
165.00 173.09 181.57 190.47 199.81 209.61

1 2 3 4 5 6
106,285,714 106,285,714 106,285,714 106,285,714 106,285,714 106,285,714
100% 100% 100% 100% 100% 100%
106,285,714 106,285,714 106,285,714 106,285,714 106,285,714 106,285,714

1 2 3 4 5 6
- 17,714,286 20,666,667 21,158,730 21,240,741 21,254,409
106,285,714 106,285,714 106,285,714 106,285,714 106,285,714 106,285,714
88,571,429 103,333,333 105,793,651 106,203,704 106,272,046 106,283,436
17,714,286 20,666,667 21,158,730 21,240,741 21,254,409 21,256,687

1 2 3 4 5 6
900 900 900 900 900 900
45 45 45 45 45 45
1,200 1,284 1,374 1,470 1,573 1,683
7 7 8 8 8 8
952 952 953 953 953 953
0.000952 0.000952 0.000953 0.000953 0.000953 0.000953
21 21 21 21 21 21
21.32 21.32 21.32 21.32 21.32 21.32
0.020298 0.020301 0.020304 0.020307 0.020310 0.020314

1 2 3 4 5 6
1,000 1,000 1,000 1,000 1,000 1,000
50 50 50 50 50 50
1,200 1,284 1,374 1,470 1,573 1,683
7 7 8 8 8 8
1,057 1,057 1,058 1,058 1,058 1,058
0.001057 0.001057 0.001058 0.001058 0.001058 0.001058
2.331000 2.331000 2.331000 2.331000 2.331000 2.331000
 2.365965 2.365965 2.365965 2.365965 2.365965 2.365965
0.002501 0.002502 0.002502 0.002503 0.002503 0.002503

1 2 3 4 5 6
1,000 1,000 1,000 1,000 1,000 1,000
50 50 50 50 50 50
1,200 1,284 1,374 1,470 1,573 1,683
7 7 8 8 8 8
1,057 1,057 1,058 1,058 1,058 1,058
0.001057 0.001057 0.001058 0.001058 0.001058 0.001058
0.002501 0.002502 0.002502 0.002503 0.002503 0.002503

1 2 3 4 5 6
110 121 133 147 161 177
0.6672 0.6996 0.7336 0.7692 0.8066 0.8458
42 42 42 42 42 42
28.02 29.38 30.81 32.31 33.88 35.52

1 2 3 4 5 6
742 742 742 742 742 742
5.62 6.01 6.43 6.88 7.37 7.88
0.0341 0.0347 0.0354 0.0361 0.0369 0.0376
25.2897 25.7955 26.3114 26.8376 27.3743 27.9218

1 2 3 4 5 6
220 220 220 220 220 220
36.12 38.65 41.36 44.25 47.35 50.67
0.2189 0.2233 0.2278 0.2323 0.2370 0.2417
48.1655 49.1288 50.1113 51.1136 52.1358 53.1786

1 2 3 4 5 6
0.98 0.98 0.98 0.98 0.98 0.98
60.00 64.20 68.69 73.50 78.65 84.15
0.3636 0.3709 0.3783 0.3859 0.3936 0.4015
0.3555 0.3626 0.3698 0.3772 0.3848 0.3925

1 2 3 4 5 6
2,689,095.93 2,689,498.61 2,689,909.34 2,690,328.28 2,690,755.61 2,691,191.48
757,623.67 778,738.07 800,564.50 823,131.28 846,467.98 870,605.48
3,446,719.59 3,468,236.68 3,490,473.84 3,513,459.56 3,537,223.59 3,561,796.96
0.0324 0.0326 0.0328 0.0331 0.0333 0.0335

1 2 3 4 5 6

5,225,714.29 6,096,666.67 6,241,825.40 6,266,018.52 6,270,050.71 6,270,722.74

 - 574,453.27 674,379.35 694,862.85 702,149.71 707,353.74
2,872,266.33 2,793,857.32 2,795,610.99 2,811,309.85 2,829,869.85 2,849,452.84
2,872,266.33 3,368,310.59 3,469,990.35 3,506,172.70 3,532,019.56 3,556,806.58

1 2 3 4 5 6
42,600,000.00 46,860,000.00 51,546,000.00 56,700,600.00 62,370,660.00 68,607,726.00
850,000.00 909,500.00 973,165.00 1,041,286.55 1,114,176.61 1,192,168.97
1,380,000.00 1,476,600.00 1,579,962.00 1,690,559.34 1,808,898.49 1,935,521.39
1,440,000.00 1,540,800.00 1,648,656.00 1,764,061.92 1,887,546.25 2,019,674.49
3,550,000.00 3,905,000.00 4,295,500.00 4,725,050.00 5,197,555.00 5,717,310.50
3,550,000.00 3,905,000.00 4,295,500.00 4,725,050.00 5,197,555.00 5,717,310.50
2,825,346.45 2,571,065.27 2,316,784.09 2,062,502.91 1,808,221.73 1,553,940.55
391,377.47 375,070.08 358,762.68 342,455.29 326,147.89 309,840.50
1,738,000.05 1,996,280.55 2,131,462.74 2,249,967.86 2,370,810.65 2,497,649.66
58,324,723.97 63,539,315.90 69,145,792.50 75,301,533.87 82,081,571.63 89,551,142.56
353,483.18 367,092.05 380,815.49 395,338.46 410,797.03 427,237.30

1 2 3 4 5 6
26,128.57 30,483.33 31,209.13 31,330.09 31,350.25 31,353.61

1 2 3 4 5 6
24,800.00 26,536.00 28,393.52 30,381.07 32,507.74 34,783.28
30,000.00 32,100.00 34,347.00 36,751.29 39,323.88 42,076.55
2,470.82 2,643.77 2,828.84 3,026.86 3,238.74 3,465.45
57,270.82 61,279.77 65,569.36 70,159.21 75,070.36 80,325.28

1 2 3 4 5 6
574,453.27 674,379.35 694,862.85 702,149.71 707,353.74 712,344.12
478,880.10 478,951.81 479,024.95 479,099.56 479,175.66 479,253.28
429,510.76 501,095.89 513,026.74 515,015.22 515,346.63 515,401.87
182,267.11 182,294.41 182,322.25 182,350.64 182,379.61 182,409.15
92,592.24 95,485.84 98,448.33 101,539.14 104,772.08 108,153.56
1,207,984.77 1,376,646.80 1,406,143.96 1,412,374.70 1,414,724.34 1,416,436.56
 7 8 9 10
7% 7% 7% 7%
3% 3% 3% 3%
10% 10% 10% 10%
2% 2% 2% 2%
219.88 230.66 241.97 253.83

7 8 9 10
106,285,714 106,285,714 106,285,714 106,285,714
100% 100% 100% 100%
106,285,714 106,285,714 106,285,714 106,285,714

7 8 9 10
21,256,687 21,257,067 21,257,130 21,257,141
106,285,714 106,285,714 106,285,714 106,285,714
106,285,335 106,285,651 106,285,704 106,285,713
21,257,067 21,257,130 21,257,141 21,257,143

7 8 9 10
900 900 900 900
45 45 45 45
1,801 1,927 2,062 2,206
8 8 9 9
953 953 954 954
0.000953 0.000953 0.000954 0.000954
21 21 21 21
21.32 21.32 21.32 21.32
0.020317 0.020321 0.020324 0.020328

7 8 9 10
1,000 1,000 1,000 1,000
50 50 50 50
1,801 1,927 2,062 2,206
8 8 9 9
1,058 1,058 1,059 1,059
0.001058 0.001058 0.001059 0.001059
2.331000 2.331000 2.331000 2.331000
 2.365965 2.365965 2.365965 2.365965
0.002504 0.002504 0.002504 0.002505

7 8 9 10
1,000 1,000 1,000 1,000
50 50 50 50
1,801 1,927 2,062 2,206
8 8 9 9
1,058 1,058 1,059 1,059
0.001058 0.001058 0.001059 0.001059
0.002504 0.002504 0.002504 0.002505

7 8 9 10
195 215 236 260
0.8869 0.9300 0.9752 1.0226
42 42 42 42
37.25 39.06 40.96 42.95

7 8 9 10
742 742 742 742
8.43 9.02 9.66 10.33
0.0384 0.0391 0.0399 0.0407
28.4803 29.0499 29.6309 30.2235

7 8 9 10
220 220 220 220
54.21 58.01 62.07 66.41
0.2466 0.2515 0.2565 0.2616
54.2421 55.3270 56.4335 57.5622

7 8 9 10
0.98 0.98 0.98 0.98
90.04 96.35 103.09 110.31
0.4095 0.4177 0.4261 0.4346
0.4003 0.4083 0.4165 0.4248

7 8 9 10
2,691,636.07 2,692,089.55 2,692,552.11 2,693,023.91
895,576.03 921,413.32 948,152.53 975,830.42
3,587,212.10 3,613,502.87 3,640,704.64 3,668,854.33
0.0338 0.0340 0.0343 0.0345

7 8 9 10

6,270,834.74 6,270,853.41 6,270,856.52 6,270,857.04

 712,344.12 717,439.86 722,700.14 728,140.86
2,869,772.25 2,890,802.73 2,912,563.78 2,935,083.48
3,582,116.37 3,608,242.59 3,635,263.93 3,663,224.33

7 8 9 10
75,468,498.60 83,015,348.46 91,316,883.31 100,448,571.64
1,275,620.80 1,364,914.26 1,460,458.25 1,562,690.33
2,071,007.89 2,215,978.44 2,371,096.93 2,537,073.71
2,161,051.71 2,312,325.33 2,474,188.10 2,647,381.27
6,289,041.55 6,917,945.71 7,609,740.28 8,370,714.30
6,289,041.55 6,917,945.71 7,609,740.28 8,370,714.30
1,299,659.37 1,045,378.19 791,097.01 536,815.82
293,533.10 277,225.71 260,918.31 244,610.92
2,631,462.05 2,772,774.85 2,922,059.13 3,079,800.99
97,778,916.61 106,839,836.64 116,816,181.58 127,798,373.29
444,692.33 463,195.18 482,781.05 503,487.77

7 8 9 10
31,354.17 31,354.27 31,354.28 31,354.29

7 8 9 10
37,218.11 39,823.38 42,611.02 45,593.79
45,021.91 48,173.44 51,545.59 55,153.78
3,708.03 3,967.59 4,245.32 4,542.50
85,948.05 91,964.42 98,401.93 105,290.06

7 8 9 10
717,439.86 722,700.14 728,140.86 733,770.85
479,332.45 479,413.21 479,495.58 479,579.60
515,411.07 515,412.61 515,412.86 515,412.91
182,439.28 182,470.02 182,501.37 182,533.35
111,689.03 115,384.04 119,244.47 123,276.52
1,418,055.07 1,419,671.90 1,421,303.46 1,422,953.49
Army Welfare Trust
Biodegradable Tableware Manufacturing Facility
Financial Model - Financial Statements
Balance Sheet Check

Income Statement
Year
Sales Revenue
Cost of Goods Sold
Gross Profit
Administrative Expenses
Advertising and Marketing Expenses
Repair and Maintenance Expenses
Depreciation Expense
Finance Lease Expenses
Profit Before Interest and Tax (PBIT)
Interest Expense
Profit Before Tax (PBT)
Tax Expense
Net Profit / Loss for the Year

Balance Sheet
Year
Non-Current Assets
Plant and Machinery
Building
Furniture, Fixtures and Equipment
Right of Use Asset (Land)
Total Non-Current Assets

Current Assets
Cash and Bank
Inventory
Accounts Receivables
Deposits
Deferred Tax Asset
Investment in Working Capital
Total Current Assets
Total Assets

Equity
Share Capital Contribution
Retained Earnings
Total Equity

Non-Current Liabilities
Working Capital Financing - Loan 1
PPE Financing - Loan 2
Finance Lease Liability
Total Non-Current Liabilities

Current Liabilities
Accounts Payable
Accrued Liabilities
Interest Payable
Income Tax Liability
Deferred Tax Liability
Total Current Liabilities
Total Liabilities
Total Equity and Liabilities
Error Check

Statement of Cashflows
Year
Cashflow from Operating Activities
Net Profit for the Year
Depreciation Expenses
Increase / Decrease in Accounts Receivables
Increase / Decrease in Inventory
Increase / Decrease in Accounts Payables
Increase / Decrease in Accrued Liabiliities
Working Capital Investment
Cashflow from Operating Activities

Cashflow from Investing Activities

Investment in Property, Plant and Equipment
Working Capital Investment
Cashflow from Investing Activities

Cashflow from Financing Activities

Equity Contribution
Financing Obtained
Loan Repayments
Finance Lease Liability Payments
Cashflow from Financing Activities
Net Cashflow for the Year
Opening Cash and Bank Balances
Closing Cash and Bank Balances
Error Error Error Error

0 1 2 3
5,225,714.29 6,096,666.67 6,241,825.40
2,872,266.33 3,368,310.59 3,469,990.35
- 2,353,447.96 2,728,356.08 2,771,835.05
353,483.18 367,092.05 380,815.49
26,128.57 30,483.33 31,209.13
57,270.82 61,279.77 65,569.36
320,011.97 320,011.97 320,011.97
3,896.49 3,657.80 3,394.05
- 1,592,656.93 1,945,831.14 1,970,835.06
348,455.41 268,705.25 180,361.50
- 1,244,201.52 1,677,125.90 1,790,473.55
360,818.44 486,366.51 519,237.33
- 883,383.08 1,190,759.39 1,271,236.22

0 1 2 3

3,424,662.36 3,116,442.75 2,808,223.14 2,500,003.52

247,081.74 237,198.47 227,315.20 217,431.93
21,212.12 19,303.03 17,393.94 15,484.85
37,109.42 37,109.42 37,109.42 37,109.42
3,730,065.64 3,410,053.66 3,090,041.69 2,770,029.72

521,423.25 1,041,172.69 1,691,956.33

1,053,333.36 1,153,331.16 1,173,887.80
429,510.76 501,095.89 513,026.74

1,268,384.01 888,045.30 466,722.72 - 0.00

1,268,384.01 2,892,312.68 3,162,322.46 3,378,870.87
4,998,449.65 6,302,366.34 6,252,364.15 6,148,900.59

1,499,534.90 1,499,534.90 1,499,534.90 1,499,534.90

- 883,383.08 2,074,142.47 3,345,378.69
1,499,534.90 2,382,917.97 3,573,677.36 4,844,913.59
 1,268,384.01 888,045.30 466,722.72 - 0.00
2,230,530.74 2,758,816.94 1,938,968.95 1,030,777.22
37,109.42 34,836.20 32,324.28 29,548.62
3,536,024.17 3,681,698.44 2,438,015.96 1,060,325.84

182,267.11 182,294.41 182,322.25

92,592.24 95,485.84 98,448.33

- 274,859.35 277,780.25 280,770.58

3,536,024.17 3,956,557.79 2,715,796.21 1,341,096.42
5,035,559.07 6,339,475.76 6,289,473.57 6,186,010.01
- 37,109.42 - 37,109.42 - 37,109.42 - 37,109.42

0 1 2 3

- 883,383.08 1,190,759.39 1,271,236.22

320,011.97 320,011.97 320,011.97
- 429,510.76 - 71,585.13 - 11,930.85
- 1,053,333.36 - 99,997.80 - 20,556.64
182,267.11 27.29 27.84
92,592.24 2,893.61 2,962.49
1,268,384.01
1,268,384.01 - 4,589.72 1,342,109.34 1,561,751.03

- 3,730,065.64
- 1,268,384.01
- 4,998,449.65 - - -

1,499,534.90
3,498,914.76
- 740,097.82 - 819,847.98 - 908,191.73
- 2,273.22 - 2,511.91 - 2,775.66
4,998,449.65 - 742,371.04 - 822,359.90 - 910,967.39
1,268,384.01 - 746,960.77 519,749.44 650,783.64
1,268,384.01 521,423.25 1,041,172.69
1,268,384.01 521,423.25 1,041,172.69 1,691,956.33
 Error Error Error Error

4 5 6 7
6,266,018.52 6,270,050.71 6,270,722.74 6,270,834.74
3,506,172.70 3,532,019.56 3,556,806.58 3,582,116.37
2,759,845.82 2,738,031.14 2,713,916.16 2,688,718.37
395,338.46 410,797.03 427,237.30 444,692.33
31,330.09 31,350.25 31,353.61 31,354.17
70,159.21 75,070.36 80,325.28 85,948.05
320,011.97 320,011.97 320,011.97 320,011.97
3,102.61 2,780.56 2,424.70 2,031.47
1,939,903.48 1,898,020.97 1,852,563.30 1,804,680.37
95,722.67 43,025.54 - -
1,844,180.81 1,854,995.42 1,852,563.30 1,804,680.37
534,812.44 537,948.67 537,243.36 523,357.31
1,309,368.38 1,317,046.75 1,315,319.94 1,281,323.06

4 5 6 7

2,191,783.91 1,883,564.30 1,575,344.69 1,267,125.07

207,548.66 197,665.39 187,782.12 177,898.85
13,575.76 11,666.67 9,757.58 7,848.48
37,109.42 37,109.42 37,109.42 37,109.42
2,450,017.75 2,130,005.77 1,809,993.80 1,489,981.83

2,822,998.78 3,912,581.54 5,542,456.22 7,138,034.50

1,181,249.27 1,186,529.40 1,191,597.40 1,196,772.31
515,015.22 515,346.63 515,401.87 515,411.07

- 0.00 - 0.00
4,519,263.27 5,614,457.57 7,249,455.49 8,850,217.89
6,969,281.02 7,744,463.35 9,059,449.29 10,340,199.72

1,499,534.90 1,499,534.90 1,499,534.90 1,499,534.90

4,654,747.07 5,971,793.82 7,287,113.76 8,568,436.82
6,154,281.96 7,471,328.71 8,786,648.65 10,067,971.72
- 0.00 - 0.00 - -
541,737.17 - 0.00 - -
26,481.51 23,092.36 19,347.34 15,209.10
568,218.69 23,092.36 19,347.34 15,209.10

182,350.64 182,379.61 182,409.15 182,439.28

101,539.14 104,772.08 108,153.56 111,689.03

283,889.79 287,151.69 290,562.72 294,128.32

852,108.47 310,244.05 309,910.06 309,337.42
7,006,390.44 7,781,572.76 9,096,558.71 10,377,309.13
- 37,109.42 - 37,109.42 - 37,109.42 - 37,109.42

4 5 6 7

1,309,368.38 1,317,046.75 1,315,319.94 1,281,323.06

320,011.97 320,011.97 320,011.97 320,011.97
- 1,988.48 - 331.41 - 55.24 - 9.21
- 7,361.47 - 5,280.13 - 5,068.01 - 5,174.91
28.40 28.96 29.54 30.13
3,090.81 3,232.94 3,381.48 3,535.47

1,623,149.61 1,634,709.09 1,633,619.70 1,599,716.52

- - - -

- 489,040.05 - 541,737.17
- 3,067.11 - 3,389.15 - 3,745.01 - 4,138.24
- 492,107.16 - 545,126.33 - 3,745.01 - 4,138.24
1,131,042.45 1,089,582.76 1,629,874.68 1,595,578.28
1,691,956.33 2,822,998.78 3,912,581.54 5,542,456.22
2,822,998.78 3,912,581.54 5,542,456.22 7,138,034.50
Error Error Error

8 9 10
6,270,853.41 6,270,856.52 6,270,857.04
3,608,242.59 3,635,263.93 3,663,224.33
2,662,610.82 2,635,592.59 2,607,632.71
463,195.18 482,781.05 503,487.77
31,354.27 31,354.28 31,354.29
91,964.42 98,401.93 105,290.06
320,011.97 320,011.97 320,011.97
1,596.96 1,116.82 586.26
1,754,488.03 1,701,926.55 1,646,902.35
- - -
1,754,488.03 1,701,926.55 1,646,902.35
508,801.53 493,558.70 477,601.68
1,245,686.50 1,208,367.85 1,169,300.67

8 9 10

958,905.46 650,685.85 342,466.24

168,015.58 158,132.31 148,249.04
5,939.39 4,030.30 2,121.21
37,109.42 37,109.42 37,109.42
1,169,969.85 849,957.88 529,945.91

8,697,543.39 10,219,238.75 11,701,317.91

1,202,113.35 1,207,636.44 1,213,350.45
515,412.61 515,412.86 515,412.91

10,415,069.35 11,942,288.05 13,430,081.28

11,585,039.21 12,792,245.94 13,960,027.19

1,499,534.90 1,499,534.90 1,499,534.90

9,814,123.32 11,022,491.17 12,191,791.84
11,313,658.22 12,522,026.07 13,691,326.74
 - - -
- - -
10,636.35 5,583.45 -
10,636.35 5,583.45 -

182,470.02 182,501.37 182,533.35

115,384.04 119,244.47 123,276.52

297,854.06 301,745.84 305,809.87

308,490.41 307,329.29 305,809.87
11,622,148.63 12,829,355.35 13,997,136.60
- 37,109.42 - 37,109.42 - 37,109.42

8 9 10

1,245,686.50 1,208,367.85 1,169,300.67

320,011.97 320,011.97 320,011.97
- 1.53 - 0.26 - 0.04
- 5,341.04 - 5,523.08 - 5,714.02
30.74 31.35 31.98
3,695.01 3,860.42 4,032.05

1,564,081.65 1,526,748.26 1,487,662.61

- - -

- 4,572.76 - 5,052.90 - 5,583.45

- 4,572.76 - 5,052.90 - 5,583.45
1,559,508.89 1,521,695.36 1,482,079.16
7,138,034.50 8,697,543.39 10,219,238.75
8,697,543.39 10,219,238.75 11,701,317.91
Army Welfare Trust
Biodegradable Tableware Manufacturing Facility
Financial Model - Supporting Schedules

Investment in Property, Plant and Equipment

Property, Plant and Equipment Cost Useful Life

Plant and Machinery 3,424,662.36 10.00
Building 247,081.74 20.00
Furniture, Fixtures and Equipment 21,212.12 10.00
Land 37,109.42
Total 3,730,065.64

Fixed Assets Schedule

Opening Balances 1 2
Plant and Machinery 3,424,662.36 3,116,442.75
Building 247,081.74 237,198.47
Furniture, Fixtures and Equipment 21,212.12 19,303.03
Total 3,692,956.22 3,372,944.24

Depreciation for the Year 1 2

Plant and Machinery 308,219.61 308,219.61
Building 9,883.27 9,883.27
Furniture, Fixtures and Equipment 1,909.09 1,909.09
Total 320,011.97 320,011.97

Closing Balance for the Year 1 2

Plant and Machinery 3,116,442.75 2,808,223.14
Building 237,198.47 227,315.20
Furniture, Fixtures and Equipment 19,303.03 17,393.94
Total 3,372,944.24 3,052,932.27

Financing and Capital Structure

Investment Requirement Amount
Investment in Property, Plant and Equipment 3,730,065.64
Net Working Capital Requirement (Year 1) 1,207,984.77
Cash Balance Required (% of Net WC) 5%
Total Working Capital Requirement 1,268,384.01
Total Investment 4,998,449.65

Capital Structure % Amount

Debt 70% 3,498,914.76
Equity 30% 1,499,534.90

Loan Parameter Loan 1 - WC Loan 2 - PPE

Loan Amount 1,268,384.01 2,230,530.74
Annual Interest Rate 10.50% 10.50%
Loan Period In Years 3 5
Number of Payments per Year 2 2
Instalment Amount $ 251,895.26 $ 292,381.36
Grace Period (Years)

Loan 1 - Working Capital Financing 1

Payment No. 1 2
Instalment Amount $ 251,895.26 $ 251,895.26
Principal Component $ 185,305.10 $ 195,033.61
Interest Component $ 66,590.16 $ 56,861.64
Balance 1,083,078.92 888,045.30

Loan 2 - PPE Financing 1

Payment No. 1 2
Instalment Amount $ 292,381.36 $ 292,381.36
Principal Component $ 175,278.49 $ 184,480.62
Interest Component $ 117,102.86 $ 107,900.74
Balance $ 2,055,252.25 $ 1,870,771.63

Consolidated Amortization Schedule 1

Payment No. 1 2
Instalment Amount $ 544,276.61 $ 544,276.61
Principal Component $ 360,583.59 $ 379,514.23
Interest Component $ 183,693.02 $ 164,762.39
Balance $ 3,138,331.16 $ 2,758,816.94

Land Lease Amortization Schedule

Value of Asset as of Today (PV) - PKR 37,109.42
Cost of Debt 10.5%
Lease Term (Years) 10
No. of Payments per Year 1
Instalment Amount £6,169.71

Finance Lease Amortization Schedule - PKR 1 2

Payment No. 1 2
Instalment Amount 6,169.71 6,169.71
Principal Payment £2,273.22 2,511.91
Interest Payment £3,896.49 3,657.80
Balance 34,836.20 32,324.28

Cost of Capital Calculations

Cost of Equity Calculations %
Risk Free Rate of Return (10 Year Govt. Bond) 9.64%
Market Return (Average Returns of KSE-100 for 10 Years) 19.10%
Weighted Average Asset Beta of Pulp and Board Industry 0.81
Average (Debt / Equity Ratio) 14%
Tax Rate 29%
Project Equity Beta 0.89
Cost of Equity 18.05%

Cost of Equity Calculations %

Interest Rate 10.50%
Tax Rate 29%
Cost of Debt 7.46%

Cost of Equity Calculations %

WACC 17%
 Depreciable Value (USD) Depreciation Method
Residual Value
10% 3,082,196.12 SLM
20% 197,665.39 SLM
10% 19,090.91 SLM

3,298,952.42

3 4 5 6
2,808,223.14 2,500,003.52 2,191,783.91 1,883,564.30
227,315.20 217,431.93 207,548.66 197,665.39
17,393.94 15,484.85 13,575.76 11,666.67
3,052,932.27 2,732,920.30 2,412,908.33 2,092,896.35

3 4 5 6
308,219.61 308,219.61 308,219.61 308,219.61
9,883.27 9,883.27 9,883.27 9,883.27
1,909.09 1,909.09 1,909.09 1,909.09
320,011.97 320,011.97 320,011.97 320,011.97

3 4 5 6
2,500,003.52 2,191,783.91 1,883,564.30 1,575,344.69
217,431.93 207,548.66 197,665.39 187,782.12
15,484.85 13,575.76 11,666.67 9,757.58
2,732,920.30 2,412,908.33 2,092,896.35 1,772,884.38
 2 3
3 4 5 6
$ 251,895.26 $ 251,895.26 $ 251,895.26 $ 251,895.26
$ 205,272.88 $ 216,049.70 $ 227,392.31 $ 239,330.41
$ 46,622.38 $ 35,845.55 $ 24,502.94 $ 12,564.85
682,772.43 466,722.72 239,330.41 -

2 3
3 4 5 6
$ 292,381.36 $ 292,381.36 $ 292,381.36 $ 292,381.36
$ 194,165.85 $ 204,359.55 $ 215,088.43 $ 226,380.57
$ 98,215.51 $ 88,021.80 $ 77,292.93 $ 66,000.78
$ 1,676,605.78 $ 1,472,246.23 $ 1,257,157.80 $ 1,030,777.22

2 3
3 4 5 6
$ 544,276.61 $ 544,276.61 $ 544,276.61 $ 544,276.61
$ 399,438.73 $ 420,409.26 $ 442,480.74 $ 465,710.98
$ 144,837.89 $ 123,867.36 $ 101,795.87 $ 78,565.63
$ 2,359,378.21 $ 1,938,968.95 $ 1,496,488.21 $ 1,030,777.22

3 4 5 6
3 4 5 6
6,169.71 6,169.71 6,169.71 6,169.71
2,775.66 3,067.11 3,389.15 3,745.01
3,394.05 3,102.61 2,780.56 2,424.70
29,548.62 26,481.51 23,092.36 19,347.34
 7 8 9 10
1,575,344.69 1,267,125.07 958,905.46 650,685.85
187,782.12 177,898.85 168,015.58 158,132.31
9,757.58 7,848.48 5,939.39 4,030.30
1,772,884.38 1,452,872.41 1,132,860.44 812,848.46

7 8 9 10
308,219.61 308,219.61 308,219.61 308,219.61
9,883.27 9,883.27 9,883.27 9,883.27
1,909.09 1,909.09 1,909.09 1,909.09
320,011.97 320,011.97 320,011.97 320,011.97

7 8 9 10
1,267,125.07 958,905.46 650,685.85 342,466.24
177,898.85 168,015.58 158,132.31 148,249.04
7,848.48 5,939.39 4,030.30 2,121.21
1,452,872.41 1,132,860.44 812,848.46 492,836.49
 4 5
7 8 9 10
$ - $ - $ - $ -
$ - $ - $ - $ -
$ - $ - $ - $ -
- - - -

4 5
7 8 9 10
$ 292,381.36 $ 292,381.36 $ 292,381.36 $ 292,381.36
$ 238,265.55 $ 250,774.50 $ 263,940.16 $ 277,797.02
$ 54,115.80 $ 41,606.86 $ 28,441.20 $ 14,584.34
$ 792,511.67 $ 541,737.17 $ 277,797.02 $ -

4 5
7 8 9 10
$ 292,381.36 $ 292,381.36 $ 292,381.36 $ 292,381.36
$ 238,265.55 $ 250,774.50 $ 263,940.16 $ 277,797.02
$ 54,115.80 $ 41,606.86 $ 28,441.20 $ 14,584.34
$ 792,511.67 $ 541,737.17 $ 277,797.02 -

7 8 9 10
7 8 9 10
6,169.71 6,169.71 6,169.71 6,169.71
4,138.24 4,572.76 5,052.90 5,583.45
2,031.47 1,596.96 1,116.82 586.26
15,209.10 10,636.35 5,583.45 -
Army Welfare Trust
Biodegradable Tableware Manufacturing Facility
Financial Model - Project Retunrs

Scenarios Tax Rate (%) KIBOR Premiums

Scenario 1 29% 7.50% 0.00%
Scenario 1 0% 3% 2.00%
Scenario 1 0% 6% 3.00%

Key Parameters Options

No. of Shifts 3
Working Days per Year 310
Efficiency 90%
Tax Rate (Year 1 to Year 5) 29%
Tax Rate (Year 6 and Onwards) 29%
KIBOR - PPE 7.50%
Risk Premium - PPE 3.00%
KIBOR - WC 7.50%
Risk Premium - WC 3.00%

Investment Returns %/$

Payback Period 3.62
Discounted Payback Period 4.78
Net Present Value - FCFE 11,485,548.47
IRR 44%
Profitability Index 2.30
Gross Profit Margins 43%
Net Profit Margins 20%
Interest Coverage Ratio 19.34

Dates 1/1/2022 12/31/2022 12/31/2023

Net Cashflow for the Year 0 1 2
Net Cashflow - 4,998,449.65 521,423.25 1,041,172.69
Discounted Net Cashflows @ Ke - 4,998,449.65 441,684.39 747,078.25
Cummulative Net Cashflows - 4,998,449.65 - 4,477,026.40 - 3,435,853.71
Cummulative Discounted Net Cashflows - 4,998,449.65 - 4,556,765.26 - 3,809,687.00
Partial Years - Payback Period
Partial Years - Discounted Payback Period
Working Days Efficiency No. of Shifts
310 85% 2.0
320 90% 2.5
330 95% 3.0

12/31/2024 12/31/2025 12/31/2026 12/31/2027 12/31/2028

3 4 5 6 7
1,691,956.33 2,822,998.78 3,912,581.54 5,542,456.22 7,138,034.50
1,028,381.23 1,453,440.79 1,706,364.16 2,047,539.33 2,233,728.00
- 1,743,897.39 1,079,101.39 4,991,682.94 10,534,139.16 17,672,173.66
- 2,781,305.78 - 1,327,864.98 378,499.17 2,426,038.51 4,659,766.51
0.62 0.28 0.90 1.48
0.78 0.18 1.09
12/31/2029 12/31/2030 12/31/2031
8 9 10
8,697,543.39 10,219,238.75 11,701,317.91
2,305,525.41 2,294,634.50 2,225,622.05
26,369,717.06 36,588,955.81 48,290,273.73
6,965,291.92 9,259,926.42 11,485,548.47
2.03 2.58 3.13
2.02 3.04 4.16