P&L Account

Particulars Year 1 Year2 Year 3

Sales 7,500,000 8,500,000 9500000
COGS 4,000,000 4,500,000 5000000
Gross Project 3,500,000 4,000,000 4500000

Operating Expense
Salary 500,000 600,000 700000
Advertisement 1,000,000 1,100,000 1200000
Depreciation on Plant & Machinery 10% 200,000 180,000 162000
Depreciation on furniture 5% 25,000 23,750 22563
Interest on Loan 12% 420,000 360,000 300000
Net Profit 1,355,000 1,736,250 2115437

Balance Sheet
Liabilities Years 1 Year2 Year 3
Eq Share Capital 3,500,000 4500000 5500000
Reserve and Surplus 1,355,000 1155000 1255000
Long Term Loan 3,500,000 3000000 2500000
Sundry Creditors 600,000 500000 400000
Total Liability 8,955,000 9155000 9655000

Assets
Plant and Machinery 2000000 1800000 1620000
Less: Depreciation -200000 -180000 -162000
1800000 16200000 1458000
Furniture 500000 475000 451250
Less: Depreciation 25000 23750 22563
475000 451250 428687
Cash at Bank 6680000 7083750 7768313
Total Assets 8955000 9155000 9655000
CASH FLOW STATEMENT
Particular Years 1 Year2 Year 3
Cash Inflow
Term loan form bank 3,500,000 0 0

Own Capital 3,500,000 4500000 5500000

Cash Accruals 1,580,000 1940000 2300000
Before Interest

Increase in Current Liability 600,000 500000 400000

Total A 9,180,000 99400000 11000000
Cash Outflow
Fixed Assets Purchased 2,000,000 1800000 1620000

Interest and Principle 420,000 360000 300000

Increase in current assets NIL NIL NIL

Drawing NIL
Total B 2420000 2160000 1920000
Opening Balance - 6760000 7780000
Net Surplus (A-B) 6760000 7780000 9080000
Closing Balance 6760000 14540000 17860000

NPV IRR
-7000000 13.56%
1,355,000
1,736,250
2115437
2490509
2867346
₹ 276,293.03
Year 4 Year 5
10500000 11500000
5500000 6000000
5000000 5500000

800000 900000
1300000 1400000
145800 1312200
23691 21434
240000 180000
2490509 2867346

Year 4 Year 5
3500000 7500000
1355000 1455000
2000000 1500000
300000 200000
10155000 10655000

1458000 1326780
-145800 -131220
13267800 1195560
428687 407253
21434 20363
407253 386890
8420976 9072550
10155000 10655000
Year 4 Year 5

0 0

5500000 7500000
2657743 2300000
7004074894

300000 200000
8957743 10000000

1458000 1326780

240000 180000

NIL NIL

14820000 1506780
9080000 7259743
7259743 8493220
16339743 15752963