You are on page 1of 2

Particular Amount

Revenue 100

Cost of Goods
` 42
Labour 30
Other Direct Cost and Overhead 10
Total Direct cost 82
Gross Margin 18
Indirect Cost and Admin Cost 5
EBITDA 13
Interest Cost 1.33
Depreciation and Amortization 4
EBT 7.67
Tax (30%) 2.30
Net Profit / Income 5.37

Working Notes and Assumption

1 As per construction industry recommended ratio sales to total asset should be 5

Revenue/sales is 100 then total asset come to 20

2 Recommended debt to equity ratio 2:1


So total asset 20
13.33
1.33
Assume interest rate is 10%
sset should be 5

You might also like