Poultry project

The total cost of the project is a combination of both the fixed cost and variable cost which will be
detailed in two different tables below

Fixed costs

Item Unit Quant Total

prices y prices
Eaters 1500 5 7500
frs frs
Drinkers 2500 5 12,500
frs frs
Building 160,000 1 160,000
frs frs
Bulbs 1000 2 2000
frs frs
Transport 10,000 1 10,000
frs frs
Total 192,000

Variable costs

Items Unit Quantity Total

price price
Chicks 1600 120 192,000
frs frs
Feed 18,000 10 180,000
frs frs
Labour 10,000 2 20,000
frs frs
Antibiotics 8000 1 8000
frs frs
Vitamins 3500 1 3500
frs frs
Drugs 5000 1 5000
frs frs
Saw dust 1000 3 3000
frs frs
Transport 5000 1 5000
frs frs
Total 416,500
frs
Total fixed cost is
192,000 frs +416,500 frs = 608,500 frs

So the estimated capital required is 620,000frs.

 Considering the last prices of each chick is estimated at 4500frs we have a profit of
1000frs per chick sold so our total revenue will be 540,000frs and total profits will be
estimated at 540,000 -416,500 which is 123,500 frs

 Now considering the last prices of each chick is estimated to 5000frs we have a profit
of 1500 frs per chick sold, so our total revenue will be 600,000frs and our total profit is
given as 600,000 frs – 416,500 frs which is 183,500 frs.

The estimated period for all entries and exits is estimated to be 4 months maximum, before the next
waves is reinvested

So annual profit is estimated be at

 370,500 frs for first case giving us a percentage profit of about 59.8%
 550,500 frs for second case giving us a percentage profit of about 88.7%

Also we all know that risks exist in any business venture. The risk in this project only occurs when the
fowls die but with proper feeding and hygiene care, this risk is already eliminated and in case of death
the cost of the death fowls will be push onto the others fowls by a slide increase in prices of others.