3 COST OF PROJECT

A. Fixed Capital Investment

a. Land : 0 Own

b. Workshed Area Sq.ft Rate in Rs. Amt. In Rs.

Covered Area 250 0.00 0.00
Total 0.00

C. Machinery Qty. Rate Amount in Rs.

Class Harvester Model- CT40- C260 0 0.00 2550000.00
Total 2550000.00
d. Preliminary & Pre-operative Cost : Rs. 0.00

e. Furniture & Fixtures : Rs. 0.00

f. Contingency/Others/Miscellaneous : Rs. 0.00

Total Capital Expenditure : Rs. 2550000.00

Working Capital : Rs. 0.00

Total Cost Project : Rs. 2550000.00

3.1 Means of Financing :

Own Contribution Rs. 650000.00

Bank Finance :
Term Loan Rs. 1900000.00
Working Capital Rs. 0.00

Total Rs. 1900000.00

3.2 STATEMENT SHOWING THE REPAYMENT OF TERM LOAN & WORKING CAPITAL :
TERM LOAN

Interest @
Year Opening Balance Installment Closing Balance
9.00%
1st 1900000 0 1900000 171000
2nd 1900000 380000 1520000 171000
3rd 1520000 380000 1140000 136800
4th 1140000 380000 760000 102600
5th 760000 380000 380000 68400
6th 380000 380000 0 34200
7th 0 0 0 0
8th 0 0 0 0
 WORKING CAPITAL

Interest @
Year Opening Balance Installment Closing Balance
9.00%
1st 0 0 0 0
2nd 0 0 0 0
3rd 0 0 0 0
4th 0 0 0 0
5th 0 0 0 0
6th 0 0 0 0
7th 0 0 0 0
8th 0 0 0 0
3.3 STATEMENT SHOWING THE DEPRECIATION ON FIXED ASSETS:
WORKSHED @ 0.00%
Particulars 1st Year 2nd Year 3rd Year 4th Year 5th Year
Opening Balance 0 0 0 0 0
Depreciation 0 0 0 0 0
Closing Balance 0 0 0 0 0
MACHINERY @ 15.00%
Opening Balance 2550000 2167500 1842375 1566019 1331116
Depreciation 382500 325125 276356 234903 199667
Closing Balance 2167500 1842375 1566019 1331116 1131449
TOTAL DEPRECIATION
Workshed 0 0 0 0 0
Machinery 382500 325125 276356 234903 199667
Total 382500 325125 276356 234903 199667

4 Schedule of Service Realization :

4.1 Details of Service Sales
Rate/ No. of Amount in Rs.
Particulars of Product
Pair/Unit Pair/Unit
Service Realisation 0.00 0 2304000.00
Total 2304000.00

4.2 Capacity Utilization of Sales

Particulars 1st Year 2nd Year 3rd Year 4th Year 5th Year

Capacity Utilization 70% 75% 80% 85% 90%

Sales / Receipts 1612800 1728000 1843200 1958400 2073600

5 Rawmaterials :
Particulars Unit Rate/unit Reqd.Unit Amount in Rs.

Total 0.00
5.1 Wages :
No. of Wages Amount in Rs.
Particulars
Worker Per Month (Per Annum)
SKILLED OPERATOR 1 15000.00 180000.00
SEMI SKILLED LABOUR 1 8000.00 96000.00
Total 2 276000.00

5.2 Repairs and Maintenance : Rs. 156254.00

5.3 Power and Fuel : Rs. 325664.00

5.4 Other Overhead Expenses : Rs. 26850.00

6 Administrative Expenses :
6.1 Salary
MANAGER 1 20000.00 240000.00
Total 1 240000.00

6.2 Telephone Expenses 1250.00

6.4 Stationery & Postage 8500.00

6.5 Advertisement & Publicity 6572.00

6.6 Workshed Rent 0.00

6.7 Other Miscellaneous Expenses 45620.00

Total 301942.00
7 Capacity Utilization of Service & Administrative Expenses :
Particulars 1st Year 2nd Year 3rd Year 4th Year 5th Year
Capacity Utilization 70% 75% 80% 85% 90%
Service Expenses
Raw materials 0 0 0 0 0
Wages 193200 207000 220800 234600 248400
Repairs & Maintenance 109378 117191 125003 132816 140629
Power & Fuel 227965 244248 260531 276814 293098
Other Overhead Expenses 18795 20138 21480 22823 24165
Administrative Expenses
Salary 240000 240000 240000 240000 240000
Postage Telephone Expenses 875 938 1000 1063 1125
Stationery & Postage 5950 6375 6800 7225 7650
Advertisement & Publicity 4600 4929 5258 5586 5915
Workshed Rent 0 0 0 0 0
Other Miscellaneous Expenses 31934 34215 36496 38777 41058
Total: 832697 875033 917368 959704 1002039
8 Assessment of Working Capital :
Particulars Amount in Rs.
Sale 2304000.00

Service Expenses
Raw Material 0.00
Wages 276000.00
Repair & Maintenance 156254.00
Power & Fuel 325664.00
Other Overhead Expenses 26850.00

Service Cost 784768.00

Administrative Cost 301942.00
Total Cost 1086710.00
9 Financial Analysis
9.1 Projected Profit & Loss Account :
Particulars 0 Year 1st Year 2nd Year 3rd Year 4th Year
Sales / Receipts 1612800 1728000 1843200 1958400
1612800 1728000 1843200 1958400
Service Expenses
Raw materials 0 0 0 0
Wages 193200 207000 220800 234600
Repairs & Maintenance 109378 117191 125003 132816
Power & Fuel 227965 244248 260531 276814
Other Overhead Expenses 18795 20138 21480 22823
Depreciation 382500 325125 276356 234903
Service Cost 931838 913701 904171 901956
Administrative Expenses
Salary 240000 252000 264600 277830
Postage Telephone Expenses 875 938 1000 1063
Stationery & Postage 5950 6375 6800 7225
Advertisement & Publicity 4600 4929 5258 5586
Workshed Rent 0 0 0 0
Other Miscellaneous Expenses 31934 34215 36496 38777
Administrative Cost 283359 298457 314154 330481
Interest on Bank credit @ 9%
Term Loan 171000 171000 136800 102600
Working Capital Loan 0 0 0 0
Cost of Sale 1386197 1383158 1355124 1335036
Net Profit Before Tax 226603 344843 488076 623364
Less Tax 0.00 0.00 0.00 0.00
Net Profit 226603 344843 488076 623364
9.2 CALCULATION OF DEBT SERVICE CREDIT RATIO (D.S.C.R) :
Particulars 0 Year 1st Year 2nd Year 3rd Year 4th Year
Net Profit 226603 344843 488076 623364
Add :
Depreciation 382500 325125 276356 234903
TOTAL - A 609103 669968 764432 858267
Payments :
On Term Loan :
Interest 171000 171000 136800 102600
Installment 0 380000 380000 380000
On Working Capital
Interest 0 0 0 0
TOTAL - B 171000 551000 516800 482600
D.S.C.R = A/B
2.18 2.45 2.63 2.78
Average D.S.C.R

9.3 PROJECTED BALANCE SHEET :

Particulars 0 Year 1st Year 2nd Year 3rd Year 4th Year
LIABILITIES :
Beneficiary's Capital 650000 650000 650000 650000
Profit 226603 344843 488076 623364
Term Loan 1900000 1900000 1520000 1140000
Working Capital Loan 0 0 0 0
Current Liabilities 0 0 0 0
Sundry Creditors 0 0 0 0
2776603 2894843 2658076 2413364
ASSETS :
Gross Fixed Assets : 2550000 2167500 1842375 1566019
Less : Depreciation 382500 325125 276356 234903
Net Fixed Assets 2167500 1842375 1566019 1331116
Preliminary & Pre-Op. Expenses 0 0 0 0
Current Assets 0 0 0 0
Cash in Bank/Hand 609103 1052468 1092057 1082248
Total 2776603 2894843 2658076 2413364
9.4 CASH FLOW STATEMENT :
Particulars 0 Year 1st Year 2nd Year 3rd Year 4th Year
Net Profit 226603 344843 488076 623364
Add : Depreciation 382500 325125 276356 234903
Term Loan 1900000 1900000 1520000 1140000
Working Capital Loan 0 0 0 0
Beneficiary's Capital 650000 0 0 0
Total 3159103 2569968 2284432 1998267

Total Fixed Capital Invested 2550000

Repayment of Term Loan 0 380000 380000 380000

Repayment of WC Loan 0 0 0 0
Current Assets 0 0 0 0
Total 0 380000 380000 380000

Opening Balance 0 3159103 5349071 7253503

Surplus 3159103 2189968 1904432 1618267
Closing Balance 3159103 5349071 7253503 8871769

9.5 BREAK EVEN POINT AND RATIO ANALYSIS :

Particulars 0 Year 1st Year 2nd Year 3rd Year 4th Year
Fixed Cost 836859 794582 727310 667984
Variable Cost 931838 913701 904171 901956
Total Cost 1768697 1708283 1631481 1569939

Sales 1612800 1728000 1843200 1958400

Contribution (Sales-VC) 680962 814299 939029 1056444

B.E.P in % 122.89% 97.58% 77.45% 63.23%

Break Even Sales in Rs. 1982028 1686158 1427620 1238285

Current Ratio 2.17 2.42 2.63 2.89

Net Profit Ratio 14.05% 16.95% 17.42% 17.86%

This Project Report has been prepared based on the data furnished by the
beneficiary whose details are given in the application.
Place :
Date: FullGOVIND
Name : NARAYAN RAGHUWANSHI

Signature of the Beneficiary