jai ho ghodse

7/31/2019 Jai Ho Ghodse

1/22

Durian furniture and Company

ASSUMPTIONS

1. Suppliers are giving us 3 months credit and there pattern is 60% cash and 40 % credit.

2.Customers are allowed credit period of 3 months

3. Bank rate of loan is assumed as 10 %.

4. Depreciation is charged by written down method.

5. Salary and Wages will increase by 5-10% per year depending on performance and mos

7. Income tax applicable: 30%.

8.selling price will increase by 3 % every year

9.power is 2% of sales

10. fuel price is 2% of sales

11.Raw materials price is 35% of Sales


2/22

t importantly sales.


3/22

Item Amount(in Rs. lakhs)

Land 200

Building 300

Plant and Machinery 1000

Vehicles (2 scooters; 2tempos; 5trucks) 134

Laptops (6) 3

Furniture and other assets 3

Working Capital Margin 75

Total 1715

Owners' Fund 915

Loan From Bank 800Total 1715

Projected Cost

Means of Finance


4/22

53.4%

46.6%


5/22

Year 1 2

Particulars

opening stock 0

Production 290 340

Closing stock 10 10Sales Qty (Items) 280 330

Sales Price per unit 100000 103000

Sales 280 340

Cost Of Production 142 171

Raw Materials 98 119

Power 6 7

Wages and Salary 20 24

Fuel for Transportation 6 7

Maintenance 5 5

stationery, postage & telephone expenses 2.4 2.4

Selling Exp 5.6 6.8

Gross Profit Before Interest 138 169

Gross Margin 49.4% 49.8%

Total Financial Expenses:

Interest On Bank Borrowings 80 72

Depreciation 87.20 79.83

Operating Profit (PBT) (29) 18

Tax - 0.00

Profit After Tax (29.00) 17.52

Profit Carried to B/S (29.00) (11.48)

Working Capital workings

Inventory 4.40 4.53

Debtors 70 85

Less: Creditors 24.50 29.74

Net Working Capital 49.90 59.77

Net Increase in working capital -49.90 -9.87

Income Statement


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3 4 5

380 380 380

10 10 10370 370 370

106,090 109,273 112,551

393 404 416

196 201 207

137 142 146

8 8 8

27 28 29

8 8 8

5 5 5

2.4 2.4 2.4

7.9 8.1 8.3

197 203 209

50.1% 50.2% 50.2%

64 56 48

73.72 93.60 80.61

59 53 81

14.26 15.97 24.16

44.74 37.27 56.38

33.27 70.54 126.91

4.67 4.81 4.95

98 101 104

34.35 35.38 36.44

68.45 70.51 72.62

-8.69 -2.05 -2.12

Amount(in Rs. Lakhs)


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(Rs. In Lakhs)

Year 1 2

Cash from Operating Activity

Net profit (29) 18

Add: Depriciation 87 80

Total 58.20 97.35Less: Working Capital changes (49.90) (9.87)

Net Cash flow from operating activities 8.30 87.48

Cash from Financial Activities

Capital 915 -

Browings made from Banks 800 -

Repayment of Loans or Borrowings -80.00 -80.00

Total 1,635 (80)

Cash from Investing Activites

Purchase or Sale of Fixed Assets 1,640.00 0

Total -1,640.00 0.00

Opening Balance of Cash - 3.30

Surplus 3.30 7.48

Closing Balance of Cash 3.30 10.78


8/22

3 4 5

45 37 56

74 94 81

118.46 130.87 136.99(8.69) (2.05) (2.12)

109.77 128.81 134.87

-80.00 -80.00 -80.00

(80) (80) (80)

0 0 0

0.00 0.00 0.00

10.78 40.55 89.37

29.77 48.81 54.87

40.55 89.37 144.24


9/22


10/22

Year 1 2 3 4

Liabilities

Owners fund 915 915 915 915

Reserves & Surplus -29.00 -11.48 33.27 70.54

Borrowing Fund 720.00 640.00 560.00 480.00

Current Liabilities & Provisions:

Creditors: 24.50 29.74 34.35 35.38

Total 1630.50 1573.26 1542.61 1500.91

Assets

Fixed Assets 1,640.00 1,640.00 1,640.00 1,640.00

Less: Depreciation 87.20 167.03 240.74 334.34

Net Fixed Assets 1,552.80 1,472.98 1,399.26 1,305.66

Current Assets:

Inventory 4.40 4.53 4.67 4.81

Debtors 70.00 84.98 98.13 101.08

Cash and Bank Balance 3.3 10.8 40.6 89.4

Total 1,630.50 1,573.26 1,542.61 1,500.91

Check 0.00 0.00 0.00 0.00


11/22

5

915

126.91

400.00

36.44

1478.35

1,640.00

414.95

1,225.05

4.95

104.11

144.2

1,478.35

0.00


12/22

YEAR 1 2

Remaining Loan Amount 800 720

Interest(10%) 80 72

Yearly Installment(Principle) 80 80

TOTAL YEARLY PAYMENT 160.00 152.00

Loan Amortization Schedule


13/22


14/22

10

80

8

80

88.00


15/22

Building Plant & Office LAPTOP Vehicle

Machinery Furniture

Rate of Depreciation 5% 5% 10% 60% 15%

Installation as on 01.04.2012 300.00 1000.00 3.00 3.00 134.00

Total 300.00 1000.00 3.00 3.00 134.00

Depreciation (2012-13) 15.00 50.00 0.30 1.80 20.10

W.D.V. 31.03.2013 285.00 950.00 2.70 1.20 113.90

W.D.V. 01.04.2013 285.00 950.00 2.70 1.20 113.90

Addition during the year 0.00 0.00 0.00 0.00 0.00

Total 285.00 950.00 2.70 1.20 113.90Depreciation (2013-14) 14.25 47.50 0.27 0.72 17.09

W.D.V. 31.03.2014 270.75 902.50 2.43 0.48 96.82

W.D.V. 01.04.2014 270.75 902.50 2.43 0.48 96.82


Total 270.75 902.50 2.43 0.48 96.82

Depreciation (2014-15) 13.54 45.13 0.24 0.29 14.52

W.D.V. 31.03.2015 257.21 857.38 2.19 0.19 82.29

W.D.V. 01.04.2015 257.21 857.38 2.19 0.19 82.29


Total 257.21 857.38 2.19 0.19 82.29

Depreciation (2015-16) 12.86 42.87 0.22 0.12 12.34

W.D.V. 31.03.2016 244.35 814.51 1.97 0.08 69.95

W.D.V. 01.04.2016 244.35 814.51 1.97 0.08 69.95

Addition during the year 0.00 0.00 0.00 0.00 0.00Total 244.35 814.51 1.97 0.08 69.95

Depreciation (2016-17) 12.22 40.73 0.20 0.05 10.49

W.D.V. 31.03.2017 232.13 773.78 1.77 0.03 59.46

PARTICULARS

STATEMENT OF DEPRECIATION (In Lakhs)


16/22


17/22

Factory Staff Requirement Details

Description No Monthly Salary (Rs)

Production supervisor 1 15000

Carpenter 10 8000Machine man 1 10000

Polish man 3 8500

Carving 2 8000

Helpers 2 4000

Factory admin officer 1 12000

Draftsman / CAD Operator 1 8000

Purchaser/Store Officer 1 12000

Gate Keeper 2 4000Total Production Staff 24

HUMAN RESOURCE REQUIREMENT


18/22

Total Annual Salary (Rs)

180000

960000120000

306000

192000

96000

144000

96000

144000

960002334000


19/22

S.No.

1

2

3

45

6


20/22

Item and Description

wood cutting trolley

wood seasoning machine

C.A.D.

Shaper machinespindle/mokling machine

polishing machine

Machinery & Prices


21/22

(Rs.in Lacs)

200

190

180

155145

130


22/22

Year Ratio

1 #REF!

2 #REF!

3 #REF!

4 #REF!5 #REF!

Year Cashflow

0 -147.43

1 15.62

2 31.49

3 39.63

4 49.06

5 58.84

Avg 38.928

IRR 3.787248253 By PVIFA table the NPV will be zero @10% in 5 yrs

Internal Rate Of Return

Debt Service Coverage Ratio

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