M/s Abc

I N D E X

SL. CONTENTS Statement

CHAPTER :
1 PROJECT AT GLANCE 1
2 COST OF THE PROJECT AND MEANS OF FINANCE 2
3 PROJECTIONS AND PROFITABILITY STATEMENT 3
4 CASH - FLOW STATEMENT 4
5 BALANCE SHEET 5
6 BREAK EVEN ANALYSIS 6
7 DEBT COVERAGE RATIO 7
8 ANALYSIS ON RETURN ON INVESTMENT 8
9 INTEREST SCHEDULE 9
10 PRODUCTION STATEMENT 10
11 DEPRECIATION SCHEDULE 11
 M/s ABC
Statement NO. 1
PROJECT AT GLANCE :
1 Name : M/s ABC
2 Address : Reg.Office:

3 Nature of Business : Manufacturing

4 Constitution : Proprietorship
Proprietor :

5 Cost of the project : (Rs. In Lakhs)

Particulars Qty Value Total

Fully Computerized High Speed Flat Knitting

Machine 14GG X 36’’ 3 System With Needles
&Accessories 6.00 800,000.00 4,800,000.00

Double Head Laser Cutting Machine with

Projector 1600 X 1000mm 1.00 550,000.00 550,000.00
Heat Press Fusing Machine 1600mm 1.00 570,000.00 570,000.00

Amount 5,920,000.00
GST@18% 1,065,600.00

Total Total 6,985,600.00

Means of Finance :
Particulars Total
Promoter Contribution 1,935,600.00
Term Loan from Bank / Institution 5,050,000.00

Total 6,985,600.00

(in % )
Particular 2022 2023 2024 2025 2026
Debt Equity Ratio 6 0.02 0.05 0.04 0.13 0.10
Debt Coverage Ratio 7 6.64 5.93 5.17 1.86 2.00
Gross Profit Ratio 8 12.74 7.12 9.07 11.09 13.38
Net Profit Ratio 9 1.2 1.5 1.8 1.9 2.0
Return on Investment 10 3.39 8.20 14.96 19.59 21.22
 M/s ABC

STATEMENT NO. 2

COST OF THE PROJECT AND MEANS OF FINANCE:

The project cost has been estimated at Rs. 6,985,600.00

Brief details of the project cost is given below

Cost of the project : (Rs. In Lakhs)

Particulars Total
Fully Computerized High Speed Flat Knitting
Machine 14GG X 36’’ 3 System With Needles &Accessories 4,800,000.00
Double Head Laser Cutting Machine with
Projector 1600 X 1000mm 550,000.00

Heat Press Fusing Machine 1600mm 570,000.00

Applicable GST@18% 1,065,600.00

Total 6,985,600.00

Means of Finance :
Particulars Total
Promoters Contribution 1,935,600.00

Term Loan from Bank / Institution 5,050,000.00

Total 6,985,600.00
 M/s ABC
STATEMENT NO.3
PROJECTIONS AND PROFITABILITY STATEMENT In Lakhs
Operating years
PARTICULARS
2022 2023 2024 2025 2026
A.INCOME:
Sales ( Increase 20% Every year) 47,704,786.00 77,486,708.00 92,984,049.60 111,580,860 133,897,031
Closing Inventory 721,393.00 5,635,568.00 13,515,230.00 15,542,514 16,319,640
Other Income 135.00 23,409.00
Total 48,426,314.00 83,145,685.00 106,499,279.60 127,123,374.02 150,216,671.65
B. EXPENSES: (Increase 5% every year)
Purchae of raw materials 38,512,268.00 68,677,448.77 83,685,644.64 92,054,210.00 105,778,654.82
Consumble Purchase & Exp 1,185,751.00 7,147,337.63 7,504,704.51 7,879,939.74 9,455,927.68
Power Charges ( Electricity exp) 427,187.00 679,232.00 383,119.00 402,274.00 422,387.00
Opening Inventory 994,684.00 721,393.00 5,635,568.00 13,515,230.00 15,542,514.50
Wages & Salary 1,231,002.00 406,013.40 853,005.90 895,656.20 1,105,656.00
Cost of Operations 42,350,892.00 77,631,424.80 98,062,042.05 114,747,309.93 132,305,140.01

C. Gross Profit [ A - B ] 6,075,422.00 5,514,260.20 8,437,237.55 12,376,064.09 17,911,531.64

D. Interest: on term loan 101,530.00 267,258.06 284,775.00 527,215.00 478,728.00

E. Selling & Admin. Exp. ( Increase 5% every Year) 5,392,134.00 4,079,092.14 6,461,969 9,709,456 14,692,101

F. Profit before Tax[ C - (D+E) ] 581,758.00 1,167,910.00 1,690,493.77 2,139,393.50 2,740,702.64

G. Income Tax 37,032.00 134,016.00 527,434.06 667,490.77 855,099.22

H. Profit after Tax ( F-G ) 544,726.00 1,033,894.00 1,163,059.71 1,471,902.73 1,885,603.42

I. Depreciation added back 27,450.00 282,378.00 1,159,149.00 1,438,136 1,227,917

J. Cash Accruals ( H + I ) 572,176.00 1,316,272.00 2,322,208.71 2,910,038.32 3,113,520.42

L. Repayment of Term Loan - - 219,600.00 1,317,600.00 1,317,600.00

M. Net Cash A'ble (J - K)) 572,176.00 1,316,272.00 2,102,608.71 1,592,438.32 1,795,920.42

 M/s ABC
STATEMENT NO.4

CASH FLOW STATEMENT

Particular 2022 2023 2024 2025 2026

OPERATING ACTIVITY
Net Profit after Depreciation 544,726 1,033,894 1,163,060 1,471,903 1,885,603
Depreciation Add 27,450 282,378 1,159,149 1,438,136 1,227,917
Changes in Creditors Add - (8,154,423) (1,092,017) (567,103) (567,103)
Expense of Finance Activity Add 101,530 267,258 284,775 527,215 478,728
Changes in Inventory Less (421,393) (4,914,175) (7,879,662) (2,027,284) (777,126)
Changes in Debtors Less (3,274,294) (2,481,587) (5,100,465) (1,799,448) (2,660,620)
Income of Investment Activity Less - - -

OPERATING ACTIVITY -A TOTAL 4,369,393 824,870 14,495,093 6,696,883 6,462,892

INVESTMENT ACTIVITY
Income from Investments Add - - -
Changes in Fixed Assets Less (44,694) (3,581,751) (8,153,525) 1,438,136 1,228,517
Changes in Investments Less - - -

INVESTMENT ACTIVITY -B TOTAL 44,694 3,581,751 8,153,525 (1,438,136) (1,228,517)

FINANCING ACTIVITY
Changes in Loans Liability Add 418,216 (4,459,217) (7,206,440) 2,226,026 3,000,002
Changes in O/s Taxes Add (191,605) 176,022 (555,958) (29,146) (61,206)
Changes in Loans & Advances Less - (1,271,829) 829,729 (22,105) 464,205
Changes in Other Current Assets Less 2,012,462 (3,490,975) 2,579,720 1,015,703 463,893
Interest Expense Less 101,530 267,258 284,775 527,215 478,728
Reduction in Capital Less - - -

FINANCING ACTIVITY -C TOTAL (1,887,381) 212,350 (11,456,622) 676,067 1,531,970

Cash & Cash Equivalent D=(A+B+C) 2,526,706 4,618,971 11,191,996 5,934,814 6,766,344

Opening Cash Balance E 822,815 832,424 3,116,924 1,166,576 1,224,905

Closing Cash Balance F =(D+E) 3,349,521 5,451,395 14,308,920 7,101,390 7,991,249
 M/s ABC

STATEMENT NO.5 Profit and loss A/c & Balance sheet

PROFIT & LOSS A/C

Particular 2022 2023 2024 2025 2026

Profit before Interest & Depreciation 710,738 1,717,546 3,134,418 4,104,744 4,447,348
Interest on Loans 101,530 267,258 284,775 527,215 478,728
Depreciation 27,450 282,378 1,159,149 1,438,136 1,227,917
Net Profit 581,758 1,167,910 1,690,494 2,139,393 2,740,703

CAPITAL A/C
Particular 2022 2023 2024 2025 2026
Opening Capital 3,001,469 4,331,645 5,300,719 11,480,889 14,707,759
Net Profit 581,758 1,167,910 1,690,494 2,139,393 2,740,703
Drawings 324,786 313,937 - 112,524 1,471,058
Addittion 1,073,204 115,101 4,489,677 1,200,000 1,200,001
Closing Capital 4,331,645 5,300,719 11,480,889 14,707,759 17,177,405

BALANCE SHEET
Particular 2022 2023 2024 2025 2026
SOURCE OF FUNDS
Capital A/c 4,331,645 5,300,719 11,480,889 14,707,759 17,177,405

Loans Liability
Secured Loans - - 9,528,027 8,129,228 6,129,226
Unsecured Loans - 176,970 - - -
Cash Credit/bank borrowing 1,317,823 5,600,070 3,455,453 2,628,226 1628226

Current Liabilities & Provisions

Sundry Creditors 2,095,622 10,250,045 11,342,062 11,909,165 12,476,268
Duties & Taxes / Provisions 202,974 26,952 582,910 612,056 673,262
Other Current Liabilities 4,618,125 5,357,394 5,213,629 5,971,136

Total SOURCE OF FUNDS 7,948,064 25,972,881 41,746,735 43,200,064 44,055,523

APPLICATIONS OF FUNDS
Fixed Assets 741,490 4,323,241 12,476,766 11,038,630 9,810,113

Investments

Current Assets
Loans & Advances - 1,271,829 442,100 464,205 -
Sundry Debtors 4,496,341 6,977,928 12,078,393 13,877,841 16,538,461
Closing Stock 721,393 5,635,568 13,515,230 15,542,514 16,319,640
Other Current Assets 1,156,416 4,647,391 2,067,671 1,051,968 588,075
Cash & Bank Balance 832,424 3,116,924 1,166,576 1,224,905 799,233

Total APPLICATION OF FUNDS 7,948,064 25,972,881 41,746,736 43,200,064 44,055,523

- 0 (0) (0) (0)
 M/s ABC
STATEMENT NO.6

BREAK-EVEN ANALYSIS
Years
2022 2023 2024 2025 2026
A. Receipts 48,426,314.00 83,145,685.00 106,499,279.60 127,123,374.02 150,216,671.65

B. Variable cost: 42350892.00 77631424.80 98062042.05 114747309.93 132305140.01

C. Fixed costs:
Depreciation 27,450.00 282,378.00 1,159,149.00 1,438,135.59 1,227,917.00
Interest on Term Loan 101530.00 267258.06 284775.00 527215.00 478728.00
Administration Expenses 5392134.00 4079092.14 6461968.78 9709455.59 14692101.00
5521114.00 4628728.20 7905892.78 11674806.18 16398746.00

D. Contribution [ A - B ] 6075422.00 5514260.20 8437237.55 12376064.09 17911531.64

E. P.V.Ratio [ D/B x 100 ] 14.35 7.10 8.60 10.79 13.54

F. Break - even [ Value ] 38486890.743341 65164637.1670925 91886471.8442075 108245448.117906 121130812.773079

[ C/ E x 100 ]

G. Cash Break Even 38459440.74 64882259.17 90727322.84 106807312.53 119902895.77

[ Without Depreciation]
 M/s ABC
STATEMENT NO.7

DEBT SERVICE COVERAGE RATIO :

Operating Years
2022 2023 2024 2025 2026
A. SOURCES :
Profit after tax 544,726.00 1,033,894.00 1,163,059.71 1,471,902.73 1,885,603.42
Depreciation 27,450.00 282,378.00 1,159,149.00 1,438,135.59 1,227,917.00
Interest on term loan 101,530.00 267,258.06 284,775.00 527,215.00 478,728.00
TOTAL OF ' A ' 673,706.00 1,583,530.06 2,606,983.71 3,437,253.32 3,592,248.42

B DEBT :
Term loan installment - - 219,600.00 1,317,600.00 1,317,600.00
Interest on Term Loan 101,530.00 267,258.06 284,775.00 527,215.00 478,728.00

TOTAL OF ' B ' 101,530.00 267,258.06 504,375.00 1,844,815.00 1,796,328.00

C Debt Service Coverage Ratio

DSCR [A/B] 6.64 5.93 5.17 1.86 2.00
 M/s ABC
ANNEXURE NO.8

ANALYSIS OF RETURN ON INVESTMENT :

1. Return on Investment = Average Return x 100

Capital Employed

2. Return = Profit before tax + Depreciation + Interest on term loan

3. Capital Employed = Cost of the Project

RETURN ON INVESTMENT :

OPERTING YEARS
PARTICULARS
2022 2023 2024 2025 2026
Profit before tax 581,758.00 1,167,910.00 1,690,493.77 2,139,393.50 2,740,702.64

Depreciation 27,450.00 282,378.00 1,159,149.00 1,438,135.59 1,227,917.00

Interest on Term Loan 101,530.00 267,258.06 284,775.00 527,215.00 478,728.00

710,738.00 1,717,546.06 3,134,417.77 4,104,744.09 4,447,347.64

# Average Return 236,912.67 572,515.35 1,044,805.92 1,368,248.03 1,482,449.21

# Capital Employed 6,985,600.00 6,985,600.00 6,985,600.00 6,985,600.00 6,985,600.00

# Return on Investment 3.39 8.20 14.96 19.59 21.22

 INTEREST SCHEDULE
M/s Abc
Statement 9
( In INR )
INTEREST SCHEDULE : QUARTERS OPENING LOAN CLOSING INTEREST INTEREST
BALANCE REPAYMENT BALANCE PER QTR. P.A.
1st qtr 5,050,000.00 329,400.00 5,050,000.00 329400.00 11%
0 Year 2nd qtr 5,050,000.00 329,400.00 5,050,000.00 329400.00 11%
3rd qtr 5,050,000.00 329,400.00 4,720,600.00 139380.00 11%
4th qtr 4,720,600.00 329,400.00 4,391,200.00 130288.56 11%
Total 1,317,600.00 928468.56
1st qtr 4,391,200.00 329,400.00 4,061,800.00 121197.12 11%
1st year 2nd qtr 4,061,800.00 329,400.00 3,732,400.00 112105.68 11%
3rd qtr 3,732,400.00 329,400.00 3,403,000.00 103014.24 11%
4th qtr 3,403,000.00 329,400.00 3,073,600.00 93922.80 11%
Total 1,317,600.00 430,239.84
1st qtr 3,073,600.00 329,400.00 2,744,200.00 84831.36 11%
2nd year 2nd qtr 2,744,200.00 329,400.00 2,414,800.00 75739.92 11%
3rd qtr 2,414,800.00 329,400.00 2,085,400.00 66648.48 11%
4th qtr 2,085,400.00 329,400.00 1,756,000.00 57557.04 11%
Total 1,317,600.00 284,776.80
1st qtr 1,756,000.00 329,400.00 1,426,600.00 48465.60 11%
3rd year 2nd qtr 1,426,600.00 329,400.00 1,097,200.00 39374.16 11%
3rd qtr 1,097,200.00 329,400.00 767,800.00 30282.72 11%
4th qtr 767,800.00 329,400.00 438,400.00 21191.28 11%
Total 1,317,600.00 139313.76
1st qtr 438,400.00 329,400.00 109,000.00 12099.84 11%
4th year 2nd qtr 109,000.00 109,000.00 - 3008.40 11%
3rd qtr - - - 0.00 11%
4th qtr - - - 0.00 11%
Total 438,400.00 15,108.24

Net Total Total 5,708,800.00 1,797,907.20

Notes to Understand
1.During the first six months, only the interest portion will be deducted, and not the principal amount.
 M/s Abc
Statement 10

Production Statement

Particular 2022 2023 2024 2025 2026

A. Existing Production

Production of Footwear items in (qty) X PCS 397,540 645,723 678,010 813,610 976,333

B. Production After New Machinery

Production of Footwear items in (qty) X PCS 96,858 116,230 139,476

C. Total Production In (qty) (A+B) X Pcs 397,540 645,723 774,868 929,840 1,115,809
(Increases by 20% Every year)

D. Sales (CX120 Rs. )

(The selling price is approximately Rs. 120/Pcs) 47,704,786 77,486,708 92,984,214 111,580,817 133,897,100

Total Sales (Approx) 47,704,786 77,486,708 92,984,214 111,580,817 133,897,100

Notes To understand

1. "Pcs" in this context signifies that one pair is equivalent to one piece.
2. Our total production increases by 20% every year after the purchase of new machinery.
3.The selling price is approximately Rs. 120/Pcs
2. the sales value is Aprrox = Total production X 120/pcs
 M/s ABC

DEPRECIATION SCHEDULE

Statement 10

DEPRECIATION SCHEDULE:
WDV at the year end
PARTICULARS
2022 2023 2024 2025 2026
Assets
Plant & Machinery 138,245.00 2,253,719.72 3,144,808.72 2,673,087.41 2,272,124.41
New Machinery 5,476,000.00 4,654,600.00 3,955,900.00
Furniture & Fixtures 29,809.00 26,828.00 24,145.00 21,730.67 19,557.60
Motor Vehicle 11,036.00 9,381.00 7,974.00 6,778.00 5,761.30
Die and Tools 7,122.00 6,054.00 5,146.00 4,374.00
Telephone set 7,968.00 6,773.00 5,757.05 4,893.50
Tin Shed 1,455,822.00 1,310,240.00 1,179,216.00 1,061,294.40
Land 562,400.00 562,400.00 2,462,400.00 2,462,400.00 2,462,400.00
Printer 27,571.00 23,435.00 19,919.75
Tally software 10,800.00 6,480.00 3,888.00
Total Assets 741,490.00 4,323,240.72 12,476,765.72 11,038,630.13 9,810,112.96
Dep Rate
Depreciation
Plant & Machinery 15% 22,190.00 199,896.00 551,148.00 471,721.31 400,963.00
New Machinery 15% - - 444,000.00 821,400.00 698,100.00
Furniture & Fixtures 10% 3,312.00 2,981.00 2,683.00 2,414.33 2,173.00
Motor Vehicle 15% 1,948.00 1,655.00 1,407.00 1,196.00 1,016.70
Die and Tools 15% - 578.00 1,068.00 908.00 771.90
Telephone set 15% - 646.00 1,195.00 1,015.95 863.55
Tin Shed 10% - 76,622.00 145,582.00 131,024.00 117,921.60
Land 0% - - - - -
Printer 15% - - 4,866.00 4,136.00 3,515.25
Tally software 40% - - 7,200.00 4,320.00 2,592.00
Total Depreciation 27,450.00 282,378.00 1,159,149.00 1,438,135.59 1,227,917.00