File Content -
1 M/s THE HIMALAYA’S DAIRY FARM, VILL. BASHING, P.O. BABELI- KULLU (H.P.)
PROJECT REPORT
On
Dairy Farming and Milk Distribution
UNDER NAME AND STYLE OF
THE HIMALAYA’S DAIRY FARM
VILLAGE BASHING POST OFFICE BABELI
TEHSIL AND DISTRICT KULLU (HP)
Promoter(s)
Sh Jitender
S/o Shri Amar Chand
R/o House No 67, Village Rumsu,
Post Office Naggar
Tehsil and Distt Kullu (HP)-175130
Project Report prepared by:
M/s Sood Consultants
123/2, Inner Akhara Bazar Kullu
Mob: 94180-02685
2 M/s THE HIMALAYA’S DAIRY FARM, VILL. BASHING, P.O. BABELI- KULLU (H.P.)
Responsibility Statement
TO WHOM IT MAY CONCERN
It is certified that the enclosed Project Report has been prepared on the basis of
project information, relevant data and business targets/ estimates provided by
the promoter(s).
The accuracy of the business information and source of all relevant data is the
responsibility of the promoter(s).
Reasonable care has been taken to ensure that the calculations/ forecasts made
in the enclosed Project Report are correct.
We do not hold any opinion regarding the accuracy of the forecasts made in the
Project Report.
For Sood Consultants
(Sandeep Sood)
3 M/s THE HIMALAYA’S DAIRY FARM, VILL. BASHING, P.O. BABELI- KULLU (H.P.)
PROJECT AT A GLANCE
1 PROJECT
DAIRY FARMING UNIT
2 NAME OF THE UNIT M/S THE HIMALAYA'S DAIRY FARM
3 LOCATION OF THE UNIT VILLAGE BASHING P.O. BABELI
TEHSIL & DISTRICT KULLU (HP)
4 STATUS
SMALL SCALE
5 CONSTITUTION PROP.
6 NAME OF THE PROMOTER(S) SH. JITENDER S/O SH. AMAR CHAND
7 CATAGEORY OF THE PROMOTER MALE
8 CAPACITY
500 Ltr/ day
9 COST OF PROJECT
(Rs in Lacs)
LAND
0.00 (Leased)
BUILDING/ CIVIL WORK
0.00 (Leased)
MISC FIXED ASSETS
11.00
WORKING CAPITAL
4.90
TOTAL 15.90
10 MEANS OF FINANCE
(Rs in Lacs)
PROMOTER’S CONTRIBUTION
3.90
TERM LOAN
8.00
WORKING CAPITAL LOAN (CASH CREDIT LIMIT) 4.00
TOTAL 15.90
11 PAYBACK PERIOD OF TERM LOAN
7 (YEARS)
12 TECHNICAL KNOW-HOW
Promoter is a young, progressive Agri-Business
entrepreneur and orchardist.
13 EMPLOYMENT POTENTIAL
1 Skilled/ Semi Skilled and 3 unskilled
workers shall be employed.
14 TIME SCHEDULE FOR COMPLETION
6 Months
15 NO OF WORKING DAYS
365 Days
4 M/s THE HIMALAYA’S DAIRY FARM, VILL. BASHING, P.O. BABELI- KULLU (H.P.)
17 IMPROTANT RATIO ANALYSIS
DEBT EQUITY RATIO
3.08 :1
PROMOTER'S CONTRIBUTION TO TOTAL PROJECT COST 24.52%
G.P. RATIO
52.32%
BREAK EVEN POINT (ON THIRD YEAR BASIS)
24.41%
BREAK EVEN POINT (IN TERM OF FULL CAPACITY UTILISATION) 17.09%
BREAK EVEN POINT (IN TERM OF SALES REALISATIN) 3.59 Lacs
DEBT SERVICE COVERAGE RATIO (AVERAGE)
4.12
5 M/s THE HIMALAYA’S DAIRY FARM, VILL. BASHING, P.O. BABELI- KULLU (H.P.)
TECHO - ECONOMIC FEASIBILITY REPORT
FINANCIAL ASPECTS
PROJECT COST
1 Land/ Building
Land & Building are to be leased on an annual lease rent of Rs 1.00
Lac which may be increased by 10% p.a.
2 Misc Fixed Assets
20 Jersey breed cows are to be purchased @ Rs 40,000/- each. Other
fixed assets will cost about Rs 3,00,000/-.
3 Working Capital
During 1st year of operation, Rs 4.90 Lac of Working Capital will be
required. Cash Credit Loan of Rs 4.00 Lac shall be arranged from
bank and Rs 0.90 Lac will be promoter's share.
MEANS OF FINANCE
1 Promoter's Share
Promoter will invest Rs 3.90 Lac which is 24.52% of the total cost of
project.
2 Term Loan
A Term Loan of Rs 8.00 Lac shall be raised from Bank for purchase
of Cows/ MFA
3 Working Capital Loan
A working capital loan of Rs 4.00 Lac, during 1st year of operation,
will be availed from bank to meet the working capital requirements.
COST OF PROJECT & PROFITABILITY
1 Raw Materials
Main raw-materials of this project are easily available in the local
market.
2 Manpower
The unit shall employ 1 skilled / Semi-Skilled and 3 unskilled
worker. The required man-power is easily available.
3 Electricity & Power
No special arrangement is to be made for Electricity and power. A
connected load of 5 KW shall be sufficient.
4
Admn. Selling &
Distribution Expenses Selling expenses are calculated @3% on the annual
Sales realization.
5 Repair & Maintenance
It is assumed that these expenses will be 1% of the total cost of
Building, Plant & Machinery and other assets.
6 Depreciation
Depreciation is calculated by WDVM @ 5% p.a. on Buildings and
Misc Fixed Assets and @10% p.a. on Plant & Machinery.
6 M/s THE HIMALAYA’S DAIRY FARM, VILL. BASHING, P.O. BABELI- KULLU (H.P.)
TOTAL PROJECT COST & MEANS OF FINANCE
A. TOTAL PROJECT COST
Sr No Particulars
Amount
(Rs in Lac)
1 Land
0.00 (Leased)
2 Building/ Shed
0.00 (Leased)
3 Misc Fixed Assets
11.00
4 Working Capital
4.90
TOTAL 15.90
B. MEANS OF FINANCE
Sr No Particulars
Amount
(Rs in Lac)
1 Promoter's Contribution
3.90
2 Term Loan
8.00
3 Working Capital Loan (CCL)
4.00
TOTAL 15.90
Detail of Misc Fixed Assets
Sr DESCRIPTION AMOUNT
1 LIVE STOCK 8,00,000.00
20 Jersey Cows @ Rs 40,000/- each
2 Equipments/ Utensils / Furniture & Fixture/ OFA 2,40,000.00
Add: Cost of Transportation, taxes etc on above 60,000.00
11,00,000.00
RUPEES IN LAC 11.00
7 M/s THE HIMALAYA’S DAIRY FARM, VILL. BASHING, P.O. BABELI- KULLU (H.P.)
SALES/ REVENUE FORECAST
DESCRIPTION Qty
( in Ltr)
Rate (Rs/
Ltr)
AMOUNT
1. SALE OF FARM MILK 120000 25.00 30,00,000.00
(20 cows x 240 days x 25 LPD)
TOTAL SALES/ REVENUE PER ANNUM 30,00,000.00
TOTAL SALES PER ANNUM AT 100% CAPACITY 30,00,000.00
DETAILS OF ANNUNAL SALES/ REVENUE FORECAST (AMOUNT IN LACS)
YEAR
DESCRIPTION
I
YEAR
II
YEAR
III
YEAR
IV
YEAR
V
YEAR
VI
YEAR
VII
YEAR
CAPACITY UTILISATION (%AGE) 60% 65% 70% 75% 75% 75% 75%
MAXIMUM SALES REALISATIONS AT
100% CAPACITY 30.00 30.00 30.00 30.00 30.00 30.00 30.00
EXPECTED SALES REALISATIONS AT
ACTUAL
CAPACITY UTILISED 18.00 19.50 21.00 22.50 22.50 22.50 22.50
8 M/s THE HIMALAYA’S DAIRY FARM, VILL. BASHING, P.O. BABELI- KULLU (H.P.)
ANNUAL RAW MATERIAL REQUIREMENT
DESCRIPTION
AMOUNT
1. COST OF FEED PER DAY 730000.00
(for 20 cows @ Rs 100/- per cow for 365 days)
2. COST OF VETERNITY AID/ INSURANCE ETC 109500.00
(for 20 cows @ Rs 15/- per cow for 365 days)
TOTAL RM REQUIRED PER ANNUM 839500.00
TOTAL RAW METERIAL CONSUMPTION PER ANNUM 839500.00
WASTAGE/ MISHANDLING @ 2% 16790.00
TOTAL RAW METERIAL CONSUMPTION PER ANNUM 856290.00
DETAILS OF ANNUNAL RAW MATERIAL CONSUMED & PURCHASES (AMOUNT IN LACS)
DESCRIPTION
I
YEAR
II
YEAR
III
YEAR
IV
YEAR
V
YEAR
VI
YEAR
VII
YEAR
CAPACITY UTILISATION (%AGE) 60% 65% 70% 75% 75% 75% 75%
MAXIMUM MATERIAL CONSUMPTION AT
100% CAPACITY 8.56 8.56 8.56 8.56 8.56 8.56 8.56
EXPECTED MATERIAL CONSUMPTION AT
ACTUAL
CAPACITY UTILISED (A) 5.14 5.57 5.99 6.42 6.42 6.42 6.42
CLOSING STOCK (B) 1.03 1.11 1.20 1.28 1.28 1.28 1.28
TOTAL (A+B) 6.17 6.68 7.19 7.71 7.71 7.71 7.71
LESS: OPENING STOCK 0.00 1.03 1.11 1.20 1.28 1.28 1.28
TOTAL PURCHASES 6.17 5.65 6.08 6.51 6.42 6.42 6.42
9 M/s THE HIMALAYA’S DAIRY FARM, VILL. BASHING, P.O. BABELI- KULLU (H.P.)
REQUIREMENT OF WORKING CAPITAL
S.No DESCRIPTION
I
YEAR
II
YEAR
III
YEAR
IV
YEAR
V
YEAR
VI
YEAR
VII
YEAR
CURRENT ASSETS
1 RAW MATERIALS 1.28 1.39 1.50 1.61 1.61 1.61 1.61
2 WORK IN PROGRESS 0.00 0.00 0.00 0.00 0.00 0.00 0.00
3 FINISHED GOODS 2.15 2.34 2.53 2.74 2.83 2.93 3.04
4 DEBTORS 2.25 2.44 2.63 2.81 2.81 2.81 2.81
TOTAL CURRENT ASSETS (A) 5.68 6.16 6.66 7.16 7.25 7.35 7.46
CURRENT LIABILITIES
1 SUNDRY CREDITORS 0.77 0.71 0.76 0.81 0.80 0.80 0.80
TOTAL CURRENT LIABILITIES (B) 0.77 0.71 0.76 0.81 0.80 0.80 0.80
WORKING CAPITAL REQUIRED (A-B) 4.90 5.46 5.90 6.34 6.44 6.55 6.66
WORKING CAPITAL LOAN FROM
BANK 4.00 4.00 4.00 4.00 4.00 4.00 4.00
PROMOTER'S SHARE/ MARGIN 0.90 1.46 1.90 2.34 2.44 2.55 2.66
% MARGIN OF PROMOTER ON W. C. 18.35% 26.72% 32.16% 36.93% 37.93% 38.89% 39.91%
10 M/s THE HIMALAYA’S DAIRY FARM, VILL. BASHING, P.O. BABELI- KULLU (H.P.)
A) GENERAL STAFF
S. NO. DESIGNATION NO'S SALARY AMOUNT
P.M. (RS.)
1 MANAGER SELF 0.00
TOTAL SALARY (P.M.) 0 0.00
TOTAL SALARY (P.A.) 0.00
SAY RS. (IN LACS) 0.00 LACS
B) WORK STAFF & LABOUR
S. NO DESIGNATION NO'S SALARY AMOUNT
P.M. (RS.)
1 SKILLED WORKER 1 8000.00 8000.00
2 UNSKILLED WORKER 3 5000.00 15000.00
TOTAL WAGES (P.M.) 4 23000.00
TOTAL WAGES (P.A.) 276000.00
SAY RS. (IN LACS) 2.76 LACS
TOTAL SALARY & WAGES (P.A.) 276000.00
SAY RS. (IN LACS) 2.76 LACS
11 M/s THE HIMALAYA’S DAIRY FARM, VILL. BASHING, P.O. BABELI- KULLU (H.P.)
DETAILS OF UTILITIES
S.NO DESCRIPTION AMOUNT
1 ELECTRICITY & POWER 54000.00
(Contracted Load 5 Kw)
(5 Kw x 300 days x 8 hrs x Rs 5.00/- x 0.9 PF)
2 WATER CONSUMPTION 60000.00
TOTAL COST OF UTILITIES (P.A.) 114000.00
AT 100% CAPACITY
AMOUNT IN LACS 1.14
DESCRIPTION
I
YEAR
II
YEAR
III
YEAR
IV
YEAR
V
YEAR
VI
YEAR
VII
YEAR
CAPACITY UTILISATION (%AGE) 60% 65% 70% 75% 75% 75% 75%
MAXIMUM UTILITIES CONSUMED AT 100%
CAPACITY 1.14 1.14 1.14 1.14 1.14 1.14 1.14
EXPECTED UTILITIES CONSUMED AT ACTUAL
CAPACITY UTILISED 0.68 0.74 0.80 0.86 0.86 0.86 0.86
NOTES:
1. ELECTRICITY SUPPLY IS AVAILABLE AT UNIT SITE.
2. WATER SUPPLY & OTHER REQUIRED CONSUMABLES ARE ALSO EASILY ARRANGABLE AT SITE.
12 M/s THE HIMALAYA’S DAIRY FARM, VILL. BASHING, P.O. BABELI- KULLU (H.P.)
DETAILS OF ADMN, SELLING & DISTRUBUTION EXPENSES
(AMOUNT IN LACS)
DESCRIPTION
I
YEAR
II
YEAR
III
YEAR
IV
YEAR
V
YEAR
VI
YEAR
VII
YEAR
ADMN. S & D EXPENSES (PA)
0.90 0.98 1.05 1.13 1.13 1.13 1.13
NOTES:
THESE EXPENSES ARE CALCULATED @ 5% OF THE TOTAL SALES TURNOVER PER ANNUM
DETAILS OF REPAIR & MAINTENANCE EXPENSES
(AMOUNT IN LACS)
DESCRIPTION
I
YEAR
II
YEAR
III
YEAR
IV
YEAR
V
YEAR
VI
YEAR
VII
YEAR
REPAIR & MAINTENANCE EXPENSES
(P.A.) 0.03 0.06 0.09 0.09 0.09 0.09 0.09
NOTES:
IT IS ASSUMED THAT REPAIR & MAINTENANCE COST WILL BE @ 1% FOR THE IST YEAR, 2% II YEAR AND
3% DURING IIIRD YEAR ONWARDS OF THE TOTAL COST OF BUILDING, MACHINERY AND OTHER FIXED
ASSETS
13 M/s THE HIMALAYA’S DAIRY FARM, VILL. BASHING, P.O. BABELI- KULLU (H.P.)
DEPRECIATION SCHEDULE
YEAR PARTICULARS
BUILDING MFA TOTAL
DEPRECIATION RATE % 0.00% 10.00%
BASIC COST 0.00 3.00 3.00
I DEPRECIATION 0.00 0.30 0.30
W.D.V 0.00 2.70 2.70
II DEPRECIATION 0.00 0.27 0.27
W.D.V 0.00 2.43 2.43
III DEPRECIATION 0.00 0.24 0.24
W.D.V 0.00 2.19 2.19
IV DEPRECIATION 0.00 0.22 0.22
W.D.V 0.00 1.97 1.97
V DEPRECIATION 0.00 0.20 0.20
W.D.V 0.00 1.77 1.77
VI DEPRECIATION 0.00 0.18 0.18
W.D.V 0.00 1.59 1.59
VII DEPRECIATION 0.00 0.16 0.16
W.D.V 0.00 1.43 1.43
NOTES
DEPRECIATION HAS BEEN CALCULATED WITH WRITTEN DOWN VALUE METHOD.
14 M/s THE HIMALAYA’S DAIRY FARM, VILL. BASHING, P.O. BABELI- KULLU (H.P.)
INTEREST CALCULATION & REPAYMENT OF TERM - LOAN
AMOUNT OF TERM LOAN
= 8.00 LACS
AMOUNT OF SUBSIDY
= 0.00 LACS
AMOUNT REFUNDABLE
= 8.00 LACS
NO OF INSTALLMENTS
= 78 MONTHLY
AMOUNT OF EMI (EXCLUDING INTEREST)
0.10260 Lac
(6 MONTH'S MOROTORIUM PERIOD)
RATE OF INTEREST P.A.
13.00%
YEAR MONTH Opening
Balance
Repayment Yearly
Repayment
Closing
Balance
Interest Payable Yearly
1 1ST 8.00 0.00
8.00 0.09
2ND 8.00 0.00
8.00 0.09
3RD 8.00 0.00
8.00 0.09
4TH 8.00 0.00
8.00 0.09
5TH 8.00 0.00
8.00 0.09
6TH 8.00 0.00
8.00 0.09
7TH 8.00 0.10
7.90 0.09
8TH 7.90 0.10
7.79 0.09
9TH 7.79 0.10
7.69 0.08
10TH 7.69 0.10
7.59 0.08
11TH 7.59 0.10
7.49 0.08
12TH 7.49 0.10 0.62 7.38 0.08 1.02
2 1ST 7.38 0.10
7.28 0.08
2ND 7.28 0.10
7.18 0.08
3RD 7.18 0.10
7.08 0.08
4TH 7.08 0.10
6.97 0.08
5TH 6.97 0.10
6.87 0.08
6TH 6.87 0.10
6.77 0.07
7TH 6.77 0.10
6.67 0.07
8TH 6.67 0.10
6.56 0.07
9TH 6.56 0.10
6.46 0.07
10TH 6.46 0.10
6.36 0.07
11TH 6.36 0.10
6.26 0.07
12TH 6.26 0.10 1.23 6.15 0.07 0.89
3 1ST 6.15 0.10
6.05 0.07
2ND 6.05 0.10
5.95 0.07
3RD 5.95 0.10
5.85 0.06
4TH 5.85 0.10
5.74 0.06
5TH 5.74 0.10
5.64 0.06
6TH 5.64 0.10
5.54 0.06
7TH 5.54 0.10
5.44 0.06
8TH 5.44 0.10
5.33 0.06
9TH 5.33 0.10
5.23 0.06
10TH 5.23 0.10
5.13 0.06
11TH 5.13 0.10
5.03 0.06
12TH 5.03 0.10 1.23 4.92 0.05 0.73
15 M/s THE HIMALAYA’S DAIRY FARM, VILL. BASHING, P.O. BABELI- KULLU (H.P.)
4 1ST 4.92 0.10
4.82 0.05
2ND 4.82 0.10
4.72 0.05
3RD 4.72 0.10
4.62 0.05
4TH 4.62 0.10
4.51 0.05
5TH 4.51 0.10
4.41 0.05
6TH 4.41 0.10
4.31 0.05
7TH 4.31 0.10
4.21 0.05
8TH 4.21 0.10
4.10 0.05
9TH 4.10 0.10
4.00 0.04
10TH 4.00 0.10
3.90 0.04
11TH 3.90 0.10
3.79 0.04
12TH 3.79 0.10 1.23 3.69 0.04 0.57
5 1ST 3.69 0.10
3.59 0.04
2ND 3.59 0.10
3.49 0.04
3RD 3.49 0.10
3.38 0.04
4TH 3.38 0.10
3.28 0.04
5TH 3.28 0.10
3.18 0.04
6TH 3.18 0.10
3.08 0.03
7TH 3.08 0.10
2.97 0.03
8TH 2.97 0.10
2.87 0.03
9TH 2.87 0.10
2.77 0.03
10TH 2.77 0.10
2.67 0.03
11TH 2.67 0.10
2.56 0.03
12TH 2.56 0.10 1.23 2.46 0.03 0.41
6 1ST 2.46 0.10
2.36 0.03
2ND 2.36 0.10
2.26 0.03
3RD 2.26 0.10
2.15 0.02
4TH 2.15 0.10
2.05 0.02
5TH 2.05 0.10
1.95 0.02
6TH 1.95 0.10
1.85 0.02
7TH 1.85 0.10
1.74 0.02
8TH 1.74 0.10
1.64 0.02
9TH 1.64 0.10
1.54 0.02
10TH 1.54 0.10
1.44 0.02
11TH 1.44 0.10
1.33 0.02
12TH 1.33 0.10 1.23 1.23 0.01 0.25
7 1ST 1.23 0.10
1.13 0.01
2ND 1.13 0.10
1.03 0.01
3RD 1.03 0.10
0.92 0.01
4TH 0.92 0.10
0.82 0.01
5TH 0.82 0.10
0.72 0.01
6TH 0.72 0.10
0.62 0.01
7TH 0.62 0.10
0.51 0.01
8TH 0.51 0.10
0.41 0.01
9TH 0.41 0.10
0.31 0.00
10TH 0.31 0.10
0.21 0.00
11TH 0.21 0.10
0.10 0.00
12TH 0.10 0.10 1.23 0.00 0.00 0.09
16 M/s THE HIMALAYA’S DAIRY FARM, VILL. BASHING, P.O. BABELI- KULLU (H.P.)
PROJECTED PROFITABLITY STATEMENT
DESCRIPTION
I
YEAR
II
YEAR
III
YEAR
IV
YEAR
V
YEAR
VI
YEAR
VII
YEAR
CAPACITY UTILISATION 60% 65% 70% 75% 75% 75% 75%
INCOME
SALES REALISATIONS 18.00 19.50 21.00 22.50 22.50 22.50 22.50
TOTAL (A) 18.00 19.50 21.00 22.50 22.50 22.50 22.50
COST OF PRODUCTION
RAW MATERIAL
RAW MATERIAL CONSUMED 5.14 5.57 5.99 6.42 6.42 6.42 6.42
DIRECT EXPENSES
WAGES 2.76 3.04 3.34 3.67 4.04 4.45 4.89
UTILITIES 0.68 0.74 0.80 0.86 0.86 0.86 0.86
TOTAL COST OF PRODUCTION (B) 8.58 9.34 10.13 10.95 11.32 11.72 12.17
C. GROSS PROFIT (A - B) 9.42 10.16 10.87 11.55 11.18 10.78 10.33
ADMINISTRATIVE & SELLING EXPENSES
LEASE RENT 1.00 1.10 1.21 1.33 1.46 1.61 1.77
SELLING & DISTRIBUTION EXPENSES 0.90 0.98 1.05 1.13 1.13 1.13 1.13
REPAIR & MAINTENTANCE 0.03 0.06 0.09 0.09 0.09 0.09 0.09
INTEREST ON W/C LOAN @ 13% 0.52 0.52 0.52 0.52 0.52 0.52 0.52
TOTAL (D) 2.45 2.66 2.87 3.07 3.20 3.35 3.51
PROFIT BEFORE INTT, DEPRECIATION & I.TAX (C-D) 6.97 7.50 8.00 8.48 7.98 7.43 6.83
INTEREST ON TERM LOAN 1.02 0.89 0.73 0.57 0.41 0.25 0.09
DEPRECIATION 0.30 0.27 0.24 0.22 0.20 0.18 0.16
TOTAL (E) 1.32 1.16 0.97 0.79 0.60 0.42 0.24
PROFIT BEFORE TAX 5.64 6.35 7.03 7.70 7.38 7.01 6.58
INCOME TAX 0.56 0.63 0.70 0.77 0.74 0.70 0.66
PROFIT AFTER TAX 5.08 5.71 6.33 6.93 6.64 6.31 5.92
17 M/s THE HIMALAYA’S DAIRY FARM, VILL. BASHING, P.O. BABELI- KULLU (H.P.)
PROJECTED BALANCE SHEET
DESCRIPTION
I
YEAR
II
YEAR
III
YEAR
IV
YEAR
V
YEAR
VI
YEAR
VII
YEAR
LIABILITIES
CAPITAL ACCOUNT
OPENING BALANCE 3.90 7.18 10.49 13.82 17.14 19.79 21.49
ADD: NET PROFIT DURING THE YEAR 5.08 5.71 6.33 6.93 6.64 6.31 5.92
8.98 12.89 16.82 20.74 23.79 26.09 27.42
LESS: WITHDRAW LS 1.80 2.40 3.00 3.60 4.00 4.60 5.00
CLOSING BALANCE 7.18 10.49 13.82 17.14 19.79 21.49 22.42
SECURED LOANS
TERM LOAN 7.38 6.15 4.92 3.69 2.46 1.23 0.00
WORKING CAPITAL LOAN 4.00 4.00 4.00 4.00 4.00 4.00 4.00
CURRENT LIABILITIES
SUNDRY CREDITORS 0.77 0.71 0.76 0.81 0.80 0.80 0.80
TOTAL 19.33 21.35 23.50 25.65 27.05 27.53 27.22
ASSETS
FIXED ASSETS
GROSS BLOCK 3.00 3.00 3.00 3.00 3.00 3.00 3.00
LESS: DEPRECIATION 0.30 0.57 0.81 1.03 1.23 1.41 1.57
WRITTEN DOWN VALUE 2.70 2.43 2.19 1.97 1.77 1.59 1.43
NET CURRENT ASSETS
INVENTORY 3.43 3.73 4.03 4.34 4.44 4.54 4.65
DEBTORS 2.25 2.44 2.63 2.81 2.81 2.81 2.81
CASH & BANK BALANCES 10.96 12.76 14.66 16.53 18.03 18.58 18.33
TOTAL 19.33 21.35 23.50 25.65 27.05 27.53 27.22
18 M/s THE HIMALAYA’S DAIRY FARM, VILL. BASHING, P.O. BABELI- KULLU (H.P.)
PROJECTED CASH FLOW STATEMENTS
FOR THE YEAR ENDED
DESCRIPTION
I
YEAR
II
YEAR
III
YEAR
IV
YEAR
V
YEAR
VI
YEAR
VII
YEAR
TERM LOAN 8.00
PROMOTER'S CONTRIBUTION 3.90
NET PROFIT BEFORE INTT, DEP. &
TAXES 6.97 7.50 8.00 8.48 7.98 7.43 6.83
WORKING CAPITAL LOAN 4.00
INCREASE IN CREDITORS 0.77 -0.06 0.05 0.05 -0.01 0.00 0.00
TOTAL (A) 23.64 7.44 8.05 8.54 7.97 7.43 6.83
INCREASE IN FIXED ASSETS 3.00
REPAYMENT OF TERM LOAN 0.62 1.23 1.23 1.23 1.23 1.23 1.23
PAYMENT OF INTEREST 1.02 0.89 0.73 0.57 0.41 0.25 0.09
INCREASE IN SUNDRY DEBTORS 2.25 0.19 0.19 0.19 0.00 0.00 0.00
INCREASE IN INVENTORY 3.43 0.30 0.30 0.31 0.09 0.10 0.11
INCOME TAX 0.56 0.63 0.70 0.77 0.74 0.70 0.66
DRAWINGS BY PROMOTERS 1.80 2.40 3.00 3.60 4.00 4.60 5.00
TOTAL (B) 12.68 5.64 6.15 6.67 6.47 6.88 7.09
.
OPENING BALANCE 0.00 10.96 12.76 14.66 16.53 18.03 18.58
NET INFLOW 10.96 1.80 1.90 1.87 1.50 0.55 -0.26
CLOSING BALANCE 10.96 12.76 14.66 16.53 18.03 18.58 18.33
19 M/s THE HIMALAYA’S DAIRY FARM, VILL. BASHING, P.O. BABELI- KULLU (H.P.)
DEBT SERVICE COVERAGE RATIO
DESCRIPTION
I
YEAR
II
YEAR
III
YEAR
IV
YEAR
V
YEAR
VI
YEAR
VII
YEAR
FUNDS AVAILABLE FOR SERVICING DEBTS
PROFIT AFTER TAX 5.08 5.71 6.33 6.93 6.64 6.31 5.92
DEPRECIATION 0.30 0.27 0.24 0.22 0.20 0.18 0.16
INTEREST ON TERM LOAN 1.02 0.89 0.73 0.57 0.41 0.25 0.09
TOTAL (A) 6.40 6.87 7.30 7.71 7.24 6.73 6.17
DEBTS TO BE SERVICED
REPAYMENT OF TERM LOAN 0.62 1.23 1.23 1.23 1.23 1.23 1.23
INTEREST ON LOAN 1.02 0.89 0.73 0.57 0.41 0.25 0.09
TOTAL (B) 1.64 2.12 1.96 1.80 1.64 1.48 1.32
.
D. S. C. R = A/B 3.91 3.24 3.73 4.29 4.42 4.56 4.69
AVG DSCR 28.84 /7
= 4.12
20 M/s THE HIMALAYA’S DAIRY FARM, VILL. BASHING, P.O. BABELI- KULLU (H.P.)
CALCULATION OF INTERNAL RATE OF RETURN
(BEFORE TAX)
YEAR
CASH
OUT
FLOW
CASH
IN
FLOW
NET CASH
RECEIPT
DISCOUNT RATE PRESENT VALUE OF
NET CR
20% 25% 30% 20% 25% 30%
1 12.68 23.64 10.96 1.000 1.000 1.000 10.96 10.96 10.96
2 5.64 7.44 1.80 0.833 0.800 0.769 1.50 1.44 1.39
3 6.15 8.05 1.90 0.694 0.640 0.592 1.32 1.22 1.12
4 6.67 8.54 1.87 0.579 0.512 0.350 1.08 0.96 0.65
5 6.47 7.97 1.50 0.482 0.410 0.269 0.73 0.62 0.40
6 6.88 7.43 0.55 0.402 0.328 0.207 0.22 0.18 0.11
7 7.09 6.83 -0.26 0.335 0.262 0.159 -0.09 -0.07 -0.04
TOTAL 15.72 15.30 14.60
LOWER DISCOUNT RATE 25 30 15.72 29.90
RATE DIFFERENCE 5
PRESENT VALUE AT MIN. RATE 15.72
PRESENT VALUE AT LOWER RATE 15.30
PRESENT VALUE AT HIGHER RATE 14.60
PRESENT VALUE AT MIN RATE
INTERNAL RATE OF
RETURN= LOWER RATE + RATE DIFFERENCE x
PV AT LOWER RATE+ PV AT
HIGHER RATE
INTERNAL RATE OF RETURN = 27.63 %
21 M/s THE HIMALAYA’S DAIRY FARM, VILL. BASHING, P.O. BABELI- KULLU (H.P.)
BREAK EVEN POINT ANANLYSIS
(BASED ON THIRD YEAR WORKING RESULTS)
S. NO PARTICULARS
AMOUNT P.A.
(RS IN LACS)
A SALES
21.00
B LESS: VARIABLE COST
1 RAW MATERIAL CONSUMED 5.99
2 WAGES 3.34
3 UTILITIES 0.80
4 SELLING EXPENSES 1.05
5 INTEREST ON W/C LOAN 0.52 11.70
C CONTRIBUTION (A - B) 9.30
D LESS; SEMI-VARIABLES & FIXED COST
1 REPAIR & MAINTENANCE 0.09
2 LEASE RENT 1.21
3 INTEREST ON TERM LOAN 0.73
4 DEPRECIATION 0.24 2.27
E NET PROFIT 7.03
F B.E.P. (IN TERMS OF CAPACITY UTILISATION)
FIXED COST / CONTRIBUTION
2.27 24.41%
9.30
B.E.P. AT FULL CAPACITY 17.09%
G B.E.P ( IN TERMS OF SALES REALISATION)
F X A
BEP IN TERMS OF CAPACITY X SALES
17.09% X 21.00
3.59 LACS
5
CAclubindia
