MRS.

SHABNAM KHAN

PROJECT REPORT
TRADING: KIRANA STORE

Prepared By: Vijay Hemwani & Associates

Chartered Accountants
San Gali, [Link], Khandwa
Mob. No.: 9009239911
Office No.: 0733-2228800
Email: vijayhemwani@[Link]
 CONTENTS

Executive Summary

Project Cost and Finance

The Project

Basis and Presumptions

Projected Balance Sheet

Projected Profit and Loss Account

Cash Flow Statement

CMA Data

Ratio Analysis

Break Even Point Calculation

Sales Projections

Depreciation Schedule

Loan Amortization Schedule

 PROJECT PROFILE

1 PROPOSED PROJECT ALL IN ONE KIRANA STORE

2 NAME OF THE PROMOTER MRS. SHABNAM KHAN

3 UNIT LOCATION 42, ANAND NAGAR, KHANDWA

4 FIRM CONSTITUTION PROPRIETORSHIP

5 NATURE OF BUSINESS TRADING: GROCERY SHOP

6 PROJECT COST TERM LOAN: RS. 3 LAKHS

7 TENURE 84 MONTHS

8 BANK STATE BANK OF INDIA

CIVIL LINES BRANCH, KHANDWA

Disclaimer : This Project Report is prepared on the basis of Reasonable Assumptions,

Information and Quotations provided to us by the client.
MRS. SHABNAM KHAN

COST OF PROJECT
SR NO PARTICULARS AMOUNT (RS. LACS)

1 MACHINERY/EQUIPMENTS 0.25

2 WORKING CAPITAL 3.00

TOTAL 3.25

MEANS OF FINANCE
SR NO PARTICULARS AMOUNT (Rs. LACS)

1 OWN CONTRIBUTION 0.25

2 TERM LOAN 3.00

TOTAL 3.25
 BASIS AND PRESUMPTION OF THE PROJECT

 On a conservative basis it is estimated that the firm shall operate at an

average of 55% capacity of its installed capacity. Income Generation and
Expenditure chart as discussed above indicates that the firm will be in
profit from the first operating year itself. That the capacity then shall
increase by 5% p.a. each year onward.

 Revenue has been considered at Rs. 20 per KG.

 Machineries are durable in nature. However for practical purpose, the

life of the project is considered as Ten Years. Hence SLM Depreciation
method has been applied using 10% as depreciation rate so that the
cost of machine will be amortized in ten years.

 Purchase, Labour and power rates are applicable as per market rates.
For project purpose, 81% of the turnover has been allocated towards
consumables, 5% of the revenue has been allocated towards power &
fuel, 3% towards labour, 2% towards other direct expenses and 3%
towards selling & administrative expenses.

 Interest rate of 11% has been considered on term loan.

 Tax has not been considered.

 Moratorium Period has not been considered. The installment of New

Loan should commence from the 1st month of disbursement.
 MRS. SHABNAM KHAN

Projected Balance Sheet

Particulars 2023-24 2024-25 2025-26 2026-27 2027-28 2028-29 2029-30
Projected Projected Projected Projected Projected Projected Projected
Sources of Funds:
Proprietor's Capital:
Opening Balance 0.25 1.33 2.69 4.19 5.81 7.63 9.56
Add: Profit for the year 1.45 1.80 2.00 2.16 2.42 2.57 2.78
Add : Capital Infusion - - - - - - -
Less: Drawings 0.36 0.45 0.50 0.54 0.61 0.64 0.70
Closing Balance 1.33 2.69 4.19 5.81 7.63 9.56 11.64

Loans:
Term Loan 2.89 2.46 2.03 1.60 1.16 0.73 0.30

Current Liabilities & Provisions:

Sundry Creditors 0.50 0.50 0.50 0.20 0.21 0.23 0.24

Total 4.73 5.65 6.72 7.60 9.00 10.51 12.18

Application of Funds:
Fixed Assets
Opening WDV 0.25 0.23 0.21 0.19 0.17 0.15 0.13
Less: Depreciation 0.02 0.02 0.02 0.02 0.02 0.02 0.02
Closing WDV 0.23 0.21 0.19 0.17 0.15 0.13 0.11

Current Assets:
- Advances & Deposits - - - - - - -
- Sundry Debtors 0.86 0.94 2.03 2.19 2.34 2.50 2.66
- Inventories
- Raw Material - - - - - - -
- Stock In Progress - - - - - - -
- Finished Goods 3.44 3.75 4.06 4.38 4.69 5.00 5.31
- Cash & Cash Equivalents 0.20 0.75 0.43 0.87 1.82 2.88 4.10

Total 4.73 5.65 6.72 7.60 9.00 10.51 12.18

 MRS. SHABNAM KHAN

Projected Profitability Statement

Particulars 2023-24 2024-25 2025-26 2026-27 2027-28 2028-29 2029-30
Projected Projected Projected Projected Projected Projected Projected
I. INCOME
Sales 20.63 22.50 24.38 26.25 28.13 30.00 31.88
Change in Stock 3.44 0.31 0.31 0.31 0.31 0.31 0.31
Other Income - - - - - - -
Total 24.06 22.81 24.69 26.56 28.44 30.31 32.19

II. Expenditure
Purchases 19.00 16.88 18.28 19.69 21.09 22.50 23.91
Power & Fuel 1.03 1.13 1.22 1.31 1.41 1.50 1.59
Direct Labour 1.44 1.58 1.71 1.84 1.97 2.10 2.23
Direct Expenses 0.62 0.68 0.73 0.79 0.84 0.90 0.96
Selling & Administrative Expenses 0.41 0.45 0.49 0.53 0.56 0.60 0.64
Total 22.51 20.70 22.43 24.15 25.88 27.60 29.33

III. Profit Before Int. Dep. & Tax (I-II) 1.56 2.11 2.26 2.41 2.56 2.71 2.86

Interest :
- On C.C. Limit - - - - - - -
- On Term Loan 0.09 0.29 0.24 0.23 0.12 0.12 0.06
Depreciation 0.02 0.02 0.02 0.02 0.02 0.02 0.02
Tax - - - - - - -
IV. Total (Int., Dep. & Tax) 0.11 0.31 0.26 0.25 0.14 0.14 0.08

V. Profit After Tax (III-IV) 1.45 1.80 2.00 2.16 2.42 2.57 2.78

Debt Service Coverage Ratio:

Services:
Profit After Tax 1.45 1.80 2.00 2.16 2.42 2.57 2.78
Add: Depreciation 0.02 0.02 0.02 0.02 0.02 0.02 0.02
Add: Interest 0.09 0.29 0.24 0.23 0.12 0.12 0.06
Total (A) 1.56 2.11 2.26 2.41 2.56 2.71 2.86
Debt:
- Principal 0.11 0.43 0.43 0.43 0.43 0.43 0.43
- Interest on Term Loan 0.09 0.29 0.24 0.23 0.12 0.12 0.06
Total (B) 0.20 0.72 0.67 0.66 0.55 0.55 0.49

DSCR (A/B) 7.86 2.93 3.37 3.64 4.64 4.91 5.82

Average DSCR 4.74
 MRS. SHABNAM KHAN

Cash Flow Statement

Particulars 2023-24 2024-25 2025-26 2026-27 2027-28 2028-29 2029-30
Projected Projected Projected Projected Projected Projected Projected
Inflow:
Opening Cash & Bank - 0.20 0.75 0.43 0.87 1.82 2.88

Proprietor's Contribution 0.25 - - - - - -

Current Year Profit 1.45 1.80 2.00 2.16 2.42 2.57 2.78

Non Cash Expenditure Charged to P/L 0.02 0.02 0.02 0.02 0.02 0.02 0.02

Bank Finance 3.00 - - - - - -

Increase in Current Liabilities 0.50 - - (0.30) 0.01 0.01 0.01

Total 5.22 2.02 2.77 2.31 3.33 4.43 5.70

Outflow:
Fixed Assets 0.25 - - - - - -

Increase in Current Assets 4.30 0.39 1.41 0.47 0.47 0.47 0.47

Repayment of Term Loan 0.11 0.43 0.43 0.43 0.43 0.43 0.43

Proprietor's Withdrawals 0.36 0.45 0.50 0.54 0.61 0.64 0.70

Closing Cash & Bank 0.20 0.75 0.43 0.87 1.82 2.88 4.10
Total 5.22 2.02 2.77 2.31 3.33 4.43 5.70
MRS. SHABNAM KHAN
ASSESSMENT OF WORKING CAPITAL REQUIREMENTS
Form II : Operating Statements

2023-24 2024-25 2025-26 2026-27 2027-28 2028-29 2029-30

Projected Projected Projected Projected Projected Projected Projected
Level of Activity 55% 60% 70% 75% 80% 85% 90%
1. Gross Sales
(i) Domestic Sales 20.63 22.50 24.38 26.25 28.13 30.00 31.88
(ii)Exports - - - - - - -
[Link] : Excise Duty - - - - - - -
[Link] Sales (1 - 2) 20.63 22.50 24.38 26.25 28.13 30.00 31.88
4.% rise ( + ) or fall ( - ) in net sales
as compared to previous year 0% 9% 8% 8% 7% 7% 6%
[Link] of Sales
(i)Raw Materials including stores and
other items used ( in the process of
manufacture)
(ii) (a) Imported - - - - - - -
(b) Indigenous 19.00 16.88 18.28 19.69 21.09 22.50 23.91
(iii) Power and Fuel 1.03 1.13 1.22 1.31 1.41 1.50 1.59
(iv) Direct labour (Factory wages and
salaries) 1.44 1.58 1.71 1.84 1.97 2.10 2.23
(v) Other direct expenses 0.62 0.68 0.73 0.79 0.84 0.90 0.96
(vi) Depreciation 0.02 0.02 0.02 0.02 0.02 0.02 0.02
(vii) Sub-total ( i to vi ) 22.11 20.27 21.96 23.65 25.33 27.02 28.71
(viii) ADD:Opening stock in Process - - - - - - -
Sub-total 22.11 20.27 21.96 23.65 25.33 27.02 28.71
(ix) DEDUCT :Closing stocks in
Process - - - - - - -
(x) Cost of Production 22.11 20.27 21.96 23.65 25.33 27.02 28.71
(xi) ADD: Opening stocks of
finished goods - 3.44 3.75 4.06 4.38 4.69 5.00
Sub-Total 22.11 23.71 25.71 27.71 29.71 31.71 33.71
(xii) DEDUCT: Closing stocks of
finished goods 3.44 3.75 4.06 4.38 4.69 5.00 5.31
(xiii) Sub-Total ( Total cost of sales
) 18.68 19.96 21.65 23.33 25.02 26.71 28.40
6. Selling and admn. expenses 0.41 0.45 0.49 0.53 0.56 0.60 0.64
7. Sub-total ( 5 + 6 ) 19.09 20.41 22.13 23.86 25.58 27.31 29.03
8. Operating Profit before interest
(3-7) 1.54 2.09 2.24 2.39 2.54 2.69 2.84
9. Interest 0.09 0.29 0.24 0.23 0.12 0.12 0.06
10. Operating Profit after interest
(8 - 9 ) 1.45 1.80 2.00 2.16 2.42 2.57 2.78
11.(i)Add:Other non-operating income
(ii) Deduct Other non-operating expenses - - - - - - -
Sub-total ( expenses )
(iii) Net of other non-operating
income / expenses net of 11 (1)
& (2) ) - - - - - - -
12. Profit before tax / loss ( 10 + 11
(iii) ) 1.45 1.80 2.00 2.16 2.42 2.57 2.78
13. Provision for taxes - - - - - - -
14. Net Profit / loss ( 12 - 13 ) 1.45 1.80 2.00 2.16 2.42 2.57 2.78
15. (a) Dividend (Proprietor's
withdrawal) 0.36 0.45 0.50 0.54 0.61 0.64 0.70
(b) Dividend Rate 25% 25% 25% 25% 25% 25% 25%
16. Retained Profit ( 14 -15 ) 1.08 1.35 1.50 1.62 1.82 1.93 2.09
17. Retained Profit/Net Profit 75% 75% 75% 75% 75% 75% 75%
ANALYSIS OF BALANCE SHEET
FORM - III

2023-24 2024-25 2025-26 2026-27 2027-28 2028-29 2029-30

Projected Projected Projected Projected Projected Projected Projected
CURRENT LIABILITIES
1. Short term borrowings from
banks

(i) from applicant Bank-OCC& BILLS

(ii) from other banks
(iii) of which BP
Sub-Total (A) - - - - - - -
[Link] - term borrowings from
others
[Link] creditors ( trade ) 0.50 0.50 0.50 0.20 0.21 0.23 0.24
[Link] payments from
customers / deposits from dealers
[Link] for taxation
[Link] payable
[Link] statutory liabilities (due
within one year )
[Link]/ Debentures/
Instalments under term loans/
DPG's etc(due within one year ) 0.43 0.43 0.43 0.43 0.43 0.43 0.30
[Link] current liabilities and
provisions
(due within one year)
Sub-Total (B) 0.93 0.93 0.93 0.63 0.64 0.66 0.54

10. TOTAL CURRENT LIABILITIES 0.93 0.93 0.93 0.63 0.64 0.66 0.54
( Total of 1 to 9 )
TERM LIABILITIES
[Link] (not maturing within
one year)
[Link] shares
( redeemable a-fter one year
13. Term loans ( excluding
instalments 2.46 2.03 1.60 1.16 0.73 0.30 -
payable within one year )
14. Deferred paym'ent credits
(excluding instalments p'ayable
within one year)
[Link] Deposits ( repayable after
one year)
[Link] term liabilities (Unsecured
Loans) - - - - - - -
17. TOTAL TERM LIABILITIES 2.46 2.03 1.60 1.16 0.73 0.30 -
( Total of 11 to 16 )
18. TOTAL OUTSIDE LIABILITIES (10
+ 17) 3.39 2.96 2.53 1.79 1.37 0.96 0.54
NET WORTH
[Link] Account - 1.33 2.69 4.19 5.81 7.63 9.56
20. Capital Infusion 0.25 - - - - - -
[Link] Subsidy - - - - - - -
[Link] (+) or deficit (-) in Profit
and loss account 1.08 1.35 1.50 1.62 1.82 1.93 2.09

[Link] WORTH ( Total of 19 to 23 ) 1.33 2.69 4.19 5.81 7.63 9.56 11.64
[Link] LIABILITIES ( 18 + 24 ) 4.73 5.65 6.72 7.60 9.00 10.51 12.18
ANALYSIS OF BALANCE SHEET
FORM - III

2023-24 2024-25 2025-26 2026-27 2027-28 2028-29 2029-30

Projected Projected Projected Projected Projected Projected Projected
ASSETS
Current Assets
[Link] and bank balances 0.20 0.75 0.43 0.87 1.82 2.88 4.10
[Link] ( other than long
term investments)
(i) Govt. and other Trustee Securities
(ii) Fixed Deposits with banks
28. (i) Receivables other than
deferred and export receivables 0.86 0.94 2.03 2.19 2.34 2.50 2.66
(ii) Export receivables
29. Instalments of deferred
receivables
30. Inventory :( i )Raw materials
(including stores and other items
used in the process of manufacture
( a ) Imported
( b ) Indigeneous
( i ) Stock - in – process
( ii ) Finished Goods 3.44 3.75 4.06 4.38 4.69 5.00 5.31
( iii )Other consumable spares
( a ) Imported
( b ) Indigeneous
31. Advance to suppliers of raw
materials Stores and spares
[Link] payment of taxes

33. Other current assets (major

items To be specified individually )
Advances and Deposits
34. TOTAL CURRENT ASSETS 4.50 5.44 6.53 7.43 8.85 10.38 12.07
( Total of 26 to 33 )
Fixed Assets

[Link] block ( land and buildings,

machinery, work-in-progress ) - 0.23 0.21 0.19 0.17 0.15 0.13
Addition 0.25 - - - - - -
[Link] to date 0.02 0.02 0.02 0.02 0.02 0.02 0.02
[Link] BLOCK ( 35 – 36 ) 0.23 0.21 0.19 0.17 0.15 0.13 0.11
OTHER NON-CURRENT ASSETS
[Link]/bookdebts/advances
/deposits which are not current
assets
( I ) (a) Investments in subsidiary
companies / affiliates
( ii ) ( b ) Others - - - - - - -
( iii )Deferred receivables (maturity
exceeding one year )
( iv) Others
39. Non-consumable stores and
spares
40. Other non-current assets
including Dues from Directors
[Link] OTHER NON-CURRENT
ASSETS 0.00 0.00 0.00 0.00 0.00 0.00 0.00
ANALYSIS OF BALANCE SHEET
FORM - III

2023-24 2024-25 2025-26 2026-27 2027-28 2028-29 2029-30

Projected Projected Projected Projected Projected Projected Projected
[Link] ASSETS - - - - - - -
(patents, goodwill preliminary
expenses bad / doubtful debts not
provided for, etc.,)
[Link] ASSETS 4.73 5.65 6.72 7.60 9.00 10.51 12.18
( Total of 34, 37, 41 & 42 )

[Link] NET WORTH ( 24 - 42 ) 1.33 2.69 4.19 5.81 7.63 9.56 11.64

[Link] WORKING CAPITAL(34-09) 3.56 4.50 5.59 6.80 8.21 9.73 11.53

[Link] Ratio ( items 34 / 10

) 4.82 5.83 7.00 11.82 13.77 15.80 22.40

[Link] Outside liabilities /

Tanible net worth ( 18 / 44 ) 2.54 1.10 0.60 0.31 0.18 0.10 0.05

Additional Information :-- NIL NIL NIL NIL NIL NIL NIL
( A ) Arrears of depreciation :

( B ) Contingent liabilities:

( i ) Arrears of cumulative dividends

( ii ) Gratuity scheme for staff

( iii ) Other liabilities not provided for

Form IV
COMPARITIVE STATEMENT OF CURRENT ASSETS & CURRENT LIABILITIES

2023-24 2024-25 2025-26 2026-27 2027-28 2028-29 2029-30

Projected Projected Projected Projected Projected Projected Projected
[Link] ASSETS
Raw material (including stores and other items
used in the process of manufacture )
a) Imported Months consumption
(b) Indigenious Months consumption
[Link] consumable spares
excluding those included in item ( i )
above
a) Imported Months consumption
(b) Indigenious Months consumption - - - - - - -
[Link]-In-Process
Months' cost of production - - - - - - -
[Link] goods: 3.44 3.75 4.06 4.38 4.69 5.00 5.31
Months cost of sales
5. Receivables other than
export and deferred
receivables including bill
purchased and and discounted by
bankers 0.86 0.94 2.03 2.19 2.34 2.50 2.66
[Link] receivables (including bill
purchased and discounted Months
Export sales
[Link] to suppliers of raw
materials & stores / spares
consumables

[Link] current assets including

cash and bank balances and
deferred receivables due with
in one year ( major items )
Cash & Bank balances 0.20 0.75 0.43 0.87 1.82 2.88 4.10
Advance Taxes
Others - - - - - - -

[Link] CURRENT ASSETS 4.50 5.44 6.53 7.43 8.85 10.38 12.07
( To agree with 34 in form III )
B. CURRENT LIABILITIES
(Other than bank borrowings for working capital)

[Link] for purchase of raw

materials, stores & consumable
spares 0.50 0.50 0.50 0.20 0.21 0.23 0.24
( Month's purchases )

[Link] from customers

[Link] liabilities
[Link] current liabilities
Instalments of TL & DPG Public
Deposits/ Unsecured Loans Others - - - - - - -

[Link] 0.50 0.50 0.50 0.20 0.21 0.23 0.24

(to agree with Sub-total (B)
Form V
COMPUTATION OF MAXIMUM PERMISSIBLE BANK FINANCE FOR WORKING CAPITAL

2023-24 2024-25 2025-26 2026-27 2027-28 2028-29 2029-30

Projected Projected Projected Projected Projected Projected Projected

1. Total Current Assets ( 9 in Form IV ) 4.50 5.44 6.53 7.43 8.85 10.38 12.07

2. Other Current Liabilities 0.50 0.50 0.50 0.20 0.21 0.23 0.24
(Other than bank borrowing)
( 14 in Form IV )

3. Working capital gap (WCG) ( 1 -- 2 ) 4.00 4.94 6.03 7.24 8.64 10.16 11.83

4. Minimum stipulated net working

Capital i.e., 25 % of WCG / 25 % of
total current assets as the case 1.00 1.23 1.51 1.81 2.16 2.54 2.96
may be depending upon the method of
lending being applied (Export recei
-vables to be excl. in both methods)

5. Actual / Projected net working capital 4.00 4.94 6.03 7.24 8.64 10.16 11.83
( 45 in Form III )

6. Item 3 minus item 4 3.00 3.70 4.52 5.43 6.48 7.62 8.88

7. Item 3 minus item 5 - - - - - - -

8. Maximum permissible bank finance - - - - - - -

( item 6 or 7 whichever is lower )
Actual/Projected Bank Borrowings - - - - - - -

9. Excess borrowings ( representing - - - - - - -

shortfall in NWC)
Form V1
FUNDS FLOW STATEMENT

2023-24 2024-25 2025-26 2026-27 2027-28 2028-29 2029-30

Projected Projected Projected Projected Projected Projected Projected
SOURCES
1.(a) Net Profit 1.45 1.80 2.00 2.16 2.42 2.57 2.78
(b) Depreciation 0.02 0.02 0.02 0.02 0.02 0.02 0.02
(c) Increase in capital 0.25 - - - - - -
(d) Increase in Term Liabilities
including public deposits 3.00 - - - - - -
(e) Decrease in
(i) Fixed Assets - - - - - - -
(ii) Other non-current assets
(f) Others : Subsidy - - - - - - -
(g) TOTAL 4.72 1.82 2.02 2.18 2.44 2.59 2.80
USES
2.(a) Net Loss
(b) Decrease in Term Liabilities
including public deposits 0.11 0.43 0.43 0.43 0.43 0.43 0.43
(c) Increase in
(i) Fixed Assets 0.25 - - - - -
(ii) Other non- current assets - - - - - - -
(d) Dividend (Proprietor's
Withdrawals) 0.36 0.45 0.50 0.54 0.61 0.64 0.70
(e) Others - - - - - - -
(f) TOTAL 0.72 0.88 0.93 0.97 1.04 1.08 1.13
3. Long Term Surplus ( + )/Deficit (-) ( 1 –4.00
2 ) 0.94 1.09 1.21 1.40 1.52 1.67
[Link] / Decrease in Current
Assets * ( as per details given below
) 4.50 0.94 1.09 0.91 1.42 1.53 1.69
[Link] / Decrease in Current
Liabilities other than Bank
borrowings ) 0.50 - - (0.30) 0.01 0.01 0.01
[Link]/Decrease in Working
capital gap(4-5) 4.00 0.94 1.09 1.21 1.40 1.52 1.67
7. Net Surplus ( + ) / Deficit ( -- ) - - - - - - -
( difference of 3 & 6 )
[Link] / Decrease in bank borrowings - - - - - - -
*Break-up of ( 4 ) :
(i) Increase / Decrease in Raw Materials - - - - - - -
(ii) Increase / Decrease in Stock-in-
Process - - - - - - -
(iii)Increase / Decrease in Finished Goods 3.44 0.31 0.31 0.31 0.31 0.31 0.31
(iv)Increase / Decrease in
Receivables
( a ) Domestic 0.86 0.08 1.09 0.16 0.16 0.16 0.16
( b ) Export
(v)Increase / Decrease in Stores & Spares - - - - - - -
(vi)Increase / Decrease in Other current assets
0.20 0.55 (0.32) 0.44 0.95 1.06 1.22
Total 4.50 0.94 1.09 0.91 1.42 1.53 1.69
MRS. SHABNAM KHAN
Ratio Analysis & Assesment of Working Capital Requirements

PARTICULARS 2023-24 2024-25 2025-26 2026-27 2027-28 2028-29 2029-30

Projected Projected Projected Projected Projected Projected Projected
1. Net Sales 20.63 22.50 24.38 26.25 28.13 30.00 31.88
2. Operating Profit 1.54 2.09 2.24 2.39 2.54 2.69 2.84
3. Profit After Tax 1.45 1.80 2.00 2.16 2.42 2.57 2.78
3.1. Gross Profit 1.97 2.56 2.75 2.94 3.13 3.31 3.50
A. PAT / Net sales( % ) 7.01% 8.01% 8.22% 8.24% 8.61% 8.58% 8.73%
B. Operating Profit/Net Sales 7.45% 9.30% 9.20% 9.11% 9.04% 8.98% 8.92%
B.1. Gross Profit Ratio 9.55% 11.39% 11.28% 11.19% 11.11% 11.04% 10.98%
4. Tangible Net Worth 1.33 2.69 4.19 5.81 7.63 9.56 11.64
5. Total Outside Liability 3.39 2.96 2.53 1.79 1.37 0.96 0.54
C. TOL / TNW 2.54 1.10 0.60 0.31 0.18 0.10 0.05
6. PBDIT 1.54 2.09 2.24 2.39 2.54 2.69 2.84
7. Interest 0.09 0.29 0.24 0.23 0.12 0.12 0.06
D. ISCR (PBDIT / Int.) 17.07 7.22 9.34 10.40 21.19 22.44 47.38
8. Current Assets 4.50 5.44 6.53 7.43 8.85 10.38 12.07
9. Current Liabilities 0.93 0.93 0.93 0.63 0.64 0.66 0.54
E. Current Ratio (CA/CL) 4.82 5.83 7.00 11.82 13.77 15.80 22.40
F. Bank Finance / TCA ( % ) 64.31% 45.25% 31.07% 21.47% 13.15% 7.05% 2.48%
G. Gross Sales / TCA 4.59 4.14 3.73 3.53 3.18 2.89 2.64
H. Operating Profit / TNW ( % ) 115.10% 77.89% 53.54% 41.18% 33.33% 28.17% 24.41%
10. Long Term Debt 2.89 2.46 2.03 1.60 1.16 0.73 0.30
11. Equity 1.33 2.69 4.19 5.81 7.63 9.56 11.64
I. Capital Employed 4.23 5.15 6.22 7.41 8.79 10.29 11.94
J. Debt/Equity Ratio 2.17 0.92 0.48 0.27 0.15 0.08 0.03
K. Net Profit/Capital Employed (%) 34.22% 35.02% 32.21% 29.20% 27.56% 25.00% 23.30%
12. Inventories 3.44 3.75 4.06 4.38 4.69 5.00 5.31
L. Inventory Turnover Ratio 6.00 6.00 6.00 6.00 6.00 6.00 6.00
M. Inventory Turnover Period 60.83 60.83 60.83 60.83 60.83 60.83 60.83
13. Receivables 0.86 0.94 2.03 2.19 2.34 2.50 2.66
N. Receivables Turnover Ratio 24.00 24.00 12.00 12.00 12.00 12.00 12.00
O. Receivables Turnover Period 15.21 15.21 30.42 30.42 30.42 30.42 30.42
14. Payables 0.50 0.50 0.50 0.20 0.21 0.23 0.24
15. Purchases 19 17 18 20 21 23 24
P. Payables Turnover Ratio 38.00 33.75 36.56 100.00 100.00 100.00 100.00
Q. Payables Turnover Period 9.61 10.81 9.98 3.65 3.65 3.65 3.65
MRS. SHABNAM KHAN
BREAK EVEN ANALYSIS
No Particulars Amount
[A] Sales 22.50
[B] Variable Costs
Raw Material Consumption (100%) 16.56
Utilities (90%) 1.01
Labour (95%) 1.50
Direct Expenses (90%) 0.61
Selling & Administrative Expenses (75%) 0.34
Interest on WC (100%) - 20.02
[C] Contribution [A] - [B] 2.48
[D] Fixed Cost 0.68
[E] Break-Even Point [D] ÷ [C] 27%

Data at third year of operation or say 60% of capacity utilisation has been considered.
REVENUE STRUCTURE
S.N. PARTICULARS 2023-24 2024-25 2025-26 2026-27 2027-28 2028-29 2029-30
Projected Projected Projected Projected Projected Projected Projected
A Capacity Utilization 55% 60% 65% 70% 75% 80% 85%

B Budgeted Capacity (KGs) 75,000 75,000 75,000 75,000 75,000 75,000 75,000

C Actual Capacity (A*B) 41,250 45,000 48,750 52,500 56,250 60,000 63,750

D Average Receipt per KG 50 50 50 50 50 50 50

E Total Receipts (C*D) 20,62,500 22,50,000 24,37,500 26,25,000 28,12,500 30,00,000 31,87,500
 Term Loan Repayment Schedule
Loan Amount Rs. 3,00,000/-
Interest Rate 11.00%
Repayment Tenure : 84 Months
Opening Total
Installment Debits Interest Principal Balance
Balance Repayment
2023-24 0.09 0.11
Jan-24 - 3.00 0.03 0.04 0.07 2.96
Feb-24 2.96 0.03 0.04 0.07 2.93
Mar-24 2.93 0.03 0.04 0.07 2.89
2024-25 0.29 0.43
Apr-24 2.89 0.03 0.04 0.07 2.86
May-24 2.86 0.03 0.04 0.07 2.82
Jun-24 2.82 0.03 0.04 0.07 2.78
Jul-24 2.78 0.03 0.04 0.07 2.75
Aug-24 2.75 0.03 0.04 0.07 2.71
Sep-24 2.71 0.02 0.04 0.06 2.68
Oct-24 2.68 0.02 0.04 0.06 2.64
Nov-24 2.64 0.02 0.04 0.06 2.60
Dec-24 2.60 0.02 0.04 0.06 2.57
Jan-25 2.57 0.02 0.04 0.06 2.53
Feb-25 2.53 0.02 0.04 0.06 2.50
Mar-25 2.50 0.02 0.04 0.06 2.46
2025-26 0.24 0.43
Apr-25 2.46 0.02 0.04 0.06 2.42
May-25 2.42 0.02 0.04 0.06 2.39
Jun-25 2.39 0.02 0.04 0.06 2.35
Jul-25 2.35 0.02 0.04 0.06 2.32
Aug-25 2.32 0.02 0.04 0.06 2.28
Sep-25 2.28 0.02 0.04 0.06 2.24
Oct-25 2.24 0.02 0.04 0.06 2.21
Nov-25 2.21 0.02 0.04 0.06 2.17
Dec-25 2.17 0.02 0.04 0.06 2.14
Jan-26 2.14 0.02 0.04 0.06 2.10
Feb-26 2.10 0.02 0.04 0.06 2.06
Mar-26 2.06 0.02 0.04 0.06 2.03
2026-27 0.23 0.43
Apr-26 2.03 0.02 0.04 0.06 1.99
May-26 1.99 0.02 0.04 0.06 1.96
Jun-26 1.96 0.02 0.04 0.06 1.92
Jul-26 1.92 0.02 0.04 0.06 1.88
Aug-26 1.88 0.02 0.04 0.06 1.85
Sep-26 1.85 0.02 0.04 0.06 1.81
Oct-26 1.81 0.02 0.04 0.06 1.78
Nov-26 1.78 0.02 0.04 0.06 1.74
Dec-26 1.74 0.02 0.04 0.06 1.70
Jan-27 1.70 0.02 0.04 0.06 1.67
Feb-27 1.67 0.02 0.04 0.06 1.63
Mar-27 1.63 0.01 0.04 0.05 1.60
2027-28 0.12 0.43
Apr-27 1.60 0.01 0.04 0.05 1.56
May-27 1.56 0.01 0.04 0.05 1.52
Jun-27 1.52 0.01 0.04 0.05 1.49
Jul-27 1.49 0.01 0.04 0.05 1.45
Aug-27 1.45 0.01 0.04 0.05 1.42
Sep-27 1.42 0.01 0.04 0.05 1.38
Oct-27 1.38 0.01 0.04 0.05 1.34
Nov-27 1.34 0.01 0.04 0.05 1.31
Dec-27 1.31 0.01 0.04 0.05 1.27
Jan-28 1.27 0.01 0.04 0.05 1.24
Feb-28 1.24 0.01 0.04 0.05 1.20
Mar-28 1.20 0.01 0.04 0.05 1.16
2028-29 0.12 0.43
Apr-28 1.16 0.01 0.04 0.05 1.13
May-28 1.13 0.01 0.04 0.05 1.09
Jun-28 1.09 0.01 0.04 0.05 1.06
Jul-28 1.06 0.01 0.04 0.05 1.02
Aug-28 1.02 0.01 0.04 0.05 0.98
Sep-28 0.98 0.01 0.04 0.05 0.95
Oct-28 0.95 0.01 0.04 0.05 0.91
Nov-28 0.91 0.01 0.04 0.05 0.88
Dec-28 0.88 0.01 0.04 0.05 0.84
Jan-29 0.84 0.01 0.04 0.05 0.80
Feb-29 0.80 0.01 0.04 0.05 0.77
Mar-29 0.77 0.01 0.04 0.05 0.73
2029-30 0.06 0.43
Apr-29 0.73 0.01 0.04 0.05 0.70
May-29 0.70 0.01 0.04 0.05 0.66
Jun-29 0.66 0.01 0.04 0.05 0.62
Jul-29 0.62 0.01 0.04 0.05 0.59
Aug-29 0.59 0.01 0.04 0.05 0.55
Sep-29 0.55 0.01 0.04 0.05 0.52
Oct-29 0.52 - 0.04 0.04 0.48
Nov-29 0.48 - 0.04 0.04 0.44
Dec-29 0.44 - 0.04 0.04 0.41
Jan-30 0.41 - 0.04 0.04 0.37
Feb-30 0.37 - 0.04 0.04 0.34
Mar-30 0.34 - 0.04 0.04 0.30
2030-31 - 0.30
Apr-30 0.30 - 0.04 0.04 0.26
May-30 0.26 - 0.04 0.04 0.23
Jun-30 0.23 - 0.04 0.04 0.19
Jul-30 0.19 - 0.04 0.04 0.16
Aug-30 0.16 - 0.04 0.04 0.12
Sep-30 0.12 - 0.04 0.04 0.08
Oct-30 0.08 - 0.04 0.04 0.05
Nov-30 0.05 - 0.05 0.05 (0.00)