2009 Quality Concrete School IT’S HOT!! IT’S CHILLY!! SHRINKAGE!!
Chilly Powder
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Transcript of Chilly Powder
PRODUCT PROJECT REPORT
ON
( chilly powder )
PREPARED BY
BANSI M. PALAN
CLASS
T.Y.B.B.A.
ACADEMIC YEAR
2005-2006
ROLL NO.
20
SEAT NO.
COLLEGE
CHRIST COLLEGE, RAJKOT
SUBMITTED TO
SAURASHTRA UNIVERSITY, RAJKOT
GUIDED BY
Dr. SWATI DOSHI
Declaration
I, the undersigned Bansi M. Palan student of
T.Y.B.B.A., hereby declare that the project work presented
in this report is my own work & has been carried out under
supervision of Dr. Swati Doshi.
This project has not been previously submitted to any
other university for my examination.
Date: -
Place:-Rajkot Bansi M. Palan
Acknowledgement
I am heartily thankful to everyone who have
helped me. I am also thankful to Mr. Abhijit Vala for his
guidance. I am thankful to all managers and staff members
of Balaji Wafers Pvt. Ltd. I am thankful to my parents.
Date:-
Place:- Rajkot Bansi M. Palan
Preface
“Practice makes man perfect, action makes man practical”.
Above said proverb holds the importance of practice
& action. The field of management provides practical as
well as theoretical knowledge simultaneously.
As a developing country, in Indian economy,
contribution of small scale industries, as it is supportive to
big industries & makes economy to reach heights of
prosperity.
The subject ‘Entrepreneurship & Management of
Small Business’ is included in T.Y.B.B.A. with a view to
develop & implement the knowledge in action. It is
essential for BBA students, who wants to become future
entrepreneurs, to get practice from the inception.
Index
Particulars Page No.
Introduction
Project at a Glance
Partner’s Background
Justification of Location
Product Details
Market Potential
Raw Materials
Machines
Manufacturing Process
Production Capacity Schedule
Staff & Labour Details
Financial Details
Cost of Production
Total Working Capital Requirement
Total Project Fund
Sources of Finance
Depreciation
Annual Cost of Production
Sales Forecast
Cost Per Unit
BEP Analysis
Cost of Capital
Return on Investment
Profitability & Profitability Analysis
Risk Factors
Name & Address of Raw Material
Supplier
Name & address of Machine Supplier
Particulars of Raw Materials
Consumed
Particulars of Finished Goods
Schedule for Fixed Assets
Disclosure of Significant Accounting
Policies
Projected Operating Statement for
Three Years
Projected Trading A/C For First Year
Projected P&L A/C For First Year
Projected P&L Appropriation A/C
For First Year
Projected Capital A/C For First Year
Projected Balance Sheet For First
Year
Projected Cost Sheet For First Year
Projected Trading A/C For Second
Year
Projected P&L A/C For Second Year
Projected P&L Appropriation A/C
For Second Year
Projected Capital A/C For Second
Year
Projected Balance Sheet For Second
Year
Projected Cost Sheet For Second
Year
Projected Trading A/C For Third Year
Projected P&L A/C For Third Year
Projected P&L Appropriation A/C
For Third Year
Projected Capital A/C For Third Year
Projected Balance Sheet For Third
Year
Projected Cost Sheet For Third Year
Future Plans
Conclusion
Introduction
Small Scale industry is one of the greatest tool to
develop country. Keeping this in mind, government is also
active to develop small scale industry in the country so that
big companies can also develop. And as increasing number
of companies provides employment to many people through
which standard of living also increases.
Project At A Glance
1 Name of the unit : Shri Ltd.
2 Form of the unit : Partnership Firm
3 Name of Partners : (i) Palan Bansi
M.
(ii) Chandarana
Yash K.
4 Name of Product : ‘Shri’ Chilly Powder
5 Size of Unit : Small Scale
6 SSI Registration No. : Applied For.
7 Cost of Project : Rs.3837000
8 Means of Finance : Ownership Capital
9 Implementation Schedule
(i) Preparation of
Project Report
(ii) Selection of site &
Construction of Building
(iii) SSI Registration
(iv) Availability of
finance, Selection of
Machines, Procurement of
Machines
(v) Recruitment of
Labour & Commencing
Production
TOTAL
:
:
:
:
:
:
1 Month
3 Months
1 Month
2½ Months
15 Days
8 Months
Partner’s Background
Partner – 1
Name : Palan Bansi M.
Address : ‘Kamadgiri’ Apartment,
5th Floor, 501,
Near K. K. V. Hall,
Kalawad Road,
Rajkot 360 005.
Age : 20 years
Qualification : BBA with Advanced Marketing
Management.
Role in Unit : Management of Marketing &
Personnel Department.
Financial
Contribution
: 50%
Partner – 2
Name : Chandarana Yask K.
Address : ‘Mile Stone’,
Opposite to Bank of Karnatak,
Kalawad Road,
Rajkot.
Age : 26 years
Qualification : MBA with Finance
Management.
Role in Unit : Management of Finance &
Production Department.
Financial : 50%
Contribution
Justification Of Location
Location reveals the area where the plant will operate
to manufacture proposed goods & articles. Every
entrepreneur, before starting unit must give due attention
to the suitable location of business. One should locate the
unit at the place where infrastructural & other facilities are
available.
We are going to launch our unit at Shapar.
The following facilities are available there cheaply &
adequately.
Raw Material: -
The basic component for manufacturing firm is
raw material. As in our case raw material comes from
outside the city that is Gondal. So, it is convenient to
locate the firm at Shapar so that raw material is
available cheaply & easily.
Transportation: -
Here transportation facilities are available
cheaply & easily so that there is convenience in
getting raw material from outside to the production
place & also from production place to the other area
to sell.
Labour: -
The area in which our firm will be located is an
industrial area, so that labour is adequately available.
Water & Power Supply: -
There no such problem of power cuts or
shortage of water in this place.
Product Details
Product: -
The product that our firm is going to
manufacture is, Chilly Powder.
Its Use: -
Chilly Powder is used as one of the main spices
in most of the food items. It is used as a flavouring
stuff for making the food item spicy.
Brand: -
The brand name of our product is “Shri”.
Market Potential
In earlier years people used to have simple and pure
food, but now is the era of fast food. People’s Food habits
have totally changed. People love to have delicious Punjabi
Dish, Chinese, Thai, Mexican & Italian Food.
People are more attracted towards hot & spicy food
items. Chilly Powder is the main ingredient to make the
dish hot & spicy.
Even in our routine food preparations, chilly powder
is used as one of the spices. Thus, right from simple food
items to variety of food items chilly powder is used as the
main spice. Moreover, chilly powder is used indirectly also,
like, people consume tomato ketchup which has chilly
powder in it. In various other preparations also it is used
indirectly. Thus, when people use these items in any dish
the use of chilly powder is indirect. Thus, chilly powder is
widely used in food & food products.
Moreover, earlier, people used to make chilly powder
on their own. People used to buy dry red chilies and grind
them on their own or in any flour mill. But now is the age of
“readymade”. The lifestyle of people has changed.
Everyone is busy in one or the other way so they do not
have much time to do all these work ultimately they prefer
readymade items. So also this product has great potential.
Through our pure & best quality product at low price we
will be able to sell it in market & also we will be able to
create demand for our product.
Raw Materials
1. Dry Red Chillies.
2. Edible Oil.
Machines
1. Pulverizer Machine
2. Electronic Weighing Machine
3. Filling Machine
4. Plastic Bag Sealing Machine
5. Electric HP Motors
6. Mixing Tank with Agitator
Manufacturing Process
The word ‘Process’ leads to series of steps. Product is
not outcome of only one act but it has to pass through
various stages to become final outcome.
Following are the steps included in manufacturing:
(1) Cleaning: -
Chilly is purchased in bulk, from outside area,
so it needs cleaning. First of all, the chilly is to be
cleaned and all the dust & dirt is to be removed.
(2) Removing stalks and seeds: -
Before crushing the chilly into powder, stalks
and also the seeds from inside are to be removed.
(3) Pulverization: -
Next step is of Pulverization. Chillies are
smashed into fine powder through special machines
called Pulverizer.
(4) Mixing Oil to it: -
Finally, the chilly powder has to be mixed with
oil so that it does not spoil for longer time.
Flow Chart
Chilly Powder
Manufacturing Process
Cleaning
Removing stalks and
seeds
Pulverizing
Mixing Oil
Production Capacity Schedule
(1) Installed Capacity: -
2 Pulverizers each having installed capacity of
12.5 kg. Per hour.
Total 25 kg. Per hour.
Yearly Installed capacity is
25 × 2400 hrs. = 60000 kg.
(2) Utilized Capacity: -
60% i.e. 15 kg. Per hour.
Yearly Utilized capacity is
15 × 2400 hrs. = 36000 kg.
(3) No. of Shifts Per Day: -
1 Shift.
(4) No. of Working Hours Per Shift: -
8 Hours.
(5) No. of Working Days in a Month: -
25 Days.
(6) No. of Working Days in a Year: -
300 Days.
(7) No. of Working Hours in a Year: -
2400 Hours (8 hrs. × 300 days)
Staff And Labour Details
Sr. No.
Particulars No. of Person
Rate Amt. (per Month)
Amt. (p.a.)
1 Supervisor 1 6000 6000 72000
2 Accountant 1 4000 4000 48000
3 Computer
Operator &
Clerk
1 5000 5000 60000
4 Unskilled
Worker
4 2500 10000 120000
5 Salesman 3 3000 9000 108000
6 Peon 1 2000 2000 24000
7 Watchman 1 2000 2000 24000
TOTAL 12 38000 456000
Financial Details
Sr.
No.
Particulars Rate Total
Cost
(Rs.)
(1)
a.
b.
c.
Fixed Assets
Land
Building
Plant & Machinery
(i)
(ii)
Weighing
Machine
(iii)
(iv)
(v)
(vi)
Agitators
700 sq. mt.
600 sq. mt.
2
1
1
1
2
1
600
400
35000
10000
36000
10000
12000
35000
420000
240000
70000
10000
36000
10000
24000
35000
(2)
d.
e.
f.
g.
Other Assets
Furniture
Computer
Delivery Van
Other Equipments
1
1
30000
200000
70000
150000
30000
200000
70000
(3) Electrification &
Installation Charges 90000
(4) Preliminary & Pre-
operating Expenses 80000
Cost Of Production
(a) Raw Material Requirement: -
No.
Particulars
Rate
per kg.
Requirement per Day
Requirement per Month
Requirement per Year
Quantit
y
(k.g)
Amount Quantit
y
(k.g)
AmountQuantit
y
(k.g)
Amount
1 Chilly 40 133 5320 3333 1333
20
40000 160000
0
2 Edible
Oil
30 6 180 150 4500 1800 54000
(b) Staff & Labour: -
Sr. No.
Particulars No. of Person
Rate Amt. (per Month)
Amt. (p.a.)
1 Supervisor 1 6000 6000 72000
2 Accountant 1 4000 4000 48000
3 Computer
Operator Cum
Clerk
1 5000 5000 60000
4 Unskilled Worker 4 2500 10000 120000
5 Salesman 3 3000 9000 108000
6 Peon 1 2000 2000 24000
7 Watchman 1 2000 2000 24000
TOTAL 12 38000 456000
(c) Other Expenses & Utilities: -
Sr.
No.
Particulars Amt. (Per
Annum)
1 Selling Expenses 60000
2 Repair & Maintenance 24000
3 Electricity 180000
4 Water Charges 24000
5 Postage & Stationary 18000
6 Legal Fees 36000
7 Audit Fees 18000
8 Miscellaneous Expenses 18000
9 Insurance 24000
10 Preliminary Expenses W/F 12000
11 Electrification & Installation
Charges W/F
18000
TOTAL 432000
Total Working Capital
Requirement
Sr. No. Particulars Monthly Yearly
(a) Raw Material 137833.33 1654000
(b) Staff & Labour 38000.00 456000
(c) Other Expenses &
Utilities
36000.00 432000
TOTAL 211833.33 2542000
Total Project Fund
Sr. No. Particulars Amount
(a) Total Fixed Capital 1295000
(b) Total Working Capital 2542000
TOTAL 3837000
Sources Of Finance
Sr. No. Particulars Amount
1 Ownership capital by
Bansi
Yash
1918500
1918500
TOTAL 3837000
Depreciation
Sr. No. Particulars Rate of
Depreciation
Amount
(a) Building 10% 24000
(b) Furniture &
Fixture
15% 22500
(c) Plant &
Machinery
25% 46250
(d) Computers 40% 12000
(e) Delivery Van 15% 30000
(f) Other
Equipments
15% 10500
TOTAL DEPRECIATION 145250
Annual Cost Of Production
Sr. No. Particulars Amount
(a) Raw Material 1654000
(b) Total Recurring Expenses 888000
(c) Depreciation 145250
(d) Interest on Capital 306960
TOTAL 2994210
Sales Forecast
Year Units (in kg.) (p.
a.)
Selling Price Amount (Rs.)
1 37800 85 3213000
2 44100 90 3969000
3 50400 100 5040000
4 56700 110 6237000
5 63000 120 7560000
Cost Per Unit
Total Cost Per Unit: -
=
=
= 79.21
Fixed Cost Per Unit: -
=
=
= 27.33
Variable Cost Per Unit: -
=
=
= 43.76
Break Even Point Analysis
(a)
Selling Price 85.00 (per unit)
- Variable Cost 43.76 (per unit)
Contribution 41.24 (per unit)
(b) BEP in Units: -
BEP =
=
= 25054.56
(c) BEP in Rs.: -
BEP = × 100
= × 100
= 2141450.78 Rs.
(d) P/V Ratio: -
P/V Ratio = × 100
= × 100
= 48.25%
(e) BEP in Percentage: -
(At Utilized Capacity)
BEP =
=
= 39.77%
Return On Investment
ROI = × 100
= × 100
= 13.70%
Profitability & Its Analysis
Sales 3213000
- Variable Cost 1654000
Contribution 1559000
- Fixed Cost 1033250
EBIT 525750
- Interest 306960
EBT 218790
- Tax ( 35%) 76577
EAT 142213
(1) Gross Profit Ratio: -
Gross Profit Ratio = × 100
= × 100
= 37.69%
(2) Net Profit Ratio: -
Net Profit Ratio = × 100
= × 100
= 6.81%
(3) Fixed Assets Turnover Ratio: -
FAT Ratio =
=
= 2.31%
Cost Of Capital
Average Cost of Capital: -
= × 100
= × 100
= 8%
Average Cost of Capital: -
=
=
= 8%
Cap
ital
Rate Interest
2161500 8% 172920
2161500 8% 172920
4323000 16% 345840
Risk Factors
1. Changes in Government policies for this
type of industries may affect the organization
positively or negatively accordingly, as profit may
increase or decrease due to Government’s
intervention.
2. There is always risk of competition from
existing & potential units. But to avoid this risk, cost
reduction through ideal utilization of resources, use
of good quality of raw material etc. will be helpful.
Names & Address of Raw
Material Supplier
(1) Vikasbhai patel
Vikas industries
SHAPER-2
(2) Samrat industry
Division-2
METODA.
(3) Metro rolling shutters pvt.ltd.
AJI G.I.D.C.
Rajkot.
Names & Address Of Machine
Supplier
(1) Micron Machineries Corporation
Junagadh.
(2) Compu Weigh
Rajkot.
(3) Kavery Enterprise
Rajkot.
(4) Suvidha Electronics
Gondal.
Particulars Of Raw Material
Consumed
Particulars Year – 1 Year – 2 Year – 3
Qty. (Rs.)
Amt. Qty. (Rs.)
Amt. Qty. (in kg)
Amt.
Opening Bal. - - 2000 80000 2000 88000
+ Purchase
Channel 42000 1680000 46667 2053348 53333 255998
4
Line 1800 54000 2100 69300 2400 86400
TOTAL 43800 1734000 48767 2122648 55733 264638
4
- Closing Stock
Channel 2000 80000 2000 88000 2000 96000
Raw Material
Consumed
Channel 40000 1600000 46667 2045348 53333 255198
4
Line 1800 54000 2100 69300 2400 86400
TOTAL 41800 1654000 48767 2114648 55733 263838
4
Particulars Of Finished Goods
Particulars Year – 1 Year – 2 Year – 3
Qty. Cost Qty. Cost Qty. Cost
Opening Bal. - - - - - -
+ Goods
Manu.
37800 307078
7
44100 368901
8
50400 44639
27
- Sales 37800 307078
7
44100 368901
8
50400 44639
27
Closing
stock
- - - - - -
Schedule For Fixed Assets
No
.
Particula
rs
Gross Block Depreciation Net
BlockOpenin
g
balance
.
Total Total
Accumulate
d
Durin
g The
year
Total
1 Land 42000
0
42000
0
- - - 42000
0
2 Building 24000
0
24000
0
- 2400
0
24000 21600
0
3 Plant & Machinery
18500
0
18500
0
- 4625
0
46250 13875
0
4 Compute
r
30000 30000 - 1200
0
12000 18000
5 Furnitur
e
15000
0
15000
0
- 2250
0
22500 12750
0
6 Delivery 20000 20000 - 3000 30000 17000
Van 0 0 0 0
7 Other Equipment
70000 70000 - 1050
0
10500 59500
TOTAL 12950
00
12950
00
- 1452
50
14525
0
11497
50
Disclosure Of Significant
Accounting Policies
Method of Accounting: -
Double Entry System
Method of Depreciation: -
Straight Line Method
Deferred Revenue Expenses: -
Preliminary Expenses are written off at 15% every
year.
Electrification & Installation charges are written off
at 20% every year.
Projected Trading A/C. Of
Shri Ltd. For 1st Year
Particulars Rs. Particulars Rs.
To Opening Stock - By Sales 3213000
To Purchase 1734000 By Closing
Stock
80000
To Repair &
Maintenance
24000
To Water Charges 24000
To Electricity 180000
To Wages to
Unskilled Worker
120000
To Gross Profit
(Transfer to P & L
A/c.)
1211000
3293000 3293000
Projected Profit & Loss a/c. Of Shri
Ltd. For 1st Year
Particulars Rs. Particulars Rs.
To Salary to By Gross
Profit
1211000
:Supervisor 72000
:Accountant 48000 (Trans. From Trading A/c.)
:Computer Operator cum Clerk
60000
:Salesman 108000
:Peon 24000
:Watchman 24000
To Pre. Exp. W/F 12000
To Ele. & Ins. Exp. W/F 18000
To Depreciation
Building 24000
P & M 46250
Computer 12000
Furniture 22500
Delivery Van 30000
Other Equip. 10500 145250
To Selling Exp. 60000
To Postage & Stationary 18000
To Tax paid 76577
To Legal Fees 36000
To Audit Fees 18000
To Mis. Exp. 18000
To Insurance 24000
To Net Profit 449173
(Trans. To P & L App.)
121100
0
1211000
Projected Profit & Loss
Appropriation A/C. Of Shri Ltd.
For 1st Year
Particulars Rs. Particulars Rs.
To interest on By Net Profit 449173
Capital (Trans. From P & L A/c.)
Mayank 153480
Vijay 153480 306960
To Net Divisible Profit
Mayank 71106.5
Vijay 71106.5 142213
449173 449173
Projected Balance Sheet Of Shri Ltd. For 1st Year
Capital Liability Rs. Property Asset Rs.
Land 420000
To Capital A/C Building
240000
Bansi1989606.5
- Dep.
24000
216000
Yash 1989606.5 3979213 P & M
185000
- Dep.
46250
138750
Computer
30000
- Dep.
12000
18000
Furniture
150000
- Dep.
22500
127500
Delivery van
200000
- Dep.
30000
170000
Other Equip.
70000
-Dep.
10500
59500
By Pre. Exp.
80000
- Dep.
12000
68000
By Ele. & Ins.
90000
- Dep.
18000
72000
By Closing Stock 80000
By Debtors 963900
By Bank balance 1151894
By Cash balance 493669
397921
3
3979213
Projected Cost Sheet Of Shri
Ltd. For 1st Year
Sr.
No.
Particulars Rs. Rs.
1 Direct Material Cost
Opening Stock
+ Purchase of Raw Material 1734000
- Closing Stock 80000
(A) Cost of Raw Material
Consumed
1654000
2 Other Direct Expenses
Dep. on Equipments, P & M etc. 115250 115250
(B) PRIME COST 1769250
3 Factory Overhead
Water Charges 24000
Electricity Charges 180000
Repair & Maintenance of Machines 24000
Insurance of Factory 24000
Electrification of Inst. Exp. 18000
Salary to Factory Supervisor 72000
Preliminary Expenses 12000
Salary to Watchman 24000
Wages to Unskilled Worker 120000 498000
(C) FACTORY COST 2267250
4 Office & Administrative Overhead
Salary to Accountant 48000
Salary to Computer Operator 60000
Salary to Peon 24000
Postage & Stationary 18000
Legal Fees 36000
Audit Fees 18000
Interest on Capital 306960
Miscellaneous Expenses 18000 528960
(D) COST OF PRODUCTION OF
GOODS MANUFACTURED
2796210
5 Selling & Distribution Overhead
Selling Expenses 60000
Taxes paid 76577
Salary to Salesman 108000
Dep. on Delivery Van 30000 274577
TOTAL COST 3070787
PROFIT 142213
SALES 3213000
Projected Trading A/C. Of Shri
Ltd. For 2nd Year
Particulars Rs. Particulars Rs.
To Opening Stock 80000 By Sales 3969000
To Purchase 2122648 By Closing Stock 88000
To Repair & Maintenance
26400
To Wages to Unskilled Labour
132000
To Water Charges 26400
To Electricity 198000
To Gross Profit 1471552
(Trans. to P & L
A/c.)
4057000 4057000
Projected Profit & Loss A/C. Of Shri Ltd. For 2nd Year .
Particulars Rs. Particular
s
Rs.
To Salary to Supervisor 79200 By Gross
Profit
1471552
Watchman 26400 (Trans. From Trading A/c.)
Accountant 52800
Computer Operator cum Clerk
66000
Salesman 118800
Peon 26400
To Depreciation
Building 24000
P & M
46250
Computer 12000
Furniture 22500
Delivery Van 30000
Other Equip. 10500 145250
To Pre. Exp. W/F 12000
To Ele. & Ins. Charges
W/F
18000
To Taxes paid 150760
To Selling Expenses 66000
To Postage & Stationary 19800
To Audit Fees 19800
To Mis. Exp. 19800
To Insurance 24000
To Legal Fees 39600
To Net Profit 586942
(Trans. To P & L App.)
147155
2
1471552
Projected Profit & Loss
Appropriation A/C. Of Shri Ltd.
For 2nd Year
Particulars Rs. Particular
s
Rs.
To interest on By Net Profit 586942
Capital (Trans. From P & L
A/c.)
Bansi 153480
Yash 153480 306960
To Net Divisible Profit
Bansi 139991
Yash 139991 279982
58694
2
586942
Projected Balance Sheet Of Shri
Ltd. For 2nd Year.Capital Liability Rs. Property Asset Rs.
Land 420000
To Capital A/C Building
216000
Bansi2129597.5
- Dep.
24000
192000
Yash
2129597.5
4259195 P & M
138750
- Dep.
46250
92500
Computer
18000
- Dep.
12000
6000
Furniture
127500
- Dep.
22500
105000
Delivery van
170000
- Dep.
30000
140000
Other Eqip.
59500
- Dep.
10500
49000
By Pre. Exp.
68000
- Dep.
12000
56000
By Ele. & Ins.
72000
- Dep.
18000
54000
By Closing Stock 88000
By Debtors 1190700
By Bank balance 1306196
By Cash balance 559799
4259195 4259195
Projected Cost Sheet Of Shri
Ltd. For 2nd Year
Particulars Rs. Rs.
1 Direct Material Cost
Opening Stock 80000
+ Purchase of Raw Material 2122648
- Closing Stock 88000 2114648
(A) Cost of Raw Material
Consumed
2114648
2 Other Direct Expenses
Dep. on Equipments, P & M etc. 115250 115250
(B) PRIME COST 2229898
3 Factory Overhead
Water Charges 26400
Electricity Charges 198000
Repair & Maintenance of Machines 26400
Insurance of Factory 24000
Electrification of Inst. Exp. 18000
Salary to Factory Supervisor 79200
Preliminary Expenses 12000
Salary to Watchman 26400
Wages to Unskilled Worker 132000 542400
(C) FACTORY COST 2772298
4 Office & Administrative Overhead
Salary to Accountant 52800
Salary to Computer Operator 66000
Salary to Peon 26400
Postage & Stationary 19800
Legal Fees 39600
Interest on Capital 306960
Audit Fees 19800
Miscellaneous Expenses 19800 551160
(D) COST OF PRODUCTION OF
GOODS MANUFACTURED
3323458
5 Selling & Distribution Overhead
Selling Expenses 66000
Tax paid 150760
Salary to Salesman 118800
Dep. on Delivery Van 30000 365560
TOTAL COST 3689018
PROFIT 279982
SALES 3969000
Projected Trading A/C. Of Shri
Ltd. For 3rd Year
Particulars Rs. Particulars Rs.
To Opening Stock 88000 By Sales 5040000
To Purchase 2646384 By Closing Stock 96000
To Repair & Maintenance
29040
To Wages to Unskilled Labour
145200
To water charges 29040
To Electricity 217800
To Gross Profit 1980536
(Trans. to P & L
A/c.)
5136000 5136000
Projected Profit & Loss A/C. Of Shri Ltd. For 3rd Year
Particulars Rs. Particular
s
Rs.
To Salary to Supervisor 87120 By Gross
Profit
1980536
Watchman 29040 (Trans. From Trading A/c.)
Accountant 58080
Computer Operator cum Clerk
72600
Salesman 130680
Peon 29040
To Depreciation
Building 24000
P & M
46250
Computer 12000
Furniture 22500
Delivery Van 30000
Other Equip. 10500 145250
To Pre. Exp. W/F 12000
To Ele. & Ins. Charges
W/F
18000
To Selling Expenses 72600
To Tax paid 310193
To Postage & Stationary 21780
To Audit Fees 21780
To Mis. Exp. 21780
To Insurance 24000
To Legal Fees 43560
To Net Profit 883033
(Trans. To P & L App.)
198053
6
1980536
Projected Profit & Loss
Appropriation A/C. Of Shri Ltd.
For 3rd Year
Particulars Rs. Particular
s
Rs.
To interest on By Net Profit 883033
Capital (Trans. From P & L A/c.)
Bansi 153480Yash 153480 306960
To Net Divisible Profit
Bansi288036.5
Yash
288036.5
576073
883033 883033
Projected Balance Sheet Of Shri
Ltd. For 3rd Year
Capital
Liability
Rs. Property Asset Rs.
Land 420000
To Capital A/C Building
192000
Bansi2417634
- Dep.
24000
168000
Yash
2417634
4835268 P & M
92500
- Dep.
46250
46250
Computer
6000
- Dep.
6000
-
Furniture
105000
- Dep.
22500
82500
Delivery van
140000
- Dep.
30000
110000
Other Equip.
49000
- Dep. 38500
10500
By Pre. Exp.
56000
- Dep.
12000
44000
By Ele. & Ins.
54000
- Dep.
18000
36000
By Closing Stock 96000
By Debtors 1512000
By Bank balance 1597413
By Cash balance 684605
4835268 4835268
Projected Cost Sheet Of Shri Ltd.
For 3rd Year
Particulars Rs. Rs.
1 Direct Material Cost
Opening Stock 88000
+ Purchase of Raw Material 2646384
- Closing Stock 96000 2638384
(A) Cost of Raw Material
Consumed
2638384
2 Other Direct Expenses
Dep. on Equipments, P & M etc. 115250 115250
(B) PRIME COST 2753634
3 Factory Overhead
Water Charges 29040
Electricity Charges 217800
Repair & Maintenance of Machines 29040
Insurance of Factory 24000
Electrification of Inst. Exp. 18000
Salary to Factory Supervisor 87120
Preliminary Expenses 12000
Salary to Watchman 29040
Wages to Unskilled Worker 145200 591240
(C) FACTORY COST 3344874
4 Office & Administrative Overhead
Salary to Accountant 58080
Salary to Computer Operator 72600
Salary to Peon 29040
Postage & Stationary 21780
Legal Fees 43560
Interest on Capital 306960
Audit Fees 21780
Miscellaneous Expenses 21780 575580
(D) COST OF PRODUCTION OF
GOODS MANUFACTURED
3920454
5 Selling & Distribution Overhead
Selling Expenses 72600
Tax paid 310193
Salary to Salesman 130680
Dep. on Delivery Van 30000 543473
TOTAL COST 4463927
PROFIT 576073
SALES 5040000
Capital A/C
Particular
s
Bansi Yash Particulars Bansi Yash
By Balance
b/d
1918500 1918500
To Balance
c/d
1989606
.5
1989606.
5
By Net Profit 71106.5 71106.5
1989606
.5
1989606.
5
1989606.
5
1989606.
5
Particular
s
Bansi Yash Particular
s
Bansi Yash
By Balance
b/d
1989606
.5
1989606
.5
To Balance
c/d
2129597
.5
2129597
.5
By Net
Profit
139991 139991
2129597
.5
2129597
.5
2129597
.5
2129597
.5
Capital A/C for 2nd year
Capital A/C For 3rd Year
Particular
s
Bans
i
Yash Particular
s
Bansi Yash
By Balance
b/d
2129597
.5
2129597
.5
By Net Profit 288036.
5
288036.
5
To Balance
c/d
24176
34
24176
34
24176
34
24176
34
2417634 2417634