DETAILED PROJECT REPORT ON

MANUFACTURING OF HANDLOOM
PRODUCTS ON NATURAL DYED COTTON
& ERI SILK YARN

BY

MRS. RANJITA BASUMATARY

CHIRANG, BTR, ASSAM
PH – 9435312182

FINANCIAL ASSISTANCE FROM

THE KHADI AND VILLAGE INDUSTRIES COMMISSION (KVIC)

PREPARED BY:
S. M. AGARWALA & CO.
(CHARTERED ACCOUNTANTS)
NEHRU ROAD, PO & DIST – BONGAIGAON
ASSAM – 783380
PH – 9678593153
RANJITA BASUMATARY

ABOUT THE INDUSTRY

1. INTRODUCTION:

Dyeing is an ancient art, which predates written records. It was practiced

during the Bronze age in Europe. Natural dyeing is important and popular
amongst natural loving and health awarded people. Customers are more
aware of environmental issues are now demanding natural products &
naturally sourced and also having medicinal values. Natural dyes can offer
not only a rich and varied source of dyes, but also the possibility of an
income through sustainable harvest of the dye plants. They also have a far
superior aesthetic quality, which is much more pleasing to the eye. Many
companies have developed to market the natural dye products to replace
the synthetic dye that is harmful to workers during handle of the work
progress and for human skin to avoid from irritation and sensitive. The
target market is divided into the domestic market and international market.
The competitive position is very strong since our region has no competitors,
thus need us to compare with the competitors from outside country. We
have the strength and advantages to compete with those competitors. The
objectives and mission of our business are to expand the market into the
local and international market, to maximize the profit and sustain the
financial growth, to reduce the risks and uncertainties and to achieve the
customer demand. The mission of our business is to manufacture the
products like Handloom Sarees, Stoles, Aronai, kids’ product, apparels for
both men and women . This products have variety types of colors in plain
cotton yarn and eri silk yarn that can be compete to the other competitors
and to take full advantage of ever-increasing market trend of natural dye
products. Also, our business ensures keeping all stages of production in the
local area, so that a diversity of jobs are created, which supports a
functioning local economy.

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RANJITA BASUMATARY

BENEFITS OF NATURAL DYE:

The benefits of re-kindling natural dyeing processes are clear. Using natural dyes
provide an important alternative to the highly polluting synthetic dyeing industry
responsible for the degradation of waterways and negative health impacts.
Natural dyes reacquaint us with a high-quality sensory experience, reconnecting us
with the land, its seasons and its processes.
Natural dyes have potential for rebuilding soil health and supporting local
communities.
Natural dyes are an exciting part of the regenerating textile movement.
The whole process of growing, processing and using natural dyes to color textiles
can support sustainable rural industries.

ABOUT THE PROPRIETOR

2
RANJITA BASUMATARY

Mrs. Ranjita Basumatary is a 40 year old energetic, qualified and experienced

entrepreneur and have a successful track record in setting and running
diversified businesses.

 Qualification : B.Sc.(Bio-Chemistry) and B.Design(Nift, New Delhi).

 Work Experience : Having work experience with various Export House and
Buying House including JALAJ EXPORTS(Jaipur), SHEEN BUYING
HOUSE(Noida), AAGOR(Chirang), BRAWFED(Kokrajhar) and ANJALI
SAKHATI(Kokrajhar). With a diversified profile including Head Designer ,
Manufaturer and Master Trainer.

 Business Setups in BONGAIGAON AND CHIRANG:-

Sl. No. Business Name Year of Estd. Current

Status
01. M/s AAKAR 2012 OPERATIONAL
& Profit
Proprietor
Making

Manufacturer of Handloom
Products
02. AAGOR 2010 WORKING
till date
Freelance Designer
03. ANJALI SAKHATI 2023 WORKING
till date
Master Trainer

Mrs. Ranjita Basumatary is an entrepreneur and having vast experience in

handling business of different magnitudes. She is handling the above mentioned
business smoothly. M/s AAKAR business is functioning very smoothly and is also
generating huge profits. She is an alumina of NIFT (National Institute of Fashion
Technology, New Delhi) who is looking after the garment business for more than
10 years and have a huge experience in the line of manufacturing handloom
garments. Her experience would be able to influence the consumers and dealers
in the local market. she also possesses a sound Net Worth and has sufficient
reserves (own & family) to meet any contingency.

3
RANJITA BASUMATARY

Recently, Ranjita has Conducted a 15 days training on Natural dye for yarn and
fabrics along with Mrs. Namita Abang ( renowned Natural dyer and exporter of
Assam). This was a NABARAD aided LEDP program, the whole idea is to generate
skilled craftsmen to handle the market demand and to continue the production
smoothly. Ranjita is also directly working with various Govt. dept. like Handloom
and Textile, sericulture to promote the Natural dye.

1. BUSINESS LOCATION DETAILS

The Proposed Business is at plot of land measuring 4B-2K-17L (Four Bigha Two
Katha Seventeen Lecha) which is situated at Dakhin Amguri, under sidli revenue
circle, P.O., P.s.,- Amguri,Dist – chirang, Assam. Covered by Dag No. 138, which
is bounded by –

East-Plot of Barmalal Basumatary West-Hatipota Jwngma Club

South- Rasta North – Plot of Barmala Basumatary

The land is taken in lease for a tenure of 15 years from Mr. SANJIB BASUMATARY.
The most important specialty of the area is the availability of additional land for
future expansion and an ideal place for Natural Dye and Weaving. The place has
proper electricity supply & water supply. Thus the site or place is best suited for
Natural dye and weaving and related business set ups.

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RANJITA BASUMATARY

SWOT ANALYSIS

Strength: Weaknesses:

 Eco-friendly.  Complex manufacturing

 Sustainable mode of business. processes.

 Suitable environment for  Time consuming as all

natural dye and weaving. processes are manual.

 Ample availability of water  Uncertainty in attaining

and electricity. desired colors.

 Availability of low cost skilled

man power.

Opportunities: Threats:

 Huge domestic and  Dependency of raw

international demand. materials seasonally.

 Government Subsidies  Production is slowed

available for the project. during monsoon.

 Government Support

5
 PROJECT AT GLANCE

1) NAME OF THE FIRM : M/S RANJITA BASUMATARY

2) CONSTITUTION : PROPRIETORSHIP

3) NAME OF PROMOTER : MRS. RANJITA BASUMATARY

4) PROPOSED PROJECT : MANUFACTURING OF HANDLOOM PRODUCTS ON NATURAL DYED COTTON & ERI SILK YARN.

5) LOCATION OF UNIT : DAKHIN AMGURI, UNDER SIDLI REVENUE CIRCLE, DIST CHIRANG, BTR, ASSAM - 7833

6) MANPOWER : 30 PERSONS

(Rs. In Lacs)
7) PROJECT COST : TOTAL 25.00

8) MEANS OF FINANCE : PROPRIETOR'S CAPITAL 1.25

(INCL. UNSEURED LOANS FROM FRIENDS & RELATIVES)

KVIC FINANCIAL ASSISTANCE / SUBSIDY 8.75

WORKING CAPITAL LOAN FROM BANKS 1.00

TERM LOAN FROM BANKS 14.00

9) WORKING CAPITAL FINANCE : Nil

10) PAY BACK PERIOD : 1st year

11) AVERAGE DSCR : 21.06

12) INTERNAL RATE OF RETURN : 271.00%

13) MINIMUM CURRENT RATIO : 5.25

 ANNEXURE -I

CAPITAL COST OF THE PROJECT

(Rs. in Lacs)
Amount

1 Building Construction & Civil Works, Land Development 3.96

2 Plant & Machineries 16.45

3 Furniture & Fixtures 0.25

4 Electrification 0.75

5 Preliminary & Pre-Operative Expenses 1.30

6 Margin Money 2.29

25.00

MEANS OF FINANCES
(Rs. In Lacs)
1. Promoters Contribution:
a)Promoter's Capital 1.25
(Incl. Unsecured Loans from Friends & Relatives)

2. KVIC Financial Assistance 8.75

3. Working Capital 1.00

4. Term Loan assistance 14.00

25.00
 A N N E X U R E - II
PROJECTIONS OF PERFORMANCE & PROFITABILITY ETC.
( Rs. in Lacs )
PROJECTED PROJECTED PROJECTED PROJECTED PROJECTED
YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5
A. SALES:
Total Sales / Receipts 127.24 178.94 244.91 272.99 303.68
Other Income 0.12 0.13 0.15 0.16 0.18
Gross Receipts 127.36 179.07 245.06 273.15 303.86

B. PURCHASES
Total Cost of Purchases of Raw Materials
(Sarees, Stall, Raw Fabric, Dokhona, Aaronai, etc.) 64.89 75.08 90.13 100.51 111.82
Total Purchases 64.89 75.08 90.13 100.51 111.82

Add: Op. Stock / Work in Progress 0.00 15.32 27.51 29.76 32.93
64.89 90.40 117.64 130.27 144.75
Less: Cl. Stock / Work in Progress 15.32 27.51 29.76 32.93 36.60
C. COST OF GOODS SOLD: 49.57 62.89 87.88 97.34 108.15

D. GROSS PROFIT (A-D) 77.79 116.19 157.17 175.81 195.71

E. INDIRECT INCOME:
Capital Subsudy 8.75 0.00 0.00 0.00 0.00

F. INTEREST ON:
Term Loan 1.03 0.84 0.62 0.39 0.14
Working Capital 0.10 0.10 0.10 0.10 0.10
1.13 0.94 0.72 0.49 0.24

G. ADMINISTRATIVE, SELLING & DISTRIBUTION EXPENSES:

Packing Material 0.12 0.13 0.15 0.16 0.18
Insurance Expenses 0.25 0.28 0.30 0.33 0.37
Depreciation on P&M 2.96 2.54 2.18 1.88 1.61
Misc Expenses 0.48 0.53 0.58 0.64 0.70
Repair & Maintenance Expenses 1.44 1.58 1.74 1.92 2.11
Transportation Expenses 0.50 0.55 0.61 0.67 0.74
Electricity, Power & Utility Expenses 1.20 1.44 1.73 2.07 2.49
Staff Salary / Manpower Expenses 24.78 27.26 29.99 32.99 36.29
31.73 34.31 37.28 40.66 44.48
 PROJECTIONS OF PERFORMANCE & PROFITABILITY ETC. Contd.
( Rs. in Lacs )
PROJECTED PROJECTED PROJECTED PROJECTED PROJECTED
YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5

H. PROFIT BEFORE TAXATION (D -(E+F)) 53.67 80.94 119.17 134.66 150.98

I. PROVISION FOR TAXES (EXEMPT) 0.00 0.00 0.00 0.00 0.00

J. NET PROFIT AFTER TAX (G-H) 53.67 80.94 119.17 134.66 150.98

K. DEPRECIATION ADDED BACK 2.96 2.54 2.18 1.88 1.61

L. INTEREST ON TERM LOAN 1.03 0.84 0.62 0.39 0.14

M. DRAWINGS 10.00 20.00 40.00 60.00 65.00

N. NET CASH ACCRUAL 46.64 63.48 81.35 76.54 87.59

O. RESERVES & SURPLUS CUMULATIVE 43.67 104.61 183.78 258.44 344.41

P. NET PROFIT RATIO (% of SALES (A)) 42.14 45.20 48.63 49.30 49.69
 A N N E X U R E - III
( Rs. in Lacs )
PROJECTED BALANCE SHEETS
LIABILITIES YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5
1. Proprietors's Capital
Opening Capital 0.00 44.92 105.86 185.03 259.69
Add: Introduction 1.25 0.00 0.00 0.00 0.00
Add: Net Profit after Tax 53.67 80.94 119.17 134.66 150.98
Less: Drawings 10.00 20.00 40.00 60.00 65.00
Closing Balance 44.92 105.86 185.03 259.69 345.66

2. Term Loan 11.63 9.06 6.28 3.26 0.00

3. Working Capital Loan 1.00 1.00 1.00 1.00 1.00

4. Sundry Creditors for Goods & Expenses 3.50 3.00 2.50 2.00 1.50

5. Other Current liabilities 0.12 0.17 0.22 0.27 0.32

.
Total : 61.17 119.09 195.02 266.22 348.48

ASSETS YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5

1. Fixed Assets (WDV) 18.44 15.90 13.72 11.84 10.23

2. Stock of Goods 15.32 27.51 29.76 32.93 36.60

3. Sundry Debtors 12.00 37.00 87.00 117.00 157.00

4. Other Current Assets / Loans & Advances 7.50 17.50 32.50 52.50 72.50

5. Non Current Assets / Investments 5.00 15.00 30.00 50.00 70.00

6. Cash & Bank Balance 2.91 6.18 2.05 1.95 2.16

Total : 61.17 119.09 195.02 266.22 348.48

 ANNEXURE - IV

Statement showing Schedule of repayment of Term Loan & Interest Thereon

(Rs. In Lacs )
Year Opening Balance Interest Principal Repayment Total Repayment Closing Balance

YEAR 1 14.00 1.03 2.37 3.41 11.63

YEAR 2 11.63 0.84 2.57 3.41 9.06

YEAR 3 9.06 0.62 2.78 3.41 6.28

YEAR 4 6.28 0.39 3.01 3.41 3.26

YEAR 5 3.26 0.14 3.26 3.41 0.00

 ANNEXURE - V

INTERNAL RATE OF RETURN

(Rs. in'Lacs )
Year CONSTRUCTION YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5

CASH INFLOW

Profit After Tax 0.00 53.67 80.94 119.17 134.66 150.98

Depreciation 0.00 2.96 2.54 2.18 1.88 1.61
Interest on Term Loan 0.00 1.03 0.84 0.62 0.39 0.14
TOTAL CASH INFLOW 0.00 57.67 84.32 121.97 136.93 152.73

CASH OUTFLOWS

TOTAL Investment 25.00 0.00 0.00 0.00 0.00 0.00

TOTAL CASH OUTFLOW 25.00 0.00 0.00 0.00 0.00 0.00

NET CASH FLOW -25.00 57.67 84.32 121.97 136.93 152.73

Discounting Factor 1 0.270 0.073 0.020 0.0053 0.001

Present Value -25.00 15.54 6.13 2.39 0.72 0.22

Net Present Value (Rs.) 0.00

The Internal Rate of Return is 271.00%

 ANNEXURE - VI

DEBT SERVICE COVERAGE RATIO

(Rs. in Lacs)
Year YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5

Profit After Tax & Drawings 43.67 60.94 79.17 74.66 85.98
Depreciation & W / off's 2.96 2.54 2.18 1.88 1.61
Interest on Term Loan 1.03 0.84 0.62 0.39 0.14

TOTAL :A 47.67 64.32 81.97 76.93 87.73

Loan Repayment 2.37 2.57 2.78 3.01 3.26

Interest on Loan 1.03 0.84 0.62 0.39 0.14

TOTAL :B 3.41 3.41 3.41 3.41 3.41

DSCR A/B 13.99 18.88 24.06 22.58 25.76

MINIMUM DSCR 13.99

MAXIMUM DSCR 25.76
AVERAGE DSCR 21.06
 ANNEXURE - VII

STATEMENT SHOWING CALCULATION OF PAYBACK PERIOD

( Rs. In Lacs )
Year Cash Profit (Incl. Cumulative Difference Total Cost
Interest on Loan) Cash Profit

2019-20 47.67 47.67 -22.67 25.00

2020-21 64.32 111.99 -86.99

2021-22 81.97 193.96 -168.96

Pay Back is in the 1st year

 ANNEXURE- VIII
DEBT EQUITY RATIO

PARTICULARS YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5

Term Loan 11.63 9.06 6.28 3.26 0.00

Working Capital Loan 1.00 1.00 1.00 1.00 1.00

TOTAL DEBT 12.63 10.06 7.28 4.26 1.00

Proprietor's Capital 44.92 105.86 185.03 259.69 345.66

TOTAL EQUITY 44.92 105.86 185.03 259.69 345.66

DEBT/EQUITY RATIO 0.28 0.10 0.04 0.02 0.00

(TOTAL DEBT / TOTAL EQUITY)

DEBT/EQUITY RATIO 0.26 0.09 0.03 0.01 0.00

(LONG TERM DEBT / TOTAL EQUITY)
 ANNEXURE- IX
CURRENT RATIO

PARTICULARS YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5

Stock of Goods/Work in Progress 15.32 27.51 29.76 32.93 36.60

Sundry Debtors 12.00 37.00 87.00 117.00 157.00

Other Current Assets / Loans & Advances 7.50 17.50 32.50 52.50 72.50

Cash & Bank Balance 2.91 6.18 2.05 1.95 2.16

TOTAL CURRENT ASSETS 37.73 88.19 151.31 204.38 268.26

Working Capital Loan 1.00 1.00 1.00 1.00 1.00

Sundry Creditors for Goods & Expenses 3.50 3.00 2.50 2.00 1.50

Other Current liabilities 0.12 0.17 0.22 0.27 0.32

Installments of Term Loan 2.57 2.78 3.01 3.26 0.00

TOTAL CURRENT LIABILITIES 7.19 6.95 6.73 6.53 2.82

CURRENT RATIO 5.25 12.68 22.47 31.28 95.13

 APPENDIX-1

BUILDING CONSTRUCTION & CIVIL WORKS, LAND DEVELOPMENT

Units (sq ft) Rate / Sq ft. Amount (Rs.)
Civil Construction
1 CONSTRUCTION OF WORKING SHED @ Rs. 200/SQ FT. 1,920 180.00 3,45,600.00

Land Site Development & Fencing

1 COST OF LAND DEVELOPMENT 25,000.00
2 COST OF FENCING 25,000.00
TOTAL BUILDING & CIVIL WORKS, LAND DEVELOPMENT 3,95,600.00

PLANTS & MACHINERIES

Qnty Rate Amount (Rs.)

1 LOOM FOR WEAVING 20 25,000.00 5,00,000.00

2 SEMI-AUTOMATIC LOOM 2 1,75,000.00 3,50,000.00
3 CALENDERING MACHINE 2 2,80,000.00 5,60,000.00
4 WARPING DRUM (3 METER) 1 35,000.00 35,000.00
5 UTENSILS FOR NATURAL DYEING 1,00,000.00
6 MISC PLANTS & MACHINERIES (Bobbin, Jatar, Sereki, Shafts, Shuttle, Reed, Heddle, etc.) 1,00,000.00

TOTAL PLANTS & MACHINERIES 16,45,000.00

FURNITURE & FIXTURES Amount (Rs.)

1 OFFICE FURNITURE, FIXTURES & EQUIPMENT 25,000.00

TOTAL FURNITURE & FIXTURES 25,000.00

ELECTRIFICATION
Qnty/ Set Rate Amount (Rs.)
1 ELECTRIFICATION & INSTALLATION 75,000.00

TOTAL ELECTRIFICATION 75,000.00

 APPENDIX- 2

DETAILS OF PRELIMINARY & PREOPERATIVE EXPENSES

(Amount in Rs.)
PRELIMINARY & PRE-OPERATIVE EXPENSES

Travelling Expenses 10,000.00

Professional Fees 20,000.00
E-Commerce Website 50,000.00
Visual Branding 50,000.00

TOTAL 1,30,000.00
 APPENDIX - 3
PRODUCTION CAPACITY AND SALES ESTIMATES

TOTAL PRODUCTION OF HANDLOOM PRODUCTS AT 100% CAPACITY UTILIZATION PER DAY PER LOOM Units
Cotton Products made from Cotton Yarn (Sarees, Stall, Raw Fabric, etc.) (Units in mtrs) 2
Silk Products made from Eri Silk Yarn (Sarees, Stall, Raw Fabric, Dokhona, Aaronai, etc.) (Units in mtrs) 2
Running Fabric made from Various Yarns in Semi-Automatic Loom (Units in mtrs) 15
Total Production per day per Loom (In mtrs) 19

No. of Looms alloted for Cotton Products (Units in Nos) 10

No. of Looms alloted for Eri Silk Products (Units in Nos) 10
No. of Semi-Automatic Loom alloted for Eri Silk Products (Units in Nos) 1
No. of Semi-Automatic Loom alloted for Cotton Products (Units in Nos) 1
Total No of Looms 22

No. of Working Days in a Month 25 Days

Total Production of Cotton Products in Manual Loom per annum (Units in mtrs) 6,000
Total Production of Eri Silk Products in Manual Loom per annum (Units in mtrs) 6,000
Total Production of Cotton Running Fabric in Semi-Automatic Loom per annum (Units in mtrs) 4,500
Total Production of Eri Silk Running Fabric in Semi-Automatic Loom per annum (Units in mtrs) 4,500

Average Sales price of Cotton Products per Mtr (in Rs.) 750
Average Sales price of Eri-Silk Products per Mtr (in Rs.) 2,500
Average Sales price of Cotton Running Fabric per Mtr (in Rs.) 450
Average Sales price of Eri-Silk Running Fabric per Mtr (in Rs.) 1,500

PRODUCTION, SALES & CLOSING STOCK CALCULATIONS 1ST YEAR 2ND YEAR 3RD YEAR 4TH YEAR 5TH YEAR

Capacity utilization 60% 70% 80% 85% 90%

Production at capacity utilisation (in mtrs)

Cotton Products made from Cotton Yarn 3,600 4,200 4,800 5,100 5,400
Silk Products made from Eri Silk Yarn 3,600 4,200 4,800 5,100 5,400
Cotton Running Fabric 2,700 3,150 3,600 3,825 4,050
Silk Running Fabric 2,700 3,150 3,600 3,825 4,050

Sales Quantity at capacity utilisation (in mtrs)

Cotton Products made from Cotton Yarn 2,700 3,825 4,556 4,964 5,291
Silk Products made from Eri Silk Yarn 2,700 3,825 4,556 4,964 5,291
Cotton Running Fabric 2,025 2,363 3,797 3,818 3,992
Silk Running Fabric 2,025 2,363 3,797 3,818 3,992

Closing Stock Quantity at capacity utilisation (in mtrs)

Cotton Products made from Cotton Yarn 900 1,275 1,519 1,655 1,764
Silk Products made from Eri Silk Yarn 900 1,275 1,519 1,655 1,764
Cotton Running Fabric 675 1,462 1,265 1,272 1,330
Silk Running Fabric 675 1,462 1,265 1,272 1,330
 APPENDIX - 4
SALES & COST REALISATION CALCULATIONS BASED ON PRODUCTION ESTIMATES

PRODUCTION & SALES REALISATION CALCULATIONS 1ST YEAR 2ND YEAR 3RD YEAR 4TH YEAR 5TH YEAR

Capacity utilization 60% 70% 80% 85% 90%

Average Sales Price per mtr (in Rs.)

Cotton Products made from Cotton Yarn 750 788 827 868 911
Silk Products made from Eri Silk Yarn 2,500 2,625 2,756 2,894 3,039
Cotton Running Fabric 450 473 497 522 548
Silk Running Fabric 1,500 1,575 1,654 1,737 1,824

Total Sales Turnover p.a. at production Capacity (in Rs.) 1,27,23,750 1,78,94,149 2,44,91,495 2,72,99,430 3,03,68,474
Total Sales Turnover p.a. at production Capacity (Rs. In Lakhs) 127.24 178.94 244.91 272.99 303.68

Average Cost of Raw Material (Yarn) per mtr (in Rs.)

Cotton Products made from Cotton Yarn 95 100 105 110 116
Silk Products made from Eri Silk Yarn 565 593 623 654 687
Cotton Running Fabric 80 84 88 92 97
Silk Running Fabric 480 504 529 555 583

Average Cost of Raw Material (Natural Dye) per mtr (in Rs.)
Cotton Products made from Cotton Yarn 165 173 182 191 201
Silk Products made from Eri Silk Yarn 210 221 232 244 256
Cotton Running Fabric 145 152 160 168 176
Silk Running Fabric 185 194 204 214 225

Total cost of production (in Rs.) 61,29,000 75,07,500 90,13,200 1,00,50,825 1,11,82,050
Total cost of production (Rs. In Lakhs) 61.29 75.08 90.13 100.51 111.82

Value of Closing Stock (in Rs.)

Total Value of Closing Stock (in Rs.) 15,32,250 27,51,433 29,75,663 32,93,233 36,60,370
Total Value of Closing Stock (Rs. In Lakhs) 15.32 27.51 29.76 32.93 36.60
 APPENDIX - 5
SCHEDULE OF DEPRECIATION UNDER THE INCOME TAX ACT
(Rs.in Lacs)
10.00% 15.00% 10.00% 10.00%
PLANT & ELECTRIFICATION FURNITURE &
BUILDINGS MACH. FITTINGS TOTAL

1ST YEAR
OP WDV 0.00 0.00 0.00 0.00 0.00
Add: ADDITION 3.96 16.45 0.75 0.25 21.41
LESS: DELETION 0.00 0.00 0.00 0.00 0.00
3.96 16.45 0.75 0.25 21.41
LESS:DEPN. 0.40 2.47 0.08 0.03 2.96
CL. WDV 3.56 13.98 0.68 0.23 18.44

2ND YEAR
OP WDV 3.56 13.98 0.68 0.23 18.44
LESS:DEPN. 0.36 2.10 0.07 0.02 2.54
CL. WDV 3.20 11.89 0.61 0.20 15.90

3RD YEAR
OP WDV 3.20 11.89 0.61 0.20 15.90
LESS:DEPN. 0.32 1.78 0.06 0.02 2.18
CL. WDV 2.88 10.10 0.55 0.18 13.72

4TH YEAR
OP WDV 2.88 10.10 0.55 0.18 13.72
LESS:DEPN. 0.29 1.52 0.05 0.02 1.88
CL. WDV 2.60 8.59 0.49 0.16 11.84

5TH YEAR
OP WDV 2.60 8.59 0.49 0.16 11.84
LESS:DEPN. 0.26 1.29 0.05 0.02 1.61
CL. WDV 2.34 7.30 0.44 0.15 10.23
 APPENDIX - 6

CALCULATION OF MANPOWER REQUIREMENT & COST THEREOF

(Rs.in Lacs)
Category Salary No of Persons Total Salary
per person Reqd. per annum
per month

MANAGER / SUPERVISOR:
Manager 0.12 1 1.44
Supervisor 0.1 1 1.20
Dyers 0.09 3 3.24

SKILLED & UNSKILLED LABOUR:

Semi-Skilled Labours 0.075 5 4.50
Unskilled Labours 0.06 20 14.40
30 24.78
 APPENDIX - 7

STATEMENT SHOWING CALCULATION OF INTEREST & REPAYMENT SCHEDULE (TERM LOAN)

( Rs. in Lacs )
Financial Interest @ Principal
Year Months Principal 8.00% Repayment Total Repayment Balance
YEAR 1 April 14.00 0.09 0.19 0.28 13.81
May 13.81 0.09 0.19 0.28 13.62
June 13.62 0.09 0.19 0.28 13.42
July 13.42 0.09 0.19 0.28 13.23
August 13.23 0.09 0.20 0.28 13.03
September 13.03 0.09 0.20 0.28 12.84
October 12.84 0.09 0.20 0.28 12.64
November 12.64 0.08 0.20 0.28 12.44
December 12.44 0.08 0.20 0.28 12.24
January 12.24 0.08 0.20 0.28 12.04
February 12.04 0.08 0.20 0.28 11.83
March 11.83 0.08 0.20 0.28 11.63
YEAR 2 April 11.63 0.08 0.21 0.28 11.42
May 11.42 0.08 0.21 0.28 11.21
June 11.21 0.07 0.21 0.28 11.00
July 11.00 0.07 0.21 0.28 10.79
August 10.79 0.07 0.21 0.28 10.58
September 10.58 0.07 0.21 0.28 10.37
October 10.37 0.07 0.21 0.28 10.15
November 10.15 0.07 0.22 0.28 9.94
December 9.94 0.07 0.22 0.28 9.72
January 9.72 0.06 0.22 0.28 9.50
February 9.50 0.06 0.22 0.28 9.28
March 9.28 0.06 0.22 0.28 9.06
YEAR 3 April 9.06 0.06 0.22 0.28 8.84
May 8.84 0.06 0.22 0.28 8.61
June 8.61 0.06 0.23 0.28 8.38
July 8.38 0.06 0.23 0.28 8.16
August 8.16 0.05 0.23 0.28 7.93
September 7.93 0.05 0.23 0.28 7.70
October 7.70 0.05 0.23 0.28 7.46
November 7.46 0.05 0.23 0.28 7.23
December 7.23 0.05 0.24 0.28 6.99
January 6.99 0.05 0.24 0.28 6.76
February 6.76 0.05 0.24 0.28 6.52
March 6.52 0.04 0.24 0.28 6.28
YEAR 4 April 6.28 0.04 0.24 0.28 6.03
May 6.03 0.04 0.24 0.28 5.79
June 5.79 0.04 0.25 0.28 5.55
July 5.55 0.04 0.25 0.28 5.30
August 5.30 0.04 0.25 0.28 5.05
September 5.05 0.03 0.25 0.28 4.80
October 4.80 0.03 0.25 0.28 4.55
November 4.55 0.03 0.25 0.28 4.29
December 4.29 0.03 0.26 0.28 4.04
January 4.04 0.03 0.26 0.28 3.78
February 3.78 0.03 0.26 0.28 3.52
March 3.52 0.02 0.26 0.28 3.26
YEAR 5 April 3.26 0.02 0.26 0.28 3.00
May 3.00 0.02 0.26 0.28 2.74
June 2.74 0.02 0.27 0.28 2.47
July 2.47 0.02 0.27 0.28 2.20
August 2.20 0.01 0.27 0.28 1.94
September 1.94 0.01 0.27 0.28 1.66
October 1.66 0.01 0.27 0.28 1.39
November 1.39 0.01 0.27 0.28 1.12
December 1.12 0.01 0.28 0.28 0.84
January 0.84 0.01 0.28 0.28 0.56
February 0.56 0.00 0.28 0.28 0.28
March 0.28 0.00 0.28 0.28 0.00

TOTAL 3.03 14.00 17.03