M/S BALAJI INDUSTRIES

PROJECTED BALANCE SHEET

Particulars Years
1 2 3 4 5

LIABILITIES

CAPITAL ACCOUNT

Opening Balance 35.00 41.96 49.59 57.89 66.82

0.00
Add Net Profit Dr. Year 11.96 12.63 13.30 13.94 14.55
46.96 54.59 62.89 71.82 81.37
Less Drawings 5.00 5.00 5.00 5.00 5.00

41.96 49.59 57.89 66.82 76.37

LOANS & ADVANCES

Subsidy Amount - - - - -

Term Loan From Bank 6.77 5.38 3.80 2.03 0.00

Working Capial Loan 7.00 7.00 7.00 7.00 7.00

13.76 12.37 10.79 9.02 6.99

Grand Total 55.72 61.96 68.68 75.84 83.36

ASSETS

FIXED ASSETS

Gross block 40.00 35.75 31.97 28.60 25.58

40.00 35.75 31.97 28.60 25.58

Less Depreciation 4.25 3.79 3.38 3.01 2.69

Net Block 35.75 31.97 28.60 25.58 22.90

Current Assets 15.00 20.00 25.00 30.00 35.00

Bank Fixed Deposits 2.00 4.00 6.00 8.00 10.00
Cash & Bank Balance 2.97 5.99 9.10 12.28 15.49

19.97 29.99 40.09 50.27 60.49

Grand Total 55.72 61.96 68.68 75.84 83.36

 M/S BALAJI INDUSTRIES

Funds Flow Analysis

Particulars Years
1 2 3 4 5

A. Sources of Funds

Net Profit Before Tax 11.96 12.63 13.30 13.94 14.55

Depreciation 4.25 3.79 3.38 3.01 2.69
Bank Term Loan 8.00 - - - -
Owners Capital 35.00 - - - -
Subsidy Amount - - - - -
Working Capial Loan 7.00 - - - -

Total Sources 66.20 16.42 16.68 16.95 17.24

B. Disposition of Funds

Increase in Fixed Assets 40.00 - - - -

Preliminery & Preoperative -
Decrease in Term Loan 1.23 1.39 1.58 1.78 2.03
Drawings 5.00 5.00 5.00 5.00 5.00
Investment 2.00 2.00 2.00 2.00 2.00
Increase in current assets 15.00 5.00 5.00 5.00 5.00

Total Disposition 63.23 13.39 13.58 13.78 14.03

Surplus / Deficit 2.97 3.03 3.10 3.17 3.21

Opening Balance - 2.97 5.99 9.10 12.28

Closing Balance 2.97 5.99 9.10 12.28 15.49

 M/S BALAJI INDUSTRIES
PROJECTED PROFITABILITY FOR NEXT 5 YEARS

PARTICULARS 1 2 3 4 5
Sales 110.00 115.00 120.00 125.00 130.00
Total - A 110.00 115.00 120.00 125.00 130.00
Purchase 97.00 91.00 95.00 99.00 103.00

Insurance 0.20 0.20 0.20 0.20 0.20

Labour Charges 0.60 0.70 0.80 0.90 1.00

Electricity & Water Charges 0.60 0.65 0.70 0.75 0.85

Other Direct Expences 0.50 0.50 0.50 0.50 0.50
Salaries 2.50 3.00 3.50 4.00 4.50
Telephone 0.10 0.10 0.10 0.10 0.10
Office Exps. 0.20 0.20 0.20 0.20 0.20
Travelling Expences 0.15 0.15 0.15 0.15 0.15
Printing & Stationery 0.05 0.05 0.05 0.05 0.05
Depreciation 4.25 3.79 3.38 3.01 2.69
Interest on Term Loan 0.93 0.77 0.58 0.38 0.14
Interest on CC 0.84 0.84 0.84 0.84 0.84

Total - 107.92 101.96 106.00 110.08 114.22

Add. Opening Stock - 15.00 20.00 25.00 30.00
Less : Closing Stock 15.00 20.00 25.00 30.00 35.00
Total - B 92.92 96.96 101.00 105.09 109.22
Profit Before Tax 17.08 18.04 19.00 19.91 20.78

Less : Income Tax 5.12 5.41 5.70 5.97 6.23

Net Profit Ratio 10.87 10.98 11.09 11.15 11.19

Net Profit After Tax 11.96 12.63 13.30 13.94 14.55

Calculation of D.S.C.R.
Net Profit After Tax 11.96 12.63 13.30 13.94 14.55
Add : - Interest 1.77 1.61 1.42 1.22 0.98
Add : - Depreciation 4.25 3.79 3.38 3.01 2.69
Total Funds Available for 17.98 18.03 18.10 18.17 18.22
Repayment
Repayment Obligation
Interest on Loan 1.77 1.61 1.42 1.22 0.98
Repayment of Loan 1.23 1.39 1.58 1.78 2.03
Total 3.00 3.00 3.00 3.00 3.01
D.S.C.R 5.99 6.01 6.03 6.06 6.05
Average D.S.C.R 6.03
 M/S BALAJI INDUSTRIES

Chart of Depreciation
( Rs. In Lakhs )

Year Cost Furniture & Electrify Building P&M Total

10% 10% 15%

1 Opening Cost 10.00 25.00 5.00 40.00

Add : Preliminery 0.00 0.00 0.00 0.00
10.00 25.00 5.00 40.00
Less Depreciation 1.00 2.50 0.75 4.25

2 W.D.Value 9.00 22.50 4.25 35.75

Less Depreciation 0.90 2.25 0.64 3.79

3 W.D.Value 8.10 20.25 3.61 31.95

Less Depreciation 0.81 2.03 0.54 3.38

4 W.D.Value 7.29 18.23 3.07 28.59

Less Depreciation 0.73 1.82 0.46 3.01

5 W.D.Value 6.56 16.40 2.61 25.58

Less Depreciation 0.66 1.64 0.39 2.69

W.D.Value 5.90 14.76 2.22 22.90

 M/S BALAJI INDUSTRIES

INTEREST ON TERM LOAN & REPAYMENT OF TERM LOAN

1) Term loan of Rs. 8.00 Lakhs would be paid in 5 Years in equal monthly

instalment of Rs 18000/- each for 60 Months.

2) Interest on Term Loan is assumed @ 12.50% annum.

3) Thus interest on term loan & repayment would be as below : (Rs in Lacs)

Year Opening Bal Repayment Interest Closing Bal.

1) 8.00 1.23 0.93 6.77

2) 6.77 1.39 0.77 5.38

3) 5.38 1.58 0.58 3.80

4) 3.80 1.78 0.38 2.03

5) 2.03 2.03 0.14 0.00

 M/S BALAJI INDUSTRIES

PROJECT COST AND MEANS OF FINANCE

A] Cost of Project

Particulars (Rs in lakhs)

Building and Sheds 25.00

Machinery & Equipments 5.00

Furniture and Electrification 10.00

Working Capital 10.00

TOTAL 50.00

B] Means of Finance

Particulars (Rs in lakhs)

Proprietors Capital 35.00

Term Loan from Bank 8.00

Working Capital Loan 7.00

.
Total 50.00