Product Project Report 002

M.V.M College of com.,Mgt & I.T.
- Rajkot
1. Introduction – product at glance

INDEX
SR.NO SECTIONS PG.NO

1.1 Introduction –
product at glance
1.2 Name of unit
1.3 Profile of unit
1.4 Location and Site
preference
1.5 Promoter’s
background
1.6 Contribution of
government institute
1.7 Government
procedure for
registration
Step – 1 Provisional SSI
registration
Step – 2 Start the business
Step – 3 Apply for permanent
SSI registration
Page 1
M.V.M College of com.,Mgt & I.T. - Rajkot
1.1 Introduction – product at glance

a. Idea Generation : At my age of 10 I am very much found of gadgets. I
love electronic items like video game and gaming gears etc. So I think why
should I not started to manufacture electronic remote control toys like car,
helicopter, talking dolls and teddy bears etc. When I was child I only have
plastics and metal toys some times it is hazards for us. So when my study
become completed the first though that come in my mind is to start
manufacturing electronic remote control toys by my own.
b. Technical and managerial experience to handle the business : Previously

I worked as Human Resource Manager for 2.5 years. Where I gain much
knowledge about business strategy, planning and production. I get experience
that how to handle the my human resource well. And I also came to know
about investment process.
C. Knowledge related product and Business : Remote control or radio

controlled toys, popularly called RC toys, are self powered and can be
controlled from distance using a remote that work with radio waves. When we
push the control , the transmitter sends a specific number of electrical pulses
corresponding to that action through the air. The transmitter has its own sources,
usually in the form of a 9- volt battery. Without the battery, the transmitter will
not be able to send the radio wave. To the receiver.
Once a RC toys receives the radio wave, the motor kick into life to cause a
specific action to occur. The power sources sends power to all working parts.
Including motors. The transmitter enables control through radio wave and the
receiver activates the motors. When we press a button on the transmitter to
make the RC toy to go forward or backward, a pair of electrical contacts touch.
Receiver identifies signals, sends it to circuit.
Circuit boards translates the number of electrical pulses (signals) into actions.
Full functions controllers have six control and these work thorough following
the pulse sequences :
1. Forward : 16 pulses
2. Reverse : 40 pulses
3. Forward left : 28 pulses
4. Forward right : 34 pulses
5. Reverse left : 52 pulses
Page 2
6. Reverse right : 46 pulses
My business is sole proprietor. Its own by me only.
Sole proprietorship is a type of business structure owned and manage by a

single individual who is not legally separated from his business which
means that he will enjoy all the profits but will have to shoulder all the
financial responsibilities such as debts.
For Forming a sole proprietorship :
1. Decide the name of business which is not previously used by any

business establishment or other entities.
2. Register the business name with local, state or federal government.
Doing this is very important to make a business legitimate.
3. Obtain all the necessary business permits and licenses from the local,
state, or federal government. By doing this, a business will be
subjected to safety standards, taxes, and other government
requirements.
d. Market Competition : there is monopoly in the electronic remote control

toys market. There’s very scarcity in RC toy equipment and if they are
available then its very costly that everyone is not afford it so we can say that
there is monopoly is the market of RC toys.
Page 3
e. Availability of raw material and machines :
Sr.no Name of raw Availability of raw

material material
1 Plastic / fiber body M/s. DC plastics 27,
chassis D.L.F. industrial area,
opposite moti nagar
delhi-110015
2 RC toys car motor M/s. Bakumbhai
controller Ambalal electronics
dept. Raiser-T-Hind
building, ballard estate,
Mumbai-38
3 Front and rear brushless M/s. Applied electronics
motors ltd. A-5, wagle industries
estate, Thane-4
(Mumbai)
4 RC pro lite V2 730mAh M/s. Electronic trade and
7.4V 2 cell Li poly 2s technology dev. 15/48,
730 lithium battery. malcha marg, delhi-21
5 Fire retarding lithium M/s. Sun international,
polymer battery charger A-290 weaves colony
ashok vihar , phase-iv,
new delhi 110052
6 Metal gear micro RC M/s. Kamal electronics
servo 14, lakshmi building j.c.
road baglore-560002
7 Remote control unit M/s. Laxmi electrotek
manappat centre HMT
junction kalomassery
P.O. emakulam district
kerala- 683104
8 Wires and cables, M/s. OEN connectors
connectors, consumable, ltd., vyattila, PB-02,
mechanical parts, cochin-19
packing materials etc.
Page 4
Sr.no Name of machine Availability of

machines
1 Digital multimeter , 4 ½ L.D. electronics
digit showroom Assam – 271
2 Temp controlled Vrindavan unit rajasthan
soldering unit – 431
3 LCR meter Nathu brothers
electronics Rajkot
360004
4 Drilling machine Milan technology
Kashmir- 190001
5 Analog multimeter K.K. electric mart
Punjab-140407
6 Tool kit Mehta Tools and
machines bilimora-
396321
7 Electronic screw driver Saurashtra electronic
& screw feeder mall Junagadh- 362001
8 Combined soldering de Simran soldering kutch-
soldering station 370001
9 High speed mini drill set Krishna drill mart
Madhya Pradesh-
483220
10 Digital storage Wagheshwari digital
oscilloscope 60 MHz Mizoram – 796190
Page 5
f. Labour requirement with different skills :
No. Of labour Educational Other qualities

background
8 Skilled - Managerial
qualities
- Staff handling
- Problem solving
skills
- Accounting skills
- Marketing
knowledge
- Creative minded
5 Semi skilled - Machinery
handling
- Product finishing
skills
- Technical
knowledge
4 Unskilled -NIL-
Page 6
G. Government subsidies and loan -

*Amount of Loan : 33,55,093
*Rate of interest : 12% p.a.
*Bank : Nagrik bank
*Time period : 10 years
1.2 Name of unit : Vrindavan Toys land
Page 7
1.3 Profile of Unit:

1. Name of the unit : Vrindavan Toys land
2. Registered office address : Vrimdavan toys land
Nr. Shapar veraval bus station
National highway-27
Veraval-shapar, Tal : Kotda sangani
Gujarat-360024
3. Form of organization: Sole Proprietorship
4. Name of product : Electronic Remote Control Toys
5. Brand Name : HappyChild
6. Logo :
7: SSI registration number : Applied for

8. subsidies registration number : -
9. owner’s name and address “Mehta Honey”
‘Giriraj recidency’2. Vaniyawadi
Bhakti Nagar Circle Rajkot-360002
10. Banker’s Name : Nagrik bank
11. Initial capital investment : 55,91,822
12. ownership capital 33,55,093
13. Borrowed capital 29,36,729
14. No. Of employees : * 8 Skilled Workers
* 5 Semi skilled workers
* 4 Unskilled workers
Page 8
1.4 Location and Site Preference :

Industrial Location Factors :
 Power supply
 Communication – including trasportat, telecommunication.
 Labour supply - including workers with right skills
 Access to market – where the goods are sold
 Grants and financial incentives- usually from government
Location is one of the most important factors to be considered for

successful working of any organization. The location that is most
beneficial to plant may be considered as an optimum location. The
location should be such that there is no problem for availability of
labour, availability of power, transport facility, etc. The location is one of
the most important factors for successful working of a company.
“Vrindavan Toys Land” is located which is most wonderful place for

establishment of industry. moreover, location is also beneficial for
getting government help. Thus, company get fly beneficial.
“ Vrindavan Toys Land” situated Nr. Shapar veraval bus station

national highway 27, veraval-shapar, Tal: Kotda sangani Gujarat
360024. As it is situated in village which has best location and also
factory does not spread out much harmful gas which harm the
village.
Page 9
1.5 Promoter’s Background :
Name of promoter : Mehta Honey Vipulbhai

Age : 27
Qualification : MBA with Human Resource Management
Experience : work as HR manager for 2.5 years
Area of operation : Look after all the general operation.
1.6 Contribution of government institution :

1. Production Selection : Industrial extension
Beauro, A’bad small scale industry service
institute (SISI) A’bad, Rajkot. Gujarat
industrial and technical consultancy
organization ltd. (GITCO), DIC, CED, poly
techno, transfer centre (PTC), A’bad.
2. Acquire land : G.I.D.C., government
wasteful land, private estate lending institute
like G.S.F.C., banks etc.
3. Marketing : GITCO. National small industry
corporate (NSIC), Gujarat small industries
corporation (GSIC) A’bad, Rajko. Small
industries service institute (SISI) Gujarat
export corporate.
4. Training : C.E.D diamonds jubilee institute,
Baroda, S.I.S.I., P.T.C., for engineering
products. D.I.C for small cottage industry,
hosiery training centre, A’bad and khadi
Gramudyog board.
5. Raw materials : Gujarat small industries
corporation and small industry services
institute (SISI)
Page 10
1.7 Government procedure for registration :
Step-1 : Provisional SSI registration :

 3 pasport sixe photos :
 Name of unit
 Pin code
 Date
 Quantity (KG)
 Amount
 Fill up appropriate codes in the blanks wherever applicable
 Abbreviations used
 Address
 Addres for communication
 Tel and pin
 Category of unit
 Location
 Type of organization
 Nature of activity
 Main item of manufacture
 Investment of fixed assets
 Investment in plant & machinery
 Date of commence of production
Step-2 Start the business :

Next step towards having a permanent license is to start the business with
an SSI certificate. The owner should start the production in the factory so
that permanent license should be given.
Step-3 Apply for permanent SSI registration :
Page 11
2. Production department
Sr. No Sections Pg. No

2.1 Introduction of
production department
2.2 Machinery Used
2.3 Raw Material
2.4 Production Process
2.5 Plant layout
2.6 Production Capacity
Page 12
2.1 Introduction to Production Capacity :

A production department is a group of function within a business that is
responsible for the manufacturing of goods. This can be include just a few
specialized functions with all other work out sourced, or a fully functioning
department that converts raw materials, assembles components into finished
goods and package them.
The production department can be the largest organization within a business. It

may employee mechanics, machine setup specialists maintenance personnel and
machine operators.
A Key of the production department is efficiency. To the end, the bottleneck

operation within the facility is closely monitored and support so that throughout.
2.2 Machinery used :

Page 13
Sr. No Name of Nsme of Quotation

machines supplier
1 Digital Mr. Bipin jha Qty : 1
Multimeter 4 ½ Aplab limited Rs. : 1,00,000
digit 14 lakshmi
building j.c. road
Bangalore
560002
2 Temp controlled Mr. Mohan Qty : 3
soldering unit pratihast Rs. :2,10,000
Guru agencies
M.G. road
emamkulam
kerala
3 LCR meter Mr. Stephen Qty : 1
majih Rs. : 3,00,000
NI systems
(India) private
limited
Bangalore
4 Drilling machine
5 Analog
Multimeter
6 Electronic
screw driver
& screw
feeder
7 High speed mini
drill set
2.3 Raw Materials
Page 14
Sr. No Name of raw Source of Name of Quotation

material raw material supplier
1 Plastic and M/s DC Mr. Santosh Qty : 36000
fiber body plastic 27, Singh Rs. :
chassis D.L.F. 1,80,000
industrial
area, opposite
moti nagar,
delhi-110015
2 RC toys car M/s Mr. Qty : 90000
motor Bakumbhai Bakumbhai Rs. :
controller ambalal Ambalal 2,61,000
electronics
department,
Kaiser-T-
Hind
building,
Ballard estate,
Mumbai-38
3 Front rear M/s applied Mr. Rasik Qty : 1,62,000
brushless electronics Chautvedi Rs. : 81,000
motor ltd. A-5,
wagle
industries
estate, Thane-
4 (Mumbai)
4 RC pro lite
V2 730mAh
7.4V 2 cell Li
poly 2s 730
lithium
battery
5 Fire retarding
lithium
polymer
battery
charger
6 Metal gear
Micro RC
servo
7 Remote
control unit
Page 15
8 Wires and
cables
connectors,
consumable,
mechanical
parts,
electronic
parts, packing
material etc.
2.4 Production Process :
The production process involves assembly of electronic circuits,

electrochemical hardware parts, mechanical assembly and other sub
assembly parts as per the design. Subsequently, the electronics assembly-
ICs, transistor, diodes, resistors, capacitors, coils and electromagnetic
relays- are assembled on PCBs are tested for the desired performance. The
electronics assembly along with the electrochemical assembly, hardware
such as connectors/ switches, mechanical assembly and LEDs are
assembled and fiber/plastic toy car cases.
Electricity energy consumption in production process of RC toys. Is the

form of energy consumption. Electric energy consumption is the actual
energy demand made on existing electricity supply. Coal 38%, natural gas
23%, hydro 16%, nuclear 10%, wind 5%, oil 3%, solar 2%, biofuels 2%
and other 1%. The total electricity consumption in 2012 was 20,900 TWh
and in 2017 it was 21,372 TWh. We produce electricity by wind energy and
also we have solar pannels
RC toys companies that have continuous production lines most often use
this report rather than using a materials requisition form. Both form
Page 16
essentially do the same thing. They record how much raw inventory was
used in the production process so that the storage manager can either order
new stock or delivery existing stock to the production line. The
consumption report is also used to assign costs to the direct materials used
in production. This can be done by making a journal entry to transfer the
cost of the raw materials used to the new costs of the goods in process.
Multimeter LCR meter and 4 ½ didgital meter etc are material
consumption of RC toys.
2.5 Plant layout :
Plant layout is deciding on the best physical arrangement of all resources that
consume space within a facility. These resources might include a desk, a
workers centre, a cabinet, a person, an entire office, or even a department.
Decision about the arrangement of resources in a business are not made only
when a new facility is being designed; they made any time there is a change in
the arrangement of resources, such as a new workers being added, a machine
being moved or a change in the procedure being implemented. Also, layout
planning is performed any time there is an expansion in the facility or a space
reduction.
Page 17
2.6 Production Capacity :

Year Opening Production Sales (80%) Closing stock
stock (+)
1 000 50% 1,80,057 45,015
2,25,072
2 45,015 75% 2,70,086 1,12,537
3,37,608
3 1,12,537 100% 3,60,116 2,02,566
4,50,145
Page 18
3. Marketing Department
Sr. No Section Pg. No
3.1 Introduction to
marketing department
3.2 Marketing planning
3.3 Product Strategy
3.4 Pricing strategies
3.5 Distribution strategies
3.6 Promotion strategy
Page 19
3.1 Introduction of Marketing department :

Marketing segmentation is a process of dividing market potential. Customers in
to different group and segments on the basis of certain characteristics and
usually have one or more than one aspects common among them.
There are many reasons as to why market segmentation is done one of the major
reasons market segment. It is because they can create a custom marketing mix
for each segments and later them accordingly.
The concept of marketing segmentation was given by Wendell R. Smith who in

his article “product differentiate and market segmentation as alternative and
market strategies is observed in marketing examples of segmentation in 1956.
Marketing is the link between a society’s material requirement and its economic
pattern of response. Marketing satisfies these this needs and wants through
exchange processes and building long term relationships. It is the process of
communicating the value of a product or service through positioning to
customers.
3.2 Marketing Planning :

Marketing planning is the process of organizing and defining the marketing
aims of a company and gathering strategies and tactics to achieve them. A solid
marketing plan should consists of the company’s value propositions,
information regarding its target market or customers, a comparative positioning
of its competitors in the market, promotion strategies, distribution channel, and
budget allocated for the plan. All relevant teams in the organization should
refers to the marketing plan.
My marketing planning is long term planning. Because I want to hold a

long time place in the market. And also want to stay in the competition of
the market so I have to plan a long term marketing stretagies. And its done
by me only.
Page 20
3.3 Product strategies :
Product: The item or service being sold must satisfy a consumers need or
desire.
Price: An item should be sold at the correct price for consumer expectations;
neither too low nor too high.
Promotion: The public needs to be informed about the product and its features
in order to understand how it fills their needs or desires.
Place: The location where the product can be purchased is important for
optimizing sales.
*Product Specification :
 RC toys work from distance also with the help of remote
 When we push the control , the transmitter sends a specific number of

electrical pulses corresponding to that action through the air.
 The transmitter has its own sources, usually in the form of a 9- volt
battery. Without the battery, the transmitter will not be able to send the
radio wave. To the receiver.
 They are tons of fun
 Live your adventure
 Extend the video game adventure
 Improve hand-eye coordination
 It will enhance your interest
Page 21
*Product testing :
Safety and quality are fundamental concerns for all consumers, but
particularly for parents who buys the toys and other products related to
children. In line with this standard and regulations in multiple markets
around the world have become increasingly stringent. Our product testing
has been done within 24 hours after the production process. We always
keep in mind that there is no hazards components or electronic wave which
is harmful for kids. As its for kinds we take care of each and every single
and small things. we manufacture remote which is helpful to kid to operate
toy from the distance. Every year we added some more and good feature in
the toys which enhance the knowledge of kids and its also helps kid to
gained much knowledge related to gadgets.
*Market testing :
Our first market test had been done in 2018. Feedbacks from the consumer
and their interest towards our RC toys are just priceless. They love it
because our toys have so many safety features which is not harmful for the
kids. Because of remote control feature the kid does not have to roam here
and there with toy. They just simply seat and operate toy with remote
which is main safety feature of our toy. After getting such a good feedbacks
we come to know that the customer is always need this type of toys.
*Main product with its brand name :
Brand Name : HappyChild
Page 22
*Product Features :
Once a RC toys receives the radio wave, the motor kick into life to cause a
specific action to occur. The power sources sends power to all working
parts. Including motors. The transmitter enables control through radio
wave and the receiver activates the motors. When we press a button on the
transmitter to make the RC toy to go forward or backward, a pair of
electrical contacts touch. Receiver identifies signals, sends it to circuit.
Circuit boards translates the number of electrical pulses (signals) into

actions. Full functions controllers have six control and these work thorough
following the pulse sequences :
1. Forward : 16 pulses
2. Reverse : 40 pulses
3. Forward left : 28 pulses
4. Forward right : 34 pulses
5. Reverse left : 52 pulses
6. Reverse right : 46 pulses
*Packaging & labelling :
The packaging is the science, art and technology of enclosing or protecting

products for distributing, storage, sakes and use. Package and labelling or
labelling is any written, electronics, or graphics communication on the
packaging or on a separate but associated label. Packaging and labelling is one
of the key functions of marketing.
My packaging and labelling is in such a way that the box which is recycle
so its also useful to environment and it contain the picture of my product
with labelling of my product name and brand name with radium light
which attract the customer attention like the product.
Page 23
3.4 Pricing strategies :

*Objective/Factors affecting strategies :
Pricing objectives or goals give direction to the whole pricing process.

Determining what your objectives are is the first step in pricing.
Some more pricing objectives are :
 Maximize long-run profit

 Maximize short-run profit
 Increase sales volume (quantity)
 Increase monetary sales
 Increase market share
 Obtain a target rate of return on inventories
 Obtain a target rate of return on sales
 Company growth
(b.) pricing method and factors to be considered while fixing price :
The pricing method are the ways in which the price of goods and services can
be calculated by considering all the factors such as the product and service,
competition, target, audience, product’s life cycle, etc. Influencing the pricing
policy.
The pricing method can be broadly classified into 2 ways :
1. cost oriented pricing method
*cost plus pricing method
*mark up pricing
*target return pricing
2. market oriented
*Perceived valued pricing
*Value pricing
*Aucation type pricing
Page 24
*differential pricing
*Factors :
 Cost
 Profit
 Market demand
 Industry demand
 Skill level
 Experience
 Business strategies
 Service
 Who is your client ?
*Pricing policy and strategies :
As my organization is concern I followed cost plus pricing strategy.
*Pricing calculation :
Raw Material Price

RC toy car motor controller 2,61,000
Front & rear brushless motor 81,000
Plastic and fiber chassis 1,80,000
Total 5,22,000
*Cost of production :
Sr. No Discription Rs
1 Raw material 6,75,900
2 Staff and labour 11,94,000
3 Other expenses 2,99,970
4 Utilities 36,000
Total 27,00,870
Raw material Production cost Profit margin Selling cost

cost
5,22,000 27,00,870 00 27,00,870
Page 25
3.5 Distribution strategies :
*Channel of distribution :
Distribution channel refers to the network used to get a product from the
manufacturer or creator to the end users. When a distribution channel is
“direct”, the manufacturer is selling directly to the end user without a
middleman. When the distribution channel is “indirect”, the product changes
hands several times before reaching the ultimate consumer. Intermediaries
between the manufacturer and the consumer in an indirect distribution channel
might include : wholesaler, dealer, retailer, consultant, manufacturer’s
representative and catalog.
We prefer retailer to sale our product. We sale our product to the retail toy
shop owner and then they sold it in the market.
*Role and profit margin of middleman :
A retailer is the one whose business is to sell the consumer a wide variety of
goods which are assembled at his premises as per the needs and wants of final
consumers. Retailer sell goods directly to ultimate consumer. We also prefer a
retailer as a middleman to sell our product in the market. And profit margin of
retailer is 0%
3.6 Promotion Strategies :
we prefer advertising through print media, TV advertising and projector

hording on road and Technology exhibition. Its attract more attention of
the customer. We promote our product through print media where people
come to know about the product specification. We also arrange exhibition
where we can explain our product and also give demo of the same. And
advertising through projector on the road with 3D features and as far as
TV advertisement concern then through the medium of television people
come to know that what new come in the market.
Page 26
4 Finance Department
A Production and sales of
finished good (in unit)
B Stock of raw materials
C Total fixed assets
D Total working capital
F Total investment
G Loan repayment
schedule
H Depreciation on fixed
assets
I Total fixed cost
J Total variable cost
K Total cost
L Break even point (in
unit)
M Break even point (in
rupees)
N Trading account (for 3
years)
O Profit and loss account
(for 3 years)
P Balance sheet (for 3
year)
Q Statement of profitability
(for 3 years)
Page 27
(A) Estimation production and sales (in units) :
Year Opening Production Sales (80%) Closing stock

stock (+)
1 000 50% 1,80,058 45,014
2,25,072
2 45,014 75% 2,70,086 1,12,536
3,37,608
3 1,12,536 100% 3,60,115 2,02,565
4,50,144
(B) Stock of Raw materials (in units)

Particular Year 1 Year 2 Year 3
Opening stock 000 2000 3000
Add : Purchases 2,27,000 3,40,608 1,15,537
Less : 2,25,000 3,37,608 1,12,537

consumption
= Closing stock 2000 3000 2000
Page 28
(c) Total Fixed Assts

(c-1) Land and building
Particular Amount Rs.

1. Land -
2. Land development and fencing -
3. Factory building 22,50,000
4. Office building -
5. Storage house -
6. Bore well -
7. Water tank -
8. Main gate -
9. Watchman’s cabin -
10.Lavatories -
TOTAL 22,50,000
(c-2) Plant and machinery :
Name of machines AmountRs.

Digital multimeter, 4 ½ digit 1,00,000
Drilling machine 2,10,000
LCR meter 3,00,000
Digital storage oscilloscope 1,50,000
Combined soldering de soldering 1,05,000
station
Total 8,65,000
Page 29
(C-3) Furniture and electric appliances
Particular Qty. Rate per unit Amount Rs.
1. Ordinary tables 2 80,500 1,61,000

2. Computer tables 2 3,22,000 6,44,000
3. Chairs 5 12,075 60,375
4. Sofa sets 3 28,175 84,525
5. Fans 5 11,270 56,350
6. Lights 7 8050 56,350
7. CCTV cameras 2 22,540 45,080
8. Air condition 8 22,540
9. Refrigerator - - -
Total 34 5,07,150 12,88,000
(C-4) Computer and peripherals
Particulars Qty. Rate per unit Amount Rs.

Rs.
1. Desktop - - -
system
2. Laptop - - -
system
3. Printers - - -
Total - - -
Page 30
(C-5) Vehicle
Particular Qty. Rate per unit Rs. Amount Rs.
Tempo 1 1,80,000 1,80,000
Total 1 1,80,000 1,80,000
Total Fixed Assets

Particulars Amount Rs.
Land and building (c-1) 22,50,000

Plant and machinery (c-2) 8,65,000
Furniture and electric appliance (c-3) 12,88,000
Computer and peripherals (c-4) -
Vehicles (c-5) 1,80,000
Total fixed assets (c) 45,83,000
Page 31
Preliminary expenses
Particulars Amount Rs.
1. Cosultancy fees 56,275

2. Project report preparation fees 50,000
3. Legal formation of company 30,000
formation
4. Interest during construction 88,825
period
Total 2,25,100
(D) Total working Capital

(D-1) Raw material (monthly) :
Particular Monthly Qty. Rate per kg Monthly Yearly

(kg) amount amount
rupess rupess
All the raw 18,916 10 1,89,160 22,69,920

materials
Total 18,916 10 1,89,160 22,69,920
Page 32
(D-2) Salary and Wages
Particular No. Of persons Amount per Yearly amount

month Rs. Rs.
1. General - - -
manager
2. Factory 1 4000 48,000
manager
3. Export - - -
manager
4. Supervisor 1 3500 42,000
5. Clerk-cum- 1 5000 60,000
cashier
6. Helpers 3 7500 90,000
7. Foreman 6 18,000 2,16,000
8. Sweeper - - -
9. Computer 2 4000 48,000
operator
10.Mechanic - - -
11. Salesman 2 10,000 1,20,000
12. Storekeeper - - -
13. Peon 1 2500 30,000
14.Lab - - -
technician
Total 17 54,500 11,94,000
Page 33
(D-3) Utilities
Particular Monthly Yearly

Amount Amount Rupees
Rs.
1. Power 3000 36,000
2. Fuel - -
3. Water - -
4. Oil and grease - -
Total 3000 36,000
(D-4) Other expenses
Particular Monthly Amount Rs. Yearly Amount Rs.
1. Postage and 4008 48,100

stationary
2. Telephone charges 406 4,870
3. Transport charges 3667 44,000
4. Advertisement 1833 22,000
expense
5. Insurance 250 3000
6. Repair and 167 2,000
maintenance
7. Selling expenses 4250 51,000
8. Other sundry - -
expenses
Total 14,581 1,74,970
Page 34
Total working capital per month
Particular Amount per month Rs.
1. Raw materials (D-1) 1,89,160

2. Salary and wages (D-2) 54,500
3. Utilities (D-3) 3000
4. Other expenses (D-4) 14,581
Total working capital per month

* 3 months
Total working capital of 3 month (D) 7,83,723
(E) Total Investment

1. Total fixed assets (c) 45,83,000

2. Total working capital (D) 7,83,723
3. Preliminary expenses 2,25,100
Total Expenses 55,91,823
Page 35
(F) Sources of capital
Total investment
Owned capital (60%) Borrowed (40%)
33,55,094 22,36,729
1. Owned capital (60%) 33,55,093

2. Borrowed capital (40%) 22,36,729
Total capital 55,91,822
Page 36
(G) Loan Repayment Schedule

Year Opening balance Interest @12% Closing balance
1. 22,36,729 2,68,408 20,13,055
2. 20,13,055 2,41,568 17,89,381
3. 17,89,381 2,14,727 15,65,707
4. 15,65,707 1,87,886 13,42,033
5. 13,42,033 1,61,045 11,18,359
6. 11,18,359 1,34,205 8,94,685
7. 8,94,685 1,07,362 6,71,011
8. 6,71,011 80,522 4,47,337
9. 4,47,337 53,681 2,23,674
10. 2,23,674 26,842 0
(H) Depreciation On Fixed Assets

Name of the Assets Rate of depreciation
1. Land & building 2,25,000

2. Plant & Machinery 1,29,750
3. Furniture 10,30,400
4. Computer -
5. Vehicle 1,62,000
Table of depreciation for year 3 years
YEAR-1
Assets Opening balance Depreciation Closing balance

Rs. Rs. Rs.
Land-building 22,50,000 2,25,000 20,25,000
Plant-machinery 8,65,000 1,29,750 7,35,250
Furniture 12,88,000 10,30,400 2,57,600
Computer - - -
Vehicles 1,80,000 1,62,000 18,000
Page 37
YEAR-2
Asset Opening Balance Depreciation Closing Balance

Rs. Rs. Rs.
Land and building 20,25,000 18,22,500 2,02,500
Plant-machinery 1,29,750 1,10,287 19,463
Furniture 2,57,600 51,520 2,06,080
Computer - - -
Vehicle 18,000 1800 16200
YEAR-3
Assets Opening Balance Depreciation Closing Balance

Rs. Rs. Rs.
Land-Building 2,02,500 1,82,250 20,250
Plant-machiery 19,463 16,543 2,920
Furniture 2,06,080 1,64,864 41,216
Computer - - -
Vehicle 16,200 14,580 1,620
(I) Total fixed expenses

Particular Year-1 Year-2 Year-3
1. Salary and 7,16,400 7,16,000 7,16,000

wages
(Yearly
amount *
60%)
2. Utilities 18,000 18,000 18,000
(yearly
amount *
50%)
3. Other 1,22,479 1,22,479 1,22,479
expenses
(yearly
amount *
70%)
Total fixed 8,56,879 8,56,879 8,56,879

expenses
Page 38
(Y-1) Total Fixed Expenses

Fixed cost per unit. = ------------------------------------------------------
Production at 50% capital
8,56,879
= ----------------------------------
2,25,072
= 4
(J) Total Variable Expenses

Particular Year-1 Year-2 Year-3
1. Raw 22,69,920 22,69,920 22,69,270

material
yearly
amount *
100%)
2. Salary and 4,77,600 4,77,600 4,77,600
wages
(Yearly
amount *
40%)
3. Utilities 18000 18000 18000
( yearly
amount *
50%)
4. Other 52,491 52,491 52,491
expenses
(Yearly
amount *
30%)
Total variable 28,18,011 28,18,011 28,18,011

expenses
Page 39
Total variable expenses (Y-1)
Variable cost per unit = --------------------------------------------
28,18,011
= -------------------------
2,25,072
= 14
(K) Total Cost

Total cost = Total fixed cost (Y-1) + Total variable cost (Y-2)
= 8,56,879 + 28,18,011
= 36,74,890
Total coat
Total cost per unit = ----------------------------------
36,74,890
= -----------------------
2,25,072
= 18
Page 40
(L) Break-even point per unit
Total fixed expenses
BEP (in units)=--------------------------------------
S-V
8,56,879
= ------------------------
18 - 14
= 2,14,220
(M) Break even point ( In Rupees)

BEP (In Rs.) = BEP in units * Selling price per unit in Rs.
= 2,14,220*18
= Rs. 38,55,960
Page 41
YEAR-1
Trading A/C of 01/04/2018 for the year ended on 31/03/2019
Particular Rs. Particular Rs.
To opening stock :
Raw materials - By sales 32,41,044
finished goods - By closing stock 45,014
To purchase 22,70,000 Raw materials 22,50,000
To utilities 18,000 Finished goods 21,61,160
To salary and 4,77,600
wages
Gross profit 59,22,818
( transferred to
profit and loss
A/c)
Total 76,97,218 Total 76,97,218
Page 42
Profit and Loss 0f 01/04/2018 for the year ended on 31/03/2019

Particulars Rs. Particulars Rs.
To salary and 4,77,600 Gross profit 59,22,818
wages (transfer from
trading A/c)
To utilities 18,000
To other expenses 52,491
To depreciation :
land and building 2,25,000
Plant and 1,29,750
machinery
Furniture 10,30,400
Computers ---
Vehicles 1,62,000
To interest on 1,43,205
capital (owned
capital * 4%)
loan
To preliminary 22,510
expenses
To provision for 4,10,537
taxes (30%)
Net profit 29,82,917
(transferred to
capital A/c.)
Total 59,22,818 Total 59,22,818
Page 43
Balance sheet of 01/04/2018 as on 31/03/2019

Liabilities Rs. Assets Rs.
Opening capital : Land and building
33,55,093 : 22,50,000
Add : interest on Less : 20,25,000
capital : 1,43,205 depreciation :
2,25,000
Add : net profit : Plant and
29,82,917 machinery :
8,65,000
less : 7,35,250
depreciation :
1,29,750
= closing stock 64,81,215 Furniture :
12,88,000
Less : 2,57,600
depreciation :
10,30,4000
Computer : -
Less :
depreciation : -
12% bank loan 2,68,408 Vehicle : 1,80,000
(closing balance –
Table G)
Creditors (20% of 8,17,200 Less : 18,000
total purchase) depreciation :
1,62,000
Bills payable 81,720 Closing 44,56,174
(10% of creditors) stock :45,014
Raw material :
22,50,000
Finished goods :
21,61,160
Provision for 4,10,537 Debtors (40% of 12,96,418
taxes sale )
Bills receivable 1,29,643
(10% of debtors )
Bank OD 14,72,132
Preliminary 2,02,590
expenses less :
Page 44
amt. Of written
off
Total 91,20,675 Total 91,20,675
Year – 2
Trading A/c of 01/04/2019 for the year ended on 31/03/2020
Particulars Rs. Particulars Rs.
To opening stock 45,014 By sales 48,61,548
Raw materials 33,76,080 By closing stock 1,12,536
Finished goods 48,61,548 Raw materials 33,76,080
To purchase 34,06,080 Finished goods 54,01,720
To utilities 18,000
To salary an 4,77,600
wages
Gross profit 1,21.84,322
(transferred to
profit and loss
A/c.)
Total 1,37,51,884 Total 1,37,51,884
Page 45
Profit and loss A/c of 01/04/2019 for the year ended on 31/03/2020
Particular Rs. Particulars Rs.
To salary and 4,77,600 Gross profit 1,21,84,322
wages (transferred from
trading A/c.)
To utilities 18,000
To depreciation :
land and building 18,22,500
Plant and 1,10,287
machinery
Furniture 51,520
Computer -
Vehicle 1800
capital (owned
capital * 4%)
loan
To preliminary 2,251
expenses written
off
To provision for 27,44,118
tax (30%)
Net profit 64,02,938
(transferred to
capital A/c.)
Total 1,21,84,322 Total 1,21,84,322
Page 46
Balance Sheet of 01/04/2019 as on 31/03/2020

64,81,215 : 20,25,000
Add : interest on Less : 2,02,500
18,22,500
Add : net profit : Plant and
64,02,938 machinery :
1,29,750
Closing stock 1,31,433,402 Less : 19,463
depreciation :
1,10,287
12% bank loan 2,41,568 Furniture :
2,06,080
Creditors (20% of 6,81,216 Less : 41,216
t0tal purchase ) depreciation :
1,64,864
Bills payable 68,122 Computer : - -
(10% of creditors)
Less : -
depreciation :-
Vehicle : 18000
Less ; 16,200
depreciation :
1800
Closing stock : 88.99.336
1,21,536
Raw material :
33,76,080
Finished goods :
54,01,720
Debtors (40% of 9,72,311
sale ) :
Bills receivable 97,231
(10% of debtors )
cash in hand 12,19,93,720
Preliminary
Page 47
expenses :
2,02,590
Less : amt of : 1,82,331
20,259
written off
Total 1,04,30,588 Total 1,04,30,588
YEAR – 3
Trading A/c. 01/04/2020 for the year ended on 31/03/2021
Particular Rs Particular Rs.
To opening stock : 1,21,536 By sale 64,82,070
Raw material 12,15,370 By closing stock 2,02,565
Finished goods 64,82,070 Raw material 11,25,370
To purchase 20,79,666 Finished goods 72,02,300
To utilities 18,000
To salary and 4,77,600
wages
(transferred profit
Total 1,50,12,305 Total 1,50,12,305
Page 48
Profit and Loss A/c. Of 01/04/2020 for the year ended on

31/03/2021
Particular Rs. Particular Rs.
To salary and 4,77,600 Provision for tax 4,90,110
wages (30%)
To utilities 18,000 net loss 1,03,79,714
(transferred to
capital account )
To depreciation :
Land and building 1,82,250
Plant and 16,543
machinery
Furniture 1,64,864
Computer -
Vehicle 14,580
capital (owned
capital * 4%)
loan
to preliminary 18,233
expenses written
off
(transferred from
trading A/c.)
Total 1,08,69,824 Total 1,08,69,824
Page 49
Balance Sheet of 01/04/2020 as on 31/03/2021

13,14,33,402 : 2,02,500
Add: interest on Less : 20,250
1,82,250
Less : net loss : Plant and
1,16,65,503 machinery :
19,463
Less : 2,920
depreciation :
16,543
Closing stock 12,50,25,236 Furniture :
2,06,080
12% bank loan 2,14,727 Less : 41,216
depreciation :
1,64,864
Creditors 4,15,933 Computer : - -
Bills payable 41,593 Less : -
depreciation : -
Provision for 4,90,110 Vehicle : 16,200
taxes
Less : 1,620
depreciation :
14,580
Closing stock : 87,10,392
2,02,565
Raw materials :
20,25,666
Finished goods ;
64,82,070
Debtors : 8,31,867
Bills receivable 83,187
Cash in hand 11,64,79,737
Preliminary 18,233
expenses
Less : amt of 1823
written off
Page 50
Total 12,61,87,599 Total 12,61,87,599
Statement of profitability
Particular Year – 1 Year – 2 Year – 3

Sales ( trading 32,41,044 48,61,548 64,82,070
A/c.)
Less : variable 28,18,011 28,18.011 28,18,011
expenses
Contribution 4,23,033 20,43,537 36,64,059
Less : fixed
expenses 8,56,879 8,56,729 8,56,879
Earning before
interest and taxes 4,33,846 11,86,808 28,07,180
Less : interest on
loan 2,68,408 2,41,727 2,14,727
Earning before
taxes 1,65,438 9,45,081 25,92,453
Less : taxes
4,,90,110 27,44,118 4,90,110
Profit after tax -1,70,047 23,76,389 1,11,66,035
Page 51
5. Human Resources Department

5.1 Introduction to Human
resources department
5.2 Human resources
planning
5.3 Recruitment and
selection
5.4 Training
5.5 Wage and compensation
5.6 Employee welfare
Page 52
5.1 Introduction to human resources
Human are more complex than machines and are certainly more
valuable for their own sake and also for the sake of what they can
bring to your operation. The concept of human resources management
acknowledges this truth by dedicating an entire department and body
of knowledge to the art and science of managing people as people.
Human resources address the process of managing people within an

organization at both a micro and macro level. At the micro level, it
deals with employees as individual, each having unique needs,
strengths and weakness. The aspects of human resources requires a
compassionate human element from HR staff, who must sometimes
navigate sensitive situation, such as speaking to an employee about
inappropriate behaviour or cuttings someone’s hours because of
shoddy work ethics.
At the macro level, human resources is concerned with the way an

organization as a whole relates to and take care of its employees. The
macro level encompasses overall personnel policies like pay rates,
benefits, and protocols, for hiring and firing. This aspects of human
resources requires attention to detail and an organized mindset.
Page 53
5.2 Human Resources planning
Human resources planning is the continuous process of systematic

planning ahead to achieve optimum use of an organization’s most
valuable asset-quality employees. Human resources planning ensures
the best fit between employees and job while avoiding manpower
shortage or surpluses.
There are four key steps to the HRP process. They include analyzing
present labour supply, forecasting labour demand, balancing projected
labour demand with supply and supporting organizational goals. HRP
is an important investment for any business as it allows companies to
remain both productive and profitable.
No. Of employee Skills

8 Skilled workers
5 Semi skilled worker
4 Unskilled workers
17 Total employees
Page 54
5.3 Recruitment and Selection

recruitment refers to the overall process of identifying, attracting, screening,
shortlisting, and interviewing, suitable candidates for job within an
organization. Recruitment can also refers to process of involved in choosing
individuals for unpaid role, managers, human resource generalist and
recruitment specialist may be tasked with carrying out recruitment but in
some cases public sector employment, commercial recruitment agencies,
specialist search consultancies are used to undertake part of the process.
Internet-based technologies which support all aspects of recruitment have
become widespread, including the use of artificial intelligence.
*Sources of recruitment*
Internal
Promotion
Transfers
Upgrading
Demotion
Retired employees
Retrenced employee
External
Advertisement
Campus recruitment
Placement agencies
Outsourcing / consultancies
Employment exchange
Page 55
Labour contractor
Our organization will follow external sources and the selection process
of our organization is
Application
Interview held in company office
Selection
Three / six month allowance
5.4Training
Training is the organization procedure by which people learns knowledge &
skills for a definite purpose it plays a large part in determining the
effectiveness and efficiency of the establishment organization. Training
gives awareness of the rules and procedure to guide their behaviour. It
enables employees to perform their perform their present join in better way.
The training given to employees may differ from each other. There are
various types of training and they are :
Page 56
(a) On the job training :
The omn the job training is a techniques where in the workers i.e.,
operative staff , is given the direct instruction to perform their job
On the actual work floor. The workers can learn the skills that are
required to be performed in the actual work condition and also gets
accustomed to the working environment. Also, the organizations need not
to be bear any additional cost of setting up a classroom or a stimulated set
up for imparting training to te workers, away from the actual-work floor,
as in the case of the job training
(b)Off the job training
Off the job training occurs when employees are taken away from their
place of work to be trained. Common methods of off the job training
include : day release take time off work to attend a local college or
training classes, self-study, computer based training,
As far as our organization is concern we follow both on the job

training and off the job training. Where on the on the job training a
n employee will given a task where they learn about the technology
that our organization accept and what production process of our
organization the fresh employee will e trained under the experienced
employee of our organization. We also follow off the job training
where we play business games and also provide a class to our
unskilled labour, and 6 month training duration where we mould our
employees.
Page 57
5.5 wages and compensation

Wages and salary income derived from human labour. Technically, wages and
salaries cover all compensation made to employees for either physical or mental
work, but they do not represent the income of the self employed. Labour costs
are identical to wage and salary costs, because total labour costs may include
such items as cafeterias or meeting rooms maintained for the convenience of
employees. Wages and salaries usually include remuneration such as paid
vacations., holidays and sick leave as well as fringe benefits and supplements in
the form of pensions or health insurance sponsored by the employer. Additional
compensation can be paid in the form of bonuses or stock options many of
which are linked to individual or group performance.
Our organization paid wages and salary on monthly basis. The date of
wage payment is 1st of every month. The amount of salary paid after
contribution for provident fund & the remaining amount paid. The
company pays wages as per minimum wage act to all workers. Minimum
wage of unskilled worker is 2500, semi skilled is 7500 and skilled is 18,000
5.6 Employee Welfare

Employee welfare means anything done for the comfort and
improvement of the employees, over and above the wages paid. “ the
effort to make life worth living for workman.” It include various
services, facilities, and amenities provided to employees for their
betterment. These facilities may be provided voluntary by progressive
entrepreneurs or statuary provisions may compel them to provide
these amenities or these may be undertaken by the government or
trade union if they have the required funds.
Our organization provide :
Page 58
1. Medical facility : we provide medical facility to our

employee because some time due to electricity or machinery
used they injured so we provide them emergency medical
facility.
2. Bonus facility : we provide extra salary on the
festival,occassion or finctions as a bonus to our employees.
3. vehicle facility : we also provide vehicle facility to our

employee so if they live in village or far distance do for that
we provide them vehicle facility and for women employee
we provide separate and speedy transportation facility.
4. Canteen facility : the organization also provides canteen
facility to the workers. In which workers can get lunch &
other snack at reasonable rate.
5. Loan facility : our organization provides a loan facility
without interest such as home loan , loan for furniture and
vehicle etc.
6. Rest room ; we provide rest room where the employee use to
take rest and can have their lunch during their job interval.
7. Time keeping system :
Morning : 8;00 am
Evening : 6:00 p.m.
Page 59
6. Project summary
Our ultimate goal is to provide a best product in the market so that

customer will highly satisfied with our product. We produce our
product with maximum smartwork and minimum hardwork and also
less pollution. We done our marketing with adopt the latest marketing
trend and with latest technology. Our finance planning is also worth
and our Hr staff is our family so I never consider organization as
“MY” but as “OUR”
7. project advancement and future plan

Our future plan is to hold a superior position in the market and also
with good will. We want to explore our business to abroad also like
japan, Canada, America and many more other countries.
8. conclusion
So here we conclude that we have best machines, and hr
management, production, marketing and finance management. We
also have best location facility which an good organization have.
9. reference
1. ftp://ftp.cpsc.ucalgary.ca/pub/project/text.compression.corpus.
2. http://www.cs.wisc.edu/nigara/data/.
Page 60
Page 61
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M.V.M College of com.,Mgt & I.T.

1. Introduction – product at glance

SR.NO SECTIONS PG.NO

1.1 Introduction – product at glance

b. Technical and managerial experience to handle the business : Previously

C. Knowledge related product and Business : Remote control or radio

6. Reverse right : 46 pulses

My business is sole proprietor. Its own by me only.

Sole proprietorship is a type of business structure owned and manage by a

For Forming a sole proprietorship :

1. Decide the name of business which is not previously used by any

d. Market Competition : there is monopoly in the electronic remote control

e. Availability of raw material and machines :

Sr.no Name of raw Availability of raw

Sr.no Name of machine Availability of

f. Labour requirement with different skills :

No. Of labour Educational Other qualities

G. Government subsidies and loan -

*Rate of interest : 12% p.a.

*Bank : Nagrik bank

*Time period : 10 years

1.2 Name of unit : Vrindavan Toys land

1.3 Profile of Unit:

7: SSI registration number : Applied for

1.4 Location and Site Preference :

Location is one of the most important factors to be considered for

“Vrindavan Toys Land” is located which is most wonderful place for

“ Vrindavan Toys Land” situated Nr. Shapar veraval bus station

1.5 Promoter’s Background :

Name of promoter : Mehta Honey Vipulbhai

1.6 Contribution of government institution :

1.7 Government procedure for registration :

Step-1 : Provisional SSI registration :

Step-2 Start the business :

Step-3 Apply for permanent SSI registration :

Sr. No Sections Pg. No

2.1 Introduction to Production Capacity :

The production department can be the largest organization within a business. It

A Key of the production department is efficiency. To the end, the bottleneck

2.2 Machinery used :

Sr. No Name of Nsme of Quotation

2.3 Raw Materials

Sr. No Name of raw Source of Name of Quotation

2.4 Production Process :

The production process involves assembly of electronic circuits,

Electricity energy consumption in production process of RC toys. Is the

2.5 Plant layout :

2.6 Production Capacity :

3.1 Introduction of Marketing department :

The concept of marketing segmentation was given by Wendell R. Smith who in

3.2 Marketing Planning :

My marketing planning is long term planning. Because I want to hold a

3.3 Product strategies :

 RC toys work from distance also with the help of remote

 When we push the control , the transmitter sends a specific number of

 They are tons of fun

 Live your adventure

 Extend the video game adventure