Paper Recycling Plant

By : Bokhabrine Ayoub

Introduction
Green Papers :
The process is known as Paper Recycling.
Convert used paper to the new, re-useable paper.
Location Temara City.
Surface : 80700 ft2

Financial Data : 3.800.000 $

Equity Funding: 1.000.000 $
Financial Debt : 2.800.000 $

Debt-to-Equity Ratio
The formula used to compute this ratio is
D/E = Total Liabilities / Shareholders Equity

1st year
D/E = 2.905.057 / 1.051.952
D/E = 2,76

3rd year
D/E = 4.051.763 / 4.426.529
D/E = 0,92

Current Ratio
The formula used to compute this ratio is
Current Ratio = Current Assets / Current Liabilities

1st year :
Current Ratio = 896.934 / 879.925
Current Ratio = 1.02

3rd year :
Current Ratio = 3.309.958 / 2.821.122
Current Ratio = 1.17

Quick Ratio
The formula used to compute this ratio is :
Quick Ratio = (Current Assets Inventories)/ Current Liabilities

1st year :
Current Ratio = 896.934 / 879.925
Current Ratio = 1.02

3rd year :
Current Ratio = 3.309.958 / 2.821.122
Current Ratio = 1.17

Breaking Even Point

BEP = Total fixed expenses / Gross profit margin

For 2017 will be :

2.210.920 = (1.768.736 / 0.8)

For 2018 will be :

959.361,25=(767.489 / 0.8)

Conclusion

 Questions