ANNUX 1

INITIAL COST STRUCTURE

Initial Investment
Particulars
Motor bike
Delivery Van
Total Vehicle
Cow Shed & Office
Compounding
Office Structure & Fittings
Furniture
Equipments
Water Tank
Grass Cutter
Water Pipe Tank
Defreeze
Telephone (one Set)
Aluminium Acessories & Others
Tank Stand
Total
Cow (80000*15)
Total long Term Investment

Amounts
250,000
1,250,000
1,500,000
630,000
70,000
700,000
100,000
50,000
30,000
3,000
70,000
10,000
110,000
10,000
283,000
1,200,000
3,783,000

Operating Capital ( Pre Operating Expenses)

Insurance Premium
Legal and Registration Expenses
Rent Deposits
Advertising and Promotion
Miscellaneous Expenses
Total Operating Capital
Total Initial Cost

30,000
28,000
30,000
80,000
100,000
268,000
4,051,000

Source of Financing
Loan from Bank & Financial Institution
Share Capital
Total Fund Available

2,835,700
1,215,300
4,051,000

Calculation of Working Capital Requirement

Account Receivable
Account Payable
Inventories
Operating Expenses
Working Capital Requirement
Short Term Loan
Equity

139,315
(48,705)
96,825
183,628
371,063
259,744
111,319

ANNUX 1
INITIAL COST STRUCTURE
Total Equity Requirement

1,326,619

ANNUX 2

Banstola Cow Firm Pvt.Ltd

Purunchour 5 Kaski
Projected Income Statement
Particulars
Sales
Less: Cost of Sales
Gross Profit
Other Income
Total Income
Less:
Written Off of Pre Operating Expenses
Administrative Expenses
Profit/(Loss) From Operation
Depreciation
Interest Expenses
Profit Before Tax

Profit Transferred to Reserve & Surplus

Year 1
3,390,000
592,575
2,797,425

Year 2
3,729,000
748,658
2,980,343

Year 3
4,101,900
823,523
3,278,377

Year 4
4,512,090
905,876
3,606,214

Year 5
4,963,299
987,287
3,976,012

2,797,425

2,980,343

3,278,377

3,606,214

3,976,012

53,600
1,610,960
1,132,865
430,750
239,614
462,501

53,600
1,643,179
1,337,163
285,063
232,175
819,925

53,600
1,901,462
1,376,915
238,447
147,864
990,605

53,600
1,939,491
1,666,724
200,453
95,488
1,370,783

53,600
1,978,281
1,997,731
169,346
38,237
1,790,148

462,501

819,925

990,605

1,370,783

1,790,148

ANNUX 3

Banstola Cow Firm Pvt.Ltd

Purunchour 5 Kaski
Projected Balance Sheet
Particulars
Non-Current Assets
Live Stock ( Cows)
Fixed Assets ( net)
Pre Operating Expenses ( net)
Total Non-Current Assets
Current Assets
Cash and Bank
Inventories
Account Receivables
Total Current Assets
Total:
Equity & Liabilities
Equity
Share Capital
Reserve & Surplus
Total Equity

Year 0

2
3
4

5
6

Current Liabilities
Short Term Borrowings
Account Payable
Total Current Liabilities
Total:

Year 2

Year 3

Year 4

Year 5

1,200,000
2,583,000
268,000
4,051,000

1,200,000
2,152,250
214,400
3,566,650

1,200,000
1,867,188
160,800
3,227,988

1,200,000
1,628,741
107,200
2,935,941

1,200,000
1,428,288
53,600
2,681,888

1,200,000
1,258,942
2,458,942

111,319
111,319

659,556
96,825
139,315
895,697

986,607
106,508
153,247
1,246,361

1,604,771
117,158
168,571
1,890,501

2,146,982
128,874
185,428
2,461,285

2,777,647
141,761
203,971
3,123,379

4,162,319

4,462,347

4,474,349

4,826,441

5,143,173

5,582,321

1,326,619
1,326,619

1,326,619
416,251
1,742,870

1,326,619
1,154,184
2,480,803

1,326,619
1,699,016
3,025,635

1,326,619
2,384,408
3,711,027

1,326,619
3,189,974
4,516,593

2,835,700
2,835,700

46,250
46,250
2,364,778
2,364,778

81,993
81,993
1,850,020
1,850,020

445,772
445,772
1,287,347
1,287,347

685,391
685,391
672,299
672,299

984,581
984,581
-

4,162,319

259,744
48,705
308,449
4,462,347

61,533
61,533
4,474,349

67,687
67,687
4,826,441

###
74,456
74,456
5,143,173

81,147
81,147
5,582,321

Proposed Dividend
Long Term Borrowings

Year 1

ANNUX 4

Banstola Cow Firm Pvt.Ltd

Purunchour 5 Kaski
Projected Cash Flow Statement

Particulars
A.Cash Flow From Operating Activities
Net Profit/(Loss) after Tax
Add: Writeoff of Pre Operating Expenses
Add;Interest Expenses
Add: Depreciation
Net Cash Flow Before Changes in Working Capital
(Increase) / Decrease in Receivables
(Increase) / Decrease in Inventories
Increase/ (Decrease) in Account Payables
Net Cash Flow From Operating Activities
B.Cash Flow From Investing Activities
Purchase of Cows
Purchase of Fixed Assets
Pre - Operating Expenses
Net Cash Flow From Investing Activities
C. Cash Flow From Financing Activities
Increase/(Decrease) in Capital
Increase / ( Decrease ) in Bank Loan
Increase/(Decrease) in Working Capital Loan
Less: Interest Expenses
Less; Dividend paid
Net Cash Flow From Financing Activities
Net Cash Flow ( A+B+C)
Add: Opening Cash & Bank Balance
Closing Cash & Bank Balanace

Year 0

Year 1

(1,200,000)
(2,583,000)
(268,000)
(4,051,000)

Year 2

462,501
53,600
239,614
430,750
1,186,465
(139,315)
(96,825)
48,705
999,030

1,326,619
2,835,700

(470,922)
259,744
(239,614)

4,162,319
111,319
111,319

Year 3

819,925
53,600
232,175
285,063
1,390,763
(13,932)
(9,683)
12,829
1,379,978

Year 4

990,605
53,600
147,864
238,447
1,430,515
(15,325)
(10,651)
6,153
1,410,693

Year 5

1,370,783
53,600
95,488
200,453
1,720,324
(16,857)
(11,716)
6,769
1,698,519

1,790,148
53,600
38,237
169,346
2,051,331
(18,543)
(12,887)
6,691
2,026,592

(450,792)

(514,757)
(259,744)
(232,175)
(46,250)
(1,052,927)

(562,673)
(147,864)
(81,993)
(792,529)

(615,048)
###
(95,488)
(445,772)
(1,156,309)

(672,299)
(38,237)
(685,391)
(1,395,928)

548,237

327,051

618,164

542,211

630,664

111,319

659,556

986,607

1,604,771

2,146,982

659,556

986,607

1,604,771

2,146,982

2,777,647

ANNUX 5

LIQUIDITY RATIO
1. Current Ratio
Particular
Current Assets:
Current Liabilities
Current rato

Year 1

Year 2

Year 3

Year 4

Year 5

895697

1246361

1890501

2461285

3123379

308449
2.90

61533
20.26

67687
27.93

74456
33.06

81147
38.49

DEBT MANAGEMENT RATIO

1. Debt -to -equity ratio=( total liabilities total shareholder's equity)
Particular
Total liabilities
Total Equity
Debt-to-equity ratio

Year 1
Year 2
Year 3
Year 4
Year 5
6,827,124
6,324,369
6,113,789
5,815,472
5,582,321
1,742,870
2,480,803
3,025,635
3,711,027
4,516,593
3.92

2.55

2.02

1.57

1.24

2. Time interest earned ratio (NI +IE+ tax )IE

Particular
Year 1
Year 2
Year 3
Year 4
Year 5
Net income
462,501
819,925
990,605
1,370,783
1,790,148
Interest expenses
239,614
232,175
147,864
95,488
38,237
Tax expense
###
EBIT
702,115
1,052,101
1,138,468
1,466,271
1,828,385
Time interest earned rati
2.93
4.53
7.70
15.36
47.82

ANNUX 5

PROFITABILITY ANALYSIS
1. Gross Profit Ratio = Gross Profit Net Sale
Particular
Year 1
Year 2
Year 3
Year 4
Year 5
Gross Profit
2,797,425
2,980,343
3,278,377
3,606,214
3,976,012
Net Sales
3,390,000
3,729,000
4,101,900
4,512,090
4,963,299
Gross Profit ratio
83%
80%
80%
80%
80%
2. Profit Margin Ratio = Net Income Net sales
Particular
Year 1
Year 2
Year 3
Year 4
Year 5
Net Income
462,501
819,925
990,605
1,370,783
1,790,148
Net Sales
3,390,000
3,729,000
4,101,900
4,512,090
4,963,299
Profit Margin
14%
22%
24%
30%
36%
3. Return On Assets Ratio = Net income Total Assets
Particular
Year 1
Year 2
Year 3
Year 4
Year 5
Net Income
462,501
819,925
990,605
1,370,783
1,790,148
Total Assets
4,162,319.00
4,462,346.55 4,474,348.83
4,826,441.44
5,143,172.50
ROA Ratio
11%
18%
22%
28%
35%
4. Assets Turnover Ratio = Net Sales Total Asset
Particular
Year 1
Year 2
Year 3
Year 4
Year 5
Net Sales
3,390,000
3,729,000
4,101,900
4,512,090
4,963,299
Total Assets
4,462,347
4,474,349
4,826,441
5,143,173
5,582,321
Assets Turnover Ratio
0.76
0.83
0.85
0.88
0.89

Particular
Net income
Total equity

5. Return on Equity = Net income/ Total Equity

Year 1
Year 2
Year 3
Year 4
Year 5
462,501
819,925
990,605
1,370,783
1,790,148
1,742,870
2,480,803
3,025,635
3,711,027
4,516,593

ANNUX 5
ROE

27%

33%

33%

37%

Calculation of NPV and IRR

Intial capital investment
Rate of return
Interest rate

4,051,000
10%
10%

year
0
1
2
3
4
5
NPV
IRR

CFAT
(4,051,000)
659,556
986,607
1,604,771
2,146,982
2,777,647
1,760,781
22%

Calculation of Discounted Payback period

Initial cash outflow =
4,051,000
Required return = 9%
Year
cash flow
PVIF @ 10%
DCF
Cum. CFAT
1
659,556
0.9091
599,597
599,597
2
986,607
0.8264
815,378
1,414,975
3
1,604,771
0.7513
1,205,688
2,620,663
4
2,146,982
0.6830
1,466,418
4,087,081
5
2,777,647
0.6209
1,724,700
5,811,781
DPBP

min years+(amt to be recovered/CFAT folloeing the min years

3.99

40%

ANNUX 6
CALCULATION OF REVENUE, COGS AND SALARY SHEET

Expected Revenue
Particulars
Amounts
Milk (4500*10*70)
3,150,000
Fertilizer(4000*5(truck)*12)
240,000
Total
3,390,000
We expect that cow will give milk for 10 months at the average of 150 ltr per day
and all the milk will be sold.

Calculation of Cost of Good Sold

Items
Chocker & Dana
Salt
Paral & Grass
Total

Quantity

Unit
15 kg
2 Packet
75 kg

Rate (per un
25
20
20

No of Days
Total Cost of Production(COGS)
Calculation of Stock
Particulars
Chocker & Dana
Salt
Paral & Grass

Assume days

Qty
15
30
60

Rate
15
2
75

25
20
20

25000
18000
13000
20000
9000

Total Salary
325000
234000
169000
260000
117000
1105000

Total

Salary Sheet
Name of Employee
Manager
Accountant
Driver
Vetneriian
Workers
Total

No

Basic Salary
1
1
1
1
3

Rent Expense @ 12500 for the period of 5 yrs as per the agreement papers.

Y SHEET

Amount
375
40
1500
1915
360
689400

Amount ( Rs)
5625
1200
90000
96825

ment papers.

ANNUX 7
LOAN AMORTIZATION SCHEDULE
Loan
Rate
Installment
Pmt
2,835,700.00
2.25%
20.00
$177,634.12
Pmt no.
Installment
Principal
Interest
Loan
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
Year
1.00
2.00
3.00
4.00
5.00
Total

177,634.12
177,634.12
177,634.12
177,634.12
177,634.12
177,634.12
177,634.12
177,634.12
177,634.12
177,634.12
177,634.12
177,634.12
177,634.12
177,634.12
177,634.12
177,634.12
177,634.12
177,634.12
177,634.12
177,634.12

113,830.87
116,392.06
119,010.89
121,688.63
124,426.63
127,226.22
130,088.81
133,015.81
136,008.67
139,068.86
142,197.91
145,397.37
148,668.81
152,013.85
155,434.17
158,931.44
162,507.39
166,163.81
169,902.49
173,725.30

63,803.25
61,242.06
58,623.23
55,945.49
53,207.49
50,407.90
47,545.31
44,618.31
41,625.45
38,565.26
35,436.21
32,236.75
28,965.31
25,620.27
22,199.95
18,702.68
15,126.73
11,470.31
7,731.63
3,908.82

2,721,869.13
2,605,477.07
2,486,466.18
2,364,777.55
2,240,350.92
2,113,124.70
1,983,035.88
1,850,020.07
1,714,011.40
1,574,942.54
1,432,744.63
1,287,347.26
1,138,678.45
986,664.60
831,230.43
672,299.00
509,791.60
343,627.80
173,725.30
-

Interest Expen Principal Pmt

239,614.03
470,922.45
195,779.00
514,757.48
147,863.67
562,672.81
95,488.22
615,048.26
38,237.48
672,299.00
716,982.40
2,835,700.00

Working Capital loan for which interest has been calculated 13.5% and paid at the end of the year.
36,396.41
Interest on WC loan

ANNUX 8
CALCULATION OF DEPRECIATION

Banstola Cow Firm Pvt.Ltd

Purunchour 5 Kaski
Schedules Forming Part of the Accounts
as per Income Tax Act 2058
Fixed Assets ( net)
Particulars
Block - A
Office Structure & Fitting
Sub Total

Rate

2nd year
WDV

4th year WDV

5th Year
Depreciation

Schedule - 1
5th year
WDV

600,163
600,163

30,008
30,008

570,154
570,154

28,508
28,508

541,647
541,647

14,063
39,797
53,859

42,188
119,391
161,578

10,547
29,848
40,395

31,641
89,543
121,184

7,910
22,386
30,296

23,730
67,157
90,888

153,000
153,000
238,447

867,000
867,000
1,628,741

130,050
130,050
200,453

736,950
736,950
1,428,288

110,543
110,543
169,346

626,408
626,408
1,258,942

1st year WDV

3rd Year
Depreciation

700,000
700,000

35,000
35,000

665,000
665,000

33,250
33,250

631,750
631,750

31,588
31,588

100,000
283,000
383,000

25,000
70,750
95,750

75,000
212,250
287,250

18,750
53,063
71,813

56,250
159,188
215,438

1,500,000
1,500,000
2,583,000

300,000
300,000
430,750

1,200,000
1,200,000
2,152,250

180,000
180,000
285,063

1,020,000
1,020,000
1,867,188

3rd year
WDV

5%

Block - B
Furniture & Fittings
Equipments & Accessories
Sub Total

25%

Block - C
Vehicles

20%

Sub Total
Grand Total

2nd Year
Depreciation

4th Year
Depreciation

1st Year
Depreciation

Total Cost

ANNUX 9
OTHER SCHEDULEWISE CALCULATION

Banstola Cow Firm Pvt.Ltd

Purunchour 5 Kaski
Schedules Forming Part of the Accounts
Cash & Bank Balances
Particulars
Cash & Bank
Total

Year1
659,556
659,556

Year 2
986,607
986,607

Year 3
1,604,771
1,604,771

Year 4
2,146,982
2,146,982

Schedule-2
Year 5
2,777,647
2,777,647

Year1
96,825
96,825

Year 2
106,508
106,508

Year 3
117,158
117,158

Year 4
128,874
128,874

Schedule-3
Year 5
141,761
141,761

Year1
139,315
139,315

Year 2
153,247
153,247

Year 3
168,571
168,571

Year 4
185,428
185,428

Schedule-4
Year 5
203,971
203,971

Year1
1,326,619
1,326,619

Year 2
1,326,619
1,326,619

Year 3
1,326,619
1,326,619

Year 4
1,326,619
1,326,619

Schedule-5
Year 5
1,326,619
1,326,619

Year1
462,501
46,250
416,251

Year 2
416,251
819,925
81,993
1,154,184

Year 3
1,154,184
990,605
445,772
1,699,016

Year 4
1,699,016
1,370,783
685,391
2,384,408

Schedule-6
Year 5
2,384,408
1,790,148
984,581
3,189,974

Year1
48,705
48,705

Year 2
61,533
61,533

Year 3
67,687
67,687

Year 4

Inventories
Particulars
Closing Stock
Total
Acount Receivables
Particulars
Sundry Debtors
Total
Share Capital
Particulars
Capital Requirement
Total

Reserve & Surplus

Particulars
Accumulated Profit/(Loss) upto Previous Year
Profit/(Loss) during current year
Less Proposed Dividend @10%
Total
Account Payable
Particulars
Account Payable
Total

74,456
74,456

Schedule-7
Year 5
81,147
81,147

ANNUX 9
OTHER SCHEDULEWISE CALCULATION

Banstola Cow Firm Pvt.Ltd

Purunchour 5 Kaski
Schedules Forming Part of the Accounts
Cost of Sales
Particulars
Opening Stock
Feeding items
Less: Closing Stock
Total
Administrative Expenses
Particulars
Local Transportation
Advertisement Expenses
Rent Expenses
Office Expenses
Medicine Expenses
Miscellaneous Expenses
Printing & Stationery Expenses
Staff Welfare Expenses
Fuel Expenses
Repair & Maintenance
Insurance Expenses
Legal Charges
Water & Electricity Expenses
Telephone Expenses
Staff Salary Expenses
Total

Year1
689,400
96,825
592,575

Year 2
96,825
758,340
106,508
748,658

Year 3
106,508
834,174
117,158
823,523

Year 4
117,158
917,591
128,874
905,876

Year1
14,500
30,000
150,000
24,350
35,000
6,530
13,450
25,460
68,750
40,510
36,450
25,670
16,540
18,750
1,105,000
1,610,960

Year 2
15,950
25,000
150,000
26,785
38,500
7,183
14,795
28,006
75,625
44,561
40,095
28,237
18,194
20,625
1,215,500
1,749,056

Year 3
17,545
20,000
150,000
29,464
42,350
7,901
16,275
30,807
83,188
49,017
44,105
31,061
20,013
22,688
1,337,050
1,901,462

Year 4
19,300
24,000
150,000
32,410
46,585
8,691
17,902
33,887
91,506
53,919
48,515
34,167
22,015
24,956
1,470,755
2,078,608

Schedule-8
Year 5
128,874
1,000,175
141,761
987,287
Schedule-9
Year 5
21,229
26,000
###
35,651
51,244
9,561
19,692
37,276
100,657
59,311
53,366
37,583
24,216
27,452
1,617,831
2,271,069