Financial summary

The total project cost is estimated to be 2.5cr with 60 lakh will be raised through partners; rest will be
borrowed by bank.
The cost of the building to be built; and
The cost of the equipment and furnishings for the movie theatre building.
The estimated cost of building is 1 cr including open parking are, canteen and finished building. The building
would be designed by an expert because it need some special attributes than normal living houses.
Total revenues are projected to be2942000 in Year 1.
Revenue from sources other than ticket would be canteen and parking are .canteen will be run by 3 rd party and
will give benefit of 30,000 in a month.

Capital cost and estimated revenue and expanses are as follows-

 Financial summary
Capital Costs

The capital costs for this project consist of

The cost of the building to be built and
The cost of the equipment and furnishings for the movie theatre building.
The legal expanses

The projected capital cost budget is as follows:

Particulars Amount

Land (14,000sq feet) ----

Building 1, 20,00,000
(Construction, development cost charge, permit
Architect etc)
Furnitures (500*4000) 20, 00,000
Sound System (2*30,00,000) 50,00,000
Ac 10, 00,000
DG (2*400,000) 800,000
Legal Expanses 200,000
Projector 20, 00,000
Curtain 500,000
Misc 300,000
Cash in Hand 12, 00,000
Total 2, 50,00,000
 Profit Distribution
Screen S1 Screen s2
Calculation for 3days(weekends)

200 seats*125rs=25000 /show 200 seats*125rs=25000 /show

25000*3shows=75000 /day 25000*3shows=75000/day
75000*3days=2,25,000 75000*3days=2,25,000
Now, calculation of another 3 days of a week

100seats*125=12500 /show 100seats*125=12500/show

12500*3=37500 /day 12500*3=37500/day
37500*3=112500 37500*3=112500

For rest 1 day

50*125=6250 50*125=6250
6250*3=18750 6250*3=18750
Revenue from s1 0f a month Revenue from s2 of a month
356250*4=1425000 356250*4=1425000
Total Revenue from both the screen =2850000/month

Estimated earnings from parking per show=50 vehicle*10Rs=500rs

In 3 shows - 500*3=1500
In a month=1500*28=42000/month
From canteen=30000/month
From advertisement= 20000/month
Total revenue of Funtime Cinema in a month=2850000+42000+30000+20000=rs2942000/month
 Profit Distribution

EXPENSES-
S1 S2
Tax- 1425000*30%=427500 1425000*14% = 199500

For both screens

Electricity- 500,000
Loan- 300,000
Labour- 150,000
Movie rights- 800,000
Maintainance- 50,000
Advertisements= 60,000
Telephone & Internet- 13000
Waste removal= 10,000
Water & Sewer 6000
Office expanses- 10,000
Other - 100,000
Total Expanses- 2626000
Total revenue- 2942000
Profit= total revenue-total exp=2942000-2626000=316000/month
So in a year 316000*12=3792000/year

Income tax of partnership firm is payable @ 30%

So profit after tax = profit*70% =Rs2654400

 Profit Distribution
Yaswant kumar has invested land as well as 15 cr so he is agreed to enjoy 40% of total profit. The other
partners will enjoy equal share of the money because they have invested equal amount of money .
Here is the calculation of individual profit-

Yaswant Kumar-2654400 *40%=1061760rs

The other three partners = 15926403=530880rs