Cost of single pile bore at normal Ground Area

Rs. 6000 per meter

Cost of 08 pile bore at normal Ground Area
6000/m x 20 m x 8 = Rs. 960,000

Entity
Revenue
Operation Days
Direct Labor(10 + 3 people)
Direct Material Fuel
Overheads
Supervision Charges
Total Cost
Net Income

Increase in Revenue
Increase in the Cost
Net Income

Entity
Revenue
Operation Days
Variable Expenses
Net Income / days

Entity
Revenue

Entity
Revenue

Entity
Revenue

Entity
Profit
 Cost of single pile bore at Hilly Area
Rs. 16000 per meter
Cost of 08 pile bore at Hilly Area
16000 /m x 20 m x 8= Rs. 2,560,000

Ground Area
Rs. 6000/m x 20 m x 8 bore =
Rs. 960,000
Average 5 Days
350,000 / project
Rs. 25,000 / bore x 8 bore =Rs. 200,000
Rs. 10,000 / bore x 8 bore =Rs. 80,000
Rs. 30,000 / project
Rs. 660,000
Rs. 300,000

Rs. 1,600,000
Rs. 1,410,000
Rs. 190,000

Project A
Rs. 6000/m x 20 m =Rs. 120,000 / bore
Average 5 Days
Rs. 69,000 / project
Rs. 51,000 / 5 days

Only Project A
Rs. 51000 x 3 = Rs. 153000

Project A full and using the remaining time for project B

Rs. 51000 x 3 + Rs. 45000 x 2 =Rs. 243,000

Contribution margin Project A

Rs. 51000 x 2 = Rs. 102,000

Special Order
Rs. 190,000
 Hilly Area
Rs. 16000/m x 20 m x 8 bore =
Rs. 2,560,000
Average 20 Days
900,000 / project
Rs. 100,000 / bore x 8 bore =Rs. 800,000
Rs. 40,000 / bore x 8 bore =Rs. 320,000
Rs. 50,000 / project
Rs. 2,070,0000
Rs. 490,000

Project B
Rs. 4000 x 20 m =Rs. 80,000 / bore
Average 2 Days
Rs. 35000 / project
Rs. 45,000 / 2 days

Only Project B
Rs. 45000 x 4 = Rs. 180,000

Project B full and using the remaining time for

project A
Rs. 45000 x 4 + Rs. 51000 x 2 = Rs. 282,000

Contribution margin Project B

Rs. 45000 x 4 = Rs. 180,000

Utilization of Constrained Resources

Rs. 282,000