BASIS:

A.	No. of working days				: 300 per year
B.	No. of shifts					: 3, batch timing 22 Hrs.
C.	Plant capacity					: 5.00 MT / batch i.e. 1635 MT / year
D.	Chlorination					: 58-60



Production envisaged per annum:

a. CPW							: 1500 MT
b. Hcl							: 2700 MT

FIXED COST:							(Rs. In lacs)

1. LAND:
   
	2000 sq. meters @ 100/-per sq.meters			 2.00

2. BUILDING:							 5.00

	a. Plant does not require any building.
	b. Building for godown, office, chlorine shed
	   Boundary wall, laboratory, electric room,
	   Security office etc.

3. PLANT & MACHINERY:

	a. Main Plant (As per offer)				20.99
	b. Other items						10.26
	c. Erection						 1.20
	d. Excise duty, on 21.00 @ 13%				 2.73
	e. Sales tax, packing, forwarding, 			 1.87
    	   transit, insurance etc. 6% on 31.25
									37.05

4. OTHER ASSETS:

	a. Furniture & office equipment				 0.30				
	b. Preliminary & Pre-operative exp.			 1.00
	d. Others							 0.50

5. TOTAL FIXED COST:-

	1. Land							 2.00
	2. Building & other civil work				 5.00
	3. Plant & machinery					37.05
	4. Others						 1.80
									45.85	

6. TOTAL PROJECT COST:

	A. Fixed cost						45.85
	B. Margin for working capital				 8.68
									54.53

7. SOURCE OF FUNDS:

	a. Own capital						 9.93

	b. Term loan from financial corporation
		Land					 2.00
		Buildings				 5.00
		P & M					37.05
		75%						33.00
	c. Subsidy @ 15%					06.60

	d. Unsecured loan					05.00
									54.53

8. COST OF PRODUCTION PER ANNUM: 			

   A. RAW MATERIAL:

	S.No.	Item		Qty	Rate / MT	Amount in Lacs
	1	HNP		630	0.25		157.50
	2	Chlorine	1970	0.05		 98.50
	3	Hydrated lime	56	0.02		  1.12
	4	Stabilizer	6	0.68		  4.08
		Total					261.20

   B. PACKING

	PVC Drum of 250 Kgs Cap.	6000	400/-    24.00

   C. OTHER EXPENSES

	a. Salaries & wages					4.80
	b. Repair & maintenance					0.72
	c. Power, water & utilities				1.80
	d. Insurance, rates, legal				0.84
	e. Postage, Telephone etc.				0.84
	f. Office expenses					0.84
	g. Traveling Exp.					1.20
	h. Conveyance and maintenance				1.20
	i. Misc. exp.						1.20
									13.44	

   D.   INTEREST:-

	a. Term loan Rs. 33.00 @ 18%				5.94
	b. On working capital loan on				4.94
   	   21.00 @ 19%
	c. Unsecured loan on Rs. 05.00 @ 18%			0.90
									11.78

   E. DEPRECIATION:

	a. Building			Rs. 05.00 lacs @5%	0.25
	b. P & M			Rs. 37.05 lacs @ 20%	7.41
	c. Other assets			Rs. 3.34 lacs @10%	0.34
									 8.00

   TOTAL COST OF PRODUCTION					       318.42

9. SALES REALISATION:
	
	1. CPW		1500 MT		 @ 21500/-		322.50
	2. Hcl		 2700 MT 	 @ 1500/-		 40.50
								       363.00
			
10. PROFITABILITY:

	1. Total cost of production				318.42
	2. Sales realization:					363.00
									44.58
11/ WORKING CAPITAL:

	S.No.	Item		 Period	Margin Amount	Bank  Margin
	1	Raw Material	 ½ month  25%	10.88	8.16	2.72
	2	Packing material ½ month  25%	 1.00	0.75	0.25
	3	Work in process  1 day	  25%	 0.70	0.52	0.18
		(R.M. Cost basis)
	4	Finished goods	 ¼ month  25%	 6.80	5.10	1.70
	5	Sundry debtors 	½ month	  25%	15.30  11.47	3.83
		(selling price)
		Total			        34.68  26.00	8.68