Depreciation Schedules:

A) Asset Valuation for Depreciation Purposes

Sr.No Asset Expenses
1 Land
2 Building
3 Plant and Machinery
4 Miscellaneous fix assets
5 Intangible Assets

B)Depreciation Schedule for Company Law Purposes

Building(3.34%
175624
)
Plant and
Machinery 8708238
(8.09%)
Miscellaneous
fix 25904
assets(5.15%)
Intangible
2213200
Assets (11%)
Annual
11122966
Depreciation

C) Depreciation Schedule for Incom Tax Purposes (W

Year Building (10%)
I 525820
II 473238
III 425914
IV 383323
V 344990
VI 310491
VII 279442
VIII 251498
IX 226348
X 203713
tion Purposes
Share Of Contingency
Basic Cost Share Of Preoperative Cost Total
Margin
2500000 5400 9000 2514400
5225000 11700 19500 5256200
107010000 237000 395000 107642000
500000 1200 1848 503048
20000000 45000 75000 20120000

mpany Law Purposes (Straight Line Method)

Plant(Written
com Tax Purposes and down Value Method)
Machinery and
Miscellaneous Intangible Assets (25%) Total Total
Fixed Assets
10814505
(10%) 5030000 16370325 32214830
9733064 3772500 13978802 27484366
8759758 2829375 12015047 23604180
7883782 2122031 10389136 20394949
7095403 1591523 9031916 17718842
6385864 1193642 7889997 15469503
5747277 895232 6921951 13564460
5172549 671424 6095471 11939444
4655295 503568 5385211 10544074
4189765 377676 4771154 9338595
Profitability Estimates (Estimates of Working Result):

I YEAR II YEAR
Install capacity 1920000 1920000
Capacity Utilization (%) 50 70
A) Sales Realization 76800000 107520000
B) Cost of Production
Raw materials 3451000 4831400
Power 160000 224000
Wages and salaries 414000 414000
Factory overheads 112000 112000
c) Administration and selling
expences
Administration expences 300000 300000
Selling expences 10000 10000
D)Gross Profit Before Interest 23436000 36823200
E) Total Financial expences
Interest on tearm loan 10597200 10597200
Interest on bank borrowing 673249 1007285
F) Depraciation 11122966 11122966
G) Operating profit 1042585 14095749
H) Priliminary expences Written off 50000 50000
I) Profit/ Loss before Tax 992585 14045749
J)Provision for Tax 1456379
K) Profit after tax 992585 12589370
l) Less: Dividend 4800000 4800000
M) Retained profit 992585 7789370
N) Add:
depreciation 11122966 11122966
Priliminary expences written off 50000 50000
O) Net Cash Accruals 12165551 18962336
III YEAR IV YEAR V YEAR VI YEAR VII YEAR VIII YEAR
1920000 1920000 1920000 1920000 1920000 1920000
90 90 90 90 90 90
138240000 138240000 138240000 138240000 138240000 138240000

6211800 6211800 6211800 6211800 6211800 6211800

288000 288000 288000 288000 288000 288000
414000 414000 414000 414000 414000 414000
112000 112000 112000 112000 112000 112000

300000 300000 300000 300000 300000 300000

10000 10000 10000 10000 10000 10000
50210400 50210400 50210400 50210400 50210400 50210400

9537480 8477760 7418040 6358320 5298600 4238880

1341321 1341321 1341321 1341321 1341321 1341321
11122966 11122966 11122966 11122966 11122966 11122966
28208633 29368353 30328073 31387793 32447513 33507233
50000 50000 50000 50000 50000 50000
28158633 29218353 30278073 31337793 32397513 33457233
5725975 6289957 6797516 7259860 7685686 8081793
22432658 22928396 23480557 24077933 24711827 25375440
5600000 5600000 6400000 6400000 7200000 7200000
17632658 17328396 17880557 17677933 1831827 18175440

11122966 11122966 11122966 11122966 11122966 11122966

50000 50000 50000 50000 50000 50000
28805624 28501362 29053523 28850899 29484793 2934846
IX YEAR X YEAR
1920000 1920000
90 90
138240000 138240000

6211800 6211800
288000 288000
414000 414000
112000 112000

300000 300000
10000 10000
50210400 50210400

3179160 2119440
1341321 1341321
11122966 11122966
34566953 35636673
50000 50000
34516953 35576673
8453489 8804982
26063464 26771691
8000000 8000000
18863464 1877691

11122966 11122966
50000 50000
30036430 29944657
 I YEAR II YEARIII YEARIV YEAR V YEAR VI YEAR VII YEAR VIII YEAR IX YEAR X YEAR
Profit/Loss 992585 14045749 28158633 29218353 30278073 31337793 32397513 33457233 34516953 35576673
before tax
depreciatio
n for 11122966 11122966 11122966 11122966 11122966 11122966 11122966 11122966 11122966 11122966
company
Less 12115551 25168715 3928593 40341313 41401039 42460759 43520479 44580199 45639919 46699639
depreciatio 16370325 13978802 12015047 10389138 9031916 7889997 6921973 6095471 5385211 4771154
n for tax
purpose -4254774 11189913 27266546 29952179 32369123 34570762 36598506 38484728 40254708 41928485
Less
unabsorbed
depreciatio 4254774
n of earlier
years
Gross Total -4254774 6935139 27266546 29952175 32369123 34570762 36598506 38484728 40254708 41928485
Income
for newly
set up
industrial
undertaking
under 2080542 8179964 8985652 9710737 10371229 10979552 11545418 12076412 12578546
Section 801
for 10 years
from the
initial years
Total
@30 % of 4854597 19086582 20966523 22658386 24199533 25618954 26939310 28178296 29349940
Income
Income
Tax@ 30 % 1456379 5725975 6289957 6797516 7259860 7685686 8081793 84853489 8804982
of total
income
 Projected Cash Flow Statement

Construction
Period I YEAR II YEAR III YEAR IV YEAR V YEAR VI YEAR

Sources of
Funds

Share issue 40000000

Profit
beforetaxatio
n with
interest
added back 1263034 25650234 39037434 39037434 39037434 39037434

Depreciation 11122966 11122966 11122966 11122966 11122966 11122966

Preliminary
expenses
written off 50000 50000 50000 50000 50000 50000

Increase in
secure
medium and
long term
borrowings 88310000

Increase in
bank
borrowings
for working
capital 4804925 2385970 2385970

Increase in
state Govt's
special
incentive loan 3563475
Total (A) 131873475 28244925 39209170 52596370 50210400 50210400 50210400
Disposition of
Funds

Capital
Expenditure
for the Project 128810000

Increase in
Working
Capital 7372400 3411360 3411360

Preliminary
expenses
written off 500000

Decrese in
Secured
Medium and
long term
Borrowings 8831000 8831000 8831000 8831000 8831000
Interest On
Term loans 10597200 10597200 9537480 8477760 7418040 6358320

Interest on
Bank
borrowings
for Working
Capital 673249 1007285 1341321 1341321 1341321 1341321
Taxation 1456379 5725975 6289957 6797516 7259860
Dividend 4800000 4800000 5600000 5600000 6400000
Total (B) 129310000 18642849 30103224 33647136 30540038 29987877 30190501

Opening
Balance of
Cash in Hand
and at Bank 2563475 12165551 21271497 40220731 59891087 80113610
Net Surplus/
Deficit A-B 2563475 960276 9105446 18949234 19670356 20222523 20019899

Closing
Balance of
Cash in Hand 2563475 12165551 12271497 40220731 59891087 80113610 100133509
VII YEAR VIII YEAR IX YEAR X YEAR

39037434 39037434 39037434 39037434

11122966 11122966 11122966 11122966

50000 50000 50000 50000

50210400 50210400 50210400 50210400

 8831000 8831000 8831000 8831000

5298600 4238880 3179160 2119440

1341321 1341321 1341321 1341321

768586 8081793 8453489 8804982
6400000 7200000 7200000 8000000
29556607 29692994 29004970 29096743

100133509 120787302 141304708 162510138

20653793 20517406 21205430 21113657

120787302 141304708 162510138 183623795

 Projected Balance Sheet

At the end of
Construction I YEAR II YEAR III YEAR IV YEAR V YEAR
Period
Liabilities

1. Share Capital 40000000 40000000 40000000 40000000 40000000 40000000

2. Reserve and
Surplus 992585 8781955 26414607 43742997 61623554

3. Secure Loans
i. Term Loans 88310000 88310000 79479000 70648000 61817000 52986000
ii. Working
Capital adv. 4808925 7194895 9580865 9580865 9580865
4. Unsecured
Loans
i.State Govt.
loans 3563475 3563475 3563475 3563475 3563475 3563475

5.Current
Liabilities and
provisions
i. Trade Credit 2881500 3571700 4261900 4261900 4261900
Total 131873475 140556485 142591025 154468853 162966243 172015800
Assets
1.Fixed Assets
Gross Block 128814444 128814444 128814444 128814444 128814444 128814444

Less
Accumulated
Depreciation 11122966 22245932 33368898 44491864 55614830

Net Fixed Assets 128810000 11768034 106564068 95441102 86318136 73195170

2. Investments

3. Current
Assets, loans and
Advances
Raw Materials 3451000 4831400 6211800 6211800 6211800

Stock-in- Process 402900 564060 725220 725220 725220

Finished Goods 3200000 4480000 5760000 5760000 5760000

Book Debts 3200000 4480000 5760000 5760000 5760000
Cash and Bank
Balances 2563475 12165551 21271497 40220731 59891087 80113610
4. Miscellanous
Expenditure and
Losses
Preliminary
Expenses 500000 450000 400000 350000 300000 250000
Total 131873475 140556485 142591025 154468853 162966243 172015800
ojected Balance Sheet

VI YEAR VII YEARVIII YEAR IX YEAR X YEAR

40000000 40000000 40000000 40000000 40000000

79301487 97613314 115788754 134652218 153423909

44155000 35324000 26493000 17662000 8831000

9580865 9580865 9580865 9580865 9580865

3563475 3563475 3563475 3563475 3563475

4261900 4261900 4261900 4261900 4261900

80862733 190343560 199688000 209720464 219661155

128814444 128814444 128814444 128814444 128814444

66737796 77860762 88983728 100106694 111229660

62072204 50949238 39826272 28703306 17580340

6211800 6211800 6211800 6211800 6211800

725220 725220 725220 725220 725220

5760000 5760000 5760000 5760000 5760000

5760000 5760000 5760000 5760000 5760000

100133509 120787302 141304708 162510138 183623795

 200000 150000 100000 50000
180862733 190343560 199688000 209720464 219661155