Consider following assumptions and prepare the financial model to find out IRR with 10 years of operation, DSCR and Breakeven capacity on Cash basis and Project basis. 1. Installed capacity 2 million tonnes 2. Capacity utilization 1st year 70%, 2nd 3. Selling price Rs.20,000/- per tonnne year 80% and 100% from 3rd year onwards. 4. Raw material consumption 1.2 ton per tonne 5. Cost of raw material Rs.4000/per tonne 6. Stores consumed 0.5 ton per tonnne 7. Cost of stores Rs. 1250 per tonnne 8. Power charges - 300 MVA Fixed charges @ Rs.0.45 million / MVA 9. Power consumption per ton 1000 Units cost per unit Rs.4.50 10. Fuel consumption (Fixed Cost) - Minimum requirement 42 million litres @ Rs.11000/kilo litre 11. Fuel consumption (Variable Cost) 120 litres per tonnne 12. Water charges Rs.35 crore per annum 13. Salaries and wages - Fixed Rs.60 crore per annum and Rs. 150 per man hour. Four man-hours required for production of 1 tonne 14. Administrative overheads Rs.60 crore, Rs.80 crore and Rs.100 crore for first 3 years of operation and remain at that level thereafter. 15. Repairs and maintenance would be Rs.30 crore, Rs.40 crore and Rs.50 crore for first 3 years and remain at that level thereafter. 16. Selling expenses Rs.15 crore plus 4% of gross sales. 17. Total capital cost Rs. 1500 crore. 18. Term loans Rs. 1000 crores repayable in 5 equal instalments commencing from 2nd year with interest at 15% p.a. 19. Working capital requirements for first three years are 500, 600 and 800 and all working capital requirements are borrowed. 20. Working capital interest at 16% p.a. 21. WDV Depreciation at 25% and 10% on straight line method. 22. Tax Rate @ 33% Note on Depreciation: Use Straight Line Method for calculation of cash flow and WDV method for Income Tax purposes.