DE Assignment_2_220809_210648.p x + X C File | C:/Users/Akhil/Downloads/Assignment_2_220809_210648.pdf Not syncing 1 of 2 Q + 2 0 Page view | A Read aloud T Add text Draw Highlight Erase o3 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 1" year 70%, 2" year 80% and 100% from 3"d year onwards. 3. Selling price Rs.20,000/- per tonnne 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 1 1. 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 I 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. Type here to search O 23.C Mostly cloudy ^ ^ D () 10:58 PM O W 8/9/2022