Q. Calculate the Return on Investment (RoI) for the distributor given the following data:

Monthly Turnover = 100000000; Distributor Gross Margin = 3.0%; 25 days in a month

Delivery Expenses

Van Running Cost = Rs 10,000/day (for all the owned vans combined)

Van Hiring Cost = 3,00,000/van/month; Number of hired vans = 5

Van Depreciation = Rs 6,00,000/year (for all the owned vans combined)

Manpower Expenses

Salesperson salary = Rs 11,000/month/salesperson ; Number of salesperson = 15

Godown keeper and delivery boy salary = Rs 12,000/month/delivery person;

Number of delivery persons = 6

Admin salary = Rs 15,000/month/admin; Number of admin people = 2

Godown and office rent = Rs 7/sq ft; Size of Godown and office = 55,000 sq ft

Administrative and other expenses = Rs 1,00,000/month

Total Required Investment (in days) = 8.5

Stock = 5.5; Credit = 1.5; Pending Claims = 0.5; Cash in Hand = 1.0