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Question no . 1 . Crystal Industry Pvt . Ltd manufactures ceramic tiles in the region of Mehsana, near Ahmedabad, Gujarat, and has a satisfactory
Question no Crystal Industry Pvt Ltd manufactures ceramic tiles in the region of Mehsana, near Ahmedabad, Gujarat, and has a satisfactory track record of running its ceramic business, with a turnover of Rs Crore and PAT of Rs per annum. The company has now requested to sanction a Term Loan of Rs Crore from its existing bank, PNB to set up a new unit with the following details. Cost of the project IDC not considered in project costRs Lakh Operating years... Sales Year Year Gross expenses other than depreciation, other writeoffs, and interest Dividend including dividend tax Repayment of loan by the yearend Current assets other than cash Trade credit Bank borrowings for working capital table Assumptions: Interest on term loan has to be paid @ Interest on bank borrowings for working capital has to be paid @ The bank borrowings shown above will be raised at the beginning of the respective year and will remain utilized all through the year. Aggregate Depreciation of Rs Lakh in the each year of initial years of operation. The depreciation rates for income tax purposes under the WDV method are as follows: Building Plant & machinery and other fixed assets Preliminary expenses assets have to be written off equally over years. Income tax provision is to be made You are required to Prepare the following projected financial statements: A Prepare the P&L accounts for the first operating years and calculate PBT PAT, and retained profit ~~ B Prepare the Balance sheets at the end of gestation and the first operating years.
Question no
Crystal Industry Pvt Ltd manufactures ceramic tiles in the region of Mehsana, near Ahmedabad, Gujarat, and has a satisfactory track record of running its ceramic business, with a turnover of Rs Crore and PAT of Rs per annum. The company has now requested to sanction a Term Loan of Rs Crore from its existing bank, PNB to set up a new unit with the following details.
Cost of the project IDC not considered in project costRs Lakh
Operating years...
Sales
Year
Year
Gross expenses other than depreciation, other writeoffs, and interest
Dividend including dividend tax
Repayment of loan by the yearend
Current assets other than cash
Trade credit
Bank borrowings for working capital
table
Assumptions:
Interest on term loan has to be paid @
Interest on bank borrowings for working capital has to be paid @
The bank borrowings shown above will be raised at the beginning of the respective year and will remain utilized all through the year.
Aggregate Depreciation of Rs Lakh in the each year of initial years of operation.
The depreciation rates for income tax purposes under the WDV method are as follows:
Building
Plant & machinery and other fixed assets
Preliminary expenses assets have to be written off equally over years.
Income tax provision is to be made
You are required to Prepare the following projected financial statements:
A Prepare the P&L accounts for the first operating years and calculate PBT PAT, and retained profit
~~
B Prepare the Balance sheets at the end of gestation and the first operating years.
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