scba of yummy
TRANSCRIPT
-
8/9/2019 Scba of Yummy
1/11
PRESENTED BY:
NEHA ARORAPALAK THAKKAR
CHETASH MEHTA
SANDEEP KR. YADAV
-
8/9/2019 Scba of Yummy
2/11
INTRODUCTION
PRODUCT:- INSTANT NOODLES
BRAND NAME:-YUMMY NOODLES
SECTOR:-FAST MOVING CONSUMER GOODS
COMPANY NAME:- YUMMY NOODLES PVT. LTD.
-
8/9/2019 Scba of Yummy
3/11
SHADOW PRICING
Firstly we need to decide that whether the good is Tradable orNon-Tradable ?
Secondly we need to see that whether the good is Merit or De-Merit ?
Source of shadow prices.
How our project is going to effect following markets
Factor market:- ?
Product market:- ?
-
8/9/2019 Scba of Yummy
4/11
ABOUT RATIONALE
Market Imperfection
Externalities
Taxes and Subsidies.
Impact on income distribution
Concern for Savings.
-
8/9/2019 Scba of Yummy
5/11
YUMMYS P&LA/C
ITEMS INRS FOREX TOTAL
SALES 16,20,000 - 16,20,000
LESS
COGS ( 5,74,700 ) - ( 5,74,700 )
GROSS MARGIN 10,45,300 - 10,45,300
OFFICE ANDADMIN
( 3,60,000 ) - ( 3,60,000 )
ADVT ANDPROM
( 3,40,000 ) - ( 3,40,000 )
PROFIT 3,45,300 - 3,45,300
-
8/9/2019 Scba of Yummy
6/11
DOMESTIC RESOURCE COST
y DRC= A+B+C / (P-( Q+R+S+T)* Exchange rateWhere,
A= annual charge on domestic capital at the rate of 10%
B= annual depreciation on domestic capital at 8%
C= annual cost of non-traded inputs
P= sales realization at international prices (exports)
Q= annual charge on imported capital assets at 10%
R= annual depreciation on imported capital assets at 8%S= annual cost of imported inputs
T= annual cost of domestically procured, but tradable inputs
Exchange rate= Rs.43.38 per US dollar
Sales realization at international price (export) is estimated around 280 million
-
8/9/2019 Scba of Yummy
7/11
CAPITALEMPLOYED IN THE PROJECTITEMS T.C ( IN lacks ) DOMESTIC CAP IMPORTED CAP
LAND 15 15 -
BUILDING 10 10 -
PLANT 140 40 100
T AN & 5 5 -
MI FIX D A T 30 20 10
P M & P 0OP XP 45 45 -
ONTING N I 25 05 20
W. .P 40 25 15
TOTAL AP MP 310 165 145
HA G ON AP (10% )
16.5 14.5
D P ON AP ( 8% ) 10 10.4
-
8/9/2019 Scba of Yummy
8/11
ITEM TOTAL COST (
IN MILLION )
NON-
TRADABLE
TRADABLE
COMP
IMPORTED
COMP
RAWMATERIAL
140 15 100 25
UTILITIES 20 15 05 -
REPAIRSMAINTENANCE
10 10 - -
WAGES SAL 20 20 - -
RENT INS 03 03 - -
ADM EXPENSE 05 05 - -
SELL EXP 07 07 - -
TOTAL OP
COST
205 75 105 25
-
8/9/2019 Scba of Yummy
9/11
DRC of the projectDRC= 16.5+10+75/280- (14.5+10.4+105+25)*43.38
DRC= 35.20
Thus the domestic resource cost per USD saved is Rs 35.20,
which is lower than the present exchange rate. Hence it isdesirable to manufacture the product in the country ratherthan import it.
-
8/9/2019 Scba of Yummy
10/11
TANGIBLE BENEFITS
Low cost Employment opportunities Income for govt. Hygienic Food Inflow of Forex
INTANGIBLE BENEFITS
Time savingAdditional food option Enjoyment Easy to cook
TANGIBLE COST
Diversion in wheatconsumption
Increase in Consumption exp.
INTANGIBLE COST
Change in Food Habit
-
8/9/2019 Scba of Yummy
11/11