Economics of the..

ECONOMICS OF THE PROJECTS ASSUMPTIONS

The statement of production and profitability is based on the following assumption.

1. Number of working days:300

2 .Number of shifts:1

3. Capacity utilization:5% addition in every year

4 .Depreciation:10% on fixed assets

5 .Repairs and maintenance:2% on equipments

6 .interest on bank loan:13%

7. Administrative expenses:1% of sale

8 .selling expenses:2% of sale

9. Wage increases:5% in annum