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MBA 5023 MANAGERIAL ACCOUNTING GROUP ASSIGNMENT FLY ASH BRICK PROJECT: FEASIBILITY STUDY USING CVP ANALYSIS SUBMITTED BY: AAKASH SINHA  SANTHANA BARATHI  RICHARD NYIRENDA  AYUEN MALAAK AJOK  ARAVIND KUNA SEGRAN  S V P K SATYADEVU 
Fly Ash Brick Project: Feasibility Study Using CVP Analysis 1.Classifying the company’s costs/expenses into fixed costs, variable cost and initial investment. Fixed costs: No matter how much volume the company produces, it will have to pay these costs. ***Included Rajiv Sharma in personnel cost because he will work full time as the project manager Financial Structure: ***We are including the financial cost as part of our fixed cost for this project Variable costs: Depending on the production volume, the company will pay a varying amount of operating cost per month. The table below is based on a production volume of 200,000 bricks per month Routine Expenses Cost Per MonthCost Per YearCost for Five YearsBuilding Rent50,000600,0003,000,000Administrative Cost10,000120,000600,000Office Supply5,00060,000300,000Electricity 10,000120,000600,000Miscellaneous20,000240,0001,200,000TotalRs 95,000Rs 1,140,000Rs 5,700,000Personnel CostCost Per MonthCost Per YearCost for Five YearsWorkers