Chaminda Prasad Bandara Rajanayake

Investment Appraisal Report IM Machine 560 Ton – New vs Existing 470 Ton Prepared by: Chaminda Rajanayake Date: September 2025 Investment Appraisal for IM 560T New Machine IM 470T Existing Machine Vs IM 560T New Machine New 560T Machine Cost (Total) $ 80,000 20L Per Unit Cost Saving (Cont: Only) Existing Machine Direct Labour Cost 3.86 Energy Cost 14.48 Total 18.35 Cost Saving per Unit-LKR Average 20L Qty Requirement Per Month Cost Saving per Month-LKR Less-Finance Cost Per Month@ 11.75%*5 Yrs Net Saving Per Month - 1st 5 Years Net Saving Per Month - After 5 Years Pay Back Period (Months) Pay Back Period (Years) 24,400,000 560T Machine-,000 305,814 (133,020) 172,794 305,814 TTL Cost 10,367,645 14,032,355 106 8.8 **New earning from Existing Machine was not considerred above due to the Sales Limitaion Page 1 of 3 20L IM with Existing 470Ton Machine Weight- (g) Cost Componant PPCP Virgin - Price Master Batch - White PPCP Virgin - Price Master Batch - White Provision for Wastages Handle Cost HTL Direct Material RM% Direct Labour Energy cost Transport Cost Polythene Other Direct OH Total Direct Cost Unit Selling Price at 30% GP Cont: - - 710 Lid 200 2% 18.20 20L IM with New 560 Ton Machine Price per kg - SCCL 2.125% Direct Labour-Cont: Basic Salary - Average EPF + ETF Overtime Night Allowance Attendance Allowance Total monthly cost Per Hour cost Hourly rate / Pcs Cost per Cont: Direct Labour-Lid Basic Salary - Average EPF + ETF Overtime Night Allowance Attendance Allowance Total monthly cost Per Hour cost Hourly rate / Pcs Cost per Lid Direct Energy-Cost Per KG Electricity conversion cost - AVG Total Energy Cost per unit Machine Packing Opperator-1 Helpers- 2 Nos 36,-,250.98 5,-,-,-,162.94 3,000.00 3,000.00 6,-,-,- Machine Opperator-1 36,154.75 5,-,269.64 3,000.00 3,-,- Cont: - IM- Packing Helpers- 1 Nos Total 6.34 2.46 Lid-IM Cost per unit- Lid- Total- 5.54 Weight- (g) PPCP Virgin - Price Cont: Master Batch - White PPCP Virgin - Price Lid Master Batch - White Provision for Wastages 2% Handle Cost HTL Direct Material RM% Direct Labour Energy cost Transport Cost Polythene Other Direct OH Total Direct Cost Unit Selling Price at 30% GP 710 200 18.20 Price per kg- - - SCCL 2.125% Direct Labour-Cont: Basic Salary - Average EPF + ETF Overtime Night Allowance Attendance Allowance Total monthly cost Per Hour cost Hourly rate / Pcs with Handle fixing Cost Cost per Cont: Total 15,- Cont: Virgin - IOC Price MB-White Virgin - IOC Price MB-White - Before SSCL Price- After SSCL Price 30% GP Margin 3,-,- Transport Cost Medium size Lorry cost No. of Cont: per load Transport cost per unit Polythene Cost HDPE 1 Kg - Cost 1 bag Weight - g 1 bag Cost Nos Pcs per Bag Polythene Cost per pcs -% 11.14 2%-% 3.14 2%-% RM % 34,625.49 5,-,581.47 - Cost Componant Value-RS Direct Labour-Lid Basic Salary - Average EPF + ETF Overtime Night Allowance Attendance Allowance Total monthly cost Per Hour cost Hourly rate / Pcs Lid Packing by MO Cost per Lid Machine Opperator-1 36,154.75 5,-,269.64 3,000.00 3,-,- Machine Opperator-1 36,154.75 5,-,269.64 3,000.00 3,-,- Direct Energy-Cost Cont: - IM Per KG Electricity conversion cost - AVG Total Energy Cost per unit 8.45 Packing Helpers- 2 69,-,-,162.94 6,-,- Packing Helpers- 1 Nos 34,625.49 5,-,581.47 18th Aug 2025 Page 2 of 3 -% 11.14 2%-% 3.14 2%-% RM % - Before SSCL Price- After SSCL Price 30% GP Margin Total 4.73 with Handle fixing Cost Total - 2.46 Lid-IM Cost per unit- 15,- Cont:- Virgin - IOC Price MB-White Virgin - IOC Price MB-White 3,-,- Transport Cost Medium size Lorry cost No. of Cont: per load Transport cost per unit Polythene Cost HDPE 1 Kg - Cost 1 bag Weight - g 1 bag Cost Nos Pcs per Bag Polythene Cost per pcs ValueRS Lid- Total 5.54 Lid Packing by MO Lease 24,400,000.00 Interest rate No of years Discounting rate Installment Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month Month 11.75% 0.1325 - - Interest 238,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,415.64 5,233.19 Capital 300,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,453.84 Instalment 539,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,-,687.03 7,981,221.78 24,400,000.00 32,381,221.78 5 - -,687.03 - 24,400,-,099,-,795,-,488,-,179,-,866,-,550,-,231,-,909,-,584,-,256,-,924,-,589,-,251,-,910,-,565,-,217,-,866,-,511,-,152,-,790,-,425,-,056,-,683,-,307,-,927,-,543,-,155,-,764,-,369,-,970,-,567,-,160,-,750,-,335,-,916,-,493,-,066,-,634,-,199,229.73 9,759,410.16 9,315,284.02 8,866,809.15 8,413,942.96 7,956,642.45 7,494,864.21 7,028,564.39 6,557,698.72 6,082,222.50 5,602,090.56 5,117,257.33 4,627,676.78 4,133,302.42 3,634,087.31 3,129,984.05 2,620,944.78 2,106,921.17 1,587,864.41 1,063,-,453.84 AVG 133,020.36 Page 3 of 3 Balance 24,099,-,795,-,488,-,179,-,866,-,550,-,231,-,909,-,584,-,256,-,924,-,589,-,251,-,910,-,565,-,217,-,866,-,511,-,152,-,790,-,425,-,056,-,683,-,307,-,927,-,543,-,155,-,764,-,369,-,970,-,567,-,160,-,750,-,335,-,916,-,493,-,066,-,634,-,199,229.73 9,759,410.16 9,315,284.02 8,866,809.15 8,413,942.96 7,956,642.45 7,494,864.21 7,028,564.39 6,557,698.72 6,082,222.50 5,602,090.56 5,117,257.33 4,627,676.78 4,133,302.42 3,634,087.31 3,129,984.05 2,620,944.78 2,106,921.17 1,587,864.41 1,063,-,453.84 (0.00)