BASIS OF PRESUMPTION

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Basis of Assumptions for the Scheme

1. We assume 60% efficiency when operating at full capacity, during a single shift of 300 working days per year.

2. The machinery, plant, and cylinder costs are based on standard quotations available from current machinery distributors.

3. Minimum wage rates have been considered when creating the scheme.

4. The interest rate for financial calculations is set at 10%.

5. Filling and testing of jumbo oxygen cylinders, each with a 7 cubic meter volume and a pressure of 130-150 kg per square cm, takes 45 minutes. Typically, 20-head distribution lines are used to fill 20 cylinders simultaneously on the factory site.

6. The cost of an empty jumbo cylinder with fitting accessories is estimated at Rs. 10,000 each, which will be refunded as a cautionary deposit to customers.

7. The project aims to fill 160 cylinders with a 7 cubic meter capacity and 150 kg pressure per day. Over 25 working days each month, a total of 4,000 cylinders will be filled.

8. Cylinder filling will be conducted in 8 batches, with 20 cylinders in each batch, requiring approximately 6 hours. The unit will operate for 8 to 10 hours daily.

These assumptions form the foundation of our scheme and financial planning.

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