Capex Project

Report
Acumen Education, Sonari

Group 4
Jay Amin | B13028
Sandeep Mishra | B13111
Anik Roy | B13010
Ayush Goenka | B13141
Ishu Mahajan | B13151

Acumen Education
Acumen Education
The Assistant. General Manager,
Central Bank of India
Jamshedpur
Dear Sir,
Subject: Request for term loan of INR 464 Million
We take this opportunity to collaborate with you for building educational infrastructure in
Jamshedpur, Jharkhand. The state of Jharkhand has been focal point of Indias industrial development
and growth story. Over the years, the state has developed various other industries in addition to the
pioneering enterprise of the steel behemoth; Tata Steel Ltd. Tata Motors is another example of groups
presence in the state. State due to its rich mineral resources has also become metals and mining
centre of the country. The government is also focussing on promoting the state as a major industrial
centre in the east zone of India. Many industrial hubs in Jharkhand are slated to witness considerable
growth in business and allied activities. The state is filled with burgeoning educated and middle class
and upper middle class working in these huge enterprises. They are particularly conscious about
education and skill development.
Jharkhand already has world class management institutes such as Xavier Labour Relations Institute
(XLRI) and IIM Ranchi which offer premium post graduate programmes in management. At the
undergraduate level Jharkand has the National Institute of Technology (NIT) Jamshedpur, BIT Sindri
and BIT Mesra which offer engineering degree across multiple disciplines. Jharkhand also has good
medical colleges such as RIMS in Ranchi.
However, Jharkhand lacks presence of a reputed undergraduate commerce college where students
can pursue commerce. At present they have no choice but to move to other educational hubs such as
Delhi, Mumbai or Kolkata. Kolhan University established in 2009 is not up to the mark for the local
gentry.
It is in this context that our group, Acumen Education, has undertaken the onus of constructing and
operating a full-fledged commerce college in Jamshedpur. In view of the existing demand for quality
commerce education we see great potential in the business of establishing and providing higher
educational services to the state. The financial case for the same has been built henceforth.

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Acumen Education

Business Model
We are starting an undergraduate college which offers degree programs in commerce stream and
computer applications. The degrees offered under the commerce stream will be
1.
2.
3.
4.

Bachelors in commerce (B.com)

Bachelors in Business Administration (BBA)
Bachelor of Finance and Investment Analysis (BFIA)
Bachelors in Economics (B.A. Eco)

We will offer the degree of Bachelors in computer application (BCA) under the computer application
stream.
All of the above courses are three year programs with semester system in place. Since many of our
students will be from out of city of Jamshedpur we are also offering a hostel and lodging facility for a
reasonable rate for 50% of the maximum student intake. Each of these courses will have annual
intake of batch of 60 students. Hence each academic year will have 300 students across all the degrees
in total and the total student base of college would be 900 students.
Construction of college is expected to begin in September 2014 and should be completed by March
2016. The college will be operational by June 2016.

Total Cost
Head
Building
Land & Site Development
Furniture& Fixtures
Kitchen & Washing Equipment
Electronic & Other Misc. Equipments
Preoperative Expenses
Preliminary Expenses
Sub Total Capex
Working Capital Margin
Contingency Costs
Total Capex

3|Page

Cost
463.97
39.27
20.77
1.00
7.34
8.14
2.82
543.31
5.58
29.87
578.76

Acumen Education

Management and Promoter Group

Acumen Education is a venture by four Business Management graduates from XLRI Jamshedpur to
provide quality Under-graduate education in and around the areas of Jamshedpur. The promoter
group intends to sub-lease the land in the Sonari area and set up a state-of-the art Under-graduate
University. The promoter group comprises individuals with commendable professional and
educational background. None of the promoters have ever been on the defaulters list which in turn
makes sure that they are very high on credit worthiness. All of the Promoters have a very strong
credit worthiness and have never been accused of any kind of immoral behaviour and have never
been on the defaulters list. A brief snapshot of the Promoter group is given below. The complete
biographies are attached in the appendices.

Name of the company

Proposed date of Incorporation
Proposed Legal Status
Proposed to be registered with
Proposed Board of Directors

Acumen Education
30-09-2013
Private Limited Company
Registrar of Companies, Jamshedpur
Ram Kumar Agarwal, Sajjan Bansal,
NareshModi, Pushkar Gupta
Proposed registered office
Jamshedpur
Proposed Project
Establishing
an
under-graduate
university in Jamshedpur
Expected date of commencement of 01-06-2016
operations

Financing
Long -term debt will be the major source of funding of the fixed assets of our business. The share
capital of the company will be Rs 116 million. The debt-equity ratio (pre-capitalization of interest) will
be 4:1. Therefore, the long term debt that the company seeks is Rs 464 million. This amount will be
utilized towards construction of fixed assets. This is in compliance with the regulation pertaining to
such loans.
The long- term borrowing shall be secured against buildings. The Gross Block value of these buildings
in the opening year is Rs 586 million, which clearly covers the principal amount of the loan that is
sought. The Written down value of these buildings in subsequent years will also be more than the
unpaid principal amount of long-term loan outstanding.
The asset specificity of the assets under consideration is not very general, so these assets in a highly
unlikely case of default can also be disposed off at or below market value.
As per the rules of the bank, despite ours being a company form of organization, the promoters shall
be personally liable for the long-term loan taken.
The Base rate of CBI is currently at 10.25%. The spread on the loan depends on the credit worthiness
and past experience of the promoter. The experience of our promoters in the field of education, the
positive results in the pro-forma estimates despite conservative estimates of our project and past
track-record of timely repayment of borrowings by promoters is what will let us get the loan at an
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Acumen Education
interest rate of 11.25% i.e. spread of 1% over the base rate of CBI. We believe that this would be a
conservative estimate of interest rate.

As per the credit rating model of a leading bank, our Credit Score is 1 on 10, which gives a poor credit
risk quality in the first year. However, this is for the first year of the project when we are not at full
capacity, over and after year 3 projects credit capacity improves highly.
As per our discussions, the interest on the loan amount is considered to be charged on simple interest
basis during the construction period of one and half year (1.5 years). The interest accrued during the
first one and a half year is capitalized and paid in the subsequent years.
The total loan repayment period comes out to be 9.5 years with a moratorium being enjoyed on both
principal and interest payment during the construction period of 1.5 years.

Particulars
Opening
Loan
Amount
Finance
Cost
Incurred
Finance Cost Paid
Principal
Repayment
Ending
Loan
Amount

FY2015

FY2016

FY2017

FY2018

FY2019

FY2020

FY2021

FY2022

FY2023

FY2024

463.18

479.34

511.65

468.90

421.34

368.43

309.56

244.07

171.22

90.17

16.16

32.31

57.56

52.75

47.40

41.45

34.83

27.46

19.26

10.14

57.56

52.75

47.40

41.45

34.83

27.46

19.26

10.14

42.75

47.56

52.91

58.86

65.49

72.85

81.05

90.17

479.34

511.65

468.90

421.34

368.43

309.56

244.07

171.22

90.17

The loan is effectively repaid in 8 annual instalments commencing from the end of the first year of
operations on an Equated Yearly Instalment basis.

Debt Repayment Schedule

The long-term loan has been taken for construction of the required buildings and infrastructure for
smooth running of the college. For the first 1.5 years the interest (finance cost) on the loan is not paid
when its due but is capitalized and added to the loan amount outstanding. Apart from the first 1.5
years the interest is repaid as and when it is due. The repayment of the outstanding loan begins in FY
2017 (1st year of operations) and the repayment is completed by FY 2024.

Short Term Loan

The short-term loan in our case will be taken in the form of cash credit line from CBI. This loan would
be availed to meet the repayment obligation of debt and to run the operations of the business.
2017E
Working Capital
Revolver

5|Page

81.98

2018E
141.58

2019E
153.81

2020E
150.05

2021E
131.73

2022E
104.79

2023E
74.76

2024E
58.90

2025E
-

Acumen Education

Forecast of Financial Performance

As on 31st March
Gross Revenues
(in Rs. Mn.)
EBITDA (in Rs.
Mn)
EBITDA as %
Sales
EBIT (in Rs.
Mn.)
EBIT as % Sales
PBT(in Rs. Mn.)
PBT as % Sales
PAT (in Rs. Mn.)
PAT as % Sales
Net Worth (in
Rs. Mn.)
DSCR
D/E
Outstanding
Term Loan
Project IRR
Equity IRR

2017E

2018E

2019E

2020E

2021E

2022E

2023E

2024E

2025E

40.95

95.21

164.47

193.01

213.32

223.99

235.19

246.95

259.29

17.66

54.45

103.01

125.32

140.72

148.60

156.27

164.33

172.79

43%

57%

63%

65%

66%

66%

66%

67%

67%

(21.38)

19.83

71.80

96.82

114.45

124.20

133.49

142.97

152.70

-52%
(78.94)
-193%
(78.94)
-193%

21%
(45.22)
-47%
(45.22)
-47%

44%
7.63
5%
7.63
5%

50%
33.22
17%
33.22
17%

54%
56.83
27%
56.83
27%

55%
75.61
34%
75.61
34%

57%
96.49
41%
88.52
38%

58%
119.36
48%
84.91
34%

59%
142.67
55%
100.51
39%

36.86

(8.36)

(0.73)

32.49

89.32

164.93

253.46

338.37

438.88

0.18
4.76

0.43
4.86

0.87
4.51

1.03
3.97

1.18
3.25

1.27
2.38

1.30
1.42

1.16
0.51

NA
-

468.90

421.34

368.43

309.56

90.17

244.07
171.22
25.77%
43.13%

A detailed project report has been enclosed herewith along with other supporting documents to
corroborate the merit of the credit limit sought by Acumen Education. We hope to seek your
participation in the said venture. In the event of the need for any further clarification or information,
we shall be glad to provide the same.
Managing Director,
Acumen Education
August 20, 2014

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Acumen Education

Contents
Business Model ................................................................................................................................................................. 3
Total Cost .......................................................................................................................................................................... 3
Management and Promoter Group .................................................................................................................................. 4
Financing ........................................................................................................................................................................... 4
Debt Repayment Schedule................................................................................................................................................ 5
Short Term Loan ................................................................................................................................................................ 5
Forecast of Financial Performance ................................................................................................................................... 6
Contents ............................................................................................................................................................................ 7
Acknowledgement ............................................................................................................................................................ 9
Management and Promoter Group ................................................................................................................................ 10
Credit Worthiness Analysis ............................................................................................................................................. 11
Project Proposal (Undergraduate Private Commerce College) ...................................................................................... 12
Porters Five Forces ......................................................................................................................................................... 15
Rationale ......................................................................................................................................................................... 16
Project Implementation Schedule .................................................................................................................................. 17
Project consultant ........................................................................................................................................................... 17
Operations Plan............................................................................................................................................................... 17
Infrastructure .................................................................................................................................................................. 18
Regulatory Compliance ................................................................................................................................................... 19
Forecast Assumptions ..................................................................................................................................................... 20
Fundamental Analysis ..................................................................................................................................................... 21
Liquidity and Coverage Analysis .................................................................................................................................. 21
Profitability Analysis .................................................................................................................................................... 22
Du Pont Analysis.......................................................................................................................................................... 22
Altman Z-Scores .......................................................................................................................................................... 23
NPV Analysis .................................................................................................................................................................... 23
Analysis of NPV, IRR and MIRR of the Project ............................................................................................................. 23
Project IRR ................................................................................................................................................................... 26
Equity IRR .................................................................................................................................................................... 26
Project MIRR ............................................................................................................................................................... 26
Equity MIRR ................................................................................................................................................................. 27
Pay-Back Period .......................................................................................................................................................... 27
Breakeven Analysis ..................................................................................................................................................... 27
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Acumen Education
Sensitivity Analysis .......................................................................................................................................................... 28
Risk Mitigation ................................................................................................................................................................ 31
Real Options .................................................................................................................................................................... 32
Balance Sheet (Rs mn) as on financial year ending 31st March ..................................................................................... 33
Statement for Profit and Loss for Years Ended (Rs mn).................................................................................................. 34
Cash Flow Statement (Rs Mn)For Year Ended: ............................................................................................................... 35
Annexure ......................................................................................................................................................................... 36

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Acumen Education

Acknowledgement
We would like to take this opportunity to thank the following individuals for their contribution to our
project. Without their valuable guidance and support, this project would not have been feasible.
Mr. Lawrence Francis, Founder, Lawrence-Kunj and associates.
Mr. Bino Jose, Librarian, XLRI Jamshedpur.
Mrs. Anshu Jha, Central Bank of India, Jamshedpur Branch.
Mr. Kamlesh, Accounts Department, XLRI Jamshedpur.
Mr. Ravi and Mr. Vinay, IT Support, XLRI Jamshedpur.
We would also like to express our sincere gratitude to Prof. S.S., Finance Area, XLRI Jamshedpur. He
has been a constant source of inspiration and the guiding light behind this project.
August 20, 2014
Jamshedpur

9|Page

Acumen Education

Management and Promoter Group

Acumen Education Pvt. Ltd. is a venture by four Business Management graduates from XLRI
Jamshedpur to provide quality Under-graduate education in and around the areas of Jamshedpur. The
promoter group intends to sub-lease the land in the Sonari area and set up a state-of-the art Undergraduate University. The promoter group comprises individuals with commendable professional and
educational background. None of the promoters have ever been on the defaulters list which in turn
makes sure that they are very high on credit worthiness. All of the Promoters have a very strong
credit worthiness and have never been accused of any kind of immoral behavior and have never been
on the defaulters list. A brief snapshot of the Promoter group is given below. The complete
biographies are attached in the appendices.
A Brief Profile of the Promoters is mentioned here-under. The complete CVs of the promoters are
attached in the appendix:

Ram Kumar Agarwal was a senior consultant in a global Consulting Firm. Prior to that he was a
partner with a leading wealth management firm and before that he served as a senior manager in
the Credit Risk Management Group of leading bank. He is an alumnus in Business Management
from XLRI Jamshedpur and an economics graduate from St. Stephens College.
His work experience includes
Senior Consultant, Delloite Consulting LLP (2007-2013)
Partner, Burt Wealth Advisors (2005-2007)
Senior Manager, Credit risk management group, CITI Bank (2003-2005)

Sajjan Bansal served on the board of SEBI. He was also a global business consultant for a
prestigious consulting firm for several years. Prior to that he washead of Statutory Audit and
Compliances department for one of the big four Audit firms. He is a commerce graduate in
accounting and finance from St. Xaviers College Kolkata and is also a Qualified Chartered
Accountant and Cost Accountant. His comfort with numbers and shrewd business strategies and
analytical acumen ensures a smooth development of finances and business strategies.
His work experience includes:

Whole-time Manager, Securities Exchange Board of India ( 2009-2013)

Senior Consultant, Monitor Group (2005-2009)

Senior Mgr. , Statutory Audit and Compliances, Price Waterhouse Coopers (2001-2005)

Naresh Modiwas a board member of the West Bengal Higher Secondary Board. He served as
senior manager in a global Private Equity firm after starting his career in an equity research
company. He is a qualified CFA charter holder and an alumnus in Mechanical Engineering from IIT
KGP and Business Management from XLRI Jamshedpur. He has worked across sectors in key roles
in finance with bulk of experience coming in the banking and oil and gas sector.
His work experience includes

Board Member, West Bengal Higher Secondary Board (2011-2013)

Senior Manager, Leonard Green and Partners (2007-2011)

Senior Analyst, Nomura Equity Research (2005-2007)

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Acumen Education

Pushkar Gupta has worked with the Government of India in the Human Resource Development
Ministry. His most recent stint has been as the Joint Secretary in the Ministry. He is an IAS officer
of batch of 1990. He has worked with MHRD on several initiatives and projects undertaken by
different elected governments to increase private sector participation in education sector. He has
an engineering degree from IIT Guwahati and is an MBA from XLRI Jamshedpur.

Credit Worthiness Analysis

Based on the traditional 5-C model, the following is a credit worthiness check on the promoter group,
Acumen Education
1. CHARACTER: The promoters of the trust have maintained a sound professional record with an
in-depth understanding of the Education industry. With a strong pedigree in professional
education, they have gone on to establish their claim by working with reputed firms in the
concerned industry.
2. CAPITAL: 20% of the investment will be made by the promoters themselves. The promoter
group has already undertaken negotiations in executing the land sub-lease from Tata Steel Ltd.
to establish the undergraduate college in Jamshedpur. We can safely assume a growing
demand and high profitability for under graduate education in Jamshedpur. Hence, the
promoters capital is not only expected to stay protected but would also grow in the future.
3. CAPACITY: As the business is catering to an ever increasing demand of quality education in
courses like BCOM, BBA, BFIA and BA Eco in the under-graduate the overall performance of the
venture is expected to improve in the future. Given the prominence of Jharkhand as a major
industrial hub with burgeoning middle class and considering the fact that its cities are well
connected in terms of rail and road, the students from other parts of the state would find it
convenient to study in Jamshedpur. The case for growing demand in the under-graduate
education business has been established in a very big way in the subsequent portions of the
report. Moreover, there are few competing colleges offering same program with high quality in
the area hence we can safely expect that within few years of operations we will be operating at
full capacity.
4. COLLATERAL: The University would be constructed on the land sub-leased from Tata Steel
Ltd. The 7-acre land is located on C.H. Road, Sonari area next to Military camp of Jamshedpur.
The promoters would own the college establishment in terms of the infrastructure assets and
the capital expenditure thus incurred. The fixed assets would be offered as the collateral to the
lender.
5. CONDITION: While the case for the growing demand and the financial suitability of the
enterprise would be dealt with in a very prominent way for most parts of the report, it is
sufficient to mention here that the growth and demand for under-graduate education is only
bound to increase in India. Already home to two quality institutes like XLRI and NIT
Jamshedpur, the region has substantial number of students who want to pursue nonengineering courses but have to go out of the state to pursue the same. We look at this venture
as a feasible and a quality alternative to cater to this huge demand.

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Acumen Education

Credit Worthiness: Numerical Scorecard

The attempted calculation of the numerical score for the credit worthiness of the project displays a
strong performance. The scores improve from 1.0 to 6.1 on a 10 point scale during the explicit
forecast period.
The scorecard includes ratios/indicators from profitability and liquidity considerations.

Parameter

Total D/E

Net
Debt/EBITDA

Current
Ratio

ROE

Weights

0.5

0.25

0.25

EBIT
Interest
Coverage
2

Value(FY2017)

4.76

30.84

3.89

(2.14)

Score

Value(FY2018)

4.86

10.16

Score

Value(FY2019)

4.51

Score

DSCR

NPM

EBITDA
trend

margin

0.32

0.18

(1.92)

5.41

0.81

0.43

(0.48)

Favourable

10

10

4.97

2.1

(10.5)

1.83

0.87

0.046

Favourable

10

Value(2020)

3.97

3.58

1.89

1.02

2.5

1.03

0.172

Favourable

Score

10

Value(2021)

3.25

2.59

1.79

0.64

3.4

1.18

0.27

Favourable

Score

10

Value(2022)

2.38

1.78

1.78

0.46

4.64

1.27

0.34

Stable

Score

10

Value(2023)

1.42

0.98

1.77

0.35

6.78

1.3

0.38

Stable

Score

10

Value(2024)

0.51

0.28

1.76

0.25

11.48

1.16

0.34

Stable

Score

10

10

Total
10
1.0
3.2
3.6
4.6
5.3
5.3
5.8
6.1

Project Proposal (Undergraduate Private Commerce College)

Business Model
The Business Model is to develop and operate an Undergraduate commerce college in Jamshedpur,
Jharkhand at Sonari. The above said location is currently leased by (Indian Army) and we have
decided to sub-lease the land from m/s Tata Steel Ltd. We plan to construct an academic block,
residential hostel and library along with other land development for sports activities and parking. The
college is expected to enrol a total of 900 students across all the disciplines and years of degree at a
particular point in time once the college reaches its full capacity i.e. in 2019. We are targeting wards
(who want to pursue non-medical and non-engineering education) of working middle and upper class
population in state of Jharkhand. We expect an increase in their already high affluence with growing
industrialisation of the state and a commensurate increase in their buying power. We also believe that
this market is uncontested space till date and is expected to remain so in the near future.
We will attract and recruit full-time faculty to provide quality education to our students in order to
establish a strong brand (as a provider of solid educational foundation) for our college amongst the
12 | P a g e

Acumen Education
student fraternity. We forsee a shortage of faculty in this state but we intend to attract them from
neighbouring states where higher educational faculty are plenty for example Kolkata (West Bengal)
and Bhubaneswar (Orissa).
Theme
To develop a UG commerce collegecampus in Jamshedpur within an area of 28,338 sqm. The main
idea is to capture UG commerce education demand in Jharkhanddue to absence of such an institute.
We propose a business plan which is essentially exploiting a market gap in Jharkhands Education
Industry. We hope that this institute will cater to the growing demands of the city and the adjoining
districts in the state.Education Industry outlook
A Macro-Economic Perspective
Education in India

The Indian education sector is said to be one of the largest sun rise sectors of the Indian economy.
According to the India Ratings1 report on Education sector in India, the market size of Indian
education sector is set to increase to Rs. 602,410 crore ($109.84 billion) by FY15 from Rs 341,180
crore in FY12. This increase is majorly due to the increased emphasis on quality education by the
Indian middle class. The compounded annual growth rate (CAGR) of the education sector over the
period FY05-FY12 was 16.5%.
At present there are about 7002 universities and around 35,000 colleges. 85% of these students are
pursuing bachelors degree and about 16% of this student population is pursuing engineering and
technology programmes. But recently a huge spurt has been seen in the number of students opting for
commerce and arts courses. The government intends to increase the number of students going in for
higher education to 30% by 2020 and to fulfill this goal India needs around 35,0003 colleges.
Although the Governments expenditure spend on education is 3.35% of the GDP (FY12 Budget
estimates) the quality of education in the government run institutes as well as the infrastructure of
these institutes is abysmally poor. Therefore, there is a need of private institutes in the country.
Why Jamshedpur?
Jamshedpur, which is predominantly an industrial city, is the largest urban conglomeration4 of
Jharkhand. It houses factories of Tata steel, Tata Motors, Tinplate, etc. All the middle level and senior
level managers of these companies reside in Jamshedpur. There are also many small scale industries
located in Adityapur Industrial Estate. Adityapur has also been a major industrial hotspot for many
years. Thus, there is no doubt as to the buying power of people residing in Jamshedpur.
Jamshedpur is very well connected to other major cities in the country and there are frequent bus
services available from Jamshedpur to other neighboring major cities such as Ranch and Kolkata.

India ratings 2013 Outlook: Indian Education Sector

India Brand Equity Foundation www.ibef.org updated as of June 14, 2014
3
Estimate of Ministry of Human Resource Development (HRD)
4
www.wikipedia.com
2

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Acumen Education
Jamshedpur has a high literacy rate of 85.94%4 much higher than national average of 74%. It also has
good quality schools such Sacred Heart Convent, Loyola school which will help our institute get the
required number of students per year. Thus, because Jamshedpur performs exceptionally well on the
parameters of demographics, connectivity and buying power we chose Jamshedpur as the location of
our institute.

Jharkhand Market Size: Commerce College

We have estimated the market size by using:

A bottom up approach with the help of primary data gathered from schools in and around
Jamshedpur.
A top-down analysis by gathering secondary data from the data provided through NCERT.

From both the above approaches the estimated demand per year is c.3000 from top-down approach
and around 30% of the students enrolling for higher education as per bottom-up approach.
SWOT Analysis

Strengths

Weakness

Experienced
promoters

Unique Location

Professional Management

Highly credible promoters

and

qualified

Promoters unfamiliar with

government machinery in the
state and lack the right network
of stakeholders

Promoters handling the project

for the first time

Promoters Lack the marketing

knowhow for going to market

Opportunity

Very big middle class population

Increasing literacy rate

Lack of good institution in the

area

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Threats

Rising demand for quality nonscience undergraduate

institutions

Migration of students to
other states (e.g. Kolkata)

Greater inclination towards

engineering

Excellent infrastructure in
Jamshedpur (good connectivity)

Lack of availability of
lecturers and professors

Acumen Education

Porters Five Forces

1. Threat of New Entrant: Threat of new entrant and Competitive Rivalry is low (L) due to two main
reasons
- High regulatory requirements in the state to open a college of this size and stature
- The long run effort required to build up reputation to run a college successfully
2. Buyer Power: Buyer Power and Threat of Substitution is low for this type of college as there is no
other college in Jharkhand which offers courses in B.Com, BBA, and BFIA etc. This will be a unique
opportunity for the students of Jharkhand to pursue these upcoming degree courses.

Threat of
New
Entrant (L)

Supplier
Power (H)

Competitive
Rivalry (L)

Buyer
Power (L)

Threat of
Substitution
(L)

3. Supplier Power: The supplier power in our case is high because it is very difficult to retain
professors in a state like Jharkhand where the culture of such degree courses is not very prevalent
and many employers of the talent do not exist.
4. Substitutes Power: Although there are many other courses which are remote substitutes for the
target market, the courses offered cover majority of the commerce undergraduate courses and so
students will definitely find the degree mix of the college exhaustive for their undergraduate
degree consideration set.
5. Competitive Rivalry: Due to growing nature of the market and absence of a university offering
such courses with a strong brandname the college will rarely face any rivalry.
6. Overall the project is very attractive due to combination of the above mentioned market dynamics in
the industry.
15 | P a g e

Acumen Education
7. The profitability of such projects will be very high because of high bargaining power of the college
which will translate into premium fees and full capacity this can be observe from high EBITDA margins
that are projected in our report as well as looking at Industry EBITDA which is about 45-55%.

Rationale
Increasing Demand of Higher education in Jharkhand
The Indian middle class has woken up to the need of quality education. The aspiring middle class of
our country sees higher education an essential requirement for a smooth career of their children.
Jharkhand is no exception to this trend. It has a population of around 3.3 croresand a literacy rate
which has seen major correction from 53.56% in 2001 to 66.41% in 2011. The trend of past data
suggests that more and more students of the state are going for higher education. Therefore, the
demand for higher education in this state is bound to witness a huge spike. But to cater to this
increased demand there are hardly a few good institutes and even lesser to satiate the demand of
students aspiring for commerce education.
Why a Commerce College?
During our preliminary analysis we found out that Jharkhand has premiere institutes in the field of
engineering (NIT Jmashedpur, BIT Mesra). Jharkhand also houses the world-renown XLRI which runs
postgraduate programmes in management. Even medical aspirants have been catered to by the
opening of Rajendra Institute of Medical Sciences (RIMS, Ranchi). But what it lacks is a good quality
commerce college which offers courses for undergraduate students.
The feedback that we got from the academic fraternity regarding quality of education being offered in
Kolhan University with which our college experiences some overlap regarding the courses being
offered wasnt positive. Therefore, we feel that Jharkhand has huge unmet demand for a good quality
commerce college. In fact, as of now students willing to pursue commerce at undergraduate level are
being forced to shift base to either New Delhi or Mumbai, just because of lack of a good quality
Commerce college in the state.
Why a not a Medical or an Engineering College?
Jharkhand already has a well-established engineering college and a medical college, NIT-Jamshedpur
and RIMS respectively. Existing presence of such big names in the state would make it tough for a
private medical or engineering college to carve a niche for itself within a few years.
Another factor influencing our decision is that the investment required to establish an engineering
college is much higher than that to set-up a commerce college because engineering colleges have
multiple streams and each of these streams require independent labs. Building these labs is extremely
expensive. The same is true for medical colleges. The equipment in these labs is also a huge expense.

16 | P a g e

Acumen Education
Attracting and recruiting faculty for medical and engineering colleges away from government colleges
in Jharkhand or getting faculty from other states to our college would also be extremely tough.
Therefore, we didnt consider opening a Medical or Engineering college in Jharkhand.

Project Implementation Schedule

Tasks

Start Date

Completion Date

Month Ending
Land Acquistion

Sept2013

Sept2014

Loan application & award

Jan 2014

Sept 2014

Construction

Sept 2014

Mar2016

External Development

Sept2014

Mar2016

Hostel Construction

Mar2015

Mar2016

Academic Block

Mar2015

Jan, 2016

Libarary construction

Sept 2014

Mar2016

Project consultant
We have hired reputed Consultants to conduct and provide a preliminary feasibility of the proposed project.
The key financial inputs are based on the discussions between us and various specialists:
Project Consultants
Architect
Structural Designer
Contractor
Legal Counsel
Education Sector Consultant

Yogesh Katyal of Kalpaakriti

N.K. Shah Structural Engineers
Lawrence Francis of Lawrence-Kunj
Associates
Luthra & Luthra
Ankur Jain from TIME Education

&

Operations Plan
Items

Details

Degrees conferred

Bcom/BBA/BCA/ B. Econ/ BFIA

Students per degree per year (students in one class room)

60

Intake per year

300

Total Students Bcom

180

Total Students BBA

180

Total Students Econ

Total Students Bachelor of Finance and Investment
Analysis

180

Total Students BCA

180

Total Students in the College at any time

900

Shifts
Total hrs of classes per week

8:00 am to 1:00pm and 2:00pm to 7:00 pm

20 hrs

Total Months in a Semester

Total Semesters in a year

Semester 1

July to October

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180

Acumen Education
Semester 2
Total Amount of Faculty

December to March
22

Infrastructure
Land
We propose to lease a land area of 7 acre to house:
1. Academic block
2. Library
3. Hostel
Along with the same we propose to develop the remaining 80% of the land for roads, sewage systems,
street lamps, playing fields and parking. We are keeping so much land for two reasons a) In order to
have an option to expand in the future if the demand is higher than we expected b) To avoid
competition by blocking the available land in Jamshedpur (we might also sublease / rent the same for
family functions, school events and other events requiring land for the functions).
Academic Block
We propose to build a 3 floor academic building with area of 1500sqm with 8 Lecture halls, 1 Staff
room, 2 computer labs with 60 computers each and internet available in the academic area with Wifi.
First two floors will house the lecture halls and the third floor will house faculty offices. The whole
block will have AC through independent units. The academic block will also have Projectors & audio
visual instruments as well as other IT equipment such as printers and Xerox. Academic block will have
adequate furniture and fixtures for students as well as faculty for conducting classes.
Library
Library will be housed in an air-conditioned single floor building with area of 650sqm. It will include
adequate sitting furniture such as Tables and chairs as well as book wracks of steel on the lines
similar to the library at XLRI. We estimate that the total book requirement and hence total books in
the library will be 7200 books. This is after taking into account 3 books requirement per enrolled
student and 100 books requirement per faculty.
Hostel
We plan to build a hostel with capacity of 450 residents in the area of 1860sqm. There will be two
building each of 930 sqm one with 4 floors and other with 5 floors because it is difficult to construct a
high-rise building in Jamshedpur due to geological reasons. Hostel will also have mess facility housed
in one of the buildings. The student rooms will have spartan furniture for e.g. cots, table and chair and
mess will have cooking equipment for catering and cooking for residents.

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Acumen Education
The major Components of cost are given below:
Head
Building
Land & Site Development
Furniture& Fixtures
Kitchen & Washing Equipment
Electronic & Other Misc. Equipments
Preoperative Expenses
Preliminary Expenses
Sub Total Capex
Working Capital Margin
Contingency Costs
Total Capex

Regulatory Compliance

Registration as a society under Societies Recognition Act, 1860

Obtaining No Objection Certificate from the Directorate of

Higher Education (DoHE)

Sub-Leasing the Land Required

Affiliation with a recognised University ( Ranchi University)

Follow the guidelines stated by UGC.

19 | P a g e

Cost
463.97
39.27
20.77
1.00
7.34
8.14
2.82
543.31
5.58
29.87
578.76

Acumen Education

Forecast Assumptions
Revenue from student fees

The student demand forecast is done by both a top-down approach and a bottom-up approach.

In the bottom-up approach we gathered primary data from schools in and around Jamshedpur.
Other places we considered include Bokaro, Ranchi and Dhanbad

We have assumed that we would provide for five degree courses with a maximum capacity of 60
students in each course per year i.e. a total intake of 300 students.

In the bottom up approach we found that 30.62% of the total students in the schools take up nonscience courses mainly commerce.

In the top down analysis we calculated the demand in Jharkhand by taking the data of number of
students enrolled in major districts in Jharkhand in class 12 and found that at least 3370 students
would want to take up the courses offered by us. We expect that about 10% (a conservative
estimate) i.e. 300 students to take admission in our college.

We have assumed that in the first year of commencement i.e. FY2017, only 70% of the student
capacity is utilized thus assuming that 210 students take admission in the first year. We have also
assumed that the increase in capacity utilization increases to 85% in the second year and then
reach our maximum capacity henceforth.

We have assumed the fees to be INR 1.5 lakhs per year and have grown the fees at the rate of 5%
YoY which is also equal to the inflation rate in education industry. Thus our revenues from student
fees have increased from INR 31.5 Mn in FY2017 to INR 199.46 Mn in FY2025, a CAGR of 25.94%.

The Operating Expenses are all estimated line-by-line using a top-down analysis, where this team
has gone into great detail as to estimate minute details of the expenses, The detailed calculations
are provided in the Annexure.
300

Revenue Growth & Breakup

250

In Rs Mn

200
150
100

50
FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 FY2025
Fees Revenue

20 | P a g e

Hostel Revenue

Acumen Education
Revenue from Hostel fees

The hostel demand forecast for students is done by estimating the expected no of students per
annum.

The maximum capacity for hostel accommodation is capped at 450 students. We have also
assumed that only 50% of the incoming batch is given hostel accommodation.

In the first year of commencement i.e. FY2017, we have provided hostel accommodation to 105
students and have reached our peak hostel capacity of 450 students in FY2019.

We have charged an annual hostel fee of INR 90K and have grown the same at the rate of 5% i.e. at
the inflation rate in the education industry.

We have also assumed a hostel outsourcing margin of 60% in FY2017 which has grown to 70% in
FY2019 after which it is kept constant at the same level in our explicit forecasting period. We pay
high outsourcing costs initially because our hostel facilities are not fully operational and thus we
pay higher. When we reach our maximum capacity in FY2019, we keep a higher amount of hostel
revenues with us and is constant in line with maximum hostel capacity henceforth.

Net revenues (Inclusive of hostel outsourcing margin) has increased from INR 5.67 Mn in FY2017
to INR 41.89 Mn in FY2025, a CAGR of 28.4%.

The operating expenses are estimated line-by-line with a detailed estimation of each minute
component, the details of these are present in the annexure

Fundamental Analysis
Liquidity and Coverage Analysis
DSCR
Current Ratio
Quick Ratio
Interest Coverage

2017
0.18
3.89
3.28
0.32

2018
0.43
3.00
2.55
0.81

2019
0.87
2.10
1.77
1.83

2020
1.03
1.89
1.58
2.50

2021
1.18
1.79
1.50
3.40

2022
1.27
1.78
1.50
4.64

2023
1.30
1.77
1.49
6.78

2024
1.16
1.76
1.49
11.48

We can see that the DSCR of our company is low in the first few years this is because it takes time
before the admissions in the college pick-up. The DSCR of the company is greater than one 2020
onwards
The current ratio of the company is high in the 2017 but then it starts declining. This is because of
the working capital loan that the company takes to meet its operational cost and also its long-term
loan repayment
Interest coverage ratio for our company is increasing significantly over the years this is because
the long-term loan gets repaid over the years and also the operating income of the college
increases with time

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Acumen Education

Profitability Analysis
2017
Operating Margin
-52.2%
Net Profit Margin
-192.8%
Operating Leverage (1.17)
Financial Leverage 0.27
Total Leverage
(0.32)

2018
20.8%
-47.5%
3.25
(0.44)
(1.42)

2019
43.7%
4.6%
1.62
9.41
15.26

2020
50.2%
17.2%
1.45
2.91
4.22

2021
53.7%
26.6%
1.37
2.01
2.75

2022
55.4%
33.8%
1.32
1.64
2.17

2023
56.8%
37.6%
1.29
1.38
1.79

2024
57.9%
34.4%
1.27
1.20
1.52

2025
58.9%
38.8%
1.25
1.07
1.33

In the initial years the Net profit margin is negative. This is because of the burden of interest costs.
These interest costs reduce as and when the repayment of loan takes place. The Net profit Margin
for our company shall stabilize at around 38% in the long run

The operating margin for our company is initially negative this is because of lower number of
admissions in the first year but as we have more number of students the fixed costs get
apportioned over larger number of students and leads to an increase in margins
Financial leverage of our company is initially high as we have both long-term loan and Working
capital loan but with repayment of loan it starts getting reduced

Du Pont Analysis
ROE
PAT/Net Sales
Net Sales/TA
TA/Total Equity

2017
(2.14)
-192.8%
6.9%
16.0

2018
5.41
-47.5%
17.1%
(66.8)

2019
(10.48)
4.6%
31.2%
(723.7)

2020
1.02
17.2%
38.7%
15.3

2021
0.64
26.6%
45.2%
5.3

2022
0.46
33.8%
49.9%
2.7

2023
0.35
37.6%
55.2%
1.7

2024
0.25
34.4%
60.9%
1.2

2025
0.23
38.8%
57.9%
1.0

ROE is negative in 2017 is because our Net profit margin is negative in the initial years this is
because of the interest cost of the loan that is taken and also because demand shall take time to
pick up

From the asset turnover ratio we can see that it is only with time i.e. as and when the demand
increases the assets starts to get utilized efficiently. Our major assets are the buildings that we
have constructed

22 | P a g e

Acumen Education

Altman Z-Scores
For Pvt. Firms

2017

2018

2019

2020

2021

2022

WC/TA

0.718

(0.13) (0.24)

(0.28)

(0.29)

(0.27)

(0.22) (0.16) (0.13) 0.15

RE/TA

0.847

(0.13) (0.22)

(0.22)

(0.17)

(0.06)

0.11

0.32

0.55

0.72

EBIT/TA

3.1

(0.04) 0.04

0.14

0.19

0.24

0.28

0.31

0.35

0.34

BE/TL

0.42

0.06

(0.01)

(0.00)

0.07

0.19

0.37

0.59

0.83

0.98

Sales/TA 0.998

0.07

0.17

0.31

0.39

0.45

0.50

0.55

0.61

0.58

Z Score

(0.22) (0.09)

0.34

0.67

1.04

1.45

1.93

2.42

2.77

Distress

Distress

Distress

Grey

Grey

Grey

Grey

Zone

Distress

Distress

2023

2024

2025

The Altman Z-score for our company is very low for the first 5 years. In fact the company lies in
the distress zone. The Z-score improves after that but still the company is in the grey zone w.r.t
bankruptcy
There has been huge investment in buildings and therefore the book value of the these buildings
is high. The rating is inversely related to the book value of the assets and this is the reason that
our company gets a low Altman Z-score
The main reason for low Altman Z-score is the negative working capital that our company has but
this is because the tuition fee is collected in advance from students

NPV Analysis
Analysis of NPV, IRR and MIRR of the Project
To evaluate the feasibility of the project we will be using the SCF techniques as we have already learnt
that they are superior to any other techniques.
Actual tax paid is Zero till FY 2022 as the business losses of the previous years were set off. Post
which, we have taxed the taxable income at 30% plus the applicable cess.
Denominator:
Unlevered Cost of Equity ()

We have calculated the NPV of the project using the Adjusted Present Value Method
We acquired the asset betas or the unlevered betas of comparable firms in the education
business from yahoo finance.
The overall unlevered beta or asset beta of Acumen Education is calculated by taking the mean
of the asset betas of firms in the education business.

23 | P a g e

Acumen Education

Levered Cost of Equity

Levered Cost of Equity can be given by the equation

+( -kd)*D/E = ke
Where
D = Market value of Debt
E = Market Value of Equity
= Unlevered Cost of Equity
Kd = Cost of Debt
Ke = Levered Cost of Equity
However, here we note that the Debt and Equity both are market values hence we see a circularity
problem, so in order to avoid that we used the Goal-Seek function to arrive at correct values of Equity
and Levered Cost of Equity (Ke).

Weighted Average Cost of Capital

Now the WACC can be calculated by using both Kd, Ke and estimated market values of equity and
book value of debt each year.

Item
Asset Beta

Value
0.68

Effective Tax Rate

Risk Free Rate
Market Risk Premium

30.9%
8.50%
7.12%

Unlevered Cost of Equity

13.34%

Remarks:
Risk free rate of return is taken as the yield on 10-year government bonds

24 | P a g e

Acumen Education
Numerator:
APV Method

1) In APV method we have estimated the FCF by the following steps

2) We calculate the EBIT for respective years
3) Then we calculate the Taxable EBIT by taking the Depreciation as per IT Act into consideration
and adding the interest expense on long term loan as well as the working capital revolver
4) Then this income is adjusted for carry-forwards of tax-credits and then the tax payable is
estimated
5) Then we substract this tax payable from EBIT and add back book depreciation and subtract
any investments in WC or CAPEX and then add back any debt repayments
DF
(Rho
13.34%)
FCFF
Terminal
Value
(g=5%)
PV
Unlevered
Value
Tax Shield
P.V. of Tax
Shield
Enterprise
Value
Debt
Equity Value
D/E
Ke
Kd
WACC

FY2017
0.88

FY2018
0.78

FY2019
0.69

FY2020
0.61

FY2021
0.53

FY2022
0.47

FY2023
0.42

FY2024
0.37

FY2025
0.32

17.55

56.45

101.06

100.11

109.54

114.06

118.26

122.83

127.77
2863.29

1365.16

15.48
1,529.75

43.94
1,677.40

69.41
1,800.13

60.66
1,940.19

58.56
2,089.51

53.80
2,254.22

49.21
2,436.71

45.10
2,638.98

968.99
2,863.29

54.30

61.54

69.75

79.06

89.60

101.56

115.11

121.62
8.85

7.30
2.73

3.10
0.00

1419.46

1,591.29

1,747.15

1,879.19

2,029.80

2,191.06

2,369.32

2,445.56

2,641.71

2,863.29

511.65
907.81
0.56
14.52%
11.25%
12.09%

550.88
1,040.41
0.53
14.15%
11.81%
12.08%

562.91
1,184.23
0.48
13.89%
12.19%
12.13%

522.24
1,356.95
0.38
13.72%
12.35%
12.28%

459.61
1,570.19
0.29
13.60%
12.47%
12.47%

375.81
1,815.26
0.21
13.50%
12.56%
12.68%

276.01
2,093.31
0.13
13.43%
12.67%
12.89%

164.93
2,280.63
0.07
13.37%
12.95%
13.07%

58.90
2,582.81
0.02
13.30%
15.00%
13.24%

2,863.29
13.34%
0.00%
13.34%

FY2017

FY2018

FY2019

FY2020

FY2021

FY2022

FY2023

FY2024

FY2025

EBIT

(21.38)

19.83

71.80

96.82

114.45

124.20

133.49

142.97

152.70

Taxable EBIT

(48.13)

(2.43)

52.75

80.46

100.50

112.46

123.77

135.09

146.47

2.18

80.46

100.50

112.46

123.77

135.09

146.47

Taxable
EBIT
(Carry Forward)
Tax Paid If no
Loan
Add: Dep.

(0.67)

(24.86)

(31.05)

(34.75)

(38.24)

(41.74)

(45.26)

39.04

34.62

31.21

28.50

26.27

24.40

22.78

21.36

20.09

Capex

Change in WC

(0.11)

2.00

(1.28)

(0.35)

(0.13)

0.21

0.23

0.24

0.24

FCFF

17.55

56.45

101.06

100.11

109.54

114.06

118.26

122.83

127.77

Terminal Growth Rate has been assumed to be 8.50 % (current risk free rate)
Terminal Value = 2863.29

25 | P a g e

Acumen Education

Project IRR
FCF
Terminal Value

2863.29

Initial
Investment
Project IRR

-627.45

FY2017

FY2018

FY2019

FY2020

FY2021

FY2022

FY2023

FY2024

FY2025

17.55

56.45

101.06

100.11

109.54

114.06

118.26

122.83

127.77

25.77%

Equity IRR
FY2017

FY2018

FY2019

FY2020

FY2021

FY2022

FY2023

FY2024

FY2025

EBIT

(21.38)

19.83

71.80

96.82

114.45

124.20

133.49

142.97

152.70

Tax Paid

(7.96)

(34.45)

(42.16)

Capex

Change in WC

(0.11)

2.00

(1.28)

(0.35)

(0.13)

0.21

0.23

0.24

0.24

Add: Dep

39.04

34.62

31.21

28.50

26.27

24.40

22.78

21.36

20.09

LT Debt Repaid

(42.75)

(47.56)

(52.91)

(58.86)

(65.49)

(72.85)

(81.05)

(90.17)

ST Debt Repaid

81.98

59.60

12.23

(3.76)

(18.31)

(26.94)

(30.03)

(15.87)

(58.90)

Interest Paid

(57.56)

(65.05)

(64.17)

(63.60)

(57.61)

(48.59)

(37.00)

(23.61)

(10.02)

(0.79)

3.44

(3.11)

(1.26)

(0.83)

0.43

0.45

0.48

61.94

FCFE

-115.80

Terminal Value

2863.29
-115.80

Equity IRR

-0.79

3.44

-3.11

-1.26

-0.83

0.43

0.45

0.48

2,925.23

43.13%

Project MIRR
FCFF
WACC
Re-investment Factor
Value at the end of 9 years
Project MIRR

(627.45)
23.52%

FY2017
17.55
12.08%
2.61
0

FY2018
56.45
12.13%
2.33
0

FY2019
101.06
12.28%
2.08
0

FY2020
100.11
12.47%
1.85
0

FY2021
109.54
12.68%
1.64
0

FY2022
114.06
12.89%
1.45
0

FY2023
118.26
13.07%
1.28
0

FY2024
122.83
13.24%
1.13
0

FY2025
2,991.06
13.34%
1.00
4,199.06

Project MIRR vs WACC

25.00%
20.00%
15.00%
10.00%
5.00%
0.00%
FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 FY2025
WACC

Project MIRR

As we see that the MIRR of the project is well above the WACC. Hence it is a feasible project and will add wealth.
26 | P a g e

Acumen Education

Equity MIRR
FCFE
Cost of Equity
Re-investment
Rate
Value after 9
years
Equity MIRR

115.80

FY2017
(0.79)
14.15%
2.76

FY2018
3.44
13.89%
2.42

FY2019
(3.11)
13.72%
2.13

FY2020
(1.26)
13.60%
1.87

FY2021
(0.83)
13.50%
1.65

FY2022
0.43
13.43%
1.46

FY2023
0.45
13.37%
1.28

FY2024
0.48
13.30%
1.13

FY2025
2,925.23
13.34%
1.00

2,922.8

43.15%

Equity MIRR vs WACC

50.00%
45.00%
40.00%
35.00%
30.00%
25.00%
20.00%
15.00%
10.00%
5.00%
0.00%
FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 FY2025
Cost of Equity

Equity MIRR

As the Cost of Equity is less than the equity MIRR it will add value to the shareholders wealth

Pay-Back Period
We have calculated the payback period, which is the time that their capital would be invested in the
company. It comes out to be 7 years and 3 months from the gestation period.
FCFF
Cash Flow
Initial

FY2017
17.55
17.55

FY2018
56.45
74.00

FY2019
101.06
175.05

FY2020
100.11
275.16

FY2021
109.54
384.70

FY2022
114.06
498.76

FY2023
118.26
617.02

FY2024
122.83
739.85

FY2025
127.77
867.61

FY2026
138.63
1,006.24

627.45

Pay Back Period- 7 years and 3 Months

Breakeven Analysis
For Year 2017
For our project to break-even in the FY 2017 (on a profit before tax basis in the first year of
operation), the tuition fee to be charged per annum per student comes out to be Rs 2.65 lakhs.
For Year 2018
For our institute to break-even by FY 2018 (on a profit before tax basis in the second year of
operation), the tuition fee to be charged per annum per student comes out to be Rs. 2.48 lakhs.
If we charge the same fees i.e. 1.5 lakhs per student per annum then we find that even if we operate at
full capacity we are unable to break even on PBT basis in the first year of operation.
27 | P a g e

Acumen Education

Sensitivity Analysis
Rho vs Groth rate

Rho

Growth
1,419
12.5%
12.8%
13.0%
13.3%
13.5%
13.8%
14.0%
14.3%

7.0%
1,373
1,313
1,258
1,208
1,161
1,118
1,077
1,040

7.5%
1,464
1,394
1,331
1,274
1,221
1,172
1,127
1,085

8.0%
1,574
1,492
1,419
1,352
1,291
1,235
1,184
1,137

8.5%
1,713
1,614
1,525
1,446
1,375
1,311
1,252
1,198

9.0%
1,890
1,767
1,659
1,563
1,478
1,402
1,333
1,271

9.5%
2,128
1,968
1,831
1,711
1,607
1,515
1,433
1,359

10.0%
2,460
2,241
2,059
1,905
1,773
1,658
1,557
1,468

The Sensitivity analysis above suggests that NPV is highly sensitive to rho and growth rate
The Beta unlevered used is 0.68, the risk free rate is 8.5% and the equity risk premium is 7.12%5.
The rho for our business comes out to be 13.34% and the growth assumed id 8.5%
As we can see that despite conservative assumptions the NPV of the project is strong and
therefore, this project has tremendous potential

NPV vs Change in Staff Salary

Change in
Staff Salary
-15%
-10%
-5%
0%
5%
10%
15%

NPV (Rs
mn)
1,446
1,437
1,428
1,419
1,410
1,402
1,393

Staff salary forms a major portion of our costs and therefore we thought of studying the sensitivity of
NPV with respect to staff salary. At present we have assumed that each professor on an average
charges Rs 8 lakhs per annum even if there was a 15% increase in this salary we would have a good
NPV for this project.

Calculate by Mr. Pitabas Mohanty

28 | P a g e

Acumen Education
PV vs Change in Student FEE

Change in NPV
(Rs
Student
mn)
Fee
-15%
1,236.84
-10%
1,297.57
-5%
1,358.45
0%
1,419.46
5%
1,480.60
10%
1,798.50
15%
1,954.71

Since, student fee is our only source of revenue it is important to study the impact of change in student fee per
academic year on NPV. A fall of 15% in student fee from the current Rs 1.5 lakh per annum would result in a fall in
NPV but only to 1,236 mn. Thus, this project has huge potential

Project MIRR vs Staff Salary

%Change
Staff Salary
-15%
-10%
-5%
0%
5%
10%
15%

in %Change
in
Project MIRR
1.3%
0.8%
0.4%
0.0%
-0.4%
-0.9%
-1.3%

It is important to study the impact of staff salary on project MIRR. In the worst case a 15% increase in staff salary will
lead to reduction in project MIRR by 1.3%

29 | P a g e

Acumen Education
Project MIRR vs Change in Student Fee
% Change
student Fee
-15%
-10%
-5%
0%
5%
10%
15%

in % Change in
Project MIRR
-8.9%
-5.8%
-2.8%
0.0%
2.7%
14.8%
20.0%

The impact of change in student fee is observed over project MIRR. A 15% reduction in student fee leads to an
approximate 9% reduction in project MIRR.

Interest Rate vs NPV

% change in
Interest rate
-13.333%
-8.889%
-4.444%
0.000%
4.444%
8.889%
13.333%
17.778%

% change in
NPV
-0.63%
-0.42%
-0.21%
0.00%
0.21%
0.43%
0.66%
0.89%

Interest Rate vs Equity MIRR

% change in
Interest Rate

% change in
Equity MIRR

-13%
-9%
-4%
0%
4%
9%
13%
18%

0.62%
0.42%
0.21%
0.00%
-0.21%
-0.43%
-0.66%
-0.79%

30 | P a g e

Acumen Education

Risk Mitigation
Construction Period Risk
Risk Factor
Regulatory Risks

Risk Nature
Proposed Mitigation Mechanism
- Approvals needed from various - Thorough screening of consultants to be
Governing Authorities
hired
- Risks involved in leasing land of - All regulations to be obtained before
required amount
starting construction
- MOU for land leasing to be signed
beforehand
- Land leasing to be done before any
project execution
Construction Defect
- Stringent qualification criteria for EPC
and Cost Overrun
Contractor to be followed including past
Risk
experience
- Quality Requirements to be strictly
mentioned in EPC Contract
- Timelines and project milestones to be
clearly communicated
- Regular Supervision onsite report
collection to be done
- Contingency Provision made for current
cost overrun
- Insurance to cover damages
- Performance security clause to be added
in
Operating Period Risk
Student/Sales Risk

Marketing and branding exercises to be

followed in target schools and college
fairs before start of term

Availability
of
Professors/Lecturers

Enter into long term contracts with

lecturers
Scouting for faculty to begin 3 months
before actual hiring
Admin team can be easily hired from
Jamshedpur
Create a pool of part time faculty in case
of emergency
Long term contracts to be executed for all
other services like electricity, internet,
library subscriptions
Performance clauses to be entered in
wherever possible
Backup to be created for emergency
services like electricity etc
To be entered into long term fixed
interest rate with Bank
Insurance for fire and theft on all assets
to be taken

Other Cost
Security Risk

Items

Interest
Risk
mitigation
Property destruction
Risk
31 | P a g e

Acumen Education

Real Options
Option to expand intake capacity in Jamshedpur
The institute has repaid all its debt, both long term and short term by the end of year 9. It will start
generating excess cash from the year after. Hence the company will be in a position to take a decision
regarding expanding its current capacity of student intake of 300 per year and total capacity of 900
per year. It can also think of expanding its hostel facility if it is in demand. Hence effectively and in a
simple format it has 2 options:
Option1: To expand the per year student intake capacity of 300 per year
Option2: To expand the hostel facility for students
Option3: Increase the variety of courses being offered
In case of these available options, institute holds the right of whether to invest in such expansion
plans or not. Further the constructed land is ~20% of leased land currently and hence there are no
bound restrictions for imposing of these constructions except for demand criteria. Hence the institute
can be said to have a call option in making the investment decisions.
In terms of expiry period of such option, we think that for capacity expansion, it is 5 years, i.e. FY2021,
where we will be able to gauge the demand increase in our institute. For the expansion of hostel, 3
years is perfect time where we will be able to gauge the demand where the number of students
enrolled is well above the capacity of the hostel, thus giving us an idea of the popularity for such
services. For increased course variety offer, investment needs to go into faculty training and into
capacity development. In order to gauge the demand we feel the perfect timing would be after we
have achieved the current plan, i.e. after 6 years i.e. FY2022.
A common framework for all the three investment options is shown below:

Invest

Yes
P
Decision to invest

High Demand
1-P
P

Dont Invest

No
P

The value of such options cannot be computed precisely as the future projected numbers with
probabilities are not available.

32 | P a g e

Acumen Education

Balance Sheet (Rs mn) as on financial year ending 31st March

FY17E

FY18E

FY19E

FY20E

FY21E

FY22E

FY23E

FY24E

FY25E

Share Capital

115.8

115.8

115.8

115.8

115.8

115.8

115.8

115.8

115.8

Retained Earnings

(78.9)

(124.2)

(116.5)

(83.3)

(26.5)

49.1

137.7

222.6

323.1

Term Loan

468.9

421.3

368.4

309.6

244.1

171.2

90.2

0.0

0.0

Working Capital
Revolver
Trade Payables

82.0

141.6

153.8

150.0

131.7

104.8

74.8

58.9

0.0

1.9

3.7

5.6

6.6

7.3

7.6

8.0

8.4

8.8

Total

589.6

558.3

527.1

498.7

472.4

448.6

426.4

405.7

447.7

Net Fixed Assets

(WDV)

580.0

545.4

514.2

485.7

459.4

435.0

412.2

390.9

370.8

Stock

0.7

1.3

1.5

1.6

1.7

1.8

1.9

2.0

2.1

Pre Paid Expenses

0.4

0.4

0.4

0.4

0.3

0.3

0.3

0.3

0.0

Cash & Bank Balances

6.2

9.5

10.0

10.4

10.9

11.4

12.0

12.5

74.8

Preliminary Expenses (To be w/o)

2.3

1.7

1.1

0.6

0.0

0.0

0.0

0.0

0.0

Total

589.6

558.3

527.1

498.7

472.4

448.6

426.4

405.7

447.7

Liabilities

Assets

33 | P a g e

Acumen Education

Statement for Profit and Loss for Years Ended (Rs mn)
2017E

2018E

2019E

2020E

2021E

2022E

2023E

2024E

2025E

31.50

73.24

126.51

148.47

164.09

172.30

180.91

189.96

199.46

9.45
40.95
2.20
8.32
3.78
0.53
4.28
2.05

21.97
95.21
2.20
16.38
7.69
0.55
4.95
4.76

37.95
164.47
2.20
26.37
11.39
0.58
5.81
8.22

44.54
193.01
2.20
27.69
13.36
0.61
6.19
9.65

49.23
213.32
2.20
29.07
14.77
0.64
6.48
10.67

51.69
223.99
2.20
30.53
15.51
0.67
6.67
11.20

54.27
235.19
2.20
32.06
16.28
0.71
6.86
11.76

56.99
246.95
2.20
33.66
17.10
0.74
7.07
12.35

59.84
259.29
2.20
35.34
17.95
0.78
7.29
12.96

0.56

0.56

0.56

0.56

0.56

1.58
23.29

3.66
40.76

6.33
61.46

7.42
67.69

8.20
72.60

8.61
75.39

9.05
78.91

9.50
82.62

9.97
86.50

Operational Expense margin

56.9%

42.8%

37.4%

35.1%

34.0%

33.7%

33.6%

33.5%

33.4%

EBITDA

17.66

54.45

103.01

125.32

140.72

148.60

156.27

164.33

172.79

EBITDA Margin

43.1%

57.2%

62.6%

64.9%

66.0%

66.3%

66.4%

66.5%

66.6%

Dep. & Amortization

EBIT

39.04
(21.38)

34.62
19.83

31.21
71.80

28.50
96.82

26.27
114.45

24.40
124.20

22.78
133.49

21.36
142.97

20.09
152.70

EBIT Margin

-52.2%

20.8%

43.7%

50.2%

53.7%

55.4%

56.8%

57.9%

58.9%

Interest Expenses
PBT

57.56
(78.94)

65.05
(45.22)

64.17
7.63

63.60
33.22

57.61
56.83

48.59
75.61

37.00
96.49

23.61
119.36

10.02
142.67

PBT Margin

192.8%

-47.5%

4.6%

17.2%

26.6%

33.8%

41.0%

48.3%

55.0%

Taxes Due
PAT

(78.94)

(45.22)

7.63

33.22

56.83

75.61

7.96
88.52

34.45
84.91

42.16
100.51

PAT Margin

192.8%

-47.5%

4.6%

17.2%

26.6%

33.8%

37.6%

34.4%

38.8%

Revenue From Student

Fees
Revenue From Hostel Fees
Total Revenue
Land Lease Cost
Employee Costs
Hostel Costs Outsourcing
Marketing Expenses
SG&A
Maintenance Costs
Preliminary Expenses
Written Off
Other Expenses
Operational Expenses

34 | P a g e

Acumen Education

Cash Flow Statement (Rs Mn)For Year Ended:

2017E

2018E

2019E

2020E

2021E

2022E

2023E

2024E

2025E

(78.9)

(45.2)

7.6

33.2

56.8

75.6

96.5

119.4

142.7

Depreciation

39.0

34.6

31.2

28.5

26.3

24.4

22.8

21.4

20.1

Preliminary Expenses
Written Off
Interest on Term Loan

0.6

0.6

0.6

0.6

0.6

0.0

0.0

0.0

0.0

57.6

52.8

47.4

41.4

34.8

27.5

19.3

10.1

0.0

A) Cash Flows From

Operating Activities
Profit Before Taxes

Interest on Working Capital

Advance
Funds from Operations

0.0

12.3

16.8

22.2

22.8

21.1

17.7

13.5

10.0

18.2

55.0

103.6

125.9

141.3

148.6

156.3

164.3

172.8

Working Capital Investments

0.7

1.3

1.7

0.8

0.6

0.3

0.3

0.3

0.6

Cash Generated From

Operations
Net Cash Flows From
Operating Activities

18.9

56.3

105.3

126.7

141.9

148.9

156.6

164.7

173.4

18.9

56.3

105.3

126.7

141.9

148.9

148.6

130.2

131.2

82.0

59.6

12.2

(3.8)

(18.3)

(26.9)

(30.0)

(15.9)

(58.9)

(57.6)

(52.8)

(47.4)

(41.4)

(34.8)

(27.5)

(19.3)

(10.1)

0.0

0.0

(12.3)

(16.8)

(22.2)

(22.8)

(21.1)

(17.7)

(13.5)

(10.0)

Loan Repayment

(42.8)

(47.6)

(52.9)

(58.9)

(65.5)

(72.9)

(81.1)

(90.2)

0.0

Net Cash Flows From

Financing Activities
Increase in Cash
Balance

(18.3)

(53.0)

(104.8)

(126.2)

(141.4)

(148.4)

(148.1)

(129.6)

(68.9)

0.6

3.3

0.4

0.5

0.5

0.5

0.5

0.6

62.3

Closing Cash Balance (Refer

Balance Sheet)
Opening Cash Balance

6.2

9.5

10.0

10.4

10.9

11.4

12.0

12.5

74.8

5.6

6.2

9.5

10.0

10.4

10.9

11.4

12.0

12.5

Min. Cash Balance

6.2

9.5

10.0

10.4

10.9

11.4

12.0

12.5

12.5

(81.4)

(56.3)

(11.8)

4.2

18.8

27.4

30.6

16.4

121.2

B) Cash Flows From

Investing Activities
C) Cash Flows From
Financing Activities
Working Capital Advance
Raising/(Repayment)
Dividend Payment
Interest on Term Loans
Interest on WC Advances

Surplus/ Deficit from Cash

Flow

35 | P a g e

Acumen Education

Annexure
A1. Building Construction Cost
1. Academic block includes 3 floors with areas of 1500 Sq. metre each.
2. Hostel will include 2 blocks one with 4 floors and the other with 5 floors. The cumulative capacity of the
9 floors would be 450 students.
Building
Parameters

Area (Sq Ft of Construction

Construction) (Rs/Sq. Ft)

Total Cost (Rs

mn)

Academic Block

48,420

3,500

169.4

Library
Hostel

7,000
90,000

3,500
3,000

24.5
270.0

Total

1,45,420

Rooms Design,
Specification

Number

&

2 floors with 8 lecture halls, 2

computer rooms and 2 staff room,
1 floor with 30 professor office
2 floors with 17 racks for books
50 students per floor in floor area
of 10,000 sq. Ft., with 9 floors.
Total Capacity of 450 students

463.9

A2. Land and Site Development Cost

1. We have taken a land lease for a total area of 7 acres (304920 Sq. feet)
2. Total land area under construction is estimated to be 43140 Sq. feet which would include the academic
block, hostel and library.
3. Our construction area is ~20% of the total area. The extra land would be used for parking space
development, playground, guard posts, roads and other land development activities. Cost of such
activities at a per Sq. ft. level is indicated in the table.
Parameters
Total Land under Construction
Academic Block
Library
Hostel
Total Leased Land
Total Unconstructed Land

Area (Sq. ft)

Cost (Rs/ Sq. Ft)
43,140
16,140
7,000
20,000
304,920
261,780
150

Total Costs (Rs Mn)

39.27

A3. Furniture and Fixtures

Parameters
Electrical Fixtures
Academic Block Furniture
Library Furniture
Hostel Furniture
Total Costs

36 | P a g e

Particulars
2.5% of construction Cost
900 students capacity @ Rs5,000 per student
17 rack and chair units @ Rs10,000 per unit
450 rooms @10,000 per room

Cost (Rs Million)

11.60
4.50
0.17
4.50
20.77

Acumen Education
A4. SG&A Expenses (in Rs. Mn)
1. We have assumed that the electricity charges are Rs. 5/unit and have appreciated at the rate of
5% YoY. The rate is in line to current commercial rate.
2. Electricity usage is based on the average electricity usage in each room and by each computer.
3. Library running costs involved the magazines, newspapers and online gateway subscriptions.
4. We have provided for 0.5% of fees collected for various student related activities. Cost of
stationery and teaching material costs have been approximated to be 1% of total fees collected
each year.
5. Insurance costs are approximated to be 0.080% of the net assets. Hence it will decrease with
time due to depreciation.

Items

2017E

2018E

2019E

2020E

2021E

2022E

2023E

2024E

2025E

Electricity Costs

0.73

0.77

0.82

0.86

0.90

0.95

1.00

1.05

1.10

Library Running Cost

2.01

2.01

2.02

2.02

2.02

2.02

2.02

2.02

2.02

Internet Connection
Expenses

0.60

0.63

0.66

0.69

0.73

0.77

0.80

0.84

0.89

Student Activities

0.16

0.37

0.63

0.74

0.82

0.86

0.90

0.95

1.00

Cost of Stationary &

Teaching Material

0.32

0.73

1.27

1.48

1.64

1.72

1.81

1.90

1.99

Insurance Cost Per year

0.46

0.44

0.41

0.39

0.37

0.35

0.33

0.31

0.30

Total

4.28

4.95

5.81

6.19

6.48

6.67

6.86

7.07

7.29

A5. Operating Expenses (Rs mn)

1. We have kept the teacher: student ratio to be constant at 40. We have calculated the
requirement of teachers each year using this ratio and the number of incoming students. We
have assumed that the initial salary would be 0.8 Mn. INR and grows at the inflation rate of 5%.
2. The current student teacher ratio is sufficient for 5 courses having 5 different subjects in each
semester and one teacher being expected to take up 3 subjects in a semester across courses
across the years.
3. In the marketing expenses, we have factored the cost of advertising in 4 newspapers and have
found the average cost of Ad printing to be Rs400/Sq.cm.. Print page and the billboard costs to
be 10% of the print ad cost.
4. We have assumed the margin for outsourcing costs to be 60% in FY2017 which increases at the
rate of 5% each year to 70% in FY2019 and then remains constant henceforth.
5. We have assumed the other expenses to be 5% of the total fees collected each year.
6. We have assumed the maintenance costs to be 5% of the total revenues generated each year.
7. The total lease land required is assumed to be 363550 Sq. Feet with a total cost of INR 2.2 Mn.

37 | P a g e

Acumen Education
Particulars

2017E

2018E

2019E

2020E

2021E

2022E

2023E

2024E

2025E

Staff Salary Costs

8.32

16.3

26.3

27.6

29.0

30.5

32.0

33.6

35.3

Marketing Expenses

0.53

0.55

0.58

0.61

0.64

0.67

0.71

0.74

0.78

Electricity Costs

0.73

0.77

0.82

0.86

0.90

0.95

1.00

1.05

1.10

Internet Expense

0.60

0.63

0.66

0.69

0.73

0.77

0.80

0.84

0.89

Student Activities

0.16

0.37

0.63

0.74

0.82

0.86

0.90

0.95

1.00

Hostel Outsourcing Costs

3.78

7.69

11.3

13.3

14.7

15.5

16.2

17.1

17.9

St. & Teaching Material

0.32

0.73

1.27

1.48

1.64

1.72

1.81

1.90

1.99

Other Expenses

1.58

3.66

6.33

7.42

8.20

8.61

9.05

9.50

9.97

Land Lease Cost

2.20

2.20

2.20

2.20

2.20

2.20

2.20

2.20

2.20

Library Running Cost

2.01

2.01

2.02

2.02

2.02

2.02

2.02

2.02

2.02

Maintenance Cost

2.05

4.76

8.22

9.65

10.6

11.2

11.7

12.3

12.9

Insurance Cost

0.46

0.44

0.41

0.39

0.37

0.35

0.33

0.31

0.30

Prel. Exp. Written off

0.56

0.56

0.56

0.56

0.56

Total Opex

23.2

40.7

61.4

67.6

72.6

75.3

78.9

82.6

86.5

Total Variable Costs

16.0

30.7

48.0

52.8

56.7

59.6

62.6

65.7

69.0

Total Fixed Costs

7.29

9.98

13.4

14.8

15.8

15.7

16.3

16.8

17.4

% of Variable Costs to Total

68%

75%

78%

78%

78%

79%

79%

79%

79%

Variable Components

Fixed Components

A6. Pre-Operating Expense

Interest charge has been taken at 1% above the CBI base rate of 10.25%. This was done in
consultation with CBI officer, who assured us that only 1% premium is charged for promoters with
prior experience as ours.
1. While calculating the Staff Salary & Training costs we have assumed thatwe will hire the
required staff 3 months before opening the college.
2. Office and administrative costs include salary costs of admin staff and other staff and also
includes other expenses.
Particulars (Rs Mn)
Interest Charge During
Construction
Cost of Professional Report,
Studies, websites etc
Branding & Marketing
Staff Salary & Training
Travelling
Office and Administrative
Land Lease
Total
Total At the end of 2016 to Bal.
Sheet
38 | P a g e

FY2015E
16.16

FY2016E
32.31

0.25

0.75

0.62
0.10
0.58
1.10
18.81

0.18
1.87
0.10
0.58
2.20
38.00
56.81

Acumen Education
A7. Balance Sheet of FY 2016E
This is the balance sheet at the end of Y0 or FY2016E. This includes the capitalized interest in both
assets and term loan.
Liabilities
Share Capital

( Rs Mn)
115.75

Term Loan
Total

511.47
627.23

Assets
Net Fixed Assets
Cash & Bank Balances
Preliminary Expenses
Total

(Rs Mn)
618.82
5.58
2.82
627.23

A8. Distribution of Pre-operative and Contingency in Fixed Assets

1. Electronic equipment include computers, projectors & A/V and other equipments(Printers,
Xerox, WIFI equipment ) which includes requirements for each
2. Cost of other office equipments is taken at 10% which is sufficient to cover such costs.
3. Pre-operative expenses and Contingency has been added into the assets by taking the pro-rata
asset value in each class to the total asset as per initial level.
Particulars (Rs Mn)

Initial

Building & Others

Electronic Equipments
Furniture and Fixtures
Kitchen Equipment
Other Office Equipment
Total

503.24
6.69
20.77
1.00
0.67
532.3

39 | P a g e

Share of
Preoperative
53.70
0.71
2.22
0.11
0.07
56.81

Share of
Contingency
28.24
0.38
1.17
0.06
0.04
29.88

Total
585.1
7.77
24.15
1.16
0.78
619.0

Acumen Education
A9. Revenue Analysis
Particulars
FY2017E
Per Student Fees (Rs Mn)
0.15
Per Student Hostel Fees (Rs Mn)
0.09
2017E
300
210
23%
70%

2018E
300
465
52%
85%

Hostel Capacity
Hostel Utilization

450
23%

450
52%

450
85%

450
95%

450
100%

450
100%

450
100%

450
100%

450
100%

Revenue from Fees

Revenue from Hostel
Total Revenue

31.5
9.5
41.0

73.2
22.0
95.2

126.5
38.0
164.5

148.5
44.5
193.0

164.1
49.2
213.3

172.3
51.7
224.0

180.9
54.3
235.2

190.0
57.0
246.9

199.5
59.8
259.3

Intake Capacity Per Year

Students In the College
Capacity Utilization
% Capture of Y1 Student

2019E 2020E 2021E 2022E 2023E 2024E 2025E

300
300
300
300
300
300
300
765
855
900
900
900
900
900
85%
95%
100% 100% 100% 100% 100%
100% 100% 100% 100% 100% 100% 100%

A10. Tax Calculations

Gross Block Asset Schedule as per IT Act
Blocks of Assets
Building Block I
Furniture Block-I
Computer Block-I

PBT as per
P&L
(+) Dep. As per
P&L
(-) Dep. As per
IT Act
Taxable
Income
EBDT Tax
EBDT Post
Absorption of
EBDT Loss
Dep.
Taxable
Income Post
Absorption of
Unabsorbed
Dep.
Tax Payable
40 | P a g e

Dep. Rate as per IT Act

10%
10%
60%

Gross Block Of Asset as on FY2016

585.18
26.09
7.77

2017E

2018E

2019E

2020E

2021E

2022E

2023E

2024E

2025E

(78.9)

(45.2)

7.6

33.2

56.8

75.6

96.5

119.4

142.7

39.0

34.6

31.2

28.5

26.3

24.4

22.8

21.4

20.1

65.8

56.9

50.3

44.9

40.2

36.1

32.5

29.2

26.3

(105.7)

(67.5)

(11.4)

16.9

42.9

63.9

86.8

111.5

136.4

(39.9)

(10.6)

38.8

61.7

83.1

100.0

119.3

140.7

162.8

50.1

83.1

100.0

119.3

140.7

162.8

(65.8)

(56.9)

(50.3)

(44.9)

(40.2)

(36.1)

(32.5)

(29.2)

(26.3)

25.8

111.5

136.4

8.0

34.4

42.2

Acumen Education
A11. Personnel Expenses
Particulars
Students enrolled
Teacher : student
Professors / Lecturers
required
Avg. Salary/year (Rs
Mn)
Total Costs for
Professor (Rs Mn)
Ratio of Professors to
Supp. Staff
Support staff
(Administration)
Average Salary per
year (Rs Mn)
Total Admin Staff Cost
(Rs Mn)
Ratio of Profs. to
cleaning staff
Other Staff
Average Salary per
year (Rs Mn)
Total Support Staff
Costs (Rs Mn)
Total Personnel Costs

41 | P a g e

2017E
210
40
8

2018E
465
40
15

2019E
765
40
23

2020E
855
40
23

2021E
900
40
23

2022E
900
40
23

2023E
900
40
23

2024E
900
40
23

2025E
900
40
23

0.80

0.84

0.88

0.93

0.97

1.02

1.07

1.13

1.18

6.4

12.6

20.3

21.3

22.4

23.5

24.7

25.9

27.2

4.00

7.50

11.50

11.50

11.50

11.50

11.50

11.50

11.50

0.36

0.38

0.40

0.42

0.44

0.46

0.48

0.51

0.53

1.44

2.84

4.56

4.79

5.03

5.28

5.55

5.83

6.12

0.5

0.5

0.5

0.5

0.5

0.5

0.5

0.5

0.5

4.00
0.12

7.50
0.13

11.50
0.13

11.50
0.14

11.50
0.15

11.50
0.15

11.50
0.16

11.50
0.17

11.50
0.18

0.48

0.95

1.52

1.60

1.68

1.76

1.85

1.94

2.04

8.3

16.4

26.4

27.7

29.1

30.5

32.1

33.7

35.3