Fabrica Financial Projection Assumptions
All figures are in real US Dollars. Foreign exchange rate is 35 Baht = 1 $US. Commercial starts up on January 1, 2000. All costs incurred during the initial six-month period of 1999 (July-December) has been shown as Pre-Operating Expenses. Pre-Operating Expenses before commercial start up are amortized in 5 years. Patents are amortized in 10 years. Variable costs increase 5% per year (equal to expected inflation rate in average). Dividend payments are 40 % of Net Profit After Tax. Interest rate for saving account is 5% and Bank's overdraft is 15%. Discount rate is 30% ( double of Bank's overdraft rate). Minimum cash is 1% of sales. Account payable is 30 days. Account receivable is 30 days. Inventory - Material 60 days. - Work in Process 3 days. Corporate tax rate in Thailand is 30%.