Assumptions

Forecast for 2010-11 to include project cost

Budgeted project cost 60Cr, starting date Aug 2009
Project exceution schedule: 18 months
240 student in 2010-11
Moratorium period of 3 years from 2009-12
In June 2012 repayment of principle starts
Interest rate 14%
My assumption
project stats in Aug 2009 and ends in Feb 2011
Project expenditure: 30 Cr till March 2010, balance 30 Cr in March 2011
240 Students will be admitted in July 2010, hence the fees for 1st year will be accruved in March 2011
out of 240 seats we assume all 240 being filled.
Additional faculty will Join in academic year 2010-11
30 Crores asset is by capitalized in 2009-10 and balance in 2010-2011
Hostel fees are increased 7 % every year and doubled in 2010
loan is 42 Cr + 3 cr cash + 15 cr donation
Admission Forms: Froms selling will increase from 9000 to 1000 in 2010-11 will continue to remain same. Gim will increase From fees gradually each year ( Taking into account of inflation)
Fees are increaed 7 % every year except for batch 2010-2012 tution fees is doubled and other fees are increased 30 %
other cources like photography, music, german speaking, french speaking etc are introduced
Increase in faculty number and quality will lead to more consultancy income
MDP income will increase 9% increase. Brand GIM is good in the area
In Company Traning Income will increase 9% increase as GIM being the only management college in the region.charge a premium
Increase
faculty by
50% in
2010-
11,30% by
2011-12
due to
increase
in the
number of
students
so to keep
the
student/te
acher
ratio same
as before
8% rise in
salary
every year
Incentive for faculty 8% rise in salary every year taking into account average inflation
Faculty development expense 9 % increase every year
Visiting faculty expenses will reduce drastically once in house faculty increases and then the expenses will increase with 11%
Director's
travel
expense
will
increase
drastically
once
project
starts and
then will
increase
gradually
at inflation
rate 9 %
Research related expenses increase 11 % per year
Faculty recuitment expenditure will be very high in 2009-10 and 2010-11 and otherwise increases gradually with 9 %
PGP MI course expenditure will increase by 9 %
Book allowance will be very high in 2010-11 and 2011-12 and otherwise increases gradually with 9 %
Staff welfare expenditure will be very high in 2010-11 and 2011-12 and otherwise increases gradually with 11 %
Student realated expenditure /Alumni will double in 2010-11 and 2011-12, increase by 9% every year
Convocation Expense will double for 2011-12, increase by 9% every year
Conference & Seminars will increase 12% every year
Scolarships are increased to attract better quality of students
Admission Forms: Froms selling will increase from 9000 to 1000 in 2010-11 will continue to remain same. Gim will increase From fees gradually each year ( Taking into account of inflation)
Fees are increaed 7 % every year except for batch 2010-2012 tution fees is doubled and other fees are increased 30 %
In Company Traning Income will increase 9% increase as GIM being the only management college in the region.charge a premium
Visiting faculty expenses will reduce drastically once in house faculty increases and then the expenses will increase with 11%
Faculty recuitment expenditure will be very high in 2009-10 and 2010-11 and otherwise increases gradually with 9 %