Project Report on News Paper

8/2/2019 Project Report on News Paper

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A

PRODUCT PROJECT REPORT

ON

NEWSPAPER

THE DUSK

Prepare by

Aghera Navneet S.

Class

T.Y.B.B.A.

Academic Year

2006-07

Institution

Geetanjali college of Computer Science and Commerce

(B.B.A.)

Guided By

Nirav S. Joshi

Submitted To

Saurashtra University

Rajkot


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DeclarationI the undersigned, Aghera Navneet S. a student of

T.Y.B.B.A. here by declare that the project work presented in this

report is my own work and has been carried out under the guidance

of Lr. Nirav S. Joshi ofGeetanjali College Rajkot.

The work was not been submitted to any other University for

any other examination purpose.

Date :-

Place:- Rajkot

Signature

Aghera Navneet S.


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PrefaceAs a Management student of the final year of graduation,

practical knowledge about the corporate world is no more a desire

or a voluntary action to be undertaken, but a simple bare necessity.

Books dout suffice the level of knowledge a student is regular to

possess. A student should have a purview about the real happening

of the corporate.

To suffice the above regalement B. B. A. course has

expended its purview and scope to the world of practical training.

This product project report as an interval part of such practical

training. Along with the big corporate entities a student should have

knowledge about all the happening & functioning of the small scale

industries in order to be manager or entrepreneur.

As a student of B.B.A. are should have sufficient and basic

knowledge regarding how to start a small business, how to manage

it, how to make financial estimated and manage funds estimates and

manage funds and the most important of all, how to make a product

project report on the basis of which they can apply for a load from

bank or any financial justification.


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Thus PRODUCT project Report at this stage makes many

things clear in mind of students which helps them a lot in future.

Therefore it ensures practical exposure in the world of business and

entrepreneurship and peculates necessary skills and tactics, which

are indispensable for any venturous entrepreneur.

Preparation of a product project report on NEWSPAPERhas

enabled me to have a deep insight into the actual world of news,

journalized and press. It has updated my knowledge with all legal,

financial marketing aspect linked with the service.


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AcknowledgementSuccessful accomplishment of any work requires co-

operation, help and guidance from many people. I had a wonderful

opportunity to make a product project report on NEWSPAPERas a

part of my practical training in T. Y. B. B. A.

This report would not have been possible without the help of

many people whom I would like to acknowledge and thank for their

kind co-operation.

First of all, I would like to thank, the people and staff of Jai

hind press, without whose co-operation and support the project

would not be possible as they helped me have all insight on all the

facts and aspects related to NEWSPAPER.

Next I would like to thank our college principle Mr. Kiran

Padhiyar for letting me have such a wonderful opportunity in the

form of this report to have an insight about NEWSPAPER.

I would like to thank our project guides Mr. Purohit and

entire B.B.A. staff teacher for helping us out whenever we viewed


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all obstade, as they have left no store unturned for our personal

enhancement and betterment.

I would finally like to thank all these people who have helped

in our way or the other to make this project come true, my friend

and all my projects guides without whose help and support this

project report would not have been possible.


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Introduction

As a part of management studies & specially T.Y.B.B.A.

practical training forms an internal part of studies under the

academic purview of T.Y.B.B.A. balls this product project report.

Hence, I have prepared my product project report on

NEWSPAPER.

NEWSPAPER inspire of being a physical and tangible

product, it is a service to the society. The press industry has its own

benefit financial as well as non financial. These intangible benefits

include preferential treatment, strong reputation practical mileage,

strong top level relation etc. These intangible benefit are one such

aspect of the press industry, which makes it very lucrative.

But these benefits are not enough reasons to pursue an entire

project in order to commerce such a business a business person has

to check the financial riability of the project also, certain question

are to be answered are how much capital is regard? Where we will

procure this capital? What will be the cost of production? When will

we Break Even? What would be the profits & the return of invt?

And the use is endless.

A genuine attempt has been made to answer all these question

with the almost justification possible in the following pages.


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Project at Glance

Name of the Unit Impact News & Media

Registered Office 804-808 Sterling Apartment, 8th Floor,

Jawahar Road, Rajkot-360001.

Size of Unit Small Scale Industry

Form of Organization Partnership Firm

Name of Partners Miss Karishma MehtaName of Product Daily Evening Enough NEWSPAPER

Press Location THE DUST press Milpara Rajkot 360001

S.S.I. Registration No Applied For

Management set up


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Both the partner of the firm

Mr. Kamal A. Doshi

Miss Karishma H. Mehta

Will be the working partners of the firm whose capital

contribution and profit sharing ratio will be as per the partnership

deed. While Mr. Kamal A. Doshi on the basis of his business

experience & expertise will be given the department of eluting and

finance and will be holding the post of Managing Editor.

All other business matters of all department shall be taken

work by Miss Karishma H. Mehta where includes management,

planning and policy making, printing and publishing etc.

All strategic and policy design shall be taken by the consent

of all parties concerned and majority will be the deciding factors.

All the major department regularly personal supervision and

regulation attention will be managed by the qualified people

appointed especially for the same, and will be remunerated on a

fixed salary basis.

Bio-data of Partners


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1. Name : Mr. Kamal A. Doshi

Age : 32 years

Address : JAYDEEP 9, Panchanath Plot, Rajkot-

360001

Qualification : Bachelor in Arts chartered AccountantExperience : 8 years experience in similar firm

Responsibility : Editorial Department

Finance Department

2. Name : Miss Karishma H. Mehta

Age : 24 years

Address : Vivekanand Apt. Yagnik Road, Near

Haribhai Hall, Rajkot-360001

Qualification : M.B.A.

Experience : Fresh

Responsibility : Printing & Publishing Department

Advertising & Media Department

Planning & policy Making Management


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Justification of Location

Factory location is the decision regarding the geographical

situation of the plant. This decision is a very crucial one because it

is not easily reversible and involves a huge amount of porestment.

The factory location plays an important role in the success or failure

of the business. But this design is affected by many factors which

are kept in Niud while selecting the location.

I have selected the following site for the machine room of my

press.

THE DUST Press,

Milpara Main Road,

Rajkot-360001

The correctness of this decision can be justified all the

following basis.

(1) Industrial Choice: -

Many other presses are situated in this locality and hence it is

common choice of all entrepreneur in this business.


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(2) Nearness to the Registered Office: -

As the Registered Office is located on Jawahar Road, the

Location of the press is hear to the administrative office and the

computer room, which is helpful in faster communication between

the two department.

(3) Market Proximity: -

The location also provides proximity to the market in the

sense that it to easier to release the newspaper into the distribution

channels because of the nearness to the S. T. Bus Stand.

(4) Transportation Cost: -

Due to the above research, the transportation cost becomes

cheaper and the distribution easier. This helps in cost reduction and

cost control.

(5) Rapid Sales: -

As the press in located near the Bus Station, there is a scopeof rapid and prompt sales so this is the feasible point in the

justification of location.


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Location

Registered Office

804-808, Sterling Apartment

8th Floor,

Jawahar Road,

Rajkot-360001.

Press Location

THE DUSK press

Milpara Main Road,

Rajkot-360001.


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Product Detail

The final product of the firm will be daily evening English

newspaper, the first ever of its kind in the city of Rajkot. The most

distinct peculiarity of thus daily evening newspaper is it is the first

newspaper to be published in English covering all the views & news

that todays youth even for.

Besides all the local end national news and events, this

newspaper also contain corporate advertisement, Government

advertisement, notices, classifieds, career oriented articles, self-

improvement columns, puggler, zodiac for the day, news about the

industrial word etc.

The mechanical data of this newspaper is as follows:

Preparing Area: length-51 CMS

Width-57.5 CMS

8columns each of 4.5 CM width

Periodically: 6 Daily averages in a week except

Sunday.

Education & Pages: Rajkot City Edition-12 sides, career

Times-2 sides [every Saturday]

Advertisement Materials: Positive & Art Pulls

The Brand name for newspaper would be


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THE DUSK

Significance of the name: -

THE DUSK is the most appropriate title to the newspaper

according to me as the word DUSK means early evenings. The

rightness is correctly justified as THE DUSK newspaper would

be the first thing happening to the masses in the evening.


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Market Potential

There as a considerable scope for evening newspaper here in

Rajkot district. Saurashtra are by nature very keen and aurous to

know what has been happening throughout the day in the whole

world around. Their awareness towards the need to be well

acquainted about the convent events makes space for he evening

newspaper in the market. After the noon siesta before resuming

back to their routine work in the office they are now habituated to

reading evening dailies.

With the growing emergence of English language the

revolutionary charger brought about in todays youth. The need and

requirement of English dealer have increased. Especially in the city

of Rajkot which does not have the daily publication of pts own, as

bar as English evening newspapers are concerned. The youth today

really wants to know the real, current, evening affairs preferably in

English language.

According to me, the target customer of my newspaper would

be todays youth industrialist, people of day to day household,

people who are really interested in having some cup of their tea in

the language they prefer to communicate with on day to day bask.

Seeing to all the needs and requirement of target customers, & think

my newspaper has a suborns market potential in itself.


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Implementation

Schedule

No. Particular Days

1. Acquisition of local and bidg on rent 10 Days

2. Arrangement of Power 10 Days

3. Acquisition of Machinery 60 Days

4. Installation of Machinery (including trial runs) 10 Days

5. S.S.I. Registration 30 Days

6. Financial Arrangement

For Machinery

For Others

10 Days

7 Days

7. Staff Appointment 10 Days

TOTAL 5 Mths of

167 Days

approx

As many of the above activities are practically carried on

simultaneously at a time all average a period of 5 Mths will be

rewired to install and implement this project in its totality.


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Raw Material

The main raw material regarded for printing the newspaper

are as under:

1. Newsprint.

2. Plate.

3. Ink.

1. Newsprint: -

The main paper on which the news is printed is known as

newsprint after analyzing various supply sources, the firm has

finalized 2 supplier.

Poonam Paper Industrial Veraval.

Vivek Paper Industrial Pune.

2. Plate: -

These are aluminium plates on which the news is imposed

from the butter paper. From these plates the writings are embossed

on the newsprint. These plates are brought from

Trans Media and Graphics Ahmedabad.

3. Ink: -

The Ink that will be used for printing the newspaper shall be

brought from Kartik chemicals Surat.


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Manufacturing Process

1. Collection of News: -

The collection of news is one activity, which shall be carried

on contribute vigilance and collect all important news from the

areas that would be allocated to them.

2. Composing of News: -

Once the news are collected they need to be composed so that

they are ready to be printed. The composing step involves following

all the news into the computer.

Typing: -

This involves feeding of all the news into the computer.

Page Editing: -


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Once the news are bed in the computer, formatting needs to

be done. Placement of headlines, sub headlines photographs,

advertisement etc is decided and the newspaper is ready on the

computer screen.

Page Setting: -

This refers to the activity of taking the print out of the edited

page of news on the butter paper. The butter paper is available in

A3 and A4 sizes only therefore 2 butter papers have to be used to

form the length and breadth of the newspaper. Due to this the prints

are taken on 2 butter papers, they are set together and gluect with

the help of cello tapes. That, it can be said that a prototype of the

paper is prepared on the butter paper.

3. Plate Exposing: -

Once the editor does the proof reading of the butter paper

print, it shall be sent to the machine room (pretro). There it shall be

put into the plate exposing unit through which the entire print on the

butter paper is imposed on the aluminium plate.

4. Printing: -


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This plate is then fit on the roll of the off set machine. The

paper roll are also fit into this machine. By the confidence of the

paper, plate & the ink the newspaper will be actually printed.

5. Counting: -

The off set machine will have an in-built folder. So the paper

will be automatically folded. 1052 helpers shall court these folded

newspaper and make bundler of appropriate size.

6. Dispatching: -

The bundles will then be ready for dispatch. The newspaper

of the DAK edition (i.e. for the surrounding village & towns) will

be sent to their mode of transportation (i.e. St Bus Station) while the

city Edwin will be sent to the city depots for distribution.


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Basis and Presumption

It is presumed that there will be 340 working days for the

press in a year.

Were shall be done in a single shift in the morning & the

noon because the deadlene for providing the newspaper will be

latest at 4:00 Pm. Which has to be met under any circumstances.

Salary and wages to the staff will be paid at the prevailing

rates.

GSFC loans interest rate to 15% p.a.


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Fixed Capital

Particular Amount Amt (in Rs. p.a.)Land & bldg

Registration charge

15,00,000

65,000 15,65,000

Plant and machinery

Off set

Plate exposing unit

Generator set

20,00,000

2,00,000

2,00,000 24,00,000

Furniture 6,00,000Computer 3,00,000

Printer 85,000

UPS 20,000

Scanner 15,000

PTL Deposit

Deposit

Machine

25,000

10,000 35,000

Total 5020000

Staff and Labour

Particular No. of persons Amt per Rs. p.a.


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TOTAL 3744000

Working capital

Requirement

Types of exp. Particular Amt (P.A.)

Fixed Exp. Salary 22,20,000

Rent 12,000

Depreciation

Machinery 2,40,000Furniture 1,20,000


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Total Field Exp. 25,92,000

Variable Exp. Internet 12,000

Telephone 3,00,000

Power 1,44,000

Repair 78,000

Stationary 1,80,000Cash 1,20,000

R.M. 37,44,000

Total Variable Exp. 45,78,000

TOTAL WORKING CAPITAL 71,70,000

Sales Forecast

Year Copy per year Amt (Rs.)

1st year 31,20,000 62,40,000

2nd year 32,76,000 65,52,000

3rd year 35,54,460 71,08,920

4th year 39,45,451 78,90,901

5th year 44,30,741 88,61,482

Selling price per unit will be Rs 2


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Project Fund

Particular Amt

Fixed Capital 50,20,000Working Capital 9,27,500

TOTAL 59,47,500

Sources of Finance

Particular Amt

Ownership Capital (60%) 35,68,500

Loan from ASFC Capital (40%) 23,79,000

TOTAL 59,47,500

Cost of Production


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Particular Amt

Raw Materials 37,44,000

Depreciation 3,60,000

Recurring Expenses 30,66,000

Interest on Investment 3,56,850

TOTAL 75,26,850

Break Even Analysis

FIXED COSTS 25,92,000

VARIABLE COST 45,78,000

BEP Without considering AD. Revenue

Sales = Sales in units Selling price P.V.

3120000 2

6240000

Contribution = Sales Variable Costs

6240000 4578000

1662000

Profit Volume Ratio = Contribution 100/Sales

26.63461538

BEP = F.C.

P/V Ratio

= 2592000/2663

= 9731697


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BEP After considering AD. Revenue

Sales = Sales from newspaper + A.D. Revenue

6240000 + 655000

6895000

Contribution = Sales Variable Costs

6895000 4578000

2317000

Profit Volume Ratio = Contribution 100/Sales

= 2317000 100/6895000

= 33.60406091

BEP = F.C.

P/V Ratio

= 2592000/33.6

= 7713353

The amt of sales is Rs. 7713355 which as achieved in the

middle of the 2nd year where sales is somewhere less than Rs.

8228920. Thus it can be said that the firms break even at the end of

the second year.


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Cost of Capital

Cost of owned Capital

Ke = Bank Rate owned Capital / 100

= 3568500 9.5 /100

= 3390075

Cost of Borrowed Capital ASFC Loan

KD = Interest Rate Borrowed Capital / 100

= 15/100 2379000

= 356850

Total Cost of Capital

COC = Ke + KD 100/ Cost of Project

= (339007 + 356850) 100 / 5947500

= 11.7%


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Return on Investment

Particular 1

st

year 2

nd

year 3

rd

yearSales 3120000 3276000 3554460

In units 6240000 6552000 7108920

In Rs. @ Rs 2 AD Revenue (P.A.) 655000 870000 1120000

Total Sales 6895000 7422000 8228920

WORKING CAPITAL

Fixed 2592000 2592000 2592000Variable 457800 4806900 5215486.5

Total Working Capital 7170000 7398900

EBIT -275000 23100 78074865

TOTAL

INVESTMENT RETURN

ON

5947500 5966575 600623.9

Total Sales 4.623761509 0.3871568 7.0231610

Formula

Total Sales = Sales of newspaper + Ad. Revenue

FBIT = Total Sales Total Working Capital

Return of INVT = B11 100 / TOTAL INVT.

In the2bd year the firm break even on the end of the year so

there as a low return of this of 0.38%. But as the 3 rd year due to

increasing sales & also increasing Advertisement Revenue, the firm

small each a return of INVT of approx 7.02%.

Risk factor


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The greatest nightmare for anyone in this industry is a poor

growth of the circulation of the newspaper. If the circulation of the

newspaper. If the competition is too high to let anyone penetrate

then it posses a risk of low circulation.

Poor availability of Editorial And Advertisement staff in

terms of competency and skills.

Insufficient advertisement revenue is a great risk because fro

all press this is the main source of income.

A constant fear of those politicians and terrorist or criminal

against whom the news is published.

Documents

Project Report on News Paper