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1. INTRODUCTION
Refrigeration stands for the Production of a cool confinement with respect
to surroundings. Air conditioning is defined as the simultaneous control of
temperature, humidity cleanliness & air motion. Refrigeration may be defined as
the process of achieving and maintaining a temperature below that of the
surroundings, the aim being to cool some product or space to the required
temperature. Refrigeration systems are also used extensively for providing
thermal comfort to human beings by means of air conditioning. Air Conditioning
refers to the treatment of air so as to simultaneously control its temperature,
moisture content, cleanliness, odour and circulation, as required by occupants, a
process, or products in the space.
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Air Condition & Refrigeration Installation & Repair
Refrigeration effect
COP =
Energy input
3. MARKET POTENTIAL
In today’s time the use of A.C & fridge has become a essential part of the
routine life. The new technology in this sector makes use of air conditioner not only
in summer season but in winter also. Day by day sale of these items are growing the
Indian AC market accounted for sales of 3.6 million units in 2013. AC’s had a 13.0
per cent share (2013) in the consumer appliances market. High income growth and
rising demand for split ACs are the key growth drivers in this sector. The sale of
Refrigerator was approximately 14.0 million units in 2013. This segment makes up
18.0 per cent of the consumer appliances market. Lower prices and rising demand
for frost-free refrigerators are the key growth drivers in this sector. Fridges with a
capacity range of 142-340 litres dominated fridge sales over the last few years.
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Air Condition & Refrigeration Installation & Repair
5. Motive Power
Total Power Requirement is about 2 KW.
6. FINANCIAL ASPECT
6.1. Fixed Capital
Land & Building: Covered area of 180 Sq. Ft. on rent.
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Air Condition & Refrigeration Installation & Repair
6.2.3. Utilities
1. Power: 400 units @ Rs. 6/unit Rs. 2,400
2. Water: LS Rs. 500
Total Rs. 2,900
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Air Condition & Refrigeration Installation & Repair
7. FINANCIAL ANALYSIS
7.1. Cost of Operation (per annum)
S.No. Description Amount (Rs.)
1 Total Recurring Cost per year 11,92,200
2 Depreciation on Machinery & Equipment @ 10% 2,700
3 Depreciation on Office Equipment & Furniture @ 20% 2,000
4 Interest on Total Investment @ 14% 48,307
Total 12,45,207
= 19.1 %
= 85.4 %
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Air Condition & Refrigeration Installation & Repair
B.E.P
Fixed Cost
= X 100
Fixed Cost + Net Profit
= 55.3 %
Raw Material & other tools, equipments will be procured from open market.
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