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12 February, 2022

What is a Project? List down the cost components of a Rice Mill project (capital cost)

A project is refers to that a temporary group of activity designed to produce a unique product, service or a result. A project has defined by following aspects:

1) It is defined a beginning-end schedule and approach; 

2) Uses the resources to allocated works;  

3) Achieves the specific goals within an organized approach;

4) Usually involves a team of workforce.


1. Cost of land and site development

a)      Cost Of Land

b)      Cost of Leveling/Development

c)       Cost of Approach Road

d)      Cost of Compound Wall

 2. Cost of Building & Civil Work

a) Factory building

b) Raw material godown

c) Finished goods storage & packing

d) Administrative building - Conference hall e) Generator room & workshop

f) Watchmen Cabin

g) Electricity Chamber

 3. Cost of plant & machinery

a) Milling section b) Paddy bar

c) boiling/steaming plant d) Steam boiler

e) Excuse Duty & Other Taxes

4. Others fixed assets costs

a) Office furniture & fixtures b) Computer

c) Electrification & firefighting equipment’s

d) Air compressor

e) Vehicle (truck)

f) Other machineries tools & tackles

5. Preoperative Expenses

6. Margin Money for Working Capital

a) Raw material

b) Electricity charges c) Salary & wages

d) Stores & spares

e) Overhead & packing

f) Stock of finished goods & goods in process