Documenti di Didattica
Documenti di Professioni
Documenti di Cultura
Prepared by
Group # 02
Evening MBA Program
Batch # 33
Business Mathematics
(F - 502)
Report
On
Real Life Case Solve Using Mathematical Applications:
Polly Bodhu Corporation.
Name
Mohammad Mahmudul Hasan
Rashed Latif
Hasan Rahman Shuvo
Mohammad Amirul Islam
Md. Asabur Rahman
Md. Saleh-Ibne- Rashid
Najmul Huda Riad
Md. Masud Rana Sikder
ID
33013
33075
33001
33003
33005
33016
33027
33030
University of Dhaka
Sincerely yours
Acknowledgement
We express our deepest gratitude to Tazrina Farah, Assistant Professor, Department of
Finance, Dhaka University, our course teacher, for her valuable guideline and support in
completion of our report.
We also acknowledge the stakeholders Polly Bodhu Trading Corporation who gave us
valuable time to provide us information.
Finally we again express our deepest gratitude to our Honorable course teacher Ms.
Tazrina Farah who always support and guidance guided us to complete such a report.
Without her valuable support and guideline it was impossible for us to complete this
report in time.
Table of Contents
INTRODUCTION....6
1.1
Origin of Study..........................................................................................7
1.2
1.3
1.4
Data collection..........................................................................................8
1.5
Methodology Analysis...............................................................................8
1.6
Limitations
2.1
Company Background.............................................................................10
2.2
Capability................................................................................................10
2.3
Classification of Product........11
2.4
Mission....................................................................................................12
2.5
Values ....................................................................................................12
2.7
Company at a Glance..............................................................................12
3.1
4.1
4.2
4.3
4.4
4.5
4.6
Matrix Interpretation...............................................................................24
4.7
5.1
Findings..................................................................................................27
5.2
Recommendations..................................................................................27
5.3
Concluding Remarks...............................................................................28
BIBLIOGRAPHY
CHAPTER
Introduction
1.1
Origin of Study
1.2
1.3
1.4
Data collection
1.5
Methodology Analysis
1.6
Limitations
Chapter
1
Introduction
1.1 Origin of Study
Bangladesh is one of the most densely populated countries in the world and it would be
impossible to alleviate poverty without creating jobs and investment. But highly
extractive models of investment might also not help the poor in a true manner.
Inaugurating the organic tea garden of the country in the underdeveloped regions of
Panchagar of the northern most districts Tetulia, nestled against the Himalayas to the
North and the Brahmaputra and Ganges Rivers to the south is a sustainable source of
income for an underprivileged community and environmental enrichment to virgin lands.
Polly Bodhu Trading Corporation is an initiative of an entrepreneur to facilitate those
opportunities in our country. This study is conducted in order to understand the
mathematical equations in the companys business aspect.
1.6 Limitations
1. The time limitation is the major among all other constrains.
2. Confidentiality corporate and production data has created limitations to analyze
the data and mathematical analysis.
10
11
Chapter
2CHAPTER
Overview
Overview
2.1 Company Background
2.1
Company Background
2.2
Capability
2.3
Classification of Product
2.4 Mission
Polly Bodhu Trading Corporation has been doing business since 2013. The company is
2.5 Values
committed to change the economic condition of the rural women through cultivation of
2.7 Company at a Glance
organic plants such as Tulshi Tea, Sliming Tea and Green Tea. Many farmers from the
garden are associated with the company and are the sole supplier of raw leaves. The
company is producing high-quality organic tea to meet the growing demands of both
local and foreign markets. Currently the company produces herbal tea, in which all the
essence and ingredients come from the garden. The company is growing them 100%
organically as well. The companys Head Office is in Dhaka and two regional offices are
in Rangpur and Sylhet with a factory in Narsingdi.
2.2 Capability
Polly Bodhu Trading Corporation has countrywide sales network reinforced with fast
logistical support and state-of-arts manufacturing and R&D facilities.
Polly Bodhu Trading Corporation
12
13
2.4 Mission
To combine bold strategic marketing with quality products and services at competitive
prices to provide the best value for consumers.
2.5 Values
The products of Polly Bodhu Corporation are affordable and accessible to our respected
customers without sacrificing quality and build long-term relationship for sustainable growth.
14
Company Name
Brand Logo
Establishment Year
2013
Type
Private Company
Industry
Company Size
25+ Employee
Address
Telephone
+8801911488535
Web address
https://www.pollybodhu.com/
https://www.facebook.com/pollybodhu
Figure02: Company Overview
15
CHAPTER
CASE STUDY
3.1
Trading Corporation
16
Chapter
3
Case Study
3.1 Feasibility of Investment : Polly Bodhu Trading
Corporation
Case: 1 Calculate the recent BEP from Production as well as sales point of view. So, we
can show a relative comparison with the expansion project.
Case: 2 Management of Polly Bodhu Trading Corporation wants to know the monthly
production capacity. Therefore, they can set a proper sales target and calculate if it is a
profitable investment or not. They are using 3 types of machine to process tea bag- One
is Dryer machine, one is Mixer Machine and another is Tea bag Packing Machine. Each
machine has different machine minutes. Estimated monthly running time for Dryer,
Mixer and tea bag packing machine is 11850, 13650 and 15600 minutes respectively.
The processing time (in minutes) for single unit of Tulsi tea, Green tea and Sliming tea
are given below.
Table: Production Capacity (Minute/Unit)
Dryer Machine
Mixer Machine
Tea bag Maker
Tulsi Tea
0.1
0.14
0.17
Green Tea
0.12
0.11
0.15
Sliming Tea
0.15
0.16
0.14
The company is now thinking about the prospects and viability of the investment.
Case: 3 Checking the revenue, total cost and profit of the existing products of company.
Polly Bodhu Trading Corporation
17
Case: 4 using differential calculus show the minimum cost of another expansion project
where the variable cost will be 37q, fixed cost will be Tk. 400000
18
19
Chapter
4CHAPTER
20
Account Name
Property
Machineries
Rental Expense
Utility Bill
Administrative Expense
Amount (BDT)
14,60,000
7,06,700
40,000
20,000
66,480
Total 22,93,180
Table 3: Fixed Cost
Amount (BDT)
19.4
4.6
5.73
4.27
Total 34.00
Table 4: Variable Cost
21
From the above data we have got the total fixed cost = Tk. 22,93,180
Variable cost per unit = Tk. 34
We denote the number (quantity) of unit made and sold by q. Then since units are sold at
Tk. 66 a packet (on an average), the revenue function is
R (q) = 66q
Now since the variable cost per unit is Tk. 66, the variable cost of making q units will be
700q. Adding the fixed cost of Tk. 22,93,180, the cost function becomes
C (q) = 34q + 22,93,180
22
23
24
term of -2293180 indicates that the company will have to sell Tk. 2293180 worth of
products to compensate for the fixed cost of Tk. 22,93,180
Now, as before, break-even will occur when profit is 0. That is
P(s) = 0
0.48s - 2293180 = 0
s = 47,77,458
So, Polly Bodhu Corporation needs to maintain at least Tk. 47,77,458 as a sales target to
assure its breakeven point.
Figure Graph-01
25
|
|
|
|
0.1
0.12 0.15
= 0.0004
Dx =
|
|
|
= 18.015
11850 0.15
= 11.085
Dz =
= 10.485
26
Hence,
Dx
D
18.015
=
0.0004
X=
Y=
=
=45037
11.085
0.0004
Dy
D
= 27712
Z=
=
10.485
0.0004
Dz
D
= 26212
So, PolliBodhu Corporation can Produce 45,037 units of Green Tea, 27,712 units of
Tulshi Tea and 26,212 units of Sliming Tea.
Total Production Capacity = X+Y+Z
= 45037 + 27712 + 26212
= 98961
Green Tea, 27712 units of Tulshi Tea and 26212 units of Sliming Tea. Selling Price of
Green Tea, Tulshi Tea and Sliming Tea is 95 Tk, 42 Tk and 75 Tk respectively. And the
Cost per unit of Green Tea, Tulshi Tea and Sliming Tea is 84 Tk, 32 Tk and 66Tk
respectively.
The total revenue and total cost can be explained with the help of matrix. The interpretation is
given below
Revenue will be
( )
45037
27712
26212
( 95 42 75 ) =
( 74,08,319 )
( )
45037
27712
26212
So, Profit
( 84 32 66 ) =
( 63,99,884 )
= 74,08,319 63,99,884
= 10,08,435 Taka
27
13 20000
q
= 0 + 22 - 260000 q2
For maximum or minimum values the first derivative must be equal to zero.
So,
dC
dq
=0
Or, 0 + 22 - 260000 q2 = 0
Or, 260000 q2 = 22
q = 108.71 units
Also
d2C
d q2
= 0 260000(-2) q3
260000
108.71
= 4,04,783Tk
28
29
Chapter
5CHAPTER
and Conclusion
5.2 Recommendations
5.2 Recommendation:
In case of existing product Polly Bodhu Corporation needs to maintain at least
Tk. 47,77,458 as a sales target to assure its breakeven point.
The new project will not make much profit like previous projects were doing
earlier. So, Polly Bodhu Coporation will have to either increase the price of
product or cut the cost.
30
31
32
Bibliography
Books:
Business Mathematics, 11th Edition, , D.C. Sancheti & V.K. Kapoor (Pg: 701 & 791
856)
Reports:
Web:
https://www.facebook.com/pollybodhu
https://www.pollybodhu.com/
33