oil company interview

4800 Sq.ft

8 mills they are running for 10 hours. 

200 KG nuts and 80 kg oil per mill per day.

4kg oil for 10kg groundnut

2000/- badham oil.

ground nut oil is 50% sales from 500kg oil per day

260 wholesale groundnut oil

groundnut cost@110 per kg = 12X110 = 1320

5X260 = 1300 - oil

7X35=  245 - remaining crushed groundnut..

total = 1300+245 = 1545/- 

ground nut buy cost - 1320/- sell cost 1545/-

profit = 225/- for 12 kg ground nut.. 

19/- profit per kg ground nut

buying at 110/- selling at 130/- 

18% profit on investment of 110

or 15% profit on sales of 130/-

wholesaler will see the profit on investment only..

wholesaler will have oppartunities to do it ,multiple times with the same investment as he concentrates on single or very few items based on his investments....

we sell onion bag of 50kg @ 50 rupees per bag profit... 

but when sell on kg we will get around 200 to 500/- profit for same bag based on demand price hike and customer.. 

110 if rotated 4 times in a month then 4X18 = 72 percent , 5 times 90 percent profit, 6 times 108% profit in 1 month... 

but retailer will have more profit on sales as he has to stock 1000 or more products in a store for long periods so options for rotating same money multile times... 

260 is less... but he will increase later as his concentraion was on sesame but new for groundnut.. 

he is concentrating on quality at chepest price now for customer base .. 

and he is not spending time in setting up his own ground nut peeling business....

12 kg ground nut will give 5 ltr oil

he selling 500kg oil per day...  250 rkg retail (profit will be so much in that ) 

which means 1200 kg groundnut per day 

which is 36 ton of groundnut per month...

36000X110 = 40lakh investment in groundnut...