2. Primary Objective First and foremost important objective of technical analysis is to see whether the project idea is feasible or not from technical point of view or not Secondary Objective To find out the most optimal formulation of the project technology, size, location etc. To find out the cost of project, so that profitability can be calculated.

3.  Technology selection  Material and utilities input requirements  Flexibility in product-mix  Plant capacity  Location and size of the project  Machinery and equipment

4.  Plant Capacity  Material and utilities input requirements  Investment Outlay and production costs  Use by other units  Flexibility in Product mix  Latest Developments  Appropriateness of technology.

5.  Raw-materials  Processed Industrial materials and components  Auxiliary materials and factory supplies  Utilities

6. Another area to be analysed under the technical analysis is flexibility of technology and plan regarding product mix.

7. ¶ Technological requirements ¶ Input constraints ¶ Market conditions ¶ Investment cost & resources of firms

8.  Nearness to raw-materials and market  Availability of infrastructure  Labour situations  Government policies  Other factors

9. Technical analysis of a project idea should include the study of required machinery and equipment to run the project. The machinery and technology required depends on the plant capacity and type of technology selected.

10.  Material Flow Diagram  Production Line Diagram  Transport Layout  Utility Consumption Layout  Communication Layout  Organisation Layout  Plant Layout

11.  To anticipate problems like to arise during the installation phase and suggest possible means for coping with them  To establish the phasing of investments taking into account the availability of finances  To develop a plan operations covering the initial period (the running - in period).

12.  Land and site development  Building and civil works  Plant and machinery  Technical Know-how and Engineering fees  Expenses on foreign technicians and training of Indian technicians abroad  Preliminary and capital issue expenses.  Pre-operative expenses  Margin money for working capital  Initial cash losses

13.  Share Capital  Term Loan  Debenture Capital  Deferred Credit  Incentive Sources  Miscellaneous Sources

15. Definition: “A process of raising the funds (money) for an economically separable project, where providers of the fund look primarily cash flows and revenue of that project as a source of interest (dividend) payment and capital repayment.”

16. 1.Equity shares 2.Preference shares 3. Debentures 4.Bonds 5.Term Loans from financial institutions 6.Un-secured Loans 7.Lease financing 8.Deferred Credit 9. Capital Investment subsidy 10.Bridge finance (Bridge Loan) 11. Internal accruals (in case of Expansion Projects).