Feasibility study report is prepared to support the investment proposal. Feasibilities for the various aspects related to technical, commercial and financial are examined in detail by the experts and consultants brought in feasibility study report. Feasibility study report is termed as a techno economic feasibility study.

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It is the primary report for the formulation of the investment proposal. Investment decisions are taken based on the details incorporated in the study. Thus feasibility is prepared only for the formulation and investment decision-making. The first step in feasibility study is the needs analysis. The purpose is to define overall objectives of the system proposed to be designed. The second and perhaps the most important thing is system identification. This is referred to as activity analysis.

Feasibility study report contains:

§ A broad indication of demand and availability of the product.
§ Required sources for the development of the project.
§ Selection of suitable process and technology.
§ Fixation of capacity on the basis of the project.
§ Process description and layout plans for the project.
§ Available facilities.
§ Evaluation of available facilities.
§ Capital cost.
§ Profitability analysis.
§ Project schedule and schedule control.
§ Design and flow diagrams.

After the preparation of feasibility study report has been prepared, it should be submitted to the experts the concerned departments of operation such as finance, commercial, project etc examine this. In case of any differences, the feasibility study report is discussed with the experts, consultants and is modified according to it.

Detailed project report:

Preparation of detailed project report is further step in firming up the proposal. When an investment proposal has been approved on the basis functional report and the proposal is a major proposal, it would be necessary to detailed project report to firm up the proposal for the capital cost as well as the various facilities. It includes...

§ Examination of technological parameters.
§ Description of the technology to be used.
§ Broad technical specification.
§ Evaluation of the existing resources.
§ Schedule plan.
§ General layout.
§ Volume of work.

Hence these reports are to be made before investment is made into project. Thus formulation of investment is based on the studies is made. These can be considered as pre-investment decision. Detailed project report is prepared only for the investment decision-making approval, but also execution of the project and also preparation of the plan. Detailed project report additionally includes that is contents in addition to Feasibility study reports are.

§ Project description.
§ Planning and implementation of the project.
§ Specifications.
§ Layouts and flow diagrams.

Detailed project report is a complete document for investment decision-making, approval, planning whereas feasibility study report is a base document for investment decision-making. Detailed project report is base document for planning the project and implementing the project.

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