Southern Railway Tender

To determine the bid capacity required, we look at two main criteria: Financial Turnover (T1) and Liquidity (T2). 1. Financial Turnover (T1): The bidder should have an aggregate financial turnover of not less than 1.5 times the advertised Bid value during the last three previous financial years. Given the estimated bid value is 39583038, the required financial turnover would be 1.5 * 39583038. 2. Liquidity (T2): The bidder should have access to or has available liquid assets, lines of credit, and other financial means to meet cash flow that is valued at 5% of the estimated bid value net of applicant's commitments for other contracts. This translates to 0.05 * 39583038 for the liquidity requirement. For a Joint Venture (JV), the average annual turnover is calculated as (AM + BN) / 100, where A is the average annual turnover of member 1, M is the percentage participation of member 1, B is the average annual turnover of member 2, and N is the percentage participation of member 2. Liquidity is calculated based on the Net Current Assets and banking references. If the Net Current Assets are negative, only the banking references are considered. Otherwise, the aggregate of the Net Current Assets and submitted banking references is considered. Given these details, the bid capacity required can be calculated using the provided estimated bid value and formulas.