Financial Aspect
Financial Aspect
Financial aspect plays a vital role in making feasibility study. Since all projects are considered viable only when they are expected to be profitable to meet short-term obligation, to be liquid and to remain liquid during adversities. This aspect shows the specified terms whether “taho and tokwa production” will be profitable even with so many existing competitors, unfavorable economic conditions and present detailed figures to show the improvement of the projects financial condition. It also shows the preparation of Balance Sheet, Income Statement and Cash flows, Payback Period.
Total Project Cost Description Amount 1. Estimated factory and office construction P 60,000.00 2. Tricycle 30,000.00 3. Aluminum containers 22,500.00 4. Tokwa molder 4,000.00 5. Electric grinding machine 15,000.00 6. Refundable deposit on lot 9,000.00 7. Furniture and fixture 11,300.00 8. Kitchen utensils and accessories 3,000.00 9. Operating fund 38,200.00
Total Project Cost p 193,000.00
Financial Aspect
The financial aspect presents the project cost
Table 2 Cost needed for legal and proper operations Description Amount 1. Research and development P 2,000.00 2. Taxes and licenses 4,000.00 3. Travelling and miscellaneous expenses 1,000.00 TOTAL P 7,000.00 These cost expense outright because the amount are immaterial and there is no alternative future use.
Table 3
Schedule of Factory Furniture and Equipment Description Number Cost Total Of Units Amount
1. Electric grinding machine 1 P 15,000.00 P 15,000.00 2. Aluminum containers 15 1,000.00 22,500.00 3. Tokwa molder 4 1,000.00 4,000.00 4. Big pan (kawa) 1 1,000.00 1,000.00
Financial aspect plays a vital role in making feasibility study. Since all projects are considered viable only when they are expected to be profitable to meet short-term obligation, to be liquid and to remain liquid during adversities. This aspect shows the specified terms whether “taho and tokwa production” will be profitable even with so many existing competitors, unfavorable economic conditions and present detailed figures to show the improvement of the projects financial condition. It also shows the preparation of Balance Sheet, Income Statement and Cash flows, Payback Period.
Total Project Cost Description Amount 1. Estimated factory and office construction P 60,000.00 2. Tricycle 30,000.00 3. Aluminum containers 22,500.00 4. Tokwa molder 4,000.00 5. Electric grinding machine 15,000.00 6. Refundable deposit on lot 9,000.00 7. Furniture and fixture 11,300.00 8. Kitchen utensils and accessories 3,000.00 9. Operating fund 38,200.00
Total Project Cost p 193,000.00
Financial Aspect
The financial aspect presents the project cost
Table 2 Cost needed for legal and proper operations Description Amount 1. Research and development P 2,000.00 2. Taxes and licenses 4,000.00 3. Travelling and miscellaneous expenses 1,000.00 TOTAL P 7,000.00 These cost expense outright because the amount are immaterial and there is no alternative future use.
Table 3
Schedule of Factory Furniture and Equipment Description Number Cost Total Of Units Amount
1. Electric grinding machine 1 P 15,000.00 P 15,000.00 2. Aluminum containers 15 1,000.00 22,500.00 3. Tokwa molder 4 1,000.00 4,000.00 4. Big pan (kawa) 1 1,000.00 1,000.00