AT CYBERGATE BLDG, CEBU CITY”
A PRE - FEASIBILITY STUDY GUIDE
MR. ARNALDO PASCO ASUQUE, JR.
TLE MAJOR IN INTEGRATED BUSINESS AND CULINARY ARTS
SAINT MARY’S ACADEMY OF SAN NICOLAS
CEBU CITY, PHILIPPINES
In Partial Fulfilment of the
Subject Business Management
JULIE ANN CABARON BUAYA
IAHONA GEM SUCGANG TECSON
MARYLY QUEENCESS GAMBOA
LARAH MARIE PERDIGUEZ
This part of the study relates to the different estimates, assumptions and evaluations made to determine the profitability of the proposed business. Capitalization
The proposed project will require a capital of One Million Pesos (P 700, 000.00) which will come from the owner’s personal capital to cover the pre-operating and operating expenses.
Assumptions to Financial Provisions
1. Yearly total prize of the product is P 3,894,000.00 and will increase by 5 % per year. 2. Number of Projected clients is 60 for year 1,362 and it will increase by 5 % per year. 3. Corporation.
4. Salaries (will increase by 2 % per year)
|Table 9 (Salaries) | |Manager |P 5,000 (1) per month |P 60, 000 for 1 year | |Ass. Manager |P 3,000 (1) per month |P 36, 000 for 1 year | |Cashier |P 2,500 (2) per month |P 60, 000 for 1 year | |Waitress |P 1,000 (3) per month |P 36, 000 for 1 year | |Security Guard |P 1, 500 (1) per month |P 18, 000 for 1 year | |Care Taker |P 500 (1) per month |P 6, 000 for 1 year | |Total | |P 216, 000 for 1 year |
5. Light and Water
5.1 Light is 30,000.00 per month
5.2 Water is 5,000.00 per moth
6. Tax is 5 % of the total revenue
7. Repair and Maintenance is 1 % of the total revenue
8. Additional Supply is 3 % of the total revenue
9. Pre-operating expenses was capitalized.
Projected Financial Statements
The projected financial provisions are all prepared to know the financial status of the project whether it is profitable or not. The projected income statement, the cash flow statement, the balance sheet and the financial ratios are all presented to help the proponent determine the growth and development of the project.
The projected income statement as shown in Table 9 shows the project can realize its return on investment after 3 years of operation. The first year of operation shows a net income of P 1,484,484.00. The second year shows a net income of P 1,633,397,928.00 because of the 10% increase of costumers. On the third year, it shows a net income of P 1,796,862,016.00 and still with an increase of 10 % customers. |PROJECTED INCOME STATEMENT | |For the Sweet Delights | | | | | ...