Virgen Milagrosa University Foundation

Martin P. Posadas Avenue San Carlos City, Pangasinan

College of Business Administration and Accountancy

CHAPTER 3

EXECUTIVE SUMMARY

PRODUCTION PROCESS / PROCESS FLOW

MOIST CHOCOLATE CAKE

Step 1 : In a large bowl, mix all the ingredients (All-purpose flour, cocoa

powder, baking powder. Baking soda, iodized salt, brown sugar,

corn oil, vinegar and water.

Step 2 : Mix well until no lumps.

Step 3 : Pour your mixture in your pan and bake for in a preheated oven

(350 F) for 35 minutes until the center of the cake is almost firm.

Step 4 : Check with toothpick if cooked. (no batter should stick your

toothpick)

Step 5 : Cool down and may add your frosting.

Figure 3.1 : Production of Moist Chocolate Cake

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 Virgen Milagrosa University Foundation
Martin P. Posadas Avenue San Carlos City, Pangasinan
College of Business Administration and Accountancy

VANILLA SPONGE CAKE

Step 1 : In a large bowl, mix all the dry ingredients (All-purpose flour, ,

baking powder, iodized salt, and sugar). Set aside.

Step 2 : In another large bowl, mix all wet ingredients (egg yolks, oil,

water and orange juice). And add to dry ingredients. Mix well

and set aside.

Step 3 : Whisk egg whites and cream of tartar until frothy. Add sugar.

Step 4 : Fold meringue into cake batter

Step 5 : Pour into molds or cake pan

Step 6 : Bake at 200F for 10 to 15 minutes.

Step 4 : Check with toothpick if cooked. (no batter should stick your

toothpick)

Step 5 : Cool down and may add your frosting.

Figure 3.2 : Production of Vanilla Sponge Cake

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 Virgen Milagrosa University Foundation
Martin P. Posadas Avenue San Carlos City, Pangasinan
College of Business Administration and Accountancy

MOCHA SPONGE CAKE

Step 1 :

Step 2 :

Step 3 :

Step 4 :

Step 5 :

Step 6 :

Step 4 :

Step 5 :

Figure 3.3 : Production of Mocha Sponge Cake

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 Virgen Milagrosa University Foundation
Martin P. Posadas Avenue San Carlos City, Pangasinan
College of Business Administration and Accountancy

UBE, STRAWBERRY AND PANDAN CAKE

Step 1 :

Step 2 :

Step 3 :

Step 4 :

Step 5 :

Step 6 :

Step 4 : Check with toothpick if cooked. (no batter should stick your

toothpick)

Step 5 : Cool down and may add your frosting.

Figure 3.4 : Production of Ube,Strawberry and Pandan Sponge Cake

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 Virgen Milagrosa University Foundation
Martin P. Posadas Avenue San Carlos City, Pangasinan
College of Business Administration and Accountancy

EDIBLE PHOTO PRINT

Step 1 :

Step 2 :

Step 3 :

Step 4 :

Step 5 :

Step 6 :

Figure 3.5 : Edible Photo Printing Procedure

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 Virgen Milagrosa University Foundation
Martin P. Posadas Avenue San Carlos City, Pangasinan
College of Business Administration and Accountancy

CAKE FROSTING

Step 1 :

Step 2 :

Step 3 :

Step 4 :

Step 5 :

Step 6 :

Figure 3.6 : Cake Frosting Procedure

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 Virgen Milagrosa University Foundation
Martin P. Posadas Avenue San Carlos City, Pangasinan
College of Business Administration and Accountancy

MANUFACTURING

 DIRECT MATERIALS

TOTAL COST
INGREDIENTS QUANTITY UNIT COST
WEEKLY

All-Purpose Flour 2 sack (25kg) P1200.00/sac P2400.00

k

Baking Powder 2 kg P130.00/kg P260.00

Baking Soda 1 kg P50.00/kg P50.00

Granulated Sugar 20kg P55.00/kg P1100.00

Brown Sugar 9kgs P49.00/kg P441.00

Vegetable Oil 2 can (17L) P1140.00/can P2280.00

Cocoa Powder 9kgs P295.00/kg P2655.00

Instant Coffee 300g P78.00/100g P234.00

Vanilla 1 liter P110.00/L P110.00

Eggs 18 trays P170.00/tray P3060.00

Flavorade - Strawberry (500g) 1 liter P165.00/500g P330.00

Flavorade - Ube (500g) 1 liter P205.00/500g P410.00

Flavorade - (Pandan) (500g) 1 liter P165.00/500g P330.00

Whippit 40kgs P250.00/kg P10,000.00

Gel Color 5 colors P70.00/color P350.00

Wafer Sheet (10pcs/pack) 15 packs P265.00/pack P3975.00

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 Virgen Milagrosa University Foundation
Martin P. Posadas Avenue San Carlos City, Pangasinan
College of Business Administration and Accountancy

Edible Inks 1 set 1 set 1700.00/set P1700.00

Total Cost of Direct Materials P29,685.00

Table 3.1 : Direct materials

 DIRECT LABOR

Direct labor is considered to be the labor of those people who provide

services directly to customers and who are involved in the production of the

products.

Position Rate Personnel Working Monthy

Days Salary

Store Manager

Basic Salary P400.00 1 20 P8,000.00

SSS P368.30

Philhealth P100.00

Cashier

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 Virgen Milagrosa University Foundation
Martin P. Posadas Avenue San Carlos City, Pangasinan
College of Business Administration and Accountancy

Basic Salary P350.00 2 20 P14,000.00

SSS P736.60

Philhealth P200.00

Production Staff

Basic Salary P350.00 2 20 P14,000.00

SSS P736.60

Philhealth P200.00

TOTAL LABOR COST P38,341.50

Table 3.2 : Direct Labor

MACHINERIES, EQUIPMENTS AND SUPPLIES

 MACHINERIES, EQUIPMENTS

Machineries Unit Price Estimated Annual

Qty. Source Useful Life
and Equipments Dep’n

Oven 1 DCM Oven P60,000.00 10 years P8,500.00

Inc.

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 Virgen Milagrosa University Foundation
Martin P. Posadas Avenue San Carlos City, Pangasinan
College of Business Administration and Accountancy

Hand Mixer 1 Magic P960.00 5 years P192.00

Appliance
Center

Stand Mixer 2 Magic P54,000.00 10 years P5,400.00

Appliance
Center

Cooling Trolley 1 Dm Baylon P9,500.00 10 years P950.00

Cake Display 1 Worflex P38,000.00 10 years P3,800.00

Chiller Trading
Corporation

Refrigerator 1 Magic P16,600.00 10 years P1660.00

Appliance

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 Virgen Milagrosa University Foundation
Martin P. Posadas Avenue San Carlos City, Pangasinan
College of Business Administration and Accountancy

Center

Preparation 2 Dm Baylon P17,200.00 10 years P1,720.00

Table (Stainless)

Total Cost of Machineries and Equipments: P196,260.00

Table 3.3 : Machineries and Equipments

 Furniture and Fixtures

Furniture and Qty. Source Unit Price Estimated Annual

Fixtures Useful Life Dep’n

Counter Table 1 Magic P4,500.00 10 years P900.00

Appliance
Center

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 Virgen Milagrosa University Foundation
Martin P. Posadas Avenue San Carlos City, Pangasinan
College of Business Administration and Accountancy

Cash Register 1 Magic P10,700.00 10 years P1070.00

Appliance
Center

Wall Fan 2 Magic P3,200.00 10 years P320.00

Appliance
Center

Exhaust Fan 1 Magic P2,400.00 10 years P240.00

Appliance
Center

Air Conditioner 1 Magic P28,000.00 10 years P2800.00

Appliance
Center

Printer 1 Magic P3,500 5 years P1,400.00

Appliance

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 Virgen Milagrosa University Foundation
Martin P. Posadas Avenue San Carlos City, Pangasinan
College of Business Administration and Accountancy

Center

Monoblock 6 Lammart P2,400.00 10 years P240.00

Chairs (San Carlos
Town Center)

Light bulb 5 Magic P825.00 2 years 412.50

Appliance
Center

Total Cost of Furnitures and Fixtures : P55,525.00

Table 3.4 : Furniture and Fixtures

 Store Supplies

Store Supplies Quantity Source Cost

Fire extinguisher 1 Bureau of Fire P1800.00

Protection, San
Carlos City,

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 Virgen Milagrosa University Foundation
Martin P. Posadas Avenue San Carlos City, Pangasinan
College of Business Administration and Accountancy

Pangasinan

Storage Cabinet 1 Lammart (San P1800.00

Carlos Town
Center)

Record Book 1 Magic Department P78.00

Store

Ballpen 5 Magic Department P25.00

Store

Calculator 1 Magic Department P95.00

Store

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 Virgen Milagrosa University Foundation
Martin P. Posadas Avenue San Carlos City, Pangasinan
College of Business Administration and Accountancy

Android Phone 1 Magic Appliance P5900.00

Center

Total Cost of Store Supplies : P9698.00

Table 3.5 : Store Supplies

 Kitchen Utensils

Kitchen Utensils Qty. Source Cost

Apron 3 Lammart (San P100.00

Carlos Town

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 Virgen Milagrosa University Foundation
Martin P. Posadas Avenue San Carlos City, Pangasinan
College of Business Administration and Accountancy

Center

Hairnet 3 Lammart (San P30.00

Carlos Town
Center

Potholder 3 Lammart (San P75.00

Carlos Town
Center

Kitchen Towel 2 Magic P120.00

Supermarket

Kitchen Towel Holder 1 Lammart (San P75.00

Carlos Town
Center

Kitchen Scale 1 Lammart (San P130.00

Carlos Town
Center

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 Virgen Milagrosa University Foundation
Martin P. Posadas Avenue San Carlos City, Pangasinan
College of Business Administration and Accountancy

Scissors 1 Lammart (San P35.00

Carlos Town
Center

Gas Tank 3 Gas Dealer P2025.00

Total Cost of Store Supplies : P2575.00

Table 3.6 : Kitchen Utensils

 Sanitary Supplies

Sanitary Supplies Qty. Source Cost

Broom 1 Lammart (San P90.00

Carlos Town
Center)

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 Virgen Milagrosa University Foundation
Martin P. Posadas Avenue San Carlos City, Pangasinan
College of Business Administration and Accountancy

Dustpan 1 Lammart (San P35.00

Carlos Town
Center)

Mop 1 Lammart (San P250.00

Carlos Town
Center

Cleaning Towel 4 Lammart (San P50.00

Carlos Town
Center

Soap 3 Magic P75.00

Supermarket

Alcohol 1 liter Magic P130.00

Supermarket

Diswashing Liquid 1 Magic P85.00

Supermarket

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 Virgen Milagrosa University Foundation
Martin P. Posadas Avenue San Carlos City, Pangasinan
College of Business Administration and Accountancy

Sponge and Scrub 2 Magic P70.00

Supermarket

Trashbin 2 Lammart (San P230.00

Carlos Town
Center

Garbage Bag Lammart (San P60.00

Carlos Town
Center

Pail 1 Lammart (San P75.00

Carlos Town
Center

Dipper 1 Lammart (San P25.00

Carlos Town
Center

Total Cost of Sanitary Supplies : P1175.00

Table 3.7 : Sanitary Supplies

LAY-OUT FLOOR PLAN

Display Chiller
Counter
Table
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 Virgen Milagrosa University Foundation
Martin P. Posadas Avenue San Carlos City, Pangasinan
College of Business Administration and Accountancy

Office

Kitchen
(Working Area)

CR

Oven

Figure 3.8 : Layout Floor Plan

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