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PART 1: EXECUTIVE SUMMARY

PROJECT TITLE : A project feasibility study on establishing a

“Barbershops ship” in Zamboanga City.

Project Location : West Coast of Zamboanga City
Project Proponent : AHMAD A. ALAWADDIN

Suterville, Zamboanga City Philippines

Project Ownership : Sole Proprietorship
Project : The proposed project study deals The

Description proposed project “Establishing Pepsi Cola

Distributorship”” will engage in the business

selling and distributing Pepsi products to retailers

and consumers in West Coast Communities and

nearby areas.
Project Funding : 100% Personal Funds
Project Benefits The project provides soft drinks in cases to

the store/ restaurant owners. It will provide

employment Opportunities and income for

individuals who will be employed generating

income tax. Likewise, assures abundant and

steady supply in the market.

To be able to establish, operate and raise a

Project Objectives : profitable Barbershops ship to the target

market.
Return On
: 81.36%
Investment
Payback Period : 1.5 Years
Net Present Value : 1,061,649.96
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PART 2: INTRODUCTION

2.1 Background of the Study

In the modern culture, barbershop particularly among younger generation

has become very popular. Salons in various styles are widely patronized by

people at various occasion like dinner parties, marriages, social get together ,

birthday celebrations etc. all children of all ages and groups especially attracted

by the mere mention of the word barbershop. With the growing popularity
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barbershop, the technology of its production, preservation, transportation and or

marketing in recent years has witness phenomenal changes.

People from different lifestyles have always considered salons as highly

saleable items.

The salon industry is a fiercely competitive one, with the number of

choices available to consumers increasing every year. innovated by the

proponent. Haircut is a contractual business undertaking between the owner

and the barbers which is assigned on area convenient for all. The arrangement

is on a commission basis yet sophisticated enough with lots of incentives and

benefits for the owner, the barber and the customers. It is a unique business

arrangement with much potential for those who are willing to take part. Being a

barbers it offers many business opportunities :

 The benefit of profit to the owner and the barber

 The benefit of earning incremental income thru the incentive program;
 The benefit of bicycle to the barb
 The benefit of marketing budget allocation to win more outlets
which will surely help the operator’s distributi0n expansion, such
as concessions for exclusivity

the population of Zamboanga City particularly in the west coast is

increasing annually and the demand for haircut also increases and at present

there is a need of a barbershop.

2.2 Statement of the Problem

This is a feasibility study on the proposed project of a “ Barbershop in a

Bike”

What degree of influence in the following five (5) functional aspects of the

“ Barbershops ship”, Zamboanga City.

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Specifically, it seeks to address operations relative to the following aspects

of the proposed project study:

Marketing Aspect- Generally the proponent is attracted to invest in a

business project knowing the minimal risk and it is believed that a higher rate of

return on investment. The major consideration is whether there is an ample

demand for the business being proposed. Marketing aspect will also help

determine whether there is a substantial excess demand, so that this activity

could enter into the industry. If at the beginning, it is discovered that there is not

enough demand for the product nor a new demand can be created, then the

project must be abandoned immediately before substantial losses will be

incurred. Conclusion will be drawn from the study. These specifically identify

whether there is adequate demand for the product and that the project shall

enjoy competitive marketing position.

Organization and Management - This is to determine the appropriate

organization, the people who will be involved both before and during the

operating periods of the enterprise, and then functions. This will answer how the

project should be manage before and during the operating periods, pointing out

the firms or persons involved or to be involved in studying the different aspects of

the project, types of business organization, organizational chart and functions of

each people involved in the project.

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Technical Aspect - This aspect will help identify that product could be

produced at the highest possible quality with minimum cost. The composition of

the product specifically relating to physical, mechanical and chemical properties

is described. This also includes the uses of the product. Another relevant

information is the equipment that will be used for the operation of the project.

Location of the process will be considered in this project. It is determined that the

location is desirable in terms of distance to sources of the product and to the

customers. Utility and waste disposal will be taken into account here indicating

specific utilities like electricity , fuel, water, supplies and their respective uses,

quantity required, balances, availability of sources, alternative sources and costs.

Financial Aspect- this aspect determines the profitability level of the

project which is generally defined as the relationship of the net income after

taxes to the total investment. It is largely based on the available opportunity cost

in a particular period of time, and place. The financial study also involves a

thorough coverage of all the monetary information of the enterprise. It covers

detailed information on. The total project cost, initial capital requirements sources

of financing, financial statement and the financial analysis. Included are the

following:

 Project Cost
 Return of Investment
 Net Present Value
 Other important financial ratios

Socio –Economic Impact- The project is classified as sole proprietorship

and is private. Being profitable is the main priority of the business. But socio
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economic desirability is measured in terms of the number of workers that the

project will employ and the approximate annual amount of taxes to be paid by the

project . it is also measure by the economic benefits that will accrue to the people

living in the community and its vicinities.

2.3 Objectives of the Study

2.3.1 General Objective

Towards the establishment of the proposed project of “ Barber in a bike” in

the Zamboanga City.” It will be conductnd concentrated on determining the

viability of the following aspects vital to the successful operation of the proposed

project.

2.3.2 Specific Objectives

a. Marketing Aspect

b. Organization and Management Aspect

c. Technical Aspect

d. Financial Aspect

e. Socio- economic Aspect

2.4 Significance of Study

This study will serve as useful reference and beneficial to:

The proponents. This study will help decide the proponents to undertake

and implement the activity if found feasible. Wise decision making will be

observed on the part of the proponents.

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The clients. This study will enable to serve the community of the west

coast. This will also give them idea of the latest service is offering them.

The Future researchers. This will serve as future reference for all

students undertaking activities relative to the proposed business study.

2.5 Scope and limitations

This feasibility study will confine itself in the determination, analysis

and evaluation of the feasibility and viability of establishing of Barbershops in

the west coast.

Integrated into this project study are the important aspects on market,

organization and management technical, financial, and socio –economic impact.

Concerning the financial aspect the five year projection will be drawn to serve as

a guide in the future outlook of the proposed project.

2.6 Methodology

In this feasibility study, the proponent will utilize several methods and

approaches to make a comprehensive and substantial preparation for

consideration. For data gathering various medium will be used like carrying out

and conducting personal survey of the community and barangays of the west

coast. Personal interviews will also be conducted among the various retailers

and the residents for the concerned area. Data gathering instruments like the

questionnaires and interview questions will be prepared by the proponent.

The proponent will also visit the concerned government offices like the

national Statistics Coordinating Board, Department of Trade and Industry, Office

of the City Mayor/Business Permit Office, and the Local Barangay Councils.
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PART 3. MARKET ASPECT

3.1 Brief Market Introduction

Marketing is an orderly and insightful process for thinking about and

planning for markets. It is considered the most important aspect of the feasibility

study that needs to be given outmost priority and careful attention. The process

starts with researching the market place to understand its dynamics. The

marketer tries to identify opportunities – that is to find individuals or groups of

people and most specially the store owners who will be the direct customers with

unmet needs or a latent interest in a particular product or service.

Marketing is a social and managerial process by which individuals and

groups obtain what they need and want through creating , offering and

exchanging products of value with others. Marketing starts with human needs

and wants. People need food, air, water, clothing and shelter to survive. Beyond

this, people have strong preferences for particular versions and brands of basic

goods and services. Hence, Marketers influence demand by making the product

appropriate, attractive, affordable and easily available to target consumers.

Marketing is the most vital aspect of feasibility study thus it needs the utmost

concern from the proponent. In this study, it will concentrate on the product

description, target market, demand and supply situation and the marketing
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strategies which cover promotion, pricing and placement of the product. These

are what the proponent would like to achieve for this project.

The marketing process involves segmenting that market and choosing the

target markets that the business entity can satisfy in a superior way. It must

formulate a broad strategy and determine a specific marketing mix and action

plan to optimize its long-run performance. It defines a set of controls to evaluate

operating results and continue to exist as a learning enterprise constantly

improving its marketing know-how.

As an aspiring entrepreneur , the proponent had an idea of coming up with

the business as he has seen the potential of the business in the market. The

proponent is formerly connected with most barbershops in Zamboanga City and

has seen how profitable a pe rson can be once he is engaging in this type of

business. Having this in mind, the proponent had a chance to talk with the

business owners about business which he could make. However, an idea for a

business is not a sufficient reason to begin straight away, without having thought

clearly about the marketing aspects involved.

Many questions have been considered such as “ Is there a demand for the

business, are there competitors in the market? The market aspect should be

looked at in turn. In order to analyze the demand of the product in the market, all

information needed were gathered such as the total population of 11 barangays

chosen by the proponent for the operation of the business, total population of

business establishment that sells soft drinks in 11 chosen Barangays were also

determine. The market share of Barbershops and its competitor. Information of

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the market share were gathered through focused group discussion undertaken

between the proponent and the personnel . Other sources were provided by the

Internet and the Social where an interactions of people from different walks of life

happened. A survey were distributed to the consumers to know their preferences

of Haircut services. To substantiate more the data, the proponent had an

interview with the NSO for the total population of the Zamboanga City ,

particularly the barangays chosen. A data from the licensing office were gathered

to know how many business establishments are registered in the chosen

barangays. From the said information, a demand was determined for the

business. .

3.2 Product Description

Competitive Strengths

3.3 Marketing Environment

The population of Zamboanga City is increasing from time to time. For the

year 2000, the city’s population was 601, 794. In 2007 it has reached to 774,

4007 with an increased of 28.7% . to this date, Zamboanga City Total Population

is 946, 613, which has an increase of 22.2%. while the growing number of people
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is increasing the demand for haircut is also increasing that the stores cannot

meet.

3.3 Target Market or consumers

Integrated into this aspect of this target market or consumers are the

primary market and secondary market

0 For the primary market, this study will include the areas where the density

of population are concentrated in terms of number of households, business

establishments, offices, schools, Mosques ,churches and other non-government

agencies and entertainment areas

1 For the secondary market, the underlying areas outside the perimeter of

the primary market , the residential areas with more populous inhabitants will be

the source of secondary customers.

3.4 Demand

Table 1. Population of Eleven (11) Chosen Barangays for the year 2010

Population
Barangay
( 2010)
Baliwasan 27,664
Campo Islam 11,523
San Jose Gusu 24,917
San Roque 20,974
Upper Calarian, 25,655
Malagutay 5,624
Sinunuc 15,926
Cawit 9,305
Maasin 6,095
Recodo 17,754
Ayala 16,929
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Population
Barangay
( 2010)
Total Population 182,366
Source: National Statistics Office IX, Office of Zamboanga City

Table 2. Projected Population (2010-2014)

Barangay 2010 2011 2012 2013 2014

Baliwasan 27,664 28,605 29,577 30582.75 31622.57
Campo Islam 11,523 11914.78 12319.88 12738.76 13171.88
San Jose Gusu 24,917 25764.18 26640.16 27545.93 28482.49
San Roque 20,974 21687.12 22424.48 23186.91 23975.27
Upper Calarian, 25,655 26527.27 27429.2 28361.79 29326.09
Malagutay 5,624 5815.216 6012.933 6217.373 6428.764
Sinunuc 15,926 16467.48 17027.38 17606.31 18204.92
Cawit 9,305 9621.37 9948.497 10286.75 10636.49
Maasin 6,095 6302.23 6516.506 6738.067 6967.161
Recodo 17,754 18357.64 18981.8 19627.18 20294.5
Ayala 16,929 17504.59 18099.74 18715.13 19351.45
182,366 188566.4 194977.7 201606.9 208461.6

Table 3. 60 % of the Total Population of the 12 Barangays who drink soft drink

2010 2011 2012 2013 2014

Demand 109,420 113,140 116,987 120,964 125,077
In Cases 4559 4714 4874 5040 5212

Table three (3) shows that of the total populace of the chosen barangays

60 percent (%) are drinking soft drinks almost everyday. Initially we can conclude

that 109,420 people are drinking soft drinks which is equivalent to 4,559 cases a

day . This analysis was made through the interviews conducted by the
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proponent with the end users. Out of the total population, the respondent came

up with 100 questionnaires for the end users and it shows that out of the total

respondents, 95 percent answered that they are drinking soft drinks. Thinking

that in every barangay, there are children who are not drinking softdrink, the

proponent made an assumption that the demand will based on 60 % total

Population of those who are drinking soft drinks of the west coast. Although the

store retailers are the primary market of the business. It should take into

consideration the total population of the people in order to know the demand that

every store of the chosen barangays should cater . In the year 2010 the demand

is 4559 cases a day which is equivalent to 109,420 bottles a day . It means that

every day there are people who drink and buy soft drinks. This means that the

business should be able to supply this needs.

In order to determine the demand and supply of the chosen barangays ,

the proponent decided to come up with survey questionnaires intended for the

consumers, store owners and distributors of pepsi. 100 survey questionnaires

were prepared to consumers and store owners. While an interview with the

existing EDS operator( Distributor) were undertaken. To substantiate the study,

the proponent initiated a Focused Group Discussion for the Managers of Pepsi

Cola Product Phillippines. The table below were the results of prepared survey.

Survey Questionnaires : Store Owners

Computation 1:Number of Stores which are exclusive Coke, Pepsi and non-exclusive ,
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Responses Number Of Stores Percent
Exclusive Coke 60 50%
Exclusive Pepsi 20 17%
Non-Exclusive 30 25%
Do not sell either coke and pepsi 10 8%
TOTAL 120 100%
Table 2.1 shows that among the 120 Stores surveyed , 60 Stores are

exclusive Coke, 20 exclusive pepsi, 30 stores are non exclusive and the

remaining 10 do not sell either coke or pepsi.

Computation 2 : Number of Cases of softdrinks sold in a day

Amount Number of stores

1-5 cases 80
6-10 cases 20
11 – 15 cases 7
16-20 cases 3
More than 20 cases 0
TOTAL 110
Computation 3: Years of Exclusivity

Number of
Number of Years
Members
1 year 57 48%
2 years 18 15%
3 years and more 5 4%
Non Exclusive 20 16%
TOTAL

Interview with the Barbershops

There are 30 EDS operators that operate in the Zamboanga assigned in

specific barangays. However their presence in different barangays in Zamboanga

City are not enough to supply the needs of different stores particularly those
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stores located in remote areas which are hard to penetrate by both coke and

pepsi sales representatives. These EDS operators are not to be considered by

the business. The direct competitor of the business will be Coca Cola Products

Philippines.

During the conduct of interview among the EDS operators (Distributors)

the proponent had an interview with them one by one and asked them the same

questions. Here are the questions ant consolidated answer by the proponent and

the EDS: It was known from the EDS operators that they have an average sales

of 170 cases per day for carbonated drinks. That include Pepsi , Mirinda, 7 up,

Mountain dew and other carbonated drinks. The most sellable is Pepsi 8 oz

which has an average sales of 70 cases a day and followed by mountain dew

with 65 cases . the remaining cases are being shared by other products of pepsi.

Sting , an energy drinks has an average sales of 80 cases a day. while the

rest of the products that falls under non- carbonated drinks are not included here

since the main purpose of the proponent is to sell those products which are

known to be sellable in the market.

The price lists of the products were also provided by the operator and the

corresponding commission per case was also provided. Pepsi 8 oz earns

17.40 per case, but the rest of the product can be given equal commission just

like pepsi. Sting has a commission of 20 per case

Aside from regular sales, there are special occasions you that EDS

operators are engaging for additional income such as Fiesta, wedding ,

Christmas, hariraya and new year. And in every special occasion , an average

sales of 20 cases per occasion is calculated.

Table 4. Total Number of Stores Selling Soft drinks in 11 Barangays

Barangay Population( 2010)
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Baliwasan 192
Campo Islam 23
San Jose Gusu 121
San Roque 133
Upper Calarian, 61
Malagutay 6
Sinunuc 35
Cawit 20
Maasin 22
Recodo 56
Ayala 90
Suterville 39
Total number of Stores 794
Source: City Licensing Office

Out of these stores , 135 are shares of pepsi while, 397 belongs to the

market of Coca Coal. 262 stores are still not penetrated by both soft drink

companies and are potential customers of the business. During the conduct of

interview by the proponents, these stores buy pepsi every other day with an

average of 4 cases per transaction.

3.2 Demand Situation

Table 5: Past Demand (2005-2009)

Year Daily Monthly Annual

2005 2,787 72,462.00 869,544.00

2006 2,973 77,292.80 927,513.60

2007 3,159 82,123.60 985,483.20

2008 3,344 86,954.40 1,043,452.80

2009 3,530 91,785.20 1,101,422.40

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Table 6 : Projected Demand (2010-2014)

Year Daily Monthly Annual

2010 3,716 96,616.00 1,159,392.00
2011 3,902 101,446.80 1,217,361.60
2012 4,088 106,277.60 1,275,331.20
2013 4,273 111,108.40 1,333,300.80
2014 4,459 115,939.20 1,391,270.40

3.3 Supply Situation

Table 7: Past Supply (2005-2009)

Year Past Supply (In Cases)

2005 1542

2006 1644.8

2007 1747.6

2008 1850.4

2009 1953.2

Source: Pepsi Cola Products Philippines Plant and, Distributors

Table 8 : Projected Supply (2010-2014)

Year Projected Supply(In Cases)*

2010
2,060
2011
2,164
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2012 2,268
2013
2,372
2014 2,476
*Forecasting Method Used: Trend Projection

Linear Equation: (Trend Line Equation)

Ŷ = a+bX
Where Y= Computed value of sales to be predicted (y axis intercept)
a = ŷ - bx

b = Σ X Y – n X Ŷ (Slope of the line)

Σ X² - n ( x )²

x = Independent Variable (Time)

Computation 4:

Year Time ( X) Supply (Y) X² XY

2005 1 1542 1 1,542

2006 2 1644.8 4
3289.6
2007 3 1747.6 9
5242.8
2008 4 1850.4 16
7401.6
2009 5 1953.2 25
9766
Σx=15 Σy=8,738 Σx²=55 Σxү= 27,242

Solve for:
b =Σxy-nxŷ
Σx²-n(x)²

Where : x=Σx/n=15/5=3

ŷ=Σү/n=8,738/5
ŷ= 1,748
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b = 27,242 – 5 (3 ) (1,748)
55 –(5) ( 3 )

= 27,242 – 26,220

55 – 45

= 1,040
10

b = 104

a = y – bx

= 1,748– 104 ( 3 )

= 1,748 – 312

a = 1,436

Linear Equation : y = a + bx= 1,436 + 104 ( x )

Computation

Year Linear Equation Projected Supply

2010 X= 6 Y =1,436 + 104 ( 6 ) 2,060
2011 X= 7 Y = 1,436 + 104 ( 7 ) 2,164
2012 X=8 Y = 1,436 + 104 ( 8 ) 2,268
2013 X=9 Y = 1,436 + 104 ( 9 ) 2,372
2014 X = 10 Y = 1,436 + 104 ( 10 ) 2,476

3.4 Demand - Supply Gap Analysis

Table 9 : Demand and Supply Gap (2010-2014)

Year Demand Supply Demand and Market

(in cases.) (in Cases.) Supply Gap Share
3,716 2,060 1,656 45%
2010
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3,902 2,164 1738 45%
2011
4,088 2,268 1820 45%
2012
4,273 2,372 1901 45%
2013
4,459 2,476 1983 45%
2014
Demand and Supply Gap

The prospective demand for the product is not met by the limited supply.

Though the projected daily demand is 1,656 cases, the proponent is only willing

to supply 197 cases assorted soft drinks of pepsi. However , the discrepancy

between the projected daily demand and projected daily supply gives more than

enough assurance that the possibility for good business is high.

Based from the data shown there is still 45 percent of the total populace

who are not serve by the store owners. Possible reason is that there are people

specially from different corners of the barangay are not yet serve by both coke

and pepsi.

3.5 Marketing Strategies

3.5.1 Pricing

The proponent intends to adopt the lowest pricing scheme provided by the

Pepsi Cola Products Philippines in the region. Since the business is on

commission basis , it doesn’t need to lower down the prices since it is affordable.

Table 11 : Price Competitiveness

80z 12oz 1 liter 330 ml 500 ml 1.5 ml
Pepsi 144 192 236 420 420 420
Mountain Dew 144 192 236 420 420 420
7- up 144 192 236 420 420 420
Mirinda 144 192 236 420 420 420
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240ml 330ml
Sting 200 360

3.5.2 Placement of Distribution

The business will be undertaken in the west coast particularly in Baliwasan,

Campo Islam, San Jose Gusu, San Roque, Upper Calarian, Malagutay ,

Sinunuc, Cawit, Maasin , Recodo, and Ayala.

3.5.3 Promotion

Considering the high demand of pepsi products , the proposed EDS and

the target markets, promotion efforts will be minimal. As Exclusive seller of

Pepsi stores will be given Entitlement to pepsi - cola merchandising collaterals

such as powered coolers,ice co0lers,posters,etc. There will be benefit of

marketing budget allocation such as concessions for exclusivity.

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PART 4. TECHNICAL ASPECT

4.1 Brief Introduction

The Barbershops ship shall engage in Entrepreneurial Distribution System

that would be involved in the selling of Pepsi products . This activity will cater to

the needs of more storeowners in Zamboanga City particularly in the west coast.

There are many products that need to be sold. the table below show the list of

product that the proponent will be selling:

The proposed project does not need building. The transactions to be

undertaken will be at the office of the Pepsi plant. Tables, chairs and other

materials needed will also be provided. However the proponent will have a small

office at his own home for additional transactions. The office at home will not be

rented and office supplies and furniture and equipments will be purchased for the

transactions of events that will take place.

4.2 The operation

The Pepsi cola products Philippines shall be responsible for the supply of

softdrinks both CSD and Non-CSD . The proponent shall purchase 1 truck , 2

carts for the distribution of the products.

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Figure 1: Pepsi EDS Distribution Procedures:

Fill up order
form

Territory Manager
approve the form

Filled up form to be
submitted to Order Process
Analyst

Encoding of the order to be

forwarded to Physical Distribution
Department

Physical Distribution Department

Release the order

Checker check if the order is

complete

EDS Truck leaves the

Plant
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0 Before the distributor can get soft drinks from the company, he must fill up

the order form and have it signed by the territory manager of the company for

the approval .
1 After the approval the helper will proceed to the order processing analyst
0 for assistance and for encoding.
1 The encoded order will be sent to the Physical Distribution department
1 The physical distribution receives the order and items will be released
0 A traffic clerk will check if the items released are correct.
1 The truck will be ready to depart.

4.3 Project Location

The business will be routing in the west coast of Zamboanga City. It will

cover the following barangays: Baliwasan , Campo Islam, San Jose Gusu, San

Roque, Upper Calarian, Malagutay, Sinunuc, Cawit, Maasin, Recodo and Ayala

Its office will be the Pepsi Plant located in Culianan. However , the

proponent will have his own office at his very own home . There will be no charge

of the office inside the house since it is a property of the proponent.

4.4 Payment process

The distributors of Pepsi can bring the products without payments. Right

after the transactions the distributor returns to the plant at 4 PM. And will remit all

his sales and inventory to the company.

0
1 A form will be filled up
2 The helper will indicate how many cases which were sold
3 The Territory Manager will sign the form
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4 The helper will submit the authenticated form to the RSA for the payment

of the cases sold. The distributor gets his share of 17.40 per case as his

commission.

4.5 Operation schedule

Being an EDS operator, 6 working days is required for the selling of the

products. There will be 317 working days in a year. However Sundays can be

utilized in order the distributors can meet his quota.

PART 5 : ORGANIZATION AND MANAGEMENT ASPECT

5.1 Brief Introduction

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Organization is a group of people working together to attain certain goals. These

organization which are distinguished form mere collections of people by having

relatively specific goals and by having a rather well formalize structure ,arise

when people join together, assume and coordinate duties and responsibilities for

some purpose. ( C. Bernard, the functions of Chief Executive.)

Business organization is to enhance economic well being, people function

in goal seeking a system when the work of organizations is divided among

people and then that divided work is coordinated to achieve organizational goals.

Organization requires resources and uses them , hopefully in efficient way,

to produce an output of goods and services. It means that the activities and

processes used by the members of the organization to do these things.

5.2 Form of ownership

The “ Barbershops ship” will exist as a sole proprietorship in the business area.

There would be 5 workers. Among these workers, One (1) will be the one who

will manage the business , one (1) will be drivers and three (3) helpers for the

truck that will carry Pepsi main products such as , Pepsi, Mirinda , 7 up and

Mountain Dew.

5.2 Description of Organization

The proponent opted to organize the proposed project as sole

proprietorship that receives all the profits and assumes all the risk of ownership.
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Being the simplest form of ownership enjoys among others, the following

recognized advantages:

A.) It is the easiest to form and organize for no form requirements are

required by law, except when the owner shall do businesses under trade

name or style in which case, it is necessary.

B.) To register such name to the Department of Trade and Industry ( Act. No.

3883 as amended by act no. 4147 and Republic Act 863).

C.) To pay a fee in the sum of One hundred forty eight pesos plus

documentary stamp of fifteen pesos the for use of such trade name for five

years (Section 2 Act No. 3883) renewable every five years for similar fee.
D.) It has the quality of simplicity and flexibility in the management and

control.
E.) It is possible for the proponent to engage any time in other business even

those unrelated to his main business.

F.) The proponent may discontinue his business activity and venture another

at his will and discretion.

Thus, the manager is the proponent of this project. The proponent will hire

one(1) driver and three ( 3) helpers for the operation of the project.

5.3 Project Phasing and Timetable

It is estimated that there will be three months preparation prior to

operation of the proposed project. Below are the pre-operating activities

involved and its timetable.

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Figure 3 : Pre-operating Activities

Month 1st Month 2nd Month 3rd Month

Activities Week 1 2 3 4 1 2 3 4 1 2 3 4

Conduct Feasibility Study

Fund Sourcing

Office Preparation

Hiring Personnel

Procurement of Supplies

Secure Business Permit

START OF OPERATIONS

Figure 4 : Organizational Structure

MANAGER

DRIVER
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HELPER 1 HELPER 2 HELPER 3

Table 11 : Personnel Requirement, Qualification and Description

Requirement Minimum Qualification Position Description

1 Manager Legal Age, Master in Its function is to insure
Business Administration that the policies set forth
with Five ( 5 ) years by the Pepsi Cola
Managerial experience, Products Philippines and
fluent in Chabacano, the proponents are strictly
Visayan, English and followed. Make reports of
Tagalog dialects; and sales and recommend
hardworking . strategy for better sales
and income. He / she
must also plan, direct,
 30
supervise the
distributorship in its daily
operations. He is also
responsible for the
implementation of the
policies and procedures of
the business
Its function is to do
driving works and other
Male of Legal age, related work.
college/high school level, Must assist the helper in
1-Driver with experience of the distribution of
consumers’ goods and products to different
with good moral character outlets in Zamboanga City
particularly in the west
coast.
Assist managers and
drivers in the selling of the
Male of Legal age, products
college/high school level, Facilitate the loading and
3-Helpers with experience of reloading to fulls and
consumers’ goods and emptys
with good moral character Do maintenance work
Act as tire man

Table 12: Salaries, SSS PHIC & HDMF, 13th Month And Separation Pay

Total
13th
Monthly PHIC HDMF Separation Annual
Position SSS Contrib. Month
Salary Contrib. Contrib. Pay Salaries &
Pay
Benefits

Manager 15,000.00 608 100 100 15,000.00 7,500.00 212,196.00

Driver 1 6,000.00 304 100 100 6,000.00 3,000.00 87,048.00

Driver 2
Helper 1 3,000.00 152 100 100 3,000.00 1,500.00 44,724.00
Helper 2 3,000.00 152 100 100 3,000.00 1,500.00 44,724.00

Helper 3 3,000.00 152 100 100 3,000.00 1,500.00 44,724.00

 31
Total 30,000.00 1368 500.00 500 30000 15000

Grand Total(Annual) 360,000.00 16,416.00 6,000.00 6,000.00 30,000.00 15,000.00 433,416.00

5.4 Recruitment Policies

All interested applicants are welcome, they must be physically fit, work

attitude and competence are highly commendable. The selection process of

applicants as follows:

A.) All aspirants are treated equally; those who did not meet the minimum

requirements shall be informed immediately.

B.) Actual training to those qualified applicants, duties and

responsibilities shall be introduced.

5.5 General Working Policies/Employees Compensation/ Benefits

The terms and conditions of the contractual term employment with the

business as follows:

The business operations will be at 8:00 A.M. to 4:00 P.M. from Monday

thru Saturday.

5.5.1Employment Benefits- employees are assured of being paid the salary

rates as agreed upon, plus the following employee benefits:

1. Service Incentive Leave of five days after One (1) year of service

2. 13th month pay

3. SSS/Pag-IBIG membership & Philhealth coverage

 32
5.5.2 Timesheet submission-the proponent requires timesheet submission

every end of the month. Failure to submit timesheet promptly could cause

disruption of the accounting procedures and would mean considerable delay in

the release of employees’ salary.

5.5.3 Salary- Employees salary shall be paid in cold cash.

5.5.4 Leave Benefits- One of the conditions of your employment with the

business is the application of the “no work, no pay policy”. However, after

rendering one (1) year service with Barbershops ship, employees are entitled to

a five (5)-day service Incentive Leave benefit for each year of service, to start

one (1) year from the date of your initial appointment. Leave application must

be filed in three (3) days before the date of vacation leave while sick leave

application will be filed on the day of duty`s resumption.

5.5.5 Service Incentive Leave (SIL) Policies:

1. SIL credits are commutable to cash on the anniversary date of your

appointment.

2. SIL shall be forfeited if you are terminated for cause.

3. Should you resign, the proponent shall pay the money equivalent of your

SIL credits except when your service is less than one (1) year.

5.5.7 Absences/Tardiness-Any employee who plans to be absent or late for

work must call, text or notify his immediate superior at the earliest possible time.

Habitual absences or tardiness without any valid reason is a ground for

termination of employment with the Ginger Farm. Likewise, any unexcused one

(1) day absence shall mean Absence Without Leave (AWOL) which can

eventually lead to the termination of the employee.

 33
5.5.8 Rules and Regulations-During the period of employment, the prospect

employees shall strictly abide with the existing policies, rules and regulations

where employees are assigned, such as, but not limited to:

1. Courtesy of superiors, employees and clients/customers must be observed.

2. Always record your time in and time out in Daily Time Record (DTR) card.

3. Observe Policies, Rules and Regulations in rendering overtime (after 5

years as contractual workers). Accomplish the required overtime form

before rendering OT. Log in and out at all times.

4. Notify your superior in case you are sick and could not report for work for

appropriate recording and disposition. Leave applications must be

accomplished and filed.

5.5.9 Causes for Recall or End of Employment/Termination- Prospect

employees should also understand and agree that your employment with
Barbershops ship shall be considered ended/terminated or prospect employees
may be the subject of a recall under any of the following conditions:
1. Your voluntary resignation. You are required to submit a letter of resignation

at least fifteen (5) days prior to the effectivity of your resignation. Failure to

comply with the five-day notification would mean the withholding of any

monetary benefit due you.

2. Commission of acts endangering the interest and security the business, such

as drug abuse, dishonesty, theft or any form of deception or fraud.

3. Conduct and behavior that maligns the image of the business , or inimical
to the morale and harmonious relationship of the employees of the business ,
unbecoming behavior, insubordination, improper acts such as drunkenness,
gambling, excessive borrowing of money or failure to pay debts, gossiping and
revealing confidential information or documents, indiscriminate and official use of
farm equipment and facilities
 34

PART 5: FINANCIAL ASPECT

5.1 Brief Introduction

This chapter refers to finding business opportunity and conducting

investigation to determine whether is should be undertaken or in other words, it

refers to look for business prospects and make a study as to whether it would be

worthwhile going into.

The Financial aspects include the determination of the financing

requirements, sources of financing, the cost of capital and it covers also the
presentation of the expected result of operations, their effects on the financial
 35
resources of the company and analysis regarding with profitability, liquidity and
stability.
The proposed Barbershops , financial management will primarily

concerned with two functions. The first function, acquiring funds to meet the

Sole Proprietorship`s current and future needs. The second function is to

monitor and control the financial results of a Sole Proprietorship`s operations.

The activities of proposed Barbershops , Financial Management can be

grouped into four categories:

a.) Determining the magnitude and characteristics of funds necessary to

conduct the proposed business operations.

b. ) Allocating resources in most efficient manner.

c.) Serving as an interface with the owner and prospective creditors

concerning the financial condition of the proposed Barbershops .

d.) Providing financial data to top management in determining the

feasibility of various strategic alternatives.

6.2 Notes and Assumptions

1. The project needs of P 386,881.00 as initial Capital Investment.

2. Financial Projection is spread over five (5) years to determine the payback period.

3. The target daily sales of 197 cases and increased by 10% every year of

units of sales volume.

4. Commission income earn are based on number of cases sold by the

distributor amounted to 17.40 and 20.00.

5. Sales will be made on cash basis only.

6. Provision for Salaries of wages of all personnel increase by 5% annually.

 36
7. Annual Business Permit & License P2, 500.00 is to be increased by P

500.00 and renewed every year.

8. Supplies of P 5,881.00 is to be increased by 5% annually.

9. Depreciation is computed using straight line method. Items costing P

2,500.00 and above will be depreciated and all items below this amount

will be expensed.

11. Furniture and Fixtures, Equipment and Transportation is worth of

326,000.00

12. Repair and Maintenance is estimated at P 10,000.00 and will be increased

and P 1,000.00 annually.

13. Diesel and Fuel is estimated at 800.00 monthly and will be increased by

5% annually. Diesel and fuel expense will be shouldered by Pepsi.

15. Inaugural expense is estimated at P 10,000.00

16. Income tax is based on the latest BIR standard rates

 37
Schedule 1: Investment Requirement

DESCRIPTION COST

Equipment and Transportation 308,000.00

Furnitures and Fixtures 18,000.00

Total Fixed Assets 326,000.00

Feasibility Study 15,000.00

Total Organizational Cost 15,000.00

Miscellaneous Expenses 5,000.00
Office Supplies 5,881.00
Inaugural Expense 10,000.00

Total Working Capital 20,881.00

Total Project Cost 361,881.00

Add: Contingency Fund 25,000.00

Total Investment Requirement 386,881.00

Schedule 2: Computation for Daily Income

No. of Commission Daily Monthly Yearly

Product
cases Sold /case Income Income Income
Pepsi 60.00 17.40 1,044.00 27,144.00 325,728.00
Mountain Dew 60.00 17.40 1,044.00 27,144.00 325,728.00
Pepsi 12 oz 4.00 17.40 69.60 1,809.60 21,715.20
7 up 4.00 17.40 69.60 1,809.60 21,715.20
Mirinda 6.00 17.40 104.40 2,714.40 32,572.80
Pepsi 1.5 liter 3.00 17.40 52.20 1,357.20 16,286.40
Sting 60.00 20.00 1,200.00 31,200.00 374,400.00
TOTAL INCOME 197.00 124.40 3,583.80 93,178.80 1,118,145.60

Schedule 3: Transportation and Equipment

DESCRIPTION Quantity UNIT Acquisitio EUL Amount of

 38
COST n Cost (years) Depreciation
300,000. 60,000.0
Truck
1 300,000.00 00 5.00 0
8,000. 1,600.0
carts 4,000.00
2 00 5.00 0
304,000.0 308,000.
TOTAL 61,600
0 00
Schedule 4: Furniture and Fixtures

Quantity Acquisition EUL Amount of

DESCRIPTION UNIT COST
Cost (years) Depreciation
(unit/s)
Steel Cabinet 2 6,000.00 12,000.00 5 2,400.00
Tables 2 3,000.00 6,000.00 5 1,200.00
TOTAL 9,000.00 18,000.00 3,600.00

Schedule 5: Office Supplies

Quantity Pre-
TOTAL Annual
DESCRIPTION UNIT COST operating
COST Cost
(unit/s) Expenses
Folder 30 pieces 7.00 210.00 420.00 420.00
Fastener 2 boxes 30.00 60.00 120.00 120.00
Clip 2 boxes 30.00 60.00 120.00 120.00
Glue 2 bottles 95.00 190.00 380.00 380.00
Stapler 1 unit 265.00 265.00 265.00 265.00
Calcuator 3 500.00 1,500.00 1,500.00 1,500.00
Chairs 3 500.00 1,500.00 1,500.00 1,500.00
Staple wire 1 boxes 30.00 30.00 60.00 60.00
Stamped Pad 1 piece 70.00 70.00 70.00 70.00
Stamped Ink 1 bottle 50.00 50.00 200.00 200.00
Ball pen 1 box 140.00 140.00 286.00 286.00
Pencil 1 boxes 60.00 60.00 240.00 240.00
Bond Paper 1 reams 180.00 180.00 720.00 720.00
4,315. 5,881.0 5,881.
Total Expense 1,957.00 00 0 00

Schedule 6: Inaugural Expense

 39
QUANTITY
DESCRIPTION UNIT COST TOTAL COST
(unit/s)
Banner 1 piece 600 600
Balloons 100 pieces 10 1000
Foods 50 heads 150 7,500.00
Drinks 3 cases 150 450
Miscellaneous expenses - - 450
Total Inaugural Expenses - - 10,000.00

Schedule 7: Depreciation Cost

Quantity Acquisition EUL Amount of

DESCRIPTION UNIT COST
Cost (years) Depreciation
(unit/s)
Truck 1 300,000.00 300,000.00 5 60,000.00
Multicab
Push Cart 2 4,000 8,000 5 1600

TOTAL 304,000.00 308,000.00 61,600.00

Schedule 8: Salaries, SSS PHIC & HDMF, 13th Month and Separation Pay

Total
13th Annual
Monthly SSS PHIC HDMF Separati
Position Month Salaries
Salary Contrib. Contrib. Contrib. on Pay
Pay &
Benefits
15,000. 212,196.
Manager 15,000.00 608 100 100 7,500.00
00 00
6,000.0 87,048.0
Driver 1 6,000.00 304 100 100 3,000.00
0 0
3,000.0 44,724.0
Helper 1 3,000.00 152 100 100 1,500.00
0 0
3,000.0 44,724.0
Helper 2 3,000.00 152 100 100 1,500.00
0 0
 40
3,000.0 44,724.0
Helper 3 3,000.00 152 100 100 1,500.00
0 0
Total 30,000.00 1368 500.00 500 30000 15000

Grand Total 16,416.0 6,000.0 30,000. 15,000.0 433,416.

360,000.00 6,000.00
( Annual) 0 0 00 0 00

Schedule 9: Prepaid Communication Expense

Quantity TOTAL Annual

DESCRIPTION UNIT COST
(unit/s) COST Cost
Prepaid Smart Card 2 cards 300 600 7,200.00
Prepaid TM/Globe Card 2 cards 300 600 7,200.00
Total 600 1,200.00 14,400.00

Table 12: Administrative Expenses

Particulars Total Annual Cost

13th month pay (Sch 7) 30,000.00

Business Licenses & Permits 2,500.00
SSS,PHIC and HDMF Contribution Sch. 7) 28,416.00
Office Supplies (sch. 5) 5,881.00
Repair and Maintenance 10,000.00
Amortization (Sch. 9)
Misc. Expense 5,000.00
Depreciation Expense - Furniture’s & Fixtures(sch 4) 3,600.00
Total Administrative Expense 85,397.00

Table 13: Selling Expenses

Particulars Total Annual Cost

Salaries and wages (Sch 7) 360,000.00

Dep. Expense - Machinery & Equipment(Sch. 3) 61,600.00
Diesel & Fuel 228800
Prepaid Communication Expense 14,400.00
Total Selling Expenses 664,800.00

TABLE 14: Notes to Financial Statement

 41
Net Revenue

NET Revenue 2011 2012 2013 2014 2015

Commission Income (Sch. 2) 1,118,145.60 1,229,960.16 1,352,956.18 1,488,251.79 1,637,076.97

Net Revenue 1,118,145.60 1,229,960.16 1,352,956.18 1,488,251.79 1,637,076.97

Table 15: Administrative Expenses ( 2011 – 2015)

ADMINISTRATIVE EXPENSES 2011 2012 2013 2014 2015

13th month pay (Sch 7) 30,000.00 31,500.00 33,075.00 34,728.75 36,465.19
Separation Pay SCh. 7) 0.00 0.00 0.00 0.00 0.00
Business Licenses & Permits 2,500.00 3,000.00 3,500.00 4,000.00 4,500.00
SSS,PHIC and HDMF Contribution Sch. 7) 28,416.00 29,836.80 31,328.64 32,895.07 34,539.83
Office Supplies (sch. 5) 5,881.00 6,175.05 6,483.80 6,807.99 7,148.39
Repair and Maintenance 10,000.00 11,000.00 12,000.00 13,000.00 14,000.00
Organization Cost 15,000.00
Misc. Expense 5,000.00 5,000.00 5,000.00 5,000.00 5,000.00
Depreciation Expense - Furniture’s & Fixtures(sch 4) 3,600.00 3,600.00 3,600.00 3,600.00 3,600.00

Total Administrative Expense 100,397.00 90,111.85 94,987.44 100,031.81 105,253.41

Table 16: Selling Expenses

SELLING EXPENSES 2011 2012 2013 2014 2015

Salaries and wages (Sch 7) 360,000.00 378,000.00 396,900.00 416,745.00 437,582.25
Dep. Expense - Machinery & Equipment(Sch. 3) 61,600.00 61,600.00 61,600.00 61,600.00 61,600.00
Diesel & Fuel 228,800.00 393,120.00 412,776.00 433,414.80 455,085.54
Prepaid Communication Expense 14,400.00 15,120.00 15,876.00 16,669.80 17,503.29

Total Selling Expenses 664,800.00 847,840.00 887,152.00 928,429.60 971,771.08

 42

A. Normal Operation (Case 0)

Table 17 : Projected Income Statement (Case-0)

Particulars 2011 2012 2013 2014 2015

1,352,956.1
Commission Income 1,118,145.60 1,229,960.16
8
1,488,251.79 1,637,076.97

Less: Operating and 765,197.00 937,951.85 982,139.44 1,028,461.41 1,077,024.49

Administrative Expenses

352,9 459,79 560,0

Net Income Before Tax 48.60
292,008.31
370,816.73 0.38 52.49
Less: Provision for Income 80,884.58 62,602.49 86,245.02 112,937.11 143,015.75
Tax

Net income 272,064.02 229,405.82 284,571.71 346,853.27 417,036.74

Table 18: Projected Income Tax Computation (Case 0)

Income Tax Computation

2011 2012 2013 2014 2015
(Case 0)
Net Income before tax 352,948.60 292,008.31 370,816.73 459,790.38 560,052.49
Ceiling 250,000.00 250,000.00 250,000.00 250,000.00 500,000.00

Balance 102,948.60 42,008.31 120,816.73 209,790.38 60,052.49

Rate 30% 30% 30% 30% 30%

variable 30,884.58 12,602.49 36,245.02 62,937.11 18,015.75

Fixed 50,000.00 50,000.00 50,000.00 50,000.00 125,000.00

Income Tax 80,884.58 62,602.49 86,245.02 112,937.11 143,015.75

 43

Table 19: Projected Cash Flow (Case 0)

Particulars Pre- OP 2011 2012 2013 2014 2015

Cash Inflows
1,118,145.6 1,352, 1,488, 1,637,
Commission Income 0
1,229,960.1
956.18 251.79 076.97
6
Owners Equity 386,881.00

Total Cash Inflows 386,881.00 1,118,145.60

1,229,960.1 1,352,956. 1,488,251.7 1,637,076.9
6 18 9 7
Cash Outflows
Operating Expense(net 688,597.00 876,351.85 966,861.41 1,015,424.4
of Depreciation) 920,539.44
9
62, 86, 112,
Income Tax -
80,884.58 602.49 245.02 937.11

Fixed Assets 326,000.00

Organizational Cost -
15,000.00

Total Cash Outflows 326,000.00

703,597.00 957,236.43
983,141.94
1,053,106.4 1,128,361.6
3 0

Net Cash Flows 60,881.00 414,548.60 272,723.73 369,814.24 435,145.36 508,715.37

Add: Cash 748, 1,117, 1,553,
60,881.00
Balance Begenning - 475,429.60 153.33 967.57 112.93

Cash Balance End 60,881.00

475,429.60
748,153.33
1,117,967. 1,553,112.9 2,061,828.3
57 3 0
 44

Table 20: Projected Financial Position (Case 0)

Particulars 2011 2012 2013 2014 2015

ASSETS

Current Assets
475,429 748,153.3 1,117,967 1,553,112 2,061,828
Cash
.60 3 .57 .93 .30

Total Current Assets

475,429.60 748,153.33 1,117,967.57 1,553,112.93 2,061,828.30
Non Current Assets

Transportation
300,000.00 300,000.00 300,000.00 300,000.00 300,000.00
8,000 8,000. 8,000 8,000.
Equipment 8,000.00
.00 00 .00 00
18,000 18,000. 18,000 18,000.
Furnitures and Fixtures 18,000.00
.00 00 .00 00
326,000 326,000.0 326,000. 326,000 326,000
Total
.00 0 00 .00 .00
61,600 123,200.0 184,800. 246,400 308,000
Less: Accum. Depreciation
.00 0 00 .00 .00

Net Book Value

264,400.00 202,800.00 141,200.00 79,600.00 18,000.00

TOTAL ASSETS
739,829.60 950,953.33 1,259,167.57 1,632,712.93 2,079,828.30

LIABILITIES AND
OWNERS EQUITY
LIABILITIES :

Income Tax Payable

80,884.58 62,602.49 86,245.02 112,937.11 143,015.75

Owners Equity
386,881.00 658,945.02 888,350.84 1,172,922.55 1,519,775.82
Net income
272,064.02 229,405.82 284,571.71 346,853.27 417,036.74
Total Equity
658,945.02 888,350.84 1,172,922.55 1,519,775.82 1,936,812.56

TOTAL LIABILITY AND

1,259,167.57 1,632,712.93 2,079,828.30
EQUITY 739,829.60 950,953.33
 45

- -
- - -

Decision Parameters

A. Case 0 : Normal Operation

1. Projected Payback Period

Year Net Income Cumulative

1 ( 2010) 272,064.02 272,064.02
X 386,881.00
2 ( 2011) 229,405.82 501,469.84
3 ( 2012) 284,571.71 786,041.55
4 ( 2013) 346,853.27 1,132,894.82
5 (2014)) 417,036.74 1,549,931.56

X-1 = 386,881.00 - 272,064.00 = 114,817.00 = 1.00

2-X 501,469.00 - 386,881.00 114,588.00

X-1 = (2-x) (1.0) = 2.0 -.1X

X+ X = 2.0 + 1.0
X= 1.5

X= 1.5 years ( 1 year, 6 Months )

Rate of Return

ROI = Average Net income/ Initial Investment

314,773.53 314,773.53

386,881.00 0.8136
ROI = 81.36%

3. Net Present Value

 46

PV Factor of 1@ 10%

Formula: PV=1/(1+i)

Where, i = interest and n = year

Annual cash PV of 1 @ PV of Cash

YEAR
inflows 10% flows

414,548. 376,866.
Y1 (2010) 0.9091
60 13
272,723. 225,378.
Y2 (2011) 0.8264
73 89
277,841.
Y3 (2012) 0.7513
369,814.24 44
369,814. 252,583.
Y4 (2013) 0.6830
24 13
315,861.
Y5 (2015) 0.6209
508,715.37 38
Total Present Value of 1,448,530.
Cash Inflows 96
386,881.
Less: Cost of Investment
00
1,061,649.
Net Present Value of the Project (Positive)
96

B. Case 1 : Gross Income Decreased by 10%

 47
Table 21: Projected Income Statement (Case-1)

Particulars 2011 2012 2013 2014 2015

1,106,964.1
Commission Income 1,006,331.04 1,217,660.56 1,339,426.61 1,473,369.28
4
Less: Operating and
879,597.00 937,951.85 982,139.44 1,028,461.41 1,077,024.49
Administrative Expenses

126,73 23 310,96 396,34

Net Income Before Tax 169,012.29
4.04 5,521.12 5.20 4.79
Less: Provision for Income Tax 19,846.81 29,753.07 46,380.28 68,289.56 93,903.44

Net income 106,887.23 139,259.22 189,140.84 242,675.64 302,441.35

Table 22: Projected Income Tax Computation (Case 1)

Income Tax Computation
(Case 1)
2011 2012 2013 2014 2015

Net Income before tax 126,734.04 169,012.29 235,521.12 310,965.20 396,344.79

Ceiling 70,000.00 140,000.00 140,000.00 250,000.00 250,000.00

Balance 56,734.04 29,012.29 95,521.12 60,965.20 146,344.79

Rate 20% 25% 25% 30% 30%

variable 11,346.81 7,253.07 23,880.28 18,289.56 43,903.44

Fixed 8,500.00 22,500.00 22,500.00 50,000.00 50,000.00

Income Tax 19,846.81 29,753.07 46,380.28 68,289.56 93,903.44

Table 23: Projected Cash Flow (Case 1)

Particulars Pre- OP 2011 2012 2013 2014 2015
Cash Inflows
 48
1,006,331.0 1, 1,217,6 1,339,4 1,473,
Commission Income
4 106,964.14 60.56 26.61 369.28

Owners Equity 386,881.0

0

Total Cash Inflows 386,881.0 1,006,331.0 1,217,660.5 1,339,426.6 1,473,369.2

1,106,964.14
0 4 6 1 8
Cash Outflows
Operating
Expense(net of 802,997.00 876,351.85 920,539.44 966,861.41 1,015,424.4
Depreciation) 9
29,7 46,3 68,
Income Tax -
19,846.81 53.07 80.28 289.56

Fixed Assets 326,000.0

0
Organizational Cost 15,000.00
-

Total Cash Outflows 326,000.0 817,997.00 896,198.66 950,292.52 1,013,241.6 1,083,714.0

0 9 5

Net Cash Flows

60,881.00 188,334.04 210,765.49 267,368.04 326,184.92 389,655.23
Add: Cash Balance 459,9 727,3 1,053,
60,881.00
Beginning - 249,215.04 80.53 48.57 533.49

Cash Balance End 249,215.04 1,053,533.4 1,443,188.7

60,881.00 459,980.53 727,348.57
9 2

Table 24: Projected Financial Position (Case 1)

Particulars 2011 2012 2013 2014 2015

ASSETS

Current Assets

Cash 249,215.04 459,980.53 727,348.57 1,053,533.49 1,443,188.72

 49

1,443,188
Total Current Assets 249,215.04 459,980.53 727,348.57 1,053,533.49
.72
Non Current Assets
300,000. 300,000.0
Transportation 300,000.00 300,000.00 300,000.00
00 0
Equipment 8,000.00 8,000.00 8,000.00 8,000.00 8,000.00

Furnitures and Fixtures 18,000.00 18,000.00 18,000.00 18,000.00 18,000.00

Total 326,000.00 326,000.00 326,000.00 326,000.00 326,000.00

Less: Accum.
61,600.00 123,200.00 184,800.00 246,400.00 308,000.00
Depreciation

79,600.0
Net Book Value 264,400.00 202,800.00 141,200.00 18,000.00
0

1,133,13 1,461,188
TOTAL ASSETS 513,615.04 662,780.53 868,548.57
3.49 .72

LIABILITIES AND
OWNERS EQUITY
LIABILITIES :
68,289.5
Income Tax Payable 19,846.81 29,753.07 46,380.28 93,903.44
6

822,168. 1,064,843
Owners Equity 386,881.00 493,768.23 633,027.45
29 .93
242,675. 302,441.3
Net income 106,887.23 139,259.22 189,140.84
64 5
1,064,84 1,367,285
Total Equity 493,768.23 633,027.45 822,168.29
3.93 .28

TOTAL LIABILITY AND

513,615.04 662,780.53 868,548.57 1,133,133.49 1,461,188.72
EQUITY

- - - - -

Decision Parameters

A. Case 1 : Gross Income Decreased by 10%

1. Projected Payback Period

Year Net Income Cumulative

1 ( 2010) 106,887.23 106,887.23
2 ( 2011) 139,259.22 246,146.45
x 386,881.00
 50
3 ( 2012) 189,140.84 435,287.29
4 ( 2013) 242,675.64 677,962.93
5 (2014)) 302,441.35 980,404.28

X-1 = 386,881.00 - 139,259.22 = 247,621.78 = 5.2

2-X 435,287.29 - 386,881.00 48,406.29

X-1 = (2-x) (5.2) = 10.4 – 5.2X

X+ 5.2X = 10.4 + 1.0

6.2X= 11.4

X= 1.8 years ( 1 year, 9 Months, and 18 days )

Rate of Return

ROI = Average Net income/ Initial Investment

= (196,080.86/5)/386,881.00 196,080.86

386,881.000
0

ROI = 50% 0.5068

3. Net Present Value

PV Factor of 1@ 10%

Formula: PV=1/(1+i)

Where, i = interest and n = year

Annual cash PV of 1 @
YEAR PV of Cash flows
inflows 10%

188,334 171,21
Y1 (2010) 0.9091
.04 4.48
210,765 174,17
Y2 (2011) 0.8264
.49 6.60
Y3 (2012) 0.7513 200,87
 51
267,368.04 3.61
267,368 182,61
Y4 (2013) 0.6830
.04 2.37
241,93
Y5 (2015) 0.6209
389,655.23 6.93
Total Present Value of 970,81
Cash Inflows 3.99
Less: Cost of 386,88
Investment 1.00
Net Present Value of the Project 583,93
(Positive) 2.99

Table 25 : Projected Income Statement (Case-2)

C. Case 2 : Operating Expense Increased by 10%

Particulars 2011 2012 2013 2014 2015

1,229,960.1
Commission Income 1,118,145.60
6
1,352,956.18 1,488,251.79 1,637,076.97

Less: Operating and 1,022,735.8

831,677.00 1,070,854.64 1,121,304.37 1,174,201.59
Administrative Expenses 5

286,46 28 366,94 462,87

Net Income Before Tax 8.60
207,224.31
2,101.53 7.42 5.38
Less: Provision for 60,940.58 39,306.08 59,630.46 85,084.23 113,862.61
Income Tax

Net income 225,528.02 167,918.23 222,471.07 281,863.19 349,012.77

 52

Table 26: Projected Income Tax Computation (Case 2)

Income Tax Computation

(Case 0)
2011 2012 2013 2014 2015

Net Income before tax 286,468.60 207,224.31 282,101.53 366,947.42 462,875.38

Ceiling 250,000.00 140,000.00 250,000.00 250,000.00 250,000.00

Balance 36,468.60 67,224.31 32,101.53 116,947.42 212,875.38

Rate 30% 25% 30% 30% 30%

variable 10,940.58 16,806.08 9,630.46 35,084.23 63,862.61

Fixed 50,000.00 22,500.00 50,000.00 50,000.00 50,000.00

Income Tax 60,940.58 39,306.08 59,630.46 85,084.23 113,862.61

Table 27: Projected Cash Flow (Case 2)

Particulars Pre- OP 2011 2012 2013 2014 2015

Cash Inflows
1,229 1,352,956. 1,488,251. 1,637,076.
Commission Income 1,118,145.60
,960.16 18 79 97

Owners Equity 386,881.00

Total Cash Inflows 386,881.00

1,118,145.60
1,229,960.16 1,352,956.18 1,488,251.79 1,637,076.97

Cash Outflows
Operating 755,077.00 961,135.85 1,009,254.64 1,059,704.37 1,112,601.59
Expense(net of Depreciation)
60, 39,306. 59,630. 85,084.
Income Tax -
940.58 08 46 23

Fixed Assets 326,000.00

Organizational Cost -
15,000.00

Total Cash Outflows 326,000.00

770,077.00 1,022,076.43 1,048,560.72 1,119,334.83 1,197,685.82
 53

Net Cash Flows 60,881.00 207,883.73 304,395.46 368,916.96 439,391.15

348,068.60
Add: Cash Balance 60,881.00
408, 616,833. 921,228. 1,290,145.
Begenning - 949.60 33 79 74

Cash Balance End 60,881.00

408,949.60
616,833.33 921,228.79 1,290,145.74 1,729,536.90

Table 28: Projected Financial Position (Case 2)

Particulars 2011 2012 2013 2014 2015

ASSETS

Current Assets

Cash 408,949.60 616,833.33 921,228.79 1,290,145.74 1,729,536.90

408,949.6 921,228.7 1,290,14 1,729,53

Total Current Assets 616,833.33
0 9 5.74 6.90
Non Current Assets
300,000.0 300,000.0 300,000.0 300,000. 300,000.0
Transportation
0 0 0 00 0
Equipment 8,000.00 8,000.00 8,000.00 8,000.00 8,000.00

Furnitures and Fixtures 18,000.00 18,000.00 18,000.00 18,000.00 18,000.00

Total 326,000.00 326,000.00 326,000.00 326,000.00 326,000.00

Less: Accum.
61,600.00 123,200.00 184,800.00 246,400.00 308,000.00
Depreciation
 54

264,400.0 202,800.0 141,200.0 79,600.0 18,000.0

Net Book Value
0 0 0 0 0

673,349.6 819,633.3 1,062,428. 1,369,74 1,747,53

TOTAL ASSETS
0 3 79 5.74 6.90

LIABILITIES AND
OWNERS EQUITY
LIABILITIES :
85,084.2 113,862.6
Income Tax Payable 60,940.58 39,306.08 59,630.46
3 1

386,881.0 780,327.2 1,002,79 1,284,66

Owners Equity 612,409.02
0 5 8.33 1.52
225,528.0 222,471.0 281,863. 349,012.
Net income 167,918.23
2 7 19 77
612,409.0 780,327.2 1,002,798. 1,284,66 1,633,67
Total Equity
2 5 33 1.52 4.28

TOTAL LIABILITY AND 673,349.6

819,633.33 1,062,428.79 1,369,745.74 1,747,536.90
EQUITY 0

- - - - -

Decision Parameters

C. Case 2 : Normal Operation

1. Projected Payback Period

Year Net Income Cumulative

1 ( 2010) 225,528.02 225,528.02
x 386,881.00

2 ( 2011) 167,918.23 393,446.25

3 ( 2012) 222,471.07 615,917.33
4 ( 2013) 281,863.19 897,780.52
5 (2014)) 349,012.77 1,246,793.28

X-1 = 386,881.00 - 225,528.02 = 161,352.98 = 12.84

2-X 399,446.25 - 386,881.00 12,565.25

X-1 = (2-x) (12.84) = 25.68 – 12.84x

 55
X+ 12.84X = 25.68+ 1.0
13.84X = 26.68

X= 2 years

Rate of Return

ROI = Average Net income/ Initial Investment

249,358.66 249,358.66

386,881.00 0.6445

ROI = 64% 0.64

3. Net Present Value

PV Factor of 1@ 10%

Formula: PV=1/(1+i)

Where, i = interest and n = year

Annual cash PV of 1 @
YEAR PV of Cash flows
inflows 10%

348,06 316,4
Y1 (2010) 0.9091
8.60 29.16
207,88 171,7
Y2 (2011) 0.8264
3.73 95.11
228,6
Y3 (2012) 0.7513
304,395.46 92.31
304,39 207,9
Y4 (2013) 0.6830
5.46 02.10
272,8
Y5 (2015) 0.6209
439,391.15 17.97
Total Present Value of Cash 1,197,6
Inflows 36.65
386,8
Less: Cost of Investment
81.00
 56
Net Present Value of the 810,7
Project (Positive) 55.65

Table 29 : Projected Income Statement (Case-3)

D. Case 3 : Combination of Cases 1 & 2

Particulars 2011 2012 2013 2014 2015

1,473,369.2
Commission Income 1,006,331.04 1,106,964.14 1,217,660.56 1,339,426.61
8
Less: Operating and 1,174,201.5
831,677.00 1,022,735.85 1,070,854.64 1,121,304.37
Administrative Expenses 9

174,6 218,122 299,1

Net Income Before Tax 54.04
84,228.29
146,805.92 .24 67.68
Less: Provision for Income 31,163.51 11,345.66 24,201.48 45,936.67 64,750.30
Tax

Net income 143,490.53 72,882.64 122,604.44 172,185.57 234,417.38

Table 30: Projected Income Tax Computation (Case 3)

Income Tax Computation
2011 2012 2013 2014 2015
(Case 0)
Net Income before tax 174,654.04 84,228.29 146,805.92 218,122.24 299,167.68
Ceiling 140,000.00 70,000.00 140,000.00 140,000.00 250,000.00

Balance 34,654.04 14,228.29 6,805.92 78,122.24 49,167.68

Rate 25% 20% 25% 30% 30%

variable 8,663.51 2,845.66 1,701.48 23,436.67 14,750.30

 57
Fixed 22,500.00 8,500.00 22,500.00 22,500.00 50,000.00

Income Tax 31,163.51 11,345.66 24,201.48 45,936.67 64,750.30

Table 31: Projected Cash Flow (Case 3)

Particulars Pre- OP 2011 2012 2013 2014 2015

Cash Inflows
Commission 1,006,331.0 1,1 1,217,6 1,339,4 1,473,
Income 4 06,964.14 60.56 26.61 369.28

Owners Equity 386,881.0

0

Total Cash Inflows 386,881.0 1,217,660.5 1,339,426.6 1,473,369.2

1,006,331.04 1,106,964.14
0 6 1 8
Cash Outflows
Operating
Expense(net of 755,077.00 961,135.85 1,009,254.6 1,059,704.3
1,112,601.59
Depreciation) 4 7
11,3 24,2 45,
Income Tax -
31,163.51 45.66 01.48 936.67

Fixed Assets 326,000.0

0
Organizational Cost 15,000.00
-

Total Cash Outflows 326,000.0 770,077.00 992,299.36 1,020,600.3 1,083,905.8 1,158,538.2

0 0 5 7

Net Cash Flows

60,881.00 236,254.04 114,664.78 197,060.26 255,520.76 314,831.01
Add: Cash Balance 2 411,7 608,8 864,
60,881.00
Begenning - 97,135.04 99.82 60.08 380.84

Cash Balance End 297,135.04

60,881.00 411,799.82 608,860.08 864,380.84 1,179,211.85
 58

Table 32: Projected Financial Position (Case 3)

Particulars 2011 2012 2013 2014 2015

ASSETS

Current Assets
297,13 60 864,38 1,179,211
Cash 411,799.82
5.04 8,860.08 0.84 .85

Total Current Assets 411,799.82

297,135.04 608,860.08 864,380.84 1,179,211.85
Non Current Assets

Transportation
300,000.00 300,000.00 300,000.00 300,000.00 300,000.00
8,00 8,00 8,000
Equipment 8,000.00
0.00 8,000.00 0.00 .00
18,00 1 18,00 18,000
Furnitures and Fixtures 18,000.00
0.00 8,000.00 0.00 .00
326,00 32 326,00 326,000
Total 326,000.00
0.00 6,000.00 0.00 .00
Less: Accum. 61,60 18 246,40 308,000
123,200.00
Depreciation 0.00 4,800.00 0.00 .00

Net Book Value

264,400.00 202,800.00 141,200.00 79,600.00 18,000.00

TOTAL ASSETS
561,535.04 614,599.82 750,060.08 943,980.84 1,197,211.85

LIABILITIES AND
OWNERS EQUITY
LIABILITIES :

Income Tax Payable

31,163.51 11,345.66 24,201.48 45,936.67 64,750.30

Owners Equity 530,371.53

386,881.00 603,254.17 725,858.60 898,044.17
 59
Net income 72,882.64
143,490.53 122,604.44 172,185.57 234,417.38
Total Equity
530,371.53 603,254.17 725,858.60 898,044.17 1,132,461.55

TOTAL LIABILITY AND

614,599.82 750,060.08 943,980.84 1,197,211.85
EQUITY 561,535.04

-
- - - -

Decision Parameters

C. Case 3 : Combination of 1 and 2

1. Projected Payback Period

Year Net Income Cumulative

1 ( 2010) 143,490.53 143,490.53
2 ( 2011) 72,882.64 216,373.17
3 ( 2012) 122,604.44 338,977.60
x 386,881.00
4 ( 2013) 172,185.57 511,163.17
5 (2014)) 234,417.38 745,580.55

X-1 = 386,881.00 - 122,604.44 = 161,352.98 = 2.3

2-X 511,163.17 - 386,881.00 12,565.25

X-1 = (2-x) (2.3) = 4.6 – 3x

X+ 3X = 4.6+ 1.0
4X = 5.6

X= 1.4 years

Rate of Return

ROI = Average Net income/ Initial Investment

249,358.66 249,358.66

386,881.00 0.6445
 60

ROI = 64% 0.64

3. Net Present Value

PV Factor of 1@ 10%

Formula: PV=1/(1+i)

Where, i = interest and n = year

Annual cash PV of 1 @
YEAR PV of Cash flows
inflows 10%

236,25 214,7
Y1 (2010) 0.9091
4.04 78.55
116,39 96,1
Y2 (2011) 0.8264
7.49 90.88
150,1
Y3 (2012) 0.7513
199,848.84 46.44
199,84 136,4
Y4 (2013) 0.6830
8.84 96.76
198,8
Y5 (2015) 0.6209
320,331.01 93.52
Total Present Value of Cash 796,5
Inflows 06.15
386,8
Less: Cost of Investment
81.00
Net Present Value of the 409,6
Project (Positive) 25.15
 61

Table 33: Summary of Decision Parameter Results of Evaluation of Capital

Investment

Case Payback Period Return on Investment Net Present Value

0 1.5 years 81.36 % 1,061,649.96
1 1.8 years 50% 583,932.99
2 2 years 64% 810,755.65
3 1.4 years 64% 409,655.15

Return on Investment

Normal operation ( Case 0) shows 81.36% Return on Investment, while

50%, 64%, 64% for Case 1, 2 and 3 respectively.

Payback Period

Case (0) shows that a 386,881.00 investment can be recovered in 1.5

years . While case 1,2, and 3 be recovered in 1.8, 2 and 1.4 years respectively.

Net Present Value

Case (0) shows positive NPV which is (+) 1,061,649.96 while Case 1, 2 ,
and 3 showed positive values of (+) 583,932.99, (+) 810,755.65, (+) 409,655.15
respectively.
 62

PART 7: SOCIO-ECONOMIC

7.1 Brief Introduction

The socio-economic impact of the project will be established clearly to

determine the benefits that would be just to the various stakeholders of the

business. Aside from being viable, the project should also focus on the social

and other economic benefits. This part of the study of the study details the socio

–economic contribution of the project to the people of Zamboanga, to the City

Government and other beneficiaries.

As Philippines is concerned, Filipinos` ethical standards are very high.

Even the advanced western nations have much to learn from the Philippine

philosophy. Honesty, in general, is regarded as the best policy. But business

ethics of Filipino people are not very much appreciable. It is true that some

successful business magnates, such as Ayala, Lopez, Tan, Gokongwee &

Soriano, in their later years turned to Philanthropy and the service of society; but

this occurred only after they had achieved their goal of accumulating great

fortunes and building gigantic industrial empires.

As a matter of fact, the proposed business practices will undergo an

evolutionary process. The Proponent hopes and believes that this process will

work to the advantage of the individual, the group and society.

In order to have a better peep into the nature of obligations, it would be in

the fitness of things to divide the entire society into three groups, a.) Workers are
 63
the pillars of the business, b.) Consumers and c.) government, the representative

of the community.

Workers are indeed, the pillars of the business ; they are important part of

the organization to which they belong. It is therefore, it is very necessary to

keep them satisfied and gave them their due, for instance, the ethics of salaries

and wages dictate that an employee is entitled to be paid for his productivity.

The wages must be fair so that the labor might be in a position to enjoy a civilized

living.

Distribution is meant for consumption, and hence the satisfaction of the

consumers should be the primary concern of the proposed business. It is really

the pious right of the consumers to have greater, better and cheaper goods, and

it is the responsibility of the proposed business to fulfill their ambition.

Government is the guardian of the community. In order to serve the

community better, government should have adequate funds; taxation is a proper

means to secure the funds. The proposed ginger farm will be adhered with

Bureau of Internal Revenue`s rules and regulations and will pay all taxes on time.

The proposed business`s vision enshrines the proponent long-held

philosophy of Profit with Honor (PH) and Unity with Zeal (UZ) . The proposed

business will generate wealth and profit for its owner at the same time fulfill the

proponent responsibilities and commitments to the customers, employees,

suppliers, sales agents, government and environment.

7.2 Tangible Contributions

7.2.1 Income Tax Generation

 64
The project under normal operation gives benefit to the local government through
income taxes. An average income tax of P 97,136.9906 per year, this can be
used for the government projects such as hospitals, roads, schools and other
infrastructure projects.

7.2.2 Employment Generation

This project employs ten (4) personnel to earn additional income and

uplift their living conditions.

7.2.3 Sales Generation

The project provides great opportunities to other businessmen in earning

additional income. The proposed project with a net income in normal operation is
P 272,064.02 in year 1, P 229,405.82 in year 2, P 284,571.71 in year 3, P
346,853.27 in year 4, and P 417,036.74 in year 5.

Intangible Contributions

The business establishment will be known as socially responsible

activities. It will help retail stores particularly sari sari store to have convenience
in the selling of the products near the homes of the end users.
 65

PART 8: Summary, Findings, Conclusions and Recommendations

8.1 Brief Summary

The primary objective of the study is to determine the feasibility of

establishing a “ Barbershops ship” in Zamboanga City. After a thorough

consideration of the important aspects of the study such as Marketing aspect,

Organization and Management aspect, Technical Aspect, Socio Economic

Aspect, and Financial aspect

8.2 Findings:

After an attentive calculation and estimation of essentials data and figures

on the proposed business with regards to the financial aspects. Case scenarios

were given wherein its purpose is to comprehensively analyze the financial

position of the business to test its profitability, liquidity and stability. Upon the

application of these analytical tools, it was then found out that the proposed

business is feasible because the favorable status it shows based from the

normal operation analysis to the sensitivity analysis.

This was proven thru the positive yield on the decision parameters

illustrated on the summary. The net present value (NPV) analysis is sensitive to

the reliability of future cash inflows that an investment or project will yield. And

accordingly if the NPV of a prospective project is positive, it should be accepted.

The proposed business also shows positive result because the payback period

is shorter than the maximum periods of time.

 66
Operating margin is a measurement of what proportion of business

revenue is left over after paying for variable costs of production. Businesses that

are able to expand their net margins over time will generally be rewarded with

share price growth, as it leads directly to higher levels of profitability. It requires

monitoring of its figures because the higher the margin, the better. In this

business projection, it was determined that the margin was predictably

increasing and the business was earning from the projected sales.

The current ratio can give also a sense of the efficiency of a business

operating cycle or its ability to turn its product into cash. Business that have

trouble getting paid on their receivables or have long inventory turnover can run

into liquidity problems because they are unable to alleviate their obligations. In

this proposed business it reflects that it has a higher current ration wherein an

indication that the business is unable to pay its obligation.

8.3 Marketing Aspect

The marketing strategy aimed of the business will be designed to create

an image synonymous with quality. The proposed project will create a quality

service at reasonable price. The proposed business and Pepsi Cola company

play important roles assuring the levels high service and customer satisfaction.

This aspect shows that there is indeed a huge potential demand for the product

against the initial supply of the project. The survey has shown positive result to

claim and support this project. To ensure its success and endure

competitiveness, the proponent institutes effective marketing strategies and

sound management.
 67
8.4 Organization and Management Aspect

The project will adopt a Sole Proprietorship form of the organization which

is functional in nature. Personnel requirements, descriptions and specifications

were established to get the right person for the right job. Compensations and

benefits were given such as SSS, Pagibig, Philhealth, 13 th Month pay, working

policies, rules and regulations are lucid to all employees , hence the operation

run smooth.

8.5 Technical Aspect

The proposed project will be operating in the west coast of Zamboanga

City. And will have one (1) truck, two (2) push cart and will be operating on a

commission basis.
 68
As gleaned from table Summary or Decision parameters, the

proposed project under normal operation ( Case 0) yielded a 81.36 % Return on

Investment,(ROI) Payback Period ( PP) of 1.5 years and a positive Net Present

Value ( NPV) of 1,061,649.96. This means the project’s total investment of P

__________________ earns an average of for every 100.00 investment and can

be fully recovered in just 1.5 years . overall, the above mentioned parameters

under normal condition ( Case 0) manifest that the venture is highly profitable

and liquid in meeting its short and long term obligations.

In case 1 when revenue is decreased by 10% the ROI is reduced to 50% and

can be fully recovered for 1.8 years. The positive NPV of 583,932.99, suggests

that the project is still acceptable, generally, the venture is still profitable and

liquid.

In case 2 when operating expenses is increased by 10% , the ROI is

reduced to 64% and can be fully recovered for 2 years . The positive NPV of

810,755.65 suggests that the proposed project is acceptable. As a whole , the

venture is profitable and liquid.

In Case 3, when the worst case scenario would happen which means that

the operating expense is increased by 10% and revenue is decreased by 10%,

the ROI is reduced to 64 % and can be recovered for 1.4 years. The positive

NPV of 409,655.15 still suggests that the project is acceptable.

 69
8.7. Socio- Economic Impact

The proposed project contributes to the socio-economic status of the

community particularly in the west coast of Zamboanga City. The project

generates income tax to provide employment , to give opportunities to

businessman in terms of sales and help stabilize supply of soft drinks in the area.

8.8 Recommendation:

After careful consideration and critical study, the researcher’s hereby

conclude that the proposed business “Barbershops ship” is highly feasible and

profitable. As a result, it is highly recommended that proponents will go on with

the business operation. Furthermore it is recommended that:

0 Partnership shall be done in accordance with the existing law of the

Philippine Government.

1 Any decision pertaining to the business operation shall be

determined the proponent

2 Appropriate and effective Marketing Strategy shall be developed to

promote the products and increase profit.

3 The goal of providing affordable but quality products shall always

be uphold at all times.

4 On time delivery of products shall be an observed protocol.

5 Inventory of products shall be done on monthly basis.

6 Medical examination should form part of the hiring procedure. Only

those that passed the requirements shall be employed.

 70
7 Employees should be trained on proper handling of customers

satisfaction and relations,

8 Proper dress code must be observed by the employee during

working hours.

9 Working Area shall be kept clean all the time.

10 Ensure the proper implementation of personnel policies and

procedures.

11 The cash flow should be monitored by the Manager to ensure

smooth and safe remittance of cash.

12 Operational plan shall be observed such as sales and delivery.

13 The Manager shall monitor submission of accurate and timely

report from the company’s helper.

 71
REFERENCES

1. Feasibility Study Handbook by Eustaquio Ditablan

2. 2006 Business World`s Special Report on New Accounting Standards

Through Transparency.

3. Financial Accounting, Vol. 1, 2008 edition, by: Conrado C. Valex

4. Financial Accounting 2, 2008 edition by: Pedro Guerrero

5. Manage Your Time, Manage Your Work, and Manage Yourself, by: Merrile

E. Douglas and Donna N. Douglas

6. Webster`s New Ideal Dictionary

7. Psycho-Cybernetic and Self-Fulfillment, by: Maxwell Matz

8. RA 9337 or the Reformed Value Added Tax Law

9. National Internal Revenue Code

10. SSS, HMDF, PHIC, Pag-IBIG & DOLE Circulars

11. Management Advisory Services, 1990, by: Rodelio S. Roque

12. Financial Accounting and Reporting, Vol. 2, by: Ma. Elenita Balatbat

Cabrera.

13. Dima-ano, Lynda K. Public Market, Pagadian City, Personal Interview,

January 10, 2010.

 72
Consulted the following Government Offices:

Department of Trade and Industry, Zamboanga City

Department of Labor and Employment, Zamboanga City

HDMF, Pag-IBIG, San Jose, Zamboanga City

National Statistics Office, Zamboanga City

Philhealth Insurance Company, Zamboanga City

Social Security System, Zamboanga City

Bureau of Internal Revenue, Zamboanga City

City Licensing Office Region IX

CURRICULUM VITAE
 73
Position : Instructor

Agency Connected : Universidad de Zamboanga

Personal

1. Name : AHMAD A. ALAWADDIN

2. Sex : Male

3. Age : 35 years old

4. Civil Status : Single

5. Citizenship : Natural born Filipino

6. Place of Birth : Jolo Sulu

7. Date of Birth : July 7, 1974

8. Religion : Islam

C-807, Stanvac, Lower Calarian , Zamboanga

9. City Address :
City

Languages : Tagalog, Visayan, English and Chavacano,

10.
Spoken Tausug

11. Name of Father : Datu Saripul A. Alawaddin(Deceased)

12. Name of Mother : Hadja Harija A, Abdulhalim

Educational
Background

Graduate Universidad de Zamboanga

: 2010
Master in Business Administration
Zamboanga City

:
College MEIN College, Inc.
2002
Bachelor of Science in Commerce
Zamboanga City

:
 74
MEIN College, Inc.
2001
18 Units in Professional Education
:
Zamboanga Institute of Aviation and Technology
1997
Aircraft Technology

: J-Jireh School
High School 1992
Suterville, Zamboanga City

John Spirig Sr. Memorial Elem. School

Elementary Campo Islam , Zamboanga City
14. Eligibilities Civil Service Professional Eligibility
:
Rating: 80.98 %