Final Paper November22

LA CONSOLACION COLLEGE MANILA
Mendiola, Manila
MULTI-PUPROSE ABSORBENT CASE
A Feasibility Study
Presented to
The Faculty of Business and Accountancy
La Consolacion College of Manila
In Partial Fulfillment
of the Requirements for the Degree
Bachelor of Science in Accountancy
GESSELLE P. ACEBEDO
ALLIAH ROZEA H. CAILAO
ANGELICA MAE B. LEACHON
DIANNE T. MERCADO
JOHN ISAIAH MARCO F. PUSAG
ANA PATRICIA R. SERRANO
November 2019
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APPROVAL SHEET
This undergraduate feasibility study hereto entitled: MULTI-PURPOSE
ABSORBENT CASE, prepared and submitted by Gesselle P. Acebedo, Alliah Rozea H.
Cailao, Angelica Mae B. Leachon, Dianne T. Mercado, John Isaiah Marco F. Pusag and
Ana Patricia R. Serrano in partial fulfillment of the requirements for the degree of Bachelor
of Science in Accountancy, has been examined and is recommended for the acceptance and
approval for oral defense.
ROBERT Y. CO, CPA, MBA, DBA
Adviser
Approved by the Panel on Oral Examination

Conducted on November 10, 2019, with a grade of _________
Mr. Jim Boy Abel, CPA Mr. John David O. Molina, MBA,
CMT
Accepted as partial fulfilment of the requirement in the subject MANAGEMENT

CONSULTANCY for the degree of Bachelor of Science in Accountancy.
Ronald M. Pastrana, MBA, PhD
Dean, School of Business and Accountancy

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ACKNOWLEDGMENT
This feasibility study would not have been possible without the help of those
people who became part of this study. We would like to express our deepest gratitude to
Dr. Robert Co, our class adviser who had been patient, understanding and guided as all
throughout the study. Through his assistance and use of technical skills, we were able to
make a feasibility study.
To our dearest parents who has given us support and motivation to finish the
study. We would like to thank them for the guidance and love that they give us in the
things we want to pursue. They serve as our inspiration in making this feasibility study.
To Regina Bobis, Geli Vinas and Rachel Dimaculangan for guiding us to this
study.
To the respondents who spent time in answering the survey questionnaires.
To our friends and classmates who were with us through ups and downs.
Most of all, our foremost gratitude goes to the Lord because all these things would
not be possible without the gift of life that He has given us. We lift all the praises, glory,
and thanks to the Lord. May He be the one who will guide and bless us in our feasibility
study.
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TABLE OF CONTENTS
APPROVAL SHEET ........................................................................................................ 2

ACKNOWLEDGMENT .................................................................................................. 3
EXECUTIVE SUMMARY ............................................................................................ 12
CHAPTER 1: INTRODUCTION .................................................................................. 13
Background of the Study ............................................................................................... 13
Brief History.................................................................................................................. 14
Business Name / Logo................................................................................................... 15
Product Description ....................................................................................................... 15
Industry.......................................................................................................................... 16
Consumer Products Industry ..................................................................................... 16
Vicinity or Place of the Business .................................................................................. 17
Scope and Limitations ................................................................................................... 17
CHAPTER 2: MANAGEMENT ASPECT................................................................... 18
Vision ............................................................................................................................ 18
Mission .......................................................................................................................... 18
Form of Ownership ....................................................................................................... 18
Investment Cost ............................................................................................................. 19
Organizational Chart ..................................................................................................... 21
MANPOWER REQUIREMENT .................................................................................. 21
COMPANY MANPOWER .......................................................................................... 28
COMPANY POLICIES ................................................................................................ 30
Dresscode................................................................................................................... 30
Attendance ................................................................................................................. 30
Confidentiality ........................................................................................................... 31
Smoking ..................................................................................................................... 32
Salary Deductions ......................................................................................................... 33
Gantt Chart .................................................................................................................... 35
CHAPTER 3: MARKETING ASPECT ....................................................................... 37
OBJECTIVES OF THE STUDY .................................................................................. 37
SITUATIONAL ANALYSIS ....................................................................................... 37
Industrial Analysis......................................................................................................... 37
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Classifications of Products in the Industry ................................................................ 37

History of the Industry ............................................................................................... 39
Current Situation of the Industry ............................................................................... 40
Future of the Industry ................................................................................................ 41
Market Analysis ............................................................................................................ 41
Current Market Situation ........................................................................................... 41
Future of the Market .................................................................................................. 42
Competition ................................................................................................................... 42
Direct and Indirect Competitors ................................................................................ 42
Advantages ................................................................................................................ 43
Disadvantages ............................................................................................................ 43
MARKETING STRATEGY ......................................................................................... 43
Market Segmentation .................................................................................................... 43
Geographical Segmentation ....................................................................................... 43
Psychographic Segmentation ..................................................................................... 44
Behavior Segmentation.............................................................................................. 44
Market Targeting ........................................................................................................... 44
Product Differentiation Strategy ................................................................................... 45
Branding Strategy ...................................................................................................... 45
Physical Differentiation Strategy............................................................................... 45
Product Packaging ..................................................................................................... 46
Product Review.......................................................................................................... 46
Future Products .......................................................................................................... 46
Pricing Strategy ......................................................................................................... 46
Place Strategy ............................................................................................................ 47
Promotion Strategy .................................................................................................... 47
Marketing Assessment .................................................................................................. 48
Target Market Population.............................................................................................. 48
Demand Analysis .......................................................................................................... 48
Survey Results ............................................................................................................... 48
Demand & Supply Analysis .......................................................................................... 52
Demand Projection ........................................................................................................ 53
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Supply Projection .......................................................................................................... 56

GAP Analysis ................................................................................................................ 56
SALES PROJECTION .................................................................................................. 57
Computation of Selling Price ........................................................................................ 57
CHAPTER 4: TECHNICAL ASPECT......................................................................... 59
BUSINESS LOCATION............................................................................................... 59
Actual Facade of the Location ...................................................................................... 60
STORE LOCATION ..................................................................................................... 61
FLOOR PLAN OF THE BUSINESS............................................................................ 63
Production Process ........................................................................................................ 64
Production Schedule ...................................................................................................... 64
Store Schedule ............................................................................................................... 65
Production Capacity ...................................................................................................... 65
Property and Equipment ................................................................................................ 66
Annual Depreciation ..................................................................................................... 74
CHAPTER 5: FINANCIAL ASPECT .......................................................................... 76
Financial Assumptions .................................................................................................. 76
Projected Statement of Financial Position .................................................................... 83
Projected Income Statement .......................................................................................... 85
Statement of Changes in Partners’ Equity..................................................................... 86
Projected Statement of Cash Flow ................................................................................ 87
Notes to Financial Statements ....................................................................................... 88
Ratio Analysis ............................................................................................................... 92
A. Profitability Ratio ................................................................................................. 92
B. Liquidity Ratio ...................................................................................................... 94
C. Activity Ratio ........................................................................................................ 95
Payback Period .............................................................................................................. 95
Break-even Point Analysis ............................................................................................ 96
CHAPTER 6: SOCIAL DESIREABILITY ................................................................. 97
Government Revenues .................................................................................................. 97
Consumers ..................................................................................................................... 97
Employees ..................................................................................................................... 98
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References ........................................................................................................................ 99
Appendices ..................................................................................................................... 100
Sample Survey Questionnaire (Direct Customers) ..................................................... 100
ARTICLES OF PARTNERSHIP ................................................................................ 103
CURRICULUM VITAE……………………………………………………………...114
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List of Tables
1 Investment Cost
2 Company Manpower
3 Payroll
4 Gantt Chart
5 Historical Demand
6 Macroeconomic Indicators
7 Projected Demand
8 Projected Supply
9 Gap Analysis
10 Annual Sales in Peso
11 Production Schedule
12 Production Capacity
13 Depreciation of Machinery and Equipment
14 Depreciation of Office Equipment and Furniture and Fixtures
15 Raw Materials
16 Projected Demand
17 Goods Available for Sale in units
18 Purchase Schedule of Raw Materials in units
19 Per unit costs of Raw Materials
20 Gross Profit Margin
21 Net Profit Margin
22 Return on Assets
23 Return on Equity
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24 Current Ratio
25 Total Asset Turnover
26 Payback Period
27 Breakeven Analysis
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List of Figures
1 Business Name/Logo
2 Product Description
3 Vicinity of the Business
4 Organizational Chart
5 Social Security System
6 Philippine Health Insurance Company
7 Home Development Mutual Fund
8 Gender
9 Age of Respondents
10 Occupation of Respondents
11 Willingness to Pay
12 Qualities considered in buying a product
13 Amount willing to pay
14 Business Location
15 Actual Façade of the location
16 Store Location 1
17 Store Location 2
18 Store location 3
19 Floor Plan
20 Production Process
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21 Embroidery Machine
22 Sewing Machine
23 Air Conditioner
24 Chair
25 Computer Set
26 Computer Table
27 Office Chair
28 Table
29 Printer
30 Store Cabinet
31 Portable Receipt Printer
32 Ceiling Fan
33 Store Table
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EXECUTIVE SUMMARY
M-PAC, a limited partnership, pursues to launch a more developed cover for
umbrellas and tumblers. The proposed product is named “Multi-Purpose Absorbent Case”,
a case where one can place their wet umbrella or wet tumbler without damaging the other
things they also carry. Most people are extra conservative about getting the important
things inside their bag wet, and so M-PAC will help them solve that issue. M-PAC product
costs P199.00 and will be sold at Ermita and Quaipo Manila and also at Maginhawa,
Quezon to its target market schools near the stores.
By means of conducting surveys, preparing financial statements and critical
financial analysis, the business is presumed to be profitable and feasible.

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CHAPTER 1
INTRODUCTION
This chapter will focus on the background of the study, the formation of the
business and the conceptualization why the proponents arrived at the specific chosen
study for the setting up of a business.
Background of the Study
In today’s generation, people find it necessary to have their everyday essentials like
umbrellas and tumblers with them all the time. But it is not always convenient especially
during rainy seasons that the umbrella is wet and might cause other things to get wet as
well. In addition to that, it is very uncomfortable to carry water-soaked things.
It is a necessity for every student and employee of having umbrellas, especially
during the rainy season while bringing tumblers filled with cold water or drinks became a
trend among the students, specifically those from integrated school, during the summer
season. A common problem shared by bringing umbrellas and tumblers is keeping them
inside bags.
Other countries, like Japan had already thought of producing a product that would
help people ease those problems mentioned above. It is an absorbent case exclusively
designed for wet umbrellas and tumblers. It is designed primarily to absorb water and
prevent leakage. Microfiber cloth is the primary material that’ll be used to create absorbent
case.
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Microfiber is a synthetic material cloth that has different uses. One of these is
cleaning in many areas at home, like dusting scrubbing and wiping doors and windows. It
is durable and at the same time reusable. It last longer than cotton.
Brief History
Back in the late 1950s, the production of ultra-fine fibers used melt-blown spinning
and flash spinning techniques. However, it can only produce fine staples of random length
and very few applications could be found. The most promising subsequent experiments of
producing ultra-fine fibers of a continuous filament type were run in Japan during the 1960s
by Dr. Miyoshi Okamoto, a scientist at Toray Industries. Okamoto’s discoveries, together
with those of Dr. Toyohiko Hikota, resulted in many industrial applications. Among these
was Ultrasuede which is one of the first successful synthetic microfibers, which found its
way onto the market in the 1970s. Microfiber’s use in the textile industry have expanded.
It first came to public in the early 1990s in Sweden and succeed as a product in Europe
over the course of the decade.
DuPont, founded by Éleuthère Irénée du Pont, first produced gunpowder and later
cellulose-based paints. Following WWI, DuPont produced synthetic ammonia and other
chemicals. DuPont began experimenting with the development of cellulose based fibers,
eventually producing the synthetic fiber rayon. DuPont’s experience with rayon was an
important precursor to its development and marketing of nylon.

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Business Name / Logo
Figure 1. Logo
M-PAC is the business name which stands for Multi-Purpose Absorbent Case. The
owners decided to use it as the name of the business to be easily remembered by the
customers and the name stands for the main purpose of the product.
Product Description
Figure 2. Product Description
M-PAC is an absorbent case that is made up of thick microfiber, leak proof cloth
and glossy cloth. Microfiber cloth was used because it can hold up to 5 times more water
compared to an ordinary towel. The leak proof cloth serves as an inner absorbent layer that
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enable to prevent leakage. It is a 360 degrees absorbent that covers the whole body of the
umbrella and tumblers.
Industry
Consumer Products Industry
The Consumer Products Industry or CPI is a category of companies that relate to
items purchased by individuals rather than by manufacturers and industries. This sector
includes companies involved with food production, packaged goods, clothing, beverages,
etc. (Kenton, 2018). Companies under this industry depends heavily on consumer behavior.
Innovations and advancement in technology fuel the growth of the consumer
products industry. The developments are driven by the companies’ commitment to respond
to customer needs and market trends. Today, companies under the consumer product
industry are engaged with their consumers in more innovative and direct ways with the use
of internet or e-commerce. However, there are still companies that prefer the traditional
way of selling their products or the brick-and-mortar.

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Vicinity or Place of the Business
Figure 3. Place of the Business
The business will be located at V. Fugoso St, Brgy 311, District 3, Sta. Cruz, City of
Manila.
Scope and Limitations
The focus of the study is to determine the feasibility of selling the proposed product.
The researchers will focus on the venture’s financial performance whilst selling the product
and also its effect or feedback of the community or the market. The researchers will be able
to determine this by identifying or applying appropriate marketing strategy, organizational
structures and systems, market analysis, competition analysis, and financial matters
including required financing, projected results of business operations, and socio-economic
impact of the venture.

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CHAPTER 2
MANAGEMENT ASPECT
This chapter tackles the organizational arrangement of the entire business
organization. The management aspects show the contribution of each partner as to capital
contribution and liability, agreements, qualifications of each job position specified, their
duties and responsibilities and policies of the company. All management aspects mentioned
are desired to achieve to reach an effective and efficient company in the long run.
Vision
The company’s vision is to be the leading innovator and producer of umbrella and
tumbler cases in the Philippines. This statement would embody the product’s innovative
aspects and the company’s passion in developing unique ideas that would satisfy the
customers’ needs.
Mission
The company’s mission is to provide convenience to the customers by offering
multi-purpose case at an affordable price.
Form of Ownership
The proposed "M-PAC" shall be managed in the form of partnership business
organization that consists of one general partner who will participate and manage in the
day-to-day operations of the business. The partners assume responsibility for the
partnership's debts and other obligations up to the extent of their personal assets.
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Investment Cost
The initial investment cost of M-PAC will be P10,800,000 (Ten million eight
hundred thousand pesos only) in cash. The stated amount will be used for all the cost from
start of constructing the business up to the normal operation of the business.
Table 1.
Contribution of Partners
Type of Type of
partner as to partner as to Capital Profit and
Partners liability Contribution Contribution Loss Ratio
Dianne Mercado Limited Partner Capitalist 1,840,000 20%
Gesselle Acebedo Limited Partner Capitalist 1,840,000 20%
Jim Pusag General Partner Capitalist 1,780,000 15%
Alliah Cailo General Partner Capitalist 1,780,000 15%
Ana Serrano General Partner Capitalist 1,780,000 15%
Angelica Leachon General Partner Capitalist - 1,780,000 15%
Industrial
Total Starting
Capital 10,800,000 100%
Table 1 shows the contribution of each partner and the total contributed capital of
₽10,800,000.00 to form the partnership. The partnership capital will be used in acquiring
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the raw materials, equipment and for all the expenses that will be incurred from the pre-
operating period to normal operating period.

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Organizational Chart
Figure 4. Organizational Chart
MANPOWER REQUIREMENT
Manager (Owner)
I. Qualifications:
•Should have an open mind for creativity.
•Must have a Bachelor’s Degree with any business
management related courses,
•Has the ability to work under pressure and can handle stress.
II. Job Description and responsibilities:
• Determine business’s mission, vision and policies
• Finding new source of supply for materials needed
• Interviewing new staffs to be added as the demand
increases
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• Training and guiding new staff and personnel

• Have a birds eye view of what is happening in the
production process.
III. Functions:
• Act as a supervisor to ensure an efficient working environment
• In-charge in the daily operations of the business;
• Will serve as the office manager, approving new suppliers, and
setting up a workable system to organize the company;
• Develop an effective marketing and advertising campaigns
JOB TITLE: FINANCE AND ADMINISTRATION MANAGER
I. Qualifications:
• Male or female.
• Bachelor's degree in Business Administration or any related field.
• At least 2 years finance experience.
• At least 1 year experience in leadership finance position
• Fluent in oral and written communication in English and Filipino.
• Strong decision making ability.
• Supervise and evaluate the performance of finance and
administration staffs.
• In charge of managing the finances of the business.
• Ensure effective staff recruitment
III. Functions:
• Supervise finance and administration team to manage and execute
production projects.
• Coordinate with the other departments for their staff employment.
• Monitor and manage expenditures in accordance with the allotted
budget.
• Ensure the preparation and maintenance of financial records.
• Assign daily workload to team members.
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• Prepare financial plan to support company objectives.

• Approve inventory and equipment acquisition
• Ensure that team follows company policies and safety standards.
JOB TITLE: ACCOUNTING STAFF
I. Qualifications
• Male or female.
• Bachelor's degree of any Accounting related course
• Fluent in oral and written communication in English and Filipino.
• Detailed –orientated
• Prepare financial reports and create budgets.
• Records all accounting transactions
• Prepare and submit weekly finance reports to management.
• Assist other team members with transaction when necessary
III. Functions:
• Ensuring cash is sufficient to purchase raw materials.
• Assuring production department that cash is available to procure in
order to meet the production quotas
• Reporting discrepancies and problems to the manager.
JOB TITLE: SALES & MARKETING MANAGER
I. Qualifications
• Male or female.
• Bachelor's degree in Marketing or any related field.
• At least 3 years sales experience
• At least 1 year experience in leadership sales position.
• Fluent in oral and written communication in English and
Filipino.
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• Design and implement strategic sales plan that
expands company's customer base and ensures its strong market
share.
• Build and promote strong, long-lasting customer
relationships by understanding their needs.
• Present sales and revenue forecast for the business.
• Identify emerging markets and market shifts while
being fully aware of new products and competition status.
III. Functions
• Motivate and advise their subordinates to improve their
performance, as well as training new sales staffs.
• Achieve their objectives through effective planning, and
execution
• Ensure that the sales department works coherently with
other departments.
JOB TITLE: SALES & MARKETING STAFF
I. Qualifications
• Male or female.
• Bachelor's degree preferred.
Filipino
• Meet monthly sales quotas.
• Prepare and submit weekly sales reports to management.
• Assist other team members with transaction when
necessary.
• Promote products
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III. Functions:
• Assisting customers to find the goods and products they
are looking for.
• Being responsible for processing cash payments.
• Answering queries from customers and retailers.
• Dealing with customer refunds
• Responsible dealing with customer complaints.
JOB TITLE: PRODUCTION MANAGER
I. Qualifications
• Male or female.
• Bachelor's degree in Marketing or any related field.
• At least 3 years production experience.
• At least 1 year experience in leadership production position.
Filipino.
• Monitor production.
• Supervise and evaluate performance of production
staffs.
• In charge of managing and coordinating procurement
agents, buyers or purchasing agents.
• Ensure finished product meets quality standard.
• Organize work-schedule
III. Functions:
• Supervise production team to manage and execute
production projects.
• Coordinate with the sales department to develop project
plan and timelines.
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• Assign daily workload to team members.

• Develop production program and guidelines to support
company objectives.
• Schedules equipment maintenance and inspection on
regular basis.
• Investigate production issues and develop resolutions.
• Monitor production activities and adjust schedules for
on-time delivery.
• Ensure that final product meets quality standards and
customer specifications.
• Ensure that team follows company policies and safety
standards.
JOB TITLE: PRODUCTION STAFF
I. Qualifications
• Male or female.
• High school level or high school graduate.
• Skilled.
• Prepare raw materials and create the product.
• Meet monthly production quotas
• Assist other team members with transaction when
necessary.
III. Functions:
• Ensuring raw materials are sufficient to create products.
• Assuring sales department that inventory in the
warehouse are enough to meet the sales quota.
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JOB TITLE: STORE CASHIER
I. Qualifications
• Male or female.
• High school level of high school gradute
• Skilled.
II. Job Description and responsibilities
• Assist customers in the in-store check-out process

• Ring up sales, bag items, collect payments and give
appropriate change
• Responsible for counting the contents of cash register
drawer at the end of the day, maintaining receipts, records
and withdrawals.
III. Functions
• Receive and disburse money in the business
• Records the cash received in the business’ sale records
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COMPANY MANPOWER
M-PAC Ltd. is a company which provides mutual benefits between the company
and its employees. The company is composed of:
Table 2.
Company Manpower
Positions Number of Employees
General Manager 1
Finance and Administrative Manager 1
Sales & Marketing Manager 1
Production Manager 1
Sales & Marketing Staff 2
Accounting staff 1
Production Staff 27
Store Cashier 3
TOTAL 37
Table 2 shows that total of 37 workers are needed for M-PAC, Ltd. to function
effectively.
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Table 3.
Payroll
Production Semi-
Staff Monthly
Semi
Monthly Deductions Employers Contributions Net Pay
EMPLOYEES Salary per Working First half 2nd half
NAME day days GROSS PAY Per Month SSS PHIC Pagibig SSS PHIC Pagibig Month month
A 537.00 10 5,370.00 10,740.00 420.00 147.675 100 850 147.675 100 4,702.33 5,370.00
B 537.00 10 5,370.00 10,740.00 420.00 147.675 100 850 147.675 100 4,702.33 5,370.00
C 537.00 10 5,370.00 10,740.00 420.00 147.675 100 850 147.675 100 4,702.33 5,370.00
D 537.00 10 5,370.00 10,740.00 420.00 147.675 100 850 147.675 100 4,702.33 5,370.00
E 537.00 10 5,370.00 10,740.00 420.00 147.675 100 850 147.675 100 4,702.33 5,370.00
F 537.00 10 5,370.00 10,740.00 420.00 147.675 100 850 147.675 100 4,702.33 5,370.00
G 537.00 10 5,370.00 10,740.00 420.00 147.675 100 850 147.675 100 4,702.33 5,370.00
H 537.00 10 5,370.00 10,740.00 420.00 147.675 100 850 147.675 100 4,702.33 5,370.00
J 537.00 10 5,370.00 10,740.00 420.00 147.675 100 850 147.675 100 4,702.33 5,370.00
K 537.00 10 5,370.00 10,740.00 420.00 147.675 100 850 147.675 100 4,702.33 5,370.00
L 537.00 10 5,370.00 10,740.00 420.00 147.675 100 850 147.675 100 4,702.33 5,370.00
M 537.00 10 5,370.00 10,740.00 420.00 147.675 100 850 147.675 100 4,702.33 5,370.00
N 537.00 10 5,370.00 10,740.00 420.00 147.675 100 850 147.675 100 4,702.33 5,370.00
O 537.00 10 5,370.00 10,740.00 420.00 147.675 100 850 147.675 100 4,702.33 5,370.00
P 537.00 10 5,370.00 10,740.00 420.00 147.675 100 850 147.675 100 4,702.33 5,370.00
Q 537.00 10 5,370.00 10,740.00 420.00 147.675 100 850 147.675 100 4,702.33 5,370.00
R 537.00 10 5,370.00 10,740.00 420.00 147.675 100 850 147.675 100 4,702.33 5,370.00
S 537.00 10 5,370.00 10,740.00 420.00 147.675 100 850 147.675 100 4,702.33 5,370.00
T 537.00 10 5,370.00 10,740.00 420.00 147.675 100 850 147.675 100 4,702.33 5,370.00
U 537.00 10 5,370.00 10,740.00 420.00 147.675 100 850 147.675 100 4,702.33 5,370.00
V 537.00 10 5,370.00 10,740.00 420.00 147.675 100 850 147.675 100 4,702.33 5,370.00
W 537.00 10 5,370.00 10,740.00 420.00 147.675 100 850 147.675 100 4,702.33 5,370.00
X 537.00 10 5,370.00 10,740.00 420.00 147.675 100 850 147.675 100 4,702.33 5,370.00
Y 537.00 10 5,370.00 10,740.00 420.00 147.675 100 850 147.675 100 4,702.33 5,370.00
Z 537.00 10 5,370.00 10,740.00 420.00 147.675 100 850 147.675 100 4,702.33 5,370.00
AA 537.00 10 5,370.00 10,740.00 420.00 147.675 100 850 147.675 100 4,702.33 5,370.00
13,962.00 260.00 139,620.00 279,240.00 ######## 3,839.55 2,600.00 22,100.00 3,839.55 2,600.00 122,260.45 139,620.00
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COMPANY POLICIES
Every employee is expected to respect this policy and their colleagues. Disciplinary
action will be given towards employees who disregard this policy. Employees who violate
this policy frequently or cause severe problems (e.g. fires) may face consequences up to
and including termination.
Dresscode
M-PAC, Ltd. expects employees to dress appropriately.
1. Employees are expected to demonstrate good judgment and professional taste.
Courtesy of coworkers and your professional image to clients should be the
factors that are used to assess that you are dressing in business attire that is
appropriate.
2. Inappropriate attire for work includes tank tops, halter-tops, and tops with bare
shoulders. Also inappropriate are midriff-baring tops and shirts with potentially
offensive words, terms, logos, pictures, cartoons, or slogans.
Attendance
Excellent attendance is an expectation of all employees of M-PAC, Ltd.
1. Daily attendance is especially important for hourly employees whose customers
and coworkers have the expectation of on-time product shipment and delivery.
2. Emergency personal time is made available to employees for such unscheduled
events as personal illness, immediate family member illness, doctor appointments, or a

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death in the family but it must be proved with necessary documents such as leave form,
medical certificates, etc.
3. An employee of M-PAC, Ltd. has five working days (from Monday to Friday).
4. Saturday and Sunday are intended for day off.
5. Each employee is expected to be at work at eight in the morning (8:00 a.m.) and
leave at five in the afternoon (5:00 p.m.). One-hour break is given to each employee
from 12:00 noon to 1:00 p.m.
6. Each employee is only allowed for 10 absences in a year. Failure to comply will be
given such punishments and will be recommended for guidance counseling.
Confidentiality
All employees in the higher positions shall keep confidential any and all
information they acquire during their employment that would reasonably be considered to
be personal or confidential. This includes, but is not limited to: personal information
concerning customers, personal information concerning all employees of the Board;
confidential information obtained from third parties; confidential information about
matters under consideration by school, content of tenders and other contractual
negotiations; and details of business operations, financial matters and other confidential
records of businesses which deal with the Board.
No person shall disclose such information unless such disclosure is required within
the course of employment. Information covered by this policy shall include information
that is written or unwritten or stored electronically.

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Smoking
This policy applies to all employees of our company as well as to visitors,
contractors, and temporary staff. This policy refers to all tobacco products.
1. Employees and visitors can smoke only outside the workplace.
2. Smoking is prohibited indoors at any time, not just during working
hours. If an employee stays late at work, they’re still obliged to follow
this policy.
3. Signs in all areas where smoking isn’t allowed will be posted. Any
employee who has a complaint regarding this policy can contact Finance
and Administration Manager.
As a rule, smoking isn’t allowed indoors such as:
● Working areas
● Restrooms
● Warehouses
Schedule of Production Activities
Task 1: Develop Project Proposal
Task 2: Approve Project Proposal
Task 3: Recruitment of Project Team
Task 4: Establish the Partnership
Task 5: Develop Prototype
Task 6: Securing the Venue
Task 7: Start the operation of the business

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Task 8: Determine the adequacy of physical facilities.
Task 9: Review provisions for acquisition, allocation, and control of computing
resources.
Task 10: Evaluate the effectiveness of administrative staff and production staff.
Salary Deductions
Salary deductions are mandatory contributions collected by the government based
on an employee’s basic salary.
SOCIAL SECURITY SYSTEM (SSS)
Figure 5. Social Security System Contribution Table

34
The amount deducted every month for the SSS contribution is 3.63% of an
employee’s monthly salary credit.
PHILHEALTH
Figure 6. PhilHealth Contribution Table
The PhilHealth premium contribution rate is 2.75% of the monthly basic salary,
shared equally by employers and employees. Those who earn PHP 40,000 and above
have the maximum PhilHealth deduction of PHP 550 per month.
PAG-IBIG
Figure 7. Pag-Ibig Contribution Table
The maximum Pag-IBIG contribution is 2% or PHP 100 per month for members
earning PHP 5,000 and above per month.

35
Gantt Chart
Table 4.
Gantt Chart
ACTIVITES AUGUST SEPTEMBER OCTOBER NOVEMBER DECEMBER
Conducting
the feasibility
study
Putting up
the Equity
Looking for
Business
location
Registration
of Business
Canvassing
and
Acquisition
of Supplies
& Equipment
Canvassing
and
Procurement
of Raw
Materials
Recruitment,
Hiring and
Training of
Personnel
Promotional
Campaign
Start of
Normal
Operation
The first few weeks of the study focused on planning and conceptualization of the
business, we took a picture of how the business will operate and how much cost do we
need to start up.

36
In the market research, we looked for the best and accessible place where our target
customers will be attracted to buy our products and at the same time comfortable working
environment. We also conducted a market survey to determine the preference of our
customers and at how much they’re willing to buy our product.

37
CHAPTER 3
MARKETING ASPECT
Marketing involves business activities designed to plan, price, promote and
distribute want-satisfying goods and services to present and potential customers. It is
considered as the lifeblood of every business transaction because it is a strategic way on
how to cope up to the needs and wants of the customers, finding opportunities, introduce
and market the product, and achieve customer’s loyalty and patronage.
This aspect includes the following topics: demands, supply, demand and supply gap
analysis, marketing programs and the projected sales.
OBJECTIVES OF THE STUDY
This study focuses on the following:
1. To provide high quality absorbent case that can help prevent leakages.
2. To earn profits while maximizing the use of resources.
3. To serve as a substitute and offer more convenience to the consumers.
4. To help the society through the generation of employment.
SITUATIONAL ANALYSIS
Industrial Analysis
Classifications of Products in the Industry
There are four classifications in the consumer goods industry namely
convenience products, shopping products, specialty products, and unsought

38
products. These consumer products have different characteristics and consumer
purchasing behavior. They differ on how the consumers buy them so that the way
it should be market is different as well.
A convenience product is the one that customers normally buy frequently,
immediately, and without buying effort. Examples include articles such as laundry
detergents, fast food, sugar and magazines. It can be observed that these types of
consumer products can be easily purchased because it is readily available when
consumers need them. Also, these products are usually priced affordably.
Shopping products are the products that customers usually compare based
on quality, price, and style when they are purchasing or selecting products that they
will buy. It is less frequently purchase and consumers tend to spend more time and
effort gathering information and comparing alternatives.
Types of consumer products that fall within the category of shopping
products are furniture, clothing, used cars, airline services etc. The way of its
distribution is different because it has fewer outlets, but it provides deeper sales
support for the advantage of customers who are exerting effort to compare the
products.
Specialty products have unique characteristics or brand identification of
consumer products and services. Therefore, significant group of consumers are
willing to make a special purchase effort. As you can see, the types of consumer
products involve different levels of effort in the purchasing process: the specialty
product requires a special purchase effort but applies only to certain consumers.
Some examples are cars, professional photographic equipment, designer clothes,

39
etc. Consumers tend to make special efforts to purchase this product for instance;
they will have to travel great distances just to purchase the product.
Unsought products are those consumer products that a consumer either does
not know about or knows about but does not consider buying under normal
conditions. Thus, these types of consumer products can only be bought by
consumers under the circumstances that they will be needing it. Mostly, new
innovations are unsought until consumers become aware of the product. Some
examples are life insurance, pre-planned funeral services, etc.
History of the Industry
Goods began to be manufactured on a large scale during the Second
Industrial Revolution in the mid-19th century. Through machines, products can be
made efficiently particularly those that the target market are individuals and
households. Slowly, the consumer goods industry first became well established in
the industrialized world and later, in all parts of the world.
In the mid-1967 to 2012, consumer goods companies became superior
compared to its counterpart sectors. A McKinsey Insights global report presents the
45 years of the industry into four eras, which are: The Golden Age of Growth (1967-
1985), when revenue escalate; The Era of Expansion (1985-2000), when margins
broadened mainly because of low input prices; The Merger and Acquisition Wave
(2000-2007), when revenue increased but the total return to shareholders decreased;
and The Great Recession (2007-2012), when the revenue have limited.
40
Current Situation of the Industry
Nowadays, the use of technology is increasingly being utilized by the
industry to communicate and have a closer interaction with its consumers and more
efficient enterprises. The industry relies on the interactive qualities and cost-
effective benefits of technology. Some of timely situations or examples are
applications regarding the customer relationship management, which collects
information about the customer behavior, in this way; the companies can better
understand their target market for them to increase the sales and their presence in
the market. Also, companies have their own interactive websites where consumers
can have the chance to purchase their products by playing games.
Aside from the use of technology, consumer products industry has seen
opportunities to engage in mergers, acquisitions, or alliances. It provides
advantages like reducing risk when making new products or expanding into new
markets, reach new demographics, increased operating efficiency, reducing capital
outlays, and possible cutting of costs.
Recently, American and European markets become increasingly
competitive and manufacturers of consumer products are revolving towards the
emerging markets in nations like India, China, Russia, Brazil, and Turkey. There
are benefits that can be gained from this but it also has several risks associated with
international production. Emerging markets often play different rules compared to
the developed ones.

41
Future of the Industry
The future of the consumer goods industry expects to get better as demand
is likely to increase due to the longing of consumers for commodities in emerging
retailing markets. Well-established markets of Japan, Western Europe, and the
United States have seen to maintain a steady demand. Consumers find these
products necessary in their lives and tend to continue purchasing them.
One of the growing segments of the industry is the home furniture that is
ready-to-assemble. It reaches a broader, more conventional market with the success
of manufacturers like IKEA International. Also, toiletries and cosmetics are
expected to maintain a constant demand as aging world populations pursue to look
younger. The possible increase in profit margins of the companies is due to the
decrease in prices for commodities that are used to produce these products.
In terms of government regulations, it can become tougher when
implementing rules. The companies can be put under pressure since consumers
nowadays are more aware of health and safety of goods that they will purchase.
Market Analysis
Current Market Situation
At the present time, waterproof and water-resistant products are the most
trends in the market, especially during the rainy seasons. Absorbent cases that
prevent water leakages from rain or moist from water holders and umbrellas still
do not exist in the current market. The currently consumers are very reactive when
it comes to buying an expensive thing that normally they do not use in their daily
42
living. Their buying habit depends on the use or urgently needed. They think of a
long-term use at the same time for a cheaper price. Instead of buying an expensive
yet for long-term use, they usually do some alternatives to prevent water leakages
like using plastics and tissues.
Future of the Market
The future consumers will appreciate having absorbent cases which helps
them to keep away their things from getting wet and at the same time less hassle
during the rainy season.
Competition
Direct and Indirect Competitors
M-PAC is first in the market, making them the first mover. Direct
competitors are businesses that are offering identical or similar products or services.
At present, the product has no direct competitors since it has no identical product.
But, there are indirect competitors that may be considered. Some consumers are
using different types of single-use plastic that only offers temporary convenience.
While there are also other umbrellas come with a pouch or a bag when bought.
Therefore, companies selling umbrellas with a pouch or bag, such as Easymatic and
Fibrella, are indirect competitors.

43
Advantages
Being the first mover, M-PAC can gain a competitive advantage by being
the first in the market. Being first enables the company to establish strong brand
recognition and customer loyalty before competitors enter the market. Also, M-
PAC will have the advantage in setting the market price for the new product and
may have a sustainable advantage when there is a high cost involved for customers
to switch brands later.
Disadvantages
One of the disadvantages of being the first mover in the market is the risk
of products being copied or improved by the new entrants, thereby capturing the
first mover’s share of the market. Also, first movers bear the economic burden of
developing a new market that followers into the market can exploit. The followers
may also be able to examine the processes of the first movers and modify them for
greater efficiency and cost reduction.
MARKETING STRATEGY
Market Segmentation
Geographical Segmentation
Location Manila City
Climate Wet and Dry
Density of the Area Urban

44
Psychographic Segmentation
Personality traits Conscientious
Values and Attitude Meticulous
Social status Class B
Behavior Segmentation
Spending habits Wise spender
Benefits needed Convenience and durable
User status Non-users and prospects
Usage Medium
Market Targeting
M-PAC, Ltd. focuses on consumers within Manila, City who are students
and young professionals whose age are 15 years old and above. The marketing strategy of
M-PAC prefer targeting students from higher education since it is assumed that they have
buying power unlike students in secondary and primary level. Since the business is new
and has no existing customers, it targets non-users and prospect customers. These people
tend to be wise spender since their income is just enough to provide for their basic needs
and wants. One factor that wise spenders consider in purchasing a product is the benefit
that they can gain from it. By this, M-PAC, Ltd.’s product can provide convenience to these
potential customers.
45
Product Differentiation Strategy
Branding Strategy
Attitude branding strategy will be used to brand the product of M-PAC, Ltd.
According to Dessler (2017), attitude branding is about evoking emotions and
feelings. It has everything to do with how the consumers feel about the brand. Like,
how the consumers perceive the product/service in relation to their self-worth,
identity, or even the one they desire to be perceived as a being.
Since the business has no direct competitors, it is not applicable to use the
branding strategy that perceives to be known in terms of social status. Therefore,
the attitude branding strategy that will be applied should make the customers
perceive themselves as a neat and organized person. This feeling is not necessarily
associated with the product. It is about a particular feeling, lifestyle, or personal
identity. Considering Nike, a known shoe brand globally. To their customers,
Nike’s logo indicates the healthy, athletic, and independent lifestyle in the brand
motto, “just do it”.
Physical Differentiation Strategy
The physical differentiation of M-PAC with other products are (a) water
resistant clothing, (b) leak proof cover, (c) your choice of color, and (d) not space
consuming. The type of textile that the business is going to use for the product
achieves water resistant clothing and leak proof cover. The said textile will be tested
in order to have a reliable result for future users of the product. Also, the business
aim to have the best quality in a very reasonable price in consideration with their
46
target market. The choice of color will depend upon the consumer as to correlate
it with their preference and so when they use the product, they will be confident
enough to showcase it whenever they go out. The product will not consume too
much space inside the bag because they can also be carried around. The product is
360 degree absorbent and durable.
Product Packaging
The product will be placed in a plastic that is of the same size of the product
itself to keep away the product from dirt and scratches before delivery to the
retailers and before being bought by the customer.
Product Review
A small sheet of paper will be given to a customer to give a rating on the
product particularly to its specifications. Also, the retail stores in which M-PAC
will also be sold will get a sheet of paper to be added on the data for the product
review. It will help the researchers to improve or develop new product that might
have more uses to the consumers.
Future Products
Through further research and product modifications, this absorbent case can
have more uses and be beneficial to consumers aside from being a water absorber.
Pricing Strategy
To maximize profit, the value-based strategy will be implemented by the
business. In this strategy, costs will be dependent on the price that the customer is
47
willing to pay. According to the survey conducted by the proponents, the customers
are willing to pay a price ranging from 100 – 199. Since the business is the first
mover, it can take the advantage of setting the market price.
Place Strategy
To begin with, direct selling strategy will be implemented in which the
products will be directly sold to customers from the business. Three stores will be
opened to accommodate the target market which is the students as well as the young
professionals. The stores will be located in Ermita, Quiapo, and in Maginhawa,
Quezon City.
Promotion Strategy
To advertise the Multi-Purpose Absorbent Case (M-PAC), direct marketing
strategy will be used. The proponents will be using print ads. These printed
advertisements will contain appealing specifications of the product offered which
will be distributed and disseminated to the target market. Also, another promotion
strategy that will be used by the business is to advertise the product through video
which will feature a lifestyle vlogger. Because nowadays, consumers tend to rely
on product reviews done by YouTube influencers.

48
Marketing Assessment
Target Market Population
As mentioned above, the target market would be the population of students in
known schools of Manila, City as well as young professionals.
Demand Analysis
It is very essential to know the demand of the products to answer the customer
needs and wants. Knowing the demand will help the business determine the trend for the
products. Analyzing the demand thoroughly will give the projection of the total number of
the quantity of each product that are going to produce daily, weekly, monthly and annually.
The business conducted a survey to know the willingness of the market to buy the product.
The survey conducted helped the business to better understand the feasibility of the
product.
Survey Results
Figure 8. Gender
49
Figure 8 shows the respondent’s gender. Based on the gender result, most of
the respondents are female with a result of 62.4% than male respondents with a result
of 37.6%.
Figure 9. Age of the Respondents
Figure 9 shows the respondent’s age. Based on the result, majority of the
respondent’s age ranges from 20-23.

50
Figure 10. Occupation of the Respondents
Figure 10 shows that majority of the respondents were students.
Figure 11. Willingness of the customers to buy
Figure 11 shows that most of the customers are willing to buy an absorbent case
with a percentage of 91.8. Meanwhile, only 8.2% percent of the customers are not
willing to buy an absorbent case.

51
Figure 12. Qualities considered in buying a product
Figure 12 shows that the Quality has the highest percentage (94.1%) which means
that customers look most of this quality when buying. Of all the 6 qualities, the weight of
each product ranked the lowest with a percentage of 32.9.
Figure 13. Amount willing to be paid by the customers

52
Figure 13 shows that the customers are willing to pay an absorbent case with a
price ranging from P 100.00 - P 199.00 with a percentage of 69.4%.
Demand & Supply Analysis
Table 5.
Historical Demand
Capable
% of Potential
% of
Historical willing customers Historical
Year Target Buying Frequency
Population to willing to demand
Market the
use/buy use
Product
2015 134,528 1.00 134,528 91.80% 123,497 1 123,497
2016 226,890 1.00 226,890 91.80% 208,285 1 208,285
2017 190,001 1.00 190,001 91.80% 174,421 1 174,421
2018 179,932 1.00 179,932 91.80% 165,178 1 165,178
2019 138,954 1.00 138,954 91.80% 127,560 1 127,560
The total historical population were gathered in Manila, City. The historical data
were collected from the website of World Population Review. To get the population based
on the target market, the historical population is multiplied by its respective percentage of
target market.
To compute for the percentage of the target market that can afford the product, and
the cost they are willing to spend to the product were considered. Based on these, the
students can afford the product. The population based on target market is multiplied to the
percentage of capable to afford the product to get the total number of individuals in the
target market who can afford the product.

53
To get the percentage of those who are willing to use, the total percentage of the
respondents that are interested in purchasing the M-PAC are considered, wherein 91.8% of
the respondents answered that they are interested in buying the product. To compute for
potential customers willing to use, the number of individuals in the target market who can
afford the product is multiplied to the percentage of those who are willing to use. To get
the percentage of the target market that are willing to try or spend, the percentage of
respondents who are likely to use the product (%) and those who answered likely (%)
totaled %. To get the potential customers that are willing to use and try, the potential
customers that are willing to use and percentage of those who are willing to try/spend are
multiplied.
Lastly, the historical demand is computed as the product of the number of potential
customers who are willing to use and try by the frequency of purchase of each potential
customer.
Demand Projection
There is no method that can be used for organizations to anticipate risks or
uncertainties in the future. Hence, there are two approaches in forecasting demand. First,
by collecting information regarding the buying behavior of consumers from experts or
through conducting surveys. Another approach is using the past data to forecast demand
through statistical techniques.
The approach that was used by M-PAC is the survey method. This encompasses
the purchase plans and intentions of consumers in the future. In this method, the
organization conducts surveys to determine the consumers’ demand for their existing
54
products and anticipate the future demand accordingly. The survey method undertakes
three exercises which are experts’ opinion poll, market experiment method, and delphi
method.
In the case of M-PAC, the market experiment method was used which involves collecting
necessary information with regards to the current and future demand of the product. It
carries out the studies and experiments on consumer behavior in the actual market
conditions. Some areas of markets are selected with similar features such as population,
income levels, cultural background, and tastes of consumers. It is carried out through the
help of changing prices and expenditure, so that the changes in demand are recorded. These
results would be significant for forecasting future demand.

55
Table 6.
Macroeconomic Indicators
Inflation Employment Consumer Historical

Year Population
Rate Rate Price Index demand
2015 134,528 0.70% 93.70% 117.43 123,497
2016 226,890 1.30% 94.50% 119.5 208,285
2017 190,001 2.90% 94.30% 122.9 174,421
2018 179,932 5.20% 94.70% 129.3 165,178
2019 138,954 3% 94.80% 131.0 127,560
Multiple Regression formula:
y = -112.88 + 0.91806x1 + 0.32422x2 + 1.3871x3 + -0.23807x4
where:
y = Forecasted Demand
x1 = Population
x2 = Inflation rate
x3 = Employment rate
x4 = Consumer Price Index
Table 7.
Projected Demand
Inflation Employment Consumer Price Projected

Year Population
Rate Rate Index Demand
2020 139,857 3.27% 94.30% 131.8 128,254
2021 140,765 3.06% 94.63% 125.0 129,089
2022 141,679 3% 94.69% 125.1 129,929
2023 142,599 3% 94.74% 128.8 130,773
2024 143,526 3% 94.74% 132.7 131,622
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Supply Projection
The historical demand for the past five years will help to determine the total number
of customers who are willing to buy the product and how much supply is needed for the
succeeding years. It was shown that 91.8% of the target population is willing to buy the
product. According to historical data, there is an increase in the population of Manila, City.
There is a growth rate of 1.64%.
Table 8.
Projected Supply
% of target
Number of
market Projected
Year Population potential Frequency
willing to Supply
customers
buy
2020 139,857 91.80% 128,388 1 128,388
2021 140,765 91.80% 129,222 1 129,222
2022 141,679 91.80% 130,061 1 130,061
2023 142,599 91.80% 130,906 1 130,906
2024 143,526 91.80% 131,757 1 131,757
GAP Analysis
Gap analysis involves analyzing current market offering to assess the extent to
which they meet customer demands. This is necessary to determine the market share. The
gap is obtained by deducting the projected demand to the projected supply. It also shows
the number of persons whom we need to supply to answer their demand for an absorbent
case.
57
Table 9.
GAP Analysis
YEAR DEMAND SUPPLY GAP

2020 128,254 128,388 134
2021 129,089 129,222 133
2022 129,929 130,061 132
2023 130,773 130,906 133
2024 131,622 131,757 135
Table 8 illustrates that there was a decrease in the gap from 2020 – 2022. However,
in the year 2023, it started to increase by1 from the gap in 2022.
SALES PROJECTION
A sales projection is the amount of revenue a company expects to earn at some
point in the future. To project the sales, the forecasted demand and selling price were used.
The selling price was based on the highest amount that consumers can pay based on survey
results conducted.
Computation of Selling Price
The selling price of our product will be based on the future customers which
resulted to a range of 100 – 199. The management decided to set the price at 199. Since
we don’t have direct competitors, which offers the same with different material, we can
easily set a high selling price.

58
Table 10.
Annual Sales (in Peso Amount)
Year Selling price Quantity Total Sales
2020 199 128,254 25,522,546
2021 199 129,089 25,688,711
2022 199 129,929 25,855,871
2023 199 130,773 26,023,827
2024 199 131,622 26,192,778

59
CHAPTER 4
TECHNICAL ASPECT
This aspect deals with the operation and process of the product. Within this chapter,
the specific business location is stated, materials to be used and the cot per unit, equipment
and furniture to be used.
BUSINESS LOCATION
Figure 14. Vicinity Map
The business will be located at the Prime lot in Sta. Cruz Manila. Santa Cruz is
found at the right side of the Pasig River and the cities beside it are Tondo, Quiapo,
60
Sampaloc, Caloocan and Quezon. It is composed of 82 Barangays and the district it belongs
to is the 3rd congressional district of Manila.
Actual Facade of the Location
Figure 15. Actual Façade of the Location
The above photo of the actual location of the business is at V. Fugoso St, Brgy 311,
District 3, Sta. Cruz, City of Manila. The business will be close to the central market of
Sta. Cruz which will be very advantageous as it is accessible, and the cost of delivery will
be minimized.
61
STORE LOCATION
Three stores will be built to introduce and distribute the product to the market.
Figure 16. Store Location 1
The above picture is the first store that will be opened. It is located at Ermita,
Manila.
The unit measures about 10 sqm in total. The space is just enough to cater the needs of
both the business and the needs of the customers.

62
The above picture shows the location where the second store will be located. It
will be at Quiapo, Manila, in 250 Lourdes Bldg. Globo De Oro Street to be specific. The
place is very suitable to put up a business since it is one of the most visited places in
Manila. There will be a probability that the sales will be high.

63
The above picture shows the third location of the store. It will be at Diliman,
Quezon City. The space also measures around 10 sqm.
FLOOR PLAN OF THE BUSINESS
Figure 19. Manufacturing Layout and Specifications
The manufacturing environment is approximately 82 square meters. The warehouse
will be placed at the upper left corner whereas the finished goods will be placed at the
lower left corner. Each section are located at the middle wherein the cutting/measuring,
embroidery and sewing sections are right alongside the warehouse while the packaging,
quality control and logo finishing sections will be right alongside the finished goods. The
administrative office will be occupying the remaining space of the right corner of the
manufacturing environment.
64
Production Process
Measuring and Cutting

of the cloths • Step 1
Embroidering the name of the

company • Step 2
Sewing of Absorbent cloth and the

case. • Step 3
Finishing/ Combining the

Absorbent cloth and cloth
case • Step 4
Figure 20. Production Process
Production Schedule
Table 11.
Production Schedule
SECTIONS NUMBERS OF EMPLOYEES TIME
CUTTING/MEASURING 2 20 secs.
EMBROIDERY 1 30 secs.
SEWING 8 30 mins.
LOGO FINISHING 1 10 secs.
QUALITY CONTROL 1 10 secs.
PACKAGING 1 10 secs.
The production schedule above illustrates the production activities involved in
manufacturing the product. This includes the sections, the number of employees and the
65
time for each section. The sections are composed of six (6) activities arranged
chronologically such as cutting/measuring, embroidery, sewing, logo finishing, quality
control and packaging with a total of fourteen (14) employees. Working hours starts from
8:00am in the morning and ends at 5:00pm in the evening while the working days are
Mondays to Fridays.
Store Schedule
The M-PAC store will be open from Monday to Friday starting at 8:00 am in the
morning until 5:00 pm in the evening. The store personnel should be in the store before
7:30 am to prepare and clean the store before the customers arrive. Once the customers
chosen their preferred color and design of the product, it should be paid at the cashier
counter.
Production Capacity
Table 12.
Projected Production Capacity
2020 2021 2022 2023 2024
80% 85% 90% 95% 100%
Production 20,000 21,250 22,500 23,750 25,000
Maximum Capacity 25,000 25,000 25,000 25,000 25,000
During the first year of operations, 80% would be the expected production
capacity. Since the business is new, they are also in the process of starting to gain
experience or skills that can help them improve their production in subsequent years of
66
operation. In the fifth year of operation, it is assumed that the business' production will be
in full capacity. By that time, the business had gained substantial experience and skills
which mean that they already have high learning curve rate that is significant to their
production.
Property and Equipment
Figure 21. Embroidery Machine

Embroidery Machine
It is used to create patterns or textiles and in product branding, corporate
advertising, and uniform adornment. It is also used in the fashion industry to decorate
garments and apparel. Machine embroidery is used by hobbyists and crafters to decorate
gifts, clothing, and home decor. Examples include designs on quilts, pillows, and wall
hangings.
Quantity: 2
Useful life: 10 years

67
Figure 22. Sewing Machine
Sewing Machine
It is a machine used to sew fabric and other materials together with thread. Sewing
machines were invented during the first Industrial Revolution to decrease the amount of
manual sewing work performed in clothing companies. The sewing machine has greatly
improved the efficiency and productivity of the clothing industry.
Quantity: 8
Figure 23. Air Condition

68
Air Condition
Air conditioners often use a fan to distribute the conditioned air to an occupied
space such as a building or a car to improve thermal comfort and indoor air quality.
Electric refrigerant-based AC units range from small units that can cool a small bedroom,
which can be carried by a single adult, to massive units installed on the roof of office
towers that can cool an entire building.
Quantity: 2
Figure 24. Chair
Chair
A piece of furniture designed to accommodate one sitting or reclining person,
providing support for the back and often the arms and typically standing on four legs.
Quantity: 14

69
Figure 25. Computer Set
Computer Set
A computer set is s machine that can be instructed to carry out sequences of
arithmetic or logical operations. It also used to accumulate data.
Quantity: 7
Figure 26. Computer Table

70
Computer Table
The computer desk and related ergonomic desk are furniture pieces designed to
comfortably and aesthetically provide a working surface and house or conceal office
equipment including computers, peripherals and cabling for office and home-office users.
Quantity: 7
Figure 27. Office Chair
Office Chair
An office chair, or desk chair, is a type of chair that is designed for use at a desk
in an office. It is usually a swivel chair, with a set of wheels for mobility and adjustable
height.
Quantity: 7

71
Figure 28. Table
Table (for sewing and embroidery machine)
It is a piece of furniture with a flat top and one or more legs, providing a level
surface on which objects may be placed, and that can be used for such purposes as eating,
writing, working, or playing games.
Quantity: 14
Figure 29. Printer

72
Printer
A computer printer is a piece of hardware for a computer. It allows a user to print
items on paper, such as letters and pictures. Mostly a printer prints under the control of a
computer. Many can also work as a copying machine or with a digital camera to print
directly without using a computer.
Quantity:2
Figure 30. Store Cabinet
Store Cabinet
A store cabinet typically with drawers placed one above another one intended for
storing and displaying different kinds of items or products.
Quantity:
Useful life:
73
Figure 31. Portable Receipt Printer
Portable Receipt Printers
Receipt Printers are an important part of point of sale system. They are used to
print credit card slips and customer receipts.
Quantity:
Useful life:
Figure 32. Fan
Ceiling Fan
An electric machine used for ventilating and cooling.
Quantity:
Useful life:
74
Figure 33. Store table
Store Table
A wooden furniture used for exhibiting and showcasing the product.
Quantity:
Useful life:
Annual Depreciation
Depreciation of Machinery and Equipment directly attributable to production
Table 13.
Depreciation of Machinery and Equipment
Name Quantity Anticipated Cost/ Useful Life Depreciation
Unit
Embroidery 2 30,000 10 6,000
Machine
Sewing Machine 8 15,000 10 12,000

Table 14 1,500 10 2,100
Chair 14 300 10 420
Air conditioner 1 40,000 10 4,000
unit
75
Depreciation of Office Equipment and Furniture and Fixtures
Table 14.
Depreciation of Office Equipment and Furniture and Fixtures
Name Quantity Anticipated Cost/ Useful Life Depreciation
Unit
Computer Unit 7 13,490 10 9,443
Computer Table 7 1,500 10 1,050
Printer 1 10,000 10 2,000
Office Chair 7 1800 10 1,260
Air conditioner 1 40,000 10 4,000
unit
Raw Materials
Table 15.
Raw Materials
Material Quantity Unit Cost Total Anticipated
Cost per Unit
Microfiber Cloth 11x12 inch 9.5 9.5
Leak proof Cloth 11x12 inch 2.5 2.5
Glossy Cloth 11x12 inch 1.5 1.5
Thread 2 rolls 24 12
76
CHAPTER 5
FINANCIAL ASPECT
This chapter discussed the financial aspects of the study. This chapter will
determine whether the product will be profitable through the existence of factors that can
directly affect the business. The study projected a five-year financial statement of the
business.
The financial aspect of the study includes the Financial Assumptions, Income
Statement, Statement of Financial Position, Statement of Cash Flows, Statement of
Changes in Equity, and the analysis of Financial Statements.
Financial Assumptions
The following assumptions are made in order to come up with the projected
financial statement of the business for the next five years. The Financial Statements are
prepared and presented in accordance with FRSC Philippines Accounting Standards (PAS
1).
• Kind of Taxpayer
The businesses will be a VAT Registered entity since the projected sales is more
than the P3,000,000 thresholds.

77
Start of the operation of the business
The business will start on January 1, 2020. The accounting period that will be used
is the calendar year. The entity will begin aggregating accounting records on the first day
of January and subsequently stops the accumulation of data on the last day of December.
Sales and Cash
The number of goods sold is based on the projected demand in units from the Direct
Customers. The selling price of P199.00 will be inclusive of VAT. Also, it will be assumed
that the payment received from customer will be all cash. The business will open a bank
account and will deposit all cash receipts and will established petty cash fund worth 50,000.
All disbursements except small disbursements are paid through check.
Table 16.
Projected Demand
Year Population Inflation Employment Consumer Projected
Rate Rate Price Index Demand
2020 139,857 3.27% 94.30% 131.8
128,254
2021 140,765 3.06% 94.63% 125.0
129,089
2022 141,679 3.00% 94.69% 125.1
129,929
2023 142,599 3.00% 94.74% 128.8
130,773
2024 143,526 3.00% 94.74% 132.7
131,622
Cost of Goods Sold, Purchases & Accounts Payable
• Finished Goods, end (Unit & Costs)
The inventory of finished goods (in units) at the end of each year will be
equal to 20% of the next years’ sales.

78
Table 17.
Goods Available for Sale in units
Year 2020 2021 2022 2023 2024 2025
Sold in Units 128,254 129,090 129,929 130,773 131,622 132,477
Finished Goods, end (20%
25,818 25,986 26,155 26,324 26,495 26,495
next year sales)
Total Goods Available for
154,072 155,076 156,084 157,097 158,117 158,972
Sale
The total cost of the ending balance of finished goods will be based on the
total manufacturing cost incurred during the year multiply by the finished goods at
the end of the year divide by the total available for sale.
• Raw Materials, end (Unit & Costs)
The raw materials in units at the end of each year is based on the 30% of
the next year’s production needs. Each unit of output requires three units of raw
materials. The cost of each material is assumed by
Table 18.
Raw Materials
2020 2021 2022 2023 2024 2025

Total Goods Available
154,072 155,076 156,084 157,097 158,117 158,972
for Sale
Beginning Finished
- 25,818 25,986 26,155 26,324 26,495
Goods
Produced in Units 154,072 129,258 130,098 130,943 131,793 132,477
No. materials per
3 3 3 3 3 3
product
Materials Used 462,216 387,773 390,293 392,828 395,379 397,431
Ending Raw Materials 116,332 117,088 117,849 118,614 119,229
Beginning Raw
- 116,332 117,088 117,849 118,614
Materials
Total Purchases in
578,548 388,529 391,054 393,594 395,995
units
Cost of Raw Material 28.50 28.50 28.50 28.50 28.50
Cost of purchases 16,488,619 11,073,088 11,145,036 11,217,417 11,285,846
79
Table 19.
Per Unit Cost of Raw Materials
Unit of raw
Direct Materials
material per Cost per yard
output
Microfiber cloth 0.1 yard 230 23.00
Leak proof cloth 0.1 yard 30 3.00
Glossy Cloth 0.1 yard 25 2.50
Cost of raw materials per unit 28.50
ACCOUNTS PAYABLE
All purchases each year will be credited to Accounts Payable. The regular pattern
of payment of the credit purchases is 60% in the year of purchase and the remainder will
be in the following year.
• Work in Process, end
The business will assume that there will be zero work in process at the end
of each year.
• Direct labor
The direct labor rate will be equal to the minimum wage per day plus the
mandatory benefits that they should receive. The computation of the direct labor cost will
not vary by number of units produced during the year.

80
• Manufacturing Overhead
The computation of the total manufacturing cost will not vary by number of
units produced during the year. The manufacturing overhead will include the following:
1) Indirect Materials – P36,000 per year
2) Indirect labor – P11,250 per month, P1,185 benefits per month
3) Rent Expense – 2/3 of total rent expense (P360,000)
4) Depreciation attributed to production process – P38,680 annually
5) Utilities – 75% of total Utilities (P200,000)
Operating Expenses
All operating expenses except for depreciation will be paid during the month
incurred. Salaries of all managers and employees will be paid semi-monthly.
Distribution Costs
• Sales Salaries - P537 per day per employee
• SSS, Phil-health and Pagibig - P1,198 per employee monthly
• Depreciation of Store Equipment – P9,837 annually
• Advertising – 0.01% of Sales
• Rent (Store) – Places : Ermita - P5,500 per month
: Quiapo - P5,800 per month
: Katipunan – P6,000 per month
Administrative Expense
• Office Salaries - P72,000 per month
• SSS, Philhealth and Pagibig- P7,360 per month

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• Office Supplies – P20,000 per year
• Taxes (Local tax) - 1% of Sales
• Licenses - P22,730 for the first year including SEC Registration Cost and P3,000
for the succeeding years
• Rent Office - 1/3 of total rent expense (P360,000)
• Utilities - 25% of total Utilities (P200,000)
• Depreciation (Office Equipment) – P17,753 annually
Depreciation
The depreciation method that will be used is straight line method with 10 years of
useful life without residual value for all depreciable assets.
INPUT TAX
The input tax arises from acquisition of capital expenditures and purchases of
goods, such as inventories, supplies and indirect material, and services, such as rent,
utilities and advertising.
OUTPUT TAX
Since the entity is VAT-registered, output tax will be charged for every sale of
goods. The selling price of P199.00 is already inclusive of the 12% VAT.
82
VAT PAYABLE
Vat payable arises from the difference of output tax and the input tax. The regular
pattern of payment of VAT payable is 60% in the year of purchase and the remainder will
be in the following year.
Financial Statements
Financial statements are structured financial representation of entity’s
performance. Before the start of January 01, 2020, the partners will contribute P10,800,000
cash and purchase furniture and fixtures, machinery and equipment, and office equipment
and supplies needed in normal operating cycle of the business. Also, a security deposit will
be paid to secure the place that will be used in manufacturing and selling of the product.
83
Projected Statement of Financial Position
M-PAC Ltd.
Pre-Operating Statement of Financial Position
For the Beginning January 01, 2020
ASSETS
Current Assets
Cash P9,988,076
Supplies 20,000
Input tax 81,924
Total Current Assets 10,090,000
Non-Current Assets
Furnitures and Fixtures 96,300
Machinery and Equipment 384,800
Office Equipment 114,430
Store Equipment 67,170
Other Non-Current Asset 47,300
Total Non-Current Assets 710,000
Total Assets P10,800,000
LIABILITIES AND EQUITY
Partners’ Capital P10,800,000
Total Liabilities and Partners’ Equity P10,800,000
84
M-PAC Ltd.
Projected Statement of Financial Position
For the year ended December 31, 2020,2021,2022,2023,2024
YEAR
Note 2020 2021 2022 2023 2024
ASSETS
Current Assets
Cash 1 5,665,489 6,100,515 5,701,162 6,450,115 5,278,361
Supplies 20,000 20,000 20,000 20,000 20,000
Inventory 2 6,244,672 5,910,657 5,944,358 5,978,264 6,007,998
Total Current Assets 11,930,161 12,031,171 11,665,520 12,448,379 11,306,359
Non-Current Assets
Furniture and Fixtures 3 86,670 77,040 67,410 57,780 48,150
Machinery and 4
346,320 307,840 269,360 230,880 192,400
Equipment
Office Equipment 5 102,987 91,544 80,101 68,658 57,215
Store Equipment 6 60,453 53,736 47,019 40,302 33,585
Other Non-Current 12
47,300 47,300 47,300 47,300 47,300
Asset
Time deposits 12,000,000 15,000,000 21,000,000 26,000,000 33,000,000
Total Non-Current
12,643,730 15,577,460 21,511,190 26,444,920 33,378,650
Assets
Total Assets 24,573,891 27,608,631 33,176,710 38,893,299 44,685,009
LIABILITIES AND
EQUITY
Current Liabilities
Accounts Payable 7 7,386,901 4,960,743 4,992,976 5,025,403 5,056,059
Vat Payable 228,971 528,805 532,503 536,219 540,172
Total Liabilities 7,615,872 5,489,549 5,525,479 5,561,622 5,596,231
Partners’ Capital 16,958,019 22,119,082 27,651,231 33,331,677 39,088,778
Total Liabilities and

24,573,891 27,608,631 33,176,710 38,893,299 44,685,009
Partners’ Equity
85
Projected Income Statement
M-PAC, Ltd.
Projected Income Statement
For the year ended December 31, 2020,2021,2022,2023,2024
Notes 2020 2021 2022 2023 2024
Sales 8 22,787,940 22,936,405 23,085,540 23,235,488 23,386,406
Cost of Goods Sold 9 14,551,197 15,714,354 15,490,762 15,490,762 15,563,364
Gross Profit 8,236,743 7,222,051 7,594,778 7,744,726 7,823,042
Expenses
Distribution Cost 10 666,381 666,530 666,679 666,829 666,980
Administrative 11 1,412,342 1,394,458 1,395,950 1,397,451 1,398,961

Total Expenses
2,078,724 2,060,988 2,062,629 2,064,280 2,065,941
Net Income 6,158,019 5,161,063 5,532,149 5,680,446 5,757,101
86
Statement of Changes in Partners’ Equity
MPAC-Ltd.
Statement of Changes in Partners’ Equity
For the year ended December 31,2020,2021,2022,2023,2024
ACEBEDO 2020 2021 2022 2023 2024
Beginning, Capital
Balance 1,840,000 3,071,604 4,103,816 5,210,246 6,346,335
Share in net income
(20%) 1,231,604 1,032,213 1,106,430 1,136,089 1,151,420
Ending, Capital 3,071,604 4,103,816 5,210,246 6,346,335 7,497,756
CAILAO
Beginning, Capital
Balance 1,780,000 2,703,703 3,477,862 4,307,685 5,159,752
Share in net income
(15%) 923,703 774,159 829,822 852,067 863,565
Ending, Capital 2,703,703 3,477,862 4,307,685 5,159,752 6,023,317
LEACHON
Beginning, Capital
Balance 1,780,000 2,703,703 3,477,862 4,307,685 5,159,752
Share in net income
(15%) 923,703 774,159 829,822 852,067 863,565
Ending, Capital 2,703,703 3,477,862 4,307,685 5,159,752 6,023,317
MERCADO
Beginning, Capital
Balance 1,840,000 3,071,604 4,103,816 5,210,246 6,346,335
Share in net income
(20%) 1,231,604 1,032,213 1,106,430 1,136,089 1,151,420
Ending, Capital 3,071,604 4,103,816 5,210,246 6,346,335 7,497,756

PUSAG
Beginning, Capital
Balance 1,780,000 2,703,703 3,477,862 4,307,685 5,159,752
Share in net income
(15%) 923,703 774,159 829,822 852,067 863,565
Ending, Capital 2,703,703 3,477,862 4,307,685 5,159,752 6,023,317

SERRANO
Beginning, Capital
Balance 1,780,000 2,703,703 3,477,862 4,307,685 5,159,752
Share in net income
(15%) 923,703 774,159 829,822 852,067 863,565
Ending, Capital 2,703,703 3,477,862 4,307,685 5,159,752 6,023,317
Total 16,958,019 22,119,082 27,651,231 33,331,677 39,088,778

87
Projected Statement of Cash Flow
M-PAC Ltd.
Projected Statement of Cash Flow
For the year ended December 31,2020,2021,2022,2023,2024
2020 2021 2022 2023 2024

Net Income 6,158,019 5,161,063 5,532,149 5,680,446 5,757,101
Adjustments:
Depreciation 66,270 66,270 66,270 66,270 66,270
Indirect
Input Tax 81,924
Inventories (6,244,672) 334,015 (33,702) (33,906) (29,733)
Accounts payable 7,386,901 (2,426,158) 32,233 32,427 30,656

Vat Payable 228,971 299,834 3,698 3,716 3,952
Increase in cash 7,677,413 3,435,025 5,600,648 5,748,953 5,828,246

Cash, beginning 9,988,076 5,665,489 6,100,515 5,701,162 6,450,115
Transfer in Time
(12,000,000) (3,000,000) (6,000,000) (5,000,000) (7,000,000)
Deposits
Cash, ending 5,665,489 6,100,515 5,701,162 6,450,115 5,278,361
88
Notes to Financial Statements
Note 1: Cash
2020 2021 2022 2023 2024

Cash in Bank 5,615,489.00 6,050,515.00 5,651,162.00 6,400,115.00 5,228,361.00
Petty Cash Fund 50,000.00 50,000.00 50,000.00 50,000.00 50,000.00
Cash 5,665,489.00 6,100,515.00 5,701,162.00 6,450,115.00 5,278,361.00
Note 2: Inventory
2020 2021 2022 2023 2024

Raw Materials 3,315,463 3,337,009 3,358,683 3,380,490 3,398,035
Finished Goods 2,929,209 2,573,648 2,585,675 2,597,774 2,609,963
Total Inventories 6,244,672 5,910,657 5,944,358 5,978,264 6,007,998
Note 3: Furniture and Fixtures
2020 2021 2022 2023 2024

Cost 96,300.00 96,300.00 96,300.00 96,300.00 96,300.00
Accumulated Depreciation 9,630.00 19,260.00 28,890.00 38,520.00 48,150.00
Carrying Value 86,670.00 77,040.00 67,410.00 57,780.00 48,150.00
Note 4: Machinery and Equipment
2020 2021 2022 2023 2024

Cost 384,800.00 384,800.00 384,800.00 384,800.00 384,800.00
Carrying Value 346,320.00 307,840.00 269,360.00 230,880.00 192,400.00
Note 5: Office Equipment
2020 2021 2022 2023 2024

Cost 114,430.00 114,430.00 114,430.00 114,430.00 114,430.00
Carrying Value 102,987.00 91,544.00 80,101.00 68,658.00 57,215.00
89
Note 6: Store Equipment
2020 2021 2022 2023 2024

Cost 67,170.00 67,170.00 67,170.00 67,170.00 67,170.00
Carrying Value 60,453.00 53,736.00 47,019.00 40,302.00 33,585.00
Note 7: Accounts Payable
2020 2021 2022 2023 2024

Purchases 16,488,619 11,073,088 11,145,036 11,217,417 11,285,846
Input Tax 1,978,634 1,328,771 1,337,404 1,346,090 1,354,302
Accounts Payable 18,467,253 12,401,858 12,482,440 12,563,507 12,640,148
Payment 11,080,352 14,828,016 12,450,208 12,531,080 12,609,491
Ending Accounts Payable 7,386,901 4,960,743 4,992,976 5,025,403 5,056,059
Note 8: Vat Payable
2020 2021 2022 2023 2024

Purchases 16,488,619 11,073,088 11,145,036 11,217,417 11,285,846
Rent Store 207,600.00 207,600.00 207,600.00 207,600.00 207,600.00
Supplies 20,000.00 20,000.00 20,000.00 20,000.00 20,000.00
Rent Office 120,000.00 120,000.00 120,000.00 120,000.00 120,000.00
Advertising 22,788 22,936 23,086 23,235 23,386
Indirect
36,000 36,000 36,000 36,000 36,000
Materials
Rent Office 240,000.00 240,000.00 240,000.00 240,000.00 240,000.00
Utilities-
50,000.00 50,000.00 50,000.00 50,000.00 50,000.00
Office
Utilities-
150,000.00 150,000.00 150,000.00 150,000.00 150,000.00
MOH
Purchases 17,335,007 11,919,624 11,991,722 12,064,253 12,132,832.51
12% 0.12 0.12 0.12 0.12 0.12
Input VAT 2,080,201 1,430,355 1,439,007 1,447,710 1,455,939.90
Beginning 81,924
Output Vat 2,734,553 2,752,369 2,770,265 2,788,259 2,806,369
Vat Payable 572,428 1,322,014 1,331,258 1,340,548 1,350,429
Payment 343,457 1,022,179 1,327,560 1,336,832 1,346,477
Ending Vat
228,971 528,805 532,503 536,219 540,172
Payable
90
Note 9: Sales
2020 2021 2022 2023 2024

Selling Price (Exclusive of
177.68 177.68 177.68 177.68 177.68
VAT)
128,254 129,090 129,929 130,773 131,622
Multiplied by: Units Sold
Sales 22,787,940 22,936,405 23,085,540 23,235,488 23,386,406
Note 10: Cost of goods sold

2020 2021 2022 2023 2024
Beginning Raw
- 3,315,463 3,337,009 3,358,683 3,380,490
Materials
Purchases 16,488,619 11,073,088 11,145,036 11,217,417 11,285,846
Total available for use 16,488,619 14,388,550 14,482,045 14,576,100 14,666,337
Ending Raw Materials 3,315,463 3,337,009 3,358,683 3,380,490 3,398,035
Raw Materials Used 13,173,156 11,051,542 11,123,362 11,195,609 11,268,302
Direct Labor
Salary Expense 3,350,880 3,350,880 3,350,880 3,350,880 3,350,880
Benefits 342,475 342,475 342,475 342,475 342,475
Total Direct Labor 3,693,355 3,693,355 3,693,355 3,693,355 3,693,355
Manufacturing overhead
Indirect Materials 36,000 36,000 36,000 36,000 36,000
Indirect Labor 149,216 149,216 149,216 149,216 149,216
Rent Expense 240,000 240,000 240,000 240,000 240,000
Depreciation-
Production 38,680 38,680 38,680 38,680 38,680
Equipment
Utilities 150,000 150,000 150,000 150,000 150,000
613,896 613,896 613,896 613,896 613,896
Total Manufacturing
17,480,407 15,358,793 15,430,613 15,502,860 15,575,552
Cost/Available for Sale
Finished Goods, Beginning - 2,929,209 2,573,648 2,585,675 2,597,774
Finished Goods, Ending 2,929,209 2,573,648 2,585,675 2,597,774 2,609,963
Cost of Goods Sold 14,551,197 15,714,354 15,418,585 15,490,762 15,563,364
91
Note 11: Distribution Costs
2020 2021 2022 2023 2024

Sales Salaries 386,640 386,640 386,640 386,640 386,640
SSS,Philhealth and Pagibig 39,516 39,516 39,516 39,516 39,516
Depreciation-Store
9,837 9,837 9,837 9,837 9,837
Equipments
Advertising 22,788 22,936 23,086 23,235 23,386
Rent-Store 207,600 207,600 207,600 207,600 207,600
Total Distribution Cost 666,381 666,530 666,679 666,829 666,980
Note 12: Administrative Expenses
2020 2021 2022 2023 2024

Office Salaries 864,000 864,000 864,000 864,000 864,000
SSS,Philhealth and
88,320 88,320 88,320 88,320 88,320
Pagibig
Office Supplies 20,000 20,000 20,000 20,000 20,000
Taxes (Local tax) 227,879 229,364 230,855 232,355 233,864
Licenses 22,370 3,000 3,000 3,000 3,000
Rent Office 120,000 120,000 120,000 120,000 120,000
Utilities 50,000 50,000 50,000 50,000 50,000
Depreciation - Office
17,753 17,753 17,753 17,753 17,753
Equipments
Total 1,412,342 1,394,458 1,395,950 1,397,451 1,398,961
Note 13: Other Non-Current Assets
The other non-current assets are security deposits of the rent that business use for
operations. Under PFRS 16, it will be small amount used as an operating lease.
92
Ratio Analysis
A. Profitability Ratio
Table 20.
Gross Profit Margin
2020 2021 2022 2023 2024
Gross Profit 8,236,743 7,222,051 7,594,778 7,744,726 7,823,042
Sales 22,787,940 22,936,405 23,085,540 23,235,488 23,386,406
Gross Profit
36% 31% 33% 33% 33%
Margin
This table represents the Gross Profit Margin which may be used by M-PAC, Ltd.
to assess its financial health and it is important for the company to show whether the
company sales can cover their costs. It also illustrates on how good a company is at creating
a product or providing a service compared to its competitors every year. It is calculated by
Sales minus Cost of Goods Sold over Net Sales. The higher the percentage, indicates that
the company is in good financial health and it is efficient in manufacturing and distribution
processes. A lower percentage indicates the company has a higher supplier cost, lower
prices and intense competition.
Table 21.
Net Profit Margin
2020 2021 2022 2023 2024
Net Profit 6,158,019 5,161,063 5,532,149 5,680,446 5,757,101
Sales 22,787,940 22,936,405 23,085,540 23,235,488 23,386,406
Net Profit
27% 23% 24% 24% 25%
Margin
The net profit margin, also known as net margin, indicates how much net income
a company makes with total sales achieved. A higher net profit margin means that a
93
company is more efficient at converting sales into actual profit.Net margin includes all
the factors that influence profitability whether under management control or not. The
higher the ratio, the more effective a company is at cost control.
Table 22.
Return on Assets
2020 2021 2022 2023 2024
Net Profit 6,158,019 5,161,063 5,532,149 5,680,446 5,757,101
Total Assets
24,573,891 27,608,631 33,176,710 38,893,299 44,685,009
Return on
25% 19% 18% 15% 13%
Assets
The Return on Assets ratio (ROA), often called the return on total assets, is a
profitability ratio that measures the net income produced by total assets during a period
by comparing net income to the average total assets. The return on assets ratio or ROA
will help M-PAC, Ltd. to measure how efficiently they can manage their assets to
produce profits during a period and see how well the company can convert its
investments in assets into profits. In short, this ratio measures how profitable a company's
assets are.
As shown in Table 26, the Return of Assets of M-PAC steadily rises. This shows that
the business effectively manages its assets to generate profit

94
Table 23.
Return on Equity
2020 2021 2022 2023 2024
Net Profit 6,158,019 5,161,063 5,532,149 5,680,446 5,757,101
Total Equity
16,958,019 22,119,082 27,651,231 33,331,677 39,088,778
Return on
37% 24% 20% 17% 15%
Equity
The Return on Equity ratio (ROE) is a measure of the profitability of a business in
relation to its equity. This ratio is used in the industry for comparing the performance of
companies in the same industry. It is also a measure of the management’s ability to generate
income from the equity available to it. In application to this study, this ratio will help M-
PAC Ltd. to aid in its growth.
B. Liquidity Ratio
Table 24.
Current Ratio
Current Assets
11,930,161 12,031,171 11,665,520 12,448,379 11,306,359
Current
Liabilities 7,615,872 5,489,549 5,525,479 5,561,622 5,596,231
Current Ratio 1.57 2.19 2.11 2.24 2.02
Current ratio is a liquidity ratio that measures a company’s ability to pay short-term
obligations or those due within one year. It tells investors and analysts how a company can
maximize the current assets on its balance sheet to satisfy its current debt and other
payables.
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C. Activity Ratio
Table 25.
Total Asset Turnover
2020 2021 2022 2023 2024
Sales 22,787,940 22,936,405 23,085,540 23,235,488 23,386,406
Total Assets
24,573,891 27,608,631 33,176,710 38,893,299 44,685,009
Total Asset
1.08 1.20 1.43 1.67 1.91
Turnover
The table above shows the turnover asset ratio which is a measure of the
efficiency of the company’s use of its assets in generating sales revenue of the company.
Payback Period
Table 26.
Payback Period
Payback period
Initial 10,800,000 Net Cumulative
Investment Cashflow
2020
7,677,413
7,677,413
2021 11,112,438
3,435,025
One year (1) year and five (9) months.
The table above shows the time required to earn back the amount invested in an
asset from its net cash flows. It is a simple way to evaluate the risk associated with a
proposed project. It shows that the business will earn back its investment in 1 year and 9
months.
96
Break-even Point Analysis
Table 27.
Break-Even Point
Total Fixed Cost 6,385,974
Contribution Margin per unit 170.50
Break-even point in units 37,454 units
The table above illustrates the calculation of the amount of sales that equates
revenues to expenses and the amount of excess revenues, also known as profits, after
the fixed and variable costs are met.
M-PAC, Ltd will need to sell 37,454 units in order to compensate the fixed costs to
be acquired. Any point after the break-even point will result to an income or a gain.
97
CHAPTER 6
SOCIAL DESIRABILITY
The main objective of this study is to determine the feasibility of a proposed plan
to establish a manufacturing business located in Sta. Cruz, Manila that will cater customers
and retailers. Aside from this, the study will also be able to show to the proponents of this
project as to the advantages that can be obtained from an undertaking in terms of its
contribution to the community, to consumers, and employees.
Government Revenues
Through the establishment of a new manufacturing business, M-PAC Ltd., it can
contribute to the development of the economy in our country by increasing the taxes paid.
The partnership is subject to a 3% percentage tax under sections 116 to 127 of the Tax
Code. Furthermore, taxes paid will also increase by means of the increase of people who
are employed in the society.
Consumers
By being profitable of the business, it means that it is possible that the production
may increase. If the production will increase, it can cater the demand of the consumers that
may also lead to the continuous supply of their needs from the product.
98
Employees
New businesses usually break even in the first year of operations but as per this
project, it exceeds its breakeven which means that it is profitable. It is expected that with
the positive outcome for the first year of operations, the business would increase its
production. By this, twenty-one (21) persons is needed and can be employed and earn
money. It would go back to the benefit it can give to the government which taxed paid can
also increase if more people are earning.

99
References
Careerizma. (2019) Consumer Goods Industry in India & Abroad. Retrieved from
http://www.careerizma.com/industries/consumer-goods/
Renner, B. (2019) 2019 Consumer Products Industry Outlook: Technology’s role in

Consumer-Packaged Goods (CPG) trends. Retrieved from
https://www2.deloitte.com/us/en/pages/consumer-business/articles/consumer-
products-industry-outlook.html?icid=inline_link_industryoutlook_cbcp_021116
Claessens, M. (2017) 4 Types of Consumer Products: CONVENIENCE, SHOPPING,

SPECIALITY AND UNSOUGHT PRODUCTS. Retrieved from https://marketing-
insider.eu/4-types-of-consumer-products/
Nakajima, T., Kajiwara, K. (1994) Advanced Fiber Spinning Technology. Retrieved from
https://books.google.com.ph/books?id=sxUsqJQUKY0C&lpg=PA187&pg=PA18
2#v=onepage&q&f=false
100
Appendices
Sample Survey Questionnaire (Direct Customers)
Dear Respondents,
Good day!
We are 4th year BS Accountancy students of La Consolacion College Manila, and we are
currently conducting a feasibility study with our proposed product named “M-PAC”, an
absorbent case that prevents water leakage. Your individual responses will remain
confidential and shall be used for academic purposes only. Thank you and God bless!
Name (Optional):__________________
Kindly write a check mark (√) in the space provided that corresponds to your answer.
1) Gender:
__ Female
__ Male
2) Age:
__ 12-15
__ 16-19
__ 20-23
__ 24 and above
3) Occupation:
__ Student
__ Employed
__ Unemployed
4) Do you experience difficulty whenever your umbrella is wet and/or your

tumbler moist?
__ Yes
__ No
101
5) Do you prefer to use the current/existing cover of your umbrella or tumbler?
__ Yes
__ No
6) Are you willing to buy an Absorbent Case ?
__ Yes
__ No
7) If yes, how much are you willing to pay an Absorbent Case?
__ P 100 - 199
__ P 200 - 299
__ P 300- 399
__ More than P400
8) What is your preferred color in buying our product?
__ Blue
__ Red
__ Pink
__ Violet
__ Others: ______
9) What do you consider in buying a product?
__ Quality
__ Price
__ Size
__ Weight
__ Durability
__ Flexibility
102
10) Where would you prefer to purchase our product?
__ Online
__ Physical store
__ Directly from the manufacturer
103
ARTICLES OF PARTNERSHIP
Articles of Partnership
Of
M-PAC LTD.
KNOW ALL MEN BY THESE PRESENTS:
That we, the undersigned partners, all of legal age, residents and
citizens of the Republic of the Philippines, have on this day voluntarily
associated ourselves together for the purpose of forming a general
partnership under the terms and conditions herein set forth and subject to
the existing and applicable laws of the Republic of the Philippines.
AND WE HEREBY CERTIFY:
ARTICLE I. That the name of this Partnership shall be M-PAC
Ltd,. and shall transact business under the said company name.
ARTICLE II.That the purpose/s for which this partnership is
formed is/are:
(a) To promote a new product in the market.
(b) To be the pioneer producer of multi- purpose absorbent case in the
country.
ARTICLE III. That the principal place of business of this
partnership shall be located V. Fugoso St, Brgy 311, District 3, Sta. Cruz,
City of Manila.
104
ARTICLE IV. That this partnership shall have a term of 50 years
renewable from and after the original recording of its Articles of Partnership
by the Securities and Exchange Commission.
ARTICLE V.That the names, citizenship, residence and
designation of the partners of said partnership are as follows:
NAME CITIZENSHIP RESIDENCE DESIGNATION
ACEBEDO, GESSELLE FILIPINO BATANGAS Limited Partner
CAILAO, ALLIAH FILIPINO LAGUNA General Partner
LEACHON, ANGELICA FILIPINO CAVITE General Partner
MERCADO, DIANNE T. FILIPINO BATANGAS Limited Partner
PUSAG, JIM FILIPINO BATANGAS General Partner
SERRANO, ANA FILIPINO CAVITE General Partner

105
ARTICLE VI.That the capital of this Partnership shall be the
amount of three million pesos (P 1,200,000.00), Philippine Currency,
contributed in cash by the partners, as follows:
NAME AMOUNT CONTRIBUTED
ACEBEDO, GESSELLE P 240,000.00
CAILAO, ALLIAH P 180,000.00
LEACHON, P 180,000.00
ANGELICA
MERCADO, DIANNE T P 240,000.00
PUSAG, JIM P 180,000.00
SERRANO, ANA P 180,000.00
That no transfer of interest which will reduce the ownership of
Filipino citizens to less than the required percentage of capital as provided
by existing laws shall be allowed or permitted to be recorded in the proper
books of the partnership.
ARTICLE VII.That the profits and losses of this partnership shall
be divided and distributed proportionately on the ratio of the capital
contribution of each partner.
ARTICLE VIII. That the partnership shall be under Ms. Angelica
Leachon as General Manager, who shall be in charge of the management
of the affairs of the company. He shall have the power to use the partnership
name and in otherwise performing such acts as are necessary and expedient
in the management of the firm and to carry out its lawful purposes.
106
ARTICLE IX.That the partners undertake to change the name of
this partnership, as herein provided or as amended thereafter, immediately
upon receipt of notice or directive from the Securities and Exchange
Commission that another corporation, partnership or person has acquired a
prior right to use of that name or that the name has been declared as
misleading, deceptive, confusingly similar to a registered name, or contrary
to public morals, good customs, or public policy.
IN WITNESS WHEREOF. We have hereunto affixed our
signatures this 5th day of September, 2019 at Unit 311 Dona Carmen 2ND St.
Mendiola, Metro Manila
GESSELLE ACEBEDO ALLIAH CAILAO

TIN: 009-123-456 TIN: 009-789-101
ANGELICA LEACHON DIANNE MERCADO

TIN: 009-234-567 TIN: 009-891-012
ANA SERRANO
JIM PUSAG TIN: 009-910-123
TIN: 009-345-678
107
ACKNOWLEDGEMENT
REPUBLIC OF THE PHILIPPINES }
CITY OF MANILA } S. S.
BEFORE ME, a Notary Public, for and in Manila City, Philippines,
this 4th day of January, 2019, personally came and personally appeared the
following persons with their Community Tax Certificates as follows:
NAME CTC # DATE PLACE ISSUED
Gesselle Acebedo 23312341 09/05/2019 BATANGAS
Alliah Rozea Cailao 24567259 09/05/2019 LAGUNA
Dianne Mercado 2688514 09/05/2019 BATANGAS
Angelica Mae Leachon 25621645 09/05/2019 CAVITE
Jim Pusag 25621643 09/05/2019 BATANGAS
Ana Patricia Serrano 25618653 09/05/2019
CAVITE
Known to me to be the same persons who executed the
FOREGOING ARTICLES OF PARTNERSHIP, and they
acknowledged to me that the sameis their voluntary act and deed.
WITNESS MY HAND AND SEAL on the date first above
written.
YANESAH TUMAMBING
Notary Public
Valid Until December 31, 2022
PTR No.8897465
108
IBP No.02334
Roll of Attorney No.35897
LEASE AGREEMENT
(Republic of the Philippines S.S.)
KNOW ALL MEN BY THESE PRESENTS:
This Contract of Lease executed and entered into by and between:
_________________, Filipino, of legal age, married, with residential

addressat_______________________, Philippines, hereinafter referred to as the
„LESSOR
And
M-PAC Ltd., a limited duly formed under the laws of the Philippines and
engaged in Dianne T. Mercado, with authorized representative, Filipino, of legal
age, single/married, with residence at Banay Banay Lipa City Batangas,
hereinafter referred as the “LESSEE’
TERMS AND CONDITIONS
1. PREMISES- LESSOR hereby leases to LESSEE and LESSEE hereby

leasesfrom LESSOR approximately _____________ (__) square meters
more or less of
total land area, as is improvement, Door ___, situated in
__________________________ which shall be referred to as the
“Premises”.
2. USE OF THE PREMISES- The Lease is for the purpose of

operating a
commercial or retail business which the corporation is engaged in. The

LESSEE, at his own expense may put up improvements upon prior
consultation and written approval of the LESSOR within the premises
hereby leased for the purpose of storage, retail, wholesale and commercial
in nature and not for any purpose whatsoever. It is being expressly agreed
that if, at any time during the existence of this lease and without the previous
written consent of the LESSOR, the said premises are used for the purposes
other than what is
stated, the LESSOR has the option of either terminating the lease or
collecting increased rental as deemed appropriate from the date of diversion
109
of use of the premises or to compel the LESSEE to stop the unapproved

activity.
3. TERM OF THE LEASE- The term of this Lease Contract is for a

period
of _________(___) years, renewable for an Unspecified duration at terms
mutually Agreeable to both parties,
commencing on _____________________ and Ending at midnight
of_____________________, In case of pre-termination by the lessee, for

any reason whatsoever, the LESSOR has the right to collect any remaining
rentals corresponding to the unexpired portion of the LEASE period, or
until such time a new LESSEE comes.
This LEASE shall not be deemed extended or renewed beyond the period time
above-mentioned for any cause or reason whatsoever and unless the parties agree
in writing to extend or renew or enter into a new Contract to Lease upon such terms
and conditions acceptable to them, the possession of the Premises by the LESSEE
or any persons claiming rights through the LESSEE, after the expiration of the term
thereof, shall be illegal.
Any renewal or extension of this Contract must be expressly agreed upon

by the LESSOR and LESSEE in writing and under no circumstances can such
renewal or extension be considered as having made impliedly.
For this purpose, the LESSEE shall notify the LESSOR to the latter’s
office in writing, of this intent to renew or extend the Contract at least sixty (60)
calendar days prior to the expiration of the Leased period, or any extension or
renewal thereof, provided, however, that the notice as aforesaid does not in any way
vest unto theLESSEE the right to demand for such extension or renewal of the
Lease Period or any renewal or extension thereof.
a) PENALTIES- Payment made after the said date shall be subject to a penalty
chargeof5% per month.
b) WITHOLDING TAX- The LESSEE shall furnish the LESSOR with the original
and twocopies of its certificate of creditable income tax withheld at source BIR
Form 2307, not later than 5 days after the end of each month. Failure to submit the
documents shall authorize the LESSOR to automatically add amount to the billing.
110
c) BOUNCING CHECKS- Issuance of checks with no sufficient funds for three (3)
instancesshall compel the LESSEE as having pre terminated the contract and as
such the security deposit shall be considered forfeited in favor of the LESSOR.
d) NON-PAYMENTS OF RENTS- Failure of the LESSEE to pay the rentals herein

agreedupon for two (2) consecutive months shall be ground for termination of this
Contract of Lease and upon which the LESSEE obligates itself to vacate and clear
the premises in such tenantable conditions without need of notice from LESSOR.
5. SECURITY DEPOSIT and ADVANCE- upon signing of the Contract of

Lease, the LESSEE shall make a 30,000 security deposit and
advance rental in the total amount
of _Thirty Thousands (Php _30,000_____.00) Philippine
Currency for the full and faithful performance of each and every term,
provision, covenant, and condition of this lease, except that said deposit
shall not constitute or substitute payment of any rent.
The deposit, which is non-interest bearing, shall remain intact during the
entire term of this lease and shall not be applied as payment for any
monetary obligations of the LESSEE under this contract, and shall be
refunded to the LESSEE upon completion of the lease.
a) The amount deposited shall answer for any unpaid accounts of the LESSEE at the
expiration of the contract as well as for any damages which the LESSORor any
of its employees, agents or guests might suffer by reason of the wrongful acts or
actuation, negligence, and or malfeasance of the LESSEE. It shall not be applied
to pay for the last months of occupancy of the premises.
b) Any unappropriated amount of such deposit shall be refundable to theLESSEE

within sixty (60) days from the termination of the contract.
c) In the event that the LESSEE terminates its contract before its term expires, the
deposit shall be deemed forfeited and refundable, regardless of the reason for its
pre-termination and whether a sixty-day notice was given or not.
d) The LESSEE shall pay an advance payment equivalent and applicable to

thetwelve (12)
monthswithpost dated check dated every_____thof the month of the lease starting
_____________________ or ______ days after signing of contract. The one (1)
monthadvance rental is applicable on the 12th month of the year of contract.
Subsequentpost-dated check payments shall be collected by the LESSOR on an
annual basis on the first month of the next subsequent year.
111
6. SUBLEASE AND OR TRANSFER OF RIGHTS- The LESSEE shall

not directlyor indirectly assign, sublease, sell, transfer, convey, mortgage,
demolish or in any manner dispose of or encumber its right under the
contract in whole or in part or any interest thereto be conferred on anyone.
7. RIGHT TO INSPECT LEASED PREMISES- The LESSOR or its authorized

agent shall, by previous notice to the LESSEE, have the right to enter the leased
premises at any reasonable hour of the day to examine the leased premises.
8. CARE OF THE LEASED PREMISES- The LESSEE shall examine the Leased
Premises before taking possession thereof, and LESSEE‟s entry into possession
shall constitute conclusive evidence or admission by the LESSEE that as of the date
thereof, the said Premises were in good order and satisfactory tenantable condition.
The LESSEEhereby binds itself to keep and maintain the same in such condition as
a prudent person shall do under the circumstances, ordinary wear and tear expected.
TheLESSEE shall at its own expense, improve and maintain the Leased Premises
clean and free from rubbish and dirt at all times, store all trash and garbage in proper
containers and not burn any trash and garbage in or about the Leased Premises or
anywhere within the Premises.
9. SECURITY & SANITATION- The LESSOR shall ensure the security of the
premises and provide a security guard for the whole commercial establishment
where the leased premises are located. The LESSOR must also ensure regular
collection of garbage through the barangay garbage collector or any private entity
which shall be to the account of LESSOR. The LESSOR also agrees to make the
septic tank of the leased premises bigger in order to accommodate more waste
volume in anticipation of more customers using the toilet.
10. INSURANCE TAKEN BY THE LESSEE- The LESSEE shall be required to

insure at his own account any LESSOR approved permanent structure or structures
constructed within the premises with the LESSOR as co-benefactor against fire or
total loss of property. The LESSEE although not required, is also allowed and
authorized to insure its own property taken inside the leased premises, provided
that the LESSOR shall be notified in advance of any and all kinds of insurance over
the property therein.
11. BUSINESS PERMITS, TAXES, AND COMPLIANCE AND

GOVERNMENT REGULATIONS- The LESSEE shall be responsible for
securing all the necessary governments permits and licenses for the operation of its
business and all costs thereof shall be its sole account. Copies of the said permits
112
and licenses or any renewal date thereof shall be furnished to the LESSOR not later
than fifteen (15) days from the start of the LESSEE‟s business and every renewal
date thereof as required by law.
12. INTRODUCTION OF PERMANENT IMPROVEMENTS- No permanent or

fixed improvements shall be introduced by the LESSEE on the leased premises
unless with prior written consent and approval of the LESSOR. Any such
permanent structures, if approved and allowed, shall be upon the option of the
LESSOR registered under the co-ownership of both LESSEE and LESSOR.
Furthermore, the LESSEE shall bear the full cost of the annual real estate taxes of
such structures until expiry of lease contract and full cost of transfer of ownership
to LESSOR upon termination of contract;
13. UTILITIES AND SERVICES- The LESSEE shall be responsible for the
installation and maintenance costs of its own electric current, telephone, water,
security and other utilityservices in the Leased Premises for the duration of the
lease. The LESSEE shall also clear all accounts with all concerned utility
companies upon pre-termination or expiration of contract.
14. REVISION OF LEASE CONTRACT- Both parties may revise this lease
contract after six
(6) months to one (1) year in the event that LESSEE assigns the business with a
newly-registered business name.
LESSOR:
LESSEE:
_________________
___________________
Signed in the presence of:
___________________
____________________
113
ACKNOWLEDGEMENT
BEFORE ME, a Notary Public for and in the Cities and Province of
_______________ this _______________ at ______________________
personally appeared.
Name ID/Comm. Tax Cert. No. Date & Place
_________________ _________________ ______________
__________________ _________________ _______________
Known to me and to me known to be the same persons who executed the

foregoing Contract of Lease consisting of __ pages including this page of the
acknowledgement and they acknowledge to me that the same is their free and
voluntary act and deed.
WITNESS MY HAND AND NOTARIAL SEAL on the date and in the

place first above written.
Doc No. _____; NOTARY PUBLIC
Page No. _____;
Book No. _____;
Series of 2019;
114
GESSELLE P. ACEBEDO
#36 Muzon 1st Alitagtag, Batangas
Mobile No.: 09309170774 / 09971282995
Email address: gesselle.acebedo@yahoo.com
CAREER OBJECTIVE
A recent graduate outfitted with a Bachelor of Science in Accounting Technology and seeking a
full-time position in the field of accounting or finance, where I can apply my knowledge and
skills for continuous of myself and the company. Extreme attention to detail and ability to
multitask within fast-paced environments.
PERSONAL INFORMATION
Date of birth: February 07, 1998 Place of birth: Alitagtag, Batangas

Age: 21 Gender: Female
Nickname: Gesselle
Mother: Gleceria Acebedo (+)
Father: William Acebedo
Religion: Roman Catholic
EDUCATIONAL ATTAINMENT
Tertiary Education
2019 – Present
La Consolacion College Manila
Manila City, Philippines
2014 – 2018
BS Accounting Technology
De La Salle Lipa
J.P. Laurel National Highway, Mataas na Lupa, Lipa City, Batangas
Secondary Education
2010 – 2014
Fame Academy of Science and Technology
Calle A. De Las Alas, Taal, Batangas
Primary Education
2004 – 2010
115
Sta. Teresa College

Bauan, Batangas
WORK EXPERIENCE
Yazaki-Torres Manufacturing Inc.

Calamba City, Laguna
Accounting Staff
August 2018 – July 2019
116
ALLIAH ROZEA H. CAILAO

#0628 J.P. Luna Street Barangay Bitin Bay, Laguna
Mobile No.: 09953319063
Email address: alliahrozeacailao@gmail.com
CAREER OBJECTIVES
Learn new things while working.

Have stable job.
Develop and improve my skills.
Organized and motivated employee able to apply time management and organizational
skills in various environments. Seeking to join your company as an administrative
assistant to help ensure good internal communications and budget management.
Date of birth: August 30, 1999 Place of birth:

Nickname:
Mother: Emelita Cailao
Father: Bernardo Cailao
Religion:
Tertiary Education
2019 – Present
2015 - 2019
De La Salle-Lipa (DLSL)
Accounting Technology
J.P. Laurel National Highway, Mataas na Lupa, Lipa City, Batangas
Secondary Education
2011 – 2015
St. Tomas Academy
Sto Tomas, Batangas
117
Elementary Education
WORK EXPERIENCE
Lipa City Hall

On-the-Job Trainee
118
ANGELICA MAE B. LEACHON

70 Barangay Lallana, Trece Martires City, Cavite
Mobile No.: (+63) 9771896941
Email address: angelicamaeleachon@gmail.com
CAREER OBJECTIVES
To contribute my existing knowledge, skills and experience to a partnership which will allow me
to grow professionally and as an individual.
Date of birth: June 28, 1999 Place of birth: Tanza, Cavite

Nickname: Angge
Mother: Leila Leachon
Father: Nelson Leachon
Tertiary Education
2019 – Present
Year graduated: 2019

Bachelor of Science in Business Administration major in Management Accounting with
specialization track in Business Analytics
De La Salle University – Dasmariñas
Dasmariñas City, Cavite
Secondary Education
Immaculate Concepcion Academy – South Campus
Dasmarinas City, Cavite
Primary Education
Sto. Nino de Praga Academy
119
Trece Martires City, Cavite
WORK EXPERIENCE
Intern – Finance Department

Macrologic Diversified Technologies, Inc.
3F Macrologic Corporate Centre, 9054 Molino Road, Brgy Molino 3, Bacoor City Cavite
January 2019 – May 2019
120
DIANNE T. MERCADO
0432 Banany-Banay San Vicente Ferrer Lipa City, Batangas, Philippines
Tel. No.: (043) 774-2030
Mobile No.: 09063245416
Email Address: diannemercado090597@gmail.com
Skills summary:
• Sufficient knowledge in Financial Accounting and Cost Accounting
• Proficient in using Microsoft Office application particularly MS Word, MS PowerPoint

and MS Excel
• Have a knowledge on using Systems, Applications and Products(SAP) Business One and
QuickBooks
• Effective and excellent communicator in both written and oral
• Flexible team player, responsible, detail-oriented, organized and ethical
Educational Background:
Tertiary Bache,lor of Accountancy
8 Mendiola St., Manila
2019-Prensent
Bachelor of Science in Accounting Technology

De La Salle Lipa (DLSL)
1962 J.P. Laurel National Highway, Lipa City, 4217
2014-2018
Secondary Holy Trinity School

Mataas na Kahoy, Batangas
S.Y. 2010-2014
Work Experience
Company Name Position No. Years

Going Concern Business Consulting & Accounting Associate September 2018- June
Accountants 2019
Lipa City Hall Accounting Associate June 2017- July 2017
I hereby certify that the above information is true and correct to the best of my knowledge and
belief.
121
__________________
Dianne T. Mercado
JOHN ISAIAH MARCO F.

PUSAG
148 San Nicolas St., Barangay Balintawak, Lipa City, Batangas,
Mobile No.: (+63) 9398891010
Email address: jimpusag05@gmail.com
CAREER OBJECTIVES
To contribute my existing knowledge, skills and experience to a partnership which will allow me
to grow professionally and as an individual.
Date of birth: October 5, 1997 Place of birth: District Hospital, Lipa City
Age: 22 Gender: Male
Nickname: Jim
Mother: Mary Grace Pusag
Father: Emmanuel Pusag
Religion: Church of God
Tertiary Education
Bachelor of Science in Accounting Technology
De La Salle Lipa (DLSL)
1962 J.P. Laurel National Highway, Lipa City, 4217
2014-2019
Secondary Education
St. John’s Wort Montessori School of Lipa
Purok 6 Brgy. Malalim na Lodlod, Lipa City, Batangas 4217
S.Y. 2010-2014
Primary Education
Sa Talinong Bulilit Bahay Eskwela
2004-2010
122
WORK EXPERIENCE
On-the-Job Trainee
Lipa City Hall
June 2018 – July 2018
ANA PATRICIA R. SERRANO

Block 4 Lot 7 & 8, Prima Homes Subd. Alapan 1-C City of Imus, Cavite
Mobile Phone: 0936-383-8017
E-mail Address: tingserrano1109@gmail.com
CAREER OBJECTIVES
To utilize my knowledge and be an asset to the partnership's success.

.
Date of birth: November 9, 1998 Place of birth: Dasmariñas, Cavite

Nickname: Ana
Mother: Maria Magdalena Serrano.
Father: Rico Serrano
Tertiary Education
8 Mendiola St., Manila 1005
2019-Present
De La Salle University-Dasmariñas
Bachelor of Science in Business Administration Major in Management Accounting
DBB-B, 4115 West Ave, Dasmariñas, Cavite
2015-2019
Secondary Education
Del Pilar Academy
General E Topacio St, Imus, 4103 Cavite
2011-2015
123
Primary Education
St. Martha Kiddie Training Center
Prima Homes, Subd. Alapan 1-C, Imus Cavite
2005-2011
WORK EXPERIENCE
On-the-job Trainee
Ronaldo Barleta, CPA Accounting Firm
Dasmarinas, Cavite

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LA CONSOLACION COLLEGE MANILA

MULTI-PUPROSE ABSORBENT CASE

The Faculty of Business and Accountancy

La Consolacion College of Manila

of the Requirements for the Degree

Bachelor of Science in Accountancy

ALLIAH ROZEA H. CAILAO

ANGELICA MAE B. LEACHON

JOHN ISAIAH MARCO F. PUSAG

ANA PATRICIA R. SERRANO

This undergraduate feasibility study hereto entitled: MULTI-PURPOSE

ABSORBENT CASE, prepared and submitted by Gesselle P. Acebedo, Alliah Rozea H.

approval for oral defense.

ROBERT Y. CO, CPA, MBA, DBA

Approved by the Panel on Oral Examination

Accepted as partial fulfilment of the requirement in the subject MANAGEMENT

Ronald M. Pastrana, MBA, PhD

Dean, School of Business and Accountancy

make a feasibility study.

To the respondents who spent time in answering the survey questionnaires.

APPROVAL SHEET ........................................................................................................ 2

Classifications of Products in the Industry ................................................................ 37

Supply Projection .......................................................................................................... 56

10 Annual Sales in Peso

13 Depreciation of Machinery and Equipment

14 Depreciation of Office Equipment and Furniture and Fixtures

17 Goods Available for Sale in units

18 Purchase Schedule of Raw Materials in units

19 Per unit costs of Raw Materials

20 Gross Profit Margin

21 Net Profit Margin

25 Total Asset Turnover

3 Vicinity of the Business

5 Social Security System

6 Philippine Health Insurance Company

7 Home Development Mutual Fund

12 Qualities considered in buying a product

13 Amount willing to pay

15 Actual Façade of the location

31 Portable Receipt Printer

M-PAC, a limited partnership, pursues to launch a more developed cover for

Quezon to its target market schools near the stores.

By means of conducting surveys, preparing financial statements and critical

financial analysis, the business is presumed to be profitable and feasible.

study for the setting up of a business.

Background of the Study

well. In addition to that, it is very uncomfortable to carry water-soaked things.

It is a necessity for every student and employee of having umbrellas, especially

by Dr. Miyoshi Okamoto, a scientist at Toray Industries. Okamoto’s discoveries, together

over the course of the decade.

important precursor to its development and marketing of nylon.

Business Name / Logo

Figure 2. Product Description

umbrella and tumblers.

Consumer Products Industry

The Consumer Products Industry or CPI is a category of companies that relate to

Innovations and advancement in technology fuel the growth of the consumer

way of selling their products or the brick-and-mortar.

Vicinity or Place of the Business