APPENDIX

COST ANALYSIS (BREAK EVEN)

The number of operating days before Break-even will be computed in this

Appendix. The data that will be used in this Appendix is based on the data gathered in

this research.

Total Cost of the Prototype: Php 39,002.42

Power Consumption of the Prototype

In an 8-hour Operation the prototype will have a power consumption of 13.912 kW-hr.

 𝐴𝐶 𝑀𝑜𝑡𝑜𝑟 𝑢𝑠𝑒𝑑 𝑖𝑛 𝐶𝑖𝑟𝑐𝑢𝑙𝑎𝑟 𝑆𝑎𝑤 = 1.5 𝐻𝑝 ≈ 1119 𝑊

 𝐷𝐶 𝑀𝑜𝑡𝑜𝑟 𝑢𝑠𝑒𝑑 𝑖𝑛 𝑐𝑜𝑛𝑣𝑒𝑦𝑜𝑟𝑠 = 60 𝑊 𝑒𝑎𝑐ℎ ≈ 120 𝑊

 𝐷𝑟𝑖𝑙𝑙 = 500 𝑊

 Based on the Department of Energy in the Philippines, the electricity rates in

the Philippines for Manufacturing Industries is P5.84 per kilowatt-hour

(kwh).

Therefore, in an 8-hour operation the prototype will have a cost of Php 81.246.

Minimum wage of Workers

The minimum wage of a worker in a coconut industry is Php 380 per 1000

coconuts. Since the prototype has a capacity of 1355 coconuts in an 8-hour operation. The

minimum wage for the worker should be Php 514.9.

 2

Break-even Point

(𝐶𝑜𝑠𝑡 𝑜𝑓 𝑃𝑟𝑜𝑡𝑜𝑡𝑦𝑝𝑒) + (𝑃𝑜𝑤𝑒𝑟 𝐶𝑜𝑛𝑠𝑢𝑚𝑝𝑡𝑖𝑜𝑛 +

𝑀𝑖𝑛𝑖𝑚𝑢𝑚 𝑊𝑎𝑔𝑒 𝑜𝑓 𝑊𝑜𝑟𝑘𝑒𝑟𝑠)(𝑛𝑜. 𝑜𝑓 𝑜𝑝𝑒𝑟𝑎𝑡𝑖𝑛𝑔 𝑑𝑎𝑦𝑠) =

(𝑛𝑜. 𝑜𝑓 𝑤𝑜𝑟𝑘𝑒𝑟𝑠)(𝑊𝑎𝑔𝑒 𝑜𝑓 𝑤𝑜𝑟𝑘𝑒𝑟𝑠 𝑏𝑎𝑠𝑒𝑑 𝑜𝑛 𝑡ℎ𝑒 𝑐𝑎𝑝𝑎𝑐𝑖𝑡𝑦 𝑜𝑓 𝑝𝑟𝑜𝑡𝑜𝑡𝑦𝑝𝑒)(𝑛𝑜. 𝑜𝑓 𝑜𝑝𝑒𝑟𝑎𝑡𝑖𝑛𝑔 𝑑𝑎𝑦𝑠

𝑃ℎ𝑝 39002.42 + (𝑃ℎ𝑝 380 + 𝑃ℎ𝑝 81.246)(𝑛𝑜. 𝑜𝑓 𝑜𝑝𝑒𝑟𝑎𝑡𝑖𝑛𝑔 𝑑𝑎𝑦𝑠)

= (2 𝑤𝑜𝑟𝑘𝑒𝑟𝑠) (𝑃ℎ𝑝 514.9) (𝑛𝑜. 𝑜𝑓 𝑜𝑝𝑒𝑟𝑎𝑡𝑖𝑛𝑔 𝑑𝑎𝑦𝑠)

𝒏𝒐. 𝒐𝒇 𝒐𝒑𝒆𝒓𝒂𝒕𝒊𝒏𝒈 𝒅𝒂𝒚𝒔 = 𝟔𝟖. 𝟓𝟗𝟗 𝒅𝒂𝒚𝒔 ≈ 𝟔𝟗 𝒅𝒂𝒚𝒔