FINANCIAL ACCOUNTING MBA – 1:00PM-4:00PM

Activity 1 Beverly Jane M. Tecson

I. I want you to think of your dream business that you want to implement given
an opportunity (Existing business if you have).

a. Describe your dream business and jot down all the costs involved up to
the opening of the business.

My dream business is a water refilling station.

ESTIMATED COSTS INVOLVED

Particulars Amount
Water Refilling Machine 250,000.00
Renovation of the rented space (at least 20sqm in size) 75,000.00
Delivery Vehicle (motorcycle with carrier or multicab) 75,000.00
Business Permit and Other Legal Documents (DTI, Water 15,000.00
Testing, Mayor’s permit, etc.)
Initial Supplies/Miscellaneous
* 200 Bottles (round) 2,000.00
*100 Bottles (slim) 2,500.00
Heat Gun 3,000.00
Stickers 2,500.00
Manpower/Salaries
**1 driver (300/day) 7,800.00
**1 re-filler (250/day) 6,500.00
Other Bills
*Electric Bill 3,500.00
*Water Bill 4,000.00
*Gas Allowance 1,500.00
*Consumables and others 2,500.00
Tax 150,000.00
TOTAL 600,800.00
Source of some estimated costs: https://businessdiary.com.ph/830/how-to-start-a-
water-refilling-station-business/

*Cost is estimated on a monthly basis

**Salary is multiplied to 26 working days; assuming that the business is close every
Sunday of the month
b. Why do you consider this dream business?

Water is one of the basic needs of every living being, and Kidapawan

City, also known as the "City of Fruits and Highland Springs," is endowed with

a plentiful supply of fresh and clean water. Thus, I'm considering starting this

business in the future, not only because I feel it will thrive but also because I

want to contribute to the availability of fresh, clean water that is affordable and

accessible to my target market.

c. What is the name and why such name?

"H2O Thirst Refilling Station" is what I propose to call it. Water's chemical

formula is H2O, and practically everyone knows what it stands for. I picked the

word "thirst" since it is the most prevalent term for the need to consume water.

As a result, the name "H2O Thirst Refilling Station" was chosen to make it

easier for customers to recognize a water refilling station.

Figure 1. Proposed Business Logo

 d. Do you think this business is feasible and gaining or not?

I am convinced that this business is viable and will profit greatly once it

is launched.

e. How long this business will last?

I believe this business will last as long as I am the one who will

continuously manage it.

f. When do you think you can recover your capital?

I guess I would be able to recover my capital within 2 to 3 years of

continued business operation.

II. I want you to identify 5 different businesses. Please include a business

similar to your dream business.

Identify the products or services of the different businesses you identified. Do

you think the businesses you identified are successful or not? Cite some
reasons.

IDENTIFIED BUSINESSES AND THEIR PRODUCTS

Business Name Products
Blue Thirst Water Refilling Station Purified Water
Aqua Gav Purified Water Refilling Purified Water
Station and Automatic Tubig Machine Automatic Water Dispenser Machine
Restaurant (Nikko’s Brew) Food and Beverages
Cakes by Leanne Cakes and Pastries
Perrie’s Marketing Grocery supplies, Plastic wares,
Perishable goods

The businesses I identified are still in operation and continue to serve

their clients. For this reason, I feel that these businesses are doing quite well

and are incredibly successful.