Initao College

Jampason, Initao, Misamis Oriental

MSHM Program

In Partial Fulfillment of the Subject:

Entrepreneurial Mind (GE Elect 1)

Submitted by:

Vernie L.

Lacorte

Jessie James C.

Micayabas Donna J.

Dumaog

Rachel Ann C. Sacupayo

Niña Mae G. Bachinicha

Submitted to:

Jeremiah G.Galleros

March 16, 2021

 TABLE OF CONTENTS

PARTS OF BUSINESS PLAN PAGE #

PART I: Introduction 1
a) Executive Summary 2
b) Nature of Business 2
PART II: Marketing Plan 3
a) Environmental 4
Analysis: i.PESTEL 4-5
Analysis 6
ii.Porter’s Five Forces Analysis 7
iii.SWOT Analysis 7-11
b) Market Analysis 12-13
c) Competitor Analysis 13-14
d) Product Strategy 14-15
e) Price Strategy 15-16
f) Promotion Strategy 16
g) Place Strategy
PART III: Production Plan 17
a) Machinery/Equipment 18
b) Raw Materials 18
PART IV: Organizational Plan 19
a) Legal Form of Business 20
b) Organizational Structure 20
Office Equipment/Materials/Tools
PART V: Financial Plan 21-22
a) Total Project Cost 23
b) Statement of Financial Performance 24
c) Statement of Financial Position 25
d) Schedule of Assets 26
e) Statement of Cash Flows 27
PART I: Introduction

1
 A.) Executive Summary

Yellow Fried Chicks is a new taste and trend in the market as it offers
sumptuous unlimited chicken wings with variety of sauce such as garlic
parmesan, buffalo, original, and barbeque. It also aims to successfully introduce
a new trend which competes to the traditional way of surprising people during
important celebrations and occasions such as birthdays, monthsaries,
anniversaries, etc. with the giving of cakes and other gift ideas --This time,
Yellow Chicks introduces the “Wings Bucket Surprise” -- A delicious bucket of
chicken wings with variations of flavours inside a rectangular shaped box, well-
arranged, with a note card and a candle. Perfect as a substitute to any traditional
presents and gift ideas. To sum it up, Yellow Fried Chicks aspires to position our
business in the food industry as an unlimited chicken wings parlor with a new
taste of flavor in surprising our target market on their important celebration,
events, or occasions. The following is the proposed product lines of Yellow Fried
Chicks:

Product Line Description

An unlimited wings and drinks
YFC’s Unlimited Chicken Wings offering to every dine-in customers
with a variety of sauce to choose from
such as: garlic parmesan, buffalo,
original, barbeque, etc.
A delicious bucket of chicken wings
with variations of flavours inside a
rectangular shaped box, well-
YFC’s “Wings Bucket Surprise” arranged, with a note card and a
 Small Bucket candle. Comes up with different sizes
 Medium Bucket such as Small Bucket, Medium
 Large Bucket Bucket, and Large Bucket. Each sizes
differs on the number of chicken
wings inside. Their choice as to what
sauce they would like to put in Wings
Bucket Surprise.

B. Nature of Business - Yellow Fried Chix’ is a food business which belongs to

the category of food and beverage industry.

2
PART II: Marketing Plan

3
A.) Environmental Analysis

i. PESTEL Analysis

Political Factors

Businesses are always affected by the control of the government which have a
great deal of power over businesses, there is not much that businesses can do
about it. Yellow Fried Chicks (YFC) is affected by the political factors such as tax
policies. Government regulations might increase the tax rate for some
businesses, it is important to maintain a strategy which can deal with such
situations. Lack of political stability within a country can significantly impact
the operations of a business. Also, YFC ensures to set up rules and regulations
for cleanliness so that it will secure the safety of the buyers. We will make sure
that every employee has undergone with Basic Food Safety and Handling
Seminars to adhere the culture of hygiene and cleanliness within the workplace.

Economic Factors

Economic factors play a large portion in deciding how a company makes its
decisions (especially financial ones). The factors that will affect the business are
interest rates, inflation, economic growth, demand and supply. The larger
economic environment of a society is a factor that can affect a company's
business environment (Taylor, 2018). The inflation rates affect the prices of
everything that is used for the production, it may increase or decrease over time
and Yellow Fried Chicks (YFC) is prepared to deal with fluctuations.

Social Factors

This factor emphasizes on how culture affects business and whether they impose
a positive or negative impact on a business. It can also affect the attitudes,
opinions and interests which can impact sales of product and revenues earned.
(PESTEL Analysis Contributor, 2015). People nowadays follow a certain trend to
cope up with, since this is a new product in the Philippines, it may be a big
impact for them. YFC guarantees that the product is suitable for every age,
social class and gender. Also, Yellow Fried Chicks (YFC) is ready to adjust
whatever the customer wants and needs.

4
Technological Factors

This factor shows how the use of technology affects the growth and success of a
business. It encompasses the technological research of recent times and
portrays the consequences and influences laid out by the advancement in latest
technology, especially with the latest innovation and trends. (PESTEL Analysis
Contributor, 2018). Yellow Fried Chicks (YFC) uses the latest technology to
produce the product, which is more convenient and faster. In addition, it
guarantees that the technology used is safe and secure. This product ensures to
update every customer when there is a new launch.

Environmental Factors

It is a strategic tool that can be both internal as well as external in the business
which can also identify all the external and internal components, which can
affect the organization’s performance. Environmental policy impacts businesses
because the law implies organizations to change their operational procedures
and equipment so as to meet those standards which can cost businesses some
good amount of money (Farooq, 2018). This business is an environmental
friendly business; it ensures that the products used are not a threat to the
environment. Yellow Fried Chicks (YFC) secures that the availability of the
product is easy to find and suitable for emergencies. Our packaging, raw
materials, and especially our practices shall adhere to the environmental aims
so we could be of help in the sustainability of present and future resources.

Legal Factors

Legal factors affecting business incorporate regulatory and law determinants

that can negatively or positively affect results of market actions. Yellow Fried
Chicks (YFC) ensures that the employees are under Employees Protection laws,
they are protected against unfair discrimination at work and also applying for
jobs. It guarantees that no one is discriminated in contradiction of such things
such as race, religion, sex, age and color. This business focuses on the health
and safety of the people.

5
ii. Porter’s Five Forces Analysis

 Rivalry among existing competition is a strong force since Cagayan de Oro has
a lot of existing unlimited chicken wings establishments. To mention a few,
we have Chix n’ Booze, Full Tank Diner, Clark and Nikks, and a lot more.
 Bargaining power of buyers or customers is classified as a strong force also.
With a lot of preferences or sellers available in the market, customers can
drive the prices of unlimited chicken wings down since they can choose
whichever chicken parlor they want to dine.
 Bargaining power of suppliers however is weak. Since chicken is almost a
staple commodity, a lot of supplier is available in the market. Aside from
chicken, the rest of the raw ingredients we intend to use can be bought and
outsourced within the perimeters of chosen location.
 Threat of substitutes or substitution is also a strong force. With the
presence of variety of foods in the fast food chains alone, customers has a lot
of choices as substitute to our product. Not to mention the other existing
establishments which also offer the same product, the cakes, flowers, and
any gift ideas that will compete to our product lines especially the “Chicken
Bucket Surprise”.
 Threat of new entrants is also classified as a strong force. With the presence
of potential, small businesses with the same product offerings around the
perimeters of our chosen location, it is possible that we compete for a chunk
of market shares to our customers. Therefore, this force is something the
entrepreneurs cannot ignore.

Since Yellow Fried Chicks is a startup business, the entrepreneurs assessed that
for every forces except for the bargaining power of suppliers which has a weak
force, the rest of the remaining forces are strong. Therefore, Yellow Fried
Chicks should watch out the identified strong forces so it could compete
efficiently and effectively in the market place. We, entrepreneurs should do our

Overview: Yellow Fried Chicks (YFC) Porter’s Five Forces Analysis

Rivalry among existing competition STRONG FORCE

Bargaining power of buyers STRONG FORCE
Bargaining power of suppliers WEAK FORCE
Threat of substitutes or substitution STRONG FORCE
Threat of new entrants or new entry STRONG FORCE

6
iii. SWOT Analysis

STRENGHTS
 Competent Employees
 New Trend Development
 Excellent Customer Service
 Competitive Prices
 Quality of Food
OPPORTUNITIES
 Potential chunk of market share
 Positive Word of Mouth
 Increased Sales
 Business Expansion
 New Product Development
WEAKNESSES
 New in the Market
 Takes time to be well-known
 Inflation of Factors of Production
THREATS
 Existing Unli Wings Competitors
 Natural Disaster/Calamities
 Robbery/Theft
 Supply Chain Misunderstanding

B.) Market Analysis

i. Variable 1: Income

MARKET 1 MARKET 2 MARKET 3

High Income Groups Middle Income Groups Low Income Groups

Market 1

High Income Groups are families that earn an average of around Php 200,000 a
month or Php 2.4 million a year. This group is considered as the rich segment
or the people who belong to the highest class. Moreover, people and families
who belong to this segment can finance their needs beyond the required. Thus,
this type of people can afford to buy luxurious items that are not within their
necessities (Pinoy Money Talk, 2019). However, this group is divided into two –
upper income and rich. The Upper Income Group earns between Php 118,350 to
Php 157,800 monthly. The Rich Group on the other hand earns at least Php
157,800 a month. The Upper Income Group is not that wealthy relative to the
Rich Group (Rappler, 2015). In addition, these people only occupy a small part
of the population in the Philippines. The High Income Groups only represent 1%
of the total families in the country. Specifically, 185,000 families belong to the
High Income Group. Assuming that each family is composed of five (5)
members, the population of the High Income Group is almost one million
(Pinoy Money Talk, 2019).

7
Market 2

Middle Income Groups are families and people who earn an average of Php
36,934 a month or Php 443,208 a year. This group are considered as part of the
average Filipinos, which indicates that these range of people can afford to sustain
their needs and also their wants at the same time (Pinoy Money Talk, 2019).
However, this segment is divided into three groups – Upper Middle Income,
Middle Class, and Lower Middle Income. Their monthly earnings are as as follows
(Rappler, 2015):

– Php 78,900 to Php 118,350

– Php 31,560 to Php 78,900

– Php 15,780 to Php 31,560

According to Pinoy Money Talk (2019), the Middle Income Group is

representing the largest bulk of families in the Philippines, which makes its
market size bigger.

Market 3

The Low Income Groups are people or families that earn an average of Php
36,934 monthly. This poorest segment comprises 30% of Filipino families. Which
has a market size relatively bigger than the High Income Group. In addition, this
segment are in a state of poverty, which makes them vulnerable on becoming
poor or to have a difficult time in sustaining needs (Pinoy Money Talk, 2019).
However, this segment is divided into two groups namely – Low Income and Poor.
Their monthly earnings are as follows (Rappler 2015):

– Php 7,890 to Php 15,780

– Less than Php 7,890

Income Distribution by Income Group and by Region (Rappler, 2015)

Region: Northern Mindanao

Rich 4.4
High Income 3.4
Upper Middle Income 3.1
Middle Income 3.0
Lower Middle Income 3.2
Low Income 4.8
Poor 7.6

8
ii. Variable 2: Age

Market 1 Market 2

Teenagers Young Adult

Market 1:

A teenager is a person that falls within ages 13 to 19 years old, according

to Wikipedia.org. These people are mostly high school students. Lapowsky

(2014) stated that teenagers have always been important to different brands

because they tend to adopt to the trends at an early age, and their brand

preferences aren’t yet firmly defined. This drove the marketers to push through

teenagers as part of their market, because it is important to influence the

preferences of the youth, to develop future brand recommendations that would

help improve the business, rather than destroying it. Teenagers’ preferences are

affected by their budget and allowances, and social conditions and trends.

Market 2:

Wikipedia.org defines a young adult as a person ranging in age from their

late teens or early twenties to their thirties. This stage is when people are

financially stable and have decent jobs to support their needs and wants. They

have the freedom to buy anything they want. A relaxing and calm experience is

never a denial, especially for these people. Being able to escape the workloads of

offices or complains of customers is a preference for people within this age

bracket.

iii. Variable 3: Purchase Frequency

Market 1 Market 2

Regular Occasional

9
Market 1:

Regular customers are those people who buy a certain product or service

repeatedly on short intervals. Yellow Fried Chix offers food, beverages, and

services, which is why regular purchase frequency is an effective market. Dijk

(n.d.) says that in a hospitality situation, it is easy to spot a regular customer.

The effectiveness of a product or service is determined by purchase frequency.

Yellow Fried Chix is a resto that offers products that are readily available,

making regular purchase frequency a market that is important.

Market 2:

Occasional buyers are those who don’t frequently purchase a product or

service. These people don’t have any purchasing patterns. Their preference to

buy is determined by chance, or not at all. They prefer to buy when the need

arises. These buyers rarely purchase a product or service.

iv. Variable 4: Profession

Market 1 Market 2 Market 3

Students White Collar Workers Blue Collar Workers

Market 1:

A student is a person enrolled in a school or other educational institution

who attends classes in order to learn something, according to Wikipedia.org.

McPherson (2015) said that students of today’s generation would prefer

studying outside or in cafes, because it gives off convenience and easy access to

study snacks and drinks.

Market 2:

Parietti (2019) defined white-collar workers as those who work behind a

desk for a service industry, rather than getting his/her hands dirty doing

manual

10
labor. The white-collar workers are those people who have a more well-rounded

education, or those who perform managerial, professional, or administrative

work. They have the capacity to dine in any restaurant they want.

Market 3:

According to Melissa Pariettie (2019), Blue Collar workers are people who
engage in hard manual labor or other physically exhausting jobs. These workers
have lesser income compared to White Collar workers. Moreover, Blue Collar
workers have lower social classes, which makes them have a difficult time to
sustain their everyday needs. In some cases, these people hardly meet their
needs, which makes them have insufficient funds to sustain their desires or
luxurious wants.

Summary of Target Markets

Variable 1: Income

Primary Target Market Secondary Target Market

High Income Groups Low Income Groups
Middle Income Groups

Variable 2: Age

Primary Target Market Secondary Target Market

Teens
Young Adults
Variable 3: Purchase Frequency

Primary Target Market Secondary Target Market

Regular Occasional

Variable 4: Profession

Primary Target Market Secondary Target Market

Students Blue Collar Workers
White Collar Workers

11
C.) Competitor Analysis

Unlimited chicken wings, Rice and

Iced tea @219, for lunch and dinner
located at Center Point at Domingo
Velez Street in Cagayan de Oro City.

“Chix n’ Booze”
Full Tank Diner is simply what it
is...you never leave on an empty
stomach. Taking the most popular
Filipino and American favorites to a
whole new level, our Diner is the
perfect choice for any occasion, be it a
casual dinner or drinks with friends.
Each item on the menu is a definite
Best-Seller that will guarantee to
leave you craving for more; from the
tender Baby-Back Ribs to the
“Full Tank Diner” perfectly tangy Buffalo Wings all the
way to the unique Pork Sisig and
creamy binagoongang lechon kawali
for 210 pesos located at Velez-Hayes
St.,
Cagayan de Oro City.

Unlimited Chicken Wings and

Unlimited Rice for only 199.00
Located at Lifestyle District Cagayan
de Oro, Philippines

“Clark and Nikks”

12
 M’s Grill is the first and original local
restaurant in Cagayan de Oro that
offers unlimited chicken wings for
220.00 pesos only. It is owned and
managed by two young entrepreneurs
who is in love with the city of
Cagayan de Oro.
“M’s Grill”

Unlimited Pizza, Pasta, Fries, Mojos,

Salad and Chicken!
Mondays to Saturdays, 3PM to 9PM

“Cheat Day”

D.)Product Strategy

Brand name Yellow Fried Chix

Generic category Food and Beverage

Logo

Tagline “A taste of surprise in every bite.”

13
 Orange, yellow, red, black and gray
are the visual cues. Yellow represents
the color of the chicken wings when
Visual cues it’s cooked, the red and orange
stimulates hunger in the eyes of
customers, and the gray text of the
brand symbolizes the dominant color
of the physical environment which the
entrepreneurs will undertake.

E.) Price Strategy

For our pricing, we used the Going – Rate Pricing Strategy. It means that we
considered our pricing based on the market industry so we could be at par when
it comes to the competition. Using this strategy would also mean that we are
trying to compete fairly with our competitors in the market.

Unlimited Wings and Drinks @ 220.00

Chix’ Wings (With 1 Cup of Rice & Drink)
2 pcs 69.00
4 pcs 120.00
6 pcs 160.00
8 pcs 180.00
12 pcs 210.00

Yellow Fried Chix Surprise Bucket

Small
(12 pcs of Chicken Wings) 250.00
Medium
(20 pcs of Chicken Wings) 350.00
Large
(28 pcs of Chicken Wings) 450.00

Add Ons
Rice 15.00
Unli Rice 30.00
Extra Sauce 10.00

14
 Drinks
Ice Tea 15.00
Softdrinks 20.00
Mineral Water 20.00

F.) Promotion Strategy

Our selected media for now is social media. We will not be needing TV,

Billboard, and other very costly promotion instruments since this is for local

only and we think that those two are enough to let our brand be known to the

target market. We have chosen social media because people nowadays are

always in the internet may it be a child, teenager, and even adults too. We

believe that promoting through social media can helps us because it is a good

means of increasing brand awareness. We will be posting through Facebook,

Instagram, and Twitter with supporting attractive posters and details. Now for

our message strategy, we will be analyzing our competition. Before we pose a

content to our websites, we’ll make sure to pay attention to our competitors like

how often do they post and how many followers or likers they have. By that, we

can improve how we approach our social media channels. Next, we will make

sure that the content of our promotion are correct and clear. It should be

understandable by the audience to fully deliver our message. Finally, we will not

just use our social media channels for promotion only but also as a hub to

interact with customers. We will fully encourage them to leave comments or ask

questions to us as this will strengthen the customer support.

15
 Calendar of Activities

MONTH PROMOTION

FEBRUARY 14 VALENTINES DAY PROMO

MARCH 24-25 GRADUATION PROMO

MAY SUMMER PROMO

NOVEMBER 1 AND 2 HALLOWEEN PROMO

DECEMBER 25 CHRISTMAS PROMO

JANUARY 1 NEW YEAR PROMO

G.)Place Strategy

Our chosen place for the business will be Lot 1, 3&4, Tomas Saco St.,
Macasandig, Cagayan de Oro City. As of now, we will assume of renting the lot
because the entrepreneurs can’t still afford of buying the land.

16
PART III: Production Plan

17
A.) Machinery/Equipment

Machinery/Equipment Quantity Price/Unit Total

Fryer 3 5,000.00 15,000.00
Refrigerator 1 12,000.00 24,000.00
Chiller 1 8,000.00 8,000.00
Aircon 2 25,000.00 25,000.00
Gas Range 1 25,000.00 25,000.00
Gas Stove 3 1,200.00 3,600.00
Microwave 1 3,000.00 3,000.00
Frying Pans 4 1,000.00 4,000.00
Tongs 4 50.00 200.00
Spoon 70 12.00 840.00
Forks 70 12.00 840.00
Plates 70 50.00 3,500.00
Saucer 70 15.00 1,050.00
Cups 70 20.00 1,400.00
Round Tupperwares 10 75.00 750.00
TOTAL 116,180.00

B.) Raw Materials

Raw Materials Quantity Price/Unit Total

Chicken Wings 900 12.00 10,800.00
Flour 10Kilos 20.00 200.00
Oil 10Kilos 36.00 360.00
Ground Black Pepper 2 Kilos 100.00 200.00
Garlic Powder 2 Kilos 100.00 200.00
Chili Powder 2 Kilos 100.00 200.00
Parmesan Cheese 2 Kilos 150.00 300.00
Mayonnaise 2 Kilos 150.00 300.00
BBQ Sauce 2 Kilos 50.00 100.00
TOTAL 12,660.00

18
PART IV: Organizational Plan

19
 A.) Legal Form of Business

The business form that Yellow Fried Chicks will undertake will be Sole
Proprietorship. As of now, the entrepreneurs agreed that the proprietor will be
registered to their General Manager, Vernie L. Lacorte upon the registration of
the business.

B.) Organizational Structure

Vernie L. Lacorte
General Manager

James C. Micayabas Nina Mae Bachanicha Dona Dumaog Rachel Sacuyapo

Operations Manager Purchasing Manager Marketing Manager Finance Manager

C.) Office Equipment/Materials/Tools

Office
Quantity Price/Unit Total
Equipment/Materials/Tools
Rectangular Tables 8 5,000.00 40,000.00
Chairs 60 220.00 13,200.00
Desktop Computer 2 15,000.00 30,000.00
Printer 1 5,000.00 5,000.00
Bond Paper 1 Ream 200.00 200.00
TOTAL 88,400.00

20
PART IV: Financial Plan

21
FINANCIAL OVERVIEW

The financial projections were based on the canvassed and estimated amounts

that have been gathered from the proceedings section of the study.

EXPLANATORY NOTES

PROJECTED STATEMENT OF COMPREHENSIVE INCOME

Sales for 2020 are based on market research for two businesses within the city

– the M’s Grill and Chix N’ Booze. Average daily sales are 10,000 and 15,000

respectively. As a new entrant, the business adopted a conservative type

approach and decided to use a 60% of the 10,000 average daily sales for 26 days

in a month for the whole year considering one rest day for employees. Sales will

drop by 10% in second quarter due to summer break of students.

 Purchases is 50% of Gross Sales

 Freight-in is assumed to be 1% of Purchases

 Ending Inventory is assumed to be 20% of cost of sales.

 Cost of operating expenses is based on the information gathered

22
A. Total Project Cost

Pre-operating expenses
Marketing and Promotional
Expenses 15,000.00

Regulatory Expenses 10,000.00

Total Pre-operating Expenses 25,000.00
Costs
Operating Expenses

Inventories 40,000.00

Rent 10,000.00

Cleaning Materials 5,000.00

Operating Expenses 7,000.00

Office Supplies 5,000.00

Total Operating Expenses 67,000.00
Investment Expenses
Equipment and Facilities

Fryer (Medium) 7,499.25

Freezer 10,800.00

Chiller 12,499.85

Rice Cooker (45cups) 4,310.00

Cash Register 10,000.00

Air Conditioner (1 HP) 11,499.00

Total Equipment and Facilities 56,608.10
Furnitures and Fixtures

Rectangular Table 9,695.00

Chairs 5,980.00

Long chairs 3,600.00

Area Renovation 50,000.00

69,275.00
Total Furnitures and Fixtures 69,275.00
Total 217,883.10
Working Fund 30,000.00
Total Capital Investment 247,883.10

23
 B. Statement of Financial Performance

YELLOW FRIED CHIX

Projected Statement of Financial Performance
For the Period of January to December 31, 2020
1st 2nd 3rd 4th Total

Sales 468,000.00 421,200.00 468,000.00 468,000.00 1,825,200.00

Beginning Inventory 39,390.00 42,016.00 46,392.67

Add Purchases 234,000.00 210,600.00 234,000.00 234,000.00 912,600.00

Freight In 2,340.00 2,106.00 2,340.00 2,340.00 9,126.00

Goods Available for Sale 236,340.00 252,096.00 278,356.00 282,732.67 1,049,524.67

Less: Ending Inventory 39,390.00 42,016.00 46,392.67 45,833.42 173,632.09

Cost of Sales 196,950.00 210,080.00 231,963.33 236,899.25 875,892.58

Gross Margin 271,050.00 211,120.00 236,036.67 231,100.75 949,307.42

Less:
Operating Expenses

Rent Expense 40,000.00 30,000.00 30,000.00 30,000.00 130,000.00

Utilities 30,000.00 30,000.00 30,000.00 30,000.00 120,000.00

Depreciation Expense 6,007.41 6,007.41 6,007.41 6,007.41 24,029.64

Marketing and Promotional
Expenses 15,000.00 1,000.00 1,000.00 1,000.00 18,000.00

Salary Expenses 28,470.00 28,470.00 28,470.00 28,470.00 113,880.00

Office Supplies Expense 6,000.00 6,000.00 6,000.00 6,000.00 24,000.00

Area renovation 50,000.00 - - - 50,000.00

Operating Supplies 6,000.00

Regulatory Expenses 10,000.00

Miscellaneous Expenses 6,000.00 6,000.00 6,000.00 6,000.00 24,000.00

Total Operating Expense 191,477.41 107,477.41 107,477.41 107,477.41 513,909.64

Income Before Tax 79,572.59 103,642.59 128,559.26 123,623.34 435,397.78

Less: Income Tax 23,871.78 31,092.78 38,567.78 37,087.00 130,619.33

Net Income 55,700.81 72,549.81 89,991.48 86,536.34 304,778.44

24
C. Statement of Financial Position

YELLOW FRIED CHIX

Statement of Financial Position
As of December 31, 2020
Start-Up
January 2020 Dec 31, 2020
ASSETS
Current Asset
Cash in Bank 105,000.00 468,464.67
Prepaid Rent 10,000.00 10,000.00
Inventories 40,000.00 45,833.42
Operating Supplies 7,000.00
Office Supplies 5,000.00 5,000.00
Cleaning Materials 5,000.00 1,000.00
Total Current Assets 172,000.00 530,298.09

Non-Current Assets
Equipment and Facilities 56,608.10 56,608.10
Furniture and Fixtures 19,275.00 19,275.00
Accumulated Depreciation - (24,029.65)
Total Non-Current Assets 75,883.10 51,853.45

Total Assets 247,883.10 582,151.54

LIABILITIES AND OWNERS EQUITY

Utilities Payable - 10,000.00
Salaries Payable - 9,490.00
Rent Payable 10,000.00
Total Liabilities 29,490.00
Yellow Fried Chix Capital 247,883.10 552,661.54
Total Liabilities and Owner Equity 247,883.10 582,151.54
- -

25
D. Schedule of Assets

YELLOW FRIED CHIX

Schedule of Assets

Acquisition Useful Depreciatio

Quantity Total
Value Life n Expense

1 Fryer (Medium) 3 2,499.75 7,499.25 3 years 197.90

2 Freezer 1 10,800.00 10,800.00 3 years 285.00

3 Chiller 1 12,499.85 12,499.85 3 years 329.86

Rice Cooker
4 (45cups) 1 4,310.00 4,310.00 3 years 113.74

5 Cash Register 1 10,000.00 10,000.00 3 years 263.89

Air Conditioner
6 (1 HP) 1 11,499.00 11,499.00 3 years 303.45
Rectangular
7 Table 5 1,939.00 9,695.00 3 years 255.84

8 Chairs 20 299.00 5,980.00 3 years 157.81

9 Long chairs 2 1,800.00 3,600.00 3 years 95.00

75,883.10

26
E. Statement of Cash Flow

YELLOW FRIED CHIX

Statement of Cash Flow
As of December 31, 2020

Sales 1,825,200.00
Rent Expense (110,000.00)
Utilities (110,000.00)
Depreciation Expense (3,000.00)
Marketing and Promotional expenses (15,000.00)
Salary Expenses (104,390.00)
Office Supplies Expense (23,000.00)
Miscellaneous Expenses (24,000.00)
Regulatory Expenses (10,000.00)
Cost of Sales (881,726.00)
Tax (130,619.33)
Area renovation (50,000.00)
Total Operating Inflow 363,464.67

INVESTING ACTIVITIES -

FINANCING ACTIVITIES -
Total 363,464.67
Add. Cash Beginning 105,000.00
Cash Balanced End, Dec 2020 468,464.67

27