TECHNICAL ASPECT

In this paper, we will discuss the product, manufacturing process of the

business including the plant size and production schedule. Machineries and
equipment will be discussed in here also, and other computer application that we will
use in the business.

Services

The following services of CAE Tech Computer Shop are listed below:

 Gaming
 MS Services
 Searching the net

Manufacturing Process

CAE Tech
Computer Shop

Product and
Profit or Income
Services

Customer

The CAE Tech Computer shop will provide the product and services to the
customers, then the customers will give income or profit to the business in return.
Plant Size and Production Schedule

The CAE Tech Computer Shop will be open 24 hours a day, seven days a
week. We will be renting a space in Davao City's Poblacion District. Students,
teachers, office workers, children, and adults are all part of the target market. The
existing zoning code and other applicable rules and regulations requiring computer
shops to be built at a certain distance away from churches, schools, hospitals, and
other government offices must be followed.

Plant Layout

Comfort
Sliding Door Room
Com 1 Com 2 Com 3 Com 4

Com 5 Com 6 Com 7

Counter Table Main Server

Com 8 Com 9 Com 10

AC

Investment Cost

The capital necessary to established CAE Tech computer Shop reached an

estimated total of … The amount is enough to provide quality services and
equipment for the business.

Capital Expenditure Total Amount

I. Machinery and Equipment P 343,195.00
II. Intangibles 4,999.00
III. Furniture and Fixtures 22,428.00
 IV. Building, Facilities, and Utilities (first month) 17,274.35
V. Waste Disposal 677.00
VI. Legal Requirements 21,770.00
VII. Labor Costs (first month) 21,000.00
TOTAL INVESTMENT COSTS P 431, 343.35

I. Machinery and Equipment

The proposed project is going to be of 10 units of computer systems and the

details of the equipment required for the project is given below:

List of Brand Name Unit Price Description Amount

Hardware
Package PC’s AMD RYZEN P 28,995 11 units of PC w/ P 318, 945.00
5 5600G complete
accessories
Air Condition Haier P 24,250 1.5 hp carrier P 24,250.00
inverter
TOTAL P 343,195.00

II. Computer Software

Application:

Microsoft Office P 4,999.00

III. Furniture and Fixtures

The project …

Description Quantity Unit Price Total Price

Computer Table (partition among 10 1,200 P 12,000.00
computers)
Mono block chairs 10 250 P 2,500.00
 Office chair for server 1 799 P 799.00
Counter Table 1 7,000 P 7,000.00
Pad lock 1 129 P 129.00
Total Furniture and Fixtures P 22,428.00

IV. Building, Facilities, and Utilities

Description Monthly Cost Total Amount (year)

Rent 6,000 72,000.00
Internet Fee 2,999 P 35,988.00
Electricity 8,150.35 P 97,804.2
Water 125 P 1,500
Total Cost P 17,274.35 P 207,292.2

V. Waste Disposal

Cleaning Materials Unit Unit Price Amount

Broom and Dust Pan – replace 1 P 85 P 85
every 5 months
Trash Can 1 P 145.00 P 145.00
Feather Duster – good for 3 months 2 P 30.00 P 60.00
Mop – replace every 6 months 1 P 188.00 P 188.00
Air Freshener – replace every 2 1 P 199.00 P 199.00
months
Total Waste Disposal Cost P 677.00

VI. Legal Requirements

The CAE Tech Computer Shop must be registered with the local barangay where
it will be located. In this case, our business is partnership, so we have to contact the
Securities and Exchange Commission (SEC).

 Registration with BIR

 Registration of business name with DTI
  Barangay Clearance and Business Permit
 Mayor’s Permit

Cost:

Barangay Clearance P 30.00

BIR 500.00
DTI 500.00
Mayor’s Permit 5,000.00
Business Tax 15,000.00
Business Plate 200.00
Sanitary Permit 90.00
Inspection Fee 50.00
Electrical Inspection 200.00
Fire Inspection 200.00
TOTAL P 21,770.00

Labor Costs

Estimated annual cost for salaries and wages:

Description Per Day Monthly Salary Annual Salary

Employee 1 P 428 12,840 P 154,080.00
Employee 2 P 428 12,840 P 154,080.00
Total P 21,000.00 P 308,160.00