Professional Documents
Culture Documents
Entrepreneurship 12 Q4
Entrepreneurship 12 Q4
ENTREPRENEURSHIP
Learning Activity Sheets
Quarter 4
4 Ms of Operations
Product/ Service Development
Business Model
Forecast the Revenues of the Business
Starting a Business
Business Plan Implementation
Bookkeeping Tasks
Prepare Financial Statements
ENTREPRENEURSHIP
Week 1
Name of the Learner: Grade Level:
Section: Date:
4 Ms of Operations
Management is the art of getting things done with and through other people. It is
imperative for an entrepreneur to know about how to keep the business running with the least
effort (Edralin 2019). Production is an activity that converts materials into useful forms.
Operations Management is how organizations produce or deliver the goods and services that
provide the reason for their existence (YGOAL 2016). To understand more about operations
management you may watch this video at Youtube https://bit.ly/3br0XeY.
INPUT PROCESS
Materials OUTPUT
Materials
Manpower (Final
Manpower Method Product)
Method Machine
Machine
Activities
Day 1
Activity 1: WORD SEARCH
Direction: Search for the ten (10) words related to 4 Ms of Operations in the box below.
Clues are provided. Encircle the word in the box and write it before the clue.
Day 2
Activity 2: Analyze the picture. Identify the 4M’s of Operations in the picture.
Example:
Source: https://bit.ly/3h1YbOw
MATERIALS Meat
MANPOWER Cook
METHOD Frying
MACHINE Gas Stove, Fying
pan, and Spatula
A.
MATERIALS
MANPOWER
METHOD
MACHINE
Source:
https://bit.ly/335ykQ
B.
MATERIALS
MANPOWER
METHOD
Source:https://bit.ly/2R0GDb7 MACHINE
C.
MATERIALS
MANPOWER
METHOD
Source: https://bit.ly/3btwGw6 MACHINE
Ideas This paper is clear and focused. It holds This paper is mostly The writer is beginning to
the reader's attention. Relevant details and focused, and has some define the topic, even though
quotes enrich the central theme. good details and development is still basic or
quotes. general.
Organization The organization enhances and shows the Paragraphs are mostly The organizational structure
central idea or theme. The order, structure organized, in order, and is strong enough to move the
of information is compelling and moves make sense to the reader through the text
the reader through the text. reader. without too much confusion.
Sentence Fluency The writing has an easy flow, rhythm, and The writing mostly The text hums along with a
cadence. Sentences are well organized flows, and usually steady beat, but tends to be
with strong and varied structure that invites oral reading. more businesslike than
invites expressive oral reading. musical, more mechanical
than fluid.
Day 3-4
Activity 4: Create an Infographics (Flyers or Leaflets)
Instructions:
In starting a business, getting the right people is not quite easy. Imagine that you are a
Human Resource Manager of SM Clark during this Pandemic Covid 19:
1. What are your suggested programs to protect your staff when they are in duty?
2. What are your strategies and techniques to motivate the employees to work?
Rubrics
Excellent Acceptable Minimal Unacceptable
Criteria
5 4 3 2
The poster includes All required elements All but 1 of the required Several required
REQUIRED all required elements are included on the elements are included elements were missing.
ELEMENTS as well as additional poster. on the poster.
information
All items of Almost all items of Many items of Labels are too small to
importance on the importance on the poster importance on the poster view or no important
poster are clearly are clearly labeled with are clearly labeled with items were labeled.
LABELS
labeled with labels labels that can read from labels that can read from
that can read from at at least 3 feet away. at least 3 feet away.
least 3 feet away.
All graphics relate to All graphics related to All graphics relate to the Graphics do not relate to
the topic and make it the topic and most make topic. One or two the topic or several
GRAPHICS- easier to understand. it easier to understand. borrowed graphics have borrowed graphics do
RELEVANCE All borrowed graphics Some borrowed a source citation. not have a source
have a source citation. graphics have a source citation.
citation.
The poster is The poster is attractive The poster is acceptably The poster is
exceptionally in terms of design, attractive though it may distractingly messy or
ATTRACRIVENESS attractive in terms of layout, and neatness. be a bit messy. very poorly designed. It
design, layout, and is not attractive
neatness.
There are no There are 1-2 There are 3-4 There are more than 4
grammatical/mechani grammatical/mechanical grammatical/mechanical grammatical/mechanical
GRAMMAR
cal mistakes on the mistakes on the poster mistakes on the poster mistakes on the poster
poster
References
Aduana, Nick L. 2017. "Entrepreneurship in Philippine Setting for Senior High School." In Entrepreneurship in Philippine Setting for Senior
High School, by Nick L. Aduana, 3-5. Quezon City: C & E Publishing , Inc.
Aduana, Nick L. 2017. "Entrepreneurship in Philippine Setting for Senior High School." In Entrepreneurship in Philippine Setting for Senior
High School, by Nick L. Aduana, 128-133. Quezon City: C and E Publishing, Inc.
Edralin, Divina M. 2019. "Entrepreneurship Revised Edition." In Entrepreneurship Revised Edition, by Divina M. Edralin, 106-117. Quezon
City: Vibal Group, Inc.
Morato, Dr. Eduardo Jr. 2017. "Entrepreneurship First Edition." In Entrepreneurship First Edition, by Dr. Eduardo Jr. Morato, 138-147.
Quezon City: Rex Bookstore, Inc.
2016. In BPI-SHAPE Entrepreneurship resource Book, by YGOAL, 128-139. Makati City: BPI Foundation.
Answer Key
1. Machine
2. Method
3. Manpower
4. Materials
5. Production
6. Input
7. Process
8. Output
9. Management
10. Operation
Activity 2: Analyze the picture. Identify the 4M’s of Operations in the picture.
A.
MATERIALS Cloth
METHOD Sewing
MATERIALS Mud
METHOD Pottery
B.
MACHINE Conveyor
C.
Activity 3: Essay
Activity 4: Infograpics
(Study.com 2003-2020)
Watching this video https://www.youtube.com/watch?v=43N3l3laWGE may give you
an idea on how to create a Product/ Service Prototype.
Testing the Product Prototype
Testing the prototype is a vital process before an actual product or service is launched
to the market. It will uncover the final loopholes that need to be fixed before
commercialization. It gives the entrepreneur a leeway to examine and scrutinize the prototype
and provide feedback as to what can be improved before the launch. These improvements and
changes must be completed first before moving forward to the next step.
Methods applied in Testing the Product Prototype
1. Focus Group Discussion – The participants will
provide relevant insights about the new product or
service. The objective of the FGD is to identify errors,
deficiencies, and issues that may impede the success
of the product. Participants also need to provide
suggestions and practical solutions on how to improve
these deficiencies.
2. Legality and ethical test – Prior to launching, the
entrepreneur must ensure that the product or service
complies with all relevant laws and regulations and has a
necessary license or permit to operate a particular business.
For example, food products must be cleared first with the
Bureau of food and drugs (BFAD) before they are offered
to the public. The entrepreneur must also make sure that
the manufacturing/production of goods or offering of the
service does not generate ethical issues such as being
threats to
health, safety, and environment.
3. Safety test – the entrepreneur must ensure that
the product is safe to use, safe to be consumed
(food and beverages), and safe to be applied
(cosmetic products). The product should not in
any way harm the customer or put the customer
in peculiar situations. in services, the
entrepreneur must ensure that the processes to be
performed by the service provider must not be
detrimental to the safety and health of the
customer.
4. Product costing test – the entrepreneur must
examine every stage of the manufacturing process or
every process of the service blueprint to evaluate and
finalize the cost involved. This is the time when the
entrepreneur can match the expected costs versus his
or her budget. Modification in the manufacturing
process or service blueprint can still be made at this
point to align with the cost objective of the
entrepreneur.
Selecting a supplier is the process of looking for a potential supplier to acquire the necessary
materials to support the outputs of organizations. Choosing the right supplier scanning a
series of price lists, value for money, quality, reliability and service.
Identify your suppliers. Set the criteria to help you find the right supplier, you may consider
the Cost, Price, Reliability, Stability, Location, Quality & Safety, Delivery, Service, Social
Responsibility, Convenience, Simplicity, Risk and Agility (Business Queensland 2017).
Value chain is the whole series of activities that create and build value at every step.
A process in which a company adds value to its raw materials to produce products eventually
sold to consumers. It gives companies a competitive advantage in the industry, while the
supply chain leads to overall customer satisfaction. There are five steps in the value chain
process (Tarver 2020):
1. Inbound Logistics- Receiving, warehousing, and inventory control.
2. Operations- Value-creating activities that transform inputs into products, such
as assembly and manufacturing.
3. Outbound Logistics- Activities required to get a finished product to a
customer. These include warehousing, inventory management, order fulfillment,
and shipping.
4. Marketing and Sales- Activities associated with getting a buyer to purchase a
product.
5. Service- Activities that maintain and enhance a product's value, such as
customer support and warranty service.
Your success in the business will depend on your ability to put together a team of
highly qualified people who are committed to the goals and objectives of your firm. If your
business is on a startup stage, you need to recruit an employee who (Kauffman Entrepreneurs
2005):
· embody the company's values
· work hard and work smart
· have the specific skills required
· learn quickly when new skills are needed
· able to work with little supervision
· take initiative to make things happen
· comfortable in the uncertainty of an entrepreneurial situation
· are flexible to business needs and changing requirements
2. YAS GIRL! Walk in this navy velvet set and expect all eyes on you. Designed with a
one shoulder unique crop top and fitted capri pants.
3. 4.5V ~ 5.5V from the USB port; Without drive javascript devices: void
(0);Compatible with USB 1.1 / 2.0; Operating Temperature: -10 to + 55Deg.C;
Storage Temperature: - 20 to + 55Deg.C; More than 12 years of data storage
4. The most effective way to lose weight without Diet and Exercise! Without
experiencing LBM, Headaches and Palpitation. Reduces food cravings and Increases
fluid intake. Each box contains 5 sachets of Skinny Coffee good for 5 days. It should
be taken in the morning 15-30 minutes before breakfast.
7. High quality 4mm drive unit super bass, bright treble; Lightweight foldable structure;
Can turn into a wired headphone in one second.
8. Delivering heart-thumping lows and clear-as-day highs, these wireless headphones are
true standouts in the new 0917 Series Two collection.
9. "Who said you can’t look stylish while staying safe? Channel your brooding K-drama
lead with this personal protective bucket hat.
10. Hat opening: 24 in; face shield: 121/ 4x10p; Bucket hat is made of soft brushed twill
fabric; face shield is made of PVC plastic; Detachable face shield; Adjustable strap to
keep the hat in place"
Day 2
Activity 2: Did you answer correctly the Activity 1? Congratulations! Now, using the
statements 1-10 from Activity 1, kindly identify the target audience of the product/ service.
Day 3-4
Activity 3: Create a concept sketch or prototype drawing of your product idea.
Rubric for Prototype drawing
CRITERIA EXCELLENT (20) SATISFACTORY (15) NEEDS IMPROVEMENT (10) SCORE
Appropriate medium in Clearly identifies a range Applies selected medium Uses selected medium inaccurately
prototype drawings to of possible alternative to perform the task with to perform task ineffectively and
perform tasks. medium to create an some efficiency and inefficiently, while demonstrating
understanding of the effectiveness. Displays only a minimal understanding of
product and chooses the understanding of the purpose and results
most appropriate to results.
perform the task
Development of work Students did preliminary Students did some Students just began working without
drawings to get an idea of planning ahead of time to thinking out different possibilities.
which way to continue develop ideas
Construction or drawings Evidence of thorough Evidence of work done Students left some stuff undone due
work appropriate to the on the project. Project is to lack of work or time.
time allotted, drawings or seen as complete.
prototype were complete
with attention to detail
Aesthetics Drawings are crisp and Drawings or prototypes Drawings or prototypes are unsightly
clean with measurements are clean and neat, but and messy.
labeled properly. not particularly attractive
Prototype does not show to the eye.
glue marks or other
evidence of sloppiness.
Scale Drawings or prototype are Drawings or prototypes There was no attempt to make
made to scale with a were attempted to be drawings or prototypes to scale
legend provided made at scale, with some
issues.
Source: rubricprototype.pdf
References
Kular, Nimi. 2018. Shopify.com. August 30. Accessed September 7, 2020. https://www.shopify.com.ph/blog/validate-product-ideas.
Matson, Marqis. 2020. "Referral Candy Blog." referralcandy.com. July. Accessed September 7,
2020. https://www.referralcandy.com/blog/product-descriptions-that-sell/.
Nelson, Cherie. 2016. "athgo." athgo.org. September 13. Accessed September 7, 2020. https://athgo.org/4-steps-build-products-first-
prototype/.
Patell, Neil. n.d. "The All-In-One SEO Tool." Neilpatel.com. Accessed September 3, 2020. https://neilpatel.com/blog/write-better-product-
descriptions/.
Tamara, Monosoff. n.d. "Entrepreneur Asia PAcific." Entrepreneur Asia Pacific. Accessed September 7, 2020.
https://www.entrepreneur.com/article/80678.
Tarver, Evan. 2020. Investopedia. March 24. Accessed September 9, 2020. https://bit.ly/2ZkpDBh.
Photo References
Coleman, Ben. 2017. Sitepoint. October 28. Accessed September 8, 2020. https://www.sitepoint.com/how-to-make-paper-prototypes/.
Answer Key
1. Sausage/ Hot Dog lovers 6. Online Teacher, Online Seller, Students who undergo online class
2. Ladies 7. Online Teacher, Online Seller, Students who undergo online class
3. Mobile phone owners/ Laptop/ PC owners 8. Online Teacher, Online Seller, Students who undergo online class
4. Individuals aiming for weight loss 9. Kdrama fanatics, Frontliners, Individuals who is outside home,
5. Mobile phone owners who are travelers Hospital staffs
10.Kdrama fanatics, Frontliners, Individuals who is outside home
Hospital staffs
ENTREPRENEURSHIP
Week 3
Name of the Learner: Grade Level:
Section: Date:
Business Model
Source: http://bit.ly/Keypartners
A. Value Proposition – A description of the goods
or services that a company offers and why they are
desirable to customers. It is a promise of value to be
delivered. It summarizes why a customer should buy a
product or use a service.
Example: “The number one bottled water brand by
volume Nestle Pure Life Purified Water enhanced with
Minerals for Taste offers healthy hydration in a variety of
sizes and
is committed to helping families live a healthy, active lifestyle.”
Unique Selling Proposition (USP) - A consideration presented by the seller as the
reason one product or service is different and better from another product or service.
You can include the Product characteristics, Price Structure, Placement Strategy and
Promotional Strategy.
Example: “Pizza delivered in 30 minutes or it’s Free!” – Domino’s Pizza
Tagline – A short, memorable phrase that is used throughout your marketing. It
should convey the main sentiment or feeling that you want people to associate with
your brand.
Example: “Langhap Sarap” - Jollibee, “Just Do It” – Nike, “We Find Ways” – BDO
B. Customer Segmentation - the process of dividing
customers into groups based on common
characteristics so companies can market to each group
effectively and appropriately. It identifies the target
market. Companies often segment customers according
to demographics that include:
✔ Age
✔ Gender
✔ Marital status
Revenue Streams is the various sources from which a business earns money from the
sale of goods or the provision of services. The types of revenue that a business records on its
accounts depending on the types of activities carried out by the business. The revenue
accounts of retail businesses are more diverse, as compared to businesses that provide
services (Corporate Finance Institute 2015).
Revenue Stream is the building block presenting the cash a company generates from
each Customer Segment. It can be generated in different ways (Empower Women 2016):
▪ Sale of Physical Product – The customers pay cash for the product.
▪ Usage Fee – The customer pays a user fee for a particular service.
▪ Subscription fee – The customers pay for a particular service. Example Netflix Movie
Subscription
▪ Lending/Renting/Leasing – The customer pays to use a particular product for a fixed
period of time.
▪ Brokerage Fee – Company gets a revenue from an intermediate service. It is often
used by real estate agents, and credit card providers
▪ Advertising – Your company may charge fees for advertising a product, service or
brand.
▪ Volume and Unit Selling – Your company charges a fixed price for a product
however if the customers choose to buy in a higher quantity you may give them a
discount or you may have a different price for different customer segments.
Take note: You will need to decide what kind of Revenue Stream best fits your business.
What are the most important cost inherent in For what are your customers really
your business? willing to pay?
Which key resources are most expensive? For what they pay?
Which key activities are most expensive? How are they paying?
Is your business more cost-driven or value- How would day prefer to pay?
driven?
How much does each Revenue Stream
contribute to overall revenues?
Is your business more on fixed cost or variable
cost?
Source: wwwbusinessmodelgeneration.com
Reflections:
How Business Model can help you in making Business Plan?
References
n.d. ATm Startup Aggieland Texas A & M University. Accessed September 9, 2020. https://bmcintroduction.wordpress.com/channels/.
n.d. bdc. Accessed September 9, 2020. https://bit.ly/2RasxUC.
Epperhart, Billy. 2015. Wealthbuilders. March 30. Accessed September 9, 2020. https://bit.ly/2RdUgUs.
Answer Key
1. b. Tagline 6. c. Price
2. c. Customer Segments 7. a. Business Model
3. c. Unique Selling Proposition 8. b. Customer Relationships
4. d. Revenue 9. a. Key Activities
5. c. Key Partners 10. d. Value proposition
Exceeds Standards (10) Meets Standards (5) Not Approaching Standards Score
(3)
Product Idea Well thought out, creative, A creative product that is/ Poorly considered and
and unique product that is may be viable in the presented product that may
*Minimum Viable Product viable to the market place. market place. Some not be practical in the market
It is evident that extensive thought was given to the place. Little to no thought or
thought was put in to the MVP creation of the consideration was put in to
MVP idea. product idea. MVP idea.
3. Channels Extensive research of B2B Specific B2B (Business- Unclear B2B (Business-to-
(Business-to- to-business)/B2C business)/B2C (business-to-
business)/B2C (business- (business-to-Customer) Customer) channel
to-Customer) channels of channels of distribution understanding. Missing
distribution with citations with citations for each specific channels and
for each specific and specific and alternative alternative channels.
alternative channels. channels.
4. Customer In depth three-part plan to Three-part plan to attract, Missing steps to attract, keep,
Relationships attract, keep and grow keep and grow customers and grow the customer.
customers with specific with specific benchmarks. Missing understanding of
benchmarks. Specific Clear understanding of the needed relationship with
understanding of the complete customer customer.
complete customer relationship needs.
relationship needs.
5. Revenue Streams Clear understanding of the Clear understanding of the A general understanding of
profit stream for the profit stream for the the profit stream for the
product/service in product/service. A product/service. A partial
MULTIPLE markets. A complete revenue model revenue model based on
complete revenue model based on customer customer segments. General
based on MULTIPLE segments. Specific pricing pricing tactics for customer
customer segments. tactics for customer segment.
Specific pricing tactics for segment.
each customer segment.
6. Key Partners An extensive list of key A complete list of key Incomplete of missing list of
partners, suppliers, partners, suppliers, key partners, suppliers,
resources required of each resources required of each resources required of each
key partner. Key partners key partner. Key partners key partner. Key partners
expected return from your expected return from your expected return missing or to
side of the venture with side of the venture. general, from your side of the
monetary value venture.
7. Key Activities List of key activities with List of key activities with Missing or general list of key
backup data on needs to backup data on needs to activities without backup data
achieve key activities for achieve key activities. on needs to achieve key
MULTIPLE markets. Detailed tasks for activities. Missing detailed
Detailed tasks for manufacturing, tasks for manufacturing,
manufacturing, technology, technology, supply chain technology, supply chain and
supply chain and other and other activities other activities specific to
activities specific to specific to product/service.
product/service. product/service..
8. Key Resources Complete list of resources Complete list of resources General list of resources
needed with citations for needed with citations for needed without citations for
connecting with the connecting with the connecting with the
resources, and sorted by resources, and sorted by resources, and missing
prioritization by prioritization. prioritization.
MULTIPLE markets.
Source: https://bit.ly/2Rqzu4d
Exceeds Standards (10) Meets Standards (5) Not Approaching Standards (3) Score
Subject Knowledge Ties presentator has a Each presenter understands Presenter does not understand
complete understanding of their position on the their position on the Business
"Business Model Canvas", Business Model Canvas Model Canvas, product
product and customer product knowledge, and knowledge, and sources
segment in the executive sources referenced in referenced in executive
summary and presentation. executive summary and summary and slides.
slides.
Script Well thought out Slide Slide presentation follows a Slide presentation out of
design, follows a sequential sequential order, slide sequential order, slide
order, slide transition flows transition flows and proper transition does not flow and
and proper grammar, grammar, spelling slide proper grammar, spelling slide
spelling slide organization. organization. organization missing.
All target referenced
customer included.
Delivery Excellent presentation oral Presenters oral skills well Poor oral delivery, presentation
skills well practiced, slides practiced, slides tided into not tying into slides, not
tided into presentation, and presentation, and proper prepared for client
proper attire for the event. attire for the event. presentation. Unable to respond
Well thought out responses Thought out responses for to clients questions.
for client questions with data client questions.
support for answers.
Source: https://bit.ly/2Rqzu4d
ENTREPRENEURSHIP
Week 4
**You can calculate the company’s estimated revenue by multiplying the number of
orders and the average price.
c. QUALITATIVE FORECASTING- It is an estimation methodology that uses
professional judgment instead than numerical analysis. It depends upon the
information of experienced and expert consultants to provide insights into future
outcomes.
d. QUANTITATIVE FORECASTING- It is a statistical approach to make predictions
about the future which makes use of numerical measures and prior results to
predict future events. They are highly structured on mathematical calculations.
2. Identify and break down your revenue drivers so that you can forecast them later.
These are the metrics that will drive your revenue:
● Salespeople
● Marketing
● Number of customers
● Average frequency of purchase (how often a single customer buys your product)
● Average purchase volume (how many products a single customer buys)
● Variety of products Amount sold of each product
● Prices of each product
● Sales cycle (how long from start to finish does it take a salesperson to close a
sale)
3. Project the drivers and use the drivers to forecast the revenues. And compute the
Sales Revenue.
Formula for Revenue:
Price of per unit x number of unit sold = revenue
Forecast Expenses Incurred
Businesses incur more than a few types of expenses. An expense is the cost of
operations that a business incurs to generate revenue (Liberto 2020). It is the cost of doing
business; the sum of all activities that result in a profit. It is necessary to recognize the
distinction among expenditure, expense and cost. Expenditure refers to the amount incurred
in a long term period by the company to purchase and increase the value of fixed assets
(Morah 2019). On the other hand, expenses refer to the costs that are ongoing payments
incurred on a short term basis and used to generate revenue. Cost, it refers to the amount of
money spent on the production or creation of goods or services (Cambridge Dictionary n.d.).
As the diagram above illustrates, there are several types of expenses. The common
way to categorize them is into operating vs. non-operating (Adkins 2019) and fixed cost vs.
variable cost (Fresh Books Accounting n.d.).
OPERATING NON-OPERATING
FIXED COST VARIABLE COST
EXPENSE EXPENSE
An expense a This is not related to An expense that An expense that
business incurs in a company’s day-to- remains constant changes directly and
order to keep day operation or for a period of proportionally to the
running the manufacturing. time irrespective changes in business
operation. of the level of activity level or
outputs. volume.
Does not vary This also refers to the
directly to sales. actual costs of making
the product or
providing the service.
Payroll Depreciation Rent Transaction fees
Insurance fees Amortization Salaries and Commissions
License fees Bank fees wages Marketing and
Rent Lawsuit payments Loan payments advertising
Marketing and associated fees Direct labor
(advertising and Currency exchange Taxes
promotional fees) rate Costs of goods sold
Accounting fees Restructuring costs Materials and supplies
Building Obsolete inventory Packaging
maintenance and Interest
repairs Taxes
Utilities
Attorney’s fees
Property Taxes
Travel expenses
You must forecast each expense of the business including:
Startup Expenses- These are the expenses incurred for the duration of creating a new business
such as pre-operating expenses (Morah 2019).
Fixed Costs - All the overhead costs of the business.
Variable Costs - All of the costs that vary with the business.
Compute Profits
The terms "profit" and "income" are often used interchangeably in day-to-day life.
Profit is generally understood to refer to the cash that is left over after accounting for
expenses (Kenton 2020). Computing a profit or loss has to be completed by all companies of
any size, form the small enterprise to large enterprise. It is in a simple calculation Total
Revenue – Total Expenses = Profit.
1. Compute all the revenue from sales of goods and services
Example: You owned school supplies. September 1, 2020, you sold 10,000 worth of bond
papers to Sapang Bato National High School. September 2, 2020, you sold to Angeles City
National Trade School 10,000 worth of bond papers and to Sapang Bato Elementary School
15, 000 worth of ink and bond papers. September 3, 2020, you sold 10,000 worth of school
supplies from various customers.
DATE ITEM/S AMOUNT
September 1, 2020 Bond Papers 10,000
September 2, 2020 Bond Papers and ink 25,000
September 3, 2020 School Supplies 10,000
Total Revenue
45,000
2. Compute all the costs and expenses for the accounting period ( 1 month).
For example: Let’s say your school supplies business spent 3,500.00 for paying your store
rentals and 2,000.00 for your saleslady salary. In this case, your total expense is 3,500.00 +
2,000.00 = 5,500.00.
3. Subtract all the expenses from the revenue. You just simply subtract your expenses to
your sales revenue. The money left represents your business profit. In the example,
you already computed your total revenue and total expenses from your school
supplies business. Subtracting your total expenses from your total revenue gives you
45,000 – 5,500 = 39, 500 profit.
4. Note that a negative result for profit is called net loss.
Learning Competency with Code
1. Forecast the revenue of the business
2. Forecast the cost to be incurred
3. Compute Profits
TLE_ICTAN11/12EM-Ia-2
Activities
Day 1
Activity 1: CROSSWORD PUZZLE
Across
2. An expense that remains constant for a period of time
4. The amount of money spent the production or creation of goods or services.
7. The cash that is left over after accounting for expenses.
8. The amount incurred in a long-term period by the company to purchase and increase the
value of fixed assets
9. The income obtained by a business from its sales of goods or services provided to customers
10. A statistical approach to make predictions about the future which makes use of numerical
measures.
Down
1. An expense that changes directly and proportionally to the changes in business activity
level or volume.
3. An expense incurred for the duration of creating a new business
5. Uses professional judgement instead than numerical analysis
6. The cost of operations that a business incurs to generate revenue
Day 2
Activity 2: Identification
Instruction: Read the statement comprehensively. Identify which of the statements best
described as Fixed Cost, Variable Cost, Operating Expense, and Non-Operating expense.
1. Your business rents a space at CHH building on Friendship Highway where you pay
25,000 monthly. This is an example of .
2. If you own a home, you must pay using electricity. The amount you pay changes
monthly depending on how much you consume. This is an example of a .
3. An expense that is not related to your company’s day-to-day operation.
4. An expense of your business incur in order to keep running your business.
5. The actual costs of making a product or providing the service.
Activity 3: Compute Expenses, Sales Revenue, and Profits
Transactions for September 2020 were as follows:
Advertising costs paid in cash 2,000
Purchased equipment for 6,000 cash
Paid 1,500 cash for September Store
rent Provided services to customers
7500.
Cash collected from customers 15,000.
1. Identify and calculate total revenue.
2. Identify and calculate total expenses.
3. Compute profits.
Day 3-4
Activity 4: Forecasting is all about assumptions. Assumed that you are going to establish
your Milk Tea Store in your area.
Instruction/ Guide Questions:
1. Who are your target market/ potential buyers?
2. What are the flavors are you going to offer for the first month of operation?
3. What are the glass sizes available?
4. What are the ingredients and supplies you are going to use?
5. Estimate all your expenses and cost of goods sold in purchasing ingredients and
supplies.
6. Compute all the expenses and cost of goods sold.
7. What are the equipment/machines you will purchase in establishing your milk tea
business?
8. Estimate the amount of the machine and equipment.
9. Compute all the amounts used in purchasing machines/ equipment..
10. What marketing platforms are you going to use? Estimate the amount for advertising
expenses.
11. Compute the total advertising expense.
12. Are you going to hire staff? If so, how much is the salary each day? How many staff
will you hire?
13. Compute your staff salary in one month.
14. How much will it cost to acquire a Barangay Business permit?
15. Calculate all your expenses from supplies and ingredients, machine/ equipment,
advertising expense, salary expense, and business permit.
16. Estimate the price of your milk tea, by size and flavor.
17. Estimate the number of customers who will buy your milk tea for each size and flavor
in a day.
18. How many customers will add each day to buy your milk tea?
19. Compute your sales per day, per week and per month.
20. To compute your Profit, Add all your sales revenue in a month and subtract all your
expenses and costs.
Reflections:
How Forecasting can contribute to the startup business?
References
Adkins, William. 2019. Small Business Chron. March 1. Accessed September 11, 2020. https://smallbusiness.chron.com/difference-
between-operating-nonoperating-expenses-39827.html.
Kenton, Will. 2020. Investopedia. July 21. Accessed September 11, 2020. https://www.investopedia.com/terms/p/profit.asp.
Liberto, Daniel. 2020. Investopedia. August 23. Accessed September 12, 2020. https://www.investopedia.com/terms/e/expense.asp.
Morah, Chizoba. 2019. Investopedia. November 27. Accessed September 12, 2020.
https://corporatefinanceinstitute.com/resources/knowledge/accounting/expenditure/.
Murphy, Chris B. 2020. Investopedia. March 13. Accessed September 10, 2020. https://bit.ly/33k8jgI.
http://puzzlemaker.discoveryeducation.com/code/BuildCrissCross.asp
Answer Key
Activity 2:
1. FIXED COST
2. VARIABLE COST
3. NON- OPERATING EXPENSE
4. OPERATING EXPENSE
5. VARIABLE COST
Activity 3:
Equipment 6,000.00
Rent 1,500.00
Profit 13,000.00
Activity 4:
Starting a Business
Background Information for Learners
Starting a business involves many activities related to organizing the organization,
generating of an idea for the enterprise, researching the idea's potential for success, and
writing a business plan. Starting a business of any size requires an investment. Regardless of
the size of a business, it must be unique in order to succeed. Many large, successful
companies began as small organizations with a business idea that was significantly different
from anything else on the market (Encyclopedia.com 2019). The most frequently used forms
by entrepreneurs are startup, buying existing business and franchising.
Startup is a young company founded by one or more entrepreneurs to develop a
unique product or service and bring it to market. Buying existing business is acquiring either
the shares or all the assets of the existing company. Franchising is when the owner of the
company that already has a successful product or service, licenses its trademark, trade name,
and methods of doing business to others in exchange for an initial franchise fee and royalty
payments (Edralin 2019).
Consider these factors (Edralin
2019) before you start a business to build
an entrepreneurial mindset. It is important
to an entrepreneur to exploit the
opportunity by starting a business on the
right path, with a solid foundation to
enable to grow, succeed and become
sustainable in the business.
In starting a business, you must be
clear about your purpose in establishing
your own business whether it is for profits
or for feeding your family.
You must also present a winning
business concept that manifest tremendous
future possibilities or might say you may
change the world.
You must also think of having an
angel in your business. Look for partners
that can contribute their expertise,
experience and good character that will
enable your business to succeed.
Steps to Start a Business
Starting a business involves planning, making key financial decisions and compel a
series of legal activities. Here are the steps that might guide you in starting your business:
1. Conduct Market Research – Gathering information
about existing business and potential customers may
help you to tell if there is an opportunity and may
find you a competitive advantage for your business.
2. Write your
Business Plan – Your business plan is the foundation
of your business. It is your roadmap on how to
structure, run and grow your new business. Your
convincing power to attract investor to your business.
3. Fund your business – Look for sources of funds.
4. Pick your Business Location – Finding business location is one of your important
decisions to make.
5. Choose a Business Structure – Identify whether your business is micro or large, single
proprietorship or partnership, it will give impact your business registration
requirements and your personal liability.
6. Choose your Business Name – Make sure your business name is unique and not being
used by someone else.
7. Register your Business- Make your business legal to protect your brand.
8. Apply Licenses and Business Permit – Make your business legally operated and
compliant.
9. Advertise your Business – You may use traditional advertising such as television ads,
radio ads, and newspaper your ads and the easiest way now is using social media
platforms such as Facebook, Youtube, Instagram and the like.
10. Build your Team – Look for staff that will contribute to the success of your business.
Ideas This paper is clear and focused. It This paper is mostly The writer is beginning to
holds the reader's attention. Relevant focus, and has some define the topic, even though
details and quotes enrich the central good details and development is still basic or
theme. quotes. general.
Organization The organization enhances and Paragraphs are The organizational structure
shows the central idea or theme. The mostly organize, in is strong enough to move the
order, structure of information is order, and makes reader through the text
compelling and moves the reader sense to the reader. without too much confusion.
through the text.
Sentence The writing has an easy flow, The writing mostly The text hums along with a
Fluency rhythm, and cadence. Sentences are flows, and usually steady beat, but tends to be
well organize with strong and varied invites oral reading. more businesslike than
structure that invites expressive oral musical, more mechanical
reading. than fluid.
References
Edralin, Divina M. 2019. "Starting a Business." In Entrepreneurship, by Divina M. Edralin, 43-63. Quezon City: Vibal Group
Inc. 2019. Encyclopedia.com. November 22. Accessed October 25, 2020. https://bit.ly/3onghj3.
Answer Key
Activity 1
Scoring Rubrics
Activity 2:
✔ Business name registration with the DTI is optional for Partnerships and
Corporations.
✔ Secure and fill up the Registration form with the attachment of Photostat
copy of SEC Certificate of Registration.
● Local Government Unit (LGU)- Municipality
✔ All businesses whatever the legal form are required to secure a Mayors
Permit or Business Permit or municipal license to operate.
● Cooperative Development Authority (CDA)
✔ All Cooperatives are required to register with the CDA as per RA 6938
and 6939
● Other Agencies
Types of Ownership
Organizational Plan
Chart
Job Description
SWOT Analysis
Day 2
Group :
Activity 2: Develop your Business Plan
Chapter 2 Marketing Plan
Place (location and target market)
product/service)
Distribution (how will you market the product/ service, how will you get your raw materials)
Day 3
Group :
Activity 3: Create your Business Ideas
Chapter 3 Legal Aspect
Day 4
Group :
Activity 4: Create your Business Ideas
Chapter 4 Technical Aspect
What are the equipment needed for the operation?
Bernardino, Josephine C. 2005. "How to Plan a Small Business." In Technology and Livelihood Education I, by Josephine C. Bernardino,
443-447. Quezon City: Phoenix Publishing House Inc.
Hayes, Adam. 2020. Investopedia.com. August 21. Accessed October 26, 2020. https://www.investopedia.com/terms/b/business-plan.asp.
Paragas, Alma and Fulgencio, Maria Garcia A. 2005. "The BAsics of Strating a Good Business." In Tecnology and Livelihood Education IV
Home Technology and Business Management, by Alma and Fulgencio, Maria Garcia A. Paragas, 259-267. Quezon City: Phoenix
Publishing House inc.
Rafael, Edita Tampinco. 2005. "Developing a Business Plan." In Technology and Livelihood Education III, by Edita Tampinco Rafael, 447-
455. Quezon City: Phoenix Publishing House Inc.
Answer Key
BUSINESS NAME:
Written Business Plan Rubric Scoring Scale SCORE
Each section will be graded if it meets the requirements. It must have full explanations that provide all the necessary details
Cover Page
All information present, including:
● Business name
● Company logo (optional)
● Name(s) of the owner(s)
● Date
Table Of Contents
● Includes each major section.
● Includes page numbers.
● Organized and neat.
Executive Summary
● Type of ownership
● Management experience
● Organizational structure
Business Description
● Basic information (mailing address, phone number, website, email, etc.)
● Legal form (partnership, corporation, etc.) - be specific
● Mission statement
● Goals & objectives
● Keys to success
Product or Service Description
● Competitive Advantage
● Uniqueness of product
Market Analysis
● Behavior
● Target Market
● Promotion
● Strategy
● Commercial
Resources
● Product
● Merchandise
● Martials
● Distributors
Location Analysis
● Advantages/disadvantages of location
● Rents/costs
Structure
● Font size 12
● Double spaced
● 1" margins
● No typographical errors
● Spelling, grammar, sentence structure
Bookkeeping Tasks
FUNCTIONS OF BOOKKEEPING
A. Recording Financial Transactions
The following are some of the types of records should you keep as a bookkeeper:
1. Gross Receipts are the income you received form the business. These are cash
register tapes, deposit information, receipt books and invoices.
2. Purchases are the items you buy and resell to customers. These are the cash
register tape receipts, credit card receipts and statements, invoices.
3. Expenses are the costs you acquire other than purchases to carry on your business.
These are the cash register tape receipts, credit card receipts and statements,
invoices.
4. Assets are the properties such as machinery, equipment, furniture, facility and
land. These are proof when and how you acquire the assets.
5. Employment Taxes are specific employment tax records.
B. Posting Debits and Credits
At the end of a business period, the journal entries will transfer into their
respective ledger accounts.
1. Journal Entry refers to the book of original entry. For
each transaction, the journal shows the debit and credit
effects of an account. Companies may use various
kinds of journals. The most basic is the general leger/
general journal. General Ledger/ General Journal has
spaces for dates, account titles and explanations/
references and two amount columns. Entering
transaction data in the journal known as journalizing.
Non-Current Liabilities refers to the financial obligations in a company’s balance sheet are
not expected to be paid within one year. Are due in the long term, compared to short-term
liabilities, which are due within one year (Accounting Tools 2020).
Examples of non-current liabilities include:
Long-term leases, bonds payable, and deferred tax liabilities.
It shows in this figure, that you have an increase in asset (fixed asset)
and a decrease in asset (cash).
Expense Account
October 6, 2020, Pakat Kapampangan purchase office supplies in cash amounting to
50,000.00.
In this figure, it shows you have an increase in your expense and a decrease
in asset (cash).
Liability Account
October 7, 2020, Pakat Kapampangan borrowed Money from the Bank amounting to
100,000.00. Pakat Kapamangan promise to pay after one month with 10% interest of the
principal amount.
In this figure, it shows that you have an increase in asset (cash) and increase
in liability (accounts payable).
November 7, 2020, Pakat Kapampangan paid the loans to the Bank with
10% interest.
It shows in this figure that you have decrease in liability (accounts payable
and interest) and decrease in asset (cash).
Equity Account
October 4, 2020, Mr. Grant Flores invested 100, 000.00 in their new sticker business
“Pakat Kapampangan”.
In this figure, it shows that you have a decrease in owner’s capital (Mr.
Flores, capital) and you have an increase in asset (cash) in the business.
Revenue Account
October 10, 2020, Opening of Pakat Kapampangan, they earned 50,000.00 from
various customers.
In this figure, it shows that you have an increase in asset (cash) and an
increase in revenue (sales).
To fully understand the terms used in Bookkeeping Cycle , and the concept of debit
and credit balances, shown in the figure 3 below is a matrix of normal debit and credit
balances under of each of the five major accounts:
Account Type Debit Credit
ASSETS
Cash on Hand
Cash in Bank
Accounts Receivable
Notes Receivable
Inventories
Land
Building
Equipment
Accumulated Depreciation
Other Assets
LIABILITIES
Accounts Payable
Notes Payable
Salaries Payable
Mortgage Payable
Unearned Fees
OWNER’S EQUITY
Capital
Drawing
REVENUE
Service Revenue
Sales Revenue
Other Income
EXPENSES
Rent Expense
Utilities Expense
Depreciation Expense
Salaries and Wages Expense
Other Expenses
Figure 3. Matrix of normal debit and credit balances of sub-accounts
How to Journalize?
Let us journalize the given example. The illustration shows how to journalize the given
example.
References
2020. Accounting Tools. February 4. Accessed October 30, 2020. https://www.accountingtools.com/articles/what-are- liabilities.html.
Alicia, Tuovila. 2020. Investopedia. January 28. Accessed October 29, 2020.
https://www.investopedia.com/terms/a/accounting.asp.
Carlson, Rosemary. 2020. Small Business. September 17. Accessed October 29, 2020.
https://www.thebalancesmb.com/bookkeeping-101-a-beginning-tutorial-392961.
Edralin, Divina M. 2019. "Bookkeeping." In Entrepreneruship Revised Edition, by Divina M. Edralin, 119-123. Quezon City: Vibal
Group Inc.
Murphy, Chris B. 2020. Investopedia. October 26. Accessed October 31, 2020.
https://www.investopedia.com/terms/e/equity.asp.
Answer Key
Activity 1:
1. Asset 6. Equity
2. Asset 7. Equity
3. Liability 8.Asset
4. Asset 9. Asset
5. Asset 10. Asset
Activity 2:
1.a. Credit 2.a. Debit
1.b. Debit 2.b. Credit
1.c. Debit 2.c. Credit
1.d. Debit 2.d. Credit
1.e. Credit 2. e. Debit
Activity 3:
ENTREPRENEURSHIP
Week 8
863,451
1,113,451 Total Liabilities and Owner's Equity
ASSETS
Cash 808, 451
Supplies 20,000
Equipment 285,000
Total Assets 1,113,451
References
2020. Accounting Tools. February 4. Accessed October 30, 2020. https://www.accountingtools.com/articles/what-are-liabilities.html.
Alicia, Tuovila. 2020. Investopedia. January 28. Accessed October 29, 2020. https://www.investopedia.com/terms/a/accounting.asp.
Carlson, Rosemary. 2020. Small Business. September 17. Accessed October 29, 2020. https://www.thebalancesmb.com/bookkeeping-101-a-
beginning-tutorial-392961.
Edralin, Divina M. 2019. "Bookkeeping." In Entrepreneruship Revised Edition, by Divina M. Edralin, 119-123. Quezon City: Vibal Group
Inc.
Murphy, Chris B. 2020. Investopedia. October 26. Accessed October 31, 2020. https://www.investopedia.com/terms/e/equity.asp.
- Consider the teacher’s judgement in evaluating the learner’s answer.
BUSINESS NAME:
Written Business Plan Rubric Scoring Scale SCORE
Each section will be graded if it meets the requirements. It must have full explanations that provide all the necessary details
Cover Page
All information present, including:
● Business name
● Company logo (optional)
● Name(s) of the owner(s)
● Date
Table Of Contents
● Includes each major section.
● Includes page numbers.
● Organized and neat.
Executive Summary
● Type of ownership
● Management experience
● Organizational structure
Business Description
● Basic information (mailing address, phone number, website, email, etc.)
● Legal form (partnership, corporation, etc.) - be specific
● Mission statement
● Goals & objectives
● Keys to success
Product or Service Description
● Competitive Advantage
● Uniqueness of product
rket Analysis
● Behavior
● Target Market
● Promotion
● Strategy
● Commercial
Resources
● Product
● Merchandise
● Martials
● Distributors
Location Analysis
● Advantages/disadvantages of location
● Rents/costs
Financial Plan
● Start-up costs
● Pricing
● Forecasted revenue
● Preparation of Financial Statements
Structure
● Font size 12
● Double spaced
● 1" margins
● No typographical errors
● Spelling, grammar, sentence structure
Alejandrina M. Torres
Name of Writer