1

CHAPTER I
RATIONALE

Background and Justification of the Project

The Sweet potato (Ipomoea batatas), also known as camote, is an extremely

versatile and delicious vegetable and a root crop that possesses high nutritional value

(Mohanraj & Sivankar, 2014). This root vegetable is native to Central and South

America. They were first domesticated by Indigenous Peoples (IPs) in the region more

than 5,000 years ago and have since become an important staple crop in many parts of

the world. Sweet potatoes are now grown in more than 100 countries, with China, India,

and Indonesia being the largest producers. There are hundreds of varieties of sweet

potatoes; some have white or cream-colored flesh, while others are yellow, red, or

purple (Booth, 2021).

Pandan (Pandanus amaryllifolius), also known as screwpine, is a tropical plant

that is native to Southeast Asia, especially Indonesia, Malaysia, Thailand, and the

Philippines. The plant is characterized by its long, narrow leaves, which are used in

cooking for their distinctive aroma and flavor (Kumar & Yadav, 2017). It has fragrant

leaves that, when grown, would appear in spiky, fan-shaped bunches. In the Philippines,

there are forty-eight (48) species of pandan growing in various habitats, from forests and

mangroves to sandy beaches and residential backyards (Store Echo, 2022).

On the other hand, puto is a known Filipino delicacy and a carbohydrate-rich

snack cooked here in the Philippines. Some people sell it on the market or house-to-

house, in the case of ambulant vendors. Puto is good to eat because it is healthy and

safe. For those who love puto, this is made of sweet potato, all-purpose flour, and

pandan powder.
 2

Furthermore, puto using a sweet potato with pandan powder is another

development in utilizing sweet potato into something useful and profitable. The

proponent made use of sweet potatoes to add value to the crop. Re-introducing sweet

potato with pandan powder into puto within the locality will surely make the customer

satisfied because puto has health benefits for one’s body and is a source of

carbohydrates. After thorough thinking of what could be a possible commodity to

undergo innovation, the proponent made use of expanding the idea of another useful

utilization of sweet potato and came up with sweet potato puto with pandan powder as

an innovative product in Barangay Central, Manay, Davao Oriental.

 3

Significance of the Enterprise Development Project

This study is a product development project of sweet potato puto with all-purpose

flour, and pandan powder would be beneficial to customers to avail affordable and

nutritious snacks. The importance of this product was to utilized the sweet potato into

puto with pandan powder which is something new and nutritious. Since Barangay

Central, Manay, Davao Oriental, had an enough supply of this raw commodity, the

product innovation was benefited to the following sectors:

Children — Sweet potato puto has a nutritional component, it is rich in

carbohydrates and vitamins which children will surely love to eat.

Student — This study served as a reference in making processed food of similar

products.

Unemployed Community Members — To have a livelihood opportunity to gain

income to alleviate their financial problem every day.

Consumers — This study provides ideas on how to make a sweet potato puto

with pandan where the main ingredients are rich in different vitamins and nutrients.

Future Proponents — This study served as their guide reference for their future
relevant studies about product innovation of sweet potato puto with pandan powder.
 4

Objectives of the Enterprise Development Project

This study generally aimed to determine the viability and acceptability of sweet

potato puto with pandan powder as an innovative product which encourage the

utilization and add value to sweet potato puto with pandan powder in Manay, Davao

Oriental.

Specifically, the study aimed:

1. to conduct product market survey/taste test of sweet potato puto with

pandan powder;

2. to determine the total investment in processing sweet potato puto with

pandan powder;

3. to determine the necessary product costs;

4. to compute for the Return on Investment (ROI) in processing sweet potato

puto with pandan powder;

5. to compute the payback period in the processing of sweet potato puto with

pandan powder; and

6. to conduct shelf-life experiment of sweet potato puto with pandan powder.

 5

Scope and Limitation of the Project

The product development project on sweet potato puto with pandan powder was

conducted in Barangay Central, Manay, Davao Oriental. The proponent explored the

unique ingredients, flavors, and techniques used in creating sweet potato puto with

pandan powder in this area. Its preliminary introduction is only to the people in Manay,

Davao Oriental, where a free taste trial was conducted to measure the product’s

acceptability to the people within the area.

The study was limited to the gathering of data and meeting the following

objectives;

1. to conduct product market survey/taste test of sweet potato puto with pandan

powder;

2. to determine the total investment in processing sweet potato puto with

pandan powder;

3. to determine the necessary product costs;

4. to compute for the Return On Investment (ROI) in processing sweet potato

puto with pandan powder;

5. to compute the payback period in the processing of sweet potato puto with

pandan powder; and

6. to conduct shelf-life experiment of sweet potato puto with pandan powder.

 6

Operational Definition of terms

Sweet Potato an edible tropical tuber with pinkish orange, white or purple

with slightly sweet flesh.

Consumer a person who buys goods or services for personal use.

Entrepreneur a person who organizes and operates a business or

business,taking on greater than normal financial risks in order

to do so.

Product is the item offered for sale. A product can be a service or an

item. A thing or person that is result of an action or process.

Packaging the wrapping material around a consumer item that serves to

contain, identify, describe, protect, display, promote and

otherwise make the product marketable and keep it clean.

Puto an item of soft, sweet food made from a sweet potato mixture

of flour.
 7

CHAPTER II

REVIEW OF RELATED LITERATURE

Technical Field of the Technology

This chapter discussed the technical field of technology. Sweet potato puto with

pandan powder is a newly introduced product made from the root of sweet potato and

pandan powder. Sweet potatoes are a rich source of nutrients, including vitamins and

dietary fiber. Also, pandan has aromatic and flavor-enhancing properties. It is also

known for its potential health benefits, attributed to its rich phytochemical content.

The proponent chose this product development project because it is a unique

product since the material is available in the chosen area. Furthermore, it is an effective

way for people in Barangay Central, Manay Davao Oriental, to realize that this product

will help them have an additional income in their everyday lives.

Invention Spotting

Table 1 shows the relationship between the product invention using the prior art

search string to classify the product inventions closely related to the product. The

proponent compared the three (3) prior arts of the newly invented product from

components and procedures. In table 1 shows the component and procedure of the prior

art 2 are slightly the same as the new product as indicates there the similarity of method.

The prior art 2 is the same with sweet potato ‘puto’ with pandan powder for being the

same in methods of how it was made which is grinding, stirring, cooking.

 8

Table 1. Invention spotting

INVENTION Prior art 1 Prior art 2 Prior art 3
TECHNICAL
FEATURES
Sweet Potato Puto Making method Brown rice cake Cassava honeycomb
with pandan banana rice cake and preparation cake and
powder (KR20170124729A) method manufacturing
(CN10809464A) method
(CN105685184A)
Technical Problem
Solved:
Provide a pleasing It provides a It provides a It provides slow
aroma and pleasing aroma of sweet, delicious, aging, condensate
sweetness and is banana and tasty, and lower stability, and is rich in
rich in nutrition sweetness and is calorie dietary fiber.
rich in nutrition

 Color green  Color Yellow  Color Brown

(-) (-)
Composition

Made from sweet Made from banana Made from rice Made from
potato, all purpose wheatmeal and
flour and pandan honey
powder (-) (-) (-)
Method
 Sweet potato,  Banana,sticky  Brown rice,  Water, honey,
vanilla, sugar, rice powder, corn starch, white sugar,
all-purpose starch syrup, glutinous rice soybean oil, all
flour, pandan bread crumbs, flour, egg liquid,
powder, yeast, refined salt, mogroside, baking soda,
water, eggs, sugar,wheat stevioside, cassava flour
condensed milk baked-bread water
crumbs (-) (-)
(-)

Grinding Wrapping Grinding

(+) (-) (+)

Stirring Mixing Stirring Stirring

(+) (+) (+) (+)

Cooking Steaming Cooking (+) cooking

(+) (-) (-)
 9

Closest Prior Arts

The purpose of this prior art is to get the similar product invention and it helps to

classify the closest prior art. Among the three (3) prior arts presented in table 1, the

proponent concluded that prior art 2 is the closest among them. The sweet potato puto

with pandan powder main method is grinding, stirring and cooking, while prior art 2 is

grinding, stirring and cooking. Furthermore, the method of prior art 2 on how it was

made is the same with the new product.

Prior Art of the Technology

The existing prior art invented by HUANG FUYING was brown rice cake. The

main Ingredient of making this product is rice. The method of preparing it is done by

grinding, mixing and cooking. The new product has the same method as the existing

prior art the only difference are the ingredients used. Furthermore, the sweet potato is

easy to prepare since the components of this product are available.

According to (CN10809464A), this kind of processing of brown rice cake and

preparation method. It prepares the compositions by grinding, stirring and cooking.

Compared the technical problem to be solved by the present invention which is provides

a sweet, delicious, tasty, and lower calorie.

 10

Conceptual Framework/Conceptualization of the Project

The conceptual framework of the study is presented in Figure 1. This will show in

the input-process-output model in which the proponent applied this approach to analyze

the product invention’s input, process, and output. In this aspect, the input of the study

refers to the product of sweet potato with pandan powder, and the process it indicates

the step-by-step procedure. It follows the output which is the outcome of the project like

gathering all the ingredients.

PROCESS
(Creation)

1. Prepare the necessary

raw materials.
2. Wash the sweet potato
and leaves of Pandan.
PROCESS
3. Remove the peel of
(Creation)
sweet potato and grate it.
4. Cut the pandan leaves
INPUT after grinding until it OUTPUT
(Result) becomes a powder then (Ingredients)
add water to the pandan
Sweet potato powder, and sift it.  Sweet Potato
‘puto’ with 5. Mixed the all-purpose of  All purose of
Pandan powder flour into the grated sweet flour
potato, and the water that  Condense
came from the pandan milk
powder with the  Brown Sugar
ingredients.  Vanilla
6. Let it stand for 30 minutes  Pandan
for the mixture to rise powder
before putting it in the  Yeast
steamer.  egg
7. Cover and steam the puto
for 25 minutes.
8. Remove the puto from
the steamer and remove
it from the molder.
9. Pack the finished product

Figure 1. Conceptual Framework

 11

CHAPTER III

MATERIALS AND METHOD/PDP IMPLEMENTATION PLAN

Business Model Canvass

The business model canvas was a strategic management tool that help

businesses to visualized and analyzed the business model. The canvas was divided into

nine key elements representing the business model's building blocks, including key

partners, key activities, value proposition, customer relations, customer segment,

essential resources, channels, cost of a structure, and revenue stream.

Table 2. Business Model Canvass

Key Partners Key Activities Value Customer Customer
Proposition Relation segment
 Sweet  Product  Natural  Idea  Adult
Potato
farmers display  Additional Generation  Children
 Market
 BSAM  Processing Funds  Friendship  Puto
Program
 IPTBM  Product  Loyalty lovers
 Canteen
Exhibit  Restaurant

 Product  Men and

testing women

Key Channels

Resources

 Sweet  Online

Potato, all Selling

purpose  Canteen

flour,  Street

Pandan food/vendo

powder rs
 12

 Worker  BSAM

Program

Cost Structure Revenue

Streams

 Fix cost Sales revenue of Sweet Potato

 Variable cost Puto with Pandan Powder

 Marked up pricing

Table 2 shows all the aspects of new business, both internal and external. This

organizational tool was used to help the proponent visualize and explain everything

about the idea and concept of the business. The key partners listed are the sweet potato

farmers, market, canteen, Bachelor of Science in Agribusiness Management program,

and IPTBMO program. Sweet potato farmers are one of the critical partners in this

project since this is where the proponent would get the sweet potato supply. In terms of

the market and canteen, they will help sell the product. Furthermore, the Bachelor of

Science in Agribusiness Management program and the IPTBMO program will also help

implement this new product through demonstration exhibits and fundamental techniques

and strategies.

The listed vital activities of this project are product processing, product exhibit,

product display, and product testing. These activities served as the basis for what to do

during business operations. Aside from that, the value proposition is also included in the

business model. It is a short statement that explains the uniqueness of the product.

Customer relations that can be formed are friendship, loyalty, and idea generation.
 13

Regarding the customer segment, the proponent focused on adults, children,

puto lovers, and restaurants. Sweet potato puto with pandan powder, labor, and workers

are the critical resources for this project. The distribution channels are online sales,

canteens, street food, and the Bachelor of Science in Agribusiness Management

program. Cost structure and revenue streams were also included to set pricing and know

the various sources from which a business earns money.

Invention/Technology Assessment

The area studied assessed the viability of the new product on the market and

consumer acceptability. In a highly competitive market, the proponent determined how

significantly this product differ from similar products already on the market. Assessment

of the product was done to see whether it satisfied the demands or desires of the

customers.

1. Intellectual Property (IP) Potential

This Product Development Project is about processing sweet potato, all-purpose

flour pandan powder into puto. This new product is made from sweet potato, and pandan

leaves. The proponent wants to change people's perspective regarding this useful raw

material.

The proponent of this study believed that this product is unique and new. From

the three prior artworks presented on the invention spotting, two prior art is not the same

as the new product.

 14

2. Organizational/Management Feasibility Tool

In this aspect, management feasibility refers to the assessment of the viability

and acceptability of bringing the sweet potato puto with all-purpose flour, and pandan

powder product to the market. It also analyzes the project venture to determine whether

this product will lead to success.

a. Business Structure

This study is a sole proprietorship, which might be the best choice for business

structure. Since a sole proprietorship is an unincorporated business owned by a single

individual, the owner has complete authority over every aspect of the business.

Furthermore, it is the simplest business form under which one can operate. For this, by

analyzing the components that could contribute to the project's or venture's

achievement, it will examine the venture's viability.

b. SWOT analysis

Swot analysis is a planning process that helps your company overcome

challenges and determine what new leads to pursue. Table 3 presents the SWOT

analysis for the product on sweet potato puto with all-purpose flour and pandan powder.

Table 3. SWOT Analysis

Strengths Weakness

 Innovative Product  Less customer

 Favorable ideas from other  Human resources
customers
 Expansion of products  Slow flow of income

Opportunities Threats

 Attractive to the costumers  Competitors

 Have extra income  Increasing cost of ingredients

 Lack of capital
 15

SWOT analysis is a method developed for business and industry. Additionally, it

is equally valuable for the work of community health development, education, and even

personal growth. SWOT is not the only assessment technique you can use. It is to

determine if this is the right approach for your situation. The strength of this method is its

simplicity and application to various levels of operation.

Thus, a realistic recognition of the weaknesses and threats to your effort is the

first step to countering them with robust strategies that build upon the strengths and

opportunities. To make good strategic plans and decisions.

Operations and HR Plan

Table 4 shows the human resources and operational plans for the product. The

human resource component of this plan involves analyzing people's needs and planning

to meet them. It includes current staff, key skills, a hiring budget, and growth plans to

accurately forecast future requirements based on business goals.

The operational plan for this product involves a procedure for measuring external

behavior and using those measurements to evaluate the effectiveness of the product in

practice. It is essential that everyone in the system has the same understanding and

collects data in the same way. An operational plan should therefore be made before the

collection of data starts.

 16

Table 4. Human Resource and Operational Plan

Human Resource Operational Plan

 The HR team takes the  Establish Communication is a very

responsibilities of training, important part of any planning

development, compliance, and process. Communication is essential

employee productivity off the hands for everyone to understand why each

of the leadership team, allowing specific metric is chosen, why they

them to focus on what they do best. matter, and how they can help the

organization achieve its goals.

 The human resources team can  The Operational plan and the

help a small business fill a crucial strategic strategy should complement

role with the right person. They can one another to advance the

carefully develop the ideal incentive company. If you can find a

and benefits packages to make the component of your operational plan

business desirable and competitive. that doesn't fit into your model

Additionally, they can work to strategic plan, it shouldn't have been

develop a workplace culture that included in the first place.

motivates workers to give their all

and stick around for a long time.

 17

c. Organizational Structure

The Organizational structure in Figure 2 shows the intercourse of the

manager/owner to the organization. The owner who manages the operation will keep the

business safe and legal. They are responsible for their financial obligations.

Owner Worker

Figure 2. Organizational Structure

d. Roles and Functions of Officers/Employee roles, job descriptions, skills needed

Owner/Manager- Creates plans and the general vision and mission of the company.

He set goals, work on these goals, and ensure that the business keeps running.

Furthermore, business owner is responsible for the business's growth, stability, direction

and daily operation.

Worker- a person who is hired do to work and is paid.

 18

Roles and Function of Officer

Table 4 presents the roles and functions of personnel, such as the position, job

qualification, duties and responsibilities of the manager and worker to ensure that they

effectively manage the day-to-day operations and the performance task.

Table 5. Roles and Functions of Personnel

Position Job Qualification Function Duties and
Responsibilities
Manager  Must have good critical  The  Shall have full
thinking, Hardworking, manager command and
leadership, and shall be control of the
 Must be a graduate of the chief enterprise's
any related course. executive maintenance,
 Requires an excellent officer of operation, and
moral character the entire business
enterprise. affair.
Workers  Must be innovative  Performing  Must be obliged
 Have a good moral the entire to submit all the
 Must be a legal age task given decisions to the
 Must be at least a high manager.
school or senior high
graduate

3. Technical/Industrial Feasibility Tool

Industrial Feasibility entails an assessment of the overall appeal of an industry

and the target market for the prospective products. In general, much more technical

when you consider the costs of production, the materials used, the labor force,

marketing requirements, and pricing strategies. This product development project study

maintains its central plan and the potential production factors in terms of a feasibility

study.
 19

a. Technology Identification
The purpose of this study is to determine the primary technologies involved and

how they can influence the product design. Generally, the product label used to offer a

clear description of the technology in this study of the product development project on

sweet potato puto with pandan powder. This technique allows for easy product

identification and marketability of costumes.

b. Technology Readiness
The Product Development Project on sweet potato puto with pandan powder

adapt its technology to catch customer readiness and preference. Furthermore,

technology readiness may provide information to the product invention. It includes

everything to do with the work system and ensuring it is ready for development and live

service through all the processes and practices.

c. Target Market
The proponent processed the product in Manay, Davao Oriental. Specifically, the
target consumers are children, puto lovers, adults, men, women, and canteens who sold
the product in the locality.

d. Technical Processing
The technical processing means the performance of technical task related to

processing operating tool applied for the implementation of sweet potato with all

purpose flour, and pandan powder into puto. This includes the process, and step-by-step

procedures to get the final output in terms of quality and uniqueness of the product. It

also shows the detailed processed of making the product from the beginning until the

last process of the product.

 20

i. Facilities/Location and Production/Operation

Project Location

Figure 3 shows the location of the processing area in Manay Davao Oriental. The

proponent chose the area due to the availability raw materials. Furthermore, the

proponent's product is new and not yet in the locality.

Project
Location

Figure 3. Map of Manay, Davao Oriental

Facilities
Aleria’s Canteen

Figure 4. Facilities of the Product Study

Figure 4 shows the facility of the project. It also serves as the display center of

the product.
 21

Operations

COMFORT ROOM

STORAGE
STORAGE ROOM
ROOM

KITCHENAREA
PRODUCT DISPLAY

CASHIER

Figure 5. Operation production of the study

Figure 5 illustrates the floor plan of the processing area of the product. It has

surrounding component such as kitchen, cashier’s area, product display, comfort room

and storage room.

 22

ii. Kitchen utensils, tools and Supplies

The Kitchen utensils, tools, and supplies used in the processing of sweet potato

puto with all-purpose flour, and pandan powder are also needed. The following supplies

are used to create 400 boxes containing 6 pieces of sweet potato puto all-purpose flour

with pandan powder for one-month operation.

Table 6. Kitchen utensils, tools and Supplies needed in processing Sweet Potato
Puto with all-purpuse flour, and pandan powder
Kitchen tools and utensils

 1 piece of hairnet

 1 piece of apron

 2 pairs of disposable gloves

 2 mixing bowls

 1 puto steamer

 2 spatula

 10 puto molder

 1 cutting tools (knife)

 1 shredder

 1 burner

Supplies

 20 kilogram sweet Potato

 20 kilogram all purpose flour

 165 grams Condense milk

 1 btl. Vanilla

 1 kl. Sugar

 instant yeast
 23

 40 eggs

 pandan powder

iii. Product Processing

 24

The process of making sweet potato puto with pandan powder, this procedure is

followed: (Refer to Figure 6)

START
a

Preparing the necessary raw materials.

b

Washing the sweet potato and leaves of pandan

c
Removing the peel of sweet potato and grate it.
d

Cutting the pandan leaves after grinding until it becomes a powder

then add water to the pandan powder, and sift it.
e

Mixing the all-purpose of flour into the grated sweet potato, and the
water that came from the pandan powder with the ingredients.
f Let it stand for 30 minutes for the mixture to rise before putting it in the
steamer.

g
Covering and steam the puto for 25 minutes.
h

i Removing puto from steamer and replace it from molder.

Packing the finished product.

END
Figure 6. Processing Flow Chart

Claims
 25

1. A procedure of producing sweet potato puto with pandan powder comprising the

following steps of:

a. Preparing the necessary raw materials.

b. Washing the sweet potato and leaves of pandan

c. Removing the peel of sweet potato and grate it.

d. Cutting the pandan leaves after grinding until it becomes a powder then

add water to the pandan powder, and sift it.

e. Mixing the all-purpose of flour into the grated sweet potato, and the water

that came from the pandan powder with the ingredients.

f. Let it stand for 30 minutes for the mixture to rise before putting it in the

steamer.

g. Covering and steaming the puto for 25 minutes

h. Removing puto from streamer and replace it from puto molder

i. Packing the finished product

2. The procedure according to claim 1. the process begins with prepare the

necessary raw materials.

3. According to the procedure of claim 1. washing the 1 kilogram of sweet potato

and 10 pieces leaves of pandan .

4. The procedure according to claim 1. next is removing the peel of sweet potato.

5. According to the procedure of claim 1. Cutting the pandan leaves after grinding

until it becomes a powder then add water to the pandan powder, and sift it.

6. The procedure according to claim 1. mixing the 1 kilogram of all purpose of flour

into the grated sweet potato, and the water that came from the pandan powder

with the ingredients.

 26

7. According to the procedure of claim 1. let it stand for 30 minutes for the mixture

to rise before putting it in the steamer. Cover and steam the puto for 25 minutes.

8. The procedure according to claim 1. removing puto from steamer and replace it

from puto molder. Packing the finished product

9. The sweet potato puto with pandan powder is obtainable by the process of the

preceding claims.

4. Financial Feasibility

Financial feasibility determines if a business idea is sustainable or even

attainable. It also examines the expenses of starting, operating, and maintaining the

business and analyzes all of the critical aspects of the project to determine the

probability of completing it successfully.

As part of the financial, this study emphasized the significance of financial

feasibility, particularly for any organization that considered putting an investment to earn

an income. This kind of research entails thorough evaluating a project’s financial

performance, along with a cost and revenue analysis. The study includes variables

including market size, competition, and pricing strategy to assess potential revenue.

a. Capital Requirement

Capital Requirements is one of the most important aspect on starting a business. it

is a sum of funds that needed on starting a business. it also sustained the business until

it become profitable.

The proponent of this study was the one who determine how much money was

needed to process Sweet potato puto with all-purpose flour and pandan powder..

Therefore, the capital requirement of the project was PhP18,000.00.

 27

b. Source of Funds

When it comes to funding a business or project, there are several potential

sources of funds that can be considered. The choice of funding sources depends on

factors such as the nature of the business, the amount of capital required, the stage of

the business, the risk involved, and the preferences of the business owner.

c. Financial Assumptions

The following are the financial assumptions of the enterprise;

1. The initial investment cost is 497,353.00 incured in one-year operation.

2. The production volume is 40 boxes per day, 200 boxes per week, 800 boxes per

month, and 9,600 boxes per year.

3. The operation lasted 1-year operation

4. The Labor cost is PhP 204,000.00 for the manager and PhP 96,000.00 for one

worker per year

5. The administrative overhead expense is PhP 204,000.00

6. The cost/price of sweet potato puto with all-purpose flour, and pandan powder is

72 per box and 9 pesos each.

d. Revenues

Revenue is the money generated by conducting regular business operations,

which is determined by dividing the average sales price by the quantity of items sold.

Table 6 shows the total revenue of sweet potato puto with all-purpose flour, and pandan

powder is 40 boxes for the total revenue of PhP 2,880.00 per operation, 200 packs

costing PhP 14,400.00 per week, 800 boxes for PhP 57,600.00 for one month, and

9,600 for the total revenue of PhP 691,200.00 per year.

Selling Price = Total Processing Expense/

 28

Volume of Production per month

= 38,870.00/ 27%
2,000
= 19.435/ 0.27
= 71.98

Selling Price = Variable cost + Fixed Cost

Volume of Production
= 188,376+2,032.00
19,749
= 9.64

Table 6. Revenue of Sweet Potato puto with all-purpose flour, and Pandan
Powder
NUMBER OF PRODUCTS SOLD
PRICE Per Operation Per Per Per
Week Month Year
PhP 72.00 40 pack 200 pack 800 pack 9,600 pack
Total
Revenue PhP 2,880.00 PhP 14,400.00 PhP 57,600.00 PhP 691,200.00

e. Cost of Production

The sum of money required to open an account or start a buy-in relationship is

known as an initial investment. The two distinct but related industries of banking and

long-term investment brokering are the main uses of the term "initial investment." In

order to establish ownership of an account, it is typically necessary to make an

investment in the form of an initial deposit. The same initial investment deposit

establishes ownership but is typically made with the intention of using it to fuel future

growth.

i. Capital Expense

Table 7 shows the capital expense of the kitchen utensils, equipment, and

furniture, and fixtures needed for processing the sweet potato and pandan powder into

puto. The total of Kitchen utensils is PhP 2,467.00, equipment is PhP 2,467.00, an
 29

annual dep of PhP966.00, and furniture and fixture are PhP1,500.00 an annual dep of

PhP 500.00.

Table 7. Capital Expense

Kitchen Utensils

Unit
Particular Qty Unit Total Cost Annual Dep
Price
Molder 3 Set 27.00 81.00 81.00 6.75
Apron 2 pcs 60.00 120.00 120.00 10.00
Hairnet 2 pack 50.00 100.00 100.00 8.33
Chopping 2 pcs 80.00 160.00 160.00 13.33
Board
Knife 2 pcs 35.00 70.00 70.00 5.83
Mixing 4 pcs 106.00 424.00 424.00 35.33
bowl
Measuring 1 set 30.00 30.00 30.00 2.50
cups
Spoon 2 pcs 159.00 318.00 318.00 26.50

Ladle 2 pcs 50.00 100.00 100.00 8.33

Plate 1 set 220.00 220.00 220.00 18.33

Tray 3 pcs 128.00 384.00 384.00 32.00
Disposable 4 pack 65.00 260.00 260.00 21.67
Face mask
Disposable 4 pack 50.00 200.00 200.00 16.67
gloves
205.58
Sub-total 2,467.00 2,467.00

Equipment
Wall Fan 2 unit 399.00 798..00 266.00 22.17
Steamer
1 unit 800.00 800.00 570.00 22.22

Gas Stove 1 unit 1,300.00 1,300.00 433.33 36.11

 30

Sub-total PhP2,467.00 PhP966.00 80.50

Furniture
& Fixture
Tables and
1 set 1,500.00 1,500.00 500.00 41.67
Chairs
Sub-total PhP1,500.00 500.00
 31

ii. Operating Expense

These are the costs that were computed per operation. Table 8 shows the

operating expenses of direct or raw material and indirect or supplies operations. The

amount of direct or raw materials is PhP 384.00 per operation, and indirect or supplies is

PhP 600.00.

Table 8. Operating Expense

Per Operation
Particulars Cost/ Cost/ Unit
Qty Unit Price
Operation
Direct/Raw
Materials

Sweet Potato 2.00 kgs 40.00 80.00 2.00

Pandan Powder 0.06 kgs 100.00 6.00 0.15

All-purpose flour 2.00 kgs 48.00 96.00 2.40

Yeast 0.03 kgs 250.00 7.50 0.19

Brown sugar 0.12 kgs 70.00 8.40 0.21

Vanilla (60ml) 1.00 bottle 45.00 45.00 1.13

Condensed milk(165
2.00 can 53.00 106.00 2.65
grams

Egg 4.00 pcs 9.00 36.00 2.25

Sub-total 384.90 10.98
Indirect
Materials/Supplies
Product label 40 pack 2.50 100.00 2.50

LPG Gas 0.25 tank 1,200.00 300.00 7.50

Product packaging 40 pack 5.00 200.00 5.00

Sub-total PhP600.00 15.00

Iii Labor Requirements

 32

Table 9 shows the direct labor and administrative cost. The total of PhP

850.00 per operation.

Table 9. Labor Requirements

Per Operation
Particulars Cost/ Cost/
No. Unit Rate/Day
Operation Unit
Direct Labor
Laborer 1 Day 400.00 400.00 10.00
Administrative Cost
Manager 1 Day 450.00 450.00 11.25
Sub-total PhP 850.00 21.25

iv Pre-Operating Expense

Table 10 shows that the pre-operating expense is computing the expenditure like

the fixed capital requirement and operating expense. The total cost of pre-operating

expenses is PhP 3,067.00.

Table 10. Pre-operating Expense

Items Amount

Fixed Capital Expense 2,467.00

Operating Expense 600.00

Total Pre-Operating expense PhP 3,067.00

v Processing Expense
 33

Table 11 shows the processing expenses of direct cost and indirect cost for the

year. The following particulars were provided direct labor, materials, utensils and utilities,

supplies, and indirect labor. The overall processing cost in one year was PhP

466,441.00.

Table 11. Processing Expense in 1 Year Operation

PARTICULARS Y1

Direct Labor 19,200.00

Materials 92,376.00

Utensils and Utilities 6,865.00

Supplies 144,000.00

Indirect Labor (Manager) 204,000.00

TOTAL PROCESSING COST PhP 466,441.00

vi Marketing Expense

The marketing expenses utilized in the introduction of a product or strategy to

build a new innovative product in the market. Table 12 shows the marketing expense of

advertising, with a total of PhP 50,112.00 for 1 year operation.

Table 12. Marketing Expense

Marketing Y1
Advertising 50,112.00
Total
PhP 50,112.00

vii Administrative/ Overhead Expense

 34

Administrative expense is the cost utilized as overhead for the enterprise needed

in an operation. Table 13 shows the total of administrative expenses at PhP 54,119.0 for

one year operation.

Table 13. Administrative Expense

Administrative Overhead Expense Y1

Utility Expense

Electric & Water 16,800.00

Rent Expense 9,600.00

Miscellaneous -

Permit and Licences 3,275.00

Microbial test 14,844.00

Transportation 9,600.00

Total Administrative Expense PhP 54,119.00

Market Feasibility
 35

Conduct Market Survey/Product Testing

There was a product taste test for potential consumers. The proponent chose

potential consumers to perform product testing, particularly in the locality of Manay,

Davao Oriental. Moreover, the proponent had an actual interview by using the market

survey questionnaire to every potential costumer to determine the acceptability of the

product which is sweet potato puto with all-purpose flour, and pandan powder.

1. Market Survey Questionnaire

The market survey questionnaire was used to study results. This study was

guided with the hedonic scale to test its appearance, texture, aroma, color, and general

acceptability. The survey was conducted to determine the acceptability and viability to

the potential market and costumers.

Ethical Consideration
 36

This study followed the ethical considerations specified as one of the most

important parts of the research. This study may even be doomed to failure if this part is

missing.

 The respondents' voluntary engagement in the study is crucial. Also, participants are

free to leave the study at any time if they choose to do so.

 Respondents had given their informed consent to participate during the conduct of

the study. According to the principle of informed consent, researchers provided

participants with enough information and assurances regarding their involvement to

enable them to fully comprehend its ramifications and make an informed decision

about whether or not to do so, free from any pressure or coercion.

 According to the Dissertation Handbook, acknowledgement of other authors' works

utilized anywhere in the dissertation must be made using the APA reference style.

 Anti- plagiarism from the relevant sources, the researcher acknowledges, gives

honor and credit to the owner. This demonstrates the owner’s regard for their

intellectual property

CHAPTER IV
 37

RESULTS AND DISCUSSION

The results and discussion section of a research study is where the proponent

presents and interprets the data collected from the study. In this section, the proponent

provides a clear and concise summary of the research findings, highlighting the most

important and relevant results.

Socio-demographic Profile of Respondents

The respondents of this study played a role in the sake of the general

acceptability of the product Sweet potato uto with all-purpose flour, and pandan powder.

These gave honest responses and solid facts in answering the market survey provided by

the proponent. The proponent had gathered 57 female respondents and 43 males. As a

result of the market survey both male and female respondents most of them highly

accepted the product and has the potential to be their source of income.

In addition, civil status constituted 52 singles, 40 married individuals, 6 widowed

individuals, and 2 respondents were separated from their spouse. Age allowed us to know

that 20 and below have 39 respondents, 21-31 with 31 respondents, 31-40 with 16, 41-50

with 4 participants, 51-60 with 8 participants, and 60 years old and above with 2 of them

completing the survey. 43% of males were covered in this study, with 57 for females.

Among the participants, 12 of respondents are elementary level, 9 respondents are

elementary graduate, 21 respondents for high school level, 32 of the respondents are high

school graduates, 17 respondents for college level, 4 respondents for college graduate, and

5 respondents for Technical/ Vocational.

As a result, based on the key findings from all age ranges, the developed project is

considered highly significant and desirable to them to be their source of income.

Table 14. Socio-demographic Profile of Respondents

 38

Total no. Of Respondents: 100 Frequency Count Percentage (%)

Civil Status
Single 52 52%
Married 40 40%
Widow/widower 6 6%
Separated 2 2%
Age
20 yrs.old & above 39 39%
21-31 yrs.old 31 31%
31-40 yrs.old 16 16%
41-50 yrs.old 4 4%
51-60 yrs. Old 8 8%
60 yrs. old & above 2 2%
Gender
Male 43 43%
Female 57 57%
Educational Attainment
Elementary Level 12 12%
Elementary Graduate 9 9%
High school Level 21 21%
High school Graduate 32 32%
College Level 17 17%
College Graduate 4 4%
Technical / Vocational 5 5%
Post Graduate Studies 0 0%

Table 14 shows the demographic profile of the classified respondents. It also

shows the total of percentage of 57% of females and 43% of males. Further, it indicates the

percentage of all ages ranges from 20 to 60 above. The total respondents have highly

participated in the results of the product development project.

Market Survey Results

 39

The market survey, results are based on the level of acceptability and consumer

food scale. The gender was classified into male and female respondents. Overall, these

respondents were highly in favor of purchasing sweet potato puto with all-purpose flour,

and pandan powder. The proponent only measured the product through their perception

in the field of its appearance, taste, color, texture, and its general acceptability. They

were heavily accepted and received by the respondents with positive results. The level

acceptability of sweet potato puto with all-purpose flour, and pandan powder for

appearance, female scored 26 than the male's 20. For taste, female scored 29 higher for

the male which is 17. For color, 32 of the females scored higher than male which is 26.

For texture, 28 for the females were scored higher than compared 20. Lastly, the general

acceptability presented positive reviews from the respondents, with 38 for female saying

they very like it much compared to male's 27.

Level of Acceptability

To determine the Level of acceptability of Sweet potato puto with all-purpose

flour and pandan powder in Manay, Davao Oriental. Table 17 to 24 shows the result

during market survey.

Table 15. Have you heard of Sweet potato ‘puto’ with pandan powder before?
 40

Male Score Percentage

Yes 8 8%
No 35 35%
Female
Yes 6 6%
No 51 51%

Table 15 shows the results with regards to respondents who were questioned if

they had ever heard sweet potato ‘’puto’’ with all-purpose flour and pandan powder.

These findings shed light on survey respondents' knowledge of sweet potato "puto" with

all-purpose flour and pandan powder. It demonstrates that more men (eight) than

women (six) had heard of it. However, the majority of males (35) and females (51) gave

negative answers, showing that the questioned population's familiarity with sweet potato

puto," all-purpose flour, and pandan powder isn't very high.

 41

Table 16. Would you consider purchasing Sweet potato ‘puto’ with pandan
powder?
Male Score Percentage
Yes 43 43%
No 0 0%
Female
Yes 56 56%
No 1 1%

Table 16 shows the results with regards to respondents who were questioned in

a market study if they would think about buying sweet potato "puto" with all-purpose flour

and pandan powder. These findings show that both male and female respondents are

quite interested in buying sweet potato "puto" with all-purpose flour and pandan powder.

A majority of the 56 female respondents also demonstrated a favorable disposition

toward making a purchase, whereas all 43 male respondents indicated a desire to

explore buying the product. Only one female respondent expressed disinterest in the

survey.
 42

Table 17. How much would you be willing to pay for a package of Sweet potato
‘puto’ with pandan powder?
Male Score Percentage
10.00-20.00 6 6%
30.00-40.00 10 10%
50.00-60.00 0 0%
Female
10.00-20.00 54 54%
30.00-40.00 30 0%
50.00-60.00 0 0%

Table 17 shows the results with regards to respondents in the market research

who were asked how much they would be willing to spend for a packet of sweet potato

"puto" with all-purpose flour and pandan powder. These findings show that the price

range between which respondents, both male and female, were mostly willing to spend

for a package of sweet potato "puto" with all-purpose flour and pandan powder was

between Php 10.00 and Php 20.00. The participants in the study showed the highest

level of acceptability for this price range. Only one male respondent indicated he would

be prepared to spend between Php 30.00 and Php 40.00, demonstrating minimal

interest in paying higher prices. No respondents, male or female, indicated a desire to

purchase a bundle costing between PHP 50.00 and PHP 60.00. Based on these

findings, companies could think about pricing their Sweet potato "puto" with all-purpose

flour and pandan powder between Php 10.00 and Php 20.00 to match target market

preferences and expectations and increase market acceptance.

 43

Table 18. How often would you purchase Sweet potato ‘puto’ with pandan powder ?
Male Score Percentage
Once a month 27 27%
Twice a month 14 14%
Thrice a month 2 2%
Female
Once a month 26 26%
Twice a month 20 20%
Thrice a month 11 11%

Table 18 shows the results with regards to respondents who were questioned

about how frequent they would buy sweet potato 'puto' with all-purpose flour and pandan

powder. These findings show that the individuals in the survey had different buying

habits. Male and female respondents alike showed a desire to regularly buy sweet

potato "puto" with all-purpose flour and pandan powder. The precise frequency changed,

though. Male respondents most frequently said they would buy it once a month, while

female respondents said they would buy it once a month.

 44

Table 19. What do you think of the taste of Sweet potato ‘puto’ with pandan
powder?
Male Score Percentage
Good 18 18%
Better 14 14%
Best 11 11%
Female
Good 25 25%
Better 19 19%
Best 13 13%

Table 19 shows the results with regards to respondents who were asked to rate

the flavor of sweet potato 'puto' with all-purpose flour and pandan powder in a market

study. These results imply that sweet potato 'puto' with all-purpose flour and pandan

powder is generally recognized as having a good flavor. Businesses promoting the

goods might use this favorable perception as a powerful selling tool. Businesses can

improve a product's appeal, draw in new clients, and promote repeat business by

highlighting its delectable flavor and capitalizing on good consumer feedback.

 45

Table 20. Do you have any concerns of hesitations about consuming Sweet potato
‘puto’ with pandan powder?
Male Score Percentage
Yes 0 0%
No 43 43%
Female
Yes 1 1%
No 56 56%

Table 20 shows the results with regards to respondents who were questioned if

they were hesitant or worried about eating sweet potato "puto" with all-purpose flour and

pandan powder. These findings show that the participants in the survey had very few

reservations or concerns about eating sweet potato "puto" with all-purpose flour and

pandan powder. Male and female respondents in large numbers did not express any

concerns, demonstrating a high degree of acceptance and confidence in the product.

This result implies that the product is generally well-liked and does not cause the target

market to express any serious worries. It suggests an optimistic attitude and a readiness

to try sweet potato "puto" with all-purpose flour and pandan powder.
 46

Table 21. Do you have any suggestions for improving the product, its packaging or
labeling?
Male Score Percentage
Yes 0 0%
No 43 43%
Female
Yes 1 1%
No 57 57

Table 21 shows the results with regards to respondents who were asked in the

market study if they had any recommendations for enhancing the product, its packaging,

or its labeling. These findings show that the majority of respondents, both men and

women, had no suggestions for enhancing the product, its packaging, or its labeling. It

means that consumers' perceptions of the product, packaging, and labeling were

generally positive and that they met their expectations. Even though there was only one

female respondent who suggested improving the labeling of the product, it still

emphasizes the value of taking consumer feedback into account and implementing

suggestions for ongoing improvement.

 47

Table 22. Are there any other flavors or ingredients you would like to be added to
the product?
Male Score Percentage
Yes 0 0%
No 43 43%
Female
Yes 1 1%
No 56 56%

Table 22 shows the results with regards to respondents who were asked if there

were any other tastes or substances that should be included in the product. These

findings suggest that the majority of respondents, both men and women, did not feel that

the product needed any additional flavors or components. It implies that the sweet potato

"puto" with all-purpose flour and pandan powder's present flavor or ingredients were

acceptable to the participants in the survey. Even though there was only one female

respondent who offered a recommendation, it is nevertheless insightful feedback that

companies should consider when assessing prospective product improvements. It

highlights the value of customer preferences and the potential for experimenting with

new flavors or ingredients to appeal to a wider variety of palates.

Consumer Food Action Scale

The results of evaluating the sweet potato puto with all-purpose flour, and

pandan powder is that the respondents used the Hedonic scale in which the estimated

score was used to put the consumer’s preferences individual scoring. The proponent

used the questionnaire to measure the viability and acceptability of the product

invention.

The 100 respondents served as the initial consumers of the product taste test of the

sweet potato puto with all-purpose flour, and pandan powder. Finally, the respondent
 48

answered survey questionnaire honestly and raised some questions and

recommendations that can improve the product well.

In this section, the proponent only measured the product through their perception

in the field of its appearance, taste, color, texture, and its general acceptability. They

were heavily accepted and received by the respondents with positive results.

Table 23. Consumer Food Action Scale Statistical Analysis

Hedonic Appearanc Taste Color Texture General
Scale e Acceptability
Scale x F FX F FX F FX F FX F FX

8.1- 8.5 19 162.4 20 171 19 162.4 14 119. 13 111.1

9.0 5 5 5 7 5
7.1- 7.5 46 347.3 44 332.2 58 437.9 47 354. 65 490.7
8.0 5 85 5
6.1- 6.5 35 229.2 34 222.7 22 144.1 39 255. 22 144.1
7.0 5 5 45
5.1- 5.5 0 0 2 11.1 0 0 0 0 0 0
6.0 5
4.1- 4.5 0 0 0 0 0 0 0 0 0 0
5.0 5
3.1- 3.5 0 0 0 0 0 0 0 0 0 0
4.0 5
2.1- 2.5 0 0 0 0 0 0 0 0 0 0
3.0 5
1.1- 1.5 0 0 0 0 0 0 0 0 0 0
2.0 5
0.1- 0.5 0 0 0 0 0 0 0 0 0 0
1.0 5
Total 10 739 10 737 100 744.4 100 730 100 746
0 0 5
Mean 7.39 7.37 7.44 7.37 7.46
 49

Average
Table 23 shows the statistical Analysis on the free-taste conducted for the sweet

potato puto with all-purpose flour, and pandan powder. To find the x class mark, just add

two value of scale and divide it by to find the average and for the range average, the fx

were divided by the total number of evaluation survey given the result Burabod “suman”

flavored with banana.

Where in:

x- class mark

f- frequency

fx- total multiplied of f and x

Hedonic Scale Result

 50

The hedonic scale result shows the parameters of appearance, taste,color,

texture, and the general acceptability of the product. Then, include the mean average,

the adjectival Rating of the parameters, and lastly, the descriptive interpretation of the

said adjectival rating.

Table 24. Hedonic Scale Result and Description

Attributes Range Average Description Level Description

Interpretation

Appearance 7.39 Like very much This means that the

appearance of Sweet
potato puto with
pandan powder is
like very much.
Taste 7.37 Like very much This means that the
taste of Sweet potato
puto with pandan
powder is like very
much.
This means that the
Color 7.44 Like very much taste of Sweet potato
puto with pandan
powder is like very
much.
Texture 7.37 Like very much This means that the
Texture of Sweet
potato puto with
pandan powder is
like very much.
General 7.46 Like very much This means that the
General of Sweet
Acceptability
potato puto with
pandan powder is
like very much.
The scale above indicates the following;

8.1-9.0 Like Extremely

 51

7.1-8.0 Like Very much

6.1-7.0 Like Moderately

5.1-6.0 Like slightly

4.1-5.0 Neither like or dislike

3.1-4.0 Dislike slightly

2.1-3.0 Dislike moderately

1.1-1.0 Dislike Extremely

Table 24 shows the hedonic scale result of its mean average. The appearance

score is 7.39; the adjectival rate is like very much, which means that the respondents

like the appearance very much.The hedonic scale result of taste is like very much, which

is 7.37. The respondents rated the hedonic scale for its color at a very high 7.44 on its

mean average. While the texture of the proponent on the hedonic scale was rated at a

mean average of 7.37, the respondents liked it very much. Lastly, The general

acceptability of the hedonic scale result rated the respondents as like very much with a

mean average of 7.46.

Financial Results
 52

Financial results refer to the financial performance of a company over a specific

period of time, typically a quarter of a year. Financial results are typically measured

using statements such as the income statement, balance sheet, and cash flow

statement, which provide information on a company’s revenue, expenses, assets,

liabilities, and cash flow. Financial results can be used to assess the profitability,

liquidity, solvency of a company. As well as its ability to generate cash flows and to meet

its financial obligations.

Income Statement

Income statement is used to determine the outcome or result of operation in a

period. It is one of the business’s core financial statements that shows the revenues and

expenses of the business over a period of time. Furthermore, financial performance is

assessed by giving a summary of how business incurs its revenues and expenses

through both operating and non-operating activities.

The performance of one (1) year operation yielded sales The table showed the

Aleria’s enterprise projected income statement for the year 1, the particulars are the

following of income PhP 691,200.00, expenses with the PhP 497,185.80,production cost

of PhP188,376.00 operating expense PhP 194,112.00 ,administrative cost with the total

of PhP 108,000.00, depreciation PhP 3,933.00, bad debt cost PhP 2,764.80, NIBT

PhP194,014.20, NIAT PhP194,014.20 .

Cash Flow
 53

A company's cash flow is a measurement of the total amount of cash it received

or spent during a specific time period. Cash flow statement, on the other hand,

delineates the analysis into operating, investing, and financing, and illustrates how

changes to balance sheet accounts and income effect cash and cash equivalents. It

shows a one-year production by investing the sweet potato ‘puto’ with all-purpose flour,

and pandan powder. The particulars are the following cash flow the result of it will be

added in which the total cash flow operating activities PhP 691,200.00, net cash flow

from operating activities PhP 194,014.20 ,cash flow from investing activities PhP

6,865.00,cash flow from financing activities PhP 497,353.00 ,increase in cash & cash

equivalent PhP 390,609.60.

Balance Sheet Statement

A balance sheet statement lists a company's assets, liabilities, and shareholder

equity. One of the three primary financial statements used to assess a corporation is the

balance sheet. However, the balance sheet indicates that by the conclusion of the 1 year

of operation. The table shows Aleria’s enterprise projected balance sheet for the year

2023, as the following stated the particulars in assets, liabilities and owners’ equity.

Assets showed the following, wherein the current asset involved cash 688,435.20 and

account receivable then, non-current involved also the fixed asset PhP 2,110.00 then

less depreciation cost of PhP 896.00 the total non-current PhP 2,932.00. the total assets

are PhP691,367.20. For the total liabilities and owners’ equity with the total of

691,367.20 for 1 year.

 54

ALERIA’S ENTERPRISE
COMPARATIVE INCOME STATEMENT
For the Year 1
Particulars Yo Y1
Income 57,600.00 691,200.00
Cash Sales 46,080.00 552,960.00
Accounts Receivable 11,520.00 138,240.00
Expenses 45,568.15 497,185.80
Production Cost 15,689.00 188,376.00
Raw Materials 7,698.00 92,376.00
Labor 8,000.00 96,000.00

Operating Expense 20,312.00 194,112.00

Supplies 12,000.00 144,000.00

Microbial Test 1,237.00 1,237.00
Permit & Licenses 3,275.00 3,275.00
Transportation 800.00 9,600.00
Advertising 800.00 9,600.00
Utility Expense 1,400.00 16,800.00
Rent Expense 800.00 9,600.00
Administrative Cost 9,000.00 108,000.00
Manager's 9,000.00 108,000.00

Depreciation 327.75 3,933.00

Bad Debt Cost 230.40 2,764.80

NIBT 12,031.85 194,014.20

Income Tax Due - -

NIAT 12,031.85 194,014.20

ALERIA’S ENTERPRISE
COMPARATIVE CASH FLOW STATEMENT
For the Year1
 55

Particulars Y0 Y1
Cash Flow from Operating
57,600.00 691,200.00
Actvities
Cash Received From: 57,600.00 691,200.00
Sales 46,080.00 552,960.00
Receivable Collection 11,520.00 138,240.00
Payment For: 45,568.15 497,185.80
Direct Materials 7,698.00 92,376.00
Indirect Materials/Supplies 7,698.00 144,000.00
Direct Labor 8,000.00 96,000.00
Miscellaneous Fees 4,512.00 4,512.00
Advertisement 800.00 9,600.00
Utility Expenses 1,400.00 16,800.00
Transportation 800.00 9,600.00
Space Rental 800.00 9,600.00
Administrative Cost 9,000.00 108,000.00
Depreciation 327.75 3,933.00
Bad Debts 230.40 2,764.80
Net Cash Flow from
16,031.85 194,014.20
Operating Activities
Cash Flow from Investing
6,865.00 6,865.00
Activities
Kitchen Utensils 2,467.00 2,467.00
Equipment 2,898.00 2,898.00
Furniture and Fixtures 1,500.00 1,500.00
Cash Flow from Financing
51,875.00 497,353.00
Activities
Initial Investment 51,875.00 497,353.00

Increase in Cash & Cash

67,200.00 390,609.60
Equivalent
Add: Cash Beg.

67,200.00 390,609.60

ALERIA’S ENTERPRISE
COMPARATIVE BALANCE SHEET
For the Year 1

Particulars Y0 Y1
 56

Current Assets 57,369.60 688,435.20

Cash on hand 46,080.00 552,960.00

Accounts Receivables 11,520.00 138,240.00

Allowance - Bad debts 230.40 2,764.80

Net A/R 11,289.60 135,475.20

Non-current Assets 6,537.25 2,932.00
Kitchen Utensils 2,467.00 2,467.00
205.58 2,467.00
Sub-total 2,261.42 -
Equipment 2,898.00 2,898.00

Less: Acc. Depreciation 80.50 966.00

Sub-total 2,817.50 1,932.00
Furniture & Fixtures 1,500.00 1,500.00

Less: Acc. Depreciation 41.67 500.00

Sub-total 1,458.33 1,000.00

TOTAL ASSETS 63,906.85 691,367.20

LIABILITIES - -

GJB, EQUITY 63,906.85 691,367.20

Beg. Capital 51,875.00 497,353.00

Net Income 16,167.85 194,014.20

Ending Capital
TOTAL LIABILITIES +
OWNER'S EQUITY 51,875.00 691,367.20

Financial Measure/Test of Profitability

This is used to determine the feasibility and viability on processing Sweet potato

‘puto’ with all-purpose flour, and pandan powder. Furthermore, this is used to identify the
 57

most and least profitable products. However, this involves calculating the net profit

margin or the return on investment and payback period.

a. Net Profit Margin

The Net Profit margin below shows the basic formula to compute the

exact net profit percentage in the production of sweet potato ‘puto’ with all-purpose flour

and pandan powder. Schedule 1 shows the net profit margin wherein the particular and

outlay, are net income, sales and total net profit margin in a business. As stated, the net

income of PhP 194,014.20 multiplied by 100% and sales of PhP 691,200.00 divided by

the net profit margin of PhP 28%. As a fact, 28% is considered a high or good net profit

margin because of a company’s ability to control cost and sell products at a higher than

cost.

Formula:

Net Profit Margin = Net Profit x 100

Net Sales

= 194,014x 100
691,200.00
= 28%

Schedule 1. Net profit margin

 58

Outlay
Particular
Year 1
194,014.20
Net income

Sales 691,200.00

Net profit margin 28%

Schedule 1 shows the net profit margin that there is an average business profit of

28% every year in the production of sweet potato puto with all-purpose and pandan

powder. According to Roberts (2018). 28% can considered good, as it indicates that a

company is generating a significant portion of revenue as profit. However, whether a

specific net profit margin is considered good or not depends on the industry and the

company’s specific circumstances.

b. Return on Investment

Schedule 2 shows the return on investment is calculated by subtracting the initial

investment's cost from its total net income and initial investment. The total Return on

Investment (ROI) is 39%.

Formula:

Return On Investment = Net Income x 100%

Initial Investment

= 194,014 x 100
497,353.00
ROI = 39%
 59

Schedule 2. Return on Investment

Outlay
Particular
Year 1
Net income 194,014.20
Initial investment 497,353.00
Return on investment 39%

Schedule 2 shows the Return On Investment or (ROI) that there is 39% of total.

According to Lambert (2016). ROI of 39% is good, it’s important to consider the industry

benchmarks and the context of the investment. In some industries, a ROI of 39% might

be considered excellent, while in others it might be average or even below average.

c. Asset turn -Over

The turn-over ratio refers to a financial ratio that measures a company’s

efficiency in utilizing its assets to generate revenue. It provides insight into how

effectively a company is able to generate sales using its assets. Schedule 3 shows the

total of net sales is PhP 691,200.00, total assets are PhP 691,367.20, and the asset

turnover is 100%.

Asset Turn-over = Net Income x 100%

Initial investment

= 691,200 x 100
691,367.20
ROI = 100%
Schedule 3. Asset Turn-over

Outlay
Particular
Year 1
Net sales 691,200.00
Total assets 691,367.20
Asset turnover 100%
Schedule 3 shows the asset turn-over there is 100% of total. According to

Brigham (2018) means that a company is generating revenues equal to its total. In
 60

general a, higher asset turnover ratio indicates that a company is utilizing assets

efficiently to generate sales . However, whether a 100% asset turnover ratio is good or

not depends on the industry and specific circumstances.

d. Payback Period

The payback period is a financial metric that measures the time it takes for an

investment to generate enough cash flows to recover the initial investment cost. It

represents the length of time required to payback the investment.

Formula:

Payback Period = Initial Investment

Net Income

= 497,353.00
194,014.20
= 2.5

Schedule 4. Payback period

Outlay
Particular
Year 1
Initial investment 497,353.00
Net income 194,014.20
Payback period 2.5

Schedule 4 shows the payback period is 2.5 or 2 years and 5 months. This

means that these particular years and months will be needed to recover the investment

given period. According to Houston (2015) the acceptability of the payback period also

depends on the specific industry, investment time cost. In general, a shorter payback

oeriod is preferred because it indicates that the investment will generate returns more

quikly and reduce the risk of loss.

 61

e. Break-even Analysis
Break-even analysis is a financial tool that helps businesses determine the point

at which their total revenue equals their total costs, resulting in neither a profit nor a loss.

It provides valuable insights into the level of sales or production volume required for a

business to cover its expenses and reach the break-even point.

d. Variable Cost
Variable costs are expenses that vary proportionally with the level of production.

These costs are directly related to the production or sale of goods or services and

increase or decrease as the volume of production or sales changes.

Variable Cost/Unit = Projected Processing Expense

Volume of Production
= PhP 188,376.00
19,749
= PhP 9.54

Schedule 5. Variable Cost

Particulars Outlay

Total Volume Cost

188,376.00
Volume of Production
19,749
Variable Cost
9.54

Schedule 5 shows the total volume cost and the volume of production. The total

volume cost is 188,376.00, and the volume of production is 19,749. So the total of

variable cost amounts to PhP 9.54.

e. Contribution Margin
 62

The contribution margin was the amount of revenue that is available to cover

fixed costs and generate a profit after deducting variable costs associated with the

production or sale of goods or services of sweet potato puto with pandan powder.

Unit Contribution Margin = Selling Price- Variable Cost per Unit

= 81-9.54
= 71.46

Schedule 6. Contribution Margin

Particulars Outlay

Selling Price 81

Variable Cost 9.54

Contribution Margin 71.46

Schedule 6 shows the selling price and variable cost. The selling price is 81, and

the variable cost is 9.54. So, the contribution margin is 71.46 per pack.

f. Break- even Volume

The break-even volume, also known as the break-even point, is the level of sales

or production at which a business neither makes a profit nor incurs a loss. It is the point

where the total fixed cost is divided by the unit of contribution margin, and the total

break-even price.

Break- Even- Volume = Total Fixed Cost

Unit Contribution Margin

= 2,932.00
71.46
= 41

Schedule 7. Break-even Volume

Particular Outlay
 63

Year 1
Total Fixed Cost 2,932.00
Contribution Margin 71.46
Break-even Volume 41

Schedule 7 showed the break-even volume with particulars of total fixed cost

with an outlay of 2,932.00 and the contribution margin of 71.46. So the break-even

volume is 41.

g. Break-even Price

It shows about the break-even price incurred an operation wherein it consists

PhP 9.69.

Formula:

Break-Even Selling Price (BESP)= Variable cost + Fixed Cost

Volume of Production

= 188,376.00+ 2,932.00
19,749
= 9.69

Schedule 8. Break-even Price

Outlay
Particular
Year 1
Variable cost 188,376.00
Fixed cost 2,932.00
Volume of Production 19,749
Break-even Price 9.69
Schedule 8 showed the Break-even price with the particulars of the variable cost

of PhP 188,376.00, fixed cost of PhP 2,932.00, volume production of 19,749, and the

overall total break- even price of 9.69.

h. Break-even Sales
 64

The break-even sales result shows the break- even volume multiplied by the

result of break- even sales, or price.

Break-even Sales = Break-even Volume of production x Break-even Selling Price

= 19,749 X 9.69

= 191,308.00 - Break-even sales per year

Schedule 9. Break-even Sales

Outlay
Particular
Year 1
Break-even Volume 19,749
Break-even Price 9.69
Break-even Sales 191,308.00

Schedule 9 shows the break-even sales on its particulars of the break- even

volume as an outlay of 19,749 and the break- price of 9.69, then the total break-even

sales of 191,308.00.

Shelf- Life
 65

The shelf life of sweet potato puto with pandan, the proponent determined

the product's shelf life of sweet potato puto with all-purpose flour, and pandan powder

which is 1 to 2 days. To avoid germs and any bacteria’s the product needs to be placed

in clean environment.

Table 25 Shelf-life
Days and weeks at room Appearance Aroma
temperature
The appearance may not The fragrance was
1-2 days change and its look like good,because of the
normal or fresh. ingredients that may
contains
1 week The appearance was The scent was badly
change to its color and contaminated because of
texture. the temperature.
Months when stored in
freezer.
40*C
The appearance was and Nothing changes on its
1 month normal nothing changes. fragrance and its look like
new.

Socio-Economic Desirably/Important
The product development project on sweet potato ‘puto’ with all-purpose flour,

and pandan powder is newly introduced to the market in Manay, Davao Oriental. Sweet

potato (Ipomoae batatas) also known as ‘camote’, is an extremely versatile and delicious

vegetable and a root crop that possesses high nutritional value and Pandan (Pandanus

amaryllifolius) also known as screwpine, the plant is characterized by its long, narrow

leaves that are used in cooking for their distinctive aroma and flavor. Most of these kinds

are cultivated in the Philippines. This new product gives benefits specially puto

consumers that is made from sweet potato, all-purpose flour and pandan powder. Also,

this product gives an opportunity to the people in Manay, Davao Oriental to have an

extra income.

CHAPTER V
 66

SUMMARY, CONCLUSION AND RECOMMENDATION

Summary

The project was all about sweet potato (Ipomoe batatas) puto with all-purpose

flour and pandan (Pandanus amaryllifolius) powder, which is an innovative product

prepared in Manay, Davao Oriental. This study aimed to determine the acceptability and

potential of the product. The market survey was conducted, and 100 respondents were

chosen from the target market. The total number of males who participated was 43,

while there were 57 females. The market survey provided a questionnaire and the

hedonic scale.

The study aimed to determine the socio-demographic profile of the potential

customer for the product. Furthermore, the proponent also arranged the age of the

residents with the area of the field. In total, the age range of 20 years old below gathered

39 respondents, the age range of 21 to 31 gathered 31 respondents, the age range of 31

to 40 gathered 16 respondents, the age range of 41 to 50 gathered 4 respondents, and

the age range of 51 to 60 gathered 8 respondents. Last but not least, the age range of

60 years old above gathered 2 respondents.

Moreover, sweet potato puto with all-purpose flour and pandan powder has a

total production cost of PhP 92,376.00 per year and produces 9,600 pieces per box. The

box contains six pieces of sweet potato puto with all-purpose flour and pandan powder.

The selling price per unit is PhP 72.00 per pack and 9 each for 1 piece, for net sales of

PhP 621,200.00 and net income of 194,014.20 per year. Based

On the profitable analysis, the project has a net profit margin of 28%, a return

on Investment (ROI) of 39%, and a payback period of 2.5 years or 2 years and 5

months.
 67

The proponent determined the product's shelf life for sweet potato puto with all-

purpose flour and pandan powder, which is 1 to 2 days. To avoid germs and bacteria,

the product needs to be placed in a clean environment.

Conclusions

This study aimed to determine the acceptability and potential of the product.

The market survey was conducted and 100 respondents were chosen from its target

market. The total number of males who participated were 43, while there are 57

females. The market survey provided questionnaire and the hedonic scale.

Also, the study aimed to determine the total investment in processing sweet

potato puto with pandan powder, which was Php 497,353.00. With regards to the

necessary product costs, this product innovation could spend Php 236,376 in one year.

The said sweet potato puto with pandan powder, has a return on investment (ROI) of

thirty nine percent (39%). With its 2.5 or 2 years and 5 months year-period, this would

also be the duration in the processing of sweet potato puto with pandan powder under

one to two days in its shelf-life experiment.

Overall, with its viability and acceptability to the general audience, the proponent

gathered the data displaying an overall positive response with the product innovation for

the general consensus.

Recommendations

The product development project on sweet potato ‘puto’ with all-purpose flour,

and pandan powder is a newly invented and marketable good. It is a study that was
 68

conducted in Manay, Davao Oriental, it is recommended to expand the market location

due to the good product acceptability as a marketable goods. Based on the outcomes of

the project, it was evident that suggestions such as adding additional flavor, eggs and

toppings. When processing the product, the proponent was advised to use proper

sanitation and hygiene practices. The processing area, display area, and other related

materials must be closely supervised to prevent contamination and degradation of the

raw materials. The findings of the project demonstrate that recommendations were

required to attract customers and persuade them to purchase the product.

The advocate made suggestions that, if implemented, could lead to

improvements to the current strategy. Given that the item costs PhP 96 per box and it

contains 10 pieces of sweet potato puto, it is preferable to offer it in a variety of sizes

and prices. The product was generally highly recommended to the market because it

has an economic value that will ensure the consumer's satisfaction.

Additionally, make the product affordable to the customer in order to compete

with the various other existing products on the market. Because it was a new product,

experiments were done to ensure that no harsh chemicals were present.

REFERENCES
 69

Mohanraj, R., & Sivankar, S. (2014) Sweet potato (Ipomoe batatas) [L.] Lam)-a valuable

medicinal food: A review. Journal of medicinal food, 17(7), 733-741. doi:

10.1089/jmf.2013.2818.

Booth, S. (2021) Health Benefits of Sweet Potatoes

Retrievedfrom:https://www.webmd.com/food-recipes/benefits-sweet-

potatoes

Kumari, A., Kakkar, P., & Nagar, P. (2016). Antioxidant and free radical scavenging

potential of Pandanus amaryllifolius leaves extracts. Journal of herbal

medicine, 6(3), 132-139.

Store, E. (2022) Uses, Benefits of Pandan Powder

Retrievedfrom:https://echostore.ph/blogs/echo-corner/pandan-uses-health

benefits-more
 70

APPENDICES

Appendix A. Advisory Agreement

 71

......

Appendix B. Application for Final Oral Defense

72
 73

Appendix C. Certificate for English Critic

 74

Appendix D. Certificate for the Financial Critic

 75

Appendix E Market Survey Questionnaire

PRODUCT TASTE TEST QUESTIONNAIRE

Product Development Project on Sweet Potato (Ipomoea batatas) puto with

pandan (Pandanus amaryllifolius) powder

Questionnaire No:

PART I. Invitation to Participate:

Name of the Interview : JOAN B. ALERIA Date of interview: ______

Dear Respondent;

You are invited to participate in a product taste test of the product Sweet Potato
(Ipomoea batatas) puto with pandan (Pandanus amaryllifolius) powder a product
developed by Joan B. Aleria student from Bachelor of Science in Agribusiness
Management of the Davao Oriental State University, because you fit the criteria as
respondents of the study. The product taste test is a sensory evaluation method utilized
in the study to determine the general acceptability of product to its target market.
Your participation is completely voluntary. Please read the information below,
and ask questions about anything you do not understand, before deciding whether to
participate. Please take as much time as you need to read the consent form. You may
also decide to discuss participation with your family and friends.
If you decide to participate, you will be asked to sign this form. You will be given
a copy of this form.
Should you have queries you can contact the proponent at 09098249929 or at
aleriajoan22@gmail.com

Basic for Subject Selection:

You received this invitation because you met the demographic criteria required
for this study. Individuals with colds, sinus conditions, or allergies to a specific ingredient
cannot participate. The general adult population is issued for testing. Participants must
be 10 years old or older and non-smoker.

Purpose of this Study:

The purpose of this study is to evaluate the adaptability and general acceptability
of the Sweet Potato (Ipomoea batatas) puto with pandan (Pandanus amaryllifolius)
powder.
 76

Explanation and Procedure:

Samples to be provided will be placed in your mouth to evaluate the product's

palatability characteristics and general acceptability. These sample will be a pack of
Puto.Following evaluation, samples do not have be consumed. Between examples, you
will be given water to wash your palate. Testing will be taken around a half-hour. You are
requested to refrain from smoking, eating, or drinking fluids other than water for one hour
before each session.

Potential Risks and Discomforts:

Eating of any kind can have negative health consequences and may cause
discomfort to the respondents, especially if it is eat in much amount. Thus, the conduct
of this taste test will limit the amount of chips to be tasted by the selected respondents
and the proponent will be responsible on determining the amount of chips in a pouch to
be used as samples for the product taste test.

Potential Benefits:
The result of the study may serve as an information that could help our local
famers and households to diversify their income by utilizing local products with raw
materials readily available in the locality. Further, it could also help the locality to be
recognized having a product which could become a tourist attraction in the area.

Assurance of Confidentiality:
We will keep your records for this study confidential as far as permitted by law.
Any identifiable information obtained in connection with this study will remain
confidential, except if necessary to protect your rights or welfare. This certificate means
that the researcher can resist the release of information about your participation to
people who are not connected with the study. When the results of the research are
published or discussed in conferences, no identifiable information will be used.

Informed Consent (Pagtugot):

Ako si, ___________________________________________________, lumolupyo sa

_________________________________________________, nagakanayon nga akong
kabubut – on ang pagpartisipar niining pagduki-duki kabahin sa PRODUCT
DEVELOPMENT PROJECT ON SWEET POTATO ( Ipomoea batatas ) PUTO WITH
PANDAN ( Pandanus amaryllifolius ) POWDER IN MANAY, DAVAO ORIENTAL
Ako mibulig niini nga pagtuon tungod kay ako nakasabot sa katuyu-an niini. Isip
pagmatuod, nga ako kinasingkasing nga miuyon sa akong partisipasyon nining maong
panukiduki, ako nilagda/mipirma niining pagtugot (Consent Form).

_________________________ _________________________
 77

Pangalan ug pirma Petsa sa pagpirma

PART II Profile of the Respondents

Name: (Optional)____________________________________________
Address:__________________________________________________

Civil Status: [ ] Single [ ] Married [ ] Widow/Widower [ ] Separated

Age: [ ] 20 yrs. old & Below [ ] 21 - 31 yrs. Old [ ] 31 – 40 yrs. Old
[ ] 41 – 50 yrs. Old [ ] 51 – 60 yrs. Old [ ] 61 yrs.Old & Above
Sex: [ ] Male [ ] Female

Education Attainment: [ ] Elementary Level [ ] Elementary Graduate

[ ] High School Level [ ] High School Graduate
[ ] College Level [ ] College Graduate
[ ] Technical/Vocational [ ] Post Graduate Studies

PART III. Food Action Scale

Instruction: Please evaluate the (Product Development Project on Sweet potato
puto with pandan powder in Manay, Davao Oriental) sample presented according
to your degree of liking or disliking using hedonic scale below:

HEDONIC SCALE
9 – Like extremely 6 – Like slightly 3 – Dislike moderately
8 – Like very much 5 – Neither like or dislike 2 – Dislike very much
7 – Like Moderately 4 – Dislike slightly 1 – Dislike extremely

SCORE
Appearance _______
Taste _______
Color _______
Texture _______
 78

General Acceptability _______

PART IV. Marketability Assessment

Have you heard of Sweet potato puto with pandan powder before?

[ ] Yes [ ] No
Would you consider Sweet potato puto with pandan powder purchasing ?
[ ] Yes [ ] No
How much would you be willing to pay for a package of Sweet potato puto with
pandan powder ?
[ ] Php 5.00-20.00 [ ] Php 30.00-40.00 [ ] Php 50.00-60.00
How often would you purchase Sweet potato puto with pandan powder ?
[ ] Once a month [ ] Twice a month [ ] Thrice a month
5. What do you think of the taste of Sweet potato puto with pandan powder ?
[ ] Good [ ] Better [ ] Best
6. Do you have any concerns of hesitations about consuming Sweet potato puto
with pandan powder ?
[ ] Yes [ ] No
If YES, __________________________________
__________________________________
__________________________________
7. Do you have any suggestions for improving the product, its packaging or
labeling?
[ ] Yes [ ] No If YES, ___________________________________
___________________________________
___________________________________
8. Are there any other flavors or ingredients you would like to be added to the
product?
[ ] Yes [ ] No If YES, __________________________________
__________________________________
__________________________________

____________
_________
Respondent's Signature
 79

Appendix E. Answered Consent Form

Respondent 1
 80

Respondent 2
 81

Respondent 3
 82

Respondent 4
 83

Respondent 5
 84

Appendix F. Answered Profile and Food Action Scale

Respondent 1

Respondent 2

Respondent33
Respondent
85
86
 87

PLATES

Plate A. Materials needed in the study

 88

Plate B. Washing the sweet potato

Plate C.
Washing the pandan leaves
 89

Plate D. Peeling the sweet potato

Plate E. Grating the sweet potato

 90

Plate F. Cutting the pandan leaves

Plate G. Putting the pandan leaves into the blender

 91

Plate H. Adding water to the pandan leaves

Plate I. Grinding the Pandan Leaves until make it a powder

 92

Plate J. Sift the water of pandan

Plate K. Mixing all adding the ingredients into the sweet

potato grated
 93

Plate L. Adding the water of pandan into the grated sweet

potato

Plate
M. Putting into the puto molder
 94

Plate N. Arranging in the steamer.

 95

Plate O. Cover and steam the puto for 25 minutes.

Plate P. The puto or finished products

 96

Plate Q. Packed the finished product

Plate R. The proponent conducts a product test to the

Faculty of Hospitability Management.
 97

Plate S. The proponent interviewed the residents in

Manay, Davao Oriental

Plate T.
The

proponent interviewed the residents in

Manay, Davao Oriental .
 98

CURRICULUM VITAE
 99

JOAN B. ALERIA
Central,Manay,Davao Oriental
aleriajoan22@gmail.com
09098249929
_________________________________________________________________________
PERSONAL INFORMATION
Birth Date : March 28,2000
Place of Birth : Manay, Davao Oriental
Gender : Female
Age : 22
Religion : Roman Catholic
Citizenship : Filipino
Father’s Name : Elizardo J. Aleria Occupation: Farmer
Mother’s Name : Melinda B. Aleria Occupation: Farmer
___________________________________________________________________________
EDUCATIONAL BACKGROUND
Course Bachelor of Science in Agribusiness Management (BSAM)
Tertiary Davao Oriental State University
Guang-guang Dahican,City of Mati
(On going)
Secondary Mati National Comprehensive High School
Mangga Street,Barangay Sainz,Mati City
2018-2019
Evaristo Moralizon National Vocational High School
Manay, Davao Orientation
2015-2016

Elementary Gregorio Moralizon Elementary School ll

2011-2012
__________________________________________________________________________

EMPLOYMENT HISTORY
 Supervised Field Experience
Barangay Central,Manay,Davao Oriental
July 2022
 10
0

______________________________________________________________________
TRAINING AND SEMINARS ATTENDED
 Cum SMAARRDEC Regional Symposium on Research and Development
Highlights (RSRDH) and Farmers and Fisherfolk Forum

______________________________________________________________________
AFFLIATIONS
 Faculty of Agriculture and Life Sciences(Member)

This certify that the above information is true and correct.

JOAN B. ALERIA