Group2

MEMBERS:
Oquindo, Grazel
Omandac, Jesus
Panoncillo,Micko Jay
Medina, Anelyn
Orlina, Jena Jen
Molabola, Christine Joy
Desamparado, Theresa Mae
Pranisa, Art
Paclaona, Angelie
Mahilum, Jenny
Mainit, Nonito
v. Production
 Product/service
 A. product specification includes physical, mechanical and
chemical properties ( for tan products) and description of the
kind and quality of services ( for service industries like
restaurant, hotel banks, etc.)
 B. production Process
 1. description of the process showing the detailed flow chart
indicating material, equipment and energy requirement at
each step, and the normal duration of the process.
 2. alternative processes considered and justification for
adopting said process.
 3. technological assistance used and contacts, if any.
C. Plant Size and Production Schedule
 1. rated annual and daily capacity per shift operating days per
year, indicating factors used in determining capacity.
 2. expected production volume for the next five years
considering start-up and technical factors.

D. Machine and Equipment

1. Machinery and equipment layout, indicating floor plan.
2. Specification of the machinery and equipment required
indicating rated capacities.
3. List of machinery and equipment to be purchased and origin
(local or imported)
4. Quotations from suppliers, machinery guarantees,
delivery rates, terms of the payment and other
arrangements.
5. Comparative analysis of alternative machinery and
equipment in terms of cost, reliability, performance and
spare parts available.

E. Plant Locations
1. location map showing plant location
2.Desirability of location in terms of distance from the
source of raw materials and markets and other factors,
comparative study of different locations indicating
advantages for new projects.
F. Plant layout

Description of the plant layout, drawn to scale.

G. Building and facilities

1. Types of building and cost of construction.
2. Floor area involved.
3. Land improvement such as roads, drainage, etc.
and their respective costs.
H. Raw Materials

1. Descriptionand specifications relating to

their physical, mechanical and chemical
properties.
2. Currentand prospective costs of raw
materials, terms of payment and long- term
contract, it any.
3. Availability
, continuity of supply and current
and prospective sources.
4. Material balance or material process chart.
I. Utilities
Electricity , fuel, water, steam
and supplies indicating the uses,
quantity required, balance and
utilities , availability , sources
and cost.
J. Waste disposal

1. Description and quantity if waste to be disposed of.

2. Description of the water waste disposal method
3. Methods used in other plants.
4. Costs of water disposal
5. Clearance from proper authorities or compliance with
legal requirements.
K. Production Cost
Detailed breakdown of the direct and
indirect labor and supervision required for
the manufacture of the product(s)
indicating compositions, including fringe
benefits.
 VI – Financial Feasibility
A. For Existing Projects

1. Audited financial statement ( Balance Sheet, income statement,

cash flow) for the past three years to reflect the following:
 a. Aging Receivable
 b. Schedule of fixed assets showing capitalized cost, estimated
useful life and depreciation method used.
 c. Schedule of liabilities, tax assessments and other pending claims
or litigations the applicant if any.
 d. Financial trends and ratio analysis.
 e. Elements or production, selling and administrative financial
expenses.
2. Financial projections for the next five years ( income
statement, cash flow, balance sheets),
3. Supporting schedules to the financial projections, stating
assumptions used as to:
 a. Collection period of sales
 b. Inventory
 c. Payment period of purchases and expenses
 d. Elements of production cost –selling, administrative and
financial expenses.
4. Financial analysis to show rate of return on investment,
return on equity, break-even volume and price analysis.

Art
B. For new projects

1. Total project costs (fixed and working capital)

2. Initial capital requirements
3. Pre- operating cash flow relative to the project time table
4. Financial projections for the five year of operations to include
balance sheets, income.
5. Supporting schedules to the financial projections to include:
 a. Collection period of sales
 b. Inventory levels
 c. Payment period for the purchases and expenses
 d. Elements of production cost, selling administrative and financial
expense. .

 6. financial analysis showing return on investment, return on equity,

break-even volume and price analysis.
VII. Contributions to the
Philippines economy

 A. CONTRIBUTION TO GOVERNMENT REVENUES

- Most of the revenue the Philippine government funds
from contributions to individual taxpayers, small
businesses, and corporations through taxes. Additional
sources of tax revenue consist of excise tax, estate tax,
and other taxes and fees.
 B. NET ANNUAL AMOUNTS OF PESOS EARNED OR SAVE
It is the average annual income (earned income) and the average
annual expenditures would be valued.
Earned income
Earned income is any income received from a job or self-
employment as pay for work performed, such as wages, salaries,
bonuses, commissions, tips, and net earnings from self-
employment. It can also include long-term disability, union
strike benefits, and, in some cases, payments from certain
deferred retirement compensation arrangements
Passive income - contrasted with unearned income which is
money not acquired through working.
 C. CONTRIBUTIONS TO THE GROWTH OF RELATED INDUSTRIES (e.g.
the contributions of a feed mill project to the poultry and livestock’s
industry)

The industrial sector, whose contribution to the GDP is

33.71 percent, grew 11.99 percent against 10.22 percent in
fiscal 2016-17. There was a decrease in growth of
wholesale and retail trade, transport and communication,
financial intermediation, education, health and social work
sectors.
- Poultry Industry:
-
Poultry industry continues
to grow to meet the
demand for poultry
products in markets. The
importance of poultry
farm lies in the quality of
products that are
provided to humans.