1.

1 Financial Assumptions
v Sales are based on the volume of production (50% on 1Liter bottle and 50% on 1Liter re
v Selling price will increase by 3% yearly for the first 5 years.
v Cost of goods sold per unit will increase by 3% yearly for raw materials.
v Inventories will be equal to one week production of raw materials and two weeks finshe
v There will be salaries increase of 4% yearly for the first 5 years.
v 13th month pay is equal to one month salary.
v Accountant will not receive any salary but a monthly professional fee of P5,000.
v Contributions are based on the table of SSS (Social Security System), HDMF (Home D
v Salaries of production manager and workers will be charge to Production. (Cost of Good
v Rent is P10,000 monthly. Two months advance pay and one month deposit is required.
v Supplies expense will increase by 2% yearly.
v Miscellaneous Expenses is estimated to be P5,000 monthly and will increase by 2% yea
v Utilities expense will increase by 2% yearly.
v Advertising expense will increase by 2% yearly.
v Depreciation for fixed assets are computed using the straight line method. Fixed assets h
v Income tax rate is 25% and it is payable on the next succeeding quarter.
v Each partner withdrew 80% of their share in the net income yearly.
v 50% of sales is cash basis and the rest is on account, payable in 30 days. Bad Debts is 2
v All purchases are on account but are payable within 30 days.
ter bottle and 50% on 1Liter refill).

raw materials.
materials and two weeks finshed Goods.

essional fee of P5,000.

ity System), HDMF (Home Development Mutual Fund), PHIC (Philippine Health Insurance Corporation).
e to Production. (Cost of Goods Sold).
ne month deposit is required.

y and will increase by 2% yearly.

ght line method. Fixed assets have 10 years estimated useful life with no salvage value
eding quarter.

ble in 30 days. Bad Debts is 2% and is computed using the accounts receivable aging method
orporation).
Balance Sheet Difference -
Net Income after Tax

Initial Project Cost

Production Equipment 8,000.00

Office Equipment 65,250.00
Furniture and Fixtures 10,950.00
Leasehold Improvement 180,000.00
Supplies 33,408.00
Inventory 20,061.43
Prepaid Rent 20,000.00
Security Deposit (Rent) 10,000.00
Prepaid Expenses 15,622.00
Total Project Cost 363,291.43

Capital to be Contributed by Partners

Candelaria, Jelaiza M. 70,000.00

Libu, Rica Mae B. 70,000.00
Maniaul, Michaela Q. 70,000.00
Mesa, Katrina S. 70,000.00
Paras, Nicole M. 70,000.00
Torres, Ma. Evita Dayne D. 70,000.00
Total Capital 420,000.00

Total Capital 420,000.00

Less: Total Project Cost 363,291.43
Cash Beginning 56,708.57

AVERRHOA BILIM
Pre-Operating Statement and Projected
For the year 20

Notes Pre-operating

Current Assets
Cash 56,708.57
Inventory 1 20,061.43
Accounts Receivable, Net 2 -
Supplies 3 33,408.00
Prepaid Rent 20,000.00
Prepaid Expenses 4 15,622.00

Total Current Assets 145,800.00

Non-Current Assets
Security Deposit (Rent) 10,000.00
Leasehold Improvement 5 180,000.00
Furniture and Fixtures 6 10,950.00
Production Equipment 7 8,000.00
Office Equipment 8 65,250.00

Total Non-Current Assets 274,200.00

TOTAL ASSETS 420,000.00

Current Liabilities
Accounts Payable 9 -
Contribution Payable -
Utilities Payable -
Taxes Payable -

Total Liabilities -

Capital
Candelaria, Jelaiza M. 70,000.00
Libu, Rica Mae B. 70,000.00
Maniaul, Michaela Q. 70,000.00
Mesa, Katrina S. 70,000.00
Paras, Nicole M. 70,000.00
Torres, Ma. Evita Dayne D. 70,000.00

Total Capital 420,000.00

TOTAL LIABILITIES AND CAPITAL 420,000.00

AVERRHOA BILIM
Projected Income
For the year ended

Notes

Sales 10
Cost of Goods Sold 11
Gross Profit
Operating Expenses
Income Before Tax
Income Tax
Net Income

AVERRHOA BILIM
Projected Operatin
For the year ended

Notes
Salaries 12
13th-Month Pay 12
Contributions 12
Supplies Expense 3
Rent Expense
Organizational Cost 4
Advertising Expense 13
Utilities Expenses 14
Doubtful Account Expense 2
Professional Fees
Miscellaneous Expenses
Depreciation - Leasehold Improvement 15
Depreciation - Furniture and Fixtures 15
Depreciation - Office Equipments 15

TOTAL

AVERRHOA BILIM
Projected Statement o
For the year ended

Notes

Cash Beginning
Add Inflows: (Cash Sales) 2
Add Inflows: (Collection on AR) 2
Total Cash Available

Less Outflows:
Payment of Account Payable
Cost of Goods Sold
Salaries
13th-Month Pay
Contributions
Supplies Expense
Rent Expense
Advertising Expense
Utilities Expenses
Professional Fees
Miscellaneous Expenses
Partners' Withdrawal
Income Tax
Total Outflows

Cash Ending

AVERRHOA BILIM
Projected Statement of Chang
For the year ended
(For each of the

Statement of Changes on Capital

Original Investment
Share in Year 1 Net Income (net of withdrawal)
Year 1 Ending Capital Balance
Share in Year 2 Net Income (net of withdrawal)
Year 2 Ending Capital Balance
Share in Year 3 Net Income (net of withdrawal)
Year 3 Ending Capital Balance
Share in Year 4 Net Income (net of withdrawal)
Year 4 Ending Capital Balance
Share in Year 5 Net Income (net of withdrawal)
Year 5 Ending Capital Balance
 - - - -
234,420.18 318,418.48 395,339.99 479,339.01

AVERRHOA BILIMBI COMPANY

Operating Statement and Projected Statement of Financial Position
For the year 2024-2028

2024 2025 2026 2027

93,461.64 179,236.20 282,597.98 402,759.29

64,469.41 69,059.63 73,976.67 79,243.81
133,792.87 143,318.92 153,523.23 164,454.08
34,076.16 34,757.68 35,452.84 36,161.89
20,000.00 20,000.00 20,000.00 20,000.00
 - - - -

345,800.07 446,372.43 565,550.72 702,619.08

10,000.00 10,000.00 10,000.00 10,000.00

162,000.00 144,000.00 126,000.00 108,000.00
9,855.00 8,760.00 7,665.00 6,570.00
7,200.00 6,400.00 5,600.00 4,800.00
58,725.00 52,200.00 45,675.00 39,150.00

247,780.00 221,360.00 194,940.00 168,520.00

593,580.07 667,732.43 760,490.72 871,139.08

90,633.52 93,505.00 100,162.55 107,294.13

8,892.50 9,337.13 9,803.98 10,294.18
7,635.00 7,787.70 7,943.45 8,102.32
19,535.02 26,534.87 32,945.00 39,944.92

126,696.04 137,164.69 150,854.99 165,635.55

77,814.01 88,427.96 101,605.95 117,583.92

77,814.01 88,427.96 101,605.95 117,583.92
77,814.01 88,427.96 101,605.95 117,583.92
77,814.01 88,427.96 101,605.95 117,583.92
77,814.01 88,427.96 101,605.95 117,583.92
77,814.01 88,427.96 101,605.95 117,583.92

466,884.04 530,567.73 609,635.73 705,503.53

593,580.07 667,732.43 760,490.72 871,139.08

AVERRHOA BILIMBI COMPANY

Projected Income Statement
For the year ended 2023-2027

2024 2025 2026 2027

3,276,560.00 3,509,851.07 3,759,752.47 4,027,446.84

1,558,794.29 1,653,661.73 1,754,641.25 1,862,142.35
1,717,765.71 1,856,189.34 2,005,111.22 2,165,304.49
 1,405,205.47 1,431,631.37 1,477,991.24 1,526,185.81
312,560.24 424,557.98 527,119.98 639,118.69
78,140.06 106,139.49 131,780.00 159,779.67
234,420.18 318,418.48 395,339.99 479,339.01

AVERRHOA BILIMBI COMPANY

Projected Operating Expenses
For the year ended 2023-2027

2024 2025 2026 2027

780,000.00 811,200.00 843,648.00 877,393.92
107,900.00 112,216.00 116,704.64 121,372.83
106,710.00 112,045.50 117,647.78 123,530.16
33,408.00 34,076.16 34,757.68 35,452.84
120,000.00 120,000.00 120,000.00 120,000.00
15,622.00 - - -
1,595.00 1,626.90 1,659.44 1,692.63
91,620.00 93,452.40 95,321.45 97,227.88
2,730.47 194.41 208.25 223.08
60,000.00 60,000.00 60,000.00 60,000.00
60,000.00 61,200.00 62,424.00 63,672.48
18,000.00 18,000.00 18,000.00 18,000.00
1,095.00 1,095.00 1,095.00 1,095.00
6,525.00 6,525.00 6,525.00 6,525.00

1,405,205.47 1,431,631.37 1,477,991.24 1,526,185.81

AVERRHOA BILIMBI COMPANY

Projected Statement of Cash Flows
For the year ended 2023-2027

2024 2025 2026 2027

56,708.57 93,461.64 179,236.20 282,597.98

1,638,280.00 1,754,925.54 1,879,876.23 2,013,723.42
1,501,756.67 1,745,205.07 1,869,463.68 2,002,569.49
3,196,745.24 3,593,592.25 3,928,576.11 4,298,890.89

996,968.75 1,119,188.48 1,195,293.06 1,280,397.93

514,800.00 535,392.00 556,807.68 579,079.99
780,000.00 811,200.00 843,648.00 877,393.92
107,900.00 112,216.00 116,704.64 121,372.83
97,817.50 111,600.88 117,180.92 123,039.96
 34,076.16 34,757.68 35,452.84 36,161.89
120,000.00 120,000.00 120,000.00 120,000.00
1,595.00 1,626.90 1,659.44 1,692.63
83,985.00 93,299.70 95,165.69 97,069.01
60,000.00 60,000.00 60,000.00 60,000.00
60,000.00 61,200.00 62,424.00 63,672.48
187,536.14 254,734.79 316,271.99 383,471.21
58,605.05 99,139.64 125,369.87 152,779.75
3,103,283.60 3,414,356.05 3,645,978.13 3,896,131.60

93,461.64 179,236.20 282,597.98 402,759.29

AVERRHOA BILIMBI COMPANY

Projected Statement of Changes in Partners' Equity
For the year ended 2023-2027
(For each of the partners)

Share in net income

70,000.00
7,814.01 39,070.03
77,814.01
10,613.95 53,069.75
88,427.96
13,178.00 65,890.00
101,605.95
15,977.97 79,889.84
117,583.92
19,032.72 95,163.58
136,616.64
 -
570,981.48

2028

536,764.87
89,783.24
176,163.21
36,885.13
20,000.00
 -

859,596.45

10,000.00
90,000.00
5,475.00
4,000.00
32,625.00

142,100.00

1,001,696.45

115,341.57
10,808.89
8,264.37
47,581.79

181,996.62

136,616.64
136,616.64
136,616.64
136,616.64
136,616.64
136,616.64

819,699.83

1,001,696.45

2028

4,314,201.06
1,976,602.63
2,337,598.43
1,576,289.79
761,308.64
190,327.16
570,981.48

2028
912,489.68
126,227.74
129,706.67
36,161.89
120,000.00
-
1,726.48
99,172.43
238.96
60,000.00
64,945.93
18,000.00
1,095.00
6,525.00

1,576,289.79

2028

402,759.29
2,157,100.53
2,145,152.44
4,705,012.26

1,376,051.42
602,243.19
912,489.68
126,227.74
129,191.96
 36,885.13
120,000.00
1,726.48
99,010.39
60,000.00
64,945.93
456,785.19
182,690.29
4,168,247.39

536,764.87

Withdrawal

31,256.02

42,455.80

52,712.00

63,911.87

76,130.86
Note 1: Inventories
Pre-operating 2024 2025

Raw Materials

Cost of Goods Sold (Materials) next year 1,043,194.29 1,117,469.73 1,197,033.57

Divided by 52 52 52
Raw Materials 20,061.43 21,489.80 23,019.88

Finished Goods

Cost of Goods Sold (Materials) next year 1,117,469.73 1,197,033.57

Divided by 26 26
Finished Goods 42,979.60 46,039.75

Total Inventory 20,061.43 64,469.41 69,059.63

Note 2: Accounts Receivable / Doubtful Accounts
2024 2025

Sales 3,276,560.00 3,509,851.07

Cash Sales 1,638,280.00 1,754,925.54

Sales on Account 1,638,280.00 1,754,925.54

Accounts Receivable Beginning - 136,523.33

Add: Sales on Account 1,638,280.00 1,754,925.54
Total 1,638,280.00 1,891,448.87
Less: Collection on AR 1,501,756.67 1,745,205.07
Accounts Receivable Ending Balance 136,523.33 146,243.79
Less: Allowance for Doubtful Account 2,730.47 2,924.88
Accounts Receivable, Net 133,792.87 143,318.92

Allowance for Doubtful Account, beginning - 2,730.47

Allowance for Doubtful Account, ending 2,730.47 2,924.88
Doubtful Account Expense 2,730.47 194.41
Note 3: Supplies
Quantity Unit Price
Office Supplies
Ledger piece 3 40.00
Stapler piece 1 100.00
Staple wires piece 1 35.00
Scissors pieces 2 31.00
Tape pieces 2 23.00
Paper clips boxes 2 65.00
Calculator pieces 2 500.00
Bondpaper reams 3 190.00

Production Supplies
Drums Container pieces 3 800.00
Funnel pieces 3 50.00
Gloves box 1 79.00
Hairnet pieces 3 40.00
Apron pieces 3 30.00
Boots pairs 3 150.00

Cleaning Supplies
Office Cleaning Supplies and Materials set 1 3,000.00

Good for 3 months supplies

multiply by
Total

Note 4: Prepaid Operating Expenses

Legal Expenses: Taxes, License, Clearance
Business Taxes 4,000.00
Mayor's Permit Fee 1,050.00
Sanitary Inspection Fee 550.00
Environment Management Fee 550.00
Health Certificate Fee 2,500.00
Fire Inspection Fee 1,750.00
Metal Plate 150.00
Sticker 250.00
LBOD Clearance Fee 50.00
Environment Inspection Fee 50.00
Zoning Clearance 50.00
Occupational Fee 50.00

Right Of Ways
DTI Registration 2,000.00
SEC Registration 1,322.00
BFAD Registration 500.00
BIR Registration 800.00

Total 15,622.00

Note 5: Leasehold Improvement

The dimension of the leased space has a total of 120 square meters.
Estimated cost of renovation is P1,500 per square meter.
P1,500 x 120 sqm = P180,000
Note 6: Furniture and Fixtures
Quantity Unit Price
Bundy Clock piece 1 250.00
Office Table and Chair set 1 5,000.00
Foldable Table pieces 2 600.00
Office Cabinet piece 1 2,000.00
Monoblock Chairs pieces 10 250.00

Total

Note 7: Production Equipment

Quantity Unit Price
Immersion Blender piece 1 8,000.00

Total

Note 8: Office Equipment

Quantity Unit Price
Smartphones piece 1 5,000.00
Laptop piece 1 25,000.00
Multifunction Printer piece 1 7,000.00
Closed Circuit Television (CCTV) set 1 2,000.00
Air Conditioner piece 1 25,000.00
Electric Fan pieces 2 625.00

Total

Note 9: Accounts Payable

2024 2025
Accounts Payable, Beginning - 90,633.52
Purchases 1,087,602.27 1,122,059.95
Total 1,087,602.27 1,212,693.47
Payment (1 month last year and 11 months this year) 996,968.75 1,119,188.48
Accounts Payable, Ending 90,633.52 93,505.00

volume of production 46,808 48,680

Note 10: Sales
2024 2025

Expected Sales - 1Liter bottle 23,404 24,340

Selling Price 40.00 41.20
936,160.00 1,002,814.59

Expected Sales - 1Liter refill 23,404 24,340

Selling Price 30.00 30.90
702,120.00 752,110.94

Total Expected Sales 46,808 48,680

Total Selling Price 70.00 72.10
Total Sales 3,276,560.00 3,509,851.07

Note 11: Cost of Goods Sold

2024 2025

1Liter bottle
Units Sold 23,404.00 24,340.16
Cost of materials per Unit 13.89 14.31
Cost of materials (Direct Materials) 325,159.57 348,310.93
Production Salaries (Direct Labor) 257,400.00 267,696.00
Depreciation Production Equipments (Factory Overhead) 400.00 400.00
Cost of Goods Sold 582,959.57 616,406.93

Total Cost of materials (Direct Materials) 13.89 14.31

Total Production Salaries (Direct Labor) 11.00 11.00
Total Depreciation Production Equipments (Factory Overhead) 0.02 0.02
Total Manufacturing Cost per unit 24.91 25.32

1Liter refill
Units Sold 23,404.00 24,340.16
Cost of materials per Unit 8.39 8.65
Cost of materials (Direct Materials) 196,437.57 210,423.93
Production Salaries (Direct Labor) 257,400.00 267,696.00
Depreciation Production Equipments (Factory Overhead) 400.00 400.00
Cost of Goods Sold 454,237.57 478,519.93

Total Cost of materials (Direct Materials) 8.39 8.65

Total Production Salaries (Direct Labor) 11.00 11.00
Total Depreciation Production Equipments (Factory Overhead) 0.02 0.02
Total Manufacturing Cost per unit 19.41 19.66

Total (for 1Liter bottle and 1Liter refill)

Total Units Sold 46,808 48,680
Total Cost of materials per Unit 22.29 22.96
Total Cost of materials (Direct Materials) 1,043,194.29 1,117,469.73
Total Production Salaries (Direct Labor) 514,800.00 535,392.00
Total Depreciation Production Equipments (Factory Overhead) 800.00 800.00
Total Cost of Goods Sold 1,558,794.29 1,653,661.73

Cost per Unit (for 1Liter bottle and Liter refill)

Total Cost of materials (Direct Materials) 22.29 22.96
Total Production Salaries (Direct Labor) 22.00 22.00
Total Depreciation Production Equipments (Factory Overhead) 0.03 0.03
Total Manufacturing Cost per unit 44.32 44.98

Production of 200Liters QUANTITY UNIT UNIT COST

Foam Booster 2 L 150.00
Degreaser 1 L 80.00
Neutralizer (P4.00 per 50ml) 200 ML 0.08
Preservatives (P4.00 per 50ml) 200 ML 0.08
Antibacteria (P2.00 per 15ml) 100 ML 0.13
Fragrance (P20.00 per 15ml) 100 ML 1.33
Industrial Salt 4 KG 20.00
Surfactant/SLES 8 KG 40.00
Colorant (P15.00 per 30ml) 240 ML 0.50
Kamias 30 KG 20.00
Total

Cost of ingredients per bottle

Packaging (bottle and logo sticker= P550.00)
Cost per 1Liter bottle

Cost per 1Liter refill

Note 12: Salaries, Contribution Expenses, Direct Labor

General Manager 1 22,100.00 22,100.00

Sales and Marketing Manager 1 16,900.00 16,900.00
Production Supervisor 1 16,900.00 16,900.00
Sales Representative 1 15,600.00 15,600.00
Production Worker (2) 2 13,000.00 26,000.00
Cashier 1 10,400.00 10,400.00

Total Monthly 107,900.00

Total Yearly 1,294,800.00
Total Contribution
Charged to Production (Production Supervisor and Workers) 514,800.00
Charged to Salaries 780,000.00
Note 13: Advertising Expense
2024 2025

Mug 660.00 673.20

Calendar 740.00 754.80
Foldable Fan 195.00 198.90

Total 1,595.00 1,626.90

Note 14: Utilities Expenses

2024 2025

Electricity 4,475.00 4,564.50

Water 2,160.00 2,203.20
Internet 1,000.00 1,020.00
Total Monthly 7,635.00 7,787.70
Total Yearly 91,620.00 93,452.40
Note 15: Depreciation Schedule
Fixed Asset Cost Estimated Useful LifeSalvage Value

Leasehold Improvement 180,000.00 10 0

Furniture and Fixtures 10,950.00 10 0
Production Equipment 8,000.00 10 0
Office Equipment 65,250.00 10 0
2026 2027 2028

1,282,262.36 1,373,559.44 1,556,242.85

52 52 52
24,658.89 26,414.60 29,927.75

1,282,262.36 1,373,559.44 1,556,242.85

26 26 26
49,317.78 52,829.21 59,855.49

73,976.67 79,243.81 89,783.24

2026 2027 2028

3,759,752.47 4,027,446.84 4,314,201.06

1,879,876.23 2,013,723.42 2,157,100.53

1,879,876.23 2,013,723.42 2,157,100.53

146,243.79 156,656.35 167,810.29

1,879,876.23 2,013,723.42 2,157,100.53
2,026,120.03 2,170,379.77 2,324,910.81
1,869,463.68 2,002,569.49 2,145,152.44
156,656.35 167,810.29 179,758.38
3,133.13 3,356.21 3,595.17
153,523.23 164,454.08 176,163.21

2,924.88 3,133.13 3,356.21

3,133.13 3,356.21 3,595.17
208.25 223.08 238.96
Total

120.00
100.00
35.00
62.00
46.00
130.00
1,000.00
570.00

2,400.00
150.00
79.00
120.00
90.00
450.00
-

3,000.00

8,352.00
4
33,408.00
Total
250.00
5,000.00
1,200.00
2,000.00
2,500.00

10,950.00

Total
8,000.00

8,000.00

Total
5,000.00
25,000.00
7,000.00
2,000.00
25,000.00
1,250.00

65,250.00

2026 2027 2028

 93,505.00 100,162.55 107,294.13
1,201,950.62 1,287,529.50 1,384,098.87
1,295,455.61 1,387,692.05 1,491,392.99
1,195,293.06 1,280,397.93 1,376,051.42
100,162.55 107,294.13 115,341.57

50,628 52,653 54,759

2026 2027 2028

25,314 26,326 27,379

42.44 43.71 45.02
1,074,214.99 1,150,699.10 1,232,628.87

25,314 26,326 27,379

31.83 32.78 33.77
805,661.24 863,024.32 924,471.66

50,628 52,653 54,759

74.26 76.49 78.79
3,759,752.47 4,027,446.84 4,314,201.06

2026 2027 2028

25,313.77 26,326.32 27,379.37

14.74 15.18 15.64
373,110.67 399,676.15 428,133.10
278,403.84 289,539.99 301,121.59
400.00 400.00 400.00
 651,914.51 689,616.15 729,654.69

14.74 15.18 15.64

11.00 11.00 11.00
0.02 0.02 0.01
25.75 26.19 26.65

25,313.77 26,326.32 27,379.37

8.90 9.17 9.45
225,406.11 241,455.03 258,646.63
278,403.84 289,539.99 301,121.59
400.00 400.00 400.00
504,209.95 531,395.02 560,168.22

8.90 9.17 9.45

11.00 11.00 11.00
0.02 0.02 0.01
19.92 20.18 20.46

50,628 52,653 54,759

23.64 24.35 25.08
1,197,033.57 1,282,262.36 1,373,559.44
556,807.68 579,079.99 602,243.19
800.00 800.00 800.00
1,754,641.25 1,862,142.35 1,976,602.63

23.64 24.35 25.08

 22.00 22.00 22.00
0.03 0.03 0.03
45.67 46.38 47.11

TOTAL
300.00
80.00
16.00
16.00
13.33
133.33
80.00
320.00
120.00
600.00
1,678.67

8.39
5.50
13.89

8.39

SSS PHIC HDMF

900.00 552.50 200.00
765.00 422.50 200.00
765.00 422.50 200.00
697.50 390.00 200.00
1,395.00 650.00 200.00
 472.50 260.00 200.00

4,995.00 2,697.50 1,200.00

59,940.00 32,370.00 14,400.00
106,710.00
2026 2027 2028

686.66 700.40 714.41

769.90 785.29 801.00
202.88 206.94 211.07

1,659.44 1,692.63 1,726.48

2026 2027 2028

4,655.79 4,748.91 4,843.88

2,247.26 2,292.21 2,338.05
1,040.40 1,061.21 1,082.43
7,943.45 8,102.32 8,264.37
95,321.45 97,227.88 99,172.43
Annual Depreciation Charged to:

18,000.00 Operating Expenses

1,095.00 Operating Expenses
800.00 Cost of Goods Sold
6,525.00 Operating Expenses
PRICING STRATEGY

..........The company will use cost-plus pricing, which involves calculating the
selling price by adding a markup to the cost of the product. This method
ensures that costs are covered and desired profits are generated. Additionally,
even pricing scheme will also be applied, where you round prices to whole
numbers (like P10, P20, P30, etc.). This will be use to simplify transactions for
customers and to reduce the need for small change. It also makes pricing
appear cleaner and more organized, which can create appeal and perception of
value to customers.

SUMMARY (total sales in units = 46,808)

Selling Price per 1Liter bottle (sales in units = 23,404)

Cost of materials (Raw Materials) 325,159.57
Production Salaries (Labor Cost) 257,400.00
Depreciation Production Equipments (Overhead Cost) 400.00
Total Manufacturing Cost 582,959.57
Divided by: Sales in units 23,404.00
Unit Cost 24.91
Mark Up (50%) 12.45
Initial Selling Price per bottle 37.36
Final Selling Price per bottle (even pricing) 40.00

Selling Price per 1Liter refill (sales in units = 23,404)

Cost of materials (Raw Materials) 196,437.57
Production Salaries (Labor Cost) 257,400.00
Depreciation Production Equipments (Overhead Cost) 400.00
Total Manufacturing Cost 454,237.57
Divided by: Sales in units 23,404.00
Unit Cost 19.41
Mark Up (50%) 9.70
Initial Selling Price per refill 29.11
Final Selling Price per refill (even pricing) 30.00
 Liquidity Ratios

Current Ratio 2024 2025 2026

Current Assets 345,800.07 446,372.43 565,550.72

Current Liabilities 126,696.04 137,164.69 150,854.99

Current Ratio 2:1 2:1 2:1

Activity Ratios

Inventory Turnover 2024 2025 2026

Cost of Goods Sold 1,558,794.29 1,653,661.73 1,754,641.25

Average Inventory 42,265.42 66,764.52 71,518.15

Inventory Turnover 37 25 25

Accounts Receivable Turnover 2024 2025 2026

Net Credit Sales 1,638,280.00 1,754,925.54 1,879,876.23

Average Receivables 133,792.87 138,555.89 148,421.07

Accounts Receivable Turnover 12 13 13

Asset Turnover 2024 2025 2026

Sales 3,276,560.00 3,509,851.07 3,759,752.47

Average Total Assets 506,790.04 630,656.25 714,111.57
Asset Turnover 6 6 5

Solvency Ratios

Debt to Equity Ratio 2024 2025 2026

Total Liabilities 126,696.04 137,164.69 150,854.99

Total Capital 466,884.04 530,567.73 609,635.73

Debt to Equity Ratio 27.14% 25.85% 24.75%

Debt Ratio 2024 2025 2026

Total Liabilities 126,696.04 137,164.69 150,854.99

Total Assets 593,580.07 667,732.43 760,490.72

Debt Ratio 21.34% 20.54% 19.84%

Profitability Ratios

Gross Profit Margin 2024 2025 2026

Gross Profit 1,717,765.71 1,856,189.34 2,005,111.22

Sales 3,276,560.00 3,509,851.07 3,759,752.47

Gross Profit Margin 52.43% 52.89% 53.33%

Operating Profit Margin 2024 2025 2026

Operating Income 312,560.24 424,557.98 527,119.98

Sales 3,276,560.00 3,509,851.07 3,759,752.47

Operating Profit Margin 9.54% 12.10% 14.02%

Net Profit Margin 2024 2025 2026

Net Income 234,420.18 318,418.48 395,339.99

Sales 3,276,560.00 3,509,851.07 3,759,752.47

Net Profit Margin 7.15% 9.07% 10.52%

Return on Assets 2024 2025 2026

Net Income 234,420.18 318,418.48 395,339.99

Average Total Assets 593,580.07 667,732.43 760,490.72

Return on Assets 39.49% 47.69% 51.98%

Return on Capital 2024 2025 2026

Net Income 234,420.18 318,418.48 395,339.99

Average Capital 443,442.02 498,725.88 570,101.73

Return on Capital 52.86% 63.85% 69.35%

 Payback Period

Payback Period 2024 2025 2026

Net Income 234,420.18 318,418.48 395,339.99

Accumulated Income 234,420.18 552,838.66 948,178.65
Amount to be recovered: 420,000.00
Recovered in less than 2 years

Break-Even Point Analysis

Break-Even point 2024 2025 2026

Fixed Cost
Salaries 780,000.00 811,200.00 843,648.00
13th-Month Pay 107,900.00 112,216.00 116,704.64
Contributions 106,710.00 112,045.50 117,647.78
Supplies Expense 33,408.00 34,076.16 34,757.68
Rent Expense 120,000.00 120,000.00 120,000.00
Organizational Cost 15,622.00 - -
Advertising Expense 1,595.00 1,626.90 1,659.44
Utilities Expenses 91,620.00 93,452.40 95,321.45
Doubtful Account Expense 2,730.47 194.41 208.25
Professional Fees 60,000.00 60,000.00 60,000.00
Miscellaneous Expenses 60,000.00 61,200.00 62,424.00
Depreciation - Leasehold Improvement 18,000.00 18,000.00 18,000.00
Depreciation - Furniture and Fixtures 1,095.00 1,095.00 1,095.00
Depreciation - Office Equipments 6,525.00 6,525.00 6,525.00
Production Salaries 514,800.00 535,392.00 556,807.68
Depreciation Production Equipment 800.00 800.00 800.00
Total Fixed Cost 1,920,805.47 1,967,823.37 2,035,598.92
Variable Cost
Cost of Materials 1,043,194.29 1,117,469.73 1,197,033.57
Total Variable Cost 1,043,194.29 1,117,469.73 1,197,033.57

Sales 3,276,560.00 3,509,851.07 3,759,752.47

Less: Variable Cost 1,043,194.29 1,117,469.73 1,197,033.57
Contribution Margin 2,233,365.71 2,392,381.34 2,562,718.90
Less: Fixed Cost 1,920,805.47 1,967,823.37 2,035,598.92
Operating Income (before tax) 312,560.24 424,557.98 527,119.98

Selling Price 70.00 72.10 74.26

Less: Variable Cost 22.29 22.96 23.64
Contribution Margin Per unit 47.71 49.14 50.62

Fixed Cost 1,920,805.47 1,967,823.37 2,035,598.92

Contribution Margin Per Unit 47.71 49.14 50.62

Break-Even Point in Units 40,257 40,041 40,214

Product Cost per unit

Product Cost per unit 2024 2025 2026

Selling Price 70.00 72.10 74.26

2027 2028

702,619.08 859,596.45
165,635.55 181,996.62

3:1 3:1

2027 2028

1,862,142.35 1,976,602.63
76,610.24 84,513.53

24 23

2027 2028

2,013,723.42 2,157,100.53
158,988.65 170,308.64

13 13

2027 2028

4,027,446.84 4,314,201.06
815,814.90 936,417.76
 5 5

2027 2028

165,635.55 181,996.62
705,503.53 819,699.83

23.48% 22.20%

2027 2028

165,635.55 181,996.62
871,139.08 1,001,696.45

19.01% 18.17%

2027 2028

2,165,304.49 2,337,598.43
4,027,446.84 4,314,201.06

53.76% 54.18%
 2027 2028

639,118.69 761,308.64
4,027,446.84 4,314,201.06

15.87% 17.65%

2027 2028

479,339.01 570,981.48
4,027,446.84 4,314,201.06

11.90% 13.23%

2027 2028

479,339.01 570,981.48
871,139.08 1,001,696.45

55.02% 57.00%

2027 2028

479,339.01 570,981.48
657,569.63 762,601.68

72.90% 74.87%
2027 2028

479,339.01 570,981.48
1,427,517.66 1,998,499.15

2027 2028

877,393.92 912,489.68
121,372.83 126,227.74
123,530.16 129,706.67
35,452.84 36,161.89
120,000.00 120,000.00
- -
1,692.63 1,726.48
97,227.88 99,172.43
223.08 238.96
60,000.00 60,000.00
63,672.48 64,945.93
18,000.00 18,000.00
1,095.00 1,095.00
6,525.00 6,525.00
579,079.99 602,243.19
800.00 800.00
2,106,065.80 2,179,332.97
1,282,262.36 1,373,559.44
1,282,262.36 1,373,559.44

4,027,446.84 4,314,201.06
1,282,262.36 1,373,559.44
2,745,184.48 2,940,641.62
2,106,065.80 2,179,332.97
639,118.69 761,308.64

76.49 78.79
24.35 25.08
52.14 53.70

2,106,065.80 2,179,332.97
52.14 53.70

40,394 40,582

2027 2028

76.49 78.79
Financial Aspect

Financial Assumptions
Project Cost
5 years Projected Balance Sheet
5 years Projected Income Statement
5 years Projected Cash Flows
5 years Projected Capital Statement
Notes to Financial Statement
Financial Ratios and Analysis

Amount to be Invested: 420,000.00

Net Income:
Year 1 234,420.18
Year 2 318,418.48
Year 3 395,339.99
Year 4 479,339.01
Year 5 570,981.48
TOTAL 1,998,499.15

Recovered in less than 2 years