Primary Assumptions:

1. 60% of the computed revenue for the first year of operation and increased to
a 5% rate
2. 5 % Salary increase
3. 3 % Increased in Packaging Expenses
4. 35 % Tax Provision
5. Cost of Bottles increases by 5%
6. 8% Increased in Maintenance (5% of Equipment Cost)
7. Communication increases 8%
8. 3% Increased in Office Supplies
9. 5% Increased in Fuel Consumption
10.5% Transportation Allowance Increase
11.5% Power Increase
12.10% Increased in Production yearly
13.Depreciation starts at the end of the first year of operation at 2% per year
14.Account Receivable is 10% of the total annual revenue
15.The computed total annual income will be fully realized on the second year of
operation.
16.First year operation income will be 50% of the computed income since biogas
production as well as composting needs a certain amount of time before the
final product is fully prepared.]
17.Increase in amount of garbage processed is 5% per annum starting on the
third year which translates to 5% increase in production.
18.BIR Tax is 0% for the first three years as provided in the GSC Investment Code
of 1995 and after which tax is imposed after