2. Operation is expected to start by April 15,2001 3. The number of loan applicant is 150 on the first year of operation. The projected number of applicant will increase 10% annually. 4. A constant interest rates of 20% for the five years and will be computed in a flat or a simple interest manner. 5. The following range of amounts will be paid as schedule below: 5,000- 10,000 -16 months payable 10,001- 15,000 – 18 months payable 15,001- 20,000 – 18 months payable 20,001- 25,000 – 20 months payable 25,001- 30,000 – 20 months payable 6. Service charge will be deducted from the amount borrowed is 1%, which is constant for 5 years. 7. Delinquent account is assumed to be 50% of total applicants per year. 8. A surcharge of 3.5 %, which is constant for 5 years , will be collected to the delinquent accounts. 9. Corporate tax of 25 % shall apply. 10. Quarterly percentage tax return is 5% on gross 11. Monthly salaries are: Manager P8,000 Accountant P6,000 Credit Investigator P5,000 Cashier P5,000 Secretary P4,000 Utility man P 2,500 This will increase 10% annually as assumed by the proponent. 12. Insurance of P500 a year will increase by 10% annually. 13. Communication of P580.50 per month will increase annually. 14. The office equipment , and furniture and fixtures have an estimated useful life of 12 years and a 10% salvage value is assumed. The straight- line method is used for computing depreciation. 15. Basic employees benefit will also provided : Social Security System Medicare 13th month pay will be allocated 16. Miscellaneous expense of P1,500 annually and will be constant for five years. 17. Bad debts are equal to 2% of the total principal amount of loan granted for the whole year, and will be constant for five years. 18. Annual registration fee of P5,000 and assumed it increase annually. 19. Organizational cost 24, 507.00 will be amortized over 5 years. This will include all operating expenses.