(This is the title page.

The title should include the IV and the DV; in the title below the IV is low
investment project and the DV is profitability).

The Profitability of a Low Investment Project

Carla de los Reyes

Susan Sison

Sheena Vasquez

Arielle Villanueva

College of Arts and Sciences

San Beda College

February 9, 2016
 Chapter I

INTRODUCTION

Background of the Study

A higher investment bears a higher risk; a higher risk bears a higher return on investment.
However, choosing a lower amount of investment does not practically mean a lower return. As a
matter of fact, it could bring about a higher return than expected as experienced by Xavier
Motors Company. Profitability is a very important factor in choosing what project to invest on.
The period of time of return is another. (This part is the related literature most significant to the
study).

Like any other company, profitability is of prime importance to Xavier Motors Company, one
of the top car and outdoor power equipment producers in South Africa. Outdoor power
equipments include garden tractor and lawn mowers. For the past five years they have been
selling good on both of them. They then considered two more diversified ventures. The first one
is a more powerful tractor and the second one is a snowblower. They wanted a project that
would earn them profit in another level. (This second paragraph discusses about the entity
involved in the research).

This research will focus on how the low investment project of Xavier Motors yielded profit
higher than its high investment project, when a low amount of investment is believed to be less
profitable than a high investment venture. (This is the rationale. It states why the study will be
conducted).

All 3 content types should be part of your background. As presented above, these are (1)most
significant related lit.; (2)the entity involved in your study; and (3)the rationale).

Statement of the Problem

 This research will investigate the capital budgeting of Xavier Motors Company in choosing
between two mutually exclusive projects, garden tractor and snowblower. It seeks to answer
the following questions.

1. What was the amount of cash invested by Xavier Motors in each of the following projects?

A. Tractor
B. Snowblower

2. Why did Xavier Motors Company choose a low investment project over a high investment

project when it is practically proven that the former means a higher net value?

3. How did the low investment project generate high profits?

(Note the introduction before the questions are presented. Do as shown).

Significance of the Study

The information resulting from this research is expected to benefit several groups of
individuals.

Business entrepreneurs could find the research results helpful in decision making concerning
their business ventures. The explanation on cash flow, cash outflow, product demand, and
economic valuation could give light to their own plans...

Students pursuing accountancy, business courses, and even operations management could
find the research findings valuable in evaluating the flow of their own businesses. These could
help in cases where there is a need redirect their own operations.

Other researchers could find the data useful bases of their study..(Elaborate)..

(There should be at least three beneficiaries of the research findings).

Scope and Delimitation

 The study will focus on the factors that account for the success of Xavier Motors in its
low investment venture. It will be a descriptive analysis of capital budgeting involving the
computation of net present value, internal rate of return, payback period, and profitability
index. Data to be analyzed are available in the following website of Xavier Motors:
http://www.brabys.com/business/5824359/south-africa/free-state/bloemfontein/city-
centre/church-st/motor-car-dealers/garages-workshop-repairs/xavier-motors
Completion of the study is expected by the middle of March, 2016.
(This example is from accounting students. For marketing students, the scope and delimitation
usually includes: conducting a survey, the dates when these will start and end, the place, the
participants. Generally, the scope and delimitation should include the following.
1. Focus of the study
2. Methodology or how the study will be conducted. Will you survey? When? Where? Who
will participate? Will you note frequency and percentage of results? When do you expect to
finish the research paper?)

Instructions:

1. Leave 1-inch margin on all sides of the paper.

2. Use Calibri for font style and 12 for font size.

3. Apply 1.5 spacing in-between lines.

4. Use bold font for titles and subtitles.

5. Use all caps for the chapter title; use upper-lower case for

the word “Chapter” and the subtitles.

6. Grading will make use of the criteria below.

8: Completeness of content

5: Clarity, coherence, conciseness

5: Grammar
 2: Mechanics (Use of upper/lower case, margins, spacing,etc.)

Total: 20 =100%