Mung in Mug. Block 4

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MUNG IN MUG
3in1 instant Mung Bean Coffee
A Bachelor’s Feasibility Study
Presented to
the Faculty of the College of Management and Accountancy
PHINMA Education-University of Pangasinan
In Partial Fulfillment
of the requirements for the degree
Bachelor of Science in Business Administration
Major in Marketing Management
Resty, Alvarado
Baguis, Alester Jan
Bilbao, Aira Juneth
De Guzman, Ivy
Guiao, Kendrick
Operana, Sheila Marie
Plasencia, Marie Cris
Rantayo, Aleck
Samson, Emerald
Solis, Jayson
Tinquico, Anthony
Uson, Charmaine
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APPROVAL SHEET
This feasibility study entitled “3in1 Instant Mung Bean Coffee” prepared and
submitted by Resty Alvarado, Alester Jan Baguis, Aira Juneth Bilbao, Ivy De
Guzman, Edmund Kendrick Guiao, Sheila Marie Operana, Marie Cris Plasencia,
Aleck Rantayo, Emerald Samson, Jayson Solis, Anthony Tinquico and Charmaine
Uson in partial fulfillment of the requirements in Feasibility study for Degree of Bachelor
Science Business Administration Major in Marketing Management has been examined
and is recommended for approval and acceptance.
Jonalyn P. Barrozo, DBA

Adviser
FEASIBILITY STUDY REVIEW PANEL
Approved by the committee in Oral examination with a grade of ______.
Josefina Armas, CPA, PhD Markley Villanueva, MBA

Chairperson Panelist
Date of Final Defense September 29, 2017
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ACKNOWLEDGMENT
The completion of this feasibility study was made possible through the encouragement
and assistance of some persons who have given their time and solicited advice to this
study:
Ms. Jonalyn P. Barrozo, our adviser, for her patience and guidance, encouragement
and for sharing her expertise in writing this feasibility study;
Our parents, who gave us life and guided us ever since we were born, and for the
financial and moral support;
To our friends, who always there for us to cheer when we were down;
To our classmates and professors who gave us inspiration and support to finish this
study;
To the group who has given a lot of efforts, patient and so much time to make the
completion of the feasibility study possible and successful;
and Above all, To OUR LORD JESUS CHRIST, for His abundant graces and
blessings showered unto the family of the proponents.
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Table of Contents
I. PROJECT SUMMARY
Introduction …………………………………………………………. 1
Name of the Business………………………………………………... 1
Company Logo………………………………………......................... 2
Vision Statement…………………………………….......................... 3
Mission Statement…………………………………………………… 3
Location…………………………………………………………….... 4
Descriptive Definition of the Product……………………………….. 4
Highlights of the Product……………………………………………. 4
Mode of Financing…………………………………………………... 5
Project Cost…………………………………………......................... 6
Project Long Range Objectives……………………………………… 7
Feasibility Criteria……………….……………………………………7
II. MARKETING FEASIBILTY
Introduction…………………………………………………………….9
Product Description……………………………………………………10
Target Market………………………………………………………….12
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Market Share…………………………………………….......................12
Swot Analysis……………………………………………………........ 13
Marketing Objectives…………………………………….......................14
Product and Positioning………………………………….......................15
Marketing Program and Strategies……………………………………..16
Marketing Budget Summary………………………………………........18
Summary and conclusions Data Gathered……………………………...18
Demand (conclusion)…………………………………………………...18
Demand Analysis……………………………………………………… 21
Supply Analysis……………………………………………………….. 25
Name of Competitors…………………………………………………. 25
III. TECHNICAL FEASIBILITY
Introduction…………………………………………………………… 27
The Product…………………………………………………………… 27
Production Process……………………………………………..…...... 29
Plant Location………………………………………. ……………...... 30
Plant Layout………………………………………………………....... 31
Plant Size and Product Schedule……………………………………….32
Building Facilities and Improvements………………………………... 33
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Raw Materials and Supply………………………….. ……………...... 33
Machineries and Equipment………………………………………...... 34
Production Tools………………………………………………………36
Furniture and Fixtures…………………………………………………37
Supplies/Merchandise Inventory………………………………………38
Merchandise Inventory………………………………………………...39
Utilities………………………………………………………………...39
Electricity…………………………………………………………….. 40
Communication………………………………………………………..40
Production Cost………………………………………………………..41
IV. FINANCIAL FEASIBILITY
Introduction…………………………………………………………....42
Major Assumptions…………………………………………………....42
Projected Income Statement…………………………………………..44
Projected Cash Flow…………………………………………………..45
Projected Balance Sheet……………………………………………... 46
Statement of Owner’s Equity……………………………………….....47
V. ORGANIZATIONAL AND MANAGEMENT
Introduction……………………………………………………………49
Nature and Form of the Business………………………………….......49
Legal Requirements…………………………………………………....49
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Organizational Structure…………………………………………….....50
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Compensation and Benefits…………………………………………….51
Benefits………………………………………………………………....51
Policies and Regulations……………………………………………….52
Security Procedures……………………………………………………52
Policies…………………………………………………………………53
VI. SOCIO-ECONOMIC FEASIBILITY
Introduction…………………………………………………………….54
Social Responsibility and Obligation…………………………………..54
Economic Contribution…………………………………………………55
Tax Contribution…………………………………………………..……55
Waste Management……………………………………………….…….56
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LIST OF TABLES
TABLE NO. TITLE PAGE

1 Project Investment Cost 6
2 Nutrition Facts of Mung in Mug 11
3 Selling Price Computation 13
4 SWOT Analysis 14
5 Marketing Program and Strategies of Mung in Mug 17
6 Historical Population of Ages 18 and above 20
7 Profile of Respondents in Terms of Ages 21
8 Profile of Respondents in Terms of Gender 21
9 Frequency of Respondents Who Drinks Coffee 22
10 Frequency of Respondents in Coffee Brand 22
11 Frequency of Respondents Who Tried Monggo Coffee 23
12 Frequency of Willingness of Respondents
who try Monggo Coffee 23
13 Frequency of Respondents in kind of Coffee they Prefer 24
14 Indirect Competitors of Mung in Mug 24
15 Frequence of Indirect Competitors when they
usually Drink Coffee 25
16 Frequency of Indirect Competitors Price of Coffee 25
17 Frequency of Indirect Competitors Daily Production 26
18 Frequency of Indirect Competitors Usual Customers 26
19 Production Schedule 33
20 Raw Materials Cost per Batch 34
21 Machineries and Equipment 35
22 Production Tools 36
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23 Raw Materials 38
24 Inventory 39
25 Monthly Payment of Electricit 40
26 Production Cost per Batch 41
27 Projected Income Statement 44
28 Projected Cash Flows 45
29 Projected Balanced Sheet 46
30 Owner’s Equity 47
31 Managerial Compensation 51
LIST OF FIGURES
FIGURE NO. TITLE PAGE
1 Company Logo 2
2 Mung in Mug Store 4
3 Product Figure 28
4 Plant Location 31
5 Floor Plan 32
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LIST OF GRAPH
GRAPH NO. TITLE PAGE
1 Product Positioning 16
LIST OF DIAGRAM
DIAGRAM NO. TITLE PAGE
1 The Production Process of

3in1instang Mung Bean Coffee 29
LIST OF CHART
CHART NO. TITLE PAGE

1 Market Share of Mung in Mug 12
2 Marketing Budget Summary 19
3 Organizational Chart 50
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SUPPORTING DATA
APPENDIX NO. TITLE PAGE

1 Letter to Respondents 58
2 Letter of Request to Conduct Research 59
3 Demand Survey Questionaire 60
4 Supply Survey Questionaire 61
5 Method of Demand Computation 62
6 Annual Demand Average 64
7 Legal Requirements 66
8 Schedule of Financial Statement 76
9 References 99
10 Resume 101
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Chapter I
Project Summary
Introduction
The Mung & Mug will be one of a kind healthier and a different kind of coffee. For our
company we would like to offer our different kind of coffee which is made out of mung
beans as the main raw material in our product. We would like to introduce a different
kind of flavor that consumers had not normally tried consuming before. Nowadays
people would choose an instant that is made from Arabica which is a less healthy
nutritional content over the conventional coffee that is said to be “good for you” that is
available in the market. Promoting this convenient way of drinking coffee by introducing
a different kind of coffee bean which is made out of mung bean to the public consumers
would also benefit the consumers with its healthier content. This can also help a lot of the
Filipino farming industries in producing a cheaper and healthier coffee in the country.
Name of the Business
A business name is one of the most important things to be prepared for starting a
business. “Mung in Mug” is the premier name of the business. Mung is the English term
of monggo. Since the product focuses on coffee, we prefer using mug as a part of the
product name. Mung in Mug simply says that the monggo as a coffee is on the mug.
The name Mung in Mug is simple and easy to remember. People will easily visualized
what the business is about to provide. It includes information about the product and can
easily be remembered by the market.
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Company Logo
Nowadays, society is affected by the modern lifestyle of the people. That is why the
product logo came up with a design that fits the modernity in order to catch the attention
of the market.
The graphic element in the center of a logo that consists of M and M, the mung bean and
the mug icon represents the name of the product, ”Mung in Mug”. The leaves represents
that the product is organic. As you noticed the circle, it’s a top view of a coffee mug and
all of the graphics is on the mug. The logo is touch by green color that represents the
color of nature, natural, freshness, safety, money and specially the mung bean.
Figure1. Company Logo
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Vision Statement
To change people’s live by simply changing their cup of coffee.
Mission Statement
To distribute the health benefits and unique coffee taste of mung bean; to provide a high
quality mung bean coffee; and to contribute a good development in coffee industry.
Location
One of the necessary factors that have to be considered in doing a business is the location
because the place is one of the important factors for the business and it serve as a
communication line between entrepreneurs and their customers. Location tells how huge
the target market is, it also helps the business to think of strategies on how they are going
to propose and advertise the product. Thus, it is rest assured that the location of the
business will be available and reachable to the customers. Therefore, the proponents
decided that Ground Flr. A&D Building Poblacion East, Calasiao, Pangasinan is the
business chosen location. Since Calasiao now is considered as one of the tourists spots
here in the north the proponents can easily produce and market if in case they will
purchase the product given that there is a diverse set of people going to that place the
spread or the dispersal of information of the said goods is easy.
The advantage of having the store in the main road it is clearly visible and accessible to
the commuters. Location itself will be convenient to the customers because it is just
located along the hi-way the store is near the Calasiao Church. It is easy to locate the
store because it is basically where the most souvenir and delicacies area.
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Figure 2. Mung in Mug Store
Descriptive Definition of the Product
The study is about Mung bean coffee. The objective of the proponents in making the
business feasible is to introduce to the people that coffee bean is not the only way to
make coffee. These studies suggest different way in creating which is with Mung beans.
The proponent objective of this is to engage our target market into buying the product
because the product have undergone through a safe process which is approved and tested
by a dietician. The enterprise wanted to emphasize the aesthetic, appearances quality
products, personal trust, and good relationship with customers are the most significant
parameters for assessing food safety as well as satisfying our customers by providing
their demands within our product. A manufacturer nowadays uses artificial products to
lengthen the food life span as well as improving the taste than choosing a pure and
natural product which will ensure the health of the customers and consumers.
Highlights of the Product
What could possibly be a unique and nutritious product that could provide health benefits
at a low cost? After intercommunicating with each other, the proponents came with an
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idea of mung bean coffee. The proponents were inspired with the idea of introducing a
new product like mung bean coffee, since coffee beans are widely known; we make use
of mung beans instead of coffee beans for its health benefits.
Mung beans are nutritious such as Fiber, high source of protein, antioxidants and
phytonutrients; the proponents then came up with an idea of innovating existing product
in the market by making mung bean brew as their ingredient instead of adding a lot of
coffee beans in their coffee.
Filipinos are fond of food. Celebration and gatherings are one of the evidences that prove
Filipinos are, indeed, fond of food. The proponents have observed that mongo coffee is
not popular here in the Philippines, we say so because the proponents noticed that there is
no mung bean brew in the market, this is the reason why the proponents pursue this
project to introduce a unique Mongo Coffee made up of Mung bean brew.
Mode of Financing
The proponents agreed to form a partnership. Financing shall come from the shares of the
partners of the Mung in Mug Co. If ever the participation of shares can’t cover up the
expenses of constructing the plant before its operation, the Mung in Mug Co. shall apply
for loans which will give the maximum output of pant. When the business is already in
operation, its liabilities and loans shall be paid from the Mung in Mug Company’s
revenue.
Each partner shall contribute in all aspects of business, including its skills, labor, and
property. In return of investment each partner shares in the profit and losses of business.
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The partners prefer having a partnership because of the Capital each partners can
contribute to start a better business it also does not require a huge amount of money and
the financial burden is spread among partners.
All partners have equal shares in the profit of the partnership and equally responsible for
every loss they are going to encounter in the future. The partners share responsibilities
and they tend to consult each other before before they end up into a decision.
Project Investment Cost
Project Investment Cost is one of the most important aspects. It is the process of
approximating how much it will cost to complete the project activities. The proponents
projected all the expenses to know the total investment cost.
Table 1. Project cost

Particulars Ref Amount Amount
Kitchen Equipment’s 1 8,680.00

Furniture and Fixtures 2 6,900.00
Raw Materials 3 6,110.00
Supplies 30,985.00
Office Supplies 4 460.00
Production Supplies 5 4,525.00
Packaging Supplies 6 26,000.00
Salaries 7 315,744.00
Utilities Expense 8 2,000.00
Advertising/Promotional
Expense 9 525.00
Rent Expense 10 3,500.00
Taxes and Licensing
Expense 11 6,360.00
Communication Expense 12 500.00
TOTAL INVESTMENT
COST Php 381,304.00
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Project Long Range Objectives
In this part the proponents are discussing about how the product Mung in Mug can be
successful in the field of coffee industry, on how the proponents convince the people or
the target markets that Mung in Mug will be their next favourite organic coffee drink.
1. To be able to change the thought and perception of the customers/consumers
regarding the usage and benefits of mung bean;
2. To increase the level of awareness of customers on the different ways of mung
bean can be a healthy beverage;
3. To give popularity in the coffee industry and being the first coffee supplier
offering a different variety of coffee;
4. To be the leading supplier and manufacturer offering mung bean coffee.
MARKETING FEASIBILITY
The proponents conducted a survey and the target market is feasible. Based on our
research, there is 97% of demand. The result was, people want to try the product since it
is different from any other coffee.
TECHNICAL FEASIBILITY
By establishing such system, the necessary expertise, infrastructure and capital to

develop, install, operate and maintain the proposed system, the business will be able to
deliver goods at a profit. It is important to consider if there is sufficient access to
resources
FINANCIAL FEASIBILITY
It is feasible because the proponents have enough money to keep the business
going from start up until it starts to make a profit.
ORGANIZATION AND MANAGEMENT CRITERIA
The entity has established workforce conduct standards, implemented workforce

candidate background screening procedures, and conducts enforcement procedures to
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enable it to meet its commitments and requirements as they relate to being reported on
security, availability, processing integrity or confidentiality or any combination thereof.
SOCIO-ECONOMIC FEASIBILITY
It is feasible because it gives employments when the company gets bigger, and by
that, it can decrease unemployment rate. The proponents will pay tax to the government
hence boosting economic growth which will turn out as economic development
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Chapter II
Marketing Feasibility
Introduction
On this second chapter, the proponents included the fundamentals of an introduction of a
newcomer in the Philippine Coffee market known as Mung in Mug. The proponents
discuss the description of the product, analysis of the organization, SWOT analysis and to
make it possible for the team to propose a dynamic and competitive strategy for Mung in
Mug. Mung in Mug is an innovative product which is a different kind of coffee that has a
lot of benefits which makes it better than your usual coffee, Mung in Mug is a new
healthier and cheaper coffee that will be entering the coffee market in the Philippines.
Filipinos have developed the love for coffee through the years, Filipinos also drinks
100,000 metric tons of coffee per year based from Pacita Juan, co-chair of the Philippine
Coffee Board.
Coffee continues to show positive growth in the Philippines in 2015, while remaining
largely first when compared to other drinks in overall hot drinks.
Mung in Mug is launching with a line of premium coffee made in the Philippines for all
around the world. The proponents are aiming to reinvent the wisest health drink and
bringing the organizational and Non-GMO products to the community. The health
benefits of Mung in Mug turn this beloved beverage into far more than soothing,
delicious drink to enjoy with friends over a good book.
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Product Description
To effectively promote the product, a name should make sense locally but still
understood if the business extends elsewhere. The name that has been chosen will be
around for a long time and can have substantial impact on how your services are
perceived. The proponents come up with the name Mung in Mug because our product is a
coffee made out of mung bean.
Mung bean is a high source of protein, fiber antioxidants and phytonutrients this is also a
high source of manganese, potassium, magnesium, foliate, copper zinc, and various B
vitamins. Mung bean has a clinical evidence that continues to show that derived foods
have various potential health benefits, including lowering inflammation. Mung bean has
been one of the healthiest sources of plant that contains amino acids, antioxidant,
antimicrobial, anti-inflammatory, antidiuretic, lipid metabolism, antihypertensive, and
antitumor. Mung bean also has 8% of Vitamin B5 and 11% of Vitamin B6 and 5% of
Calcium. Mung bean can also help lower high cholesterol and protect our health against
heart disease. This also Fights cancer development this has been based from the college
of food science nutritional engineering at china agricultural university. Mung bean also
have a strong evidence that this can be a significant anti-diabetic effect and can naturally
help prevent or treat cases of type 2 diabetes this has been a study done by the Institute of
Crop Sciences at the Chinese Academy of Agricultural Sciences. We’ve mentioned that
mung bean contains high levels of fiber and protein, they are one of the most filling foods
that there is. In a study published in a Journal of Nutrition, researchers observed that a
single meal with high-fiber beans produced a two-fold greater increase in the satiety
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Hormone called “cholecystokinin” when compared meals that didn’t contain beans this
just shows that mung bean fights obesity and Helps with weight loss too.
These are just few of the benefits of what mung bean can offer this has been the reason
that lead us in choosing mung bean as our main ingredient for our product.
Table2. Nutrition Facts of Mung in Mug Coffee
Nutrition Facts
(40 g per sachet) % Daily value
Vitamin B5 8%
Vitamin B6 11%
Calcium 5%
Cholesterol 0%
Manganese 13%
Potassium 6%
Magnesium 13%
Description
-a high source of protein, fibber antioxidants

and phytonutrients. Mung Bean has one of the
healthiest sources of plant that contains amino
acids, antioxidant, antimicrobial, anti-
inflammatory, anti-diabetic, lipid metabolism,
antihypertensive, and antitumor.
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Target Market
The proponents decided to have the target market ages from 18 years old and above, most
likely those who are young adults and those who are already working that needs to have
enough energy. And the primary target markets of the business are those who are
conscious coffee drinker that appreciates quality because the proponents will produce a
new kind of coffee with a unique quality taste that most likely coffee drinkers will
appreciate.
Market Share
It shows that 90% of market share are owned by indirect competitors with the willingness
of consumers and competitors who would like to be supplied. The remaining 10% of
market share is owned by Mung in Mug with the willingness and would like to be
produced
Chart 1. Market Share of Mung in Mug
The Pie chart shows that Mx3 has the highest percentage in terms of monthly sales with
an amount of Php 280,000. Secondly, Jimm’s 3 plus 1 Coffee with an amount of
Php100,000. Lastly, Javita Coffee has the least percentage in terms of mothly sales with
an amount of Php 50,000. Mung i n Mug

10%
Cafe Jardin
30%
MX3
36%
Ja vi ta coffee
24%
Café Jardin Javita coffee MX3 COFFEE Mung in Mug
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Table 3. Selling Price Computation
Particulars Amount
Direct Materials 1,975.00
Packaging 1,000.00
Direct labor 1,265.00
Factory Overhead 459.38
Production Cost 4,699.38
Divided by no of Productions 400.00
Total 11.75
Mark Up (70.03%) 8.25
Selling Price Php 20.00
.
SWOT Analysis
SWOT Analysis (strengths, weaknesses, opportunities, and threats analysis) is the
blueprint of your business. It is the framework where you can see in a mung bean coffee,
the determinants of the success or failure of your business.
It is also a useful tool for brainstorming and strategic planning. You can use a
SWOT analysis to help you decide if and how you should:
 Take advantage of a new business opportunity.
 Respond to new trends
 Implement new technology and
 Deal with changes to your competitors’ operations.
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Table 4. SWOT Analysis of Mung in Mug
Strengths
Weakness
Mung in Mug offers cheaper price than its
competitors
Our product has a weak brand image
We focus on providing health and wellness
Brand equity
We make it a point that the quality of our coffee is
organic Brand recognition
Our coffee is unique
Our coffee is healthier that has low caffeine.
SWOT
Oppurtunities
Expansion and innovation are essential in the

growing demand for coffee. Threats
Variety of new blends and promos will come ahead
for our customer. Competition with established coffee brand
Reach a new market segment. Consumer brand loyalty to competitors
Grow niche of coffee drinkers Brand switching due to many options available
Entice a new market segment
Increase health concern of consumers
Marketing Objectives
According to the Chartered Institute of Marketing, objectives must be specific,
measurable, achievable, realistic and time-bound. To be more effective, it must identify
exactly what the company expects to achieve, and realistic steps that must be taken to
achieve the company's goals. Marketing objectives identify exactly how the business will
benefit when the objectives are met. Specific objectives provide a framework for
company personnel to rally around, and provide a means for senior leadership to control
the direction the company is taking.
1. Develop awareness of the structured conversation system measured by customers
coming to the Mung in Mug solely for meeting people;
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2. Develop an increase in sales while achieving a status quo or decrease in
marketing expenses;
3. Develop brand awareness through a steady, month-month increase of new
customers;
4. Identify additional sources of revenue and profitable expansion opportunities;
5. Our outlets will also be well designed and located and our product well-
advertised.
Product and Positioning
It is very important to identify what certain position the business located in the market to
establish a good relationship with the target customer and can give accurate information
to them. The proponents provided a graph that would explain Mung in Mug is not just
having the best quality product but also have an affordable price. You can see on the
graph that Mung in Mug was located in high quality and low price axis. With the help of
mung bean, the main ingredient of the product gives an important role in positioning
Mung in Mug.
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Graph 1. Product Positioning of Mung in Mug
High Quality
Low-Priced High-priced
Low Quality
Marketing Programs and Strategies
In this part, proponents designed marketing program and strategies to sharpen
promotional opportunities by evaluating the marketing opportunities thru researching,
analyzing and identifying the target markets; developing a strategic position for the
company to achieve goals and objectives.
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Table 5. Marketing Program and Strategies of Mung in Mug
Marketing Marketing Implementation

Mix Program and
Strategies
Product Branding
The proponents brand the

product base on what the main
product is for them to be aware
what it is and to position the
product in the mind of the
customers or consumers.
Packaging
Improvements
Improving the quality of package

and innovating such as the size,
color, theme, and package itself
to attract customers or
consumers.
Product testing As a new entrant business, mung
in mug will have its product
testing to bring awareness to the
market.
Price Cost Based Pricing The proponents come up with
the price of P20.00 per sachet.
Included the 41.1% mark-up.
Time/Seasonal The proponents will increase the
Pricing volume of the product depending
on season.
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Marketing Mix Marketing Program Implementation
and Strategies
Promotion Advertising
The proponents will disseminate

flyers to the target market to
build awareness of the product.
Personal Selling The proponents will talk to the

direct customers to make face-to-
face interaction for them to know
the product better.
Sales Promotion Giving the customers discounts

or buys 2 boxes and takes free
pieces of coffee sachet.
Interactive Making Facebook, twitter,

Marketing instagram and website to tap our
target market.
Marketing Budget Summary
Mung in Mug Marketing Budget Summary is determined to become a daily necessity for
local coffee addicts, a place to dream of as you try to escape the daily stresses of life
and just a comfortable place to meet your friends or to read a book, all in one.
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Chart 2. Marketing Budget Summary of Mung in Mug
Marketing Budget Summary

9% 3%
Employees Fee
37% Others Expences
36% Extra
Raw Materials
7% Utilities
8%
Summary and Conclusions of Data Gathered
Demand (Conclusions)
In this part of study, proponents provided the sample size of respondents and information
about exiting demand of coffee.
Computation of the Sample Size:
Formula: N
1+N (e) 2
Where: N-Population
e- Sampling Error
n- Sampling Size
n= ___109,106___
1+109,106 (0.05)2
n= 399.99 or 400
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Population of Calasiao, Pangasinan
Growth Rate:
Total Population of Calasiao as of 2020 118,184
Less: Total Population of Calasiao as of 2017 109,106
Difference 9,078
Divided by the Total Population of Calasiao as of 2017
95,154
Total 0.0832
Divided by 4 years
Annual Growth Rate 0.021 or 2%
Population per year = Proceeding year (1+Growth Rate)

This table shows the historical population of ages 18 and above of Calasiao.
Table 6. Historical Population of Ages 18 and Above

Year Historical Population
2013 98,079
2014 100,727
2015 103,445
2016 106,238
2017 109,106
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Demand Analysis
In this part of the study, proponents provided information about existing demand of
Coffee.
Table 7 shows that majority of respondents are aged 21-30 or 48.25% and very few of
them are aged 51-60 years old or 5.5%.
Table 7. Profile of Respondents in Terms of Age
Age Frequency Percentage
18-20 years old 76 19%
21-30 years old 193 48.25%
31-40 years old 84 21%
41-50 years old 25 6.25%
51-60 years old 22 5.5%
TOTAL: 400 100%
Table 8 represents the demographic profile of the respondent’s surveyed in Calasiao,
Pangasinan. It shows that almost half of the respondents are female or 53.75% and the
remaining 46.25% are male.
Table 8. Profile of Respondents in Terms of Gender
Gender Frequency Percentage
MALE 215 53.75%
Gender Frequency Percentage
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FEMALE 185 46.25%
TOTAL: 400 100%
Table 9 shows that majority of respondents 96.25% drinks coffee and the remaining
3.75% doesn’t drink coffee.
Table 9. Frequency of Respondents Who Drinks Coffee
Answer Frequency Percentage
Yes 385 96.25%
No 15 3.75%
Total: 400 100%
Table 10 shows that majority of respondents’ brand is Kopiko which falls with 40.25%,
secondly is Nescafe which falls with 39.5%, third is Great Taste which falls with 16.25%
and lastly falls to others.
Table 10. Frequency of Respondents in Coffee Brands
Brand Frequency Percentage
Nescafe 158 39.5%
Brand Frequency Percentage
Kopiko 161 40.25%
Great Taste 65 16.25%
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Others 16 4%
Total: 400 100%
Table 11 as to frequency of the respondents in drinking coffee, it is noticeable that many

of the respondents’ drinks coffee 1-2cups per day.
Table 11. Frequency of Respondents in Usage
Usage Frequency Percentage
1-2cups per day 228 57%
Total: 400 100%
Table 12 shows that majority of respondents 87% tried Monggo Coffee and the
remaining 13% doesn’t try Monggo Coffee.
Table 12. Frequency of Respondents who tried Monggo Coffee
Yes 52 13%
No 348 87%
Total: 400 100%
Table 13 shows that majority of respondents which falls with 84.75% want to try
Monggo Coffee and respondents No to the remaining of 15.25% .And majority of
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respondents which falls with the 84.75% are willing to pay the product with the priced
ranged Php 5.00-10.00 and few or 2% with the priced ranged of Php 21.00-25.00.
Table 13. Frequency of willingness of Respondents to try Monggo Coffee
Yes 339 84.75%
No 61 15.25%
Total: 400 100%
Price Frequency Percentage

5-10 Php 252 63%
11-15 Php 94 23.5%
16-20 Php 46 11.5%
21-25 Php 8 2%
Total: 400 100%
Table 14 shows that majority of respondents’ type is instant which falls with 65.25% and
the remaining is brewed which falls with 34.75%
Table 14. Frequency of Respondents in kind of coffee they prefer
Type Frequency Percentage
Brewed 139 34.75%

Instant 261 65.25%
Total: 400 100%
35
Supply analysis
In this part of the study, proponents provided information about existing supply of coffee.
Name of Competitors
Table 15 shows here the indirect competitors of Mung in Mug and their locations.
Table 15. Indirect Competitors of Mung in Mug
Name of Enterprise Location
Mx3 Drugs Stores
Javita Coffee Online
Drug Stores
Jimm’s 3 plus 1
Table 16 shows that 33.33% on Jimm’s 3 plus 1 Coffee falls within the estimated price
220-230 pesos. Secondly, 33.33% on Mx3 falls within the estimated price of 600-620
pesos. Lastly, 33.33% on Javita Coffee falls within the estimated price of 1900-1950
pesos.
Table 16. Frequency of Indirect Competitors Price of Coffee Per Box
220-230 Php 1 33.33%
600-620 Php 1 33.33%
1900-1950 Php 1 33.33%
Total: 3 100%
36
Table 17 shows that Mx3 Coffee and Jimm’s 3 plus 1 or 67% of the Competitors falls
within the Daily production of 10-15 pieces. Lastly, Javita Coffee or 33.33% of the
Competitors falls within the Daily Production of 21-25 pieces.
Table 17. Frequency of Indirect Competitors’ Daily Production Per Box
Pieces Frequency Percentage
10-15 2 67%
16-20 0 0
21-25 1 33%
Total: 3 100%
Table 18 shows that majority of enterprise has usual customers of students/office
workers.
Table 18. Frequency of Indirect Competitors ‘Usual Customers
Customer Frequency Percentage
Students/Office Workers 3 100%
Business Man/Woman 0 0
Senior Citizens 0 0
Others/specify 0 0
Total: 3 100%
37
Chapter III
Technical Feasibility
Introduction
On this chapter it studies the technical feasibility of the product by assessing the details
of how it delivers the product and services and how the process making of the product.
Studying the logistical or tactical plan on how the business can produce, store, deliver,
and track its product and services. It also indicated the plant location, layout , size and
product schedule are all presented for the purpose of the identifying the business
operation. This also states the machinery and equipment used in production and other
aspects bringing the raw materials into finished products ready for its distribution. The
product specification of the product processes by using a flow chart. The list of
machinery, tools and equipment used are enumerated with their corresponding cost, also
other expenses in the production are included.
The Product
The proponent’s product is known as “Mung bean Coffee” and its main ingredient is
monggo and other ingredients are creamer and sugar. The proponent’s come up with the
name “Mung in Mug” because the product is made out of mung bean. The product is
more likely to be described as the same existing coffee but it is different because the
proponents offer high quality and healthy kind of coffee.
Mung in Mug will offer its customer the best tasting coffee in the area and to achieve
this, the proponents will use a high quality ingredients and strictly following the
preparation guideline in producing the product.
38
Figure 3. Product figure
39
Production Process
Below is the manufacturing process of 3 in 1 Mung bean coffee per sachet.
Diagram 1. The Production Process of 3 in1 Mung Bean Coffee
Wash the mung bean

(10 minutes)
Drain the mung bean

(10 minutes)
Roasting the mung bean

(40 minutes)
Grinding the mung bean

coffee
(30 minutes)
Boiling and refining the

grinded bean
(55 minutes)
pulverize the mung bean

coffee
(15 minutes)
Mix the coffee with

other ingredients.
(10 minutes)
Packaging
(60 minutes)
Step 1: Wash the mung bean with water
Wash 2kilos of mung bean with clean water. (10 minutes)
Step 2: Drain the bean until it dry
Place the bean in the strainer to drain it properly. (10 minutes)
40
Step 3. Roasting the bean
Roast mung beans either in a toaster oven at 300 – 350 degrees or can do larger scale in
the oven on a cookie sheet. Just keep an eye on it till the beans go from green to a nice
dark brown (a little lighter than the color of coffee beans).
Step 4. Grinding the bean
Use a coffee grinder to reduce the roasted beans to a powder/cracked bean.
Step 5. Boiling and refining the grinded bean
Boil the grinded bean with 500ml of distilled water. (20-25 minutes) then separate the
boiled bean and the water using strainer. After this, boil the water until it dry and become
coffee (30 minutes). Do this three times with the same grinded bean and same amount of
water.
Step 6. Pulverize the coffee
To make it easy to dissolve in water and pulverized the coffee with coffee grinder.
Step 7. Mix the coffee with other ingredients
Mix the Mung bean coffee with 500 grams of creamer and 1kilo of white sugar.
Step 8. Packaging
Put a 40grams of 3 in 1 Mung bean coffee on a packaging sachet.
Plant location
The proponents have decided that 2nd floor A&D building Poblacion East, Calasiao
Pangasinan is the building chosen location, where the proponents can easily produce.
This location is chosen because of the following:
41
1. The location is in the main road and it is clearly visible and accessible to the
commuters.
2. The location will be convenient to the customer because it is just located along the
hi-way and the store is near the Calasiao, Church.
3. Resources such as water, electricity and telecommunication are readily available
and easily accessible.
Figure 5. Plant Location
Plant Layout
The plant layout tactically designed to support the smooth process of the proposed
business. The display area is a place where all finished products that are ready to sell are
being displayed. There would be a business office area which will cater to business
related transactions. The store will be the place for the customer to purchase the finished
products of monggo coffee.
42
Figure 6. Floor Plan
Plant Size and Production Schedule
The plant site is a commercial-typed building with an area of 6 by 5 meters which is
located at Ground floor A&D building Poblacion East, Calasiao Pangasinan.
The proposed business will open on Monday to Saturday at 8:00am to 5:00pm. The
proponents chose to operate the business on Monday until Saturday at 8:00 -5:00pm with
the production operation will be 6 days a week since the target market are ages 18 and
above of Calasiao, Pangasinan. The proponents also considered the other city or town as
the target market like Dagupan City because there’s a lot of people and the proposed
43
business location is near to the City. The proponents will order raw materials every
month and estimated number of Mung bean Coffee to produce per batch is 400.
Table 19. Production Schedule
It is about the process of production and activities of the company.
1. The proponents will open the business 8:00 AM to 5:00 PM.
2. The production operation will be 6 days a week.
3. The proponents will have 400 pieces per batch.
4. The proponents will order the raw materials every month.
Building, Facilities and Improvements
Building and facilities serves as the places of business industry and production. Poblacion
East, Calasiao, Pangasinan will be the location of the production site. The rent expense of
the store will be 3,500 pesos per month. There is a storage room for raw materials and
finished products of the enterprise. The majority of the space is intended for the
equipment and serves as a production area.
Raw Materials and Supply
Raw materials need in the production process involve the Mung Bean, non-dairy creamer,
refine cane sugar and coffee bag.
44
 The primary supplier of the mung bean is from Torres Farm since they are located
in Calasiao, Pangasinan and they have plants of mung beans. The cost of 10 kilos
per batch is Php 1200.00 per kilo.
 2500 grams of non-dairy creamer and 5000 grams of refine cane sugar will be
mixed with the mung bean coffee (pulverize).
 Coffee bags will be used to ensure the neatness and cleanliness of the consumer.
The cost of 400 pieces of coffee bags/pack is Php 1000.00.
 Mung Bean coffee is the product will offer to the customer. The cost of mung
bean is Php 120 per kilogram.
Table 20. Raw Materials Cost Per Batch
The table below shows the breakdown of the cost of raw materials used per batch.
Raw Materials
Particlars Qty Cost per Production
Mung bean 10kilos 1,200.00
Non-dairy Cream 2500grams 500.00
Refined Sugar 5,000 grams 200.00
Purified Water 5 gallons 75.00
Total Php 1975.00
Divided by no of Units 400.00
Total Php 4.94
Machineries and Equipment
The figures below are the Machineries and equipment which will be used in the operation
of the business.
45
Table 21. Machineries and Equipment
Stove Brand: Hanabishi

Unit Cost: 975php
Quantity Required: 1
Description: a portable or fixed apparatus
that furnishes heat for warmth, cooking and
etc.
Where to buy: Handyman
Grinder Brand: OEM

Unit Cost: Php3,500
Quantity Required:1
Description: used in a machining operation to
refine the surface of materials
Where to buy: Lazada, Philippines
Oven Brand: Hanbishi

Toaster Unit Cost: Php990
Description: Heat resistant see-through
glass window, WATTS: 650watts,
VOLTAGE: 230V a.c. 60Hz
Digital Brand: Unbranded

Scale Unit Cost:Php655
Description: High accuracy of 0.01g
resolution max of 200g, Digital display,
fast reading with backlight and Multiple
display mode: g, oz, t1, and ct.
Where to buy: Lazada , Philippines
46
Production tools
The figures below are the tools which will be used in the operation of the business
Table 22. Production Tools

Strainer Brand:1
Unit Cost: Php160
Quantity Required:1
Description: A device having holes in it
or made of crossed wires of separating
solid matter from a liquid.

Mixing bowl Brand: Unbranded
Unit Cost: Php150
Description: Stainless-steel construction
for durability and temperature retention.
Dishwasher safe for easy cleaning and
Flat base for stability
Where to buy: surplus
Spatula Brand: Unbranded
Unit Cost: 150php
Description: an implement with a broad,
flat, blunt blade, used for mixing and
spreading things, especially in cooking
and painting
Where to buy: Surplus

Measuring Brand: Sunbeam
spoon Unit Cost: Php105
Description: is a spoon used
to measure an amount of an ingredient,
either liquid or dry
47
Frying pan Brand: unbranded
Unit Cost: Php250
Description: Is a flat-bottomed pan used
for frying, searing, and browning foods.
Where to buy: surplus
Iron Pot Brand: First Choice

Unit Cost: Php390
Description: a container, typically
rounded or cylindrical and of ceramic
ware or metal, used for storage or
cooking.

Measuring Brand: Sunbeam
Cup Unit Cost: Php155
Description: Glass is preheated oven,
microwave, fridge, freezer & dishwasher
safe and Lid is BPA free and top-rack
dishwasher safe
Furniture and Fixtures
When planning to open a store it is important to buy furniture’s like table, cabinet, chair
and door. In the above-mentioned furniture’s is considered long term asset in order for
the store to be efficient. The proponents have considered the durability and efficiency of
this furniture. Since this furniture’s will depreciate yearly, the proponents have decided to
buy expensive furniture in order to be efficient. These furniture’s are very important, for
example the tables and chairs because it will be used by the customers for their comfort
ability inside the store. And also cabinet it will be used in order for the other materials or
utensils to be organized. Lastly the door, it is important because it will be used by the
48
customers and the management as a passageway in and out the store and it will be used
for the safety of the furniture’s and equipment’s inside the store.
Supplies/Merchandise Inventory
Supplies/materials need in the production process involve the mung coffee powder Most
of the areas devoted to coffee production are generally from Calasiao, Pangasinan which
is known as one of the biggest suppliers of mung beans in the North.
The primary supplier of the Mung Bean is Margecita Lajera Trading in calasiao
 As they use Mung bean as their main ingredient. The cost of 10 kilos per batch is
Php 1200.00.
 Plastic sachet will be used to ensure the neatness and cleanliness of the consumer.
The cost of 400 pieces of coffee bags is Php 1000.00.
 Mung bean coffee is the product that will be offered to the customer. The cost of
Mung bean is Php 20.00 per sachet.
The table below shows the breakdown of the cost of raw materials used per batch. There
will be six (6) production batches in every week or twenty-six (26) days a month. Four
Hundred (400) coffee sachets of coffee will be produced each batch of production.
Table 23. Raw Materials Cost Per Batch
Particlars Qty Cost per Production

Mung bean 10kilos 1,200.00
Non-dairy Cream 2500grams 500.00
Refined Sugar 5,000 grams 200.00
Purified Water 5 gallons 75.00
Total Php1975.00
Divided by no of
Units 400.00
Total Php4.94
49
Merchandise Inventory
This Indicate the number of times inventory was sold during the period.
The business is able to sell inventory 2 times in 2017, 2 in 2018, 2 in 2019, 1 in 2020, and
1 in 2021.
Table 24. Inventory
2017 2018 2019 2020 2021

Finished
Good End 5,326.15 618,409.73 653,342.22 661,991.54 669,695.10
Total Cost
of Direct
Materials 611.00 3,982.50 4,459.32 4,815.46 5,191.48
Total Php5,937.15 Php622,392.23 Php657,801.54 Php666,807.00 Php674,886.59
Utilities
The main utilities needed in every business generation are water and electricity. The
following are the computations of the expenses in utilities that may occur for a period of
one month.
Water
Usage: 15 Cubic Meters
Basic charge Php232.52
FCDA (Foreign Currency Differential Adjustment) 0.74
Environmental Charges 46.65
Sewer Charges 0.00
MSC (Water Service Connection) 1.50
VAT 33.77
TOTAL Bill Php 315.19
50
Calasiao water front will supply water needed for the operation of the business.
The average expense of the whole shop Php 315.19
Electricity
Table 25. Monthly Payment of Electricity
Tools and No. of hours Cost per Cost per Cost per Cost per
Equipment used per Day Hour Day Week Month
Ceiling Fan (4) 4 Php1.47 Php 23.52 Php 141.12 Php 611.52
Refrigerator (1) 24 0.61 14.64 87.84 380.64
Television(1) 4 2.36 9.44 56.64 245.44
Grinder (1) 1 1.34 1.34 8.04 34.84
Microwave Oven (1) 1 3.80 3.80 22.80 98.80
Fluorescent (3) 4 0.10 1.40 7.20 31.20
TOTAL Php1,402.44
Communication
The enterprise will be using the telephone as one way of transacting business and to be ab
le to acquire the customer’s order easily. Through the use of the telephone, the business
will load 500 per month.
51
Production Cost
Table 26. Production Cost per Batch
Particulars Amount
Packaging 1,000.00
Total 11.75
Mark Up (70.03%) 8.25
52
Chapter 4
Financial Feasibility
Introduction
Financial statements include Income Statement, Balance Sheet, Owner’s Equity and Cash
Flow. These statements provide reliable information, however, it needs supporting data
to be able to justify the given figures. The assumptions play a major role in the
formulation of our financial projections because it serves as the basis for estimating
future revenues, expenditures, and expenses.
Major Assumptions
1. There will be two (1) production cycle in one day, six days a week and 26
days a month. There will be 312 production days in a year. The business will
start on November 2017 the production days will be 7 on the year 2017.
2. The enterprise will produce 400 pieces of 40grams of “3in1 Instant Mung
Bean Coffee” every other day. Productions will be increasing by 5%
annually.
3. The business will conduct its operation from Monday to Saturday.
4. It is assumed that there would be a 5% increase in production annually.
5. There will be an 3% unsold units in the first year and 2% for the remaining
years.
6. Sales return and allowances will be 2% of sales.
7. Indirect materials will increase by 1% yearly because of the increase in
production.
8. Utilities expense will increase by 2% every year.
53
9. The production site rental is Php3,500.00 every month for a period of five (5)
years.
10. It is assumed that office supplies would increase by 2% yearly.
11. The method of depreciation will be straight line.
12. Property, plant and equipment consist of production tools and equipment.
13. Inventories are sold in FIFO (First-In, First-Out) method where the goods are
sold in the order they are produced. The percentage on units unsold will be
3% for 2017 2% for the succeeding year.
14. All purchases of raw materials will be on cash basis to avoid liability.
Purchase of raw materials will increase 7.8% every year because of the
increase in production. Inventories of raw materials will be 5% of the total
cost of raw materials.
15. Indirect materials will increase by 1% yearly because of the increase in
production.
16. No liabilities for the first five (5) years of the business operations. At the end
of the year, utilities will be paid on the next month and it will be treated as the
accounts payable of the enterprise.
54
MUNG IN MUG
PROJECTED INCOME STATEMENT
For the Year Ended November 6-2017-2021
Table 27. Projected Income Statement
Schedule 2017 2018 2019 2020 2021
Sales 3 387,600.00 2,480,184.00 2,728,202.40 2,994,498.80 3,279,916.80
less: cost of Good sold 4 101,196.85 618,409.73 653,342.22 661,991.54 669,695.10
Gross Profit 286,403.15 1,861,774.27 2,074,860.18 2,332,507.26 2,610,221.70
less: operating expense 6 5,150.00 12,080.40 12,091.20 12,153.62 12,217.30
Net Profit before Tax 281,253.15 1,849,693.87 2,062,768.98 2,320,353.64 2,598,004.40
les: income tax expenses
(30%) 84,375.95 554,908.16 618,830.69 696,106.09 779,401.32
Net Income After Tax Php196,877.21 Php1,294,785.71 Php1,443,938.29 Php1,624,247.55 Php1,818,603.08
MUNG IN MUG
PROJECTED CASH FLOWS
Table 28. Projected Cash Flows

Sched 2017 2018 2019 2020 2021
Net Income Before Tax IS 281,253.15 1,849,693.87 2,062,768.98 2,320,353.64 2,598,004.40
Interest Income 0.00 0.00 0.00 0.00 0.00
Operating Cash Flows Before
Working Capital 281,253.15 1,849,693.87 2,062,768.98 2,320,353.64 2,598,004.40
Increased in Inventory -5,937.15 -616,455.08 -35,409.32 -9,005.46 -8,079.59
Increased in Trade and Other
Payables 2 56,624.00 283,600.00 489.60 499.39 509.38
Net Cash used in other Payables 331,940.00 1,516,838.79 2,027,849.26 2,311,847.57 2,590,434.19
Interest Received 0.00 0.00 0.00 0.00 0.00
Income Tax Payment 0.00 -84,375.95 -554,908.16 -618,830.69 -696,106.09
Net casd (used) form Operating 331,940.00 1,432,462.84 1,472,941.10 1,693,016.88 1,894,328.10
Cash flow from Financing

Activities
Proceed from Partners Investement 400,000.00

Partners Withdrawal 0.00 0.00 0.00 0.00 0.00
Net Cash from Financing Activities 400,000.00 0.00 0.00 0.00 0.00
Net incresed/decrease in Cash 731,940.00 1,432,462.84 1,472,941.10 1,693,016.88 1,894,328.10
Cash Beginning of the year 0.00 731,940.00 2,164,402.84 3,637,343.95 5,330,360.83
Cash at the end of the year Php731,940.00 Php2,164,402.84 Php3,637,343.95 Php5,330,360.83 Php7,224,688.93
56
MUNG IN MUG
PROJECTED BALANCED SHEET
Table 29. Projected Balanced Sheet
ASSETS Ref 2017 2018 2019 2020 2021

Current Liabilities
Cash CF 731,940.00 2,164,402.84 3,637,343.95 5,330,360.83 7,224,688.93
Inventories Sched 1 5,937.15 622,392.23 657,801.54 666,807.00 674,886.59
TOTAL CURRENT
ASSETS Php737,877.15 Php2,786,795.07 Php4,295,145.49 Php5,997,167.83 Php7,899,575.52
LIABILITIES AND
PARTNERS EQUITY
Current Liabilities
Trade and other Payables Sched 2 56,624.00 340,224.00 340,713.60 341,212.99 341,722.37
Income Tax Payable IS 84,375.95 554,908.16 618,830.69 696,106.09 779,401.32
TOTAL LIABILITIES 140,999.95 895,132.16 959,544.29 1,037,319.08 1,121,123.69
Partners’ Capital
Partners’ Capital Equity 596,877.21 1,891,662.91 3,335,601.20 4,959,848.75 6,778,451.83
Total Partners Capital 596,877.21 1,891,662.91 3,335,601.20 4,959,848.75 6,778,451.83
TOTAL LIABILITIES Php737,877.15 Php2,786,795.07 Php4,295,145.49 Php5,997,167.83 Php7,899,575.52
57
MUNG IN MUG
PROJECTED CHANGES IN OWNERS EQUITY
Table 30. Owners equity
2017 2018 2019 2020 2021
Capital, Beg 400,000.00 596,877.21 1,891,662.91 3,335,601.20 4,959,848.75
Add: Net Income 196,877.21 1,294,785.71 1,443,938.29 1,624,247.55 1,818,603.08
Total 596,877.21 1,891,662.91 3,335,601.20 4,959,848.75 6,778,451.83
Less: Drawing 0.00 0.00 0.00 0.00 0.00
Capital, End Php596,877.21 Php1,891,662.91 Php3,335,601.20 Php4,959,848.75 Php6,778,451.83
58
MUNG IN MUG
PROJECTED CHANGES IN PARTNERS EQUITY
2017 2018 2019 2020 2021

Guiao,Edmund Kendrick, Capital
Beg 200,000.00 298,438.60 945,831.46 1,667,800.60 2,479,924.37
Add: Share in Net Income 98,438.60 647,392.85 721,969.14 812,123.77 909,301.54
Total 298,438.60 945,831.46 1,667,800.60 2,479,924.37 3,389,225.91
Less: Personal Drawing 0.00 0.00 0.00 0.00 0.00
End Php298,438.60 Php945,831.46 Php1,667,800.60 Php2,479,924.37 Php3,389,225.91
2017 2018 2019 2020 2021

Samson, Emerald, Capital Beg 200,000.00 298,438.60 945,831.45 1,667,800.59 2,479,924.36
Total 298,438.60 945,831.45 1,667,800.59 2,479,924.36 3,389,225.90
Samson,Emerald, Capital End Php298,438.60 Php945,831.45 Php1,667,800.59 Php2,479,924.36 Php3,389,225.90
59
Chapter V
Organizational and Management Feasibility
Introduction
Management is one of the important aspects in establishing a business. The overall
implementation plan is discussed in the organization and management feasibility. This
aspect includes a study of the officers and key personnel, basic consideration in forming
the organization, form of ownership and organizational structure. The objective of the
management aspect of a feasibility study is to determine the option effectiveness of the
organizational setup and the qualifications of the individuals who will make up the
organization.
Nature and Form of Business
The type of business ownership will be a partnership; in which partners contribute
money, skills, and other resources, and share profit and loss in accordance with the terms
of the partnership agreement. In the absence of such agreement, a partnership is assumed
to exit where the participants in an enterprise agree to share the associated risks and
rewards proportionately. Complementary skills and additional contacts of each pattern
can lead to the achievement of greater financial results together than would be possible
apart. Mutual support and motivation are needed for the business to last longer.
Legal requirements
In putting up a business these requirements; business permit, mayor’s permit, Security
and Exchange Commission (SEC) permit, BIR permit are needed to make the business
legal. This is important to have a copyright of the name and follow regulations of
premises.
The following form of permit and requirements are can be seen in Appendix 9:
 Municipality of Calasiao
 Barangay Clearance
 Business Registration
 Business Permit
 Sanitary Permit
 Security and Exchange Commission (SEC)
 Cover Sheet
 Joint Undertaking to Change Name
 Articles of Partnership
Organizational Structure
As we develop our business, a “management team” needs to be pulled together, with
serious thought given to the key positions that need to be filled and who should fill them.
Chart 1. Organizational Chart
Owner
Guiao, Edmund Kendrick
Samsom, Emerald
Cashier Producer
De Guzman, Ivy Alvarado, Resty
Solis, Jayson
Sellers
Uson, Charmaine 61
Tinquico, Anthony
Compensation and Benefits
The Salary and wages you pay to your employees for the work they do. It is essential to
the company for its influences an employee’s motivation and job satisfaction.
Table 33. Managerial Compensation of Mung bean coffee
DAILY MONTHLY
PRODUCER 1 & 2 Php506 Php13,156
SELLERS 1 & 2 Php506 Php13,156
CASHIER 1 Php253 Php6,578
TOTAL Php26,312
MULTIPLY BY MONTHS 12
TOTAL Php315,744
Benefits
These are the financial reimbursement that will encourage and give motivation to the
employees to achieve the goal as a company and for them to do their best performance.
A. Provident Fund
The company will deduct a 5% on the monthly salary of the employees and they
will get a 10% in exchange if they will retire from the company.
B. Subsidy
The company offers a subsidy to the regular employees by giving them a semi-
annual and they will give one Cavan rice.
C. Phil health Contribution
It is embraced by the company as a benefit to all the employees. They will be
having a discount and additional benefits.
D. Social Security System
62
This would provide benefits and compensation for the employees that could be
useful in case of fortuitous event such as accidents and during calamities.
E. Performance Appraisal
Bonus and promotion are the factors to improve the performance of the employee,
it will establish through every department for better sales of business. For every
two months they will conduct training for them to refresh their mind to learn
more.
Policies and Regulations
Security Procedures
POLICY:
Security procedures at Mung in Mug are strongly emphasized to provide the employees
and customers with a safe and secure working environment at all times.
PROCEDURE:
Never count or talk about money while there are still customers in the building.
Keep money secured until the last costumer has left and the door are locked.
The back door is not to be used as an exit or entry by employees. It must be
locked at all times except for the removal of trash before 5 p.m. and for deliveries.
63
Policies
1. Employment at Will:
Mung in Mug employees are at will employees. Actions or comments of company
personnel cannot modify the “at will” status of any employee.
Equal Employment Opportunity:
Mung in Mug maintains a policy of nondiscrimination regarding all employees.
Employment decisions are not influenced in any manner by race, color, age, gender,
national origin, disability, pregnancy status, veteran status, religion, sexual orientation,
marital status, and or other status protected by law.
Important Notice to all Employees:
Mung in Mug strongly urges the prompt reporting of complaints or concerns so that rapid
and constructive action can be taken.
Attendance, Punctuality, and Dependability
Mung in mug depends heavily upon its employees, it is important that employees attend
work as scheduled. Dependability, attendance, punctuality, and a commitment to do the
job right are essential to the success of Mung in Mug.
Clean Air Policy
Mung in Mug shall provide a clean air environment for our employees, partners, and
guests to promote a healthy, efficient, and effective work place. All smoking inside the
shop is prohibited.
64
Chapter VI
Socio-Economic Feasibility
Introduction
The study of this chapter was undertaken to identify and discuss the socio economic
benefits of the proposed project. This can influence our society and environment through
letting people to become health conscious and also to give them the awareness about the
particular aspect. This aspect discusses the responsibilities and relationship of the
proposed project towards the society within which it operates.
Social Responsibility and Obligation
The Mung in Mug’ will not just only going to provide a healthy coffee that could benefit
the society but also the Mung in mug will produce a membership card where the
customer will buy the membership card and the card itself will be presented to the store
for every purchase transaction so they could have a discount on it. But the membership
card will be valid only for one person, it means for every 1 membership card; the owner
of the card has only the rights to use it. For every purchase of the product there’s always
a corresponding point. Those points do also have the corresponding amount of peso that
will be used on the project of the business which is outreach program that will be held at
the end of the year. This social obligation and responsibility of Mung in Mug’ may give
love, hope and care to those people who are struggling to their life especially those
Children who feel unloved by society. And by this it will serves as a gratitude to them.
To Employees
 To respect them and to provide them a safety comfortable working place.
65
To Society
 To encourage doing good activities in the environment and to follow the rules and
regulations of the society in the operation of the business.
To Customers
 The proposed business will make sure that the product is beneficial to the health
of the customer and the proponents will make sure that the customer is going to
be satisfied by simply providing quality products with the best taste of Mung bean
coffee.
Economic Contribution
Contribution to Income and Employment
The main goal of a certain business is to have high income especially in the part of the
owner. The business should generate pleasantly relationship between the manager and
employees to attain the main goal of the business which is to have an income. At workers
and employees in the business need income to support their own needs and also for their
services rendered in the business. Building up business is a great opportunity for an
employed people to have jobs. It will also their opportunity of having another source of
income
Tax Contribution
This business is expected to give a great contribution to the government in the form of
taxes. The tax payment from the business would help the localities as well as the
66
economy in its future project especially for people that will benefit. This would help the
people to more sprightly.
WASTE MANAGEMENT
Coffee is one of the most important agriculture commodities in the world. The Mung in
Mug is an organic coffee that is made from organic Mung bean.
The proponents decided that the waste management would a mandate clean and green
disposal of the waste. In the process of waste disposal the proponents would classify the
waste in separating biodegradable to non- biodegradable. The proponents all know that
Biodegradable is a type of waste that can be broken down while Non-biodegradable is a
waste that is unable to break down in to natural components of nature itself. Today waste
management is very important that people need to create it through innovative and eco-
friendly techniques of waste disposal in order for not harming or damaging the health of
the people and other living things nearby the plant location.
In every company they are mandated to have their own waste management that can help
them dispose the waste at the same time it cannot warm our nature. Proponents decided to
segregate biodegradable and non-biodegradable and out of this ways it can make “Coffe
to Compost” this way the coffee pulp will turn into compost fungus and worms play a
role in converting pulp to nutrient. Reach compost which is often to enrich the very fields
it came from reducing the need for synthetic fertilizer.
67
SUPPORTING DATA
68
Appendix 1. Letter to Respondents
69
Appendix 2. Letter of Research to Conduct Research
70
Appendix 3. Demand Survey Questionnaire
Name: (optional): ____________
Age: ____ Sex: M F
Instruction: kindly put a (√) check mark on the box before your answer.
1. Do you drink coffee?
Yes No
2. If yes, what brand of coffee?
Nescafe Great taste
Kopiko Others: specify
3. How many cups do you consume daily?
1-2 cups per day
3-4 cups per day
5-6 cups per day
4. Have you tried monggo coffee?
Yes No
If yes, what kind of brand
____________________
5. Are you willing to try monggo coffee?
Yes No
6. If yes, how much are you willing to pay?
5-10php 16-20php
11-15php 21-25php
7. What kind of coffee do you prefer

Brewed Instant coffee
Comments:
________________________________________________________________________
_______________________________________________________________________
71
Appendix 4. Supply Survey Questionnaire
Business name:
Instruction: Put a check mark on your answer.
1. How much do regular customers spend on average when buying your coffee?
30-40Php 41-50Php
51-6 0Php 61-70Php
2. How man servings of cups do you serve in a pay?
20-30 31-40
41-50 51-60
3. Who are your regular customers?
Students/Office Workers Senior Citizens
Business Man/Woman Others/Specify
72
APPENDIX 5
Annual Demand
Computation
73
Appendix 5. Annual Demand Computation
Percentage of willing to try Percentage of not willing

Willing to try Munggo Munggo Coffee to try Munggo Coffee
Coffee
84.75% 15.25%
Php 5-10 Php 11-15 Php 16-20 Php 21-25

Willing to pay Munggo
Coffee
63% 23.5% 11.5% 2%
Usage Frequency Percentage
Frequency of 1-2 cups per day 228 57%

Respondents in Usage
3-4 cups per day 132 33%
5-6 cups per day 40 10%
74
Appendix 6
Supply Computation
75
Appendix 6. Supply Computation
Frequency of Indirect
Competitors Price of Php 220-230 1 33.33%
Coffee Per Box
Php 600-620 1 33.33%
Php 1900-1950 1 33.33%
Pieces Frequency Percentage
Competitors’ Daily
Production Per Box 10-15 2 67%
16-20 0 0
21-25 1 33%
Customer Frequency Percentage
Competitors ‘Usual Students/Office 3 100%
Customers Workers
Business Man/Woman 0 0
Senior Citizens
0 0
76
APPENDIX 7
LEGAL
REQUIREMENTS
77
Appendix 7a. Barangay Permit
78
Appendix 7b. Business Registration
79
Appendix 7c. Business Permit
80
Appendix 7d. Sanitary Permit
Appendix 7e. Cover Sheet
81
82
Appendix 7f. Joint Affidavit
83
Appendix 7g. Article of Partnership
General Partnership
ARTICLES OF PARTNERSHIP OF
_________________________________________________________
(Partnership Name)
KNOW ALL MEN BY THESE PRESENTS:
That we, the undersigned partners, all of legal age, residents and citizens of the
Philippines, have on this day voluntarily associated ourselves together for the purpose of
forming a general partnership under the following terms and conditions and subject to existing
and applicable laws of the Republic of the Philippines:
AND WE HEREBY CERTIFY:
ARTICLE I. Partnership Name: That the name of this partnership shall be
and shall transact business under the said company name.
ARTICLE II. Business Purpose: That the purpose/s for which this partnership is formed
is/are:
ARTICLE III. Principal Place of Business: That the principal place of business of this partnership
shall be located at :
….
(complete address)
ARTICLE IV. Term of Existence: That this partnership shall have a term of _________ years
from and after the original recording of its Articles of Partnership by the Securities and Exchange
Commission.
84
Articles of Partnership
ARTICLE V. Partners’ Circumstances: That the names, nationalities and complete

residence addresses of the partners are as follows:
Name Nationality Complete Residence Address
ARTICLE VI. Capital Contributions: That the capital of this Partnership shall be the
amount of ____________ (P_________), Philippine Currency, contributed in cash by the
partners, as follows:
Name Amount Contributed
That no transfer of interest which will reduce the ownership of Filipino citizens to less
than the required percentage of capital as provided by existing laws shall be allowed or
permitted to be recorded in the proper books of the partnership.
ARTICLE VII. Sharing Ratios: That the profits and losses of this partnership shall
be divided and distributed proportionately on the ratio of the capital contribution of each
partner.
ARTICLE IX. Management: That this partnership shall be under __________, as

General Manager, who shall be in charge of the management of the affairs of the company. He
shall have the power to use the partnership name and in otherwise performing such acts as are
necessary and expedient in the management of the firm and to carry out its lawful purposes.
ARTICLE X. Undertaking to Change Name: That the partners undertake to change the
name of this partnership, as herein provided or as amended thereafter, immediately upon
receipt of notice or directive from the Securities and Exchange Commission that another
corporation, partnership or person has acquired a prior right to the use of that name or that the
85
name has been declared as misleading, deceptive, confusingly similar to a registered name, or
contrary to public morals, good customs or public policy.
Articles of Partnership
IN WITNESS WHEREOF, we have hereunto affixed our signatures this ____ day of
______, 20___, at ________.
______________________ _______________________
(name of partner) (name of partner)
TIN TIN
______________________ _______________________
(name of partner) (name of partner)
TIN TIN
(Names and Signatures of the partners and TIN)
ACKNOWLEDGEMENT
REPUBLIC OF THE PHILIPPINES)

____________________________) S.S.
BEFORE ME, a Notary Public, for and in _________________, this ____day of

_________, 20___, personally appeared the following persons:
Name TIN/ID/Passport No. Date & Place Issued
known to me and to me known to be the same persons who executed the foregoing Articles of
Partnership constituting of _____pages, including this page where the acknowledgement is
written, and they acknowledged to me that the same is their free and voluntary act and deed.
WITNESS MY HAND AND SEAL on the date and place above written.
NOTARY PUBLIC
Doc. No. ______;
Page No. ______;
Book No. ______;
series of 20 ______.
86
Appendix 8
Schedules of Financial
Statements
Table 1:Projected Cost of the Business
Particulars Ref Amount Amount
Kitchen Equipments 1 8,680.00

Furniture and Fixtures 2 6,900.00
Raw Materials 3 6,110.00
Supplies 30,985.00
Office Supplies 4 460.00
Production Supplies 5 4,525.00
Packaging Supplies 6 26,000.00
Salaries 7 315,744.00
Utilities Expense 8 2,000.00
Advertising/Promotional Expense 9 525.00
Rent Expense 10 3,500.00
Taxes and Licensing Expense 11 6,360.00
Communication Expense 12 500.00
TOTAL INVESTMENT COST Php 381,304.00
88
Table 2: Production cost Per 400 Sachet
Particulars Schedule Amount
Packaging 1,000.00
Total 11.75
Mark Up (70.03%) 8.25
Table 3. Kitchen Equipment

Particulars Qty Unit Price Total
Strainer 2 160.00 320.00
Spatula 2 150.00 300.00
Mixing Bowls 2 sets 200.00 400.00
Measuring Spoon 1 set 105.00 105.00
Iron Pot 2 390.00 780.00
Stove 1 975.00 975.00
Grinder 1 3,500.00 3,500.00
Oven toaster 1 990.00 990.00
Digital Scale 2 655.00 1,310.00
TOTAL Php 8680.00
89
Table 4: Furniture and Fixtures
Particulars Unit Cost Qty Total
Chair (Monoblock) 120.00 5 600.00
Table 650.00 2 1,300.00
Display Cabinet 5,000.00 1 5,000.00
TOTAL Php 6900.00
Table 5: Raw Materials

Particlars Qty Cost per Production Monthly
Mung bean 10kilos 1,200.00 2,080.00
Non-dairy Cream 2500grams 500.00 2,600.00
Refined Sugar 5,000 grams 200.00 1,040.00
Purified Water 5 gallons 75.00 390.00
Total 6,110.00
Multiply by no. of Months 12.00
Total Php 73,320.00
90
Table 6: Office Supplies
Particulars Unit Cost Qty Total
Calculator 250.00 1 250.00
Ball pen 5.00 4 20.00
Paper clips 20.00 1 pack 20.00
Log book 50.00 3 150.00
Folder 5.00 4 20.00
Total Php 460.00
Table 7: Production Supplies

Particulars Qty Unit Cost Total Cost
Disposable Hand Gloves 3 packs 50.00 150.00
Apron 2 50.00 100.00
Hairnet 2 25.00 50.00
Paper box 100 40.00 4,000.00
Trash can 3 packs 75.00 225.00
Total Php 4,525.00
Table 8: Packaging Supplies

Particulars Unit Price Cost per Month
Specialty paper 200.00 5,200.00
Plastic 400.00 10,400.00
Logo Stickers 400.00 10,400.00
Total 1,000.00 Php 26,000.00
91
Table 9: Salaries
Particulars Daily Monthly
Producer 1 & 2 506.00 13,156.00
Sellers 1 & 2 506.00 13,156.00
Cashier 1 253.00 6,578.00
Total 1,265.00 26,312.00
Multiply by Months 12.00
Total Php 315,744.00
Table 10:Utilities Expense

Particulars Amount
Electricity 1,000.00
Water 300.00
LPG, Gas 700.00
Total 2,000.00
Mutiply by no of Months 12
Total Php 24,000.00
92
Table 11: Advertising/Promotional Expense
Units Cost Total
Flyers 300 0.25 75.00
Tarpaulins 1 450 450.00
Total Advertising Expense Php 525.00
Table 12: Rent Expense

Rent Monthy
Space Rent 3,500.00
Multiply by no of Months 12
Total Php 42,000.00
Table 13: Taxes and Licensing

Particulars Amount
Business Permit 150
Registration with SEC 3,030.00
Total Php 3,180.00
Table 14: Communication Expense

Particulars Amount
Communication (monthly) 500
Multiply by number of months 2
Total Php 1,000.00
93
SCHEDULE 1
MUNG IN MUG
INVENTORIES
2017 2018 2019 2020 2021

Finished Good End 5,326.15 618,409.73 653,342.22 661,991.54 669,695.10
Tota Cost of Direct Materials 611.00 3,982.50 4,459.32 4,815.46 5,191.48
Php622,392.2 Php657,801.5 Php666,807.0
Total Php5,937.15 3 4 0 Php674,886.59
SCHEDULE 2
MUNG IN MUG
TRADE AND OTHER PAYABLES
Schedule 2017 2018 22019 2020 2021

Salaries 7 52,624.00 315,744.00 315,744.00 315,744.00 315,744.00
Utilities
Expense 8 4,000.00 24,480.00 24,969.60 25,468.99 25,978.37
Total Php56,624.00 Php340,224.00 Php340,713.60 Php341,212.99 Php 341,722.37
94
SCHEDULE 3
MUNG IN MUG
TRADE AND OTHER PAYABLES
For the Year Ended November 6--2017-2021
Schedule 2017 2018 2019 2020 2021

Unit Produced
Annually (Increased by
5%) 9 20,400.00 124,320.00 130,536.00 137,048.00 143,856.00
Les: Inventory End 1,020.00 6,216.00 6,526.80 6,852.40 7,192.80
Unit Available for Sale 19,380.00 118,104.00 124,009.20 130,195.60 136,663.20
Multiply by Selling
Price 20.00 21.00 22.00 23.00 24.00
Gross Sales Php387,600.00 Php2,480,184.00 Php2,728,202.40 Php2,994,498.80 Php3,279,916.80
95
SCHEDULE 4
MUNG IN MUG
COST OF GOOD SOLD
Schedule 2017 2018 2019 2020 2021

Raw Materials Beginning 611.00 3,982.50 4,459.32 4,815.46
Purchased of Raw Materials
(7.8%) 12,220.00 79,038.96 85,204.00 91,849.91 99,014.20
Total 12,220.00 79,649.96 89,186.50 96,309.24 103,829.67
Less: Raw Materails End (5%) 611.00 3,982.50 4,459.32 4,815.46 5,191.48
Direct Materials 11,609.00 75,667.46 84,727.17 91,493.77 98,638.18
Add: Direct Labor 72,864.00 437,184.00 437,184.00 437,184.00 437,184.00
Factory Overhead 10 22,050.00 132,780.00 133,269.60 133,768.99 134,278.37
Total Cost of good Sold
Manufacture 106,523.00 645,631.46 655,180.77 662,446.77 670,100.55
Fnished good Inventory
Beginning 0.00 5,326.15 32,547.88 34,386.43 34,841.66
Total Good availbale for Sale 106,523.00 650,957.61 687,728.65 696,833.20 704,942.21
Less: Finished Good Inventory
End (5%) 5,326.15 32,547.88 34,386.43 34,841.66 35,247.11
Cost of Good Sold Php101,196.85 Php618,409.73 Php653,342.22 Php661,991.54 Php669,695.10
96
SCHEDULE 5
MUNG IN MUG
RAW MATERIALS
2017 2018 2019 2020 2021

Raw Materilas (Increased by 7.8%) 6,110.00 6,586.58 7,100.33 7,654.16 8,251.18
Multiply by Months 2 12 12 12 12
SCHEDULE 6
MUNG IN MUG
OPERATING EXPENSE
2017 2018 2019 2020 2021

Office Supply 920.00 5,630.40 5,641.20 5,703.62 5,767.30
Advertising/Promotional Expense 1,050.00 6,300.00 6,300.00 6,300.00 6,300.00
Taxes and Licensing Expense 3,180.00 150.00 150.00 150.00 150.00
97
SCHEDULE 7
MUNG IN MUG
SALARIES EXPENSE
2017 2018 2019 2020 2021

Procuder 1 &2 24,288.00 145,728.00 145,728.00 145,728.00 145,728.00
Sellers 1 &2 24,288.00 145,728.00 145,728.00 145,728.00 145,728.00
Cashier 24,288.00 145,728.00 145,728.00 145,728.00 145,728.00
SCHEDULE 8
MUNG IN MUG
OPERATING EXPENSE
For the Year Ended November 6--2017-2021
2017 2018 2019 2020 2021

Monthly Utilities Expense (Increased by 2 %) 2,000.00 2,040.00 2,080.80 2,122.42 2,164.86
Multiply by no of Months 2 12 12 12 12
Php4,000.0 Php24,480.0 Php24,969.6 Php25,468.9 Php25,978.3
Total 0 0 0 9 7
98
SCHEDULE 9
MUNG IN MUG
PRODUCTION
2017 2018 2019 2020 2021

Total Production (Increased by 5 %) 400.00 420.00 441.00 463.00 486.00
Multiply by no of Production 51 296 296 296 296
SCHEDULE 10
MUNG IN MUG
FACTORY OVERHEAD
Schedul
e 2017 2018 2019 2020 2021
Utility Expense 4,000.00 24,480.00 24,969.60 25,468.99 25,978.37
Production supply Expense 15 9,050.00 54,300.00 54,300.00 54,300.00 54,300.00
Rent Expense 16 7,000.00 42,000.00 42,000.00 42,000.00 42,000.00
Communication Expense 17 2,000.00 12,000.00 12,000.00 12,000.00 12,000.00
Php22,050.0 Php132,780.0 Php133,269.6 Php133,768.9 Php134,278.3
Total 0 0 0 9 7
99
SCHEDULE 11
MUNG IN MUG
OFFICE SUPPLY EXPENSE
ITEMS 2017 2018 2019 2020 2021

Calculator 250.00 255.00 260.10 265.30 270.61
Ball pen 20.00 20.40 20.00 20.00 20.00
Paper clips 20.00 20.40 20.00 20.00 20.00
Log book 150.00 153.00 150.00 150.00 150.00
Folder 20.00 20.40 20.00 20.00 20.00
Total 460.00 469.20 470.10 475.30 480.61
Multiply by no of Months 2.00 12.00 12.00 12.00 12.00
Total Php920.00 Php5,630.40 Php5,641.20 Php5,703.62 Php5,767.30
100
SCHEDULE 12
MUNG IN MUG
ADVERTISING/PROMOTIONAL EXPENSE
2017 2018 2019 2020 2021

Monthly Expense 525.00 525.00 525.00 525.00 525.00
Multiply by the No. of months 2 12 12 12 12
SCHEDULE 13
MUNG IN MUG
TAXES AND LICENSING
2017 2018 2019 2020 2021

Business Permit 150.00 150.00 150.00 150.00 150.00
Registration with SEC 3,030.00 - - - -
Total Taxes and License Php3,180.00 Php150.00 Php150.00 Php150.00 Php150.00
101
SCHEDULE 14
MUNG IN MUG
PACKAGING EXPENSE
ITEMS 2017 2018 2019 2020 2021

Specialty paper 5,200.00 1,040.00 1,040.00 1,040.00 1,040.00
Plastic 10,400.00 2,080.00 2,080.00 2,080.00 2,080.00
Logo Stickers 10,400.00 2,080.00 2,080.00 2,080.00 2,080.00
Total 26,000.00 5,200.00 5,200.00 5,200.00 5,200.00
Multiply by No. of Months 2 12 12 12 12
102
SCHEDULE 15
MUNG IN MUG
PRODUCTION SUPPLIES
2017 2018 2019 2020 2021

Disposable Hand Gloves 150.00 150.00 150.00 150.00 150.00
Apron 100.00 100.00 100.00 100.00 100.00
Hairnet 50.00 50.00 50.00 50.00 50.00
Paper box 4,000.00 4,000.00 4,000.00 4,000.00 4,000.00
Trash can 225.00 225.00 225.00 225.00 225.00
Total 4,525.00 4,525.00 4,525.00 4,525.00 4,525.00
SCHEDULE 16
MUNG IN MUG
RENT EXPENSE
2017 2018 2019 2020 2021

Rent Expense 3,500.00 3,500.00 3,500.00 3,500.00 3,500.00
103
MUNG IN MUG
PROJECTED BALANCED SHEET

ASSETS Ref 2017 2018 2019 2020 2021

Current Liabilities
Cash CF 731,940.00 2,164,402.84 3,637,343.95 5,330,360.83 7,224,688.93
Inventories Sched 1 5,937.15 622,392.23 657,801.54 666,807.00 674,886.59
TOTAL CURRENT
ASSETS Php737,877.15 Php2,786,795.07 Php4,295,145.49 Php5,997,167.83 Php7,899,575.52
LIABILITIES AND
PARTNERS EQUITY
Current Liabilities
Trade and other Payables Sched 2 56,624.00 340,224.00 340,713.60 341,212.99 341,722.37
Income Tax Payable IS 84,375.95 554,908.16 618,830.69 696,106.09 779,401.32
TOTAL LIABILITIES 140,999.95 895,132.16 959,544.29 1,037,319.08 1,121,123.69
Partners’ Capital
Partners’ Capital Equity 596,877.21 1,891,662.91 3,335,601.20 4,959,848.75 6,778,451.83
Total Partners Capital 596,877.21 1,891,662.91 3,335,601.20 4,959,848.75 6,778,451.83
TOTAL LIABILITIES Php737,877.15 Php2,786,795.07 Php4,295,145.49 Php5,997,167.83 Php7,899,575.52
104
MUNG IN MUG
PROJECTED INCOME STATEMENT
Schedule 2017 2018 2019 2020 2021

Sales 3 387,600.00 2,480,184.00 2,728,202.40 2,994,498.80 3,279,916.80
less: cost of Good sold 4 101,196.85 618,409.73 653,342.22 661,991.54 669,695.10
Gross Profit 286,403.15 1,861,774.27 2,074,860.18 2,332,507.26 2,610,221.70
less: operating expense 6 5,150.00 12,080.40 12,091.20 12,153.62 12,217.30
Net Profit before Tax 281,253.15 1,849,693.87 2,062,768.98 2,320,353.64 2,598,004.40
les: income tax expenses
(30%) 84,375.95 554,908.16 618,830.69 696,106.09 779,401.32
Net Income After Tax Php196,877.21 Php1,294,785.71 Php1,443,938.29 Php1,624,247.55 Php1,818,603.08
105
MUNG IN MUG
PROJECTED CHANGES IN OWNERS EQUITY
2017 2018 2019 2020 2021

Capital, Beg 400,000.00 596,877.21 1,891,662.91 3,335,601.20 4,959,848.75
Add: Net Income 196,877.21 1,294,785.71 1,443,938.29 1,624,247.55 1,818,603.08
Total 596,877.21 1,891,662.91 3,335,601.20 4,959,848.75 6,778,451.83
Less: Drawing 0.00 0.00 0.00 0.00 0.00
Capital, End 596,877.21 1,891,662.91 3,335,601.20 4,959,848.75 6,778,451.83
106
MUNG IN MUG
PROJECTED CHANGES IN PARTNERS EQUITY
For the Year Ended December 31-2017-2021
2017 2018 2019 2020 2021

Guiao,Edmund Kendrick, Capital Beg 200,000.00 298,438.60 945,831.46 1,667,800.60 2,479,924.37
Total 298,438.60 945,831.46 1,667,800.60 2,479,924.37 3,389,225.91
End Php298,438.60 Php945,831.46 Php1,667,800.60 Php2,479,924.37 Php3,389,225.91
2017 2018 2019 2020 2021

Samson, Emerald, Capital Beg 200,000.00 298,438.60 945,831.45 1,667,800.59 2,479,924.36
Total 298,438.60 945,831.45 1,667,800.59 2,479,924.36 3,389,225.90
Samson,Emerald, Capital End Php298,438.60 Php945,831.45 Php1,667,800.59 Php2,479,924.36 Php3,389,225.90
107
MUNG IN MUG
PROJECTED CASH FLOW
For the Year Ended December 31-2017-2021
Schedule 2017 2018 2019 2020 2021

Net Income Before Tax IS 281,253.15 1,849,693.87 2,062,768.98 2,320,353.64 2,598,004.40
Interest Income 0.00 0.00 0.00 0.00 0.00
Operating Cash Flows Before
Working Capital 281,253.15 1,849,693.87 2,062,768.98 2,320,353.64 2,598,004.40
Increased in Inventory -5,937.15 -616,455.08 -35,409.32 -9,005.46 -8,079.59
Increased in Trade and Other
Payables 2 56,624.00 283,600.00 489.60 499.39 509.38
Net Cash used in other Payables 331,940.00 1,516,838.79 2,027,849.26 2,311,847.57 2,590,434.19
Interest Received 0.00 0.00 0.00 0.00 0.00
Income Tax Payment 0.00 -84,375.95 -554,908.16 -618,830.69 -696,106.09
Net casd (used) form Operating 331,940.00 1,432,462.84 1,472,941.10 1,693,016.88 1,894,328.10
Cash flow from Financing Activities
Proceed from Partners Investement 400,000.00

Partners Withdrawal 0.00 0.00 0.00 0.00 0.00
Net Cash from Financing Activities 400,000.00 0.00 0.00 0.00 0.00
Net incresed/decrease in Cash 731,940.00 1,432,462.84 1,472,941.10 1,693,016.88 1,894,328.10
Cash Beginning of the year 0.00 731,940.00 2,164,402.84 3,637,343.95 5,330,360.83
Cash at the end of the year Php731,940.00 Php2,164,402.84 Php3,637,343.95 Php5,330,360.83 Php7,224,688.93
108
109
110
111
112
113
114
115
116
117
118
119
120
121
122
123
124
125
126
127
128
129
130
131
APPENDIX 9
REFERENCE
132
REFERENCES:
1. http://cnnphilippines.com/business/2015/10/20/Coffee-retains-crown-as-staple-drink-of-
Filipinos-Kantar-Worldpanel.htm (1)
2. http://cnnphilippines.com/business/2015/10/20/Coffee-retains-crown-as-staple-drink-of-
Filipinos-Kantar-Worldpanel.htm (1)
3. lhttp://www.reportlinker.com/p0136195/Coffee-in-the-Philippines.html
4. https://www.ncbi.nlm.nih.gov/pubmed/12204391
5. http://jn.nutrition.org/content/134/9/2381.short
6. http://newsinfo.inquirer.net/124897/effects-of-coffee-on-health
133
APPENDIX 10
RESUME
134
Appendix
CHARMAINE USON
176 Buenlag, Calasiao, A fourth year Business Administration undergraduate

Pangasinan student at University of Pangasinan with an interest in
marketing, advertising and social media.
+639152060916
Man
Charmaineuson5@gmail
com
Facebook.com/chrmnsn
@chrmnsn
JBI Seminar ( Juan Big Idea)
Mad World Seminar
Gaudencio’s Café Calasiao,Pangasinan On the Job Trainee December 2016
>Business Administratin major in Marketing Management
>Advanced Diloma in Hospitality in Tourism Management (School D’

Hospitality-Singapore Institute) PHINMA- University of Pangasinan
Arellano Street Dagupan City Pangasinan 2015-present
135
ALESTER JAN J. BAGUIS
2802 Pag Asa Village A graduating Student of PHINMA-University of

Arellano St. Dagupan City Pangasinan who’s willing to adopt changes when it
+639423920339 comes to marketing preferences.
Man
@AlstrBaguis
alstrjb@yahoo.com
alester_b@yahoo.com
St. John’s Catherdral School 2002-2013
PHINMA-University of Pangasinan 2013-Present
136
Edmund Kendrick Guiao
Earned a Bachelor in Science of Business Administration

Tambac Bayambang major in Marketing management under the prescribed
four- year course schedule. Improved inherent sales
abilities attending to different sales and marketing
+63929792490 seminars. Ability to communicate effectively with
www.twitter.com/kenguiao 0 customers. Accurate, assertive, adaptable.
Facebook.com/kenkenxD
ekguiao@gmail.com
JMA (Junior Marketing Association) Seminar
P Juan Big Idea Seminar

a
n
g
a On the job training on telephone division.
s
i
n
a
n
Dr,Jonnalyn P.
Barrozo University of Pangasinan-PHINMA.
Sunbeam Methodist Christian
2015 - 2018
Feasibility Study School. 2006 - 2011
Adviser
Bayambang National Highschool.
2011 - 2014
137
RESTY ALVARDO
San Jose St. Poblacion A graduating Student of PHINMA-University of

Mangaldan Pangasinan Pangasinan who’s willing to adopt changes when it
comes to marketing preferences.
+639959900877
Man
@resty1995
Fb.com/resty1995
Resty1995@gmail.com
Mangaldan Central School 2006-2007
Mangaldan National Highschool 2010-2011
PHINMA-University of Pangasinan 2014-2018
138
IVY G. DE GUZMAN
I am a graduating student of PHINMA- University of

#235 Malasin Pozorrubio
Pag asa village Arellano st Pangasinan. Taking up Bachelor of Science in
Pangasinan
Dagupan City,Pangasinan A graduating Student of PHINMA-University
Business Administration of
major in Marketing
+639356848099 Pangasinan who’s willing to adopt changes when it
Management.
Man
+63942392033 comes to marketing preferences.
Ivydeguzman21
@AlstrBaguis
Twitter.com/@vydgzmn98
ivydeguzmang@yahoo.com
alester_b@yahoo.com
Malasin Elementary School
.St. John’s Cathedral School
Phinma- University ofofPangasinan,

PHINMA-University Pangasinan
2017-2018 Benigno V. Aldana National
Highschool, 2013-2014
139
Emerald May Samson
Passionate, globally-engage, senior University student

Calasiao, Pangasinan
seeking career opportunities in Marketing Management.
Demonstrated leader with experience in and exposure to
+63916654018
Marketing and Advertising research.
9
@emeraIdsamson
emerald.m.samson@
gmail.com
Juan Big Idea Seminar
GOLTS (Governor Official leadership training summit)
JMA (Junior Marketing Association) Seminar
Mad World Seminar.
Precious Minds Montessori and High School 2009

Calasiao Educational Center 2003 - 2008 - 2012
PHINMA – University of Pangasinan 2013 -

2018
140
JAYSON SOLIS
I am a graduating student of PHINMA- University

Bari Mangaldan,
of Pangasinan. Taking up Bachelor of Science in
Pangasinan
Business Administration Major in Marketing
+639164603008 3 Management.
&
4
Facebook.com/jjanong
M
Jaysonsolis3@gmail.co
a
m
m
a
r
a
d
l
o
S
t
.
P
o
b
l
a
c
i
o
n High school
W Elementary
Aura Vista Montessori
e
s Aura vista Montessori school
t 2010-2014
2006-2010
C
a
l
a
s
i
a
o 141
P
a
n
SHEILA MARIE D. OPERANA
#126 Herrero-Perez St. I am a graduating student of PHINMA- University of

Dagupan CIty Pangasinan. Taking up Bachelor of Science in Business
Administration major in Marketing Management.
+639776581778
facebook.com/operaniashaime
email.com/sheilamarieoperania9
East Central Elementary School

2009-2010
142
ANTHONY R. TINQUICO
#0978 Mayombo District I am a graduating student of PHINMA- University of

Dagupan City Pangasinan. Taking up Bachelor of Science in Business
+639491536708 Administration major in Marketing Management.
facebook.com/Anthony.Tinquico
email.com/Anthonytinquico19
East Central Elementary School

2009-2010
East Central Integrated School

2013-2014
University of Pangasinan 2017-2018
143
AIRA JUNETH BILBAO
Mabilao, San Fabian I am a graduating student of PHINMA- University of

Pangasinan..
+639123455
Airabilbao@fb.com
Airabilbao@yahoo.com
Mabilao Elementary School
Polytechnic college of La Union
Phinma- University of Pangasinan
144
ALECK RANTAYO
I am a graduating student of PHINMA- University of

Pag asa Alaminos City
Pangasinan..
09065308115
rantayo@facebook.com
Rantayowa26@yahoo.com
Alaminos Central School- Elementary
Collegio san jose de alaminos- HighSchool
Phinma-University of Pangasinan
145
MARIE CRIS PLACENSIA
Pantal Dagupan City I am a graduating student of PHINMA- University of

Pangasinan..
09123455679
Makiplacensia@yahoo.com
Phinma- University of Pangasinan
146
147

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A Bachelor’s Feasibility Study

the Faculty of the College of Management and Accountancy

PHINMA Education-University of Pangasinan

of the requirements for the degree

Bachelor of Science in Business Administration

Major in Marketing Management

Science Business Administration Major in Marketing Management has been examined

and is recommended for approval and acceptance.

Jonalyn P. Barrozo, DBA

FEASIBILITY STUDY REVIEW PANEL

Approved by the committee in Oral examination with a grade of ______.

Josefina Armas, CPA, PhD Markley Villanueva, MBA

Date of Final Defense September 29, 2017

and for sharing her expertise in writing this feasibility study;

financial and moral support;

completion of the feasibility study possible and successful;

blessings showered unto the family of the proponents.

Name of the Business………………………………………………... 1

Descriptive Definition of the Product……………………………….. 4

Highlights of the Product……………………………………………. 4

Project Long Range Objectives……………………………………… 7

II. MARKETING FEASIBILTY

Product and Positioning………………………………….......................15

Marketing Program and Strategies……………………………………..16

Marketing Budget Summary………………………………………........18

Summary and conclusions Data Gathered……………………………...18

III. TECHNICAL FEASIBILITY

Plant Location………………………………………. ……………...... 30

Plant Size and Product Schedule……………………………………….32

Building Facilities and Improvements………………………………... 33

Machineries and Equipment………………………………………...... 34

Furniture and Fixtures…………………………………………………37

IV. FINANCIAL FEASIBILITY

Projected Income Statement…………………………………………..44

Projected Cash Flow…………………………………………………..45

Projected Balance Sheet……………………………………………... 46

Statement of Owner’s Equity……………………………………….....47

V. ORGANIZATIONAL AND MANAGEMENT

Nature and Form of the Business………………………………….......49

Policies and Regulations……………………………………………….52

VI. SOCIO-ECONOMIC FEASIBILITY

Social Responsibility and Obligation…………………………………..54

TABLE NO. TITLE PAGE

25 Monthly Payment of Electricit 40

26 Production Cost per Batch 41

27 Projected Income Statement 44

28 Projected Cash Flows 45

29 Projected Balanced Sheet 46

FIGURE NO. TITLE PAGE

GRAPH NO. TITLE PAGE

DIAGRAM NO. TITLE PAGE

1 The Production Process of

CHART NO. TITLE PAGE

APPENDIX NO. TITLE PAGE

Name of the Business

easily be remembered by the market.

Figure1. Company Logo

To change people’s live by simply changing their cup of coffee.

spread or the dispersal of information of the said goods is easy.

Descriptive Definition of the Product

by a dietician. The enterprise wanted to emphasize the aesthetic, appearances quality

Highlights of the Product