Republic of the Philippines
Department of Education
Region III – Central Luzon
SCHOOLS DIVISION OFFICE OF BALANGA CITY
LEARNING ACTIVITY SHEET with
LECTURES in Entrepreneurship
Quarter: Second
Week: One
Background Information for Learners
4M’s of Operations
Methods- Represent the day-to-day operations of the business
Types of Businesses
a. Services- A commercial enterprise that provides
work performed in an expert manner by an
individual or team for the benefit of its
customers.
(example: Salon)
b. Merchandising- A commercial enterprise
dedicated to the purchase of finished goods and
their resale for a profit. (ex. Sari-sari Store)
c. Manufacturing- The process of converting raw
materials, components, or parts into finished
goods that meet a customer's expectations or
specifications. Manufacturing commonly
employs a man-machine setup with division of
labor in a large scale production. (ex. Factory)
d. Hybrid- are companies that may be classified in
more than one type of business. (ex. Restaurant)
Manpower- is the strength or force of a human, or the
combined strength of a group of people.
Manpower Requirement
Manpower, personnel or laborer should be listed
accordingly, from the managerial position,
supervisory position to the staff or workforce
needed in the operation of the business. In the
selection process, it is best to identify applicants
having necessary knowledge, skills, abilities and
other characteristics that will help the
organization achieve its goals. Both aptitude and
attitude level of the applicant should be
considered in the hiring process.
Machines- an apparatus using or applying mechanical power
and having several parts, each with a definite
function and together performing a particular
task.
-After the plant size was determined, the
machinery and equipment required can be
identified. Detailed specifications including its
function should be prepared for each type
including the number of units required. The
determination of the equipment size should be
closely coordinated with the
manufacturers/suppliers to consider the
economical size of the equipment. The origin of
the machine whether local or imported and the
country of the origin should be known. The
availability of after sales-service and spare parts
should be clarified with the suppliers. The
delivery schedule, terms of payment and other
arrangements, e.g. electrical, water, gas and other
utilities connection, should be clearly stated in
the quotations.
Materials- The matter from which something can be made.
- The materials include both direct and
indirect or consumable materials. The
specifications, quantity needed, and the
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schedule of delivery should be clearly
stated. Reliability of the supplies should be
assured and single source should be avoided.
- Utilities includes power, water, and
sometimes gases and steam depending on
the type of product or services. If needed in
large quantity storage facilities should be
constructed. In some operations, a stand-by
power is necessary.
- The production cost is the sum of direct cost
and overhead expenses. The direct costs are
those expenses that are attributable to
producing the product or services while the
overhead expenses are those that are
incurred event if the product and services
are now produced.
Learning Competency with Code
The learner must demonstrate understanding of the
4Ms of Operations
Directions/Instructions
Activity 1: Answer the following questions respectively and
indicate if it is Manpower, Methods, Machines or Materials.
a. Who is the Manager in your house?
b. What are the common duties of the manager
in your house?
c. In your house, what are the appliances that
your manager use in performing his/her
duties?
d. What is the specialty dish in your house?
Enumerate the ingredients.
Activity 2: Give two examples in each type of
business. (8points)
Reflection: As a future entrepreneur, what is your ideal
business? Apply the 4Ms in operation for your business.
Rubric for Scoring: Content: 30pts Organization of Ideas
20pts
LEARNING ACTIVITY SHEET with LECTURES in
Entrepreneurship
Quarter: Second
Week: Two
Background Information for Learners
A Product Description in project management is a
structured format of presenting information about a project
product. The product description should be AUDIENCE-
FRIENDLY, speak to your target, so that conversions will be
optimized. The content will match what the audience needs to
read to improve the conversions and customer retentions.
Product Satisfying Features
Product patronage in the market is conditioned by the
strategies and policies employed by the manufacturer and the
marketing organization on the product’s attributes. The
present day customers look for products that will only satisfy
their needs and wants but also other social attributes that are
attached to the products.
1. Design- It matters to the elements that collectively
form of good or service that will satisfy customers and gain
competitive advantage. Good design can improve the
marketability of the product through its design and
appearance. The distinctive design may significantly
differentiate the products from the others in the market.
 Republic of the Philippines
Department of Education
Region III – Central Luzon
SCHOOLS DIVISION OFFICE OF BALANGA CITY
2. Product Colors- It is the customer’s rejection or
acceptance of the product. This could be true in clothing, cars
or furniture and other fixtures. The possibility of differential
advantage comes in knowing the right color combination that
will appeal to customers. Fashion aficionados are very
difficult to satisfy when it comes to color combination.
3. Product Quality- This is set of features and
attributes of a product or service that determine its ability to
satisfy human needs. This set of definition varies from
individual to individual depending on his set of perceptions
about the product. Besides personal taste, individual
expectations also affect judgement of quality. Optimal quality
refers to a situation that the product or service provides the
customers with an experience that meets their expectations.
Continuous quality improvement makes the product stay in the
market.
4. Product Warranties- It is the state where the buyer
is assured that the product meets the specifications stated in
the product labels. Implied warranty is interpreted by law to be
intended to warrant the quality of the product.
Prototype- is a model of the invention that puts into practice
all the things that were written in the inventor’s journal. This
will demonstrate the design of the invention that will be
presented to the potential lenders and licensees.
Learning Competency with Code
The learner must develop a product description and
understand prototype of the product.
Directions/Instructions
Activity 1: Think and draw 3 products/services that you
want to have as your business. Make a product description in
each of them.
Example:
Rubric for Scoring: Content: 30pts, Organization of Ideas
20pts, Creativity 50 points
Reflection: Cut and paste a sample of product description
that you can see inside your house. Write your comments or
suggestions about it in 3 to 5 sentences.
LEARNING ACTIVITY SHEET with LECTURES in
Entrepreneurship
Quarter: Second
Week: Three
Background Information for Learners
Testing a prototype is a vital or necessary part of the design
and manufacturing process. Testing and evaluation, determine
that the product will function as it is supposed to, or if it needs
sufficient analysis. It allows the producer and client to assess
the viability of the design.
Importance of Testing
1. It allows the client and customer to determine the
prototype and to give its views.
2. Criticisms and problems are often identified at this
stage.
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3. It allows the production costs to be assessed and
finalized.
4. The manufacturer allows the designer to plan an
efficient and cost effective production line.
5. This may lead to improvements and become highly
competitive.
6. It ensures that any user instruction included in the
packaging will provide pre cautions and warnings.
Evaluation Prototype
Participative users based their evaluation of a paper
or machine prototype on their expectation and problems to
identify usability problems. Its benefits help potential usability
problems can be detected at an early stage before development
is complete. It helps to have a deeper understanding of the
users’ expectations and impressions of the system.
Three General Approaches of Evaluation Technique
1. Simple Observation- evaluator just watches the user
problem
2. Constructive interaction- normal conversation
between the two users is monitored
3. Query- interviews (structured and retrospective)-
surveys and questionnaires.
Ways of Recording User Actions during Observation
1. Paper and pencil- evaluators record events,
interpretations and extraneous observations
2. Audio Recording-good for recording talk produced
by thinking aloud/constructive interaction
3. Video Recording- can see and hear what a user is
doing
Analysis of the Results
1. Determine the audience you want to reach.
2. Typical survey: random sample of between 50 and
1000 users of the product.
3. Determine how will you deliver and collect the
questionnaire.
3.1 Online for computer users
3.2 Surfaced mail
4. Determine target demographics (e.g. age, income)
Service Description of the Product
Services are rental of goods, alteration or repair of
goods owned by consumers and personal services. These are
intangible products that satisfaction can be measured in future
preferences.
Three Types of Services
1. Rented Goods Service- The consumer rented the
facility or products of the seller in a certain period of time.
(example: V2V Van for Rent)
2. Owned Goods Service- Repair and maintenance
services rendered by the sellers to the products of the
customers. (example: Work It Computer)
3. Non-Good Service- Personal service on the part of
the seller, most common are the expertise and the profession
of the seller. (example: Allyses Alera’s Accounting Firm)
 Republic of the Philippines
Department of Education
Region III – Central Luzon
SCHOOLS DIVISION OFFICE OF BALANGA CITY
Learning Competency with Code
The learner must test the product prototype and validate the
service description of the product with potential customers to
determine its market acceptability.
Directions/Instructions
Activity 1: Buy some products to the new online seller that
you know. Write a feedback about their product. (3-5
sentences)
Rubric for Scoring: Content: 30pts, Organization of Ideas
20pts
Activity 2: Give 3 examples in each Type of Services in
Bataan. (9points)
Reflection: Think of a product/services that you do not
want. Specify the brand name/ business name. As a user of the
product, write your suggestions on how they can improve their
product/service.
Rubric for Scoring: Content: 30pts, Organization of Ideas
20pts
LEARNING ACTIVITY SHEET with LECTURES in
Entrepreneurship
Quarter: Second
Week: Three
Background Information for Learners
A business model is an abstract representation of an
organization, be it conceptual, textual, and/or graphical, of all
core interrelated architectural, co-operational, and financial
arrangements designed and developed by an organization
presently and in the future, as well as all course products
and/or services the organization offers, or will offer, based on
these arrangements that are needed to achieve its strategic
goals and objectives.
CHARACTERISTICS OF A STRONG BUSINESS
MODEL
1. Identify the specific audience- when creating your
business model, narrow your audience down to two
or three detailed buyer personas. Outline each
persona’s demographics, common challenges and the
solutions your company will offer. Example, Home
Depot might appeal to everyone or carry a product
the average person needs, but the company’s primary
target market is homeowners and builders.
2. Establish business processes- It is an understanding
of the activities required to make the business model
work. Determine key business activities by first
identifying the core aspect of the business’ offering.
Example, Allyses Alera’s Accounting Firm offers
services like Tax Filing and Planning, Management
Consulting, Accounting and Auditing.
3. Record key business resources- Document essential
business resources to ensure the business model is
adequately prepared to sustain the needs of the
business. Example Allyses Alera’s Accounting Firm
common resources are the following: a. office b.
capital c. office equipment d. filing cabinet e.
furniture and fixtures
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4. Develop a strong value proposition- How the
company will stand out among the competition? It
stands as a promise by a company to a customer or
market segment. Example the value proposition of
STARBUCKS focus on three key points: the coffee
quality, service philosophy and atmosphere
designing.
5. Determine key business partners-No business can
function properly without key partners that contribute
to the business’ ability to serve customers. When
creating a business model, select key partners, like
suppliers, strategic alliances or advertising partners.
Example Home Depot, key business partners may be
lumber suppliers, parts wholesalers and logistics
companies.
6. Create a Demand Generation Strategy- it refers to
any activity that drives awareness and interest in your
product or service with the ultimate goal to create a
predictable pipeline that will grow your business.
Example Nestle Boost Optimum chose Aga Muhlach
for Lakas maka BAGETS commercial.
7. Leave room for innovation- We don’t really know
if our business model will meet the ongoing needs of
our customers. It is important to leave room for
future innovations. We need to implement changes as
needed. Example, as the outbreak continues to
spread, restaurants have been forced to cancel
gatherings and even close their business. But
Timmy’s Pares and Mami and Zeus Silog offers
deliveries and they sell vegetables and fruits as an
additional goods for their business.
Simple Example of a Business Model
Name of Business: Special Lulu Gawan
Product: Lugaw
Price: Cost Plus Pricing
Place: Tenejero Balanga, Bataan, Lulu Gawan
facebook page
Target Market: Resident of Balanga
Transaction: Personal and online selling
Mission:Makapagbigay ng de kalidad na lugaw sa
murang halaga para sa Balangueño
Vision:Maging numero unong Lugawan sa Bataan.
Activity 1: Make a simple business model of your
future business. Use the business model of Special
Lulu Gawan as your guide.
Reflection: Who is your role model? Identify
his/her qualifications. (Minimum of 10 sentences)
Rubrics: Content : 30pts, Organization of Ideas
20pts
LEARNING ACTIVITY SHEET with
LECTURES in Entrepreneurship
Quarter: Second
Week: Four
Background Information for Learners
Recruitment is the process of convincing or
encouraging a prospective applicant to fill in a vacant
position.
 Republic of the Philippines
Department of Education
Region III – Central Luzon
SCHOOLS DIVISION OFFICE OF BALANGA CITY
Steps in Recruitment in the post. Indicate his/her basic information as well
1. Study the different company jobs and write as his/her qualifications. Assess if he/she will fit to
its descriptions and specifications. the job announcement. (30 points)
Job Description- it defines the duties and
responsibilities of a particular position. It should be Activity 1:
practical, clear and accurate to effectively define your
needs. It includes:
• Job title
• Job objective or overall purpose statement
• Summary of the general nature and level of the job
• Description of the broad function and scope of the
position
• List of duties and tasks performed critical to success
• Key functional and relational responsibilities in
order of significance
• Description of the relationships and roles within the
company, including supervisory positions,
subordinating roles and other working relationships.

Additional Items for Job Descriptions for Recruiting

Situations:
• Job specifications, standards and requirements
• Job location where the work will be performed
• Equipment to be used in the performance of the job
• Salary range
Job Specification- It gives the specific qualifications
required for the position such as type of experience
needed for the job, special training, skills and
physical demands, special abilities, aptitude, age,
physical qualifications and other requirement.
2. Requisition of New Employee- a formal
Reflection: What is your ideal job and salary? How
requisition form is required indicating the position to
are you going to achieve it? List down your plans in
be filled, date needed, qualifications and other
able to fulfill it.
requirements needed for an applicant.
Rubric for Scoring: Content: 30pts, Organization of
3. Actual recruitment of applicant/s.
Ideas 20pts
Sources of applicants:
a. Internal- employees recruited within the
company.
b. External- applicants recruited through
LEARNING ACTIVITY SHEET with
advertisement, referrals, placement agencies, etc.
LECTURES in Entrepreneurship
Quarter: Second
Selection- It is the process through which
Week: Five
organizations identify and make decisions about the
applicant/s who will be allowed to join the company.
Background Information for Learners
Steps in Selection
1. Reception of Applicants
Forecasting is calculating or predicting (some future
2. Preliminary Interview
event or condition) usually as a result of study and
3. Filling out of Application Form
analysis of available pertinent data. In business,
4. Employment Test
proper financial forecasts will help to develop
5. Final Interview by Immediate Supervisor or
operational and staffing plans that will help make the
Department Head
business a success.
6. Physical and Medical Examination
7. Hiring
Basic Costing and Pricing
8. Orientation
1. Direct Materials- are those materials and
supplies that are consumed during the manufacture of
Learning Competency with Code
a product, and which are directly identified with that
The learner must recruit qualified people for one’s
product. Example: the direct material in a baseball
business enterprise.
bat is wood
2. Direct Labor- employees or workers who
Directions/Instructions
are directly involved in the production of goods or
Here is an example of job announcement post of City
services. Example: the direct labor in Jagger’s
of Balanga PESO in their facebook page. Among the
Tailoring is the sewer.
three positions (Selling Supervisor, Warehouse
3. Factory Overhead- is the costs incurred
Supervisor and IT Associate), choose one and think
during the manufacturing process, not including the
of a family member who is now currently
costs of direct labor and direct materials
unemployed that will fit in the job description stated
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 Republic of the Philippines
Department of Education
Region III – Central Luzon
SCHOOLS DIVISION OFFICE OF BALANGA CITY
• Indirect Materials- example in Mikelen’s Step 2- Calculate the amount of indirect cost which
Bakeshop (boxes and plastics used in the packaging will be charged to each unit of product.
of their bread and cakes)
• Indirect Labor- example in Mikelen’s Bakeshop ( Indirect Costs ( Indirect Materials, Indirect Labor and
cashier, driver) Other Indirect Expenses)
• Other Indirect Expenses – example in Miklen’s
Bakshop (office supplies, telephone bills) Indirect Materials
Crepe Paper Php 10.00
Two Types of Expenses Stand up Pouch w/ Zip Lock 60. 00

1. Fixed Costs- these are expenses that remain Indirect Labor:

the same every month. (Examples: Rent, Fixed Seller 60.00
Salaries, Insurance Fees, Communication Expenses) Other Operating Expenses
2. Variable Costs- those are the expenses that Transportaion & Misc. Expenses 150.00
change every month depending on your sales volume.
(Examples: Packaging Costs, Marketing Expenses,
Transporation Expenses) Total Indirect Cost Php 280.00

Forecast the Sales

Consider the following factors to make Formula:
monthly future sales: Indirect Cost/per unit = Total
Indirect Cost/ number of units produced
a. Identify the customer base and determine
which one include in the forecast. Example: Php 280.00/ 500 pcs= Php 0.56
b. Plans for expansion? If so, include current indirect cost per unit
geographical area as well as the area plan to include
in the future.
c. Market conditions: What is the state of the Step 3- Compute for the unit production cost
market? Will it remain steady or will increase? as follows:
d. Business position: Consider the position of
the business within the industry, and factor in growth Direct Cost per unit: Php 0.63
expectations. Add Indirect Cost per unit 0.56
e. Seasonal adjustments: Many businesses Unit Production Cost Php 1.19
have increased and decreased sales in seasonal cycle.
Assuming that you’re Selling Price per pastillas is
Php 3.00
How to Cost a Product
Selling Price x Number of pastillas produced= Gross
Step 1- Determine the cost of materials Profit
and labor to compute for the direct cost per unit.
Example: Php 3.00 x 500pcs = Php 1,500.00
Example: You want to have a Pastillas business.
Sales Php 1,500.00
Direct Materials: Cost of Goods Sold (Direct Cost) 315.00
700 grams powdered milk Php 160.00
¼ kilo sugar 15.00 Gross Profit Php 1, 185.00
390 grams condensed milk 40.00 Operating Expenses (Indirect Cost ) 280.00

Total Direct Materials Php 215.00 Net Profit Php 905.00

Learning Competency with Code

Direct Labor:
Cook Php 100.00 The learner must forecast the revenue of the business,
Total Direct Cost Php 315.00 the costs to be incurred and compute for the profits.

Directions/Instructions
Assuming you can produce 500 pcs. of pastillas. Activity 1: Help Lulu in her special Lulu Gawan
Compute for the direct cost per unit. business. List the ingredients of lugaw including its
price, the direct and indirect cost and make the
Formula: proper costing per serving. Compute for the net
Direct Cost/per unit = Total Direct Cost/ profit assuming that you can produce 400 servings
number of units produced within a day. (75 points)

Example: Php 315/ 500pcs= Php 0.63 direct cost Reflection: Cite a situation / scenario that shows
per unit how important forecasting is.

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 Republic of the Philippines
Department of Education
Region III – Central Luzon
SCHOOLS DIVISION OFFICE OF BALANGA CITY
Rubric for Scoring: Content: 30pts, Organization of
Ideas 20pts
Organizational Structure
LEARNING ACTIVITY SHEET with
LECTURES in Entrepreneurship
Quarter: Second
Week: Five

Background Information for Learners

Business Plan- is a written document that
describes in detail how a business—usually a new
one—is going to achieve its goals.

Basic Parts of Business Plan

A. Management Plan- it describes how an

organization or business is run.
It includes the following:
A1. Introduction of the business
A2. Type of business
A3. Organizational Structure
A4. Capitalization
A5. Management Policies, Systems and
Strategies

B. Operational and Technical Plan- maps out

the day-to-day tasks required to run a business and
cover. Php 100.00
It includes the following:
B1. Products or Services
B2. Production Process
B3. Plant Layout, Floor Plan, Location
B4. Machineries and Equipment
B5. Labor Requirements
B6. Utilities
B7. Waste Disposal
B8. Production Costs
Php 120.00
C. Marketing Plan- considers the value
proposition of a business
It includes the following:
C1. Target Market Description
C2. Result of the Survey Questionnaire
C3. Lists of Direct and Indirect Competitors
C4. Marketing Program and System
C5. Projected Sales

Php 120.00
D. Financial Plan It includes the following:
It includes the following:
D1. Project Cost
D2. Projected Financial Cost
Learning Competency with Code

The learner must know the business plan

Simple Business Plan Example: Directions/Instructions

Activity 1: Make a simple business plan. Use the

Business Name Beeda Bagoong
above example as your guide. (70points)
Type of Business Sole Proprietorship
Capitalization Php 30, 0000 Reflection: Do you have a competitor? It can be
Target Market Resident of Bataan ages
your siblings or another suitors of your crush. Describe the
16-55 years old
List of Amanda’s Bagoong,RFL advantages and disadvantages of having it in your life
Competitors Bagoong,Homemade Rubric for Scoring: Content: 30pts, Organization of Ideas
Bagoong Bataan 20pts

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 Republic of the Philippines
Department of Education
Region III – Central Luzon
SCHOOLS DIVISION OFFICE OF BALANGA CITY
LEARNING ACTIVITY SHEET in Entrepreneurship 4. Collections are made from customers billed in no. 3.
Quarter: Second 5. The mayor’s permit to operate the business and other
Week: Six licenses are paid.
6. Vicky Barney, the sole proprietor of a repair shop,
Background Information for Learners pays for the light and water bills of the business.
7. The business car’s plate number is changed from TY
Business Record- is a document (hard copy or digital) that
888 to YT 888.
records the business dealing.
8. The wages of mechanics and shop employees are
Importance of Keeping Good Records paid
1. Monitor the progress of the business. 9. The tuition fees of the children of Vicky Barney are
2. Prepare the financial statements. paid by him from his personal funds
3. Identify sources of income. 10. Vicky Barney makes an additional cash investment
4. Keep track of the basis in property. in the shop
5. Keep track of the deductible expenses.
6. Prepare the tax returns. REFLECTION: Do you think that the basic knowledge
7. Support the items reported on the tax returns. in accounting will be useful to you in your future career? How
and why?

ACCOUNTING- process of identifying, measuring and Use 10 to 15 sentences. Rubric: Content

communicating economic information to permit informed 30points Organization of Ideas 30 points
judgments and decisions by users of the information.

ACTIVITIES OF ACCOUNTING
1. RECORDING- Is engaged putting into records all
the business transactions. Also known as
bookkeeping.
2. CLASSIFYING- Is sorting and grouping of all
similar interrelated transactions.
3. SUMMARIZING- Is the preparation of financial
statements intended for the users of financial
information.
4. INTERPRETING- Is engaged in analyzing the
financial statements and the changes to its financial
performance from prior years to other similar
businesses.
PURPOSE OF ACCOUNTING IM BUSINESS
1. It provides information useful for decision making.
2. It records and analyzes necessary business
transactions.
3. It provides useful information
4. both inside and outside the organization.
LEARNING ACTIVITY SHEET in Entrepreneurship
Quarter: Second
Week: Seven
THE ACCOUNTING EQUATION AND EFFECT OF
TRANSACTION
In every transaction, there is value received and value
parted with.
Sample Transactions
1. Bought a computer for office use, paying cash. Value
Received: Computer Value Parted With: Cash
2. Received cash as payment of professional service
rendered. Value Received: Cash Value Parted
With: Professional Service
3. Payment of debt owing to a creditor. Value
Received: Debt Value Parted With: Cash
4. Payment of office rent. Value Received: Right to
use/Office Rent Value Parted With: Cash
5. Bought merchandise on credit Value Received:
Merchandise Value Parted With: Credit

FORMS OF BUSINESS OWNERSHIP Users of Financial Information

1. Internal Users- those who own or employed or who
1. SOLE PROPRIETORSHIP- An entity owned by
manage the business and whose decisions affect the
an individual or single person.(proprietor)
internal affairs of the business. Example: owners,
2. PARTNERSHIP- An entity owned and shared by
managers, officers, employees
two or more persons. (partners)
2. External Users- those who outside the business who
3. CORPORATION- An entity whose operation is
make decisions concerning their financial
created according to the law. (stockholders)
relationship with the business. Example: investors,
4. COOPERATIVES- An entity exempt from taxation.
creditors, customers, suppliers, banks, government
(members)
agencies
ACTIVITY 1:
Activity 1: Indicate the Value Received and Value Parted
Explain thru drawing: Accounting is the LANGUAGE of With in every transaction.
Business.

ACTIVITY 2: Determine if each of the following is a

Transactions Value Value
(A) Business Transaction (B) Personal Transaction (C ) Not a
Received Parted
Transaction
With
1. The shop’s working hours is adjusted from “8:00 am 1. Investment of
to 5:00 pm to 9:00 am to 6:00 pm. money and
2. Vickey Barney the owner of V. Barney Laundry L300 van by the
Shop buys concert ticket amounting to Php 800. owner, Vickey
Barney
3. Customers are billed for services rendered to them.

7|P age
 Republic of the Philippines
Department of Education
Region III – Central Luzon
SCHOOLS DIVISION OFFICE OF BALANGA CITY
2. Vickey Barney economic benefits. The normal balance of liability is
purchase credit. Example: Accounts Payable, Notes Payable
computer set 3. CAPITAL or OWNER’S EQUITY- right or claim
and furniture for of the owner on the assets of the business. The
her office normal balance of capital is credit. Example:
3. Payment of Barney’s Capital
promissory
notes with
interest ASSET = LIABILITIES + CAPITAL
4. Rendered
services to Debit
customers cash
basis
5. Rendered
services to
customers on
credit
6. Paid salaries to
employees
7. Collection of
receivables Credit
TOTAL 7 POINTS 7 POINTS

Activity 2: Illustrate a scenario/situation/reason in which

(1) the OWNER of the BEANERY and (2) the SUPPLIER Example: Php 800,000 = 200,000 + 600,000
needs the financial information of the business. Rubrics:
Idea/Content of the illustration 50points Creativity 30 points

Reflection: List down 3 transactions that you apply the

value received and value parted with in your daily life. Activity 1: Identify whether the following statements are
(30points)
True or False.

1. Owner’s Equity is the right of claim of creditors on

LEARNING ACTIVITY SHEET in Entrepreneurship
Quarter: Second
Week: Eight
Luca Pacioli- was an Italian mathematician and referred to as
“ The Father of Accounting and Bookkeeping”
RULES OF DEBIT AND CREDIT
DEBIT-Latin word debere. Debere means "to owe"."Dr"
(Debit) indicates the left side of a ledger account
CREDIT- Latin word credere. It means "to entrust". "Cr"
(Credit) indicates the right.
Example: January 7, 2020 Vickey Barney invested
Php 300,000 in VB Laundry Shop.
Debit Credit
January 7, 2020 Cash Php 300,000
Barney’s Capital 300,000
Elements of Accounting
1. ASSETS- An asset is a resource with economic value
that an individual, corporation or country owns or
controls with the expectation that it will provide
future benefit. The normal balance of the asset is
debit. Example: Cash, Equipment, Vehicle
2. LIABILITIES- Present obligations of an enterprise
of which is expected to result in an outflow from the
enterprise arising from past transactions, the
settlement of which is expected enterprise embodying
the assets of the business.
2. Cash is an example of Owner’s Equity.
3. The owner of partnership is called member.
4. In every transaction, there is value received and value
parted with.
5. Lucas Pacioli is the Father of Accounting and
Bookkeeping.
Activity 2: Compute the following. Present your
computation. Double rule your final answer.
Example: Asset is amounting to Php 300, 000 and
liability is Php 100,000. Compute the owner’s equity.
(Asset) Php 300, 000 - (liability) 100, 000=
(owner’s equity) Php 200,000
Problems:
1. The assets of Vickey Barney Enterprise amounting to
P 950,000 and the owner's equity P 560,000. What is
the amount of liabilities? (10points)
2. The liabilities and owner's equity of V. Barney Corp.
amount to P 5,980,000 and P 3,200,300 respectively.
How much is the company's assets? (10points)
3. At the end of the year of 2019, Barney Bar Inc. has a
total assets of P 8, 435,969 and total liabilities of P 2,
561, 367. During the year of 2019, assets increased
by P 482,463 while liabilities decreased by P 163,
469. What is the amount of capital at the beginning of
2019? (15 points)
4. At the beginning of the year, Vickey Barney
Company's assets amount P 7,562,432 and the
owner's equity amounting to P 2,567,889. During this
year, assets increased by P 524,332 while liabilities

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 Republic of the Philippines
Department of Education
Region III – Central Luzon
SCHOOLS DIVISION OFFICE OF BALANGA CITY
decreased by P 35, 589. How much is the owner's their
equity at the end of the year? (15 points) purchases
5. At the end of the year of 2019, Red Barney Inc. has a last month.
total assets of P 10, 556,964 and total liabilities of P
4, 613, 376. During the year of 2019, assets increased
by P 692,564 while liabilities decreased by P 362, Reflection: Do you think your cellphone is an asset?
879. What is the amount of capital at the beginning of Defend your answer in 10 sentences. (30 points)
2019? (15 points)
LEARNING ACTIVITY SHEET in Entrepreneurship
Activity 3: Quarter: Second
For each transaction, tell whether the assets, liabilities and Week: Nine
equity will increase (I), decrease (D) or is not
affected (NE). The Accounting Cycle
TRANSACTIONS ASSE LIABIL CAPIT 1. Identify the transactions- companies will have
T ITIES AL many transactions throughout the accounting
1. The owner cycle. Each one needs to be properly recorded on
invests the company’s books.
personal 2. Record transactions in a Journal-
cash to the 3. Posting- once a transaction is recorded as a
business journal entry, it should post to an account in the
2. The owner general ledger.
withdraws 4. Unadjusted Trial Balance- A trial balance tells
business
the company its unadjusted balances in each
assets for
account. The unadjusted trial balance is then
personal
use. carried forward to the fifth step for testing and
3. The analysis.
company 5. Worksheet- A worksheet is created and used to
receives ensure that debits and credits are equal. If there
cash from a are discrepancies then adjustments will need to
bank loan be made.
4. The 6. Adjusting Journal Entries- adjustments are
company recorded as journal entries where necessary.
pays the 7. Financial Statements- after the company makes
bank that all adjusting entries, it then generates its
had lent financial statements. For most companies, these
money. statements will include an income statement,
5. The balance sheet, and cash flow statement.
company
8. Closing the books- The closing statements
purchases
equipment provide a report for analysis of performance over
with its the period. After closing, the accounting cycle
cash. starts over again from the beginning with a new
6. The owner reporting period. At closing is usually a good
contributes time to file paperwork, plan for the next
her personal reporting period, and review a calendar of future
truck to the events and tasks.
business.
7. The FINANCIAL STATEMENTS- is a formal record of
company the financial activities and position of a business,
purchases person, or other entity
supplies on TYPES OF
credit.
FINANCIAL STATEMENTS
8. The owner
withdraws
A. STATEMENT OF FINANCIAL POSITION- Is
cash for
personal a report showing the financial position of a
used. company on a particular date. It is also called
9. The Balance Sheet.
company
purchases
land by The Three Elements of Statement of Financial Position
paying half (a)- ASSETS
in cash and
signing a CLASSIFICATION OF ASSETS
note.
10. The a1- Current Assets- are short-term economic
company resources that are expected to be converted into cash within
pays the one year. The following are the examples of accounts under
supplier for current assets.

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 Republic of the Philippines
Department of Education
Region III – Central Luzon
SCHOOLS DIVISION OFFICE OF BALANGA CITY
 CASH- Is any medium of exchange that a
bank will accept at face value.
 ACCOUNTS RECEIVABLE- Are claims
against debtors, customers or clients arising from services
rendered and the sales of merchandise on account.
 NOTES RECEIVABLE-Are claims
against debtors, customers or clients for services rendered
evidenced by a written promise to pay issued by the debtor.
 MERCHANDISE INVENTORIES- Are
goods on hand available for sale
 SUPPLIES/SUPPLIES ON HAND-Are
consumable goods used in the course of business
 PREPAID EXPENSES-Are expenses
paid in advance.
a2- Non Current Assets- are long-term economic
resources. The following are examples of accounts under non-
current assets.
 PROPERTY, PLANT AND
EQUIPMENT- These are the tangible assets that are held by
enterprise for use in the production or supply of goods and
service or for rental to others for administrative purposes
which are expected to be used more than one period.
 ACCUMULATED DEPRECIATION- Is
an account that contains the sum of periodic depreciation
charges. It is a contra account that represents the whole
amount from depreciation expenses charged in the past and
current periods.
 DELIVERY EQUIPMENT- Include
assets used for transporting merchandise.
 MACHINERY- Is tangible assets that has
its own system to work in order to produce products and to
provide services to customers.
 FURNITURE AND FIXTURES- Are
properties owned by the business which are not part of the
building property.
 LAND- Land acquired by the business
for its use.
(b) LIABILITIES-
CLASSIFICATION OF LIABILITIES
b1- Current Liabilities- It is a present obligation
that is expected to be settles in the normal operating cycle of
the business. The following are examples of accounts under
current liabilities.
 Accounts Payable- Are the amount due to creditors for
assets acquired in account.
 Notes Payable- Are the amount due to creditors supported
by a promissory note.
 Salaries Payable- Are unpaid salaries to the employees at
the end of the accounting period.
 Taxes Payable- Are present obligation due to the
government
 Interest Payable- Are interest incurred on the loan but they
are not yet paid at the end of the period.
b2- Non-Current Liabilities- It is a long term
liabilities expected to be settled for more than a year.
 Mortgage Payable- Is a long term debts
secured by collateral.
 Loans Payable- debts with more than 1
year to be settled
(c) CAPITAL/OWNER’S EQUITY
 Owner’s Capital- Is the account that
represents the equity or claims of the owner on the assets of
the business.
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 Owner’s Drawing- Assets withdrawn or
taken by the owner form the business for personal use.
B. STATEMENT OF COMPREHENSIVE
INCOME- This a report showing the financial
performance of a company for a given period of
time.
(a) REVENUE OR INCOME- This a report
showing the financial performance of a
company for a given period of time.The
normal balance of income is credit.
 Sales- Are total sales of merchandise sold
 Professional Fee Income- Is income
earned after rendering professional services
 Rent Income- Is the amount of
lease/rental earned for the period.
 Service Income- Is the amount of income
earned from services rendered from service
concern business.
 Interest Income- Is the amount earned for
lending money.
(b) EXPENSE- Is the gross outflow of
economic outflow result benefits during the
period in the course of ordinary activities
when these results in decrease in equity
other than those relating to distribution
owners. The normal balance of expense is
debit.
 Cost of Sales- Is the cost of goods
purchased and sold merchandise or sold
manufactured
 Advertising Expense- Are expenses
incurred to promote the product of the
business
 Salesmen’s Salaries- Are compensation
given to sales agent
 Salesmen’s Commission- Is the incentive
given to sales agents based on their amount
of sales earned.
 Office Salaries- Are compensation given
to administrative employees
 Supplies Expense- Are the amount of
supplies used during the operation of
business
 Taxes- Are governmental duties incurred
in the current period
 Utilities Expense- Expenses incurred for
light and water consumed during the
operation of the business
 Bad Debts- Is the estimated amount of
losses from uncollectible accounts of the
business
 Depreciation Expense- Is the allocated
cost of fixed assets in the current period.
REVENUE minus EXPENSES = Net
Income/Net Loss
 Republic of the Philippines
Department of Education
Region III – Central Luzon
SCHOOLS DIVISION OFFICE OF BALANGA CITY
Activity 1 Identify the account described in
each item.

2. Compute the Net Income.

•Advertising Expense • Interest Income • Salaries Payable Service Income Php 356,867.00
• Office Salaries • Accounts Payable • Mortgage Payable • Prepaid Rent 16,800.00
Salesmen's Salaries • Owner's Equity • Bad debts • Sales Interest Expense 1,523.00
• Travelling expense • Service Income • Cost of Sales Barney’s drawing 21,786.00
• Owner's Drawing • Accumulated Depreciation • Taxes Taxes 4,544.00
• Interest Payable • Utilities expense • Notes Receivable Utilities Expense 3,651.00
• Notes Payable • Professional Fee Income 3. The liabilities of Barney Barn are equal to 1/3 of the
total assets. The owner's equity is P 6,300,500. What
•Accounts Receivable • Rent expense is the amount of the liabilities?
4. Prepare journal entries to the following transactions
• Taxes Payable • Notes Payable
for the year 2020.

Sept. 1 Vickey Barney invested Php 150,

1. Travelling allowances given to sales agent. 000 in Barney repair Shop
2. Expenses incurred for light and water consumed
Sept 3 Purchased equipment worth Php 80,
during the operation.
000 on account.
3. The estimated amount of losses from
uncollectible accounts. Sept. 12 Paid Php 25, 000 for the equipment
4. It is the compensation payment given to purchased dated Sept. 3, 2020.
administrative employees.
5. It is allocated cost of fixed assets in the current Sept. 15 Rendered service amounting to
period. Php 45,000.
6. Unpaid salaries to the employees at the end of
Sept. 17 Paid salaries to employees, Php
the accounting period.
16,000
7. Interest incurred on the loan but not yet paid at
end of the accounting period.
8. Governmental duties incurred in the current
period. Reflection: Do you think it is a good strategy for a
9. It is the account that represents the equity or business to have a huge amount of cash in bank?
claims of the owner on the assets of the business. Defend your answer. (45 points)
10. Present obligation due to the government.
11. Amounts earned for lending money.
12. Total sales of merchandise sold.
13. Amounts of income earned from services References for Learners: Entrepreneurship by
rendered. Marife Acierto
14. Expenses incurred to promote the product of the
business.
15. Cost of goods purchased and sold merchandise
or sold manufactured and sold.
16. It is the compensation payment given to sales
agent.
17. Account charged to the owner’s drawing of cash Prepared by:
or other assets withdrawn or taken by the owner
Arrianne G. Cuevas
from the business for
personal use.
18. Amount due to creditors for assets acquired in
account.
19. It is the amount due to creditors supported by
promissory note. Note: Practice Personal Hygiene Protocols at all
20. Income earned after rendering professional times. Please include this in All Learning
services. Activity Sheets.
21. The long term debt secured by collateral.

Activity 2:

1. Compute the current assets.

Cash Php 25,867.00
Barney’s drawing 50,485.00
Accounts Payable 78,584.00
Notes Receivable 45,051.00
Building 1,500,125.00
Inventory 33,669.00

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