___________________________________

A Feasibility Study
Presented to the Faculty of
Entrepreneurship Department
Bicol University Tabaco Campus

In Partial Fulfillment of the

Requirements for the Degree
Bachelor of Science in Entrepreneurship

____________________

May 2021

i
 Bicol University Tabaco Campus
ENTREPRENEURSHIP DEPARTMENT
Tabaco City

CERTIFICATION FROM THE ADVISER

This is to certify that the suggestions and recommendations of the Panel

of Oral Examiners during the oral defense on the feasibility study entitled:
“________________________”, prepared and submitted by
_________________________ were incorporated in the final manuscript.

____________________
Adviser

ii
 Bicol University Tabaco Campus
ENTREPRENEURSHIP DEPARTMENT
Tabaco City

Suggestions of the Panel of Oral Examiners

“_____________________”
(Title)
____________________________
Proponent

Suggestions Panel of Examiner Action Taken

Prepared by:

_____________

Noted by:

_________________
Adviser

iii
 Bicol University Tabaco Campus
ENTREPRENEURSHIP DEPARTMENT
Tabaco City

RECOMMENDATION FOR ORAL EXAMINATION

This project feasibility study, entitled: “_______________________”

prepared and submitted by ___________________________, in partial
fulfillment of the requirements for the degree BACHELOR OF SCIENCE IN
ENTREPRENEURSHIP” is, hereby recommended for Oral Examination.

________________________
Adviser

__________
(Date)

iv
 Bicol University Tabaco Campus
ENTREPRENEURSHIP DEPARTMENT
Tabaco City

RESULTS OF ORAL EXAMINATION

For

_____________________

Title : “_________________”

Place : Bicol University Tabaco Campus

Date : _________

PANEL OF ORAL EXAMINERS ACTION

__________________________ ___________
Chairman

__________________________ ___________
Member

__________________________ ___________
Member

___________________________________
Adviser

v
 Bicol University Tabaco Campus
ENTREPRENEURSHIP DEPARTMENT
Tabaco City

APPROVAL SHEET

Upon the recommendation of the adviser, this feasibility study, entitled,

“_______________________________”, prepared and submitted by
____________________________ in partial fulfillment of the requirements for
the degree BACHELOR OF SCIENCE IN ENTREPRENEURSHIP, has been
examined with a grade of _____ and hereby recommended for acceptance and
approval.

PANEL OF ORAL EXAMINERS

________________________________
Chairman

_____________________ ______________________
Member Member

Upon the recommendation of the Panel of Oral Examiners, this feasibility

study, entitled, “___________________________”, prepared and submitted by
_______________________ in partial fulfillment of the requirements for the
degree BACHELOR OF SCIENCE IN ENTREPRENEURSHIP is hereby
approved and accepted.

AMY M. MIRANDILLA, C.P.A., M.B.M.

Chairman, Entrepreneurship Department

____________________________
Assistant Dean

MARIA GISELLA N. MORTEGA, Ph. D.

Dean

vi
ACKNOWLEDGMENT

Initial of Author/Proponent

vii
 EXECUTIVE SUMMARY

A. Name of the Project :

B. Project Location :

C. Proponent :

D. Forms of Business :
Organization

E. Type of Business :

F. Project Description :

G. Highlights of the Project:

1. Market Study

2. Technical Study

3. Financial Study

a. Profit & Loss Statement

b. Cash Flow Statement

c. Balance Sheet

d. Financial Analysis

e. Production Cost Analysis

4. Organization and Management Study

viii
 TABLE OF CONTENTS

TITLE PAGE i

CERTIFICATION FROM THE EDITOR ii

CERTIFICATION FROM THE ADVISER iii

SUGGESTIONS OF THE PANEL OF ORAL EXAMINERS iv

RECOMMENDATION FOR ORAL EXAMINATION v

RESULTS OF ORAL EXAMINATION vi

APPROVAL SHEET vii

ACKNOWLEDGMENT viii

EXECUTIVE SUMMARY ix

TABLE OF CONTENTS xii

LIST OF TABLES xiv

LIST OF FIGURES xv

LIST OF PLATE xvi

LIST OF SCHEDULES xvii

LIST OF APPENDICES xviii

(TITLE OF THE STUDY)

1. PROJECT BACKGROUND
a. Introduction
a.1 Rationale and objectives
a.2 Name of the Business & Nature of the Project
a.3 Location

2. MARKET STUDY
a. Product Description
b. Name/characteristics of the product
b.1 Uses/application of the product
ix
 b.2 Users of the product
c. Demand Analysis
c.1 Historical data for the demand
c.2 Projected data for the demand
d. Supply Analysis
d.1 Historical data for the supply
d.2 Projected data for the supply
e. Demand and Supply Gap Analysis
e.1 Market Share
f. Market Strategies/Program
f.1 Product
f.2 Price
f.3 Promotion
f.4 Place

3. TECHNICAL STUDY
a. Manufacturing process
b. Machinery and Equipment
c. Raw Materials and Sources
d. Plant Location
e. Plant layout
f. Production requirements and schedule
g. Production manpower requirements
h. Utilities
i. Waste disposal

4. FINANCIAL STUDY
a. Project Cost
b. Sources of Financing & Amortization Schedule
c. Projected Financial Statements
c.1 Projected Income Statement
c.2 Projected Statement of Cash Inflow and Outflow
c.3 Projected Balance Sheet
d. Production Cost Analysis
d.1 Break-Even Volume
d.2 Break-Even Selling Price
d.3 Break-Even Sales
d.4 Unit cost
d.5 Payback Period
e. Financial Analysis
e.1 Profitability
a. Profit margin
b. Return on asset
c. Return on equity

x
 e.2 Asset Utilization
a. Receivable turn-over
b. Average collection period
c. Fixed asset turn-over
d. Total asset turn-over
e.3 Liquidity ratio
a. Current ratio
f. Summary of Financial Assumptions

5. ORGANIZATION AND MANAGEMENT STUDY

a. Forms of Business Organization
b. Organizational chart
c. Officers and Personnel
c.1 Position and Qualifications
c.2 Duties and Responsibilities
c.3 Compensation Scheme and Benefit
d. Project time table and schedule

CURRICULUM VITAE

xi
 LIST OF TABLES

Tables Page

1 Projected Demand for Ham (2021-2025) 8

2 Historical Supply of Ham (2016-2020) 8

3 Projected Supply of Ham (2021-2025) 9

4 Demand and Supply Gap Analysis 10

5 Marketing Strategies and Program 13

6 Equipment, Tools and Kitchenware 16

7 Raw Material Requirement 17

8 Production Schedule 20

9 Production Requirement 20

10 Manpower Requirement 21

11 Utilities Requirement 22

12 Project Cost 24

13 Interest Expense and Amortization Schedule 24

14 Projected Income Statement 27

15 Projected Cash Flow Statement 28

16 Projected Balance Sheet 29

17 Financial Analysis 33

18 Production Cost Analysis 34

19-21 Positions, Qualifications, Salary Allowance, 36-37

Duties & Responsibilities

xii
 LIST OF FIGURES

Figure Page

1 Process Flow Chart 15

2 Plant Location 18

3 Plant and Store Layout 19

4 Organizational Structure 35

5 Gantt Chart 38

xiii
 LIST OF PLATE

Plate Page

1 Product Label 5

2 Finished Product 5

3 Raw Materials Used 5

xiv
 LIST OF SCHEDULES

Schedule Page

1 Projected Sales 39

2 Projected Raw Materials Expense 39

3 Administrative and Indirect Labor 39

4 Projected Packaging Expense 40

5 Projected Utility Cost 40

6 Projected Other Expenses 40

7 Depreciation Expense 41

8 Production Capacity 41

9.1 Fringe Benefits 41

9.2 Fringe Benefits 42

11 Projected Selling Price 43

xv
 LIST OF APPENDICES

Appendix Page

A Survey Questionnaire 44

B Breakdown of Population of Tabaco, Malilipot, Malinao 45

and Bacacay

C Computation of Demand 45

D Conversion of Demand 45

E Computation of Sample Size 46

F Historical Data for Demand of Ham 46

G Computation of Projected Demand of Ham 47

H Per Capita Consumption 47

I Historical Data for Supply of Ham 48

J Computation of Projected Supply of Ham 48

K Survey Questionnaire (Supply) 49

L Production Capacity 50

M Equipment 50

N Furniture and Fixture 50

O Raw Materials Expense 51

P Computation of Direct and Administrative Sales 51

Q Production Supplies 51

R Miscellaneous Expense 52

xvi
S Computation of Utilities Expense 52

T Packaging Expense 52

U Advertising Expense 53

V Delivery Expense 53

W SSS/Phil Health/PAG-IBIG Contr. 53

X Office Supplies 53

Y Renovation Expense 54

Z Permit and Licenses Expense 52

AA Rent Expenses 52

AB Fuel Expense 53

AC Depreciation Expense 55

AD Volume Production for Tilapia 55

AE Volume Production for Banana Saba 57

AF Volume Production for Squash Fruit 58

xvii
 SAMPLE OF HOW THE TABLE SHOULD BE

Table 4

Demand and Supply Gap Analysis

(2014-2018)

Year Demand1 Supply2 Gap3 Percentage Market Production

(Thousand (Thousand (Thousand Unsatisfied4 Share5 Capacity (MT)
MT) MT) MT) (%)
2014 4239 3434.4 804.6 18.98 -  -
2015 4369 3547.2 7.97 0.18 - -
2016 4499 3660 8.94 0.20 0.07 0.0060984
2017 4629 3772.8 9.95 0.21 0.09 0.008976
2018 4759 3885.6 11.04 0.23 0.16 0.0172032
1
Table 2
2
Table 4
3
Demand – Supply
4
Gap/Demand x 100
5
Capacity/Gap x 100

xviii