OPERATING PLAN

COST OF RAW MATERIALS

Table 1.1 Cost of Raw Materials for the Ingredients

RAW MATERIALS PRICE QUANTITY

Chocolate Syrup Php 150.00 1 bottle
Vanilla Syrup Php 150.00 1 bottle
Strawberry Syrup Php 150.00 1 bottle
White Sugar Php 25.00 ¼
Ground Cinnamon Php 50.00 1 Sachet
Vegetable Oil Php 25.00 ¼
Vanilla Extract Php 15.00 ¼
Water Php 20.00 1 gallon
All-Purpose Flour Php 50.00 1 kg.
Butter Php 40.00 1 box
Salt Php 5.00 ¼

COST OF EQUIPMENT
Table 1.2 Cost of Equipment and Packaging

EQUIPMENT PRICE QUANTITY

Stove Php 500.00 1
Saucepan Php 300.00 1
Mesh Strainer Php 100.00 1
Rubber Spatula Php 60.00 1
Scissor Php 50.00 1
Tong Php 50.00 1
Piping Bag Php 50.00 1 pack
Star-Shaped Pastry Tip Php 25.00 1
Paper Towel Php 30.00 1 box
Butane Php 26.00 1
Plastic Bottle Condiment Php 30.00 3
Paper Cups Php 35.00 1 pack
Mini Fork Toothpick Php 30.00 1 pack

Total Cost of Raw Materials and Equipment Php 1,966.00

PRODUCTION LAYOUT
 Figure 1.1 Production Process for Churro Bites

INPUT OUTPUT
• White sugar
• Ground Cinnamon CHURRO
• Vegetable oil
• Salt BITES
• Water
• All-purpose Flour
• Butter
• Vanilla Extract

PROCEDURE
1. For the churro dough: Heat 2 inches oil to 350 degrees F in a wide 3 1/2 to 4-quart heavy pot over high
heat.

2. In a medium saucepan over medium-high heat, combine 1 cup of water and bring to a boil. Add the
butter, sugar, and salt and stir until the sugar dissolves and the butter melts. Turn off the heat. Using a
wooden spoon, quickly stir in the flour until it is well combined and a shiny dough forms. Return the pan
to medium heat and cook the dough, stirring, until it starts to pull away from the sides of the pan, about 2
minutes. Transfer the dough to a medium bowl and let cool, for about 5 minutes. Beat in the eggs, 1 at a
time, stirring vigorously after each addition, until the egg is completely incorporated (the dough will be
sticky.)

3. Transfer the dough to a pastry bag and pipe 1-inch pieces, cutting the dough with scissors every inch,
into the hot oil. Fry the churro bites, 6 at a time, turning occasionally, until golden brown, 3 to 4 minutes
per batch. Drain on paper towels. Return the oil to 350 degrees F between batches.

4. For the cinnamon sugar: Combine the sugar and cinnamon in a shallow bowl.

5. Roll the warm churro bites in the cinnamon sugar. And Serve it with your choice of dipping sauce.

OVERHEAD EXPENSES
Table 1.3 Expenses for the Operation
 EXPENSES AMOUNT OF OVERHEAD
EXPENSES
Operational Expenses
Utilities Php 100.00
Promotional Materials Php 150.00
Supplies Php 200.00
Total Php 450.00

PRODUCTION COST
Table 1.4 Cost of Raw Materials, Equipment, Packaging, and Overhead Expenses

Cost of Raw Materials

Total Php 680.00
Cost of Equipment and Packaging
Total Php 1,286.00
Cost of Overhead Expenses
Total Php 450.00
TOTAL COST Php 2,416.00

CAPITAL Php 2,500.00

ORGANIZATIONAL STRUCTURE