Penne Cake Updated

St.
John Colleges
Chipeco Avenue, Calamba City, Laguna
Bachelor of Science in Accountancy
Production of Penne Cake
A Project Feasibility Study
Presented to
The Faculty of College of Accountancy

ST. JOHN COLLEGES
Calamba City
In Partial Fulfillment of the Requirements for the Degree of

BACHELOR OF SCIENCE IN
ACCOUNTANCY
BY:
ATIENZA, PHOEBE KATE T.

CANTALEJO, CHRISTMAE JUSSEL M.
FELICIANO, HANNAH P.
MANAIG, ANALIZA A.
PADILLA, KATHLYN S.
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TABLE OF CONTENTS
Title Page
Approval Sheet
Acknowledgement
Executive Summary
Table of Contents
List of Tables
List of Figures
List of Schedules
List of Appendices
CHAPTER I: THE PROBLEM AND ITS BACKGROUND
Introduction
Background of the Study
Statement of the Problems
Significance of the Study
Objectives of the Study
Scope and Limitation of the Study
Research Methodology
Research Design
Conceptual Framework
Theoretical Framework
Review of Related Literature-Foreign

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Review of Related Literature-Local
Related Studies-Foreign
Related Studies-Local
Definition of Terms
CHAPTER II: MARKETING ASPECTS
Marketing Aspects
Demand Situation
Result of the Survey and the Acceptability Test
Projected Demand
Supply Situation
Demand and Supply Analysis
Unsatisfied Demand
Market Analysis
Market Segmentation
Target Market Share
Market Share
Selling Capacity
Nature of the Industry
Competitive Position
SWOT Analysis
Factors Affecting Target Market
Marketing Mix Strategy
Pricing Strategies
Product Strategy
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Place or Distribution Strategy
Promotion Strategy
People Strategy
Process Strategy
CHAPTER III: TECHNICAL ASPECTS
Product Description
Physical Property of the Product
Chemical Property of the Product
Production Process
Production Site
Vicinity Map
Floor Plan
Raw Materials Requirement
Kitchen Tools, Materials and Equipment
Utilities
Electricity
Water
CHAPTER IV: MANAGEMENT ASPECTS
Form Business Organization
Advantages of Partnership
Pre-Operating Period
Procedure for Organizing a Partnership
Job Description and Specification
Internal Control Management

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Management Policies
Benefits and Incentives of the Employees
Business Permits and Licenses
Operation, Schedule in the Firm
Labor Requirements
Gantt Chart
CHAPTER V: FINANCIAL ASPECTS
Total Projected Cost
Source of Investment
Cost of Investment
Financial Statements
Income Statements
Balance Sheet
Statement of Cash Flows
Statement of Changes in Partner’s Equity
Financial and Other Assumptions
CHAPTER VI: SOCIO- ECONOMIC ASPECTS
Contribution to Income
Customers
CHAPTER VII: ENVIRONMENTAL ASPECTS
Economy
Government
Community and Environment
Decorations
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Impact to other Related Studies
CHAPTER VIII: SUMMARY, CONCLUSIONS AND
RECOMMENDATIONS
Summary
Conclusions
Recommendations
BIBLIOGRAPHY
APPENDICES
Survey Questionnaire
Notes to Financial Statement
Supporting Schedule
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Chapter I
Introduction
Baking a cake is a fun and simple process that can be done by practically anyone. For
us to live we need food to eat. We spend much money just to eat whatever we want.
Filipinos are creative when it comes to food that’s why we choose penne as our main
ingredient because it serves as excellent sources of vitamins, fibers and selenium, a mineral
that activates antioxidant enzymes tasked with protecting your cells for molecular damage.
The proponents came up with the idea of merchandising Penne Cake because it’s
been scientifically proven that eating cake while someone else is also eating cake can build
friendship bonds and symbolizes togetherness. The proponents also make use of their talent
in cooking new dishes and doing experiments on some foods. As their love for desserts were
extraordinary, they make use of it to make a dessert that will fulfil the desire of everyone.
Penne Cake consists of affordable ingredients that are available in the market. The
proponents use variety of ingredients that can also add different flavors to enhance the
product’s quality. Thus, will give them one kind of product with different flavors and with
different prices.
Most Filipino prefer to buy products in lower amount but have good quality. The
proponents decided to produce a product that is cheaper but also contains a lot of nutrients
that is surely more than what you pay for. The proponents choose a product that will meet a
demand of health conscious customers and still enjoy it for diet.

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Background of the Study
Boxed pasta can be a saving grace at dinnertime, but you don’t have to settle on
topping with an ordinary tomato sauce. Proper nutrition must be observed all the time
because it is vital in maintaining optimal health. Our bodies need it in order to function
properly, so we need to make sure that the nutrients we get from the food we eat will help us
maintain a healthy body and help us sustain a long life.
Cakes are made from various combinations of refined flour, some form of
shortening, sweetening, eggs, milk, leavening agent, and flavoring. There are literally
thousands of cakes recipes (some are bread-like and some rich and elaborate) and many are
centuries old. Cake making is no longer a complicated procedure. Baking utensils and
directions have been so perfected and simplified that even the amateur cook may easily
become and expert baker. There are five basic types of cake, depending on the substance
used for leavening.
The most primitive peoples in the world began making cakes shortly after they
discovered flour. In medieval England, the cakes that were described in writings were not
cakes in the conventional sense. They were described as flour-based sweet foods as opposed
to the description of breads, which were just flour-based foods without sweetening.
Bread and cake were somewhat interchangeable words with the term “cake” being
used for smaller breads. The earliest examples were found among the remains of Neolithic
villages where archaeologists discovered simple cakes made from crushed grains, moistened,
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compacted and probably cooked on a hot stone. Today’s version of this early cake would be
oatcakes, though now we think of them more as a biscuit or cookie.
Cakes were called “plakous” by the Greeks, from the word for “flat.” These cakes
were usually combinations of nuts and honey. They also had a cake called “satura,” which
was a flat heavy cake.
During the Roman period, the name for cake (derived from the Greek term) became
“placenta.” They were also called “libum” by the Romans, and were primarily used as an
offering to their gods. Placenta was more like a cheesecake, baked on a pastry base, or
sometimes inside a pastry case.
The terms “bread” and “cake” became interchangeable as years went by. The words
themselves are of Anglo Saxon origin, and it’s probable that the term cake was used for the
smaller breads. Cakes were usually baked for special occasions because they were made with
the finest and most expensive ingredients available to the cook. The wealthier you were, the
more likely you might consume cake on a more frequent basis.
By the middle of the 18th century, yeast had fallen into disuse as a raising agent for
cakes in favor of beaten eggs. Once as much air as possible had been beaten in, the mixture
would be poured into molds, often very elaborate creations, but sometimes as simple as two
tin hoops, set on parchment paper on a cookie sheet. It is from these cake hoops that our
modern cake pans developed.
Cakes were considered a symbol of well-being by early American cooks on the east
coast, with each region of the country having their own favorites.
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Statement of the Problem
I. Marketing Aspect
1. Is the proposed product already established in the area of Palo Alto Calamba, City?
2. Does the project have sufficient demand within the area and the nearby towns?
3. Are there any competitors of the same industry in Barangay Palo Alto Calamba, City?
4. What factors need to be considered in a marketing campaign?
5. Who will be the target market of the proposed project?
6. How the proponents will market their product?
7. How the proponents based the selling price of the product?
II. Technical Aspect
1. What are the resources needed to conduct the business?
2. How the proponents will gather the raw materials needed? Is the raw materials are
easily available in the market?
3. How the proponents will get alternative materials if some of it has not in the market?
4. What are the technology needs for the proposed business?
5. How will the proposed product be produced?
6. How much does the equipment needed in the business?

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III. Management Aspect
1. What type of business organization will be suitable to the firm?
2. Which would be preferable, leasing/renting facility or constructing a building?
3. What will be the organizational structure of the entity?
4. What will be the management policies of the business operation?
5. What are the key staff positions needed, qualification and duties of the employees?
6. How the proponents operate and manage the business?
IV. Financial Aspect
1. How will the proponents acquire their capital and how much it should be?
2. Who will be the sources of capital?
3. How much is the estimated amount of capital needed for the study?
V. Socio – economic Aspect
1. What are the benefits of the product to the customers?
2. What are the effects of the project to economy and society?
3. What will be the impact of the proposed business to the environment?
Significance of the Study
The study gives the consumer a product which is affordable but with the same
product quality with those sold at an expensive price.
This section will provide a brief description on the various significances of the study given.
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To the customers
The proponents believed that the customers will benefit because the study was made
for them and the proponents had priced the product at affordable price.
Proponents
The proposed project will help the proponents to know more in building a business.
To the future researchers
The result of the study will be beneficial to future researchers who may be interested
in exploring the present study.
Readers
The result of the proposed study will be an eye-opener to readers to start a good
business.
Students
The result of the proposed study will serve as reference for their studies.
Objectives of the Study
The main objective of the study is to determine the feasibility, profitability, and the
validity of the establishing the business of Penne Cake. Specifically it aims to;
1. To provide nutritious product for the consumers.
2. To produce product that could be profitable at a minimum cost.
3. To determine the market and degree of market acceptability of the product.

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4. To find the most efficient ways to produce the product.
5. Ascertain the financial requirement needed for its operation.
6. To identify the market needs for the proposed product.
7. To determine the most suitable management pattern for the proposed business.
8. To determine what will be the contribution of the business to the economy.
9. To establish business to the best suit location.
10. To determine the efficient process in the business.
11. To know the capital needed to rise to build the business.
12. To determine sources of capital.
13. To know the effects of proposed project to the society and economy.
Scope and limitations of the study
The proposed business will prioritized on producing and selling Penne Cake with
health benefits. In order to assess the consumer’s attitude towards the proposed product,
surveys, and a number of interviews will be given. The proposed business is not just for
children but also for everyone.
The selections of respondents are initially limited to town entrepreneurs specifically
selling in Palo-Alto, Calamba City. The type of business is partnership where the business
will engage in manufacturing and distributing the products.
Research Methodology
This feasibility study is conducted to recommend new approaches in a more realistic
manner. This type of study needs of thorough and careful selection of data for the
accomplishment of a proposed study.

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Research Design
The research method used by the proponents is the descriptive method. It provides a
clear understanding of what the business is its nature, characteristics, component aspects and
phenomena. It includes library research, survey, documentary and field research.
Research Locale
The research was conducted in Calamba City, the respondents were from the
students and other residents of the said location. The respondents self-administered these
questionnaires to achieve 100% retrieval rate. The results were tabulated to come up with the
necessary information needed in the study. Information on the population where the
samples were taken was City Hall of Calamba.
Population and Sampling Method
In line with the selection of the respondents for the study, the proponents selected a
total of 99 respondents to answer the questionnaire to get the needed information necessary
for the study. The selected 99 respondents were those who the proponents have found
willing and cooperative the completion of the said study.
Research Instrument
The survey technique was used in collecting primary data. The proponents
conducted personal and administered questionnaires to their proponents.

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Data Gathering Procedure
To gather information needed in this research study the researchers conducted
surveys, and they went to the Barangay Palo-Alto, Calamba City for the addition information
in line with this project.
Analytical tools
The researchers conducted a survey at Palo Alto, Calamba City using the slovin’s
formula illustrated below; the researchers got a sample size of 99 with an error of 10%. Since
no data about any stratification were given to the researchers, they have decided to use
purposive sampling in picking respondents area. The researchers have picked 99 in the
respondent’s area to fill up the questionnaire.
𝑁
𝑛=
1+𝑁𝑒 2
Validation of the Instruments
For the questionnaire and surveys to be valid the proponents was consulted in their
adviser and other feasibility study writers and defenders. They gave the proponents
additional information and technical knowledge.
Sampling Design
The researchers used proportionate sampling in distributing the questionnaires to the
respondents. The number of respondents was determined using the Slovin’s Formula.
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The proponents decided to use the Slovin’s formula to satisfy the need of the
proposed study. The sample size is computed as follows:
Slovin’s Formula:
𝑁
𝑛=
1+𝑁𝑒 2
Where:
n= total number of respondents
N= total population
e= margin of error (10%)
To compute for the sample size using the number of households in Barangay
Palo Alto Calamba, City at 90% accuracy:
𝑁
𝑛=
𝑁𝑒 2
16,130
n = ,
1+16,130(.10)2
n = 99 respondents
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Conceptual Framework
In order to better understand the various processes involved in producing banana
wine, the framework below is provided:
Figure 1. Conceptual Framework PROCESS

Steps:
For the Penne Spaghetti
1. Boil water with cooking oil and salt, let
it simmer and then put the penne. Let it
cook for 5 to 10minutes.
For the sauce

2. Put cooking oil, garlic and onion in the
pan.
3. Put a teaspoon of fish sauce. Let it
INPUT
simmer.
Raw materials
4. Pour the tomato sauce let it boil and
1. Penne(pasta) then put the spaghetti sauce. Then add
2. Tomato Sauce the all-purpose cream and grated
3. Spaghetti sauce cheese.
4. Cheese 5. Set the penne beneath the cake pan. Put
5. All-purpose Cream the sauce all over the top.
6. Eggs
For the Cake
7. Brown Sugar 6. Preheat the oven to 325 degrees.
8. Cake Flour 7. Grease the cake pan. Cream the butter
9. Cocoa Powder and sugar. Add the eggs, a vanilla and
10. Butter cake flour, cocoa and baking powder.
11. Baking powder and soda 8. Pour the batter into the pan. Bake the
cake for an hour and 15 minutes.
For the Penne Cake

9. Get the penne spaghetti, cake and
icing.
10. Put the cake above the penne spaghetti
and the icing gently and back in the
Freezer for 2 hours.
OUTPUT
PENNE CAKE
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Review of Related Literature
This review consists of books, articles, documents that focus on the same subject
matter or other concepts of the study.
The information gathered by the proponents focuses on some marketing strategies
and online business. Security measurement information in terms of payment and customer’s
privacy to be considered in developing an online system are also obtained.
Foreign Literature
Automation can affect all phase of inventory management, including counting and
monitoring of inventory items; recording and retrieval of item storage locations; recording
changes to inventory; anticipating inventory needs, including inventory handling
requirements. Effective Inventory analysis get data related to effective inventory analysis.
For many distributors, inventory is the largest and perhaps the most important asset.
Inventory ties up more money than buildings or equipment, and is often less “liquid”. It is
crucial, then, that distributors develop and use a comprehensive set of tools that allows close
monitoring of the performance of the inventory investments. Read more about simple
measurements that can help you maximize your investment in inventory
According to the study of Edwin Bello and his fellow researchers of Computerized
Monitoring and Inventory of Stock with Warning Level dated March 2005, many firms have
thousands of items of inventory which requires some form of control. The usage of
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calculations and record keeping chores would soon become overwhelming were it not for
the computer and its unique information storage and retrieval capabilities.
According to the proponents the study of Edwin Bello and his fellow researcher
have significance in the study specifically when it talks about the measurement of inventory.
It is really helpful to have a computerized system of measuring the inventory since it will
lessen the work of the proponents in the sense of doing paper works.
Local Literature
According to the study of Anna Marie Beltran Distort of Proposed Sales Monitoring
System issued 1995, the accelerated work structure of the company proper monitoring is
essential in order to keep track of the company’s sales activities. Her system aims to come up
with an efficient, and accurate mechanized system of preparing invoices that will keep tracks
of the daily transaction and generate reports. Important information will be provided by this
study in order to prove that the computerization of the company’s operation and achieve a
more reliable and efficient means of monitoring day to day activities. Her system focuses on
the analysis and design of the sales monitoring system which will monitor the stacks
inventory of the sales department.
According to the proponents the said study of Anna Marie Beltran Distort of
Proposed Sales Monitoring System issued 1995, have significance in the study specifically to
their monitoring system of sales. Just like any other business the proponents aims to have an
efficient and mechanized system of preparing their financial statements to clearly sees if the
said business generate an increase in net worth.

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Definition of Terms
The following definitions of terms were used in the study. Terms were defined
according to its use in the study and necessary information needed in the operation.
Penne. A type of pasta with cylinder-shaped pieces. Penne is the plural form of the Italian
penna, deriving from Latin penna, and is a cognate of the English word pen.
Plakous. By the Greeks, from the word for “flat.” These cakes were usually combinations
of nuts and honey.
Satura. Which was a flat heavy cake.
Buyers. Is who selects and buys stock to be consumed.
Consumer. One who uses patronizing a thing made by another.
Manufacturing. Is something made from raw materials by hand or by machinery.
Profitable. Is obtaining financial gain or other benefit.
Dessert. Is a confectionery course that concludes a main meal.
Partnership. Is an arrangement in which two or more individuals share the profits and
liabilities of a business venture.

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Chapter II
Marketing Aspects
In broad sense, marketing is the process of communication the value of a product or
service to customers, for the purpose of selling that product or service. Marketing is also
defined as the science of selecting target markets through market analysis and market
segmentation, as well as understanding consumer behavior and providing better customer
value. The researchers need to first determine the demand and supply of the product they
are going to offer to the buyers and the preferred taste and preferences of this buyers must
also considered.
Marketing has such a huge impact on the success of a business. It also includes
strategies in attracting the customer’s attention in order for them to buy a certain product.
The way of promoting the product will have big effect to it, and it must able to convince the
buyers on how healthy or unique the product is.
With the increase of fierce competition, marketing is an important tool to run every
business successfully. Marketing can effect on production, increase customer’s attention and
it’s very important for the growth of the proposed business. By means of marketing, it is
easy to generate income. Most importantly, it helps to promote the proposed business in
every aspect of development.
Furthermore, the market study should be given the first consideration. The question
of demand is the most basic issue. It requires that the partnership should be consumer-
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Oriented, has a coordinated marketing program and goal-oriented. That is why marketing is
an art of effort, imagination, research and persistence when you have a great product or
service to offer.
General Market Information
Figure 2.1: General Market Information
Market refers to the group of consumers or organizations interested in the product,
has the resources to purchase the product, and is permitted by law and other regulations to
acquire the product.
Market Description
The proposed business will be located in Hacienda Hills Palo-Alto, Calamba City
which has a huge proportion of people who shops and stroll. The proponents think that
there is no age limit since most of the people are fond of eating cake. Consequently, both
children and teenagers are the most likely to purchase the product. The proponents are
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expecting much of the children and teenagers to be regular customers of our proposed
business.
The proposed business possible competitors are bakeshops and Rodellas Yema
Cake. Competitors exist in every ways; there is always competition, no matter what the
business is. However, competition may also lead to wasted effort and to increased costs in
some circumstances.
Vicinity Map
Figure 2.2
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Marketing Strategies
Marketing strategy is a process that can allow an organization to concentrate its
limited resources on the greatest opportunities to increase sales and achieve a sustainable,
competitive advantage. Marketing strategy includes all basic and long-term activities in the
field of marketing that deal with the analysis of the strategic situation of a company and the
formulation, evaluation and selection of market-oriented strategies and therefore contribute
to the goals of the company and its marketing objectives.
Marketing strategies may differ depending on the unique situation of the individual
business or product. However, there are a number of ways to categorize some generic
strategies.
Advertisement and Promotion
Promotion is one of the key components of the marketing and deals with any one or
two-way communication that takes place with the consumer.
The main objective of advertising and promoting our product is to attract the
attention of customers and afterward convince them to purchase the product. It is a way of
communicating the benefits of our product to our target customer. Like other area of
business, advertising involves setting clear goals and objectives.
Since we are now living in this generation and people mostly rely on the internet, the
researchers will use the internet to advertise the product or other social networking site to
attract customers.
Pricing Strategy
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A money value of the product or service expressed in terms of peso or centavos
(Stanton and Farrell’s Fundamentals of Marketing, 1987). The pricing strategy to be used will
be market-oriented pricing is a setting a price based upon analysis and research compiled
from the target market. This means that researchers will set prices depending on the results
from the research.
A market-based pricing strategy is also known as a competition-based strategy. In
this pricing strategy, the researchers will evaluate the prices of similar products that are on
the market. It is important to only consider those products that are similar to the product
being offered. Depending on if the product has more or less features than the competition,
the company sets the price higher or lower than the competitor pricing.
Place and Distribution
Promotion Plan
With a distribution strategy performed, we must develop a promotion plan. The
promotion strategy in its most basic form is controlled contribution of communication
design to sell our product or service. In order to accomplish this, the promotion very market
tool utilized in the communication effort. This includes Advertising, Packaging, Public
relation, Personal Sales and Sales Promotion which help the proponents to produce the
product.
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Demand Situation
Demand implies the amount of a particular economic goods and services that a buy
or consumer will purchase at a given price. The study of demand of Penne Cake focused on
the different establishment and their population within the area of Canlubang, Calamba City.
In order to determine the demand, the researchers conducted surveys, interviews and several
observations in the said area.
Table 2.1: Projected Population in Barangay Palo Alto Calamba, City
Year Population
2013 11,609
2014 11,955
2015 15,208
2016 15,662
2017 16,130
Table 2.2
Age No. of Respondents Percentage

15-19 19 19.20%
20-24 38 38.38%
25-29 11 11.11%
30-34 11 11.11%
35-39 7 7.07%
40-44 7 7.07%
45-49 6 6.06%
TOTAL 99 100%
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Table 2.3
Gender No. Of Respondents Percentage

Male 41 41.41%
Female 58 58.59%
TOTAL 99 100%
Question No. 1 Do you eat pasta?
Response No. of Respondents Percentage
Yes 97 97.98%
No 2 2.02%
TOTAL 99 100%
Table 2.4
Question No.2 Do you eat cake?

Yes 97 97.98%
No 2 2.02%
TOTAL 99 100%
Table 2.5
Question No. 3 Would you be interested if penne pasta and cake are combined?

Yes 93 93.94%
No 6 6.06%
TOTAL 99 100%
Table 2.6
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Question No. 4 What flavor would you prefer?

Chocolate 67 69.08%
Vanilla 26 26.80%
Others 4 4.12%
TOTAL 97 100%
Table 2.7
Question No. 5 What price would you prefer to buy penne cake?
TOTAL
Table 2.8
Question No. 6 If the company offer cake with penne at ₱ each, are you willing to buy?

Yes
No
TOTAL
Table 2.9
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Question No. 7 If yes, how frequent and many piece of cake with penne will you buy?

Daily 25 26.60%
Weekly 31 32.98%
Monthly 38 40.42%
TOTAL 94 100%
Table 2.10
Question No. 8 What characteristics would make you patronize the penne cake?

Taste 12 12.90%
Uniqueness 13 13.98%
Quality 2 2.15%
Price 3 3.23%
All 63 67.74%
TOTAL 93 100%
Table 2.11
Question No. 9 Would you avail made to order Penne Cake?

Yes 91 91.92%
No 8 8.08%
TOTAL 99 100%
Table 2.12
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Question No. 10 What desserts/pasalubong do you prefer to buy?

Penne Cake 80 80.81%
Yema Cake 19 19.19%
TOTAL 99 100%
Table 2.13
Demand Analysis
Projected Demand per

Year Projected Demand per box
person
2018 888,995 222,249
2019 915,665 228,916
2020 943,135 235,783
2021 971,429 242,856
2022 1,000,572 250,142
Table 2.14 shows the projected demand of penne cake for the next five years. The
proponents used 3% increase annually based on the projected population provided by
Philippine Statistical Authority.
Note: The projected demand per person is simply computed by dividing the projected demand per box by the
number of persons capable of eating a box of penne cake which is 4. (1 box of penne cake=4 person).
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Supply Analysis
Supply represents the various quantities of goods and services that sellers are willing
to sell at a given price, time, and place. Along with it is the demand which is one of the key
factors or determinants of the price. It is the quantity or volume the producers are willing to
sell at a certain price or amount. Supply of producers depends on the scope of population
and demand of every business. It is the willingness and ability of potential sellers to offer
various specific amounts for goods and services for sale of each of variety at alternative
prices during a particular period of time.
The supply of the product should sustain the needs of the customers depending on
its quantity. As the following supply analysis shows, there is an insufficient supply of the
products and supplying the unsatisfied demand for the products is one of the objectives of
Penne Cake.
Factors Affecting Supply
A. Price of the product
The price of the products affects the quantity supplied because it is directly related to
the supply. If the price of the proposed product is higher, the demand would be lower
causing the supply to increase. Normally customers could not be lessened and since the
supply is continuous, the supply would then be higher.
B. Profitability of alternative product

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The profitability affects the supply of the product. The proponents anticipated that
the product would be dependent on the survey conducted. The profitability of the business
provides greater supply of the product.
C. Price and availability of inputs
The cost of the raw materials, labor, and overhead would affect the supply of the
product because the higher the cost of the inputs, the lower the units of the outputs
produced. Another issue in relation to the inputs is the availability of the raw materials to be
used in the production process. If the supply of the raw materials is continuous there would
no delay in the production, thus supply would tend to increase.
…..table of computation of supply…..
Table again…
Demand and supply analysis
The demand and supply analysis includes the comparison between the demand and
supply trend and determination of the unsatisfied demand. Demand is the quality of goods
or services that the people are willing or able to buy. Determining the target market will
identify demand for the proposed project. Studying and analyzing the demand and supply is
a prime factor that should be considered in putting up a business. This is because if the data
would present an unsatisfied demand that would be a basis that the product has a chance to
enter the market. In this particular study, the proponents have desired to see how much
percentage is taken from unsatisfied demand.
………….table of summary and projected demand….

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Unsatisfied demand
Unsatisfied demand is the proof that demands exceeds supply. An unsatisfied
demand denotes that there is a chance for the business to enter into the market.
Formula: Projected demand -Projected supply= Unsatisfied demand
….table of unsatisfied demand….
Target Market Share
A target market is a group of customers towards which a business has decided to aim
its marketing efforts and ultimately its merchandise. A well-defined target market is the first
element to a marketing strategy.
In establishing a business or company, management should guarantee the firm’s
effectiveness and efficiency against its competitors in the same field or sector. Market share
will indicate the portion of sales of the products or services operated by the company within
the vicinity of the target market.
Market share
It is expressed as a company’s sales revenue (from the market) divided by the total
sales revenue available in that market. It can also be express as a company’s unit sales
volume (in a market) divided by the total volume of units sold in that market. It is generally
necessary to commission market research (generally desk/ secondary, although sometimes
primary research) to estimate the total market size and a company’s markets share.
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Formula:
𝑴𝒂𝒓𝒌𝒆𝒕 𝒔𝒉𝒂𝒓𝒆 = 𝑷𝒓𝒐𝒅𝒖𝒄𝒕𝒊𝒐𝒏 𝑪𝒂𝒑𝒂𝒄𝒊𝒕𝒚/𝑷𝒓𝒐𝒋𝒆𝒄𝒕𝒆𝒅 𝑫𝒆𝒎𝒂𝒏𝒅 ∗ 𝟏𝟎𝟎%

The attainable capacity and projected demand will increase at 3% annually.
Attainable Projected Demand

Year Market Share
Capacity per person
2018 28896 222,249 13.0016%
2019 29762.88 228,916 13.0017%
2020 30655.7664 235,783 13.0059%
2021 31575.4394 242,856 13.0017%
2022 32522.7026 250,142 13.0017%
Computation of Penne Cake Produced Annually
…….Table( nasa excel)
Selling Capacity
Selling Capacity is the percentage of the amount of the product that indicates the
ability of the company to produce and manufacture. The company’s selling capacity is (ilang
pennecake perday, per week, per month, and per year.
Industry Analysis
Penne
Cake
… box per year

… Box per day
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… box per … box per week

month
Competitive position
To determine the competitiveness of the business, it is important to make sure that
the product and services are competitive enough in terms of cost and quality. An analysis of
strength, weakness, opportunities and threats that are expected in the operation should be
analyzed.
Strength
 Uniqueness of the product
 Maintains a high quality of food and services
 Higher responsiveness to customer demands
 Selling products directly to the customers
 Low cost of rental for business
Weaknesses
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 Our product is perishable item hence need to be sold as soon as possible to
gain maximum benefit. The customers will also prefer fresh products.
 Having limited space to expand the shop if the need arise
 Lack of experience: Our shop is a start-up and the odds laced against it.
 It is new in the market.
Opportunities
 Expansion of the product line in the future.
 Loyal customers
 Growing market: Baking industry is growing at a fast speed and demand for
quality items is never ending.
 Potential to become a premier sweets provider in town
Threats
 Competitor opening shop nearby
 Competitors have launched a new advertising campaign
 Price wars
 Experience of competitors in the market and best advertisement strategies.
 Economic Downturn.
Marketing Demand
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The demand of the product will also configure into the pricing of the product even
with a market-based pricing strategy. With a higher demand, the company can offer the
product at a higher price. When the demand falls, incentives and other discounts can be
offered to keep customer interest. This is common with releases of sought-after products,
particularly in the electronics industry. The price is high in the beginning and people are
lined up for it, proving the company can charge higher prices as the customers care more
about the prestige of owning the item than the attached price. As it becomes more common,
people are willing to pay less for the same product.
A. Product
The first of the Four Ps of marketing is product. A product can be either a
tangible good or an intangible service that fulfills a need or want of consumers.
Whether you sell custom pallets and wood products or provide luxury
accommodations, it’s imperative that you have a clear grasp of exactly what your
product is and what makes it unique before you can successfully market it.
B. Price
Once a concrete understanding of the product offering is established we can
start making some pricing decisions. Price determinations will impact profit margins,
supply, demand and marketing strategy. Similar (in concept) products and brands
may need to be positioned differently based on varying price points, while price
elasticity considerations may influence our next two Ps.
C. Promotion
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We’ve got a product and a price now it’s time to promote it. Promotion
looks at the many ways marketing agencies disseminate relevant product information
to consumers and differentiate a particular product or service. Promotion includes
elements like: advertising, public relations, social media marketing, email marketing,
search engine marketing, video marketing and more. Each touch point must be
supported by a well-positioned brand to truly maximize return on investment.
ITEMS QUANTITY COST PER UNIT TOTAL COST
Tarpaulin 5 400 2000
Flyers 200 5 1000
D. Place
Often you will hear marketers saying that marketing is about putting the right
product, at the right price, at the right place, at the right time. It’s critical then, to
evaluate what the ideal locations are to convert potential clients into actual clients.
Today, even in situations where the actual transaction doesn’t happen on the web,
the initial place potential clients are engaged and converted is online.
Promotion and Advertisement
This means how the product/business will be promoted to the customer. The
proposed products include the distribution of promotional materials such as leaflets and
posters free taste promos. The business will be using banners and tarpaulins in strategic
areas.
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Chapter III
Technical Aspects
This study discusses about the processes of production and activities of the
company. It includes the machinery and equipment used in production and other aspects
such as bringing the raw materials into a finished product ready for trade. Plant layout, size
and production schedule are all presented for the purpose of identifying the business
operation. Also, product specifications, the product processes using flowchart, the list of
machinery, tools, and equipment are enumerated with their corresponding costs, the raw
materials and fund sources also cited.
The technical aspect is the discussion of the basic operation flow of the process. It is
one of the essentials of this study because these factors respond to the technicalities and
basic structure of the proposed study. This includes the list of equipment, materials and
structure plan. Business plans, utilities, facilities, layouts design and location are also included
in this chapter. It also provides a comprehensive approach in detailing the efficiency and
productivity of the operations that the proposed project plans will carry out. This aspect also
presents the technical requirements in the implementation of the proposed project.
Product Description
It is a structured format of presenting information about a projected product. It is
usually created by the project manager and approved by the project board, including its
benefits, form, presentation, price and purpose that help to sell products.
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Physical Property of the Product
The physical property of the product refers to the internal features of the
product itself, the way it was prepared and cooked if needed and presentation of the
other content of the product. The packaging, its safety and sanitation procedures that
maybe observe of the consumers.
Chemical Property of the Product
The chemical property of the product refers to the internal package or the chemical
composition of the product that basically represents the nutrients the product can offer to
the consumers. Other products present the chemical information through the nutrition facts
indicated at the back of the packaging.
Product Process
Production is a process of combining various materials inputs and in material inputs
such as plans and no-how in order to make something for consumption, the output. It is the
act of creating output, a good service which has value and contributes to the utility to the
individuals.
The production process is an essential feature of technical aspects of any feasibility
study. Through this process, raw materials are systematically converted in to finished
product with the use of machineries, equipment, supplies and other tools. In addition, the
direct labour requirements are established as well as schedule of the operations to prevent
delays and inefficiencies in said production.

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Procedures:
For the Penne Spaghetti
1. Boil water with cooking oil and salt, let it simmer and then put the penne. Let it cook for 5
to 10minutes.
For the sauce
2. Put cooking oil, garlic and onion in the pan.
3. Put a teaspoon of fish sauce. Let it simmer.
4. Pour the tomato sauce let it boil and then put the spaghetti sauce. Then add the all-
purpose cream and grated cheese.
5. Set the penne beneath the cake pan. Put the sauce all over the top.
For the Cake
6. Preheat the oven to 325 degrees.
7. Grease the cake pan. Cream the butter and sugar. Add the eggs, a vanilla and cocoa
powder.
8. Pour the batter into the pan. Bake the cake for an hour and 15 minutes.
For the Penne Cake
9. Get the penne spaghetti, cake and icing.
10. Put the cake above the penne spaghetti and the icing gently and back in the Freezer for 2
hours.
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Figure 3.1 Process Flow in the Production of Penne Cake
Raw Materials
Preparing Packaging
Baking
Packaging, Labeling and Logo
The proponents created a simple yet attractive packaging design to catch more
attention of the consumers. Mostly, the packaging uses a paper bag and box for the
product.
The label of the proposed product will be placed outside the packaging of Penne
Cake.
………….PACKAGING
LABELING
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Figure 3.2 Product Logo
The logo is the design used by the partnership on its letterhead, advertising material,
signs as a symbol by which can easily recognized. The proponents simply put their business
name on the logo.
Figure 3.3 Company Logo

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Tools and Equipment
A kitchen utensil is a small hand held tool used for food preparation. Common
kitchen tasks include cutting food items to size, heating food on an open fire or on a stove,
baking, grinding, mixing, blending, and measuring; different utensils are made for each task.
A general purpose utensil such as a chef's knife may be used for a variety of foods; other
kitchen utensils are highly specialized and may be used only in connection with preparation
of a particular type of food, such as an egg separator or an apple corer. Some specialized
utensils are used when an operation is to be repeated many times, or when the cook has
limited dexterity or mobility. The number of utensils in a household kitchen varies with time
and the style of cooking.
A cooking utensil is a utensil for cooking. Utensils may be categorized by use with
terms derived from the word "ware": kitchenware, wares for the kitchen; ovenware and bake
ware, kitchen utensils that are for use inside ovens and for baking; cookware, merchandise
used for cooking; and so forth.
Hand-held mixer is used for stirring, whisking
or beating.
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Pot is used for storage or cooking.
Baking pan is used for baking cakes in an oven.
Oven is used for heating, baking or drying of a
substance.
Mixing bowl is for mixing ingredients together in.

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Chopping Board is a kitchen tool used as a surface f
or food being cut by knives.
Kitchen knife used to slice and cut ingredients.
Refrigerator is an appliance that is artificially kept
cool and used to store food and drink.
Pastry Refrigerator
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Cooking Spoon is used for serving sauce.
Strainer is a kitchen device that is most used to
strain liquids away from larger ingredients.
Measuring Tools used primarily to measure
the volume of liquid or bulk
solid cooking ingredients such as flour and sugar,
especially for volumes.
Cheese grater is used for grating food products.

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Kitchen Stove is a kitchen appliance designed for
the purpose of cooking food. Kitchen stoves rely on
the application of direct heat for the cooking process
and may also contain an oven, used for baking.
Range hood-It removes airborne grease,
combustion products, fumes, smoke, odors, heat,
and steam from the air by evacuation of the air and
filtration.
Icing Bag used for semi-solid foods by pressing
them through a narrow opening at one end for
many purposes including cake decoration.
LPG Tank used to cook the food.

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Cake server is used to place pieces of cut cake and
pie on plates to be served.
Raw Materials
Raw materials are materials or substances used in the primary production or
manufacturing of goods. Raw materials are often referred to as commodities, which are
bought and sold on commodities exchanges around the world. Raw materials are sold in
what is called the factor market, because raw materials are factors of production along with
labor and capital.
Penne is a type of pasta with cylinder-shaped
pieces.
Spaghetti sauce is usually to serve as part of a dish
and perhaps best known as sauces for pasta dishes.

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Tomato paste is a thick paste to reduce the base to
a thick, rich concentrate.
Quickmelt Cheese
Cheddar Cheese
Smoothtextured cheese, made usually from the whol
e milk ofcows and varying in color from white to
deep yellow.
All-purpose cream can be whipped to create swirls,
dollops, and soft peaks to add excitement to your
creamy delicious creations.

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Condensed Milk - is cow's milk from
which water has been removed. It is most often
found in the form of sweetened condensed milk,
with sugar added.
Ketchup is a thick, cold sauce, usually made
from tomatoes, that is sold in bottles.
Unsalted butter is a product used for controlling
the amount of salt you add to your cakes, cookies
and Fig and Almond Breakfast Cake
Brown Sugar used very similarly to granulated
white sugar but it provides a touch of extra flavor.

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Cocoa Powder used to give a chocolate flavor to
cake.
Baking Soda kind of salt that is used to make
cake light and fluffy.
Baking Powder white powder that is used to
make cake light and fluffy.
Cake Flour gives a very fine texture and a very
light color of cake.

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Vanilla is a solution containing the flavor
compound vanillin as the primary ingredient.
Dark Chocolate includes vanilla and an
emulsifier, to keep the chocolate as smooth as
possible.
Eggs have significant amounts of protein and
choline are widely used in cooking due to their
protein content.
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Raw Materials Used in the Production
Table 3.1 shows the total raw materials for the use of producing Penne Cake
Mercado
SM
Description Quantity Unit de Choice Amount
Calamba
Calamba
Mercado de
Penne 500 grams ₱ 56.50 ₱ 49.00 ₱ 49.00
Calamba
Spaghetti
500 grams 40.00 52.50 Sm Calamba 40.00
sauce
Tomato
150 grams 24.00 24.50 Sm Calamba 24.00
paste
UFC
320 grams 18.00 20.00 Sm Calamba 18.00
ketchup
Nestle All
Purpose 250 Ml 41.00 46.00 Sm Calamba 41.00
Cream
Condensed Mercado de
218 grams 37.50 28.50 28.50
Milk Calamba
Cheddar Mercado de
180 grams 47.00 42.75 42.75
Cheese Calamba
Quickmelt
185 grams 66.00 69.75 Sm Calamba 66.00
Cheese
Brown Mercado de
500 grams 60.50 55.00 55.00
Sugar Calamba
Baking
250 grams 21.50 22 Sm Calamba 21.50
soda
Baking Mercado de
50 grams 12.00 10.00 10.00
powder Calamba
Mercado de
Cake flour 400 grams 56.50 52.75 52.75
Calamba
Mercado de
Vanilla 20 Ml 24.00 20.00 20.00
Calamba
Cocoa Mercado de
70 Grams 34.95 30.00 30.00
powder Calamba
Mercado de
Eggs 1 Dozen 76.00 72.00 72.00
Calamba
Unsalted Mercado de
225 Grams 45.00 43.00 43.00
Butter Calamba
TOTAL ₱ 660.45 ₱ 637.75 ₱ 613.50
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Kitchen Supplies and Equipment
Table 3.2 illustrates the cost of kitchen supplies, materials and equipment that
will be used in the production.
Checkpoint
Description SM Calamba Choice Amount
Mall
849.75 855.00 SM 849.75
Electric mixer
Calamba
775.00 575.00 Trade center 368.00
Pot
690.00 489.75 Trade center 150.00
Baking pan
2999.75 2395.00 Check point 2395.00
Oven
mall
100.00 98.79 Trade center 90.00
Mixing bowl
59.75 69.59 SM 59.75
Chopping board
Calamba
79.75 75.59 Trade center 35.00
Knife
4999.75 16990.00 SM 4999.75
Refrigerator
Calamba
258.75 150.25 Trade center 106.00
Spoon
149.75 150.75 SM 149.75
Strainer
Calamba
69.75 45.75 Check point 45.75
Measuring cups
mall
2599.75 1690.00 Trade center 1150.00
Stove
Measuring 45.75 39.75 Trade center 35.00
spoon
100.00 75.00 Trade center 50.00
Pot holder
150.75 120.00 Trade center 85.00
Apron
Kitchen/dish 60.00 50.75 Trade center 35.00
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towel
200.00 155.00 Trade center 150.00
Tray
269.75 195.85 Trade center 168.75
Extension cord
1550.00 1150.00 Check point 1150.00
LPG tank
mall
1500.00 965.00 Trade center 550.00
Cake server
14999.00 13995.00 Trade center 10599.75
Air conditioner
350.75 280.00 Trade center 135.00
Wall clock
Rice cooker 2899.75 2580.00 Trade center 625.00
with steamer
259.75 195.75 Trade center 100.00
Icing bag
TOTAL 36065.25
Office Equipment
Table 3.3 shows the office equipment and its cost that will be used in
communicating customers.
SM Check point Trade

Description Choice Amount
Calamba mall center
31950.00 2550.99 1890.00 Trade 1890.00
Computer
center
9975.00 5859.75 6890.00 Check 5859.75
Printer
point mall
Cellular 10990.00 5250.99 1350.00 Trade 1350.00
phone center
Wi-Fi 3575.00 2850.00 2590.75 Trade 2590.75
modem center
TOTAL
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Cleaning/Safety Supplies
Table 3.4 illustrates the manufacturing/ cleaning supplies and its cost for one
year.
Description SM Calamba Mercado de Choice Amount

Calamba
Trash bin 120 65 Mercado de
Calamba
Gloves 59.75 35 Mercado de
Calamba
Broom 215 150 Mercado de
Calamba
Trash bag 250.00 180.00 Mercado de
Calamba
Dust pan 150.75 65.00 Mercado de
Calamba
Rags 260.00 150.00 Mercado de
Calamba
Wiping cloth 100.00 50.00 Mercado
Calamba
Pail 175.00 65.00 Mercado de
Calamba
Dishwashing 65.00 35.50 Mercado de
Calamba
Detergent 123.75 120.00 Mercado de
powder Calamba
Fire 5200.00 2300.00 Mercado de
extinguisher Calamba
First aid kit 2575.00 580.00 Mercado de
Calamba
TOTAL
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Office Supplies
Table 3.5 demonstrates the office supplies and its cost for one year.
Sm
Description Quantity Unit
Maya Calamba-
Choice
Amount
Bookstore National
Bookstore
Pilot Sign
61.75
pen
Pencil boxes 68.00 84.75
Short bond
reams 179.00
paper
Short folder Pc 4
Long folder Pc 5
Long bond
reams 212.00
paper
Short
Pcs 6.00 5.50
Envelope
Long
pcs 7.00
Envelope
Fastener boxes 5.00
Ruler pcs 5.00
Scotch tape pcs 40.00 26.00
Scotch tape
Pcs 25.00 235.00
dispenser
Carbon
Reams 112.00
paper
Stapler Pieces 53.00
Staple wire Boxes 25.00 45.00

Puncher Pcs 50.00
Journal
Pcs 30.00 33.50
record
Desktop
Pcs 350.00
Calculator
Scissors Pcs 21.00
Ink pcs 769.00
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cartridges
Marker 61.00
Cash
34.00
Voucher
Petty Cash
57.75
Voucher
Cash
49.75
Carbonless
Time Card 100 Pcs 89.75
TOTAL
Furniture and Fixtures
Table 3.6 illustrates the furniture and fixtures and its cost.
Description
Sm Mercado de
Choice
Amount
Calamba Calamba
Office table 1300.00
Office chair 3000.00 3310.00
Monoblock
250.00
chair
Ceiling fan 750.00
Electric fan
File cabinet 1350.00
Exhaust fan 765.00
Storage
2200.00
cabinet
Wall clock 150.00
Water
2400.00
dispenser
CCTV
1800.00
camera
TOTAL
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Total Costs of Kitchen Supplies and Equipment, Office Equipment,
Cleaning/ Safety Supplies, Office Supplies and Furniture and Fixture
Table 3.7 shows the total cost of kitchen supplies and equipment
DESCRIPTION AMOUNT
Kitchen Supplies and Equipment
Office Equipment
Cleaning/ Safety Supplies
Office Supplies
Furniture and Fixtures
TOTAL
Table 3.8
Year Monthly Annually

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Pre-Operating Expenses
…………..
Electrical Materials
Table 3.9 illustrates the total cost of electrical materials.
Description Quantity Unit Unit Cost Amount
Light Bulb pieces
Switch pieces
Electrical
pieces
Wire
Fluorescent
pieces
light
TOTAL
Renovation Materials
Table 3.10 shows the renovation materials total cost.
Description Quantity Unit Unit cost Amount
Nails
Paint Gallons 380.00
Tiles
Faucet Pcs 80.00

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Screw
Finishing
Bags 200.00
cement
Door knob Pcs 100.00
Finished
Pcs 1300.00
door
Glass window Pcs 2000.00
Toilet bowl Pcs 2600.00
Hammer
Wire
TOTAL
Renovation Labor
Table 3.11 shows the renovation labor cost
Position Quantity Duration Rate per day Amount
Labor 1 3 250.00 750.00
Painter 1 2 300.00 600.00
Electrician 1 1 350.00 350.00
Carpenter 1 3 350.00 1050.00
Plumber 1 1 300.00 300.00
TOTAL 5 10 1550.00 3050.00

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Utilities
Cost of Electricity Consumption
The electricity will be provided by Meralco. The computation of the Kilowatts
used every day and in a year is as follows:
Annual Electricity Consumption
Table 3.12 illustrates the total daily electricity consumption.
Description Quantity Watt KW Usage TOTAL
Stove
Oven
Mixer
Refrigerator 1
Computer
Printer
Cellular
phone
Air
conditioner
Exhaust fan
Water
dispenser
CCTV
Camera
Fluorescent
light
Light Bulb
TOTAL
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……….(COMPUTE THE TOTAL KW)
Cost of Water Consumption
………….table
Weekly Rest Days Schedule
EMPLOYEE MON. TUE. WED. THURS. FRI. SAT. SUN.

Accountant
General
Manager
Service
Crew
Production
worker 1
Production
Worker 2
Legend: …. Duty …. Rest Day
Schedule of the Working Hours
DESCRIPTION DAYS OF THE WEEK TIME
General Manager
Service Crew
Production worker 1
Production Worker 2
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Chapter IV
MANAGEMENT ASPECT
Management is a distinct process of planning, organizing, staffing, directing, and
controlling performance to determine and accomplish stated objectives by the use of human
being and other business resources (Management for Filipinos – Principles and Application
by Conrado E. Iñigo Jr., Ph.D.).
The management aspect discusses the appropriate form of business ownership,
management during pre-operation, specific job description, qualification of the employees,
policies, employee’s benefits, salaries and wages, it show the organizational structure and
function of each member of the proposed business. It also involves application of legal
requirements, corporate goals and management policies that will secure the external and
internal control of the proposed business.
Basic Consideration
For the business to be efficient and effective, the management must have precise and
clear identification and duties and responsibilities, as well as the flow of authority to the
employees and management are necessary to achieve productive and competitive operation.
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Choice of Location
The main factor considered in planning and selecting the site for the establishment
of Penne Cake is the cost of constructing the establishment. Instead of looking for a vacant
lot to put up a new building, the proponents decided to rent a free space that can be
renovated according to the layout design. In this way, the capital outlay of putting up the
business would be lesser.
Proximity to the downtown area was also put into consideration in choosing the site.
The location is near to the schools and there is so many subdivisions there. The site is very
accessible since there are several jeepney routes passing by Hacienda Hills Subdivision. To
reach the site, students and young professionals can take a short ride and also can take a walk
from their respective schools and offices.
Form of Business Organization
Proponents decided to operate under the law of partnership. By the contract of
partnerships, two or more persons bind themselves to contribute money, property or
industry to a common fund with the intention of dividing profits among themselves.
Advantages of Partnership
 Partnerships are relatively easy to form. However, considerable thought
should be put into developing a partnership agreement at the point of
formation.
 Partnership may be subject to fewer regulations than cooperation.

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 There is a stronger potential of access to greater amounts of capital compared
to a sole proprietorship.
 Synergy. There is a clear potential for the enhancement of value resulting
from or more individuals combining strengths.
Disadvantages of Partnership
 Unlimited Liability. General partners are individually responsible for the
obligations of the business, creating personal risk.
 Limited Life. A partnership may end upon the withdrawal or death of a
partner.
 There is a real possibility of disputes or conflicts between partners which
could lead to dissolving the partnership. This scenario enforces the need of
partnership agreement.
 Double taxation.
Management during Pre-Operating Period
Before the normal operation takes place, the proposed business must secure the
following requirements:
A. Research and Planning
The firm must identify first the objectives of the business; determine the product to
be distributed and the target market place where the business will be put up.
B. Function of the business
The firm must the business through establishing the business goals and objectives.
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C. Capital build-up
The manager and accountant must know the total projected cost needed in the
operation.
D. Business site and improvement and lay out
After the business location is identified, its improvement and lay out follows for the
good ambiance to customers.
E. Securing Government
The manufacturing company must be registered with the city government where it
was established, with the Security and Exchange Commission (SEC) and with the
Department of Trade and Industry.
Management Plan
A. Business Name
In view of the fact that the proponents are considered as production business, their trade
name was PHACK LTD. Partnership’s name came from the names of the proponents: “P”
from Phoebe, “H” from Hannah, “A” from Analiza, “C” from Christmae and “K” from
Kathlyn.
Capitalization
Capital is one of the factors that must be considered in starting up a business. The
proponents decided to contribute equal amount of money for the four capitalist industrial
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partners that will contribute their service for the proposed business. Likewise, profits and
losses are also equally shared.
The Procedures of Organizing Partnership
 Register the business with the Department of Trade and Industry (DTI).
 Have the partnership agreement about the articles of Partnership to be
notarized and register with the SEC.
 Obtain a Tax Identification Number (TIN) for the partnership from the
Bureau of Internal Revenue (BIR).
 Obtain the municipal Licenses from the local government and pay taxes and
fees.
 Register the book of accounts (Journals and General Ledger) and business
 Forms to be used (Official Receipts).
Government Requirements
A. Municipal Requirements
 Application of Registration
 Barangay Business Clearances
 Articles of Partnership
 Certificate of Registration with Securities and Exchange Commission.
 Community Tax Certificate
 Proof of Ownership
a. Lease of Contract
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b. Affidavit or Authorization from the real owner of the building/space
occupancy.
 Picture of business establishment
 Fire Department Permit
 Bureau of Food and Drugs
 Sanitary Permit
B. Bureau of Internal Revenue
 Registration of Business Name
a. Tax Identification Number
b. Community Tax Certificate
 Security Tax Account Number of Business Permit
 Mayor’s Permit or Application for Mayor’s Permit
C. Security and Exchange Commission (SEC) Requirements
 Name of Verification
 Articles of Partnership
 SEC Registration Certificate
Benefits of Employees
Thirteenth month pay
All employees are entitled to a thirteenth month pay which will be given
every first week of December.

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Management Policies
Time Keeping
Service Crew and Baker should arrive early before the opening and required to time
in on the DTR provided and time out after working hours.
Break Period
The Service Crew and Baker will have short break period.
Absences
An employee who plans to be absent from work must present a written application
for absences.
Emergency Condition
In case of fortuitous event like weather disturbance (typhoon, flood, and other bad
weather condition) management will issue a memorandum to this effect.
Suspension and Termination
Violation of any rules and regulation or abuse of authority will be liable for proper
disciplinary actions such as termination, suspension, and others.
Composition of Organizational Structure
Organizational structure embodies relationship within an organizational of how the
proposed business is managed. It is formed to ensure effective and efficient communication
and to accomplish a specific goal.

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The following are the composition of the organizational structure of the proposed
business:
 Industrial Capitalist Partner I (General Manager)
 Industrial Capitalist Partner II (Accountant)
 Industrial Capitalist Partner III & IV (Service Crew) (2)
 Baker (2)
Job Description and Specification
A. Selling and Administrative Position
Job Title: General Manager
Accountability: Report to the Partners Committee
Job Description:
 Supervise and direct the operations and activities of the firm and perform the top
management function.
 Approve the hiring and termination of personnel(s) and employee(s) in accordance
with the policies of the company.
 Delegate to subordinates the responsibilities and authority to perform.
 Can impose disciplinary actions or recognition to those under his/her authority.
 Disclose accurate information about overall operation and status of the business to
the partners committee and cooperate with by giving suggestions that may contribute
to the overall improvement and goal attainment of the firm.
 Insure the proper utilization of the capital invested by the partners

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 Analyze the financial reports to determine firms’ condition and performance and
check if it is in accordance with company’s goals and plans.
 Insures the quality of the finished products as well as the quality of the raw materials
used.
Qualifications:
 Must be one of the partners
Job Title: Accountant
Accountability: In charge of bookkeeping and financial statements
Job Description:
 Prepares financial aspects and analyzing account information
 Documents financial transactions by entering account information
 Recommends financial actions by analyzing accounting options
 Substantiates financial transactions by auditing documents
 Maintain accounting controls by preparing and recommending policies and
procedures
 Reconcile financial discrepancies by collecting and analyzing account information
 Prepares by verifying documentation, and requesting disbursement
 Prepares financial reports by collecting, analyzing, and summarizing account
information and trends
Qualifications:
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 Must be one of the partners
B. Production Workers Position
Job Title: Service Crew (2)
Accountability: In charge of selling/ order taking (in the first two years of
operations, the service crew will be the partners).
Job Description:
 In the third year, the company will hired two new service crew
 Female
 In charge of the store area of the business
 In charge of selling and taking orders from customers
 Responsible in maintaining products and products display
Job Title: Baker (2)
Qualifications:
 Male or female
 Physically fit
 With baking skills
 Can work efficiently and effectively
 Flexible and willing to work on a full time basis
Organizational Procedures and Policies
Internal Control Management

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The management will have an internal in order to:
 Assure to achieve the objectives of the proposed business for operational
effectiveness and efficiency of all the workers.
 Makes service crew accommodate and serve the customers quickly acting
simultaneously cashier.
 Make an accountant responsible in making financial statements
 Direct the General Manager to administrate the day to day operation of the
business.
Quality Control
 Baker must assure the cleanliness of the product during its preparations process
 To avoid contamination, all equipment as well as utensils must be well-sanitized and
cleansed from the bacteria and dirt
 Service crew secure the sanitation within the food cart and free from insects
 Bakers and service crew must maintain proper hygiene
 Service crew must applied the FIFO method
Total number of days

in a year
Holiday
New year’s holiday
Araw ng kagitingan
Maundy Thursday
Good Friday
Labor day
Independence day
National heroes day
Ninoy Aquino day
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All saints day

Bonifacio day
Christmas day
Rizal day
Sundays
Total working day
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Organizational Chart
Partners
Committee (2)
General Accountant (1)

Manager (1)
Service Service
Crew Crew
Person A Person B
Penne Cake
Baker (2)
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Gantt chart
Jan Feb Mar Apr May
Conduct Business
Research
Partnership Formation
Capital Procurement
Business Site
Improvement & Layout
Acquisition of Facilities
and Equipment
Securing Government
Requirements
Hiring Employees
Buying of Raw Materials
Normal Production &

Promotion
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Chapter V
Financial Aspects
This chapter will show the capitalization required to finance the project and the
sources of investment. This involves the projection of revenues, costs, and expenses for five
periods through the projected financial statements that is based on realistic financial
assumptions. The word financial is the life-blood of the business. This is the most important
things to be considered by the company. The proponents must have the sufficient
knowledge regarding financial management to protect its sources.
Sources of investment
The proposed business will need to start-up-cost Php .......... (AMOUNT) for the sources of
the investment of the project cost will be equally divided among the partners.
Table 5.0 Sources of Investment
PARTNERS INVESTMENT INVESTMENT

Partners:
Atienza, Phoebe Kate T.
Cantalejo, Christmae Jussel M.
Feliciano, Hannah P.
Manaig, Analiza A.
Padilla, Kathlyn S.
TOTAL
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……(FINANCIAL STATEMENT)
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Chapter VI
Socio-Economic Aspect
The goal of every business is to earn or gain profit. A good business organization
focuses not only on its benefits but also its external environment specifically the society and
the economy. This aspect discusses how the project will give little help to the society,
especially to the barangay.
The proposed business will be a great assistance socially and economically in terms
of the following entity:
Customers
The proposed business will keep the customer satisfied with the product that is being
offered. It will also provide the convenience and efficiency to the prospective buyers.
Employment Opportunities
Penne Cake would provide jobs to some individuals and help them to earn money
for their living. At the same time the proposed business would lessen the unemployment rate
in the country.
In putting up the business, there would be five (5) employees to be employed – one
(1) store manager, two (2) kitchen crews/bakers, one (1) front crew/cashier, and one (1)
shop cleaner. An outsourced accountant will be employed for the business’ financial
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reporting needs. The employment of such persons means that additional jobs will be offered
to those who are suited and competent enough for the aforementioned positions.
Such job opportunities will give these people a stable source of income since they
will be receiving periodic salaries/wages including employee benefits like SSS, PhilHeath and
Pag-IBIG. In the future, when the business has grown and expanded, employee
salaries/wages will correspondingly increase. This means a higher income will be given to the
employees.
Government
Once the business will be established and employees will be hired, the government
can collect business income tax and personal income tax. This would mean additional
income for the government which it will use to conduct its operations.
In case of business expansion, the taxes that will be collected from the establishment
will increase since it will be earning more than its usual income. Moreover, additional taxes
will also be collected from the employees because of salary increase and the increase of
number of employees. In short, when the business and employees earns more, the
government also earns more.
Through taxes, the business will be able to help in the projects, activities and
programs implemented by the government for the development of our country. Through
taxes, the business will be able to contribute to the government fund used by the
government to support the needs of its people.

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The government will benefit through the collection of income taxes from the
employees and employer of the proposed business. It will also get revenue from taxes and
licenses paid by the business.
Community
The proposed business is expected to contribute economically in the development of
the community. The establishment of the business will signify a good impression of the
productivity of the business image.
PHACK’s employment of community members will contribute to the overall
employment growth in Palo Alto, even though such employees will only comprise a very
small fraction of the city’s whole population. The opening of the business will still help the
community in achieving its goal to lower the number of unemployed individuals. In this way,
it will also help in reducing poverty. The newly-hired employees, having enough income, will
be able to afford and sustain the needs of their respective families
The establishment will also uphold productivity and competitiveness in the business
industry where it belongs. On the other hand, it will also help its various suppliers of raw
materials and other basic items, particularly the baking ingredients and penne suppliers in
Calamba City, to increase the demand of their products and/or services and the profit that
they will earn.

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Chapter VII
Environmental Aspect
This chapter deals with how the business will affect the environment and how will
the company dispose its waste materials properly. During and after the operations waste is
unavoidable. Those are waste materials, plastics, paper materials, bottles, leftover food and
much more. These materials if disposed improperly will pollute the air, water resources and
give an unpleasant view to the surroundings. In addition, poor housekeeping promotes a
shelter for cockroaches, flies and rodents which are carriers of diseases.
…………………………………
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Chapter VIII
Summary, Conclusions and Recommendation
The proponents in this study focused on the feasibility of production of Penne
cake in Barangay Palo Alto, Calamba City, Laguna for 2018, and present the findings as
follows:
Marketing Aspects
The proposed project focused on the area of Barangay Palo Alto, Calamba City
as the emphasis of the market. The proponents found that the barangay of Palo Alto in
Calamba city is being more industrialized annually which would bring in more demand also
in the necessity for a Penne Cake store. That is why the proponents take the opportunity of
studying the feasibility of the said project.
Technical Aspects
The project would be located at

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Production of Penne Cake

A Project Feasibility Study

The Faculty of College of Accountancy

In Partial Fulfillment of the Requirements for the Degree of

ATIENZA, PHOEBE KATE T.

CHAPTER I: THE PROBLEM AND ITS BACKGROUND

Background of the Study

Statement of the Problems

Significance of the Study

Objectives of the Study

Scope and Limitation of the Study

Review of Related Literature-Foreign

CHAPTER II: MARKETING ASPECTS

Result of the Survey and the Acceptability Test

Demand and Supply Analysis

Target Market Share

Nature of the Industry

Factors Affecting Target Market

Marketing Mix Strategy

CHAPTER III: TECHNICAL ASPECTS

Physical Property of the Product

Chemical Property of the Product

Raw Materials Requirement

Kitchen Tools, Materials and Equipment

CHAPTER IV: MANAGEMENT ASPECTS

Form Business Organization

Procedure for Organizing a Partnership

Job Description and Specification

Internal Control Management

Benefits and Incentives of the Employees

Business Permits and Licenses

Operation, Schedule in the Firm

CHAPTER V: FINANCIAL ASPECTS

Total Projected Cost

Statement of Cash Flows

Statement of Changes in Partner’s Equity

Financial and Other Assumptions

CHAPTER VI: SOCIO- ECONOMIC ASPECTS

CHAPTER VII: ENVIRONMENTAL ASPECTS

Community and Environment

CHAPTER VIII: SUMMARY, CONCLUSIONS AND

Notes to Financial Statement

demand of health conscious customers and still enjoy it for diet.

Background of the Study

maintain a healthy body and help us sustain a long life.

used for leavening.

oatcakes, though now we think of them more as a biscuit or cookie.

was a flat heavy cake.

sometimes inside a pastry case.

more likely you might consume cake on a more frequent basis.

modern cake pans developed.

Statement of the Problem

4. What factors need to be considered in a marketing campaign?

5. Who will be the target market of the proposed project?

6. How the proponents will market their product?

7. How the proponents based the selling price of the product?

II. Technical Aspect

1. What are the resources needed to conduct the business?

easily available in the market?

4. What are the technology needs for the proposed business?

5. How will the proposed product be produced?

6. How much does the equipment needed in the business?

III. Management Aspect