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Guide Questionnaire in Preparing Project Feasibility Study

I. Summary of the Project

A. What is the name of the firm?

____________________________________________________________________

B. Where is the location of head office and plant site?

_____________________________________________________________________

C. Give a brief description of the project.

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____________________________________________________________________

D. What are the highlights of major assumptions made such as market projections, share
and prices, investment costs, method of financing, etc.?

1. Market Projections

_________________________________________________________________
_________________________________________________________________
_________________________________________________________________
_________________________________________________________________
_________________________________________________________________
_________________________________________________________________
_________________________________________________________________
_________________________________________________________________

2. Market Share

_________________________________________________________________
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_________________________________________________________________
_________________________________________________________________
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3. Market Prices

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

4. Investments Costs

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

5. Method of Financing

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

E. Give the summary of findings and conclusions regarding the following:

1. Market Feasibility
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__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

2. Technical Feasibility

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

3. Financial Feasibility

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

II. General Information

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A. Management of the Project

1. How shall the project be managed during the pre-operating period? (Indicate the
persons involved or to be involved in studying the different aspects of the project)

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

2. How shall the project be managed during the operating period? (Indicate the type
of business organization; organizational chart and functions of each unit manage-
ment personnel specifying the duties and time to be devoted to the project, qualifi-
cations and compensation).

Type of Business Organization

_________________________________________________________________
_________________________________________________________________
_________________________________________________________________
_________________________________________________________________
_________________________________________________________________
_________________________________________________________________

Organizational Chart

Unit Management Per- Time To Be Devoted To The Project Qualifications Compensation

sonnel and Duties
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Unit Management Per- Time To Be Devoted To The Project Qualifications Compensation
sonnel and Duties

3. What skills and corresponding numbers of labor are required? (Also indicate the
qualifications, recruitment and training program, compensation, fringe benefits and
facilities)

Labor Skils Required Number of Labor Re- Qualifications Compensation

quired

Recruitment Program
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__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

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Training Program

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

Fringe Benefits

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

Facilities

__________________________________________________________________
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__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

B. Status and Timetable of the project

1. What is the timetable of the project? Be specific.

ACTIVITIES Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

III. Economic Aspects

A. Market Study

1. Demand

1.1 What was the annual volume of domestic demand for the past 10 years?

YEAR PAST ANNUAL DOMESTIC DEMAND

(UNITS)

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

SOURCE:
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1.2 Who are the major consumers of the product?

_____________________________________________________________
_____________________________________________________________
_____________________________________________________________
_____________________________________________________________
_____________________________________________________________
_____________________________________________________________
_____________________________________________________________
_____________________________________________________________
_____________________________________________________________

1.3 What is the projected annual volume of the domestic demand for the next 5
years? (Indicate the method used and factors considered in preparing the
projection)

YEAR PROJECTED ANNUAL DOMESTIC DEMAND

(UNIT)

2015

2016

2017

2018

2019

Method Used:

______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________

Factors Considered in Preparing the Projection.

______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________

Note: Include computations of projection as Appendix table.

1.4 Who are the current and potential buyers of the product and where are they
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located?

CURRENT BUYERS LOCATION / ADDRESS

POTENTIAL BUYERS LOCATION / ADDRESS

2. Supply

2.1 What is the annual volume of the domestic supply for the past 10 years?

YEAR PAST ANNUAL DOMESTIC SUPPLY

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

SOURCE:

2.2 Who are the major producers of the product?

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MAJOR PRODUCERS LOCATION / ADDRESS

2.3 What is the projected annual volume of the domestic supply for the next 5
years? (Indicate the method used and factors considered in preparing the
projections)

YEAR PROJECTED ANNUAL DOMESTIC DEMAND

2016

2017

2018

2019

2020

Method Used:

______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________

Factors Considered in Preparing the Projection.

______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________

Note: Include computations of projection as Appendix table.

2.4 Who are the current and potential producers of the product and where are
are they located?

CURRENT PRODUCERS LOCATION / ADDRESS

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CURRENT PRODUCERS LOCATION / ADDRESS

POTENTIAL PRODUCERS LOCATION / ADDRESS

2.5 What are the production capabilities and brands used by the current
producers?

CURRENT PRODUCERS BRANDS USED PRODUCTION CAPABILITIES

3. Competitive Position

3.1 What are the prevailing prices of the product?

_____________________________________________________________
_____________________________________________________________
_____________________________________________________________
_____________________________________________________________

3.2 What prices shall be adopted including tariff protection assumed or expected
for the project?

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_____________________________________________________________
_____________________________________________________________

3.3 What is the quality of the product relative to the products of the current and
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potential producers?

_____________________________________________________________
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_____________________________________________________________
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4. Marketing Program

4.1 What are the present marketing practices of competitors?

____________________________________________________________
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____________________________________________________________

4.2 What shall be adopted in the project as to the following?

4.2.1 Selling organization?

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4.2.2 Terms of sales?

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______________________________________________________

4.2.3 Channels of distribution?

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_______________________________________________________

4.2.4 Location of sales outlets?

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4.2.5 Transportation and storing facilities?

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_______________________________________________________

4.3 In what forms or packaging shall the product be sold?

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____________________________________________________________
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____________________________________________________________

4.4 What are the promotional or advertising schemes to be adopted?

___________________________________________________________
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___________________________________________________________
___________________________________________________________

4.5 What are the expected marketing problems that may be encountered and
how shall they be solved?

___________________________________________________________
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___________________________________________________________
___________________________________________________________

B. Contribution to the Philippine Economy

1. How many workers shall be employed in the project?

________________________________________________________________
________________________________________________________________
________________________________________________________________
________________________________________________________________
________________________________________________________________

2. What is the approximate annual amount of taxes to be paid by the project and the
workers to the government?

________________________________________________________________
________________________________________________________________
________________________________________________________________
_________________________________________________________________
_________________________________________________________________

IV. Technical Feasibility

A. Product

1. What is the description of the product specifically relating to physical, mechanical

and chemical properties?

_________________________________________________________________
_________________________________________________________________
_________________________________________________________________
_________________________________________________________________

2. What are the economic uses of the product?

_________________________________________________________________
_________________________________________________________________
_________________________________________________________________
_________________________________________________________________
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B. Manufacturing Process

1. How shall the product be manufactured? (Show detailed flow charts indicating
material and energy requirement at each step, and the normal duration of the
process)

___________________________________________________________________

___________________________________________________________________

___________________________________________________________________

___________________________________________________________________

Detailed Flow Chart of the Manufacturing Process

2. What are the other processes and factors considered to determine the process to be
adopted?

___________________________________________________________________
___________________________________________________________________
___________________________________________________________________
___________________________________________________________________
___________________________________________________________________

3. What are the processes used in existing plants and in similar projects in the
Philippine or abroad?

___________________________________________________________________
___________________________________________________________________
___________________________________________________________________
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C. Plant Size and Production Schedule

1. What are the daily and annual production capacity of the plant?

___________________________________________________________________
___________________________________________________________________
___________________________________________________________________

2. How many days per year shall the project operate?

___________________________________________________________________
___________________________________________________________________
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3. What are the factors used in determining plant size?

___________________________________________________________________
___________________________________________________________________
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4. What is the expected attainable annual production volume for the next five (5) years
considering start-up and technical factors?

___________________________________________________________________
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___________________________________________________________________

D. Machinery

1. What is the machinery layout? (Indicate the number, specifications, rated capacities
of major machineries, prices of equipment, and balancing of capacities of each major
and auxiliary equipment, and standby units)

____________________________________________________________________
____________________________________________________________________
____________________________________________________________________
____________________________________________________________________

2. Where are the spare parts and repair service available?

____________________________________________________________________
____________________________________________________________________
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Machinery Layout
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3. What are the quotations from suppliers, machinery guarantees, delivery, terms of
payments and other arrangements?
___________________________________________________________________
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___________________________________________________________________
___________________________________________________________________
___________________________________________________________________
___________________________________________________________________
___________________________________________________________________

E. Plant Location

1. Where is the plant located? (Show a location map of the plant)

___________________________________________________________________
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___________________________________________________________________

2. Is the location desirable in terms of distance to source of raw materials and markets
and the other factors?
___________________________________________________________________
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___________________________________________________________________
___________________________________________________________________
___________________________________________________________________
___________________________________________________________________
___________________________________________________________________

Location map of the plant

F. Plant Layout

1. What is the plant layout? (Show a layout chart)

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2. What would be the effect of layout on materials flow and treatment of materials
handling and storage?
_____________________________________________________________________
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3. What is the provision for expansion?

_____________________________________________________________________
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G. Structure

1. What building or buildings shall be constructed?

_____________________________________________________________________
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2. What is the cost of the construction?

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3. What are the other structures and their respective costs?

_____________________________________________________________________
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4. What other improvements shall be done? (This specifically relates to roads, drainage
facilities, etc.)
_____________________________________________________________________
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_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________

5. What is the cost of improvements?

_____________________________________________________________________
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_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________
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H. Raw Materials

1. Description of raw materials specifically relating to their physical, mechanical and

chemical properties.
____________________________________________________________________
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____________________________________________________________________
____________________________________________________________________
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____________________________________________________________________
____________________________________________________________________

2. What are the alternative raw materials considered and factors used in selecting the
materials?
___________________________________________________________________
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3. What is the material combination?

_____________________________________________________________________
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4. Are the new materials available? Will there be a continuous supply?

_____________________________________________________________________
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5. Who are the current and prospective sources of raw materials?

CURRENT SOURCES
_____________________________________________________________________
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_____________________________________________________________________
_____________________________________________________________________

PROSPECTIVE SOURCES
_____________________________________________________________________
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_____________________________________________________________________
_____________________________________________________________________
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_____________________________________________________________________

6. What are the current and prospective costs of raw materials and will there be any long
term contract with the suppliers?
____________________________________________________________________
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____________________________________________________________________
____________________________________________________________________
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I. Utilities

1. What are the utilities (electricity, fuel, water, and supplies) required?
____________________________________________________________________
____________________________________________________________________
____________________________________________________________________
____________________________________________________________________
____________________________________________________________________
____________________________________________________________________
____________________________________________________________________

2. What are the uses, quantity required, balances of utilities, availability of sources and
alternative sources and costs?
_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________

J. Waste Disposal

1. What is the waste and its volume to be disposed off?

_____________________________________________________________________
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2. What is the waste disposal method to be adopted?

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3. What are the waste disposal methods used in other plants?

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_____________________________________________________________________
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4. What is the cost of wast disposal?

_____________________________________________________________________
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_____________________________________________________________________

5.What is the clearance and cost if there is any, and how could it be secured from proper
authorities?
_____________________________________________________________________
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_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________
V. Financial Feasibility

A. Total Project Cost - all items considered and assumptions made.

1. How much is the total project cost for 5 years?

YEAR PROJECT COST

__1___ ______________
__ 2___ ______________
___3___ ______________
___4___ ______________
___5___ ______________

2. What are the assumptions made?

__________________________________________________________________
__________________________________________________________________
__________________________________________________________________
__________________________________________________________________
__________________________________________________________________

B. Initial Capital Requirements

1. How much is the initial capital required?

__________________________________________________________________
__________________________________________________________________
__________________________________________________________________
__________________________________________________________________
__________________________________________________________________

2. What are the assumptions made?

__________________________________________________________________
__________________________________________________________________
__________________________________________________________________
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__________________________________________________________________

C. Sources of Financing

1. What are the sources selected or proposed for both long-term and short-term
financing indicating the currency, security, repayment period, interest and other
features?

Sources Currency Security Repayment Pe- Interest Rate Other Features

Selected or riod
Proposed

2. What is the status of financing from each sources relating to actual release already
made, applications already approved, applications pending and applications still to
be made?

SOURCES SELECTED OR PROPOSED STATUS

3. How would the contingencies and seasonal peaks in working capital be financed?
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_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________
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_____________________________________________________________________
_____________________________________________________________________
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_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________
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_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________

D. Financial Statements

1. What are the projected income statements for 5 years?

PROFIT AND LOSS STATEMENT

INCOME: YEAR

1 2 3 4 5

Sales ________ _________ _________ __________ _________

Less: Cost of Sales ________ _________ _________ __________ _________

Gross Profit

Less: Operating Expenses

Salaries and Wages

Advertising

Rentals

Office Supplies

Depreciation

Interest on loan

Others (Specify)

Total Expenses ________ _________ _________ ___________ __________

Net Profit Before Tax

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Less: Income Tax ________ _________ _________ ___________ __________

NET INCOME ======== ========= ========= =========== ==========

2. What are the projected cash flow statements for 5 years?

CASH FLOW

YEAR
1 2 3 4 5

CASH INFLOW

Stockholders Equity

Proceeds from loan

Sales

Others (Specify) ________ _________ _______ ________ ________

TOTAL CASH INFLOW ________ _________ _______ ________

________

CASH OUTFLOW

Loan Amortization

Operating Expenses

Income Tax

Others (Specify) _________ ________ ________ _________ _______

TOTAL CASH OUTFLOW _________ ________ ________ _________

_______

CASH BALANCE ========= ======= ======== ========= ======

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3. What are the projected balance sheets for 5 years?

BALANCE SHEET

YEAR

1 2 3 4 5

CURRENT ASSETS:

Cash
Accounts Receivables
Raw Materials Inventory
Others (Specify) ________ __________ _________ ________ _______

Total Current Assets ________ __________ _________ ________ _______

FIXED ASSETS:

Machinery and Equipment

Furnitures and Fixtures
Others (Specify) ________ __________ _________ ________ _______

Total Fixed Assets ________ __________ _________ ________ _______

TOTAL ASSETS ======== ========== ========= ========

=======

CURRENT LIABILITIES:

Accounts Payable
Income Tax Payable
Others (Specify) ________ ___________ _________ ________ _______
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Total Current Liabilities ________ ___________ _________ ________
_______

STOCKHOLDERS EQUITY

Capital
Retained Earnings
Others (Specify) ________ ___________ _________ ________ _______

Total Stockholders Equity ________ ___________ _________ ________ _______

TOTAL LIABILITIES &

CAPITAL ======== =========== ========= ======= =======