UNTASTED’S WILDEST DREAM DYNAMITE LUMPIA and

FLAVORED JUICE DRINK SNACK SET:

“Kung Lami Siya, Mas Lami Ni!”

A Business Operation Report

Presented to the
Faculty of Senior High School
Southwestern University PHINMA
Urgello Street, Cebu City, Cebu, Philippines

By
12-STEM N8

Darwin N. Baliton
May Ann V. Jabonillo
Justin Marwin M. Jagmoc
Jhona O. Kaquilala
Tara Chenisse P. Lao
Nikka Philina C. Lumayag
Jon Mikel D. Sabal

March 6, 2019
 ACKNOWLEDGMENT

This business had encountered its challenges in the course of its

establishment and was still able to cope up with its problems and

hardships. We would not be able to successfully conduct this business

without the help of certain people.

First and foremost we would like to thank the Lord Almighty for

His guidance since the startup of the business and for giving us the

strength, ability, and opportunity as we have conducted our business

as well as the perseverance that allowed us to endure the hardships

we encountered. We would also like to extend our sincere gratitude to

our customers who wholeheartedly gave their support and trust to our

business and its product as well as our parents who encouraged and

supported us throughout this semester in order for us to reach the

peak of our business’s success.

We would also like to express our most sincere gratitude to our

Entrepreneurship teacher, Mr. Jezreel Flores for his valuable guidance

on the field of business as well as for the knowledge he has imparted

on entrepreneurship and his willingness to motivate us in our

endeavours.

Again, we are eternally grateful for all the support you have

given and the faith you have for us. Thank you so much!

2
 Table of Contents

Page

Acknowledgment 2

I. EXECUTIVE SUMMARY 5

II. MARKETING

A. Market Assessment 6

B. Marketing Mix 7

C. Business Vision, Mission and Objectives 15

D. Market Analysis 16

III. OPERATIONS AND PRODUCTION

A. Business Capitalization 19

B. Supplies, Equipment and Ingredients 19

C. Process of Production 20

IV. MANAGEMENT

A. Business Organization 23

B. Gantt Chart of Activities 35

V. FINANCIAL PERFORMANCE AND PROJECTIONS

A. Transactions 36

B. Journal Entry 37

C. T-Accounts 39

D. Trial Balance 40

3
 E. Statement of Financial Performance 41

F. Statement of Changes in Owner’s Equity 42

G. Statement of Cash Flows 43

H. Statement of Financial Position 44

VI. BUSINESS STRATEGIES AND PLANS 45

VII. PROBLEMS ENCOUNTERED AND

SOLUTIONS PROVIDED

A. Marketing 46

B. Financial Operation 47

C. Organization 48

D. Procedure or Method 49

VIII. LESSONS LEARNED IN CONDUCTING

THE BUSINESS 50

IX. APPENDICES AND DOCUMENTATION 51

4
 CHAPTER I

EXECUTIVE SUMMARY

Untasted is a food and drink business mainly located in Urgello

Street, Cebu City that aims to create the spicy versions of common

snack food products in combination with several beverage choices for

the customers especially for students and employees in Southwestern

University PHINMA that are both at an affordable rate. The marketers

of the business sell its Wildest Dream Snack Set of Dynamite Lumpia

with a twist of cheese inside and fried with a golden crust of bread

crumbs partnered with a Flavored Juice Drink.

Untasted will hold true to its vision of being a leading distinctive

brand of incorporating twists to common snack products in order to

become personal favourites of spicy-loving customers. Amidst the

presence of competitors, the management team has enough

experience and strategy in coping up with the threats and problems

encountered by the business.

This business has ₱7000.00 cash on hand and had a total

earning income of ₱8295.25 for just three weeks with a Product Life

Cycle in Growth stage. The business owners expect to see the business

branch out to other locations and have a wider variety of products and

grab selling opportunities during events to gain more income.

5
 CHAPTER II

MARKETING

A. Market Assessment

The marketers of the business have been thoroughly

seeing and observing all possible customers as its target market.

The school-based customers are comprised of two groups: the

students and the employees. The demands of healthier yet

affordable snack foods or finger foods as well as the main

location having comprised a great number of customers allowing

the business to expand the scope of its target market and

product choices are the opportunities of the business. The direct

and indirect competitors are possible threats to the business

since there are others who sell similar products of the business.

However, the products of the business possess distinctive factors

which include the twists being given to common snack products

known for its crisp, spicy taste and nutrition content and the

unique food and drink combinations being offered. The

customers’ changing tastes and wants to try something new that

suits their cravings are the possible risks. The marketers aim to

provide our customers especially students and employees quality

snack products that are unique, affordable and healthy.

6
B. Marketing Mix

1. Product and the Business

Untasted is a food and drink partnership business based in

Southwestern University PHINMA, Urgello Street, Cebu City,

Philippines headed by Ms. Tara Chenisse P. Lao together with

Mr. Darwin N. Baliton equally owned with its contributors; Ms.

Jon Mikel D. Sabal, Ms. Nikka Philina C. Lumayag, Ms. Jhona

O. Kaquilala, Ms. May Ann V. Jabonillo and Mr. Justin Marwin

M. Jagmoc. It is a business that emphasizes the addition of

spicy and crispy twists to common snack products matched

with flavoured drinks and that are easy to consume.

Lumpia or spring rolls are common savoury snacks made

from a mixture of savoury fillings of either chopped

vegetables or minced meat enveloped with lumpia wrappers

which are usually served during meals and sometimes during

snack time. Untasted offers a product called “Wildest Dream”

where it is a ordinary lumpia made of the usual recipe of

minced meat, carrots and onions. The thing that makes the

product unique and extraordinary is that the mixture is added

with cheesy fillings and spicy green pepper and crusted with

golden bread crumbs either served with a combination of a

flavoured juice drink of the customer’s choice also known as

7
“Dynamite Lumpia and Flavored Juice Drink Snack Set”. The

seeds of the green pepper are included for the customers to

experience the intense spicy flavour. With this, we can assure

top quality of our product and that the customers will

appreciate the sweetness of the juice that blends with the

savoury and spicy aspect of the dynamite lumpia. Adding a

twist of crisp and aspice to common snack products combined

with drinks as a snack set is our unique selling proposition.

The product shown is Untasted’s Wildest Dream dynamite

lumpia and flavoured juiced drink snack set that comes with

different juice flavours and tasty sauces including gravy,

mayonnaise and salad dressing. The ingredients, size, process

of production and nutrition content all contribute to the

uniqueness of our product. For just thirty-five pesos of the

snack set for that could be both consumed during meal time

and snack time, it is enough to satisfy the customers’

cravings at just an affordable rate. Along with the warm

service of our sellers and the product’s uniqueness and

quality, these all contribute to the success of the business.

8
9
 2. Pricing

We used the cost-based pricing strategy for the pricing

which also includes a low price of our product to attract

potential customers. The lower price also helps in enticing the

customers to the business and away from direct and indirect

competitors. This pricing strategy takes into account the cost

of production then deciding a percentage mark-up of % for

the profit to confirm for the final selling price. This market

strategy relies on the idea that lower prices attract customers

to try and continuously buy our products.

PRICE Quantity

3 individual pieces with

Snack Set ₱35.00 flavoured juice drink (two

cups)

10
3. Promotion

To make our product reach out to a wider scope of our

target market, advertising both through online and print

media are the marketers’ ways of promoting the product. We

made use of brochures and social media sites as our main

channels of promotion along with direct communication to

potential customers by word of mouth and personal

conversations.

We usually have personal interaction with our customers

during daily direct selling to promote the product in order to

attract as well other potential customers who have not yet

tried the product. Our business was able to reach a wider

audience of our product’s promotion through social media

channels since almost everyone has their own social media

accounts. We created and utilized a Facebook page for the

business to create an avenue for customers who are

interested with the products we offer. The business also

released a commercial video that gave a quick overview of

the business products.

In line with our location, our selling is more specifically

based in the senior high school and basic education

department since the total population is more than enough for

11
us to earn enough income on a daily basis. On the other

hand, our business is also open to online or personal

messaging orders and reservation. Witnessing first-hand the

responses and reception of the customers to our products

gave us insights for areas of improvement and better

strategies in order to capture the cravings of our customers.

3.1 Brochures

12
3.2 Social Media

13
4. Place

The main location of the business is in Southwestern

University PHINMA in Urgello Street, Cebu City, Philippines.

The selling of the products takes place in Southwestern

University PHINMA at Room 218, second floor of the Senior

High School Building.

The business owners are planning to expand and branch

out to different locations around the province. Additionally,

the marketers are also planning to reach out to the students

and employees at the main campus of Southwestern

University PHINMA so as to promote the product, sell more

products and gain more income.

14
C. Business Vision, Mission and Objectives

MISSION

Untasted is a food and drink business dedicated to providing

special twists to the common Filipino snack favourites combined

with flavoured drinks for our customers who seek a satisfying

“cost-effective” snack product.

VISION

A leading distinctive brand that fosters and guarantees a

crispier, tastier and spicier experience of craving satisfaction.

OBJECTIVES

These are the objectives we plan to reach in the future for the

business:

 To generate profit.

 To provide potential customers snack products with a

twist.

 To create more and improved commercials and

promotional materials.

 To introduce our products and encourage potential

customers through marketing strategies.

 To expand the business to other locations and branches.

15
D. Market Analysis

1. Description of Competition

The emerging business faces both direct and indirect

competitors that potentially pose threats to the business.

Direct competitors are those businesses offering similar

products. Examples of direct competitors of our business

include any business that produces and sells dynamite

lumpia, meat or vegetable spring rolls, finger foods and other

food-related businesses such as the school canteen and other

student vendors selling a similar product as well as outside

vendors of street foods and local eateries.

The indirect competitors are those businesses that may not

offer similar products but are still part in the competition of

satisfying the customers’ cravings such as those student

vendors selling dessert types of food products.

16
2. SWOT Analysis

Strengths

 The product twist and unique selling proposition is new

to potential customers which will be an interesting

first-try for them.

 The product is offered at a lower price and better

quality compared to other direct competitors.

 There is a large target market focused on students and

employees.

Weaknesses

 Production consumes too much time.

 Some customers do not prefer to eat spicy foods.

 Our product is not known to some customers.

Opportunities

 The business has the opportunity to expand or branch

out to other locations.

 There is always room for improvement, modification

and change of fillings for the snack set

 The availability of the business in selling during school

and community-based events.

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Threats

 There is a presence of competing student vendors

selling similar products.

 There are lots of outside vendors of dynamite lumpia

better known and trusted by customers.

 Other vendors sell snacks much more preferred by

customers.

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 CHAPTER III

OPERATIONS AND PRODUCTION

A. Business Capitalization

The small beginnings of the start-up business started with

the capital cash of ₱4388.25. The business capital cash was

contributed equally by the partners of the business respectively,

Ms. Tara Chenisse P. Lao, Mr. Darwin N. Baliton, Ms. Jon Mikel D.

Sabal, Ms. Nikka Philina C. Lumayag, Ms. May Ann V. Jabonillo,

Ms. Jhona O. Kaquilala and Mr. Justin Marwin M. Jagmoc.

B. Supplies, Ingredients and Equipment

Untasted’s Wildest Dream Dynamite Lumpia and Flavored Juice

Drink snack set utilizes the primary ingredients and supplies in

manufacturing the product such as:

 Lumpia wrapper

 Ground pork

 Onions

 Cheese

 Carrots

 Green pepper

 Bread Crumbs

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  Eggs

 Powdered juice

 Mayonnaise/salad dressings

 Disposable cups

The business also utilizes ready to use equipments in

manufacturing the product such as:

 Frying pan

 Kitchen tongs

 Kitchen stove

C. Process of Production

The following are the methods or procedures in making the

product:

1. Prepare all the materials needed including the mixing bowl,

chopping board, spoons, knives and plates.

20
2. Prepare the ingredients needed in making the dynamite

lumpia filling (few slices of green pepper, cheese, carrots,

onion, ground meat).

3. Mix the ingredients in making the lumpia filling.

21
4. After mixing the ingredients for the filling, wrap it with the

lumpia wrappers together with slices of green peppers.

5. After wrapping the fillings, soak the rolls in egg yolk and crust

with bread crumbs.

6. Deep fry the individual dynamite lumpia rolls at medium heat

until it reaches a golden brown color.

22
 CHAPTER IV

MANAGEMENT

A. Business Organization

This business is in the form of a partnership. It is run by

Ms. Tara Chenisse P. Lao, the Chief Executive Officer, in

partnership with Mr. Darwin N. Baliton, the Chief Operational

Officer, Ms. Jon Mikel D. Sabal, Ms. Nikka Philina C. Lumayag,

Ms. Jhona O. Kaquilala, Ms. May Ann V. Jabonillo and Mr. Justin

Marwin M. Jagmoc. The group is equally divided into five

different departments namely, Finance Department, Production

Department, Sales Department, Marketing Department and

Technical Department headed by Ms. Sabal, Ms. Lumayag, Ms.

Kaquilala, Ms. Jabonillo and Mr. Jagmoc respectively.

Partnership is a form of business wherein owners mutually

decide on investing the business. In line with this, the business

owners choose to be in a partnership since it would contribute to

the lessening of financial burdens in generating capital in

starting and sustaining the business including the sharing of

labour , creative ideas and skills that would make the production

more efficient and allow the business owners to cope up with

expected risks.

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1. Organizational Structure

BUSINESS PARTNER
CHIEF EXECUTIVE OFFICER

BUSINESS PARTNER
CHIEF OPERATIONS OFFICER

BUSINESS PARTNER BUSINESS PARTNER BUSINESS PARTNER

FINANCE MANAGER PRODUCTION MANAGER MARKETING MANAGER

BUSINESS PARTNER BUSINESS PARTNER

SALES MANAGER TECHNICAL MANAGER

24
2. Composition, Teams and Members

Chief Executive Officer (CEO):

A chief executive officer is the highest-ranking executive in

the business or organization and has the authority in making

major and final decisions. The CEO has overall responsibility for

creating, planning, implementing and integrating the strategic

direction of the business. This includes the responsibility for all

components and departments of the business depending on the

needs of the organization.

A. Duties of the Chief Executive Officer

 Reviews reports, examines financial position and

prepares and implements strategic goals for the

business

 Advises the team, builds a positive and productive

culture in the workplace, recognizes team

accomplishments and motivates the members

 Ensures sufficient and up-to-date information

regarding the business

 Formulates policies and action plans

 Oversees operations and production

25
 B. Responsibilities of the Chief Executive Officer

 Direct the team to the vision of the business

 Partner with department managers to sustain the

business

 Represent the business as required

 Work closely with the Finance Manager to prepare

budgets

 Oversee quality control and set goals for eac

department

C. Qualifications of a Chief Executive Officer

The Chief Executive Officer must have strong

communication, leadership and interpersonal skills.

He/she must be knowledgeable in all aspects of the

operations of the business and be able to work under

pressure.

Chief Operations Officer (COO):

The Chief Operations Officer reports directly to the Chief

Executive Officer and is considered second in command. The

COO is often responsible for implementing the strategies

proposed by the CEO and the other departmental managers.

26
A. Duties of the Chief Operations Officer

 Leads the business strategies to be implemented

 Presents new ideas and cash flow strategies to other

departmental managers

 Maintains control of diverse business operations

 Reports to the Chief Executive Officer

 Ensures effective operational and financial

procedures

B. Responsibilities of the Chief Operations Officer

 Design and execute the business operations

 Establish policies that promote the vision of the

business

 Write and report all important matters to CEO

 Supervise the daily operations of the business and

the executive’s work

C. Qualifications of a Chief Operations Officer:

A Chief Operations Officer must have the experience in

managerial or supervisory roles with strong analytical

and data-driven mindset that translates into leadership

27
 skills and ability to inspire employees to optimize their

productivity.

Finance Manager

The finance manager is in charge of the financial health of

the business. He/she organizes accounts and produce financial,

cash flow and profit projections, reports and develop strategies

and plans for the long-term financial objectives of the business.

A. Duties of the Finance Manager

 Prepares financial statements, reports and forecasts

of business activities

 Monitor financial details

 Supervise financial reporting and budgeting

 Review the financial reports of the business and seek

ways to reduce costs

 Assist management in making financial decisions

B. Responsibilities of the Finance Manager

 Collect, interpret and review financial information

 Predict future financial trends

 Report to CEO and provide advice on future financial

decisions

28
  Produce financial reports

 Develop strategies that work to minimize financial

risks

C. Qualifications of a Finance Manager

A finance manager must have the analytical skills in

order to understand information, problem-solve and

make decisions. He/she must have excellent

communication and computation skills to be able to

explain and justify properly the complex financial

transactions.

Production Manager

A Production Manager is in charge of organizing and

overseeing the manufacturing of goods. He/she is responsible for

the smooth flow of all production lines and ensures the quality of

the output of production that meets customer requirements.

A. Duties of the Production Manager

 Liaises with other managers to formulate objectives

and understand requirements

 Estimates costs and prepares budgets

29
  Organizes workflow to meet specifications and

deadlines

 Monitors production to resolve issues

 Supervises rate of output

B. Responsibilities of the Production Manager

 Determine amount of necessary resources

 Approve maintenance work and purchasing of

equipment

 Ensure output meets quality standards

 Enforce health and safety precautions

 Report to CEO for production reports

C. Qualifications of a Production Manager

The finance manager must have a deep knowledge on

production management as well as an understanding of

quality standards and health and safety regulations.

He/she should also have experience in reporting on key

production metrics and production direction.

30
Marketing Manager

A Marketing Manager is someone who processes and

develops strategies and plans to reach the desired customer

segment for the products of the business such as advertising and

promotions of sales.

A. Duties of the Marketing Manager

 Monitors the marketing budget of the business

 Maintains customer databases

 Writes and edits all creative copies

 Manages the marketing activities of the business

 Reports on the effectiveness of marketing

communications

B. Responsibilities of the Marketing Manager

 Evaluate the performance of the marketing

communications

 Maintain regular supplies for marketing purposes

 Educate customers regarding the products

 Overseeing allocation of resources for marketing

activities

 Identify potential markets and create a market plan

31
 C. Qualifications of a Marketing Manager

A marketing manager must have professional

experience related to marketing, excellent verbal and

writing communication skills to pursue customers as

well as personal creativity to constantly come up with

new ideas and strategies to sell the company’s

products.

Sales Manager

A sales manager is in charge of pioneering in achieving

growth and hitting sales targets by managing the sales team and

activities. He/she also designs and implements strategic sales

plans to ensure the customer base target of the business.

A. Duties of the Sales Manager

 Manages the sales team

 Implements strategic business plans

 Recruits sales representatives and sets objectives

 Monitors performance of sales

 Promotes strong customer relationships

B. Responsibilities of the Sales Manager

 Present sales, revenue and expenses reports

32
  Identify emerging markets and market shifts

 Be aware of new products and competition status

 Work closely with Finance and Marketing Manager

 Hit sales targets

C. Qualifications of a Sales Manager

A sales manager must have successful previous

experience as a sales representative or consistently

meeting or exceeding target. He/she must also be

committed to continuous education through workshops,

seminars and conferences and demonstrates the ability

to communicate, present and influence at all levels of

organization and customers.

Technical Manager

A technical manager possesses a high degree of expertise

in a given technical area such as packaging development,

software development and electronics manufacturing.

A. Duties of the Technical Manager

 Provides guidance in product design and

implementation

33
  Evaluates platforms and networks of businesses and

seek ways of improvement

 Addresses faults in the business

 Ensures proceedings are carried out

 Considers project proposals and evaluates feasibility

B. Responsibilities of the Technical Manager

 Ensure resources are highly available

 Ensure teams follow correct procedures, policies and

documentation requirements

 Make quick decisions and solve technical problems

for efficient project implementation

 Provide teams with technical training when

necessary

 Responsible for collaboration among various teams

C. Qualifications of a Technical Manager

A technical manager must be proficient in handling the

most complex of technical development concepts, latest

tools and technologies and strong database concepts

and designing techniques.

34
 B. Gantt Chart of Activities

MONTHS 2018-2019
ACTIVITIES (Completed)
DECEMBER JANUARY FEBRUARY MARCH

Initial planning
Pilot testing
Planning for selling
Making of products
Checking product quality
Direct selling
Outside selling
Online selling
Preparing of financial statements
Outlay the business operation report
Finalizing the business operation report
Submission of business operation report

35
 CHAPTER V

FINANCIAL PERFORMANCE AND PROJECTIONS

A. Transactions

DATE TRANSACTION
JANUARY 11 Invested the amount of Php 4388.25

12 Purchased the ingredients worth Php 4267.25

and had a transportation expense of Php 91.00

13 Paid Php 20.00 utilities expense for the week

and Php 10.00 equipment rent

14 Sold products to customers for cash Php 2030.00

15 Sold products to customers for cash Php 2730.00

16 Sold products to customers for cash Php 2240.00

31 Withdrew Php 2581.00 for personal use

FEBRUARY 1 Purchased ingredients worth Php 4279.00

and had a transportation expense of Php 100.00

2 Paid Php 20.00 utilities expense for the week

and Php 20.00 equipment rent

3 Sold products to customers for cash Php 2450.00

4 Sold products to customers for cash Php 2730.00

5 Sold products to customers for cash Php 1820.00

13 Withdrew Php 3102.50 for personal use

14 Purchased ingredients worth Php 3697.50

and had a transportation expense of Php 100.00

15 Paid Php 50.00 utilities expense for the week

and Php 50.00 equipment rent

16 Sold products to customers for cash Php 3605.00

17 Sold products to customers for cash php 3395.00

36
 B. Journal Entry

DATE ACCOUNTS DEBIT CREDIT

JANUARY 11 Cash 4388.25
Capital, Untasted 4388.25
Investment

12 Purchases 4267.25
Cash 4267.25
Purchased in Cash

Transportation Expense 91.00

Cash 91.00
Spent cash for fare

13 Utilities Expense 20.00

Cash 20.00
Paid utilities

Rent Expense 10.00

Cash 10.00
Paid rent for equipment

14 Cash 2030.00
Sales 2030.00
Daily sales

15 Cash 2730.00
Sales 2730.00
Daily sales

16 Cash 2240.00
Sales 2240.00
Daily Sales

31 Drawings, Untasted 2581.00

Cash 2581.00
Withdrawals

FEBRUARY 1 Purchases 4279.00

Cash 4279.00
Purchased in cash

Transportation Expense 100.00

Cash 100.00
Spent cash for fare

2 Utilities Expense 20.00

Cash 20.00
Paid utilities

Rent Expense 20.00

Cash 20.00
Paid rent for equipments

3 Cash 2450.00
Sales 2450.00
Daily Sales

37
 DATE ACCOUNTS DEBIT CREDIT
FEBRUARY 4 Cash 2730.00
Sales 2730.00
Daily Sales

5 Cash 1820.00
Sales 1820.00
Daily Sales

13 Drawings, Untasted 3102.50

Cash 3102.50
Withdrawals

14 Purchases 3697.50
Cash 3697.50
Purchased in Cash

Transportation Expense 100.00

Cash 100.00
Spent cash for Fare

15 Utilities Expense 50.00

Cash 50.00
Paid utilities

Rent Expense 50.00

Cash 50.00
Paid rent for equipment

16 Cash 3605.00
Sales 3605.00
Daily Sales

17 Cash 3395.00
Sales 3395.00
Daily Sales

TOTAL 43776.50 43776.50

38
 C. T-Accounts

Cash Sales Capital Untasted

4388.25 2030.00 4388.25
4267.25 2730.00 0 4388.25
91.00 2240.00 4388.25
20.00 2450.00
10.00 2730.00
2030.00 1820.00
2730.00 3605.00 Rent Expense
2240.00 3395.00 10.00
2581.00 0 21000.00 20.00
4279.00 21000.00 50.00
100.00
80.00 0
20.00
80.00
20.00
Transportation
2450.00
Expenses
2730.00
1820.00 91.00
100.00
3102.50
100.00
3697.50
291.00 0
100.00
291.00
50.00
50.00
3605.00 Utilities Expense
3395.00 20.00
25388.25 18388.25 20.00
7000.00 50.00
90.00 0
Purchases 90.00
4267.25
4279.00 Drawings, Untasted
3697.50
2581.00
12243.75 0
3102.50
12243.75
5683.50 0
5683.50

39
 D. Trial Balance

UNTASTED’S WILDEST DREAM SNACK SET

TRIAL BALANCE

FOR THE MONTH ENDED FEBRUARY 2019

Cash Php 7000.00

Owner’s Capital Php 4388.25

Drawings 5683.50

Sales 21000.00

Purchases 12243.75

Transportation Expense 291.00

Rent Expense 80.00

Utilities Expense 90.00

Php 25388.25 Php 25388.25

40
 E. Statement of Financial Performance

UNTASTED’S WILDEST DREAM SNACK SET

INCOME STATEMENT

FOR THE MONTH-ENDED FEBRUARY 2019

SALES:

Direct Php 7000.00

Outside 7000.00

Online 7000.00 Php 21000.00

LESS: COST OF GOODS SOLD (12243.75)

GROSS PROFIT Php 8756.25

LESS: OPERATING EXPENSES

Transportation 291.00

Rent Expense 80.00

Utilities Expense 90.00 (461.00)

NET INCOME Php 8295.25

41
 F. Statement of Changes in Owner’s Equity

UNTASTED’S WILDEST DREAM SNACK SET

STATEMENT OF CHANGES IN OWNER’S EQUITY

FOR THE MONTH-ENDED FEBRUARY 2019

Untasted Capital Php 4388.25

Add: Net Income 8295.25

Less: Drawings (5683.50)

WILDEST DREAM CAPITAL END Php 7000.00

42
 G. Statement of Cash Flows

UNTASTED’S WILDEST DREAM SNACK SET

STATEMENT OF CASH FLOWS

FOR THE MONTH ENDED FEBRUARY 2019

NET CASH FROM OPERATING ACTIVITIES

Cash received from Customers Php 21000.00

Cash paid for:

Purchases (12243.75)

Transportation Expense (291.00)

Rent Expense (80.00)

Utilities Expense (90.00)

CASH INFLOW FROM OPERATING ACTIVITIES Php 8295.25

NET CASH FROM FINANCING ACTIVITIES

Investment by the Owners 4388.25

Drawings (5683.50)

CASH OUTFLOW FROM FINANCING ACTIVITIES (1295.25)

NET INCREASE IN CASH Php 7000.00

CASH BALANCE AT THE BEGINNING OF THE PERIOD 0.00

CASH BALANCE AT THE END OF THE PERIOD Php 7000.00

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 H. Statement of Financial Position

UNTASTED’S WILDEST DREAM SNACK SET

STATEMENT OF FINANCIAL POSITION

AS OF FEBRUARY 2019

Assets

Cash Php 7000.00

TOTAL ASSETS Php 7000.00

Liabilities

Total Liabilities Php 0.00

Owner’s Equity

Untasted Capital End Php 7000.00

Total Owner’s Equity Php 7000.00

TOTAL LIABILITIES AND OWNER’S EQUITY Php 7000.00

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 CHAPTER VI

BUSINESS STRATEGIES AND PLANS

The following are the future plans for the business of Untasted:

 To be able to improve, modify and upgrade our business by

finally establishing and renting a stall inside the campus or make

a deal or contract with the school canteen in-charge to become

the official supplier of the offered products of the business in the

university both in the main and basic education campus.

 To be able to generate a 15% increase in profit every month by

accepting additional orders online.

 To introduce to the students and employees within Southwestern

University PHINMA and the outside community new product

twists such as dynamite lumpia with a wider variety of meat of

the customer’s choice including beef, chicken and even vegan.

 To open a stall or branch outside the school specifically in

Mabolo, Cebu City, Toledo City, Bantayan and Casay, Dalaguete

Cebu.

 To promote the product with the use of social media expanding

to social media channels including Twitter and Instagram and

releasing more video commercials and monthly promos.

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 CHAPTER VII

PROBLEMS ENCOUNTERED AND SOLUTIONS PROVIDED

A. Marketing Related:

Problems

 The marketers have very tight schedules and lesser time

daily due to regular classes resulting to marketing time

conflict.

 The marketers have not rented or do not have a stall

within the campus.

 The marketers do not have a lot of connections to students

from the other strands and other departments resulting to

fewer sales on the specific groups compared to the sales in

the STEM strand.

Solutions

 The marketers decided to target sales consumption during

the vacant time before the first class of the day.

 The marketers decided to sell the products directly in the

absence of the stall.

 The marketers decided to sell the product to few people

they know in other strands so as to become the channel of

promotion to the other students unaware of the product.

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B. Financial Operation Related

Problems

 The cook had to perform several trials to achieve the final

quality product.

 The owners were struggling in making an affordable

homemade sauce for the selling of the product.

 The business partners had difficulty in producing equal

sizes and content of the individual lumpia.

Solutions

 The cook applied alternative cooking methods learned from

the failed attempts and successfully resulted to the desired

product.

 The business owners decided to purchase a low-cost but

quality burger dressing that has the same taste as the

desired sauce.

 The business partners carefully measured the fillings for a

certain number of orders in order to achieve equal

distribution of the lumpia fillings.

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C. Organization Related

Problems

 The business partners had misunderstandings about how

the product was made and the ingredients being proposed

as well as the amount.

 The business partners have not conducted official meetings

regarding the status of the business to discuss possible

business and market improvements.

 The business partners had misunderstandings on the

distribution of tasks and responsibilities as well as the

availability of each partner.

Solutions

 All business partners tried different proposals and

eventually ended up deciding which method should the

product be prepared.

 The head of the business initiated a business meeting to

discuss the necessary agenda.

 The head of the business assigned fixed roles and tasks of

focus to each business partner with equal burden but

aligns with the partner’s schedule and capability.

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D. Procedure Related

Problems

 Making the product consumed too much time than

expected and resulted to lesser sales.

 In the process of making the product, relatively high

amount of leftovers are present.

 Adding the juice to the snack set resulted to inefficiency

due to unanticipated unequal mixture of the juices.

Solutions

 The business partners decided to assign roles for each

other in the production process so as to speed up the flow

of production.

 The business partners initially divided the fillings mixture

into the desired number of orders with no ingredients left

over.

 The business partners decided to have a specific juice

flavour in a day so that it would be the focus of the

business partners in achieving a certain number of orders.

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 CHAPTER VIII

LESSONS LEARNED IN CONDUCTING THE BUSINESS

1. As people at a personal level

Both time and financial management were the key

challenges the business partners recognized to be always part of

the business endeavour. However, with the partners’ individual

involvement, it had contributed to the maximized interest of the

business partners as well as the feeling of excitement of being

actually involved in business affairs. In totality, it was both a

difficult but very enjoyable activity to conduct a business itself.

2. As STEM students

Being a student of the sciences with no direct relation to

the subject on Entrepreneurship and business, the business

partners have considered and further realized the positive impact

brought by the experience. It had taught the business partners

the significance and the possible challenges even STEM students

could face in the near future when it comes to business.

3. As members of the community

The business partners are proud that they were able to

modify and add twists to common Filipino snack products since

this has widened the scope of their creativity in the business and

that are direct affordable choices for people in the community.

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 CHAPTER IX

APPENDICES AND DOCUMENTATION

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