4. A product is something that is
manufactured following a process,
or grown and nurtured in order to
be sold for a profit.
A service is a facility
supplying a public demand.
5. • In deciding what type of business to
get into, it might be good to start with
a hobby or interest. It is easier to work
on something that you are already
passionate about.
• Start small before you think
of producing bigger
6. • You have to practice your
skills in food preparation and
cooking.
• You have to observe safety
practices in handling,
preparing, and serving food
7. • Whatever you decide on, you
have to remember to keep your
cost down while maintaining
the quality of your product
8. • Lastly, remember that the
way a product is presented
to the customer affects its
saleability.
• Packaging must be of good
quality but also cost effective.
9. • If you do not have particular
product in mind yet, but would
like to develop one, you might
want to do some research and
investigation.
10. • Observe people and their food
preferences and even check the
existing products in the local
market.
11. • Can you see some products that
you might want to produce and
sell?
• What are the common
items, other than food,
that most people buy in
your school or community?
12. • Research
• Plan – decide what
product can you make and
sell.
• Design packaging options
• Compute the cost of your
product
13. Costing Sample
1. List of ingredients for Chiffon Cake
6 eggs 42.00
1 c sugar 15.00
1 c milk 20.00
3 tsp. baking powder 5.00
2 ¼ c cakeflour 30.00
1 tsp. flavoring 5.00
1 c oil 10.00
1 tsp. cream of tartar 5.00
___________________________________
Total cost of ingredients 132.00
14. Costing Sample
2. Operating Expenses
Labor 50.00
Gas 40.00
Transpo 20.00
Packaging 40.00
Total cost of operating expenses 150.00
15. Costing Sample
3. Computation for Selling Price
Cost of Ingredients 132.00
Operating Expenses 150.00
Total Expenses 282.00
20% Mark-up 36.40
Selling Price 318.40
