This document discusses the production process and financial aspects of a proposed fruit mixed chips business. It describes the production process which involves slicing, dicing, chopping vegetables into snack sizes and then frying or baking them. It then details the production schedule, plant size, required machinery and equipment, costs, and assumptions for financial projections over 5 years. Key details provided include operating 3 times a week, producing 65 packs per variant biweekly, using a 10 square meter production area, and total initial projected costs of 600,000 PHP.

1. MOUNT CARMEL COLLEGE OF CASIGURAN, INC.
CASIGURAN, AURORA 3204
CHAPTER IV
Technical Aspect
This study discusses about the process of production and
activities of the proposed project. It states also the machineries
and equipment used including the cost of raw material needed for
production also included the building layout size and production
schedule are also presented in this chapter.
Production Process
The Fruit Mixed Chips are simply vegetables sliced, diced,
and chopped into a snackable size, and then typically baked or
fried. After frying or baking, pack it according to the weight of
the proposed product.

2. MOUNT CARMEL COLLEGE OF CASIGURAN, INC.
CASIGURAN, AURORA 3204
Figure 3
Product Diagram
Production Schedule and Capacity
The proposed business operates thrice a week every Monday,
Wednesday and Saturday from 8:00 am and 5:00 pm. The product
will be disposed 65 packs every variant which can sell only two
days before another production.
Plant Size
The Fruit Mixed Chips is located at Barangay 01, Casiguran,
Aurora. The location has proven to be highly profitable and ideal.
It is where the people and people and employees walk into. The
Delivering
Packing
Cooking
Preparation for Cooking

3. MOUNT CARMEL COLLEGE OF CASIGURAN, INC.
CASIGURAN, AURORA 3204
customer could easily see the because it is in commercial are. The
location is about 10 by 10 square meter.
Machineries, Equipment, Furniture and Fixture
The following machineries, equipment office supply, furniture
and fixture are presented below:
Table 6
Machinery and Equipment
Machineries and
Equipment
Unit Cost
(Php)
Amount
(Php)
Fire Extinguisher 1 2,300.00 2,300.00
Fruit Slicer 2 5,000.00 10,000.00
Electric Fan 2 700.00 1,400.00
Second Hand
Tricycle
1 30,000.00 30,000.00
Cooking Material - 3,000.00 3,000.00
Stove 2 1,200.00 2,400.00
Grand Total 8 42,200.00 49,100.00
Machineries and equipment are needed in the business
operation.

4. MOUNT CARMEL COLLEGE OF CASIGURAN, INC.
CASIGURAN, AURORA 3204
Table 7
Furniture and Fixture
Description Unit Cost
(Php)
Total Cost
(Php)
Filling Cabinet 1 set 3,500.00 3,500.00
Mono Block Chair 5pcs 250.00 1,250.00
Wooden Table 2 650.00 1,300.00
Total 8 4,400.00 6,050.00
Furniture and Fixture are important in the business.
Table 8
Kitchen Tools
Description Qty./
Unit
Unit Cost Total Cost
GPS Double Burner
Stove
1 set 2,000.00 2,000.00
Frying Pan 2 pcs 250.00 500.00
Siyansi 2 pcs 40.00 80.00
Measuring Cup 2 pcs 50.00 100.00
Fruit Peeler 4 pcs 200.00 400.00
Stainless Mixing 2 pcs 1,000.00 2,000.00
Bowl 2 pcs 70.00 140.00
Stainer 2 pcs 70.00 140.00
Spoon 2 Dozen 70.00 140.00
Cellophane Paper 1 roll 50.00 50.00
Total 5,550.00

5. MOUNT CARMEL COLLEGE OF CASIGURAN, INC.
CASIGURAN, AURORA 3204
Table 9
Office Supply
Description Unit Cost
(Php)
Total Cost
(Php)
Record Book 2 pcs 95.00 190.00
Ball Pen 1 box 144.00 144.00
Calculator 2 pcs 100.00 200.00
Trash Can 2 pcs 70.00 140.00
Wall Clock 1 pc 150.00 150.00
Total 8 363.00 734.00
Table 10
Other Supply
Descriptive Unit Cost
(Php)
Total Cost
(Php)
Broom 2 pcs 10.00 20.00
Round Towel 5 pcs 10.00 50.00
Dust Pan 2 pcs 50.00 100.00
Mop 1 pc 150.00 150.00
Waste
Container
3 pcs 180.00 540.00
Plastic
Garbage
10 pcs 20.00 200.00
Hairnet 4 pcs 10.00 40.00
Apron 4 pcs 100.00 400.00
Total 31 530.00 734.00

6. MOUNT CARMEL COLLEGE OF CASIGURAN, INC.
CASIGURAN, AURORA 3204
Table 11
Electric Material Cost
Description Unit Cost
(Php)
Total cost
(Php)
Safety switch 30A 1 pc 250.00 250.00
Fuse 30A 2 pcs 70.00 70.00
Receptacle 2x2 4 pcs 25.00 100.00
Tumbler switch 4 pcs 45.00 180.00
Convenience outlet 2 pcs 65.00 130.00
Junction Box 4x4 3 pcs 30.00 90.00
Staple wire no. 1 1 box 45.00 45.00
Electric tape 1 roll 35.00 35.00
Wood Screw 3/ 4x7 2 pcs 100.00 12.00
Flourescent 2 pcs 350.00 700.00
Bulb 2 pcs 175.00 350.00
PDX WIRE #10 2m 65.00 130.00
PDX WIRE #14 18mm 36.00 648.00
PDX WIRE #12 12mm 45.00 540.00
Total 3,350.00
Table 12
Electric Installation
Description Cost
(Php)
Meter deposit 845.00
Inspection fee 66.00
Processing fee 30.00
Seminar fee 20.00
Membership fee 5.00
Connection and Seal 200.00
Calibration Fee 20.00
Vat 60.00
Total 1,226.00

7. MOUNT CARMEL COLLEGE OF CASIGURAN, INC.
CASIGURAN, AURORA 3204
Table 14
Water Installation Cost
Description Unit Cost
(Php)
Total Cost
(Php)
Connection fee - - 400.00
Labor - - 250.00
Saddle clamp 1 250.00 250.00
Water meter 1 1,500.00 1,500.00
Cyclone wire 3 425.00 1,275.00
Elbow reducer 3 60.00 180.00
Union patent 1 180.00 180.00
Needle 1 40.00 40.00
Faucet G. I 3 175.00 525.00
Reducer 1 60.00 60.00
Adaptop
female/male
3 70.00 210.00
Pipe pvc ½ 3 75.00 225.00
Coupling ½ 3 15.00 45.00
Gate vale ½ 1 310.00 310.00
Total 5,450.00
Table 15
Water Expense
Montly Consumption Annual Consumption
Estimated consumption (10m2) 70x12 = 840.00
Water (70)

8. MOUNT CARMEL COLLEGE OF CASIGURAN, INC.
CASIGURAN, AURORA 3204
Sanitation
Republic Act No. 10611
The food Safety Act of 2013
An act to strengthen the food safety regulator system in the
country to project consumer health and facilitate market access of
local foods and foods product and for other purposes.
Food Sanitation Law (Law No. 233 of 1947)
Article 3 (Responsibility of Food-Related Business Operation)
Any business operation of food, etc. shall voluntarily try to
get knowledge and techniques related to securing of the safety of
the food, food additives, apparatus or containers/package that was
handled, manufactures, imported, proposed, prepared, stored,
transported, sold, offered to the public or large number of
persons, or used for business purpose.
Sanitation Code of the Philippines
Chapter III of P.D 856 Food Establishment:
a. Section 14. Sanitary Permits

9. MOUNT CARMEL COLLEGE OF CASIGURAN, INC.
CASIGURAN, AURORA 3204
b. Every Sanitary permit shall be posted in a conspicuous place
of the establishments
c. Fees payable on application for permits and upon their
issuances, renewal and noting of such certificates
d. Noting of permits
e. Record of permit certificate
f. Name and address
- Wash-hand basin and all hand-washing facilities

10. MOUNT CARMEL COLLEGE OF CASIGURAN, INC.
CASIGURAN, AURORA 3204
APPENDIX B – STORE LOCATION

11. MOUNT CARMEL COLLEGE OF CASIGURAN, INC.
CASIGURAN, AURORA 3204
FLOOR PLAN

12. MOUNT CARMEL COLLEGE OF CASIGURAN, INC.
CASIGURAN, AURORA 3204
CHAPTER V
FINANCIAL ASPECT
Financial management involves the decisions and implement of
financial plans and activities. The aspect includes the
preparation of the operating budget, production, capital, and
financial statement of the business.
Project Cost
Organizational Cost 7,379.20
Pre-operating Cost 18,126
Working Capital 463,341.92
Fixed Assets 55,150
Margin Safety 56,002.89
Total Project Cost 600,000
Assumptions
Ascertaining the projected results of operation and
financial condition of the proposed business for five years period,
these are the assumptions:

13. MOUNT CARMEL COLLEGE OF CASIGURAN, INC.
CASIGURAN, AURORA 3204
General Assumption
1. The operation of the proposed business in 365 days in a cycle.
2. Depreciation of machineries and equipment is computed using
straight line method.
3. Cash is computed based on the cash flow statement.
Incomes Stated Assumption
1. Payment of salary is estimated to increase