Feasibility study about Poultry Business

St. Anthony’s College
San Jose de Buenavista, Antique
INTRODUCTION
Livestock raising is a common business in our country. In this business, varieties
of products are derived depending on what production the entrepreneur is in. It requires
knowledge and skills in order to succeed in this field. Thus, interest, capital, ability to
manage the project and the demand for the product in the locality is taken into
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consideration.
One of the livestock raising industry is poultry. It can be specialized into egg
production, chicken breeding, and raising broilers for meat production. It has been a
popular and lucrative job due to the increasing demand from the emerging business and
increasing population.
This feasibility project is primarily focused on the poultry production specifica l ly
the 45 days broiler meat production. This business, the Chic’N Poultry Business, will be
engaged in raising and selling good quality dressed chicken and its by-products such as
intestine, liver, feet, head, neck and gizzard. It will serve the demand of poultry meat in
Bugasong and probably the neighboring municipalities in the near future.

EXECUTIVE SUMMARY
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BACKGROUND INFORMATION
The proposed project name is “Chic’N Poultry Business” which will be
located at Brgy. Sabang West, Bugasong, Antique. The poultry farm has an easy access to
transportation, electricity and water supply. The business is a sole proprietorship owned by
Mrs. Arleen N. Sidayon. Chic’N Poultry Business is engaged in growing broiler and
producing chicken meat. It will focus on selling the Best Dressed Chicken and its by-products
with its superior taste and texture.
MARKETING ASPECT
The business will cater the unfilled demand of dressed chickens and its by-products
in the market. The demand and supply of the project is based on the survey that was
conducted. The price will be based on the prevailing market price of the product. To attract
prospective buyers, streamers will be put up and fliers will be distributed in public places.
Word-of-mouth will also be a good way to introduce the product. The products will be
distributed through delivery which will be scheduled before the market days of Bugasong.
Walk-in customers will also be accommodated. The target markets are business
establishments such as restaurants, meat shops, barbeque stalls, roasted chicken food stall
and food catering businesses.

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TECHNICAL ASPECT
The proposed project is located at an accessible area. The place is spacious and
surrounded by trees which is appropriate to relieve the chicken from stress and diseases.
The location has a built-in well which will help sustain the water supply.
The business will be engaged in growing the broiler chicken until it is processed
into a dressed chicken and ready for delivery. The wastes will be dumped in a compost pit.
ORGANIZATIONAL ASPECT
The project is owned by Mrs. Arleen N. Sidayon. The owner will be the manager
and the bookkeeper. There will be three staff that will help in the operation of the business.
FINANCIAL ASPECT
The source of financing will be 25% from the bank loan and the 75% will be
provided by the proponent. The financial aspect of the business requires high cost to put
up the project but a good gain can also be expected.
SOCIO-ECONOMIC ASPECT
The project aims to contribute benefits to the people of Bugasong because it will
hire three staff who are residents of the local area. It will generate additional income to the
government through paying taxes and in complying the permits needed in the operation of
the business. It will also help increase the supply of dressed chicken and its by-products in
the market.

BACKGROUND INFORMATION
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A. Name of the Business
The project is named “Chic’N Poultry Business” as a short but catchy
term for our product which is chicken.
B. Location
The project is located at Brgy. Sabang West, Bugasong, Antique. It is a
spacious area surrounded by trees which is suitable for raising chickens. It is far
from neighboring houses to avoid disturbance and has an easy access of
transportation, electricity and water.
C. Vision, Mission and Objectives
Vision
Chic’N Poultry Business aims to be the leading suppliers of dressed chicken
and its by-products in Bugasong, Antique as well as in the neighboring towns.
Mission
Chic’N Poultry Business is committed to promote good and high quality
with low price dressed chicken and by-products to the people living in Bugasong,
Antique and other neighboring towns.

Objectives
The objective of the proposed project is to promote convenient distribut ion
of dressed chicken and its by-products for consumers’ consumption, retailers and
other food business establishments to satisfactorily avail their needs.
Indicatively, the project wants to attain the following:
a. To expand the operation of the business in the neighboring towns after 5
5
years.
b. To increase profit by 5% annually.
c. To provide good and high quality products.
d. To be the leading supplier of dressed chicken and its by-products in
Bugasong and other neighboring towns.

MARKETING ASPECT
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A. Description of the Product
Chic ‘N Poultry Business will raise 45 days broiler chickens with a target
weight of 1.6 kilo each. Broiler chicken are day old chicks that typically have white
feathers and yellow skin which become full grown broilers at an average of 45 days.
The business will produce dressed chickens that are fresh and well-cleaned.
Aside from the dressed chicken, the business will also offer its by-products such as
gizzard, liver, intestines, feet, head and neck.
B. Target Market
Chic’N Poultry Business primarily targets to supply business
establishments such as restaurants, meat shops, barbeque stalls, roasted chicken
food stall and food catering businesses in the municipality of Bugasong.
Moreover, the demand of dressed chicken in the market of Bugasong is
2,472 kilos. There are two existing competitors namely Chynn-Chynn’s Store
which produces 731 kilos of dressed supply chicken every week or 2,924 kilos a
month and Magnolia which produces 366 kilos a week or 1,464 kilos per month.
Both competitors are located at the public market of Bugasong. The data for
demand and supply is located at Schedule 1.

Product Price per kilo
(Regular Seasons)
Chicken P 120.00 P 130.00
Intestines P 80.00 P 80.00
Liver P 150.00 P 150.00
Feet P 80.00 P 80.00
Head P 50.00 P 50.00
Neck P 90.00 P 90.00
Gizzard P 140.00 P 140.00
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C. Pricing Strategy
In order to be competitive, the products will be sold based on market price
in Bugasong. The average inflation rate of dressed chicken and its by-products is
5% (Philippine Statistics Authority,Antique). The regular seasons of dressed
chicken and by-products are January, February, June, July, August, September,
October and November while the peak seasons are March, April, May and
December. The products are listed below with their respective market price per kilo.
Table 1. Prices of Products
D. Distribution Strategy
Price per kilo
(Peak Seasons)
The products will be distributed through delivery. The market days in
Bugasong are Wednesday and Sunday. Prior to the market days, there will be a
scheduled delivery every Tuesday and Saturday using the delivery vehicle

(multicab) owned by the proponent. If the customer would like to order not on
scheduled time of delivery or there are possible walk-in customers, the manager’s
decision depends if there is an excess products as reserved for the following day
provided that the customer will also be the one who will pick-up the product.
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The cost of delivery is shown below:
Cost of gasoline per Scheduled
Delivery
Amount
Weekly P 250.00
Monthly P1,000.00
Table 2. Cost of Delivery
E. Promotional Strategy
The promotional strategies to be used by Chic ‘N Poultry Business are
through word of mouth, placement of streamers and distribution of fliers. The
streamers will be placed at the municipal plaza of Bugasong, public market and in
front of the poultry farm two weeks before opening of the business. The fliers will
be distributed to the business establishments such as restaurants, meat shops,
barbeque stalls, roasted chicken food stall and food catering businesses in
Bugasong as well as the by-passers in the public market two weeks before the
opening of the business.

The following table shows the cost of promotional materials:
Cost
per
Unit
Number
of Pieces
Total Cost Supplier
P200 3 P 600.00 Boytex Printing
1 450 450.00 Tres Marias
TOTAL P1,050.00
Table 3. Cost of Promotional Materials
Promotional
Material
Streamer
(2x1 m)
Flier
(8.5 x 5.5 in)
Computer Shop
*The canvass of promotional materials is presented in Exhibit 20B.
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F. Sales Projection
Services
(Bugasong)
(Bugasong)
Based on the survey, the unmet demand for dressed chicken in a week is
1,375 kilos or 5,500 kilos in a month. The market share of dressed chicken in
Bugasong is 12% (Philippine Statistics Authority, 2014).
The projected sales for the first year of operation is P1,279,488. The
projected annual growth rate for dressed chicken and its by-products is 8% and the
inflation rate of prices is 5% (Philippine Statistics Authority, 2014).

The projected sales for five years is presented below:
Table 4. Projected Sales
10
Year Sales-Dressed
Chicken
(Schedule 2A)
Sales -By-Products
(Schedule 2B)
Total Sales
1 P 1,085,007.00 P 194,481.00 P 1,279,488.00
2 1,342,593.00 240,993.00 1,583,586.00
3 1,514,938.00 272,933.00 1,787,871.00
4 1,789,854.00 309,966.00 2,099,820.00
5 1,955,082.00 351,274.00 2,306,356.00

TECHNICAL ASPECT
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A. Nature of the Product
Chic ’N Poultry Business grows and produces dressed broiler chicken.
Broiler chicken is a specialized breed of chicken intended to grow approximate ly
45 days, the best breed of chicken to raise for meat production. Dressed chicken
will only be sold in whole and specific prices will be placed on its by-products.
The business will focus on selling the Best Dressed Chicken and its by-products
with its superior taste and texture. The major consumers of the product
will be restaurants, market, various institutions with food catering services, and
high income households.
Products Description
Dressed Chicken It is a processed chicken.
Intestine It is a long tube in the body of the chicken.
Liver This is the largest organ of the chicken. It
is a dark brown part internal organ of the
chicken.
Feet These contain relatively little meat, and are
eaten mainly for the skin and cartilage.

Head It is the upper part of the chicken which is
mostly grilled.
Neck It is a part between the head and the body
of the chicken which is mostly grilled or
fried.
Gizzard It is a dark brown and hard part of the
chicken.
Table 5. Description of Products
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B. Location of the Business
Chic’N Poultry Business is located at Brgy. Sabang West, Bugasong,
Antique. The site has an easy access to transportation, electricity and water supply.
There is a built-in well in the site which can be used in maintaining the cleanliness
of the poultry farm. The location is surrounded by the trees which helps the
chickens avoid stress which is cause of too much heat of sun.

PURCHASE REARING DRESSING DISPOSAL
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C. Operational Process
Figure 1. Operational Process
Price canvass of one (1) day
old chick
Supplier
Purchase of one (1) day old
chick
Payment and receipt of
chick
Set up (feeders, waterers,
artificial brooders and
ventilation)
Chicks
Arrival and unloading of
chicks
Feeding and giving of water
three (3) times a day
Vaccination
Fasting of chicken for four
(4) to eight (8) hours
Weighing of chicken
Stunning/ bleeding
Scalding and removal of
feathers under controlled
heat (600)
Evisceration/ Removal of
Internal Organs
Washing/ cleaning of
products
Refrigeration
Take
cu stomers’
orders
Customer
Purchase
order
Pickup and
del ivery of
goods
Bi l l
customers
and issue
Col lection of
payment
Issuance of
receipts

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a. Feeding Schedule
Age of
chicks
in days
Type of
feeds
Consumpti
on
Cost per
Sack
Total
Cost per
800
chicks
Supplier
0-14 Chick
Booster
3 sacks/800
heads
P1,350.00 P 4,050.00 Pacifica
Agri-Vet
Supplies
15-28 Broiler
Starter
4 sacks/800
heads
P1,500.00 P 6,000.00 Stephen &
Diane
Store
29-45 Broiler
Finisher
4 sacks/800
heads
P1,250.00 P 5000.00 Pacifica
Agri-Vet
Supplies
Table 6. Feeding Schedule (Department of Agriculture)
b. Drinking Water
The chicks will be provided with numerous drinking bowls since they easily
get thirsty, especially in hot weather. It will also help them to learn quickly how to
drink. These will place be in bright places so they can be easily found and accessible
to approach. The source of water will be from the Bugasong Water District.

Age of chicks in days No. of hours in light No. of hours in dark
0-3 23 1
4-7 18 6
8-14 14 10
15-22 16 8
23-28 18 6
29 to market age 22 2
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c. Light
In the first week, the chicks will be given enough light to enable them to
keep eating. For the first three days, flocks are usually expose to 23 hours of light
and one hour of darkness to allow for adjustment to their surroundings and for
finding feed and water. The hour of darkness adapts the flock to darkness and
prevents later piling in case of electrical failure. Light duration is then controlled
from day four to five or six weeks, depending on target weight and duration of the
grow out.
Table 7. Light Schedule (Department of Agriculture)

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d. Temperature
Chick’s temperature is 38.6°C and becomes 40.5°C in 7 days. The coop
temperature must be 31°C-35°C in the first day and this is lowered by 3°C at the
end of the first week. After this, temperature is maintained at 21°C-24°C.
Age of chicks in days Brooding temperature oC
0-7 31 – 35
8-15 27-31
15-27 21-24
28-45 Remove the supply of heat
Table 8. Temperature Schedule (Department of Agriculture)
e. Vaccination Program
The broiler chickens will be vaccinated in order to prevent them from
diseases such as New Castle Disease and Infectious Bursai Disease. The NCD
Vaccine is administered on the 7th and 17th day of the chick. One drop of vaccine
in the eyes or one drop in the nostril is given. Care should be taken not to release
the chick until it has inhaled the nasal drop and/or blinked its eye. The IBD Vaccine
is mixed with water on the 7th and17th day of the chick.
This is performed to prevent the increase number of mortality of chickens.
Vaccine Schedule Cost per Head
New Castle Disease
Vaccine
7 days old
P 1.50
P 2.00

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Infectious Bursai
Disease Vaccine
New Castle Disease
Vaccine
Infectious Bursai
Disease Vaccine
17 days old P 1.50
P 2.00
Table 9. Vaccination Schedule
D. Land, Delivery Vehicle and Building
The owner has an available land and delivery vehicle to be used for the
entire operation. The land has an area of 300 square meters which is enough to put
up a poultry farm. The building costs P 80,809.00.
The lay-out of the poultry farm is presented at Exhibit 33 and the detailed
computation for the building is located at Exhibit 6.
E. Equipment, Supplies and Furniture and Fixtures
Equipment
Particulars QTY Unit Unit Cost Estimated
Useful
Life
Total Cost Supplier
Operating Equipment
Knives 3 Item
P130.00
5 P390.00 Bandiola
Plastic
Goods

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Weighing
scale
2 Item 1,980.00
(60 kilos)
5 3,960.00 Charlie
Auto
Supply
Kawa 1 Item 2,900.00
(extra
size)
5 2,900.00 Bandiola
Plastic
Goods
Plucker 1 Item 19,000.00 10 19,000.00 Olx.com
Artificial
Brooder
5 Item 150.00 5 750.00 Dinglasan
Furniture
Freezer 2 Item 15,000.00 7 30,000.00 Gaisano
Grand
Mall of
Antique
Chopping
Board
2 Pieces 350.00 5 700.00 Dinglasan
Furniture
Waterers 25 Pieces 110.00 5 2,750.00 Pacifica
Agri-Vet
Supplies
Shovel 2 Item 450.00 5 900.00 Robert
Trading
Wheel
borrow
1 Item 2,195.00 5 2,195.00 Susana
Marketing

Bucket 5 Item 250.00 5 1,250.00 Bandiola
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Plastic
Goods
Tub/Basin 10 Item 260.00 5 2,600.00 Bandiola
Plastic
Goods
Generator 1 Item 15,000.00 10 15,000.00 Aton
Marketing
Total Operating Equipment P82,395.00
Office Equipment
Calculator 3 Item 465.00 5 1,395.00 Gaisano
Grand
Mall of
Antique
Stapler 2 Item 40.00 5 80.00 Hercyl’s
Mini Mart
Total Office Equipment P1,475.00
TOTAL COST OF EQUIPMENT P83,870.00
Table 10. List of Equipment
*The canvas of cost of equipment is presented in Exhibit 2.
Description – Operating Equipment
 Knives- A sharp edge equipment for cutting. It is used in cleaning the chicken.

 Weighing Scale- A measuring device used to weigh live and dressed chicken.
 Large Pan (Kawa) – A large piece of cookware used for boiling or roasting foods.
It will be used in the scalding procedure to help soften the feathers.
 Plucker- An electric equipment with rubber fingers that enables easy feathering of
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the chicken.
 Artificial Brooders – It is a 120 watts capsule which is used to supply heat to the
chicks in the brooding house from day old to 2 weeks. This is in the form of electric,
kerosene lamp or aid of charcoal.
 Freezer- A cooling equipment used in freezing the clean chicken that is ready for
delivery.
 Chopping Board – It is a durable board made of wood or plastic and come in various
widths and sizes. It will be used as a place material for cutting the chicken.
 Waterers – It is an inverted vessel that is used as drinkers. It is a semi-circular, fairly
wide and supported by an additional bracket to permit easier adjustment and easy
cleaning.
 Shovel- A tool used for digging and cleaning the poultry house.
 Wheelbarrow- It is cart that bring items from one place to another. It will be used
to carry the feeds and manure of chickens.
 Bucket- It is a container used in getting water and cleaning the poultry house.
 Tub/Basin- It is an open usually circular vessel with sloping or curving sides used
typically for holding water or other materials. This is where the chickens are placed
after cleaning.
 Generator – It is a machine used to supply electricity.

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Description - Office Equipment
 Calculator – It is a device that performs arithmetic operations on numbers.
 Stapler – It is machine for fastening together sheets of paper or the like, with wire
staples.
Supplies
Particulars Quantity Unit Unit
Cost
Total Cost Supplier
Office Supplies
Folder 20 Pieces P5.00 P100.00 Gaisano Grand
Mall of Antique
Record
Book
5 Item 85.00 425.00 Gaisano Grand
Mall of Antique
Ballpen 10 Item 11.00 110.00 Gaisano Grand
Mall of Antique
Receipts 50 Item 44.00 2,200.00 Gaisano Grand
Mall of Antique
Correction
Fluid
2 Item 14.00 28.00
Gaisano Grand
Mall of Antique
Total Office Supplies P2,863.00
Operating Supplies
Plastic Bag 1 Item 100.00 100.00 Bandiola Plastic
Goods
Total Operating Supplies P100.00
Cleaning Supplies
Waste can 1 Item
160.00
160.00 Bandiola
Plastic Goods
Broom 2 Item 130.00 260.00 Bandiola
Plastic Goods

Dustpan 2 Item 50.00 100.00 Bandiola
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Plastic Goods
Total Cleaning Supplies P520.00
TOTAL SUPPLIES P3,483.00
Table 11. List of Supplies
*The canvas of cost of supplies is presented in Exhibit 3.
Description – Office Supplies
 Folder – A piece of cardboard folded to make a file in which necessary documents
can be held, compiled and filed.
 Record Book – It is used to monitor the inventory level, credits of customers,
attendance of staff, expenses and revenues.
 Ballpen – It is an instrument with ink used for writing.
 Receipts – It is a printed acknowledgement which serves as an evidence of
payment.
 Correction Fluid – An opaque liquid used to paint over a written or printed errors
and provide a surface for adding a correction.
Description – Operating Supplies
 Plastic –A thin transparent waterproof material used for wrapping the products
sold by the business.
Description – Cleaning Supplies
 Waste Can –A container for waste wherein people throw their trash especially
papers.

 Broom –A brush for sweeping inside the office.
 Dustpan –A container with a flat base and an open front into which dirt and dust
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can be swept.
Furniture and Fixtures
Particulars Unit
Cost
Quantity Estimated
Useful
Life
Total Cost Supplier
Monoblock
Chair
P300.00 5 3 P1,500.00 Bandiola
Plastic Goods
Wooden
Table
3,299.00 1 4 3,299.00 Gaisano
Furniture
Filing
Cabinet
14,500.0
0
1 4 14,500.00 Gella Gen.
Merchandising
Total P19,299.00
Table 12. List of Furniture and Fixtures
*The canvas of cost of furniture is presented in Exhibit 4
Description – Furniture and Fixtures
 Monoblock Chair – A plastic furniture that is used for sitting accommodation of
customers and staff.
 Wooden Table – A wooden furniture use in the reception area and paper works area
of the manager.

 Filing Cabinet – A furniture that is used as storage compartment. It will be the place
where the files of the business are kept.
Description No. Monthly Salary
Owner/Manager 1 P8,080.00
Caretaker/Maintenance 1 6,012.70
Operational Staff 1 6,529.50
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F. Labor Requirements/Manpower
Chic’N Poultry Business will have three employees in the operation and
management of the business.
Table 13. List of Monthly Salaries
Operational
Staff/Driver
G. Utilities
The poultry business needs water and electricity. Water is important in
order to provide water supplements to the chicken and to clean the poultry house.
The source of water will come from an existing deep well within the vicinity and a
faucet; therefore the need for water supply is enough to operate the business. Also,
this project needs electricity to provide light to the chicken. It will serve as a source
of artificial heat for them.
1 7,286.30
TOTAL 4 P27,908.50

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Utilities Monthly
Usage
Rate Monthly cost Supplier
Water 22.72 Cubic
Meter
P22 per Cubic
Meter
P500.00 Bugasong
Water District
Electricity
(Schedule )
328.03 kilowatt P10.30 per
kilowatt
3,378.71 ANTECO
Transportation 1,000.00 Sea Oil
Communication P L A N 499.00 Globe
TOTAL P5,377.71
Table 14. List of Utilities Expense
H. Waste Disposal
In order to make the project environment friendly it needs proper disposal
of waste. In connection with this, the project must have a compost pit, about 2
meters wide and 2 meters deep. The compost pit will be the dumping site of the
waste of chicken which shall be covered to minimize the spreading of odor.
I. Fiscal and Legal Regulations
The business, in order to start its operation, needs several permits such as DTI
permit and Mayor’s Permits. These permits are renewable annually.

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Amount
Annual Registration (BIR) P500
DTI 300
Mayor's Permit 2,000
Business Clearance to Operate 30
Police Clearance 75
Sedula 22
Fire Clearance 50
Sanitary Permit 125
Environmental Compliance Certificate (DENR) 500
TOTAL P3,602
Table 15. List of Permits

ORGANIZATIONAL ASPECT
Owner/Manager
Operational
Staff
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A. Form of Organization
The business will adopt a sole proprietorship type of organization where the
owner will also be the manager. This form of organization is chosen because it is
easy to establish.
B. Organizational Chart
Caretaker/
Maintenance
Operational
Staff/Driver
Figure 2. Chic’N Poultry Business – Organizational Structure

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C. Functions and Job Descriptions
The employees of the business will have the following functions:
Job Title Description
Owner/Manager Responsible for the production and business
management.
Supervise the daily operation.
Purchase chicks, feeds and other necessities for the
rearing of chicks.
Accepts orders.
Receive payments from the customers and issues official
receipts.
Pays the bills.
Acquire assets.
Approves the credits of customers.
Negotiate with the customers concerns.
Responsible for the bookkeeping.
Renew the licenses and permits.
Pay premiums of SSS and Phil health.
Approves transactions related to the business.
Hires and fires employees.
Caretaker/Maintenance Replenish food and water for the chickens on daily basis.
Administer the vaccination of the chicken.

Clean the cages, office and the surroundings of the
poultry farm.
Administer the vaccination.
Operational Staff Responsible for the purchase, loading and unloading of
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chicks.
Responsible for the weighing, bleeding, scalding,
evisceration, cleaning and refrigeration of the product.
Administer the delivery of the customer’s orders.
Operational Staff/Driver Responsible for the purchase, loading and unloading of
chicks.
Drive the delivery truck.
Responsible for the weighing, bleeding, scalding,
evisceration, cleaning and refrigeration of the product.
Administer the delivery of the customer’s orders.
Check the condition of delivery truck regularly.
Table 16. Functions and Descriptions of Employees
D. Qualifications
For the above positions and their corresponding tasks and functions, the
following qualifications are required:
1. Owner/Manager
 Is willing to finance the business.
 Able to manage the business.

 Is knowledgeable in poultry industry.
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2. Caretaker/Maintenance
 Male, a full time worker whom able to maintain poultry cleanliness and
administer the rearing of chickens.
 At least 18-35 years old.
 Must be loyal and trustworthy.
 Must be responsible, industrious and hard worker.
 Is knowledgeable about poultry industry.
3. Operational Staff
 Male, at least 20-35 years old.
 At least high school graduate.
4. Operational Staff/Driver
 Male, at least 20-35 years old.
 At least high school graduate. Must have a driver’s license.
 Proficient in driving and repairing of delivery truck.

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E. Compensation Package
The business will give the following compensation package for its employees:
Position Monthly
Wages
SSS Philhealt
h
Net Pay per
Month
Net Annual
Salary
Owner/
Manager
P7,440.00 P552.50 P87.50 P8,080.00 P96,960.00
Caretaker/
Maintenance
5,520.00 405.20 87.50 6,012.70 72,152.40
Operational
Staff
6,000.00 442.00 87.50 6,529.50 78,354.00
Operational
Staff/Driver
6,720.00 478.80 87.50 7,286.30 87,435.60
TOTAL P25, 680 P1,878.50 P350.00 P27,908.50 P334,902.00
Table 17A. Compensation Package
Total Contribution – Employer
Position SSS PhilHealth Total
Contribution
per Month
Total Annual
Contribution
Owner/Manager P552.50 P87.50 P640.00 P7, 680.00
Caretaker/Maintenance 405.20 87.50 492.70 5, 912.40
Operational Staff 442.00 87.50 529.50 6, 354.00

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Operational
Staff/Driver
478.80 87.50 566.30 6, 795.60
TOTAL P1,878.50 P350.00 P2, 228.50 P26, 742.00
Table 17B. Total Contribution - Employer

FINANCIAL ASPECT
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A. Basic Financial Assumptions
1. Selling price of dress chicken and its by-product will increase annually by
5% (Philippine Statistics Authority, Antique).
2. Annual growth is 8% (Philippine Statistics Authority).
3. The total project cost is P810,000 pesos only.
4. Depreciation expense is computed using Straight-line Method.
5. The source of financing will be 25% bank loan and 75% owner
contribution.
6. The collateral for the loan in the bank is the land title of the owner.
7. Utilities and office supplies will increase at 4.68% every year (Philippine
Statistics Authority).
8. Feeds and vaccine consumption will increase at 4.68% every year
(Philippine Statistics Authority).
9. Mortality rate is 2% every batch (Department of Agriculture).
10. Working capital period is 3 months.
B. Total Project Cost
Property, Plant and Equipment (Schedule 3) P 583,978.00
Working Capital (Schedule 4) 218,370.00
Pre-Operating Cost (Schedule 5) 7,652.00
TOTAL P 810,000.00

34
C. Source of Financing
Debt (Bank Loan) 25% P 205,000.00
Equity Contribution 75%
Noncash (Exhibit 22) P 400,000.00
Cash 205,000.00
605,000.00
TOTAL P 810,000.00
Source of Financing Description
Debt The 25% of the fund will be obtained
from the agricultural loan from Land
Bank of the Philippines in which the
land of the owner will serve as a
collateral. The term of loan is 5 years
diminishing balance with interest of
8%.
Equity The 75% of the fund will be funded by
the owner . It is composed of a
delivery vehicle amounting to
P150,000, land costing P250,000 and
cash of P205,000.
Table 18. Description of Source of Financing

35
D. Projected Financial Statements
Financial Statement Description
Income Statement Formal statement showing the
financial performance of an entity
for a period of time
Statement of Financial Position Formal statement showing the
economic resources, liquidity,
solvency, financial structure and
capacity for adaptation of an entity
Statement of Cash Flow Formal statement which provides
information about the cash receipts
and cash payments of an entity
during a period
Table 19. Description of Financial Statements

CHIC 'N POULTRY BUSINESS
Projected Income Statement
For the Year Ended Dec. 31, xxxx
Year 1 Year 2 Year 3 Year 4 Year 5
Sales (Schedule 6) P1,279,488 P1,583,586 P1,787,871 P2,099,820 P2,306,356
Cost of Sales (Schedule 7) 962,537 1,073,167 1,140,582 1,246,339 1,347,706
Gross Profit 316,951 510,419 647,288 853,482 958,650
Less: Selling and Administrative
Expenses (Schedule 8) 71,895 73,370 73,868 74,390 74,935
Earnings Before Interest and Taxes 245,056 437,049 573,420 779,092 883,715
Less: Interest Expense (Schedule 9) 16,400 13,120 9,840 6,560 3,280
Earnings Before Taxes 228,656 423,929 563,580 772,532 880,435
Less: Income Taxes (Schedule 10) 32,164 87,179 219,074 212,210 246,739
Net Income P196,492 P336,750 P344,506 P 560,322 P633,696
36

CHIC N' POULTRY BUSINESS
Statement of Financial Position
Year 0 Year 1 Year 2 Year 3 Year 4 Year 5
37
ASSETS
Current Assets
Cash
P218,370
P382,150
P713,939
P1,052,963
P1,607,244
P2,234,230
Inventory (Schedule 11)
31,843
35,935
40,548
45,740
51,560
Total Current Assets
218,370
413,993
749,874
1,093,511
1,652,964
2,285,790
Noncurrent Assets
Property, Plant and Equipment
(Schedule 3)
583,978
570,378
556,777
543,177
529,576
515,976
Other Assets
Pre-Operating Costs (Exhibit 31)
7,652
6,122
4,591
3,061
1,530
-
TOTAL ASSETS
P810,000
P990,492
P1,311,243
P1,639,749
P2,184,070
P2,801,766

38
LIABILITIES AND OWNER'S EQUITY
Long-term Liabilities
Loan Payable (Schedule 9)
205,000
164,000
123,000
82,000
41,000
-
Owner's equity
Capital (Schedule 12)
605,000
630,000
655,000
680,000
705,000
730,000
Accumulated Earnings
(Net Income)
196,492
533,243
877,749
1,438,070
2,071,766
TOTAL LIABILITIES AND
OWNER'S EQUITY
P810,000
P990,492
P1,311,243
P1,639,749
P2,184,070
P2,801,766

CHIC N' POULTRY BUSINESS
Cash Flow Statement
Cash Flow from Operating Activities
Net Income P196,492 P336,750 P344,506 P560,322 P633,696
Add/Less Adjustments:
Increase in inventory -31,843 -4,092 -4,613 -5,191 -5,821
Depreciation-Building (Exhibit 30) 8,081 8,081 8,081 8,081 8,081
Depreciation-Equipment (Exhibit 27) 11,660 11,660 11,660 11,660 11,660
Depreciation-Furniture (Exhibit 28) 3,860 3,860 3,860 3,860 3,860
Depreciation-Delivery Vehicle (Exhibit 29) 15,000 15,000 15,000 15,000 15,000
Amortization of Pre-Operating Costs
(Exhibit 31) 1,530 1,530 1,530 1,530 1,530
Net increase (decrease) in cash from
operating activities 0 204,780 372,789 380,024 595,261 668,005
39
Cash Flow from Investing Activities
Building (Exhibit 6) -80,809
Purchase of Equipment (Exhibit 7) -83,870
Purchase of Furniture & Fixtures
(Exhibit 8) -19,299
Pre-Operating Costs (Schedule 5) -7,652
investing activities -191,630 0 0 0 0 0

40
Cash flow from Financing Activities
Loan Release (Schedule 9) 205,000
Annual Payment of Principal (Schedule 9) -41,000 -41,000 -41,000 -41,000 -41,000
Capital Contribution in Cash 205,000
financing activities 410,000 -41,000 -41,000 -41,000 -41,000 -41,000
NET CASH FLOW 218,370 163,780 331,789 339,024 554,261 627,005
Add: Beginning Cash Balance 0 218,370 382,150 713,939 1,052,963 1,607,224
Cash Ending Balance 218,370 382,150 713,939 1,052,963 1,607,224 2,234,230

41
E. Financial Evaluation
a. Net Present Value
NPV is the excess of the present values of a project’s inflows over the
amount of the investment. It provides an absolute measure of a project’s worth
because it measures the total present value of the present return.
The project is accepted if the NPV is equal or greater than zero; otherwise,
reject. If the project is positive, the entity will earn a return equal to or greater
than its cost of capital.
Financial evaluation shows that the net present value of the project after 5
years is P 1,004,720.
Cost of capital is 6%*
Cash Inflow PV of 1 at 6% Present Value
Year 1 P204,780 0.94 P193,188
Year 2 372,789 0.89 331,781
Year 3 380,024 0.84 319,075
Year 4 595,261 0.79 471,503
Year 5 668,005 0.75 499,173
Total 1,814,720
Less: Investment 810,000
Net Present Value P1,004,720
Table 20A. Net Present Value Computation
Calculation for Cost of Capital
Cost of Capital Proportion WACC
Debt 8% 25% 2%
Equity 5% 75% 4%
Total 6%
Table 20B. Cost of Capital Computation

42
b. Internal Rate of Return
It is also known as discounted rate of return. It is a time adjusted rate of
return which equates the present value of the future cash inflows with the cost
of investment which produces them. If the project’s IRR is greater than the cost
of capital, then accept the project; if not, reject.
The IRR of the project is 46.87% which is higher than the 6% cost of capital.
Cash Inflow
Year 1 P204,780
Year 2 372,789
Year 3 380,024
Year 4 595,261
Year 5 668,005
Total 2,220,860
Divide by 5 years 5
Average Cash Return P444,172
Table 21A.Average Cash Return Computation
PV Factor:
Investment 810,000
Divide by Average Cash
Return 444,172
Total 1.823618
Table 21B. Present Value Factor Computation
Interpolation Method
IRR= 45% + 5%(.051909/.138901)
45% 1.875527 45% + 0.018686
0.051909 IRR= 46.87%
? 1.823618 0.138901
50% 1.736626
Table 21C. Internal Rate of Return Computation

43
c. Accounting Rate of Return
ARR is also called simple rate of return which measures the project’s
profitability from a conventional accounting standpoint by relating the required
investment to the future annual net income. Under this method, a project is
accepted if the ARR is greater than the cost of capital but reject if it is less than
the required rate of return.
The accounting rate of return is 12.13%, 32.92%, 42.05%, 55.85% and
73.70% respectively for five years. The project is profitable based on the
financial evaluation.
Net Income Average Net Income Divided by Investment ARR
Year 1
P196,492 P98,246 P810,000 12.13%
Year 2 336,750 266,621 810,000 32.92%
Year 3 344,506 340,628 810,000 42.05%
Year 4
560,322 452,414 810,000 55.85%
Year 5 633,696 597,009 810,000 73.70%
Table 22. Accounting Rate of Return Computation
d. Profitability Index
It is known as beneficial/cost ratio present value desirability index. It is the
ratio of the total present value of future cash inflow divided by its investme nt.
This method is used as a means of ranking projects in a descending order of
desirability. The project with PV Index of one or greater than one is accepted

because it maintains and enhances the wealth of the owners as reflected in the
share price of the firm’s common stock. If the project is less than one, reject.
The profitability index of the project based on the financial evaluation is
2.24 .This project is acceptable because it can maintain or enhance the wealth
44
of the owner.
Profitability Index = PV of Cash Inflows/ Net Investment
= P 1,814,720/810,000
= 2.24
Table 23. Profitability Index Computation
e. Payback Period
This method refers to the length of time before investment is recovered. It
is the time where the cumulative cash inflows is equal to the cost of investme nt.
If the payback period is less than or equal to the maximum allowed payback
period by the management, accept; otherwise, reject. Thus, the more quickly
the cost of an investment can be recovered, the more desirable is the investme nt.
The project financial evaluation regarding payback period showed 2.61
years. This means that the project cost could be recovered in less than 5 years.
The project is acceptable and a desirable investment.

45
Initial
Capital
Cash Inflow
Cumulative cash
Inflow
Outstanding
Balance
Payback
Period
Years
Year 0 810,000
Year 1
204,780 204,780 605,220 1
Year 2
372,789 577,569 232,431 1
Year 3
380,024 957,593
0.61
Year 4
595,261 1,552,854
Year 5
668,005 2,220,860
2.61
Table 24. Payback Period Computation

46
f. Break-even Analysis
It is an analysis to determine the point at which revenue received equals the costs associated with receiving the revenue.
Break-even analysis calculates what is known as a margin of safety, the amount that revenues exceed the break-even
point. Once the break-even point has been reached, the net operating income will increase by the amount of the unit
contribution margin for each additional unit sold.
Sales
Php
1,279,488 100.00%
Php
1,583,586 100.00%
Php
1,787,871 100.00%
Php
2,099,820 100.00%
Php
2,306,356 100.00%
Cost of
Sales
Php
962,537 75.23%
Php
1,073,167 67.77%
Php
1,140,582 63.80%
Php
1,246,339 59.35%
Php
1,347,706 58.43%
Gross Profit
Php
316,951 24.77%
Php
510,419 32.23%
Php
647,288 36.20%
Php
853,482 40.65%
Php
958,650 41.57%
Variable
Expenses
(Table 25B)
Php
228,549 17.86%
Php
246,212 15.55%
Php
251,690 14.08%
Php
285,830 13.61%
Php
307,789 13.35%
Contribution
Margin
Php
88,402 6.91%
Php
264,207 16.68%
Php
395,598 22.13%
Php
567,652 27.03%
Php
650,861 28.22%

The financial evaluation shows that the break-even point in peso for the year is P893, 494. This means that the sales for
the said year should not be lower than this point to recover the fixed cost.
Table 25A. Break-Even Analysis Computation
47
Variable Expenses
Utilities Expense
(Exhibit 18A) Php225,066 Php242,566 Php247,873 Php281,835 Php303,607
Miscellaneous and
Supplies (Exhibit 17A) Php3,483 Php3,646 Php3,817 Php3,995 Php4,182
TOTAL Php228,549 Php246,212 Php251,690 Php285,830 Php307,789
Table 25B. Variable Expenses Computation
Fixed
Expense
(Table 25C)
Php
61,733
Php
62,733
Php
62,733
Php
62,733
Php
62,733
Divided by:
CM Ratio
6.91%
16.68%
22.13%
27.03%
28.22%
Break-Even
in Pesos
Php
893,494
Php
376,004
Php
283,516
Php
232,058
Php
222,297

48
Fixed Expenses
Selling Expenses (Exhibit 26) P11,000
P12,000 P12,000 P12,000 P12,000
Depreciation – Equipment
(Exhibit 27) 11,660 11,660 11,660
11,660 11,660
Depreciation – Furniture
(Exhibit 28) 3,860 3,860 3,860 3,860 3,860
Depreciation – Delivery Vehicle
(Exhibit 29) 15,000 15,000 15,000 15,000 15,000
Depreciation – Building
(Exhibit 30) 8,081 8,081 8,081
8,081 8,081
Amortization of Pre-Operating
Costs (Exhibit 31) 1,530 1,530 1,530 1,530 1,530
Repairs and Maintenance
(Schedule 8)
2,000 2,000 2,000
2,000 2,000
Permits and Licenses (Exhibit 21) 3,602 3,602 3,602 3,602 3,602
Other Expenses
5,000 5,000 5,000 5,000 5,000
TOTAL P61,733 P62,733 P62,733 P62,733 P62,733
Table 25C. Fixed Expenses Computation

49
g. Return on Investment
ROI is a performance measure used to evaluate the efficiency of an
investment or to compare the efficiency of a number of differe nt
investments. The higher the return on ROI of a project, the greater the profit
earned per peso invested in the operating assets.
The return on investment of the project for the first year is 24.26%. This
means that there is high profit earned per peso invested in the project.
Net Income Per Year
Year 1
196,492 24.26%
Year 2
336,750 41.57%
Year 3
344,506 42.53%
Year 4
560,322 69.18%
Year 5
633,696 78.23%
Total
2,071,766
Divide by 5 years
5
Average net Income
414,353
Divide by project Cost
810,000
ROI
51.15%
Table 26. Return on Investment Computation

SOCIO-ECONOMIC ASPECT
50
A. Government Benefits
The Government will benefit on the taxes and permits paid by the
business. These taxes and permits increased the revenue of the government. They
use this fund to support its projects and expenditures for the development of the
municipality as well as the whole country.
B. Customers/Consumer Benefits
The customers will have sufficient supply of dressed chicken and its by-products.
The wholesalers and business establishments such as restaurants, meat
shops, barbeque stalls, roasted chicken food stall and food catering businesses
will have convenience in getting their supplies with lesser time, cost, effort and
price.
C. Employment Benefits
The business will provide additional employment for the unemployed residence
especially in the town of Bugasong.

IMPLEMENTATION
October November December January February
1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4
Table 27. Implementation Schedule
51
Study of the
project
Proposal of
business plan to
the proponent
Acceptance of
the proposal by
the proponent
and application
for loan
Application for
necessary
permits and
licenses
Construction of
Poultry House
and Cleaning of
the Area
Acquisition of
Equipment,
Furniture and
Supplies
Hiring of
Personnel
Start of
Promotional
Activities
Acquisition of
Feeds and
Vaccines and
Final Set up of
the Poultry
Farm
Commencement
of the Project
Start of selling
products in the
market

Study of the project will begin from the first week up to the second week of October
in order to ensure its feasibility. Also during the second week of October, the proposed
business plan will be discussed to the proponent. Then acceptance of the proposal by the
proponent and application for loan will be made on the third week of October. On the last
week of the month, application for necessary permits and licenses will be prepared.
Construction of the Poultry house and cleaning of the area will start from the fourth week
of October up to the third week of November followed by the acquisition of necessary
equipment, furniture and supplies which will be done after the construction of the poultry
house up to the first week of December. There will be a hiring of Personnel on the second
week of December and on the third week; two months prior to the beginning of the project,
the promotional activities for the business will begin. Then on the last week of December,
acquisition of feeds and vaccines and final set up of the poultry farm will be made. The
commencement of the project will be on the first week of January and five weeks after the
start of the business, it is anticipated that product will start selling at the market.
52

CONCLUSION
The proposed project is feasible because the results of the study are in
conformity with the objectives of the project which is to promote convenient
distribution of dressed chicken and its by-products for consumers’ consumption,
retailers and other food establishments to satisfactorily avail their needs.
In the socio-economic and environmental impact, part of the revenue of the
business will support the project of the government in the form of taxes paid; it
will be also be beneficial to the hired workers of the business for the improvement
of their standard of living through salaries and wages.
In relation to its technical and operational aspects, an encouraging result is
obtain. The business is located in a proper place for raising chicks. The workers
employed are also qualified and the equipment used are modernized.
In respect to its organization and management aspect it shows sign of
positivity. The proponent’s interest is in the field of business, thus, it is a sign that
she can handle the proposed business well. The business will be easily managed
and supervised by the owner since she will only hire three workers to help her in
the daily operation of the business.
The financial aspect also shows a positive result, the first five years of
operation is expected to generate enough revenue to cover all the expenses
incurred and at the same time generate profit for the owner. The proposed
business will be able to fully return the initial investment within 2.61 years.
To sum it all, based on the analysis and the results of the data gathered, putting up
Chic’N Poultry in Sabang West, Bugasong, Antique is favorable.
53

RECOMMENDATION
The researchers of this feasibility study recommend that the business can opt to use
a credit system in the sales transaction, in addition to the cash basis system currently used.
Moreover, if the business becomes profitable and the proponent wants to continue
the operations of the business after five years, she can decide to reconstruct the building
from using light materials into concrete in order that the structure will be usable for a longer
period and for a more efficient and suitable place for operation.
Lastly, as the business grows, the manager can hire employees in addition to the
existing staff for a more effective operation. These include the operational staff and
54
caretaker/maintenance.

55
ANNEX
SCHEDULES
Schedule 1A - Demand per Week (kilos)
Minimum Maximum
1 to 5 2 5.71% 2 10
6-10 7 20.00% 42 70
11-15 11 31.43% 121 165
16-20 2 5.71% 32 40
21-25 1 2.86% 21 25
Others(please specify) 12 34.29% 2,208 2,208
Total 35 100.00% 2,426 2,518
TOTAL 2,472
Schedule 1B – Demand and Supply per Week and Unmet Demand (kilos)
Total demand by consumer per week
(Schedule 1A) 2,472
Total supply by the competitors per week:
Magnolia
Chynn-Chynn’s Store
366
731
Less: Total Supply per week 1097
Total Unmet Demand 1375
Market Share 12% x 12%
Total Captured Market per Week 165

56
Assumptions:
Regular sales is 150 heads or 165 kilos. There will be additional 100 heads sold
during local fiestas –March, April, May- by 167%(Philippine Statistical Authority).
Annual growth rate is 8% and inflation rate is 5% per year. The prices per year is presented
in Exhibit 1.
Schedule 2A.a– Sales Projection of Dressed Chicken (Year 1)
TOTAL SALES: P1,085,007
Month Week
No. of
Heads
Procured
Mortality
(2%per
batch)
No. of
Heads
for
Disposal
Ave.
Weight
per
Head
(Kilo)
Price
per
Kilo
Total Sales
per Week
January 1 150 3
2 150 3
3 150 3
4 250 5
February 1 150 3
2 150 3 147 1.1 P120 P19,404
3 150 3 147 1.1 120 19,404
4 250 5 147 1.1 120 19,404
March 1 250 5 245 1.1 130 35,035
2 250 5 147 1.1 120 19,404
3 250 5 147 1.1 120 19,404
4 250 5 147 1.1 120 19,404
April 1 250 5 245 1.1 130 35,035
2 250 5 245 1.1 130 35,035
3 250 5 245 1.1 130 35,035
4 150 3 245 1.1 130 35,035
May 1 150 3 245 1.1 130 35,035
2 150 3 245 1.1 130 35,035
3 150 3 245 1.1 130 35,035
4 150 3 245 1.1 130 35,035
June 1 150 3 147 1.1 120 19,404
2 150 3 147 1.1 120 19,404
3 150 3 147 1.1 120 19,404
4 150 3 147 1.1 120 19,404

July 1 150 3 147 1.1 120 19,404
2 150 3 147 1.1 120 19,404
3 150 3 147 1.1 120 19,404
4 150 3 147 1.1 120 19,404
August 1 150 3 147 1.1 120 19,404
2 150 3 147 1.1 120 19,404
3 150 3 147 1.1 120 19,404
4 150 3 147 1.1 120 19,404
September 1 150 3 147 1.1 120 19,404
2 150 3 147 1.1 120 19,404
3 150 3 147 1.1 120 19,404
4 150 3 147 1.1 120 19,404
October 1 150 3 147 1.1 120 19,404
2 150 3 147 1.1 120 19,404
3 150 3 147 1.1 120 19,404
4 150 3 147 1.1 120 19,404
November 1 400 8 147 1.1 120 19,404
2 400 8 147 1.1 120 19,404
3 400 8 147 1.1 120 19,404
4 162 3 147 1.1 120 19,404
December 1 162 3 147 1.1 120 19,404
2 162 3 392 1.1 130 56,056
3 162 3 392 1.1 130 56,056
4 162 3 392 1.1 130 56,056
TOTAL 8,910 178 7,938 P1,085,007
Schedule 2A.b– Sales Projection of Dressed Chicken (Year 2)
57
Month Week
No. of
Heads
Procured
Mortality
(2%)
No. of
Heads
for
Disposal
Ave.
Weight
per
Head
(Kilo)
Price
per
Kilo
Total Sales
per Week
January 1 162 3 159 1.1 P126 P22,037
2 162 3 159 1.1 126 22,037
3 162 3 159 1.1 126 22,037
4 270 5 159 1.1 126 22,037
February 1 162 3 159 1.1 126 22,037
2 162 3 159 1.1 126 22,004
3 162 3 159 1.1 126 22,004

4 270 5 159 1.1 126 22,004
March 1 270 5 265 1.1 137 39,875
2 270 5 159 1.1 126 22,004
3 270 5 159 1.1 126 22,004
4 270 5 159 1.1 126 22,004
April 1 270 5 265 1.1 137 39,875
2 270 5 265 1.1 137 39,875
3 270 5 265 1.1 137 39,875
4 162 3 265 1.1 137 39,875
May 1 162 3 265 1.1 137 39,875
2 162 3 265 1.1 137 39,875
3 162 3 265 1.1 137 39,875
4 162 3 265 1.1 137 39,875
June 1 162 3 159 1.1 126 22,004
2 162 3 159 1.1 126 22,004
3 162 3 159 1.1 126 22,004
4 162 3 159 1.1 126 22,004
July 1 162 3 159 1.1 126 22,004
2 162 3 159 1.1 126 22,004
3 162 3 159 1.1 126 22,004
4 162 3 159 1.1 126 22,004
August 1 162 3 159 1.1 126 22,004
2 162 3 159 1.1 126 22,004
3 162 3 159 1.1 126 22,004
4 162 3 159 1.1 126 22,004
September 1 162 3 159 1.1 126 22,004
2 162 3 159 1.1 126 22,004
3 162 3 159 1.1 126 22004
4 162 3 159 1.1 126 22,004
October 1 162 3 159 1.1 126 22,004
2 162 3 159 1.1 126 22,004
3 162 3 159 1.1 126 22,004
4 162 3 159 1.1 126 22004
November 1 432 9 159 1.1 126 22,004
2 432 9 159 1.1 126 22,004
3 432 9 159 1.1 126 22,004
4 175 4 159 1.1 126 22,004
December 1 175 4 159 1.1 126 22,004
2 175 4 423 1.1 137 63,800
3 175 4 423 1.1 137 63,800
4 175 4 423 1.1 137 63,800
TOTAL 9,623 192 9,368 P1,342,593
58

Schedule 2A.c– Sales Projection of Dressed Chicken (Year 3)
59
Month Week
No. of
Heads
Procured
Mortality
(2%)
No. of
Heads
for
Disposal
Ave.
Weight
per
Head
(Kilo)
Price
per
Kilo
Total Sales
per Week
January 1 175 4 171 1.1 P132 P24,829
2 175 4 171 1.1 132 24,829
3 175 4 171 1.1 132 24,829
4 292 6 171 1.1 132 24,829
February 1 175 4 171 1.1 132 24,829
2 175 4 171 1.1 132 24,829
3 175 4 171 1.1 132 24,829
4 292 6 171 1.1 132 24,829
March 1 292 6 286 1.1 143 45,013
2 292 6 171 1.1 132 24,829
3 292 6 171 1.1 132 24,829
4 292 6 171 1.1 132 24,829
April 1 292 6 286 1.1 143 45,013
2 292 6 286 1.1 143 45,013
3 292 6 286 1.1 143 45,013
4 175 4 286 1.1 143 45,013
May 1 175 4 286 1.1 143 45,013
2 175 4 286 1.1 143 45,013
3 175 4 286 1.1 143 45,013
4 175 4 286 1.1 143 45,013
June 1 175 4 171 1.1 132 24,829
2 175 4 171 1.1 132 24,829
3 175 4 171 1.1 132 24,829
4 175 4 171 1.1 132 24,829
July 1 175 4 171 1.1 132 24,829
2 175 4 171 1.1 132 24,829
3 175 4 171 1.1 132 24,829
4 175 4 171 1.1 132 24,829
August 1 175 4 171 1.1 132 24,829
2 175 4 171 1.1 132 24,829
3 175 4 171 1.1 132 24,829
4 175 4 171 1.1 132 24,829
September 1 175 4 171 1.1 132 24,829
2 175 4 171 1.1 132 24,829
3 175 4 171 1.1 132 24,829
4 175 4 171 1.1 132 24,829

October 1 175 4 171 1.1 132 24,829
2 175 4 171 1.1 132 24829
3 175 4 171 1.1 132 24,829
4 175 4 171 1.1 132 24,829
November 1 467 9 171 1.1 132 24,829
2 467 9 171 1.1 132 24,829
3 467 9 171 1.1 132 24,829
4 189 4 171 1.1 132 24,829
December 1 189 4 171 1.1 132 24,829
2 189 4 458 1.1 143 71,990
3 189 4 458 1.1 143 71,990
4 189 4 458 1.1 143 71,990
TOTAL 10,399 208 10,104 P1,514,938
Schedule 2A.d– Sales Projection of Dressed Chicken (Year 4)
60
Month Week
No. of
Heads
Procured
Mortality
(2%)
No. of
Heads
for
Disposal
Weight
per
Head
(kilo)
Price
per
Kilo
Total Sales
per Week
January 1 189 4 185 1.1 P139 P28,287
2 189 4 185 1.1 139 28,287
3 189 4 185 1.1 139 28,287
4 315 6 185 1.1 139 28,287
February 1 189 4 185 1.1 139 28,287
2 189 4 185 1.1 150 30,561
3 189 4 185 1.1 150 30,561
4 315 6 185 1.1 150 30,561
March 1 315 6 309 1.1 150 50,936
2 315 6 185 1.1 150 30,561
3 315 6 185 1.1 150 30,561
4 315 6 185 1.1 150 30,561
April 1 315 6 309 1.1 150 50,936
2 315 6 309 1.1 150 50,985
3 315 6 309 1.1 150 50,985
4 189 4 309 1.1 150 50,985
May 1 189 4 309 1.1 150 50,985
2 189 4 309 1.1 150 50,985
3 189 4 309 1.1 150 50,985
4 189 4 309 1.1 150 50,985
June 1 189 4 185 1.1 139 28,287

2 189 4 185 1.1 150 30,561
3 189 4 185 1.1 150 30,561
4 189 4 185 1.1 150 30,561
July 1 189 4 185 1.1 150 30,561
2 189 4 185 1.1 150 30,561
3 189 4 185 1.1 150 30561
4 189 4 185 1.1 150 30,561
August 1 189 4 185 1.1 150 30,561
2 189 4 185 1.1 150 30,561
3 189 4 185 1.1 150 30,561
4 189 4 185 1.1 150 30,561
September 1 189 4 185 1.1 150 30,561
2 189 4 185 1.1 150 30,561
3 189 4 185 1.1 150 30,561
4 189 4 185 1.1 150 30,561
October 1 189 4 185 1.1 150 30,561
2 189 4 185 1.1 150 30,561
3 189 4 185 1.1 150 30,561
4 189 4 185 1.1 150 30,561
November 1 504 10 185 1.1 150 30,561
2 504 10 185 1.1 150 30,561
3 504 10 185 1.1 150 30,561
4 204 4 185 1.1 150 30,561
December 1 204 4 185 1.1 150 30,561
2 204 4 494 1.1 150 81,510
3 204 4 494 1.1 150 81,510
4 204 4 494 1.1 150 81,510
TOTAL 11,226 225 10,929 P1,789,854
Schedule 2A.e– Sales Projection of Dressed Chicken (Year 5)
61
Month Week
No. of
Heads
Procured
Mortality
(2%)
No. of
Heads
for
Disposal
Weigh
t per
Head
(Kilo)
Price
per
Kilo
Total Sales
per Week
January 1 204 4 200 1.1 P146 P32,120
2 204 4 200 1.1 146 32,120
3 204 4 200 1.1 146 32,120
4 340 7 200 1.1 146 32,120
February 1 204 4 200 1.1 146 32,120
2 204 4 200 1.1 146 32,107
3 204 4 200 1.1 146 32,107

4 340 7 200 1.1 146 32,107
March 1 340 7 333 1.1 158 57,910
2 340 7 200 1.1 146 32,107
3 340 7 200 1.1 146 32,107
4 340 7 200 1.1 146 32,107
April 1 340 7 333 1.1 158 57,910
2 340 7 333 1.1 158 57,910
3 340 7 333 1.1 158 57,910
4 204 4 333 1.1 158 57,910
May 1 204 4 333 1.1 158 57,910
2 204 4 333 1.1 158 57,910
3 204 4 333 1.1 158 57,910
4 204 4 333 1.1 158 57,910
June 1 204 4 200 1.1 146 32,107
2 204 4 200 1.1 146 32,107
3 204 4 200 1.1 146 32,107
4 204 4 200 1.1 146 32,107
July 1 204 4 200 1.1 146 32,107
2 204 4 200 1.1 146 32,107
3 204 4 200 1.1 146 32,107
4 204 4 200 1.1 146 32,107
August 1 204 4 200 1.1 146 32,107
2 204 4 200 1.1 146 32,107
3 204 4 200 1.1 146 32,107
4 204 4 200 1.1 146 32,107
September 1 204 4 200 1.1 146 32,107
2 204 4 200 1.1 146 32,107
3 204 4 200 1.1 146 32,107
4 204 4 200 1.1 146 32,107
October 1 204 4 200 1.1 146 32,107
2 204 4 200 1.1 146 32,107
3 204 4 200 1.1 146 32,107
4 204 4 200 1.1 146 32,107
November 1 544 11 200 1.1 146 32,107
2 544 11 200 1.1 146 32,107
3 544 11 200 1.1 146 32,107
4 220 4 200 1.1 146 32,107
December 1 220 4 200 1.1 146 32,107
2 220 4 533 1.1 158 92,656
3 220 4 533 1.1 158 92,656
4 220 4 533 1.1 158 92,656
TOTAL 12,116 242 11,796 P1,955,082
62

Schedule 2B.a– Sales Projection of By-Products (Year 1)
No. of
Heads Sold
Ave. Weight in
every
head(Kilos)
Total
Kilos
Yield for
the Year
Intestines 7,938 0.15 1,190.7 P50 P59,535
Liver 7,938 0.05 396.9 90 35,721
Feet 7,938 0.05 396.9 60 23,814
Head 7,938 0.05 396.9 40 15,876
Neck 7,938 0.05 396.9 70 27,783
Gizzard 7,938 0.05 396.9 80 31,752
TOTAL 47,628 0.40 3,175.2 194,481
Schedule 2B.b– Sales Projection of By-Products (Year 2)
63
No. of
Heads Sold
Ave. Weight in
every head
(Kilos)
Total
Kilos
Yield
for the
Year
Price per
Kilo Sales
Price per
Kilo Sales
Intestines 9,368 0.15 1,405.21 P52.50 P73,773.32
Liver 9,368 0.05 468.402 94.50 44,263.99
Feet 9,368 0.05 468.402 63.00 29,509.33
Head 9,368 0.05 468.402 42.00 19,672.88
Neck 9,368 0.05 468.402 73.50 34,427.55
Gizzard 9,368 0.05 468.402 84.00 39,345.77
TOTAL 66,208 0.40
3,747.22
P240,992.80

Schedule 2B.c– Sales Projection of By-Products (Year 3)
64
No. of
Heads Sold
Ave. Weight
(Kilos)
Total
Kilos
Yield
for the
Year
Price per
Kilo Sales
Intestines 10,104 0.15 1,515.66 P55.125 P83,550.92
Liver 10,104 0.05 505.221 99.225 50,130.55
Feet 10,104 0.05 505.221 66.150 33,420.37
Head 10,104 0.05 505.221 44.100 22,280.25
Neck 10,104 0.05 505.221 77.175 38,990.43
Gizzard 10,104 0.05 505.221 88.200 44,560.49
TOTAL 60,624 0.40 4,041.77 P272,933.00
Schedule 2B.d– Sales Projection of By-Products (Year 4)
No. of
Heads Sold
Ave. Weight
(Kilos)
Total
Kilos
Yield for
the Year
Price per
Kilo Sales
Intestines 10,929 0.15 1,639.35 P57.88125 P94,887.63
Liver 10,929 0.05 546.45 104.18630 56,932.58
Feet 10,929 0.05 546.45 69.45750 37,955.05
Head 10,929 0.05 546.45 46.30500 25,303.37
Neck 10,929 0.05 546.45 81.03375 44,280.89
Gizzard 10,929 0.05 546.45 92.61000 50,606.73
TOTAL 65,574 0.40 4,371.60 P309,966.20

Schedule 2B.e– Sales Projection of By-Products (Year 5)
65
No. of
Heads Sold
Ave.
Weight
(Kilos)
Total Kilos
Yield for
the Year Price per
Kilo Sales
Intestines 11,796 0.15
1,769.350 P 60.77531
P107,532.90
Liver 11,796 0.05 589.784 109.3956 64,519.75
Feet 11,796 0.05 589.784 72.93038 43,013.17
Head 11,796 0.05 589.784 48.62025 28,675.45
Neck 11,796 0.05 589.784 85.08544 50,182.03
Gizzard 11,796 0.05 589.784 97.24050 57,350.89
TOTAL 70,776 0.40 4,718.27 351,274.20
Schedule 3 – Property, Plant and Equipment (5 Years)
Land
(Exhibit 5)
250,000 P275,000 P300,000 P325,000 P350,000 P375,000
Building
(Exhibit 6)
80,809 72,728 64,647 56,566 48,485 40,405
Equipment
(Exhibit 7) 83,870 72,210 60,551 48,891 37,231 25,571
Furniture
and
Fixture
(Exhibit 8) 19,299 15,439 11,579 7,720 3,860 0
Delivery
Vehicle
(Exhibit 9) 150,000 135,000 120,000 105,000 90,000 75,000
TOTAL P583,978 P570,378 P556,777 P543,177 P529,576 P515,976

Schedule 4– Working Capital (3 months)
66
Amount
2,400 heads(chicks) @ P25
(Based on Procurement-Schedule 2) P60,000
Feeds for 2400 heads:
Chick Booster ( Schedule 32B ) 12,150
Broiler Starter ( Schedule 32B ) 18,000
Broiler Finisher ( Schedule 32B ) 15,000
Vaccine for 2400 heads
New Castle Disease Vaccine (Exhibit 13C) 7,200
Infectious Bursai Disease Vaccine (Exhibit 13C) 9,600
Labor (Exhibit 15B.1) 77,040
Delivery Expense ( Exhibit 16B ) 3,000
Miscellaneous & Supplies Expense ( Exhibit 17B ) 2,833
Utilities (Exhibit 18C ) 13,497
TOTAL P218,370
Schedule 5 – Pre-Operating Cost
Amount
Feasibility Study Expense (Exhibit 19) P1,500
Technical Layout 1,500
Advertising Expense (Exhibit 20) 1,050
Permits and Licenses (Exhibit 21) 3,602
TOTAL P7,652

Sales -By-Products
(Schedule 2B)
1 P 1,085,007.00 P 194,481.00 P 1,279,488.00
2 P 1,342,593.00 P 240,993.00 P 1,583,586.00
3 P 1,514,938.00 P 272,933.00 P 1,787,871.00
4 P 1,789,854.00 P 309,966.00 P 2,099,820.00
5 P 1,955,082.00 P 351,274.00 P 2,306,356.00
67
Schedule 6 – Projected Sales (5 Years)
Year Sales-Dressed
Chicken
(Schedule 2A)
Schedule 7 – Cost of Sales (5 Years)
Total Sales
Direct
Materials
(Exhibit 23)
403,350 495,969 557,484 628,629 707,515
Direct Labor
(Exhibit 15A)
237,942 237,942 237,942 237,942 237,942
Overhead
(Exhibit 24)
315,347 332,535 337,515 371,133 392,547
Total
956,639 1,066,446 1,132,940 1,237,704 1,338,003
Loss due to
Death of Chicks
(Exhibit 25)
5,898 6,721 7,642 8,635 9,703
TOTAL
COST OF
SALES
P962,537 P1,073,167 P1,140,582 P1,246,339 P1,347,706

Schedule 8 -Selling and Administrative Expenses (5 Years)
68
Selling Expense (Exhibit 26)
11000 12000 12000 12000 12000
Utilities Expense (Exhibit 18A)
6679 6991 7319 7662 8020
Miscellaneous and Supplies
Expense (Exhibit 17)
3483 3646 3817 3995 4182
Depreciation Expense-Office
Equipment (Exhibit 27)
11660 11660 11660 11660 11660
Depreciation Expense –
Furniture (Exhibit 28)
3860 3860 3860 3860 3860
Depreciation Expense- Delivery
Vehicle (Exhibit 29)
15000 15000 15000 15000 15000
Depreciation Expense- Building
(Exhibit 30)
8081 8081 8081 8081 8081
Amortization of Pre-Operating
cost (Exhibit 31)
1530 1530 1530 1530 1530
Repairs and Maintenance
2000 2000 2000 2000 2000
Other Expenses
5000 5000 5000 5000 5000
Permits and Licenses
(Exhibit 21)
3602 3602 3602 3602 3602
Total
71895 73370 73868 74390 74935
,
Schedule 9 – Interest Expense (5 Years)
Year Principal Interest
Total
Payment Balance
0 P205,000
1 P41,000 P16,400 P57,400 164,000
2 41,000 13,120 54,120 123,000
3 41,000 9,840 50,840 82,000
4 41,000 6,560 47,560 41,000

5 41,000 3,280 44,280 0
Amount of Loan 205,000
Interest rate 8%, diminishing balance
Term 5 years
69
Schedule 10A – Income Taxes
Earnings
before
taxes
Less: Basic
Personal
Exemption
TAXABLE
INCOME (a) (b)
Tax Due
(a +b)
Year 1 P228,656 P50,000 178,656 22500 9664 P32,164
Year 2 423,929 50,000 373,929 50000 37179 87,179
Year 3 563,580 50,000 513,580 125000 94074 219,074
Year 4 772,532 50,000 722,532 125000 87210 212,210
Year 5 880,435 50,000 830,435 125000 121739 246,739
Schedule 10B – Graduated Tax Table
Taxable Income Tax Due
Not over P 10,000 5%
Over P10,000 but not over
P30,000 P 500 + 10% of excess over P 10,000
Over 30,000 but not over 70,000 2,500 + 15% of excess over P 30,000

Over 70,000 but not over
140,000 8,500 + 20% of excess over P 70,000
250,000 22,500 + 25% of excess over P 140,000
500,000 50,000 + 30% of excess over P 250,000
Over 500,00 125,000 + 32% of excess over P 500,000
70
Schedule 11A– Inventory (5 Years)
Chicks on hand (Schedule 11B) 810 875 945 1,020 1,100
Multiply by: Cost per Head P25 P26 P28 P29 P30
Total 20,250 22,969 26,044 29,519 33,429
Feeds
Chick booster (Schedule 11B) 4,101 4,637 5,242 5,923 6,687
Broiler starter (Schedule 11B) 3,645 4,122 4,660 5,265 5,944
Broiler Finisher (Schedule 11B) 1,013 1,145 1,294 1,463 1,651
Vaccine
New Castle Disease (NCD
Vaccine) (No. of Heads x 1.5) 1,215 1,312.50 1,417.5 1,530 1,650
Infectious Bursai Disease Vaccine
(No. of Heads x 2) 1,620 1,750 1,890 2,040 2,200
TOTAL P31,843 P35,935 P40,548 P45,740 P51,560

Schedule 11B – Chicks on Hand (Inventory for 5 Years)
Year 1
71
Week
No. of
Heads
Chick
Booster
Broiler
Starter
Broiler
Finisher
November
4 162 P820 P1,215 P1,013
December 1 162 820 1,215
2 162 820 1,215
3 162 820
4 162 820
TOTAL 810 P4,101 P3,645 P1,013
Year 2
Week
No. of
Heads
Chick
Booster
Broiler
Starter
Broiler
Finisher
November
4 175 P927 P1,374 P1,145
December 1 175 927 1,374
2 175 927 1,374
3 175 927
4 175 927
TOTAL 875 P4,637 P4,122 P1,145
Year 3
Week
No. of
Heads
Chick
Booster
Broiler
Starter
Broiler
Finisher
November
4 189 P1,048 P1,553 P1,294
December 1 189 1,048 1,553
2 189 1,048 1,553
3 189 1,048
4 189 1,048
TOTAL 945 P5,242 P4,660 P1,294
Year 4
Week
No. of
Heads
Chick
Booster
Broiler
Starter
Broiler
Finisher
November
4 204 P1,185 P1,755 P1,463
December 1 204 1,185 1,755
2 204 1,185 1,755
3 204 1,185

4 204 1,185
TOTAL 1,020 P5,923 P5,265 P1,463
Year 5
72
Week
No. of
Heads
Chick
Booster
Broiler
Starter
Broiler
Finisher
November
4 220 P1,337 P1,981 P1,651
December 1 220 1,337 1,981
2 220 1,337 1,981
3 220 1,337
4 220 1,337
TOTAL 1,100 P6,687 P5,944 P1,651
Schedule 12 – Capital (5 Years)
Beginning Capital P605,000 P605,000 P630,000 P655,000 P680,000 P705,000
Increase in
Capital (Due to
the increase in
land) 25,000 25,000 25,000 25,000 25,000
NEW CAPITAL P630,000 P655,000 P680,000 P705,000 P730,000

EXHIBITS
73
Exhibit 1 – Price Schedule (5 years)
For regular P120 P126 P132 P139 P146
For peak
season 130 137 143 150 158
Ave. Inflation rate is 5% per year (based on PSA)
Exhibit 2 – Canvass of Supplies
SUPPLIES
GAISANO
GRAND
MALL OF
ANTIQUE
GIAN’S HERCYL’S
MINI
MART
BANDIOLA CHARLIE ROBERT
TRADING
Record
Book
(500
pages)
P105;
89
P85
Ballpen
(Faber
Castle)
11 12 P12
Receipt:
Small
Big
19.75
44
Daily Time
Record
Calculator:
Scientific
Ordinary
660
465
Folders:
Long
5
4.75

Short
Stapler 78 40
White Ink:
74
Big
Small
35
14
69
Yellow
Pad
24.75;
29.75
50;
26.50;
16
25
Paper Clip 15
Paper
Clamp
30 3; 4; 5
Broom:
Soft broom
Broomstick
P130
Dustpan 50
Trashcan:
Large
Medium
750
160
Tub: Large
Medium
Small
260
220
160
Bucket:
Medium
Large(24L)
160
250
Spade P520 P450
Exhibit 3– Canvass of Furniture and Fixtures
Furniture&
Fixtures
Gaisano Grand
Mall of
Antique
Bandiola
Plastic Goods
Gella General
Merchandising
Rose
Furniture

75
Monoblock
Chair
P350 P300
Wooden Table 3,299 P3,500
Filing Cabinet P14,500 15,000

76
Exhibit 4 – Canvass of Equipment
Equipment Bandiola
Plastic
Goods
Charlie
Trading
Gaisano
Grand
Mall of
Antique
Pacifica
Agri-
Vet
Supplies
Botika
Dela
Serna
Olx.
Com
Dinglasan
Furniture
Robert
Trading
Aton
Marketing
He rcyl’s
Minimart
Susana
Marketing
Knives P130
(large)
Weighing
scale
P1,980
(60
kilo)
P980
(10
kilo)
P930
(15
kilo)
P1,129
(20
kilo)
Kawa P2,900
(extra
size)
P1,800
(size
no.1)
P1,300
(size
no.2)

77
P1,200
(size
no.3)
Plucker P19,000
Artificial
Brooder
P150
Freezer P15,000
Chopping
Board
P700
Waterers
plastic
P110
(big)
P55
(small)
Shovel P450
Wheel
borrow
P2,195
Bucket P250
Tub/Basin P260
Generator P15,000
Calculator P465
Stapler P40

Exhibit 5 – Land (5 years)
Land P250,000 P250,000 P275,000 P300,000 P325,000 P350,000
78
Increase in
Value of
Land
25,000 25,000 25,000 25,000 25,000
New Value
of Land
P275,000 P300,000 P325,000 P350,000 P375,000
As assess by the local assessor of Bugasong
Exhibit 6A– Detailed Cost of Building
Expenses Amount
Labor (30 days, 3 person, P150 per day) P13,500
Hallow blocks (500 blocks x P25) 12,500
Cement (10 sacks x P450) 4,500
Iron Bars 1,200
Steel thrust 5,000
Galvanize Iron 12,000
Bamboo Poles (50poles x P40) 2,000
Bamboo Sheets (30sheets x P400) 12,000
Supplies 5,000
Nipa (20pcs x P300) 6,000

Electrical Fixtures 5,000
Food Allowance 2,109
TOTAL P80,809
79
Exhibit 6B – Cost of Building (5 Years)
Building P80,809 P80,809 P80,809 P80,809 P80,809 P80,809
Less:
Accumulated
Depreciation
(Exhibit 30)
0 8,081 16,162 24,243 32,324 40,405
Carrying
Amount
P80,809 P72,728 P64,647 P56,566 P48,485 P40,405
Exhibit 7 – Cost of Equipment (5 Years)
Equipment
(Exhibit 27) P83,870 P83,870 P83,870 P83,870 P83,870 P83,870
Less: Accumulated
Depreciation
(Exhibit 27) 0 11,660 23,319 34,979 46,639 58,299
Carrying Amount P83,870 P72,210 P60,551 P48,891 P37,231 P25,571

Exhibit 8 – Cost of Furniture and Fixtures (5 Years)
80
Furniture and Fixture
(Exhibit 28) P19,299 P19,299 P19,299 P19,299 P19,299 P19,299
Less: Accumulated
Depreciation
(Exhibit 28) 0 3,860 7,720 11,579 15,439 P19,299
Carrying Amount P19,299 P15,439 P11,579 P7,720 P3,860 0
Exhibit 9 – Cost of Delivery Vehicle (5 Years)
Delivery
Vehicle
(Exhibit 29) P150,000 P150,000 P150,000 P150,000 P150,000 P150,000
Less:
Accumulated
Depreciation
(Exhibit 29) 0 15,000 30,000 45,000 60,000 75,000
Carrying
Amount P150,000 P135,000 P120,000 P105,000 P90,000 P75,000
Exhibit 10A – Cost of Chick Booster (5 Years)
No. of Heads Sold
(Schedule 2) 7,938 9,368 10,104 10,929 11,796

Divided by
Average No. of
Heads per Sack
(Exhibit 32) 800 800 800 800 800
Total 10 12 13 14 15
Multiply by: No. of
Sacks per 800
heads (Exhibit 32) 3 3 3 3 3
Total 30 35 38 41 44
Multiply by: Cost
per Sack
(Exhibit 32) P1,350 P1,413 P1,479 P1,549 P1,621
TOTAL COST
OF FEEDS P40,186 P49,645 P56,051 P63,465 P71,706
Exhibit 10B - Cost of Feeds Consumed (Lost Heads)
Lost Heads 175 191 208 225 242
81
Divided by: Ave. no of heads
per 3 sack 800 800 800 800 800
0.22 0.24 0.26 0.28 0.30
Multiply by: No. of sacks per
800 heads 3 3 3 3 3
0.66 0.72 0.78 0.84 0.91
Multiply by Cost per sack* P1,350 P1,413 P1,479 P1,549 P1,621
Total cost of feeds consumed P886 P1,012 P1,154 P1,307 P1,471

Exhibit 10C – Cost of Vaccination (Lost Heads)
NCD
Lost Heads 175 191 208 225 242
Average
cost per
head P1.50 P1.50 P1.50 P1.50 P1.50
82
TOTAL
COST-NCD
P263 P287 P312 P338 P363
IBD
Lost Heads 175 191 208 225 242
Average
cost per
head P2.00 P2.00 P2.00 P2.00 P2.00
TOTAL
COST-IBD P350 P382 P416 P450 P484
Exhibit 11 – Broiler Starter (5 Years)
No. of Heads Sold
(Schedule 2) 7,938 9,368 10,104 10,929 11,796
Divided by Average
No. of Heads per Sack
(Exhibit 32) 800 800 800 800 800
Total 10 12 13 14 15

Multiply by: No of
Sacks per 800 heads
(Exhibit 32) 4 4 4 4 4
Total 40 47 51 55 59
Multiply by: Cost per
Sack (Exhibit 32) P1,500 P1,570 P1,644 P1,721 P1,801
TOTAL COST OF
FEEDS P59,535 P73,548 P83,039 P94,023 P106,231
83
Exhibit 12 – Broiler Finisher (5 Years)
No. of Heads Sold
(Schedule 2) 7,938 9,368 10,104 10,929 11,796
Divided by Average
No. of Heads per Sack
(Exhibit 32) 800 800 800 800 800
Total 10 12 13 14 15
Multiply by: No of
Sacks per 800 heads
(Exhibit 32) 4 4 4 4 4
Total 40 47 51 55 59
Sack (Exhibit 32) P1,250 P1,309 P1,370 P1,434 P1,501
TOTAL COST OF
FEEDS P49,613 P61,290 P69,199 P78,352 P88,526

Exhibit 13A– Cost of New Castle Disease Vaccine
No. of
Heads sold
(Schedule 2) 7,938 9,368 9,368 10,929 11,796
Multiply by:
Average
cost per
head
(Exhibit
13B) P1.50 P1.50 P1.50 P1.50 P1.50
Multiply by:
no. of times
to take
vaccination
per heads
(Exhibit
13B) 2 2 2 2 2
TOTAL P23,814 P28,104 P28,104 P32,787 P35,388
84
Exhibit 13B – Vaccination Schedule
Vaccine Schedule Cost per Head
New Castle Disease
Vaccine
Infectious Bursai Disease
Vaccine
7 days old
P 1.50
P 2.00

85
New Castle Disease
Vaccine
Vaccine
17 days old P 1.50
P 2.00
Exhibit 13C -Schedule of Vaccine for 3 Months
NCD IBD
Heads sold 2,400 2,400
Multiply by: Average cost per head P1.5 P2.00
Multipy by: no. of times to take vaccination per heads
2 2
Total P7,200 P9,600
Exhibit 14 – Cost of Infectious Bursai Disease Vaccine
No. of
Heads sold
(Schedule 2) 7,938 9,368 10,104 10,929 11,796
Multiply by:
Average
cost per
head
(Exhibit
13B) P2.00 P2.00 P2.00 P2.00 P2.00

Multiply by:
no. of times
to take
vaccination
per heads
(Exhibit
13B) 2 2 2 2 2
TOTAL P31,752 P37,472 P40,416 P43,716 P47,184
86
Exhibit 15A – Labor Schedule
Direct Labor
Caretaker/Maintenance
Staff (Exhibit 15B) P72,152 P72,152 P72,152 P72,152 P72,152
Operational Staff (Exhibit
15B) 78,354 78,354 78,354 78,354 78,354
Operational Staff/Driver
(Exhibit 15B) 87,436 87,436 87,436 87,436 87,436
Total Direct Labor 237,942 237,942 237,942 237,942 237,942
Indirect Labor
96,960 96,960 96,960 96,960 96,960

Owner/Manager (Exhibit
15B)
TOTAL P334,902 P334,902 P334,902 P334,902 P334,902
87
Exhibit 15B – Compensation Package
Monthly
salary SSS Philhealth Monthly Annual
Owner/
Manager P7,440.00 P552.50 P87.50 P8,080.00 P96,960.00
Caretaker/
Maintenance 5,520.00 405.20 87.50 6,012.70 72,152.40
Operational Staff 6,000.00 442.00 87.50 6,529.50 78,354.00
Operational Staff/
Driver 6,720.00 478.80 87.50 7,286.30 87,435.60
TOTAL P25,680.00 P1,878.50 P350.00 P27,908.50 P334,902.00
Exhibit 15B.1 Labour for 3 Months
Monthly salary
Owner/Manager 7,440.00
Caretaker/Maintenance 5,520.00
Operational Staff 6,000.00
Operational Staff/Driver 6,720.00
Total 25,680.00
Multiplied by 3 Months 3
Total Labour for 3 Months 77040

Exhibit 16A – Delivery Schedule
Cost of gasoline per scheduled delivery Amount
Weekly P 250.00
Monthly P1,000.00
Exhibit 16B – Delivery Expense for 3 Months
88
Gasoline Schedule
Weekly Monthly 3 Months
Cost of gasoline as scheduled: 250 1000 3000
Exhibit 17A – Miscellaneous and Supplies Expense (5 Years)
Unit
Qua
ntity
Unit
Cost Year 1 Year 2 Year 3 Year 4 Year 5
Folder Pieces 20 P5.00
P100
P105
P110
P115
P120
Record
Book Item 5 85.00
425
445
466
488
510
Ballpen Item 10 11.00
110
115
121
126
132
Receipts Item 50
2,200
2,303
2,411
2,524
2,642
Correcti
on Fluid Item 2 14.00
28
29
31
32
34
Plastic Item 1 100.00
100
105
110
115
120
Waste
Can Item 1 160.00
160
167
175
184
192

Broom Item 2 130.00
260
272
285
298
312
Dustpan Item 2 50.00
100
105
110
115
120
TOTAL P3,483 P3,646 P3,817 P3,995 P4,182
Exhibit 17B – Miscellaneous and Supplies Expense for 3 Months
Unit Quantity Unit Cost Year 1
Folder Pieces 19 5.00 95
Record Book Item 3 85.00 255
Ballpen Item 9 11.00 99
Receipts Item 45 44.00 1,980
Correction Fluid Item 1 14.00 14
Plastic Item 1 100.00 100
Waste Can Item 1 160.00 160
Broom Item 1 130.00 130
Dustpan Item 1 50.00 50
TOTAL 2,883
89
Exhibit 18A – Utilities Cost (5 Years)
Water P6,000 P6,281 P6,575 P6,882 P7,205
Electricity (Exhibit 33) 212,387 229,294 233,980 267,291 288,382
For Overhead 218,387 235,575 240,555 274,173 295,587
Electricity (Exhibit 34) 691 723 757 793 830
Communication 5,988 6,268 6,562 6,869 7,190

90
For Administrative/operating
expense 6,679 6,991 7,319 7,662 8,020
TOTAL 225,066 242,566 247,873 281,835 303,607
Exhibit 18B – Utilities Monthly Expense
Utilities
Monthly
Usage
Rate
Monthly
cost
Supplier
Water
22.72
cu. m
P 22 per
cu. m.
P500
Bugasong
Water
District
Electricity
328.03
kilowatt
P 10.30
per
kilowatt
3,378.71 ANTECO
Transportation 1,000
Communication PLAN 499 Globe
TOTAL P5,377.71
Exhibit 18C – Utilities Expense for Working Capital (3 months)
Utilities
Monthly
Usage
Rate Monthly cost Supplier
Water 22.72 cu. m
P 22 per cu.
m.
P500 LOWA
Electricity
242.71
kilowatt
P 10.30 per
kilowatt
2,500 ANTECO
Transportation 1,000

Communication PLAN 499 Globe
Total 4,499
multiply by 3 months 3
Total P13,497
Exhibit 19 – Feasibility Study Expense
91
Amount
Research Expense P450
Transportation 550
Printing 200
Binding 300
TOTAL P1,500
Exhibit 20A– Advertising Expense
Price per unit No. of Pcs. Amount
Streamer 200 3 P600
Flier 1 450 450
TOTAL P1,050
Exhibit 20B – Canvass of Promotional Materials
Eye
Catcher
Computer
Shop
Tres
Marias
Computer
Shop
Barte.com Boytex
Printing
Services
Angel’s
Printing
Shop
Streamer
(2x1m)
P200 P220

92
Flier
(8.5x5.5 in)
P1.00 P1.00 P2.00
Exhibit 21 – Permits and Licenses
Amount
Annual Registration (BIR) P500
DTI 300
Mayor's Permit 2,000
Business Clearance to Operate 30
Police Clearance 75
Sedula 22
Fire Clearance 50
Sanitary Permit 125
Environmental Compliance Certificate (DENR) 500
TOTAL P3,602
Exhibit 22 – Non Cash Equity Contribution
Amount
Vehicle P150,000
Land 250,000
TOTAL 400,000
Exhibit 23 – Direct Materials (5 Years)
Heads sold (Schedule 2) 7,938 9,368 10,104 10,929 11,796

Head* P25 P26 P28 P29 P30
Total 198,450 245,910 278,466 316,285 358,480
93
Feeds
Chick Booster
(Exhibit 10) 40,186 49,645 56,051 63,465 71,706
Broiler Starter
(Exhibit 11) 59,535 73,548 83,039 94,023 106,231
Broiler finisher
(Exhibit 12) 49,613 61,290 69,199 78,352 88,526
Vaccine:
New Castle Disease (NCD
Vaccine) (Exhibit 13) 23,814 28,104 30,312 32,787 35,388
Vaccine (Exhibit 14) 31,752 37,472 40,416 43,716 47,184
TOTAL P403,350 P495,969 P557484 P628,629 P707,515
Exhibit 24 – Overhead (5 Years)
Owner/Manager
(Exhibit 15A) P96,960.00 P96,960.00 P96,960.00 P96,960.00 P96,960.00
Utilities
(Exhibit 18A) 218,387 235,575 240,555 274,173 295,587
TOTAL P315,347 P332,535 P337,515 P371,133 P392,547
Exhibit 25 – Mortality Schedule (5 Years)

Lost heads (Schedule 2) 175 191 208 225 242
Multiply by: Cost per Head* P25 P26 P28 P29 P30
Total 4,375 5,014 5,732 6,512 7,354
Feeds
Chick Booster (Exhibit 10B) 886 1012 1154 1307 1471
Broiler Starter
Broiler Finisher
Vaccine:
New Castle Disease (NCD Vaccine) 263 287 312 338 363
Infectious Bursai Disease Vaccine 350 382 416 450 484
TOTAL P5,898 P6,721 P7,642 P8,635 P9,703
94
Exhibit 26 – Selling Expense (5 Years)
Transportation 11,000* 12000 12000 12000 12000
* 11 months of delivery (P1,000 x11)
Gasoline Schedule
Weekly Monthly Yearly
Cost of gasoline as scheduled: 250 1000 12000
Exhibit 27 – Depreciation of Equipment
Equipment
Total
Cost
Estimated
Useful Life
Annual Depreciation
Expense
Knives P390 5 P78.00

Weighing
Scale 3,960 5 792.00
Kawa 2,900 5 580.00
Plucker 19,000 10 1,900.00
Artificial
Brooder 750 5 150.00
Freezer
30,000.00 7 4,285.71
Chopping
Board
700.00 5 140.00
Waterers
2,750.00 5 550.00
Shovel
900.00 5 180.00
Wheel
borrow
2,195.00 5 439.00
Bucket
1,250.00 5 250.00
Generator
15,000.00 10 1,500.00
Tub
2,600.00 5 520.00
Relating to Operation
82,395.00
11,364.71
Calculator
1,395.00 5 279.00
Staplers
80.00 5 16.00
Office Equipment
1,475.00
295.00
95

TOTAL
83,870.00 11,660
Exhibit 28 – Depreciation Expense of Furniture and Fixtures
96
Furniture Total Cost
Estimated
Useful Life Annual Depreciation
Monoblock Chair P1,500 5 P300
Wooden Table 3,299 5 660
Filing Cabinet 14,500 5 2,900
TOTAL P19,299 P3,860
Exhibit 29 – Depreciation Expense of Delivery Vehicle
Total Cost Useful life Annual Depreciation
Delivery Vehicle P150,000 10 P15,000
Exhibit 30 – Depreciation Expense of Building
Building Total Cost Useful life
Annual
Depreciation
Poultry house P80,809 10 P8,081

Exhibit 31 – Amortization of Pre-Operating Costs (5 Years)
Amortization Carrying Amount
Year 0 P7,652.00
Year 1 P1,530.40 6,121.60
Year 2 1,530.40 4,591.20
Year 3 1,530.40 3,060.80
Year 4 1,530.40 1,530.40
Year 5 1,530.40 0
97
Exhibit 32A – Feeding Schedule
Age of
chicks in
days
Type of feeds Consumption Cost per Sack Total Cost
per 800
chicks
0-14 Chick Booster 3 sacks/800 heads
P1,350.00 P 4,050.00
15-28 Broiler Starter 4 sacks/800
heads
P1,500.00 P 6,000.00
29-45 Broiler Finisher 4 sacks/800
heads
P1,250.00 P 5000.00

Exhibit 32B – Cost of feeds for 3 Months
Chick Booster
98
Broiler
Starter
Broiler
Finisher
No. of Heads Sold (Schedule 2) 2,400 2,400 2,400
Divided by Average No. of
Heads per Sack (Exhibit 32A) 800 800 800
Total 3 3 3
Multiply by: No of Sacks per
800 heads (Exhibit 32A) 3 4 4
Total 9 12 12
Multiply by: Cost per Sack
(Exhibit 32A) 1,350 1,500 1,250
TOTAL COST OF FEEDS 12,150 18,000 15,000
Exhibit 33 A Year 1
Age
No. of
hours
in
light
Bulb
(watts)
Total
Days of
Usage
Total
Usage –
kW- (150
heads; 31
batches)
Total
Usage –
kW-
(250
heads;9
batches)
Total
Usage –
kW-(400
heads;3
batches)
Total
Usage
-kW-
(162
heads;5
batches)
0-3 23 125 3 1,604.25 776.25 414.00 279.45
4-7 18 125 4 1,674.00 810.00 432.00 291.60
8-14 14 125 7 2,278.50 1,102.50 588.00 396.90
15-22 16 125 8 2,976.00 1,440.00 768.00 518.40
23-27 18 125 5 2,092.50 1,012.50 540.00 364.50
Total 10,625.25 5,141.25 2,742.00 1,850.85
Multiply
P10.30 P10.30 P10.30 P10.30
(rate)
Total P109,440.10 P52,954.88 P28,242.6 P19,063.76
TOTAL COST
PER YEAR P212,387

Exhibit 33B Year 2
99
Age
No. of
hours in
light
Bulb
(watts)
Total
Days of
Usage
Total
Usage -
kW-
(162
heads; 31
batches)
Total
Usage -
kW-(270
heads;9
batches)
Total
Usage-kW-(
432
head; 3
batches)
Total
Usage-kW-(
175
heads; 5
batches)
0-3 23 125 3 1,732.59 838.35 447.12 301.875
4-7 18 125 4 1,807.92 874.8 466.56 315
8-14 14 125 7 2,460.78 1,190.7 635.04 428.75
15-22 16 125 8 3,214.08 1,555.2 829.44 560
23-27 18 125 5 2,259.9 1,093.5 583.2 393.75
Total 11,475.27 55,52.55 2,961.36 1,999.375
Multiply
(rate)
P10.3 P10.3 P10.3 P10.3
Total P118,195.3 P57,191.27 P30,502.01 P20,593.56
TOTAL COST
PER YEAR P229,294
Exhibit 33C Year 3
Age
No. of
hours
in
light
Bulb
(watts)
Total
Days of
Usage
Total
Usage-kW-
(175 heads;
31 batches)
Total
Usage-kW-(
292
heads; 9
batches)
Total
Usage
(467
heads;3
batches)
Total
Usage-kW-(
189
heads; 5
batches)
0-3 23 125 3 1,871.625 906.66 483.345 326.025
4-7 18 125 4 1,953.00 946.08 378.27 340.20
8-14 14 125 7 2,658.25 1,287.72 294.21 463.05
15-22 16 125 8 3,472.00 1,681.92 336.24 604.80
23-27 18 125 5 2,441.25 1,182.60 378.27 425.25
Total 12,396.13 6,004.98 1,870.335 2,159.325
Multiply
(rate)
P10.30 P10.30 P10.30 P10.30
Total P127,680.10 P61,851.29 P19,264.45 P22,241.05
TOTAL COST
PER YEAR P233,980

Exhibit 33D Year 4
100
Age
No. of
hours
in
light
Bulb
(watts)
Total
Days of
Usage
Total Usage-kW-(
162
heads; 31
batches)
Total
Usage-kW-(
189
heads; 5
batches)
Total
Usage-kW-(
189
heads; 31
batches)
Total
Usage-kW-(
315
heads; 9
batches)
0-3 23 125 3 1,732.59 326.025 2,021.355 978.075
4-7 18 125 4 1,807.92 340.2 2,109.24 1,020.6
8-14 14 125 7 2,460.78 463.05 2,870.91 1,389.15
15-22 16 125 8 3,214.08 604.8 3,749.76 1,814.4
23-27 18 125 5 2,259.9 425.25 2,636.55 1,275.75
Total 11,475.27 2,159.325 13,387.82 6,477.975
Multiply P10.3 P10.3 P10.3 10.3
Total P118,195.3 P22,241.05 P137,894.5 P66,723.14
TOTAL COST
PER YEAR P267,291
Exhibit 33E Year 5
Age
No. of
hours
in
light
Bulb
(watts)
Total
Days of
Usage
Total
Usage-kW-
(204 heads;
31 batches)
Total
Usage-kW-(
340
heads;9
batches)
Total
Usage-kW-(
544
heads;3
batches)
Total
Usage-kW-(
220
heads;5
batches)
0-3 23 125 3 2,181.78 1,055.70 563.04 379.5
4-7 18 125 4 2,276.64 1,101.60 587.52 396.00
8-14 14 125 7 3,098.76 1,499.40 799.68 539.00
15-22 16 125 8 4,047.36 1,958.40 1,044.48 704.00
23-27 18 125 5 2,845.80 1,377.00 734.4 495.00
Total 14,450.34 6,992.10 3,729.12 2,513.50
Multiply P10.30 P10.30 P10.30 P10.30
Total P148,838.50 P72,018.63 P38,409.94 P25,889.05
TOTAL COST
PER YEAR P288,382

Exhibit 34 Year 1 Year 2 Year 3 Year 4 Year 5
Freezer P1,500 P1,570 P1,643 P1,720 P1,801
40 watts bulb
(Inside the
poultry
House)
Exhibit 35
1,186 1,242 1,300 1,361 1,425
691 723 757 793 830
101
40 watts bulb(
outside the
poultry house)
Administrative
Exhibit 35 Unit
No. of
Hours
Usage
per unit
Total
Usage
Rate Total
Monthly
Cost
Freezer 1 24 145.63 145.63 P10.30 P1,500
40 watts
bulb
(Inside the
poultry
House)
4 24 28.8 115.2 10.30 1,186.56
40 watts
bulb(
outside the
poultry
house)
4 14 16.8 67.2 10.30 691.16
Total P3,377.72

102
Exhibit 36– Technical Layout

Feasibility study about Poultry Business

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