Denmark Auto Supply

A Project Feasibility Study
2015-2019
Presented to the Evaluation Panel of

Ateneo de Davao University
School of Business and Governance
Davao City
In Partial Fulfillment of the Requirements

For the Course of
Management Consultancy
Marianne Lou S. Adanza

Rolyn C. Castillo
Alyssa Jean T. Itang
Hannah B. Magallon
Caesa Lea Angela B. Rosete
MEMBERS
Rhea Jane V. Carpio, CPA

INSTRUCTOR
September 29, 2014

Denmark Auto Supply | 1
ACKNOWLEDGMENT
We, the members of the group, are deeply grateful to the following who
accompanied us in the progress and success of our Project Feasibility Study.
To Ms. Yaniza Grace D. Garcia, the accounting staff of Denmark Trucking Services,
for allotting her time and effort as well as for providing us the knowledge and information
needed to make this study possible.
To Mrs. Marilyn Castillo, Mr. Clemente Rosete and Mr. Mario Cesar Adanza for
their generous assistance and support to make this humble study at its best.
To Mr. Gerry Olea and Mr. Rolando Laurora of Davao ABC Auto Supply and also,
Mr. Arkh L. Demavibas of Veracruz Autoparts and Hardware for imparting us the data
essential in establishing a spare parts merchandising business.
To Ms. Nur-ain S. Nazareno and Atty. Lawrence D. Bantiding of Business Bureau
for providing us the necessary information needed in the study.
To Engr. James C. Piodos for sharing his expertise and skills.
To Ms. Rhea Jane Carpio for imparting her knowledge and proficiency on
Management Consultancy and for providing us helpful comments and suggestions and also,
valuable insights in refining this study.
To our families, relatives and friends for their passionate understanding, unending
love and care, and for believing and accompanying us in reaching their aspirations.
To those persons whom we failed to mention but are worthy to be recognized for
all their appreciation, compassion and encouragement.
Most importantly, to God for giving us the gift of life as well as the gift of wisdom,
knowledge and understanding and for guiding us throughout the study for without Him, this
would be impossible.
Marianne Lou, Rolyn, Alyssa Jean, Hannah, Caesa Lea Angela
TABLE OF CONTENTS
ACKNOWLEDGMENT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
TABLE OF CONTENTS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
LIST OF TABLES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
LIST OF FIGURES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8
APPENDICES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9
CHAPTER I. SUMMARY OF PROJECT
A. NAME OF THE PROJECT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
B. LOCATION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
C. DESCRIPTIVE DEFINITION OF THE PROJECT. . . . . . . . . . . . . . . . . . . . . 13
D. PROJECTS LONG RANGE OBJECTIVES. . . . . . . . . . . . . . . . . . . . . . . . . . . .14
E. FEASIBILITY CRITERIA. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
E.1 Market Feasibility . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
E.2Technical Feasibility. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
E.3 Financial Feasibility. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16
E.4 Socio-economic Feasibility. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .16
E.5 Organization and Management Feasibility . . . . . . . . . . . . . . . . . . . . . . . .16
F. HIGHLIGHTS OF THE PROJECT. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16
F.1 History . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16
F.2 Nature of the Industry . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .15
F.3 Mode of Financing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .15
F.4 Investment Costs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .16
G. MAJOR ASSUMPTIONS AND SUMMARY OF FINDINGS AND
CONCLUSIONS. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18
G.1 Market Feasibility. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18
G.2 Technical Feasibility. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19
G.3 Financial Feasibility. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .23
G.4 Socio-Economic Feasibility. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23
G.5 Management Feasibility. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23
CHAPTER II. MARKET STUDY

A. PROJECT DESCRIPTION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .25
B. MARKET DESCRIPTION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27
C. DEMAND . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .28
D. SUPPLY . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .33
E. DEMAND-SUPPLY ANALYSIS. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .37
F. PRICE STUDY . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39
G. MARKETING PROGRAM . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 46
CHAPTER III: TECHNICAL FEASIBILITY
A. THE PRODUCT/MERCHANDISE. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .50
B.MERCHANDISING PROCESS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 52
C. STORE AND OPERATION SCHEDULE . . . . . . . . . . . . . . . . . . . . . . . . . . . . .54
D. MACHINERY AND EQUIPMENT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 55
E. STORE LOCATION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 60
F. STORE LAYOUT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .61
G. BUILDING AND FACILITIES. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 62
H. RAW MATERIALS AND SUPPLIES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 64
I. UTILITIES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 68
J. WASTE DISPOSAL . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .69
K. LABOR REQUIRMENTS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .70
CHAPTER IV: FINANCIAL FEASIBILITY
A. MAJOR ASSUMPTIONS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .74
B. TOTAL PROJECT COST . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 78
C. INITIAL WORKING CAPITAL REQUIREMENTS. . . . . . . . . . . . . . . . . . . . 78
D. ALTERNATIVE SOURCES OF FINANCING CONSIDERED . . . . . . . . . 80
E. SOURCES OF FINANCING THE PROJECT. . . . . . . . . . . . . . . . . . . . . . . . . . 80
F. PRO-FORMA FINANCIAL REQUIREMENTS. . . . . . . . . . . . . . . . . . . . . . . . .81

F.1 Projected Statement of Financial Position . . . . . . . . . . . . . . . . . . . . . . . .81
F.1.1 Projected Statement of Financial Position Yearly . . . . . . . . 81
F.1.2 Projected Statement of Financial Position Monthly . . . . . . .82
F.2 Projected Statement of Changes in Equity . . . . . . . . . . . . . . . . . . . . . . . .86
F.2.1 Projected Statement of Changes in Equity Yearly . . . . . . . . 86
F.2.2 Projected Statement of Changes in Equity Monthly . . . . . . .87
F.3 Projected Statement of Comprehensive Income. . . . . . . . . . . . . . . . . . . 89
F.3.1 Projected Statement of Comprehensive Income Yearly . . . .89
F.3.2 Projected Statement of Comprehensive Income Monthly . .90
F.4 Projected Statement of Cash Flow. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .94
F.4.1 Projected Statement of Cash Flow Yearly . . . . . . . . . . . . . . .94
F.4.2 Projected Statement of Cash Flow Monthly . . . . . . . . . . . . .96
F.5 Notes to Financial Statement . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
100
G. FINANCIAL ANALYSES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .126
G.1 Financial Ratios . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .126
G.1.1 Profitability Ratios . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .127
G.1.2 Asset Utilization Ratios . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .129
G.1.3 Liquidity Ratios . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .133
G.1.4 Debt Utilization Ratios . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .135
G.2 Capital Budgeting . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 137
G.3 Vertical Analysis . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .139
G.3.1 Projected Statement of Financial Position . . . . . . . . . . . . . . .139
G.3.2 Projected Statement of Comprehensive Income . . . . . . . . . .144
G.4 Horizontal Analysis . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .147
G.4.1 Projected Statement of Financial Position . . . . . . . . . . . . . . .147
G.4.2 Projected Statement of Comprehensive Income . . . . . . . . . .151
H. ACCOUNTING AND CONTROL PLAN . . . . . . . . . . . . . . . . . . . . . . . . . . . .157
CHAPTER V: SOCIO-ECONOMIC STUDY
SOCIO-ECONOMIC STUDY. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .164

CHAPTER VI: ORGANIZATION AND MANAGEMENT STUDY
Basic Consideration in Forming the Organization. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 165
Form of Ownership. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 165
Organizational Chart. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 166
Officers and Key Personnel. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .167
Project Schedule. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 167
REFERENCES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .170
LIST OF TABLES
Table 1.1 Beginning Inventory. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .20

Table 2.1 List of Tucking Supplies to be Sold in the Market. . . . . . . . . . . . . . . . . . . . . . . . . .26
Table 2.2 List of Competitors and their Locations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34
Table 2.3 List of Trucking Service Providers. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27
Table 2.4 List of Respondents with Corresponding Capital. . . . . . . . . . . . . . . . . . . . . . . . . . .28
Table 2.5 List of Respondents Who are willing to buying the New Business. . . . . . . . . . . . .29
Table 2.6 Number of trucking services from 2010 to 2015. . . . . . . . . . . . . . . . . . . . . . . . . . . 31
Table 2.7 List of Auto Parts Retailers in Sasa with Corresponding Capital. . . . . . . . . . . . . . .33
Table 2.8 Competitors SWOT Analysis. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 35
Table 2.9 Denmark Auto Supplys SWOT Analysis. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .36
Table 2.10 Relationship of the 2013 and 2014 Suppliers Price using Least-Squares
Regression . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .39
Table 2.11 Projected Suppliers Price List using the Mathematical Equation Derived from
Table 2.10. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40
Table 2.12 Denmark Auto Supplys Proposed Price for 2015. . . . . . . . . . . . . . . . . . . . . . . . .41
Table 2.17 Signage, Tarpaulin and Flyers Costs. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 47
Table 3.1 Truck Parts Category. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .50
Table 3.2 List of Parts to Sell. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .51
Table 3.3 Delivery Equipment. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .55
Table 3.4 Store Equipment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .56
Table 3.5 Office Equipment. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 57
Table 3.6 Furniture and Fixtures. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .58
Table 3.7 Building Cost Computation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .63
Table 3.8 List of Merchandising Supplies. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .64
Table 3.9 List of Store Supplies . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 67
Table 3.10 List of Office Supplies . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 67

Table 3.11 Rates to Compute Electricity Expense . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 68
Table 3.12 Labor Costs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .72
Table 4.1 Balance Sheet Assumptions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 74
Table 4.2 Income Statement Assumptions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .75
Table 4.3 Total Project Cost . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .78
Table 4.4 Financial Ratios Computation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 126
Table 4.5 Net Present Value Method . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .137
Table 4.6 Payback Period . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 137
Table 4.7 Discounted Payback Period . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 138
Table 4.8 Vertical Analysis on Balance Sheet for 2016 and 2015 . . . . . . . . . . . . . . . . . . . . . 139
Table 4.9 Vertical Analysis of Balance Sheet for the year 2017 and 2016 . . . . . . . . . . . . . . 140
Table 4.10 Vertical Analysis of Balance Sheet for the year 2018 and 2017 . . . . . . . . . . . . . 141
Table 4.11 Vertical Analysis of Balance Sheet for the year 2019 and 2018 . . . . . . . . . . . . . 142
Table 4.12 Vertical Analysis on Income Statement 2015 . . . . . . . . . . . . . . . . . . . . . . . . . . . 144
Table 4.17 Horizontal Analysis on Balance sheet for the years 2016 and 2015 . . . . . . . . . .147
Table 4.21 Horizontal Analysis on Income Statement for the year 2016 and 2015 . . . . . . .151
Table 4.24Horizontal Analysis on Income Statement for the year 2019 and 2018 . . . . . . . 154
Table 4.25 Revenue/Receipt Cycle: Control Objectives and Procedures . . . . . . . . . . . . . . .157
Table 4.26 Purchasing and Cash Disbursements: Control Objectives and Procedures . . . .160
Table 4.27 Personnel and Payroll: Control Objectives and Procedures . . . . . . . . . . . . . . . .161
Table 4.28 Inventory: Control Objectives and Procedures . . . . . . . . . . . . . . . . . . . . . . . . . .162
Table 4.29 Fixed Assets: Control Objectives and Procedures . . . . . . . . . . . . . . . . . . . . . . . 163
Table 6.1 Lists of Key Personnel . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 167
Table 6.2 Project Schedule 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .168
Table 6.3 Project Schedule 2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .169
LIST OF FIGURES
Figure 2.1 Projected Demand Based on the Survey Conducted. . . . . . . . . . . . . . . . . . . . . . . 30
Figure 2.2 Market Share of Auto Part Retailers base on Capital . . . . . . . . . . . . . . . . . . . . . . .34
Figure 2.3 Denmark Auto Supply Official Logo. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 46
Figure 2.4 Example of the Flyer to be Distributed. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .48
Figure 3.1 Phone Order Process . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . 53
Figure 3.2 Walk-in Process . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . . .54
Figure 3.3 Map Going to the Stores Location . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .60
Figure 3.4 Location of Denmark Auto Supply . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .60
Figure 3.5 Denmark Auto Supply Floor Plan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 61
Figure 3.6 External View of Denmark Auto Supply . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 61
Figure 3.7Davao Citys Disposal Bins . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 69
Figure 3.8Organizational Chart . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .73
Figure 4.1 Profit Margin Graph. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .127
Figure 4.2 Return on Asset Graph. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .127
Figure 4.3 Return on Equity Graph. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .128
Figure 4.4 Receivable Turnover Graph. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .129
Figure 4.5Average Collection Period Graph. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .129
Figure 4.6 Inventory Turnover Graph. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .130
Figure 4.7 Fixed Asset Turnover. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .131
Figure 4.8 Total Asset Turnover. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 131
Figure 4.9 Current Ratio Graph. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .133
Figure 4.10 Quick Ratio Graph. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 134
Figure 4.11 Debt to Total Assets Graph. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .135
Figure 4.12 Time Interest Earned Graph. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 135
Figure 4.13 Trend Analysis of Sales and Net Income. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 155
Figure 4.14 Trend Analysis of Total Current Assets and Liabilities. . . . . . . . . . . . . . . . . . . 155
Figure 4.15 Trend Analysis for Cash and Accounts Receivable. . . . . . . . . . . . . . . . . . . . . . .156
Figure 6.1Organizational Chart of Denmark Auto Supply . . . . . . . . . . . . . . . . . . . . . . . . . . 166
APPENDICES
Appendix A: Schedule for Inventory in Quantity . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .172
Appendix B: Schedule of Purchases . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .174
Appendix C: Schedule of Cost of Sales . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 180
Appendix D: Schedule of Sales . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .188
Appendix E: Schedule of Insurance Expense . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 195
Appendix F: Schedule of Yearly Taxes and Licenses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .196
Appendix G: Basis of Computation of Monthly Utilities Expenses. . . . . . . . . . . . . . . . . . . 196
Appendix H: Sample Survey Questionnaire . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .197
Appendix I: Calculation of Freight Charges . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .199
Appendix J: List of BPI Rates . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .200
Appendix K: Withholding Tax Table . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .201
Appendix L: Phil Health Contribution Table . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .202
Appendix M: SSS Contribution Table . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 203
Appendix N: Inflation Rate . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 204
Appendix O: Basis of Industry Ratios for Financial Ratios Analyses . . . . . . . . . . . . . . . . . .205
CHAPTER I. SUMMARY OF PROJECT

A. NAME OF THE PROJECT
The proposed operating segment of Denmark Trucking Services would be
named as Denmark Auto Supply. The name was suggested by Mr. Eleazer A. Pande,
the owner of the Denmark Trucking Services.[back]
B. LOCATION
Denmark Auto Supplys office, store and stock room would be situated in
one and the same place. This would be located in Km. 10, Sasa, Davao City. It is
near the Sasa Wharf and is adjacent to Petron Gasoline Station. The factors which
led to the choice of location are the following:
1. Sources of Raw Materials, Labor and Utilities
A location near the Sasa Wharf means better accessibility to suppliers,
namely: KMTS Corporation which is located at Km 7, Lanang, Davao City and
Sysan Enterprises, located in Luzon areas. Though far, the proponents could still
benefit as to the decrease in the amount of delivery cost for they are so near to the
Sasa Wharf. Furthermore, an easier access in terms of labor would be avail for the
proponents plan to hire employees in the same area. Lastly, sources of utilities for
the project such as Davao Light and Power Company, Philippine Long Distance
Telephone Company (PLDT) and Davao City Water District, are considered most
appropriate relative to the location.
2. Proximity to the Market

A location near the Sasa Wharf means delivery cost savings. Thus, they could
charge less cost and could offer their products at a relatively lower price than their
competitors. Furthermore, the location provides high visibility to the prospected
target market the trucking industry. Since many trucks go near the wharf, Denmark
Auto Supply could easily advertise the business.
3. Nature of Available Transportation
A location along the highway means an easy access to transportation. Thus, it
would be easier for the customers to travel to and from the premises whether it be
through jeepney, taxi, bus or private vehicle.
4. Cost of Land and Building
Denmark Auto Supply would lease 195 square meters of land. The owner of
the land offered to lease it at a fixed rate of P55.00 per square meter every month
for the whole lease term. The first offered cost was P60.00 per square meter; later
on, the owner agreed it to be P55.00 per square meter. The proponent therefore
accepted it since it is already discounted. Aside from that, the land was already fully
furnished. Thus, the total amount of lease per month is P 10, 725.00. Compared to
other rentals in the market, the rent costs of this land is cheaper. And so, the owner
would really benefit from this. The construction of the companys office and
stockroom would cost P1, 500,000.00 occupying 125 square meters. The balance of
70 square meters is allotted for the parking lot. [back]
C. DESCRIPTIVE DEFINITION OF THE PROJECT
The merchandising of spare parts is a viable business provided that there is
sufficient capital to start up the project and there is proper management of business
operation. Its importance is that aside from catering the needs of the primary
business of the owner, it could also cater the needs of other trucking industries by
selling them product at a lower price. It could help the community as well by
employing manpower from the same area. Moreover, the project is expected to yield
profit over the years and would help in the economic growth of Davao Region.
On this note, the proponents of this project proposed to work on an
expansion of an existing trucking service through the creation of an additional
business segment which would involve merchandising of spare parts. [back]
D. PROJECTS LONG RANGE OBJECTIVES
Vision
To be the leading supplier and distributor of high quality and affordable auto
supplies in the city while imploring the concept of stewardship
Mission
To provide the best quality and affordable auto supplies to its customers
Goals
In ten years time, Denmark Auto Supply would be a major player in the
merchandising industry. It would cater a much wider variety of auto supplies; and it
would cater larger market locating not only here in Davao City but also for the rest
of Mindanao.
It would also enter into a new form of business which is
manufacturing of some spare parts. [back]
E. FEASIBILITY CRITERIA
In this paper, it is important to know the most important guidelines used to
judge the feasibility of the project. The following are the considerations of this
paper:[back]
1. Market Feasibility
There is an ample demand of the product and/or service proposed to

produce or render.
There is an adequate supply of auto parts.
The project will enjoy competitive position.[back]
2. Technical Feasibility
There is availability of resources needed for the proposed project (capital

and equipment).
There is a suitable location for the proposed project including

environmental and financial impact analysis.
There is efficiency in scheduling the order, capacity utilization, and

number of operating days per year.
The equipment (delivery equipment and office equipment) in the

proposed project is appropriate.
There is efficacy of the basis in selecting the products, supplies and

suppliers.
There is effectiveness of the cost consideration of all things comprising

the proposed project.[back]
3. Financial Feasibility
There will be enough financial resources throughout the operations

lifetime.
Denmark Trucking Services will be financially benefited from the new

operating segment. Its regular needs for truck supplies would also be
catered.[back]
4. Socio-Economic Feasibility
The financial stability of every employee is improved.
The employment rate is maintained or increased.
There is an increase in the city and national government revenue that

could be used for development of the community.[back]
5. Organization and Management Feasibility
There is adequate time and resources to form the additional business

segment.
There is a clear structure of the organization.
There is a proper procedure of hiring and employing of officers and key

personnel.[back]
F. HIGHLIGHTS OF THE PROJECT

History
The project came about when the owner of the business, Mr. Pande wished
to expand his current trucking services into another line segment involving the
merchandising of spare parts supplies. Mr. Pande believed that the said project
would best cater the needs for spare parts since 40% of the companys total expenses
fall under repairs. Instead of buying the items from other suppliers, the proprietor
thought why not supplies the parts himself.[back]
Nature of the industry

Merchandising of spare parts shows a very tight competition within the
market and its industry. Its product line varies depending on what kind of vehicle it
caters. As for this project, for the first five projected operating years, it would cover
only truck parts to cater the need of the business to be expanded. For the following
years after that, the business segment would then also supply auto parts.
Initially it would be catering Trailer truck spare parts since it is the most
demandable spare parts supplies along Sasa, Davao City. [back]
Mode of Financing
The first source of capital for the additional line of business would be a bank
loan. Since the business is a sole proprietorship, the owner would secure the loan
with personal assets coming from an acquired other business. The owner usually
acquires bank loan with a two to five year - financing terms. The loan would be used
to finance the building costs and land rental. Other expenses would be financed
through supplier credit. The rest would be financed through out-of-pocket money of
the proprietor.[back]
Investment Costs
To make the business segment operational, the expansion is estimated to cost

a total amount of P2, 659,457.61. The details of costs are as follows:[back]
Construction- Store/ Office

Inventory
Delivery Equipment
Cash
Leasehold Improvements
Store Equipment
Furniture and Fixtures
Office Equipment
Miscellaneous
Office Supplies
Store Supplies
Total Investment Cost
1,500,000.00
560,403.29
284,000.00
220,000.00
29,030.00
21,000.00
18,899.50
17,895.00
3,440.50
3,089.32
1,700.00
2,659,457.61
G. MAJOR ASSUMPTIONS AND SUMMARY OF FINDINGS AND CONCLUSIONS

Market Feasibility
Trucking services are prevalent in Sasa, Davao City. It must be because of its
proximity to the Sasa Wharf which is the principal domestic and international seaport for
most passengers and commodities of the Davao Region. The current demand for trucking
supplies in the area are also prevalent due to high maintenance needed in the trucks.
However, only few auto parts retailers operate in the same area and only a small portion of it
provides truck supplies. Hence, owners of the trucks need to find other suppliers outside
Sasa. Currently, there are 32 registered trucking services and only 8 auto parts retailers are
present in the area.
Trucking services would be the target market of the business since the new auto
supply business would focus its first five (5) years of operation in supplying truck supplies
only. Basically, the business would be having a one-on-one courtship to its target market
through constant updates with the business competitive prices and credit terms or offers. In
this case, the target market need not to look for suppliers outside Sasa, since the usual
trucking supplies are already provided few meters or kilometers away from their vicinity.[back]
Technical Feasibility
The following items affect the technical feasibility of this study:
Merchandise Line
Denmark Auto Supply would engage into merchandising of truck spare parts.
It would be located at Km. 10, Sasa, Davao City, near the wharf. Thus, it would be
proximately accessible to its target market which is the trucking services of Sasa.
Since there are millions of parts, it would only focus on selling those saleable items
as identified by persons within the industry. The suppliers of this project would be
Sysan Enterprises and KMTS Corporation,
which offers the same terms as to
payments. Furthermore, as part of its strategy, the business offers lesser prices, credit
option to consistent customers, and free delivery of items.
Technology Necessary for Merchandising and its Availability
Like any other merchandising businesses, Denmark Auto Supply would not
need much of highly technological equipment. It would only need a truck for its
delivery services, calculators for computation aspect, telephone for ordering calls and
a laptop with internet connection for data storage and communication purposes.
Furthermore, these technologies are all available in the market, thus, there is no
problem as to its availability.
Proper Mix of Merchandise Resources

As there has been a need of much bigger capital to start-up the business, the
proper mix of merchandise resources depend on the financial capacity of the
proprietor. Thus, the proponents come up to the following list of inventory to be
sold at the start of operation:
Table 1.1: Beginning Inventory[back]

PRODUCTS TO SELL
ITEM
Air Chamber
BRAND
Mixed
Air Compressor
QTY UNIT
5 pcs
5 pcs
Air Dryer
D6322
5 sets
Air Filters
ME-060219
5 pcs
Alternator
Hyundai
5 pcs
Ball Joints
Japan
5 pcs
Battery
100A
5 pcs
Bearings
Japan
15 pcs
PER PC.
AMOUNT
803.40
4,017.00
5,350.00
26,750.00
1,133.00
5,665.00
1,081.50
5,407.50
2,894.30
14,471.50
257.50
1,287.50
2,461.00
12,305.00
588.50
8,827.50
Table 1.1: Beginning Inventory (Continuation)[back]

PRODUCTS TO SELL
ITEM
BRAND
QTY UNIT
PER PC.
Bolt-Hub Bolt Set
Hyundai
15 pcs
133.90
Brake Cylinder
Mixed
5 pcs
3,402.60
Brake Lining
TBK
15 pcs
261.08
Brake Master
Isuzu TD5 pcs
Assembly
LN
1,184.50
Bushing-Stabilizer
MP518
5 sets
360.50
Clutch Disc Set
Hyundai
5 pcs
2,739.20
Clutch Hoses
5 pcs
515.00
Clutch Slave Repair
SK-81501
5 sets
Kit
267.80
Cross Joint Assembly Hino
5 sets
1,828.25
Diesel Tank Belt
Mixed
5 pcs
978.50
Door Lock Assembly Suzuki
5 pcs
ST100
782.80
Drum (rear)
Mixed
5 pcs
642.00
Fan Blade
8L-8H
5 pcs
3,531.00
Feed Pumps
PE6
5 pcs
3,210.00
Foot Valve
Mixed
5 pcs
1,904.60
Front Spring
5 pcs
4,635.00
Fuel Filters
6D14
5 pcs
139.05
Fuse Plug in
25AMP
15 pcs
2.06
Handle Power Pump
5 pcs
6,798.00
Hub Drum
Hyundai,
5 pcs
Daewoo
7,725.00
Hydrauvac
Mixed
5 pcs
12,732.86
AMOUNT
2,008.50
17,013.00
3,916.20
5,922.50
1,802.50
13,696.00
2,575.00
1,339.00
9,141.25
4,892.50
3,914.00
3,210.00
17,655.00
16,050.00
9,523.00
23,175.00
695.25
30.90
33,990.00
38,625.00
63,664.30
Table 1.1: Beginning Inventory (Continuation)[back]

ITEM
King Pin Kit
Oil Filters
Oil Pumps
O-ring Set (Cylinder
liner)
Power Stearing Gear
Radiator
Release Bearing
Housing
Shock Absorbers
Solenoid Switch
Spring Bolt Kits
Switch-Headlight
Tie Rod End
Torque Rod
U Bolt
Wheel Rim
PRODUCTS TO SELL
BRAND
QTY UNIT
PER PC.
4D32
5 set
1,284.00
6RB1/8DC
15 pcs
81
504.70
Japan
5 pcs
1,874.60
RD8
5 24's
824.00
Hyundai,
5 pcs
Daewoo
6,798.00
Hyundai,
5 pcs
Daewoo
4,601.00
4BA1-Big
15 pcs
123.60
Japan
5 pcs
2,129.30
C240
5 pcs
3,424.00
Japan
5 pcs
6,180.00
S-63A
15 pcs
51.50
6dB
5 pcs
4,066.00
5 pcs
1,605.00
New
15 pcs
309.00
5 pcs
3,605.00
AMOUNT
6,420.00
7,570.50
9,373.00
4,120.00
33,990.00
23,005.00
1,854.00
10,646.50
17,120.00
30,900.00
772.50
20,330.00
8,025.00
4,635.00
18,025.00
TOTAL
549,437.90
Note: The above amounts represent the 2014 suppliers price which is inclusive of VAT. However, in the
income statement, what is presented is already net of Vat.[back]
Optimum Order Volume

The monthly order volume of Denmark Auto Supply would be the same for
the entire 5 years. Thus, the quantity order shown in the previous table is the
optimum order volume per month.[back]
Financial Feasibility
Denmark Auto Supply would loan in the Bank of the Philippine Islands or BPI
amounting to P 2,000,000.00 payable in 5 consecutive years that would be allotted in the
establishment of the stores building and acquisition of the delivery equipment. The
beginning inventory and other necessary expenses needed to start the business would be
provided by the proprietor, Mr. Eleazer A. Pande. The total project cost would amount to P
2,659,457.61.
Base in the projected income statement, the proprietor would earn P 1,976,446.27by
the end of the first year and it is projected to increase in the years thereafter. Moreover, the
owner is expected to withdraw 70% of the net income every year.
Basing on the results, the proponent could say that the business is financially
feasible.[back]
Socio-Economic Feasibility
The establishment of Denmark Auto Supply in Sasa, Davao City would open up new
job opportunities. It would be a regular tax payer and the collections that could be derived
from the business could be of help for the development of the Philippines as a whole.
Importantly, it would provide convenience to the trucking services in the area since they
would have alternative sources of truck supplies.[back]
Management Feasibility
The business is in a form of sole proprietorship. It is another line of business of the
sole proprietor. Thus, it created its own management structure for control purposes. The
proprietor employs a supervisor to oversee its internal operation and the latter has the
responsibility to report to the former all business transactions that he goes through.
Furthermore, the supervisor is the one whom the cashier, two sales personnel and a driver
report to. The business does not require many employees, thus, 5 employees are enough to
cater the managerial needs of the project.[back]
CHAPTER II. MARKET STUDY

This chapter describes the product and the market of the business. It also contains
the demand and supply analysis of the products and how it would affect the business
operations. It also provides the selling prices of the products for the next five (5) years along
with the means of deriving such prices. The ultimate part of this chapter discusses marketing
policies and programs that would be implemented in the operation of the business.
A. PROJECT DESCRIPTION
Name of the Product
DENMARK AUTO SUPPLY would be the new operating segment of Denmark
Trucking Services. It would be the new retailing business for auto supplies that would be
located at km. 10, Sasa, Davao City. Due to the wide array of auto spare part, Denmark Auto
Supply would focus on trading truck supplies only for its first five (5) years of operation.
This would cater the huge demand of truck supplies from various trucking services within
Sasa in which most of trucking service providers are located. Also, this would serve as an
expansion of Denmarks current business that aims not just to address its needs for truck
supplies but also to provide an avenue to earn additional profit.
Products
The products in the merchandising business are composed primarily of auto
supplies. However, for the first five (5) years of operation, only truck supplies will be sold.
Table 2.1 below lists the saleable items base on an interview conducted with ABC Auto
Supply, the benchmark business of Denmark Auto Supply. Products like bearings, bolt-hub
bolt set, brake lining, and fuse plug in, oil filters, release bearing housing, switch-headlight,
and U Bolt would be prioritized as compared to other products as these are found to be
much more saleable. The other products would be maintained at a lower level. Appendix A
will show the schedule regarding the inflow and outflow of inventories in units.
Table 2.:1 List of Trucking Supplies to be Sold in the Market[back]

List of Inventory (Truck Supplies)
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
Air Chamber
Air Compressor
Air Dryer
Air Filters
Alternator
Ball Joints
Battery
Bearings
Bolt-Hub Bolt Set
Brake Cylinder
Brake Lining
Brake Master Assembly
Bushing-Stabilizer
Clutch Disc Set
Clutch Hoses
16
17
18
19
20
21
22
23
25
26
27
28
29
30
Clutch Slave Repair Kit

Cross Joint Assembly
Diesel Tank Belt
Door Lock Assembly
Drum (rear)
Fan Belt
Fan Blade
Feed Pumps
Front Spring
Fuel Filters
Fuse Plug in
Handle Power Pump
Hub Drum
Hydrauvac
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
King Pin Kit

Oil Filters
Oil Pumps
O-ring Set (Cylinder liner)
Power Stearing Gear
Radiator
Release Bearing Housing
Shock Absorbers
Solenoid Switch
Spring Bolt Kits
Switch-Headlight
Tie Rod End
Torque Rod
U Bolt
Wheel Rim
Geographical Areas of Dispersion

There are 108 registered auto parts retailers in Davao City as provided by the
Business Bureau, Region XI as of August 22, 2014; there are 8 registered auto parts retailers
all over Sasa.[back]
Table 2.2: List of Competitors and their Locations[back]
Name of the Retailers
Almar Parts & Hardware Corporation
AYP-Prestige Motorworks Incorporated
CBRT Automotive, Motorcycle Parts &
Services
Cruzada Enterprises
Jecwood Enterprises
Kantoku Surplus Parts
Shindai Automotive Components Incorporated
YSK Auto Parts
Address of the Retailers

Airport Drive, Sasa
General Aviation area Bangoy Old Airport
Damosa Land Inc. building Damosa km.
11
Km. 12 Davao-Agusan Highway
Pedro Sr. Bolton Village, Dona Pilar
Buhangin Diversion Road (Near I.N.C.
Church)
Door 7 Denia building km.12
Door 1 Sia building km.12
B. MARKET DESCRIPTION
Major Consumers of the Product
The target market of the retail industry would be trucking services and walk-ins
having heavy duty trucking equipment. The area of dispersion would be within Sasa, Davao
City. In the current statistical report as provided by the Business Bureau, Region XI in
Davao City, there are 32 registered trucking services in Sasa as of August 22, 2014. [back]
Table 2.3: List of Trucking Service Providers[back]

List of Trucking Service Providers in Sasa, Davao City (record as of August 22, 2014)
Name of the Provider
Address of the Provider
ADAM RAUL GAYRAMARA
KM. 12 SASA
BT FERNANDEZ TRUCKING
KM. 11 SASA
CBI DAVAO, INC.
KM. 10 SAN ANTONIO VILLAGE
CMGCOR CORPORATION
KM. 10 PICHON COMPOUND
D. CIMAFRANCA TRUCKING CORP.
DONA MERCEDES SUBD., BUHANGIN
DANA AND COREEN TRANSPORT SERVICES
OLD AIRPORT DRIVE
DENMARK TRUCKING SERVICES
KM. 11
DOMINION TRANSPORT
ANGLIONGTO BLDG.' KM. 9 OLD AIRPORT ROAD
FIRST MINDANAO CONSOLIDATED SERVICES, INC.
AIRPORT ROAD, KM 9
10
GILSON TRUCKING INC.
KM. 9 OLD AIRPORT DRIVE
11
GREAT INVEST LUMBER & CONSTRUCTION SUPPLY
KM. 12 DIVERSION ROAD, SASA
12
HONG EQUIPMENT AND DEVELOPMENT CORP.
KM.9 AIRPORT ROAD
13
IJM TRUCKING SERVICES
KM. 11
14
JOHN OLIVER BADILLES TAN
C/O DFPPO BLDG. KM. 12
15
JRII TRUCKING SERVICES, INC
SSHI BLDG.'BANGOY AIRPORT
16
KLYL TRUCKING SERVICES
DR. 5 PAVINO BLDG. II' KM. 9
17
MARGER TRUCKING
# 80 LIWAYWAY ST.
18
MARTINA FERNANDEZ T. TE
KM. 11
19
MARTINA FERNANDEZ T. TE
KM. 10 MERCEDES SUBD.
20
MILLENIUM TRUCKING SERVICES
KM. 11
21
NEO TRANSPORT (NTC) CORP.
22
NJ CARRIERS INCORPORATED
ASIAQUIP COMPOUND' KM. 9
Table 2.3: List of Trucking Service Providers (Continuation) [back]

List of Trucking Service Providers in Sasa, Davao City (record as of August 22, 2014)
23
NORTHZER MOTOS & ALLIED SERVICES
KM. 11
24
PIONEER LOGISTICS & RENTAL CORP.
KM. 11 OCEANIC CONTAINER LINE BLDG.
25
POWER PUNCH TRANSPORT
26
RR VILLARBA TRUCKING SERVICES
SARDIUS ST., DONA SALUD SUBD.
27
RUGGED WHEEL CARGO TRANSPORT
KM. 9 DONA PILAR ROAD
28
SAINT EDUARD TRUCKING SERVICES
WILLIAM LINES PRIVATE WHARF KM. 9
29
TRAKWELL LOGISTICS & TRUCKING CORPORATION
30
TRANSPECIAL INC.
KM. 10
31
TRUCKPLUS HAULING SERVICES CORPORATION
KM. 11, DONA MERCEDES SUBD.
32
VILLA-GIL TRUCKING SERVICES
KM. 10 DONA MERCEDES SUBD.
The potential buyers of truck supplies would be categorized into two. Primarily,
Denmark Auto supplys target market would be the trucking services that are situated in
Sasa. Secondary target market would be those walk-ins composed of trucking service
providers, other trucking services that are not necessarily situated in Sasa, and individuals
who have trucks. [back]
C. DEMAND
The projected demand for trucking supplies in Sasa, Davao City is based on the
buying capacity of trucking services presented earlier. However due to certain limitations in
the conduct of the survey such as the difficulties in reaching out to the them and for safety
precaution purposes, only 10 out of 32 trucking services will be made available for the
analysis of the demand.
Table 2.4: List of Respondents with Corresponding Capital[back]
CBI DAVAO, INC.
HONG EQUIPMENT AND
DEVELOPMENT CORP.

Capital
P 4,000,000.00
KM.9 AIRPORT ROAD
7,000,000.00
1,000,000.00
P 12,000,000.00
Continuation: Running total P 12,000,000.00

Capital
RUGGED WHEEL CARGO TRANSPORT
KM. 9 DONA PILAR ROAD
1,050,000.00
TRANSPECIAL INC.
KM. 10
3,000,000.00
300,000.00

ANGLIONGTO BLDG.' KM. 9 OLD
AIRPORT ROAD
500,001.00
DOMINION TRANSPORT
FIRST MINDANAO CONSOLIDATED
SERVICES, INC.
10,000,001.00
AIRPORT ROAD, KM 9
1,000,000.00
2,000,000.00
P 28,850,002.00
TOTAL
Table 2.4 shows the total buying capacity of the target market based on their capital
which is P28, 850,002.00.
Table 2.5: List of Respondents Who are willing to buying the New Business[back]
Capital
P 4,000,000.00
CBI DAVAO, INC.
1,000,000.00
TRANSPECIAL INC.
KM. 10
3,000,000.00
300,000.00

ANGLIONGTO BLDG.' KM. 9 OLD
AIRPORT ROAD
500,001.00
DOMINION TRANSPORT
TOTAL
10,000,001.00
1,000,000.00
P19,800,002.00
Table 2.5 shows the total buying capacity of the respondents who are willing to buy
in the new business which is P19,800,002.00.
Willingness to Buy
33.67%
66.33%
Willing (CBI DAVAO, INC.,

GILSON TRUCKING INC.,
TRANSPECIAL INC.,
VILLA-GIL TRUCKING SERVICES,
KLYL TRUCKING SERVICES,
POWER PUNCH TRANSPORT,
DOMINION TRANSPORT)
Not willing (HONG EQUIPMENT
AND DEVELOPMENT CORP.,
RUGGED WHEEL CARGO
TRANSPORT, FIRST MINDANAO
CONSOLIDATED SERVICES, INC.)
Figure 2.1: Projected Demand Based on the Survey Conducted[back]

Figure 2.1 shows that 7 out of 10 respondents said that they are willing to buy in the
new business. This 70% represents the 66.33% of the total buying capacity of the sample
target market. The remaining 30% said that they are not willing to buy and they represent
33.67% of the buying capacity of the sample target market. Hence, the projected demand for
the year 2015 is 66.33%.
As previously discussed in letter B of this chapter, the primary target market is
composed of trucking services which is the sole subject of the demand analysis. Considering
the said limitation, it is also worthy to note the expected changes of the number of trucking
services in the succeeding years in order to project changes in demand for the next business
period.
Using the moving average method, the projected number of trucking services in
Sasa, Davao City from 2015 to 2019 is identified. According to the book of Sum Stevenson
entitled Production and Operations Management, moving average is a technique that averages a
number of recent actual values, updated as new values become available. The number of
trucking services in Sasa from 2010 to 2014 as presented in Table 2.3 is base on the printed
data provided by the Business Bureau, Region XI.
Table 2.6: Number of Trucking Sservices from 2010 to 2015[back]
Year
No. of Trucking
Services (Sasa)
Year
No. of Trucking
Services (Sasa)
2010
2011
2012
2013
2014
41
32
35
34
32
2015
2016
2017
2018
2019
34
33
33
33
33
Computations for the projected number of trucking services from 2015 to 2019
are provided below.
F2015 =
F2015 =
F2016 =
41+32+35+34+32
F2016 =
F2015 = 34
F2017 =
32+35+34+32+34
F2017 =
F2018 =
34+32+34+33+33
5
F2018 = 33
35+34+32+34+33
5
F2017 = 33
F2016 = 33
F2018 =
F2019 =
F2019 =
32+34+33+33+33
5
F2019 = 33
Analysis:
Percentage change in trucking services after 1 year =
Percentage change in trucking services after 1 year =
Percentage change in trucking services after 2 years=
2016 2015
2015
3433
34
= 2.94%
2017 2016
Percentage change in trucking services after 2 years =
2016
3333
33
= 0%
The projected change in the number of trucking services after 2 years would be the
same after 3 and 4 years since there is no change in the number of trucking services from
2016 to 2019. The 2.94% decline in demand would also trigger a decrease for prospective
customers from 2016. From an estimated demand of 66.33% in 2015, there would only be
63.39%% demand for year 2016. Since the percentage change in the number of trucking
services in 2017 is zero, it is expected that the demand would not be lower than 63.39% for
the years 2017, 2018, 2019.
Considering the 2.94% decline in 2016, the proponent still found it wise to enter in
the market for the following reasons. First, other potential buyers like walk-in customers and
other trucking service providers outside the surveyed area are not considered in the conduct
of the survey. Second, the demand for trucking supplies is expected to rise in 2015 due to
the ASEAN integration. Third, the location of the business being adjacent to the Sasa wharf
is an advantage to attract other potential customers who have regular, seasonal, or occasional
transactions in the port. Furthermore, the Port Management Office (PMO) of Davao is
known as the most progressive conduit of trade and tourism in Southern Philippines and the
largest market of the Brunei-Indonesia-Malaysia-Philippines East Asean Growth Area
(BIMP_EAGA). In this regard, more opportunities could be brought for the advantage of
the business. Also, Sasa wharf is the principal domestic and international seaport for most
commodities of Davao region. Hence, it is the common point of delivery transactions of

trucking services which is the target market of this study. [back]
D. SUPPLY
Table 2.7: List of Auto Parts Retailers in Sasa with Corresponding Capital[back]
Business Name
Almar Parts & Hardware
Corporation
AYP-Prestige Motorworks
Incorporated
CBRT Automotive, Motorcycle
Parts & Services
Cruzada Enterprises
Denmark Auto Supply
Jecwood Enterprises
Shindai Automotive
Components Incorporated
YSK Auto Parts
Total
Address
Capital
Airport Drive, Sasa
P2,000,001.00
General Aviation area Bangoy Old

Airport
Damosa Land Inc. building
Damosa km. 11
Km. 12 Davao-Agusan Highway
Km. 10
Pedro Sr. Bolton Village, Dona
Pilar
Buhangin Diversion Road (Near
I.N.C. Church)
Door 7 Denia building km.12
Door 1 Sia building km.12
550,000.00
200,000.00
50,000.00
2,659,457.61
50,000.00
550,000.00
500,001.00
100,000.00
P6,659,459.61
Table 2.8 shows the total selling capacity of auto part retailers in Sasa, Davao City. It
is worthy to note that the above suppliers do not sell uniform products. In the case of
Denmark Auto Supply which basically trade truck parts differs from CBRT Automotive,
Motorcycle Parts & Services which sells supplies for small vehicles only. However, since they
are registered under a common category, auto part retailers, it is just right to recognize them
as competitors as future if not current competitors in the market.
In ten (10) years time, it is expected that Denmark Auto Supply would expand its
operation from pure truck supplies to a wider array of auto parts. It is the objective of this
section to identify the market share of the former basing on the amount of capital. It will be
emphasized that the target market assumed in this section is not only trucking services but
all other potential customers in the auto part retail business.[back]
Capacity to Sell
Almar Parts & Hardware
Corporation
AYP-Prestige Motorworks
Incorporated
1%
1%
8%
CBRT Automotive, Motorcycle

Parts & Services
8%
30%
Cruzada Enterprises
8%
40%
Denmark Auto Supply

Jecwood Enterprises
1%
3%

Shindai Automotive
Components Incorporated
YSK Auto Parts
Figure 2.2: Market Share of Auto Part Retailers base on Capital[back]

Figure 2.2 shows that 40% of all the potential customers for auto parts belongs to
Denmark Auto Supply.
SWOT ANALYSIS
S Strengths
W Weaknesses
O Opportunities
T Threats
Table 2.8: Competitors SWOT Analysis[back]
Competitors SWOT Analysis

Strengths
The stores have established goodwill
Weaknesses
Only few trades truck supplies
from its customers
The location is accessible from its

customers
The stores cater a wide array of auto

supplies.
Opportunities
The ASEAN integration in the year
Threats
New entrants in the retailing business
2015 would provide more
of auto supplies would risk the share
opportunities for trade.
of the stores in the market.
Table 2.9: Denmark Auto Supplys SWOT Analysis[back]

Denmark Auto Supplys SWOT Analysis
Strengths
The location is accessible to all
As a start up business, the store has
trucking services in Sasa.
not yet established goodwill from its
The store offers good credit terms
target market.
that is more inclined to the interest of
Weaknesses
The store cannot cater a wide array
its customers.
of auto spare parts because in its five
The store would be offering a
(5) years of operation, it would focus
delivery service, which is a unique
more on retailing truck supplies.
amenity in the area. The delivery

service would be at free charges.
Freight charges from the suppliers

would be lesser due to the proximity
of the business to the Sasa Wharf.
Opportunities
The small number of auto parts

retailers in Sasa would provide the
Threats
The projected demand for 2016

decreases.
store larger shares in the market.
The ASEAN integration in the year

2015 would provide more
opportunities for trade.
There is more opportunities for trade

as the Port Management Office of
Davao remains to be the most
progressive conduit of trade in
Southern Philippines and the largest
market of the Brunei-IndonesianMalaysia-Philippines East Asean
Growth Area (BIMP_EAGA).
The primary merchandise supplier of Denmark Auto Supply would be Sysan Enterprises
located in Luzon. However, if the latter would not meet the demands of the former, the
merchandise needed will be purchased from other suppliers like KMTS Corporation located
in Km. 7, Lanang, Davao City.
KMTS Corporation offers merchandise at lower prices and it is near in the business area
which would mean faster delivery time. It is a wholesaler in which one of its primary
products is truck supplies. It would only be an alternative supplier in case Sysan could not
meet the demand of Denmark. It is more likely a pure supplier rather than a competitor
because their target market is auto part retailers as they trade in wholesale.[back]
E. DEMAND-SUPPLY ANALYSIS
The demand for truck supplies is prevalent to trucking services because these would
maintain the good condition of their trucks on a regular basis. Some of these are bearings,
bolt-hub bolt set, brake lining, and fuse plug in, oil filters, release bearing housing, switchheadlight, and U Bolt. It is also necessary to have their trucks checked every now and then to
make sure that their truck would not delay any of their deliveries. Some parts of the truck
need constant check up because these are more prone to damages.
Generally, as noted in subsection D of this chapter, Denmark Auto Supply is the
leading supplier because it dominates 40% of the market base on its capacity. However,
since retailers of auto parts do not sell exact types of auto supplies, market share could be
further analyzed. In truth, the new business offers common and saleable truck supplies only
while others sell in mix like Cruzada Enterprises and Jecwood Enterprises. Hence, it would
not really compete on the general retailing industry of auto parts for it would only provide
truck supplies and its target market would be mainly trucking services in Sasa, Davao City.
The high maintenance cost necessary in keeping the heavy duty trucks would call for
constant demand for truck supplies. Also, it is expected that in year 2015, the Philippines
would have more opportunities for trade because of the ASEAN integration. Presently, the
registered trucking services as of August, 2014 would already be a huge market to be catered
in its initial year of operation. Furthermore, since not all competitors provide truck supplies,
Denmark Auto Supplies would eventually top the retailing of truck supplies in the
aforementioned area.
[back]
F. PRICE STUDY
Table 2.10: Relationship of the 2013 and 2014 Suppliers Price using Least-Squares Regression[back]
ITEM
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
Air Chamber
Air Compressor
Air Dryer
Air Filters
Alternator
Ball Joints
Battery
Bearings
Bolt-Hub Bolt Set
Brake Cylinder
Brake Lining
Bushing-Stabilizer
Clutch Disc Set
Clutch Hoses
Diesel Tank Belt
Door Lock Assembly
Drum (rear)
Fan Belt
Fan Blade
Feed Pumps
Foot Valve
Front Spring
Fuel Filters
Fuse Plug in
Handle Power Pump
Hub Drum
Hydrauvac
King Pin Kit
Oil Filters
Oil Pumps
Power Steering Gear
Radiator
Shock Absorbers
Solenoid Switch
Spring Bolt Kits
Switch-Headlight
Tie Rod End
Torque Rod
U Bolt
Wheel Rim
2013
2014
780.00
5,000.00
1,100.00
1,050.00
2,810.00
250.00
2,300.00
550.00
130.00
3,180.00
244.00
1,150.00
350.00
2,560.00
500.00
260.00
1,775.00
950.00
760.00
600.00
210.00
3,300.00
3,000.00
1,780.00
4,500.00
135.00
2.00
6,600.00
7,500.00
12,362.00
1,200.00
490.00
1,820.00
800.00
6,600.00
4,300.00
120.00
1,990.00
3,200.00
6,000.00
50.00
3,800.00
1,500.00
300.00
3,500.00
803.40
5,350.00
1,133.00
1,081.50
2,894.30
257.50
2,461.00
588.50
133.90
3,402.60
261.08
1,184.50
360.50
2,739.20
515.00
267.80
1,828.25
978.50
782.80
642.00
216.30
3,531.00
3,210.00
1,904.60
4,635.00
139.05
2.06
6,798.00
7,725.00
12,732.86
1,284.00
504.70
1,874.60
824.00
6,798.00
4,601.00
123.60
2,129.30
3,424.00
6,180.00
51.50
4,066.00
1,605.00
309.00
3,605.00
b
23.40
350.00
33.00
31.50
84.30
7.50
161.00
38.50
3.90
222.60
17.08
34.50
10.50
179.20
15.00
7.80
53.25
28.50
22.80
42.00
6.30
231.00
210.00
124.60
135.00
4.05
0.06
198.00
225.00
370.86
84.00
14.70
54.60
24.00
198.00
301.00
3.60
139.30
224.00
180.00
1.50
266.00
105.00
9.00
105.00
a
756.60
4,650.00
1,067.00
1,018.50
2,725.70
242.50
2,139.00
511.50
126.10
2,957.40
226.92
1,115.50
339.50
2,380.80
485.00
252.20
1,721.75
921.50
737.20
558.00
203.70
3,069.00
2,790.00
1,655.40
4,365.00
130.95
1.94
6,402.00
7,275.00
11,991.14
1,116.00
475.30
1,765.40
776.00
6,402.00
3,999.00
116.40
1,850.70
2,976.00
5,820.00
48.50
3,534.00
1,395.00
291.00
3,395.00
Y = a+bX
Y = 756.60 + 23.40X
Y = 4650 +350X
Y = 1067 + 33X
Y = 1018.50 + 31.50X
Y = 2725.70 + 84.30X
Y = 242.50 + 7.50X
Y = 2139 + 161X
Y = 511.50 + 38.50X
Y = 126.10 + 3.90X
Y = 2957.40 + 222.60X
Y = 226.92 + 17.08X
Y = 1115.50 + 34.50X
Y = 339.50 + 10.50X
Y = 2380.80 + 179.20X
Y = 485 + 15X
Y = 252.20 + 7.80X
Y = 1721.75 + 53.25X
Y = 921.50 + 28.50X
Y = 737.20 + 22.80X
Y = 558 + 42X
Y = 203.70 + 6.30X
Y = 3069 + 231X
Y = 2790 + 210X
Y = 1655.40 + 124.60X
Y = 4365 + 135X
Y = 130.95 + 4.05X
Y = 1.94 + 0.06X
Y = 6402 + 198X
Y = 7275 + 225X
Y = 11991.14 + 370.86X
Y = 1116 + 84X
Y = 475.30 + 14.70X
Y = 1765.40 + 54.60X
Y = 776 + 24X
Y = 6402 + 198X
Y = 3999 + 301X
Y = 116.40 + 3.60X
Y = 1850.70 + 139.30X
Y = 2976 + 224X
Y = 5820 + 180X
Y = 48.50 + 1.50X
Y = 3534 + 266X
Y = 1395 + 105X
Y = 291 + 9X
Y = 3395 + 105X
Table 2.11: Projected Suppliers Price List using the Mathematical Equation Derived from Table 2.10[back]
Y = a+bX
x=3
Y = 756.60 + 23.40X
Y = 4650 +350X
Y = 1067 + 33X
Y = 1018.50 + 31.50X
Y = 2725.70 + 84.30X
Y = 242.50 + 7.50X
Y = 2139 + 161X
Y = 511.50 + 38.50X
Y = 126.10 + 3.90X
Y = 2957.40 + 222.60X
Y = 226.92 + 17.08X
Y = 1115.50 + 34.50X
Y = 339.50 + 10.50X
Y = 2380.80 + 179.20X
Y = 485 + 15X
Y = 252.20 + 7.80X
Y = 1721.75 + 53.25X
Y = 921.50 + 28.50X
Y = 737.20 + 22.80X
Y = 558 + 42X
Y = 203.70 + 6.30X
Y = 3069 + 231X
Y = 2790 + 210X
Y = 1655.40 + 124.60X
Y = 4365 + 135X
Y = 130.95 + 4.05X
Y = 1.94 + 0.06X
Y = 6402 + 198X
Y = 7275 + 225X
Y = 11991.14 + 370.86X
Y = 1116 + 84X
Y = 475.30 + 14.70X
Y = 1765.40 + 54.60X
Y = 776 + 24X
Y = 6402 + 198X
Y = 3999 + 301X
Y = 116.40 + 3.60X
Y = 1850.70 + 139.30X
Y = 2976 + 224X
Y = 5820 + 180X
Y = 48.50 + 1.50X
Y = 3534 + 266X
Y = 1395 + 105X
Y = 291 + 9X
Y = 3395 + 105X
3
3
3
3
3
3
3
3
3
3
3
3
3
3
3
3
3
3
3
3
3
3
3
3
3
3
3
3
3
3
3
3
3
3
3
3
3
3
3
3
3
3
3
3
3
2015
826.80
5,700.00
1,166.00
1,113.00
2,978.60
265.00
2,622.00
627.00
137.80
3,625.20
278.16
1,219.00
371.00
2,918.40
530.00
275.60
1,881.50
1,007.00
805.60
684.00
222.60
3,762.00
3,420.00
2,029.20
4,770.00
143.10
2.12
6,996.00
7,950.00
13,103.72
1,368.00
519.40
1,929.20
848.00
6,996.00
4,902.00
127.20
2,268.60
3,648.00
6,360.00
53.00
4,332.00
1,710.00
318.00
3,710.00
x=4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
2016
850.20
6,050.00
1,199.00
1,144.50
3,062.90
272.50
2,783.00
665.50
141.70
3,847.80
295.24
1,253.50
381.50
3,097.60
545.00
283.40
1,934.75
1,035.50
828.40
726.00
228.90
3,993.00
3,630.00
2,153.80
4,905.00
147.15
2.18
7,194.00
8,175.00
13,474.58
1,452.00
534.10
1,983.80
872.00
7,194.00
5,203.00
130.80
2,407.90
3,872.00
6,540.00
54.50
4,598.00
1,815.00
327.00
3,815.00
x=5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
2017
873.60
6,400.00
1,232.00
1,176.00
3,147.20
280.00
2,944.00
704.00
145.60
4,070.40
312.32
1,288.00
392.00
3,276.80
560.00
291.20
1,988.00
1,064.00
851.20
768.00
235.20
4,224.00
3,840.00
2,278.40
5,040.00
151.20
2.24
7,392.00
8,400.00
13,845.44
1,536.00
548.80
2,038.40
896.00
7,392.00
5,504.00
134.40
2,547.20
4,096.00
6,720.00
56.00
4,864.00
1,920.00
336.00
3,920.00
x=6
6
6
6
6
6
6
6
6
6
6
6
6
6
6
6
6
6
6
6
6
6
6
6
6
6
6
6
6
6
6
6
6
6
6
6
6
6
6
6
6
6
6
6
6
6
2018
897.00
6,750.00
1,265.00
1,207.50
3,231.50
287.50
3,105.00
742.50
149.50
4,293.00
329.40
1,322.50
402.50
3,456.00
575.00
299.00
2,041.25
1,092.50
874.00
810.00
241.50
4,455.00
4,050.00
2,403.00
5,175.00
155.25
2.30
7,590.00
8,625.00
14,216.30
1,620.00
563.50
2,093.00
920.00
7,590.00
5,805.00
138.00
2,686.50
4,320.00
6,900.00
57.50
5,130.00
2,025.00
345.00
4,025.00
x=7
7
7
7
7
7
7
7
7
7
7
7
7
7
7
7
7
7
7
7
7
7
7
7
7
7
7
7
7
7
7
7
7
7
7
7
7
7
7
7
7
7
7
7
7
7
2019
920.40
7,100.00
1,298.00
1,239.00
3,315.80
295.00
3,266.00
781.00
153.40
4,515.60
346.48
1,357.00
413.00
3,635.20
590.00
306.80
2,094.50
1,121.00
896.80
852.00
247.80
4,686.00
4,260.00
2,527.60
5,310.00
159.30
2.36
7,788.00
8,850.00
14,587.16
1,704.00
578.20
2,147.60
944.00
7,788.00
6,106.00
141.60
2,825.80
4,544.00
7,080.00
59.00
5,396.00
2,130.00
354.00
4,130.00
DENMARK AUTO SUPPLY'S PROPOSED PRICE
Table 2.12: Denmark Auto Supplys Proposed Price for 2015[back]

2015 DENMARK AUTO SUPPLY'S PROPOSED PRICE
ITEM
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
Air Chamber
Air Compressor
Air Dryer
Air Filters
Alternator
Ball Joints
Battery
Bearings
Bolt-Hub Bolt Set
Brake Cylinder
Brake Lining
Bushing-Stabilizer
Clutch Disc Set
Clutch Hoses
Diesel Tank Belt
Door Lock Assembly
Drum (rear)
Fan Belt
Fan Blade
Feed Pumps
Foot Valve
Front Spring
Fuel Filters
Fuse Plug in
Handle Power Pump
Hub Drum
Hydrauvac
King Pin Kit
Oil Filters
Oil Pumps
Power Stearing Gear
Radiator
Shock Absorbers
Solenoid Switch
Spring Bolt Kits
Switch-Headlight
Tie Rod End
Torque Rod
U Bolt
Wheel Rim
SUPPLIER'S
PRICE
(A)
826.80
5,700.00
1,166.00
1,113.00
2,978.60
265.00
2,622.00
627.00
137.80
3,625.20
278.16
1,219.00
371.00
2,918.40
530.00
275.60
1,881.50
1,007.00
805.60
684.00
222.60
3,762.00
3,420.00
2,029.20
4,770.00
143.10
2.12
6,996.00
7,950.00
13,103.72
1,368.00
519.40
1,929.20
848.00
6,996.00
4,902.00
127.20
2,268.60
3,648.00
6,360.00
53.00
4,332.00
1,710.00
318.00
3,710.00
COST PER UNIT A

OH RATE INPUT VAT A
+B-C
(
(B)
X 12 112 ( C )
D)
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
70.87
488.57
99.94
95.40
255.31
22.71
224.74
53.74
11.81
310.73
23.84
104.49
31.80
250.15
45.43
23.62
161.27
86.31
69.05
58.63
19.08
322.46
293.14
173.93
408.86
12.27
0.18
599.66
681.43
1,123.18
117.26
44.52
165.36
72.69
599.66
420.17
10.90
194.45
312.69
545.14
4.54
371.31
146.57
27.26
318.00
788.03
5,243.53
1,098.16
1,049.70
2,755.39
274.39
2,429.36
605.36
158.09
3,346.57
286.42
1,146.61
371.30
2,700.35
516.67
284.08
1,752.33
952.79
768.65
657.47
235.62
3,471.64
3,158.96
1,887.37
4,393.24
162.93
34.04
6,428.44
7,300.67
12,012.64
1,282.84
506.98
1,795.94
807.41
6,428.44
4,513.93
148.40
2,106.25
3,367.41
5,846.96
80.56
3,992.79
1,595.53
322.84
3,424.10
MARKUP PRICE
D X 140%
1,103.24
7,340.94
1,537.42
1,469.58
3,857.55
384.14
3,401.10
847.50
221.32
4,685.20
400.98
1,605.26
519.82
3,780.49
723.34
397.71
2,453.26
1,333.90
1,076.11
920.46
329.87
4,860.30
4,422.54
2,642.32
6,150.54
228.11
47.65
8,999.82
10,220.94
16,817.70
1,795.98
709.77
2,514.32
1,130.38
8,999.82
6,319.50
207.76
2,948.75
4,714.38
8,185.74
112.78
5,589.90
2,233.74
451.98
4,793.74

ITEM
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
Air Chamber
Air Compressor
Air Dryer
Air Filters
Alternator
Ball Joints
Battery
Bearings
Bolt-Hub Bolt Set
Brake Cylinder
Brake Lining
Bushing-Stabilizer
Clutch Disc Set
Clutch Hoses
Diesel Tank Belt
Door Lock Assembly
Drum (rear)
Fan Belt
Fan Blade
Feed Pumps
Foot Valve
Front Spring
Fuel Filters
Fuse Plug in
Handle Power Pump
Hub Drum
Hydrauvac
King Pin Kit
Oil Filters
Oil Pumps
Power Stearing Gear
Radiator
Shock Absorbers
Solenoid Switch
Spring Bolt Kits
Switch-Headlight
Tie Rod End
Torque Rod
U Bolt
Wheel Rim
SUPPLIER'S
PRICE
(A)
850.20
6,050.00
1,199.00
1,144.50
3,062.90
272.50
2,783.00
665.50
141.70
3,847.80
295.24
1,253.50
381.50
3,097.60
545.00
283.40
1,934.75
1,035.50
828.40
726.00
228.90
3,993.00
3,630.00
2,153.80
4,905.00
147.15
2.18
7,194.00
8,175.00
13,474.58
1,452.00
534.10
1,983.80
872.00
7,194.00
5,203.00
130.80
2,407.90
3,872.00
6,540.00
54.50
4,598.00
1,815.00
327.00
3,815.00
COST PER UNIT A

OH RATE INPUT VAT A
+B-C
(
(B)
X 12 112 ( C )
D)
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
72.87
518.57
102.77
98.10
262.53
23.36
238.54
57.04
12.15
329.81
25.31
107.44
32.70
265.51
46.71
24.29
165.84
88.76
71.01
62.23
19.62
342.26
311.14
184.61
420.43
12.61
0.19
616.63
700.71
1,154.96
124.46
45.78
170.04
74.74
616.63
445.97
11.21
206.39
331.89
560.57
4.67
394.11
155.57
28.03
327.00
810.86
5,564.96
1,129.76
1,079.93
2,833.90
282.67
2,577.99
641.99
163.09
3,551.52
303.47
1,179.59
382.33
2,865.62
531.82
292.64
1,802.45
980.27
790.93
697.30
242.81
3,684.27
3,352.39
2,002.72
4,518.10
168.07
35.52
6,610.90
7,507.82
12,353.15
1,361.07
521.85
1,847.29
830.79
6,610.90
4,790.56
153.12
2,235.04
3,573.65
6,012.96
83.36
4,237.42
1,692.96
332.50
3,521.53
MARKUP PRICE
D X 140%
1,135.20
7,790.94
1,581.66
1,511.90
3,967.46
395.74
3,609.18
898.78
228.32
4,972.13
424.85
1,651.42
535.26
4,011.87
744.54
409.70
2,523.42
1,372.38
1,107.30
976.22
339.94
5,157.98
4,693.34
2,803.81
6,325.34
235.30
49.73
9,255.26
10,510.94
17,294.41
1,905.50
730.59
2,586.21
1,163.10
9,255.26
6,706.78
214.37
3,129.06
5,003.10
8,418.14
116.70
5,932.38
2,370.14
465.50
4,930.14

ITEM
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
Air Chamber
Air Compressor
Air Dryer
Air Filters
Alternator
Ball Joints
Battery
Bearings
Bolt-Hub Bolt Set
Brake Cylinder
Brake Lining
Bushing-Stabilizer
Clutch Disc Set
Clutch Hoses
Diesel Tank Belt
Door Lock Assembly
Drum (rear)
Fan Belt
Fan Blade
Feed Pumps
Foot Valve
Front Spring
Fuel Filters
Fuse Plug in
Handle Power Pump
Hub Drum
Hydrauvac
King Pin Kit
Oil Filters
Oil Pumps
Power Stearing Gear
Radiator
Shock Absorbers
Solenoid Switch
Spring Bolt Kits
Switch-Headlight
Tie Rod End
Torque Rod
U Bolt
Wheel Rim
SUPPLIER'S
PRICE
(A)
873.60
6,400.00
1,232.00
1,176.00
3,147.20
280.00
2,944.00
704.00
145.60
4,070.40
312.32
1,288.00
392.00
3,276.80
560.00
291.20
1,988.00
1,064.00
851.20
768.00
235.20
4,224.00
3,840.00
2,278.40
5,040.00
151.20
2.24
7,392.00
8,400.00
13,845.44
1,536.00
548.80
2,038.40
896.00
7,392.00
5,504.00
134.40
2,547.20
4,096.00
6,720.00
56.00
4,864.00
1,920.00
336.00
3,920.00
INPUT VAT A COST PER UNIT A

OH RATE
X 12 112
( +B-C
(
(B)
C)
D)
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
74.88
548.57
105.60
100.80
269.76
24.00
252.34
60.34
12.48
348.89
26.77
110.40
33.60
280.87
48.00
24.96
170.40
91.20
72.96
65.83
20.16
362.06
329.14
195.29
432.00
12.96
0.19
633.60
720.00
1,186.75
131.66
47.04
174.72
76.80
633.60
471.77
11.52
218.33
351.09
576.00
4.80
416.91
164.57
28.80
336.00
833.75
5,886.46
1,161.43
1,110.23
2,912.47
291.03
2,726.68
678.68
168.15
3,756.54
320.58
1,212.63
393.43
3,030.96
547.03
301.27
1,852.63
1,007.83
813.27
737.20
250.07
3,896.97
3,545.88
2,118.14
4,643.03
173.27
37.08
6,793.43
7,715.03
12,693.72
1,439.37
536.79
1,898.71
854.23
6,793.43
5,067.26
157.91
2,363.90
3,779.94
6,179.03
86.23
4,482.11
1,790.46
342.23
3,619.03
MARKUP PRICE
D X 140%
1,167.25
8,241.04
1,626.00
1,554.32
4,077.45
407.44
3,817.36
950.16
235.41
5,259.15
448.81
1,697.68
550.80
4,243.34
765.84
421.77
2,593.68
1,410.96
1,138.57
1,032.08
350.09
5,455.76
4,964.24
2,965.39
6,500.24
242.57
51.91
9,510.80
10,801.04
17,771.20
2,015.12
751.50
2,658.19
1,195.92
9,510.80
7,094.16
221.07
3,309.45
5,291.92
8,650.64
120.72
6,274.96
2,506.64
479.12
5,066.64

ITEM
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
Air Chamber
Air Compressor
Air Dryer
Air Filters
Alternator
Ball Joints
Battery
Bearings
Bolt-Hub Bolt Set
Brake Cylinder
Brake Lining
Bushing-Stabilizer
Clutch Disc Set
Clutch Hoses
Diesel Tank Belt
Door Lock Assembly
Drum (rear)
Fan Belt
Fan Blade
Feed Pumps
Foot Valve
Front Spring
Fuel Filters
Fuse Plug in
Handle Power Pump
Hub Drum
Hydrauvac
King Pin Kit
Oil Filters
Oil Pumps
Power Stearing Gear
Radiator
Shock Absorbers
Solenoid Switch
Spring Bolt Kits
Switch-Headlight
Tie Rod End
Torque Rod
U Bolt
Wheel Rim
SUPPLIER'S
PRICE
(A)
OH RATE
(B)
897.00
6,750.00
1,265.00
1,207.50
3,231.50
287.50
3,105.00
742.50
149.50
4,293.00
329.40
1,322.50
402.50
3,456.00
575.00
299.00
2,041.25
1,092.50
874.00
810.00
241.50
4,455.00
4,050.00
2,403.00
5,175.00
155.25
2.30
7,590.00
8,625.00
14,216.30
1,620.00
563.50
2,093.00
920.00
7,590.00
5,805.00
138.00
2,686.50
4,320.00
6,900.00
57.50
5,130.00
2,025.00
345.00
4,025.00
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
INPUT VAT COST PER UNIT A

MARKUP PRICE
A X 12 112
+B-C
D X 140%
(C)
(D)
76.89
578.57
108.43
103.50
276.99
24.64
266.14
63.64
12.81
367.97
28.23
113.36
34.50
296.23
49.29
25.63
174.96
93.64
74.91
69.43
20.70
381.86
347.14
205.97
443.57
13.31
0.20
650.57
739.29
1,218.54
138.86
48.30
179.40
78.86
650.57
497.57
11.83
230.27
370.29
591.43
4.93
439.71
173.57
29.57
345.00
856.70
6,208.02
1,193.16
1,140.59
2,991.10
299.45
2,875.45
715.45
173.28
3,961.62
337.76
1,245.73
404.59
3,196.36
562.30
309.96
1,902.88
1,035.45
835.68
777.16
257.39
4,109.73
3,739.45
2,233.62
4,768.02
178.53
38.69
6,976.02
7,922.30
13,034.35
1,517.73
551.79
1,950.19
877.73
6,976.02
5,344.02
162.76
2,492.82
3,986.30
6,345.16
89.16
4,726.88
1,888.02
352.02
3,716.59
1,199.39
8,691.23
1,670.43
1,596.83
4,187.55
419.23
4,025.63
1,001.63
242.59
5,546.27
472.86
1,744.03
566.43
4,474.91
787.23
433.95
2,664.03
1,449.63
1,169.95
1,088.03
360.35
5,753.63
5,235.23
3,127.07
6,675.23
249.95
54.17
9,766.43
11,091.23
18,248.09
2,124.83
772.51
2,730.27
1,228.83
9,766.43
7,481.63
227.87
3,489.95
5,580.83
8,883.23
124.83
6,617.63
2,643.23
492.83
5,203.23

ITEM
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
Air Chamber
Air Compressor
Air Dryer
Air Filters
Alternator
Ball Joints
Battery
Bearings
Bolt-Hub Bolt Set
Brake Cylinder
Brake Lining
Bushing-Stabilizer
Clutch Disc Set
Clutch Hoses
Diesel Tank Belt
Door Lock Assembly
Drum (rear)
Fan Belt
Fan Blade
Feed Pumps
Foot Valve
Front Spring
Fuel Filters
Fuse Plug in
Handle Power Pump
Hub Drum
Hydrauvac
King Pin Kit
Oil Filters
Oil Pumps
Power Stearing Gear
Radiator
Shock Absorbers
Solenoid Switch
Spring Bolt Kits
Switch-Headlight
Tie Rod End
Torque Rod
U Bolt
Wheel Rim
SUPPLIER'S
PRICE
(A)
920.40
7,100.00
1,298.00
1,239.00
3,315.80
295.00
3,266.00
781.00
153.40
4,515.60
346.48
1,357.00
413.00
3,635.20
590.00
306.80
2,094.50
1,121.00
896.80
852.00
247.80
4,686.00
4,260.00
2,527.60
5,310.00
159.30
2.36
7,788.00
8,850.00
14,587.16
1,704.00
578.20
2,147.60
944.00
7,788.00
6,106.00
141.60
2,825.80
4,544.00
7,080.00
59.00
5,396.00
2,130.00
354.00
4,130.00
INPUT VAT A COST PER UNIT A

OH RATE
X 12 112
( +B-C
(
(B)
C)
D)
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
78.89
608.57
111.26
106.20
284.21
25.29
279.94
66.94
13.15
387.05
29.70
116.31
35.40
311.59
50.57
26.30
179.53
96.09
76.87
73.03
21.24
401.66
365.14
216.65
455.14
13.65
0.20
667.54
758.57
1,250.33
146.06
49.56
184.08
80.91
667.54
523.37
12.14
242.21
389.49
606.86
5.06
462.51
182.57
30.34
354.00
879.73
6,529.65
1,224.96
1,171.02
3,069.81
307.94
3,024.28
752.28
178.47
4,166.77
355.00
1,278.91
415.82
3,361.83
577.65
318.72
1,953.19
1,063.14
858.15
817.19
264.78
4,322.56
3,933.08
2,349.17
4,893.08
183.87
40.38
7,158.68
8,129.65
13,375.05
1,596.16
566.86
2,001.74
901.31
7,158.68
5,620.85
167.68
2,621.81
4,192.74
6,511.36
92.16
4,971.71
1,985.65
361.88
3,814.22
MARKUP PRICE
D X 140%
1,231.62
9,141.51
1,714.95
1,639.43
4,297.73
431.11
4,233.99
1,053.19
249.86
5,833.48
497.00
1,790.47
582.15
4,706.57
808.71
446.21
2,734.47
1,488.39
1,201.41
1,144.07
370.69
6,051.59
5,506.31
3,288.84
6,850.31
257.41
56.53
10,022.15
11,381.51
18,725.07
2,234.63
793.61
2,802.44
1,261.83
10,022.15
7,869.19
234.76
3,670.53
5,869.83
9,115.91
129.03
6,960.39
2,779.91
506.63
5,339.91
The suppliers price denoted by ( A ) in the five preceding tables show prices offered
by Sysan Corporation inclusive of vat. ( B ) computes for freight charges exclusive of vat as
shipments would come from manila and these are assumed by Denmark. Appendix _ would
show the computation of freight charges per shipment. The amount less input vat is
allocated to each unit of product to arrive at the overhead rate per unit. ( C ) is the input vat
derive from the suppliers price while ( D ) shows the cost per unit. Finally the selling price of
Denmark is determined by multiplying 140% to the cost per unit in ( D ). This would show a
constant mark up of 40% of cost.[back]
G. Marketing Program
Pre Operational Marketing Program
Extensive distribution of flyers and tarpaulins are cheapest way to advertise the retail
business. Tarpaulin would be displayed in front of the store. Flyers would also be made in a
regular basis together with the stores supplier list. The store owner would make sure that
the signage would be visible and captivating to easily attract the target market.
Figure 2.3: Denmark Auto Supply Official Logo [back]
Table 2.17: Signage, Tarpaulin and Flyers Costs[back]

Signage
Tarpaulin
Flyers
Size
Cost
Quantity
3x10ft
6,000
1
Total Cost
6,000
Size
Cost
Quantity
3x4ft
12 per sq. ft.
4
Total Cost
12
4
Year
1
2
3
4
Quantity
1000
1000
600
400
Cost per piece
5.00
5.00
5.00
5.00
Total Cost
5,000.00 5,000.00 3,000.00 2,000.00
Total
6,000.00
6,000.00
Total
576.00
576.00
5
300
5.00
1,500.00
Figure 2.4: Example of the Flyer to be Distributed[back]

Distribution
Denmark Auto Supply would be located at Davao City-Panabo City Road, Km. 10
Sasa Davao. The location would be accessible to the target market since it is along the
national highway and is adjacent to the Sasa Wharf. The parking space in front that would be
reserved to the customers would provide convenience since it would be easier and faster for
them to get the products from the store.
Denmark Auto Supply would also provide delivery services by which the main
objective is to provide convenience to its target market situated within Sasa, Davao City.
This would be a good start in the marketing program that aims to build customer loyalty by
giving to them a unique amenity. Customers could avail the delivery service by phone calls or
by just going and seeking the attention of sales personnel in the store. Reservation would be
in a first come, first serve basis to avoid confusions and delays in the service. Free delivery
service charges would be imposed to further attract potential customers. The stores rules
and conditions and processes of ordering as stated in Chapter 3 would be strictly followed
for every order that would be incurred.
Promotion
Advertising the business would be one of the effective ways in promoting the
product. There would be consistent courtship to the target market by giving them flyers
about the business, its products, terms and conditions, and promo criterions. A price list
would also be given for the convenience of the customers.
With the tight competition in the market, Denmark Auto Supplies would make sure
that it would give its customers affordable prices and special credit terms and conditions in
order for it to build customer loyalty and good will in the business. It would have a constant
review of its truck part suppliers to make sure that lower inventory costs would be availed,
and lower selling prices would be established.
Denmark Auto Supply would also take advantage of the internet to easily reach its
target market. It would have its own website that would be used in making orders or
reservations. The product, its terms and conditions would be uploaded in the said website.
Reservations for delivery services could also be done here. Any updates as to the changes in
selling prices or announcement of some promo credit terms.[back]
CHAPTER III. TECHNICAL FEASIBILITY

In this chapter, the proponents would provide the necessary information regarding
the different technical aspects that would help their client assess the projects viability.
These aspects would include review of products which Denmark Auto Supply would sell,
merchandising process and the technologies it would use in the operation. Also, these would
include plant evaluation and selection, merchandise sourcing, cost analysis, capacity
utilization and job scheduling. [back]
A. THE PRODUCT/MERCHANDISE
This project would engage into merchandising of truck spare parts particularly for trailer
trucks. Basically, there are fourteen (14) categories of the truck parts and each category is
composed of more detailed parts. The following are the categories of truck parts and its
corresponding description:
Table 3.1: Truck Parts Category [back]
PARTS
DESCRIPTION
CATEGORY
1 Axle
A central shaft for a rotating wheel or gear. On wheeled vehicles,
the axle maybe fixed to the wheels, rotating with them, or fixed to its
surroundings, with the wheels rotating around the axle.
2 Body
3 Brake
System
The main or central mass of a truck.

A braking device consisting of
a combination of interacting parts that work to slow a motor vehicle.
4 Cabin
5.a Clutch
An enclosed space in a truck where the driver is seated.

A mechanical device that provides for the transmission of power from
one component to another when engaged, but can be disengaged.
5.b Pedal
6 Cooling
System
7 Electrical
System
A lever which is activated by one's foot.

An equipment in a motor vehicle that cools the engine.
Equipment in a motor vehicle that provides electricity to start the
engine and ignite
the fuel and operate the lights and windshield wiper and heater and
air conditioner and radio.
Table 3.1: Truck Parts Category (Continuation) [back]

PARTS
CATEGORY
8 Engine
DESCRIPTION
A machine that converts energy into mechanical force or motion
Such as machine distinguished from an electric, spring-driven, or
hydraulic motor by its use of a fuel.
9 Fuel System An equipment in a motor vehicle or aircraft that delivers

fuel to the engine.
10 Gearbox
It provides
speed and torque conversions from a rotating power source to
another device.
11 Hubs and
Hub is the central part of a car wheel through which the shaft or axle
Wheels
passes. A wheel is a circular frame or disk arranged to revolve on an
axis, as on or in vehicles or machinery.
12 Propeller
Shaft
A mechanical component for transmitting torque and rotation usually

used to connect other components of a drive train that cannot be
connected directly.
13 Steering
14 Suspension
A mechanism by which something is steered.

The system of springs and other devices that insulate the chassis of a
vehicle from shocks transmitted through the wheels.
Since there are millions of detailed parts of a truck, the proponents chose to sell only
those saleable parts in every category. The proponents come up to the following lists of
spare parts that they intended to sell at the start of their operation.
Table 3.2: List of Parts to Sell [back]
ITEM
Air Chamber
Air Compressor
Air Dryer
Air Filters
Alternator
Ball Joints
BRAND
Mixed
Battery
Bearings
Bolt-Hub Bolt Set
Brake Cylinder
Brake Lining
100A
Japan
Hyundai
Mixed
TBK
Brake Master
Assembly
Isuzu TD-LN
D6322
ME-060219
Hyundai
Japan
ITEM
Foot Valve
Front Spring
Fuel Filters
Fuse Plug in
Handle Power Pump
Hub Drum
Hydrauvac
King Pin Kit
Oil Filters
Oil Pumps
liner)
Power Stearing Gear
BRAND
Mixed
6D14
25AMP
Hyundai,
Daewoo
Mixed
4D32
6RB1/8DC81
Japan
RD8
Hyundai,
Daewoo
Table 3.2: List of Parts to Sell (Continuation) [back]

ITEM
Bushing-Stabilizer
Clutch Disc Set
Clutch Hoses
Clutch Slave Repair
Kit
Diesel Tank Belt
Door Lock Assembly
Drum (rear)
Fan Belt
Fan Blade
Feed Pumps
BRAND
MP518
Hyundai
SK-81501
Hino
Mixed
Suzuki ST100
Mixed
Taiwan
8L-8H
PE6
ITEM
BRAND
Hyundai, Daewoo
4BA1-Big
Radiator
Release Bearing
Housing
Shock Absorbers
Solenoid Switch
Japan
C240
Spring Bolt Kits

Switch-Headlight
Tie Rod End
Torque Rod
U Bolt
Wheel Rim
Japan
S-63A
6dB
New
Controlling Merchandise Inventory

In controlling the merchandise inventory, there must be proper classification of
inventories. It must be properly arrange according to its classification in order to easily locate
the needed items. Authorized personnel must know the location of every item. Furthermore,
only authorized personnel such as the sales personnel are allowed to receive ordered
inventories, get inventories and check whether they have reach to the level of its safety stock;
thus, there is a need to reorder items. Proper maintenance and monitoring of the area is also
required in order to protect inventories from thief, damage and loss. [back]
B. MERCHANDISING PROCESS
Basically, merchandising process starts from the merchandiser (Denmark Auto
Supply) who gets supplies from a supplier, and the former would sell its supplies to a
customer at a mark-up price. However, in this project, the customer could have two ways of
ordering from the merchandiser. It could either be through the phone order process of
merchandising and the other is through walk-in process of merchandising.
Phone Order Process
Figure 3.1: Phone Order Process [back]

Since the world today is highly technological, the proponents used telephone
communication as a means to reach out to potential customers by giving them flyers
containing their contact number. Once they received calls for orders, they would check if
there are available inventories in their storage. If there are, they confirm to the customers
and immediately prepare the orders if the customers would continue the said transaction.
Then, the customers can choose whether it is to be delivered or to be picked up. (Note:
Delivery is for free as part of the business strategy.) After delivery or pick-up, both parties
would agree payment whether in cash or in credit terms. But these options are applicable
only to those customers whom they have already built a relationship; otherwise customers
should pay in cash. If the customer would engage in credit terms, they are given 45 days to
pay their obligation.
Walk-in Process
Figure 3.2: Walk-in Process [back]

Walk-in process of merchandising is applicable only to those new customers who are
in search of their needed spare parts for truck repair and maintenance. Walk-in customers
are strangers to Denmark Auto Supply and it is a risk if they just give immediately the option
for credit terms. Thus, walk-in customers are only allowed to pay items in cash basis. If
customers want to avail the credit option, they must be a consistent customer with 6
transactions (a minimum of P10, 000 paid per transaction) before they can enter into credit.
Rules on Free Delivery Service
To avail the free delivery service, the volume of items ordered must be large enough
(regardless of the amount paid) that it can never be convenient if catered in public
vehicle.
The location where the order is to be delivered must be within the vicinity of Davao
City.
The scheduling of delivery must be according to first come, first serve basis. [back]
C. STORE AND OPERATION SCHEDULE

The total size of the lot which Denmark Auto Supply would lease is 195 square
meters: the first 120 square meters is for the store and the remaining 75 square meters is for
the parking lot. The store would consist of a 54 square meters storage room, 26 square
meters display area, 21 square meters service area where they could entertain important
clients, 12 square meters cashier office, and 7 square meters restroom.
Denmark Auto Supply on the other hand, would operate 8 hours a day (from 8:00
a.m. - 5:00 p.m.) and 6 days a week (rest day on Sunday). Thus, there would be 288 operating
days per year. [back]
D. MACHINERY AND EQUIPMENT
Table 3.3: Delivery Equipment [back]
Specifications/
Capacities
Image
Mitsubishi Canter Van
(Second Hand)
Qty
Total
P 280,000.00
P 280,000.00
70 Liters Fuel Tank

Capacity
Price
1660 kg Max Loading

Weight
No. of Seats - 3
5-year Estimated Life
Supplier:
KamijimaMunir International
Corporation
Push Cart
150 Lb. Capacity
Foldable
4,000.00
4,000.00
Supplier: ACE Hardware
TOTAL
P 284,000.00
Table 3.4: Store Equipment [back]

Image
Electronic Cash
Specifications/
Capacities
Two-station printer
Register
with one-line
Price
Qty
Total
P 21,000.00
P 21,000.00
validation capacity.
Front and rear ( popup ) display
6-position control
control locks.
24 hour time clock

with automatic date
change
321 departments (3
level systems).
1000 open or present

PLUS.
4 push-button clerks
and 15 soft clerks
with separate report
totals.
4 VAT or straight
percentage TAX.
10-year life
(http://retail.about.c
om/)
Supplier: OLX
TOTAL
P 21,000.00
Table 3.5: Office Equipment [back]

Specifications/
Capacities
Image
Acer Aspire E14 E5-
Qty
Total
P 14,900.00
P 14,900.00
Intel Dual Core
411-C313 N2830 Intel
N2830 processor
Dual Core Win 8.1
1MB L2 Cache, 2.16
Laptop
up to 2.41Ghz)
Price
2GB DDR3 Memory,

500GB Hard Drive
Intel HD Graphics,
14.1" HD Picture
Widescreen LCD
Super Multi DVD

Dual Layer Drive
Supplier:
SM Appliance Center
Canon Pixma P200
Printer
All in one:
Print/Scan/ Copy
2,995.00
2,995.00
A 4-color ink
system with dedicated
black ink for B&W
document printing
Have 2pl ink

droplet and 4,800dpi
print resolution
Supplier:
SM Appliance Center
TOTAL
P 17, 895.00
Table 3.6: Furniture and Fixtures [back]

Specifications/
Capacities
Image
Office Disk XH-078
Second Hand
Wooden desk
24W x28L
Price
Qty
Total
3,300.00
6,600.00
600.00
3,600.00
1,999.75
3,999.50
Supplier:
Soworthy Marketing
Company
Wooden Chair
Custom-made
18D x 18W
Supplier:
Reynaldo Furniture and
Lumber Dealer
Dowell Wall Fan
18 Industrial Wall
Fan
Aluminum Blade
Oscillating Motion
Powerful motor
protected with
thermal fuse
Consumes 70 watts
Supplier:
ACE Hardware
Table 3.6: Furniture and Fixtures (Continuation) [back]

Specifications/
Capacities
Image
Price
Qty
Total
Filing Cabinet
Custom-made
Wooden Vertical
3,000.00
1,700.00
3,000.00
Cabinet
Precision steel ballbearing drawer

suspension for
smooth, quiet
performance
Letter size
Maximum storage
capacity for 15" deep
file
Supplier:
Lumber Dealer
Wooden Table
Custom-made
2 6W x 4 L
1,700.00
Supplier:
Lumber Dealer
TOTAL
P 18,899.50
NOTE: The above listed equipment is locally purchased by the owner of the business. Everything is Davaobased product. Other equipment where the amount is not so valuable (such as calculators, telephone, fire
extinguisher, and flashlight) but is necessary in the business is expense outright when incurred. [back]
E. STORE LOCATION
Figure 3.3: Map Going to the Stores Location [back]

Denmark Auto Supply would be located at Davao City-Panabo City Road, Km. 10
Sasa Davao City near Sasa Barge Wharf adjacent to Petron Gasoline Station. The location is
appropriate for the business since it is along the highway and is near the Sasa Wharf where
most trucks pass by. The store would be occupying a 195 square meters lot which would be
in lease terms.
Figure 3.4: Location of Denmark Auto Supply [back]

Figure 3.3 shows a map from Bajada going to Denmark Auto Supplys location (the
portion that was marked with red pen). Figure 3.4 shows the sketch where particularly
Denmark Auto Supply is located. [back]
F. STORE LAYOUT
Figure 3.5: Denmark Auto Supply Floor Plan [back]

Denmark Auto Supplys store would measure 120 square meters: 54 square meters
for storage room, 26 square meters for display area, 21 square meters for service area, 12
square meters for cashiers office, and 7 square meters for restroom. Storage room is the
largest area in the store because it is where the supplies or inventory are being kept. Located
in front of the store is the parking lot which is equal to 75 square meters. Parking lot is
included in the plan mainly for the purpose of customers convenience.[back]
Figure 3.6 External View of Denmark Auto Supply [back]

G. BUILDING AND FACILITIES

Denmark Auto Supply would construct a ground floor building which is of low cost
type but of good quality. The building would be a commercial type and its main entrance is
designed with a roll-up door. The owner would lease the land for P 55.00 per square meter
every month; a total of P 10, 725.00 per month (P55.00 x 195 sq. m.). The contract of lease
would be for 5 years but is renewable at the option of the proprietor. Furthermore, building
cost would be financed through loan. The building cost is estimated to be P 1,500,000.00.
The computation is shown below. [back]
Table 3.7: Building Cost Computation [back]

Building Cost:
estimated: 120 Square Meters x 12,5000= 1,500,000.00
PERCENTAGE
AMOUNT
TOTAL
Structural
Sand and gravel (3.5m/dump truck)
11.38%
Cement (Holcim)
10.40%
121,114.86
Roll up door
132,469.38
10.11%
117,750.56
Corrugated Roof
8.96%
104,293.35
Round bar (10mmx4mmx6mm)
8.67%
100,929.05
Paint
8.60%
100,087.97
C-pharlins
8.24%
95,882.60
Hollow Blocks
5.78%
67,286.03
Sign Board
3.47%
40,371.62
EZ Shelves 4ft. particle boad
2.88%
33,544.19
Plywood
1.94%
22,540.82
Cocolumber
1.88%
21,867.96
Gutter
1.50%
17,479.65
LGO CM Bracket
0.91%
10,568.11
HardiflexSmartboard
0.46%
5,382.88
Tiles 8x8
0.43%
5,046.45
Tiles 4x4
0.07%
841.08
Nails
0.05%
538.29
997,994.84
Electrical Systems
Wire #12
5.20%
60,557.43
Ikhea T5 fluorescent assembly 28watts
0.50%
5,778.19
Cool Air exhaust fan
0.06%
672.65
Convenience Outlets
0.05%
580.34
Switches
0.04%
420.54
Water Pipe
8.02%
93,359.37
Royal Turn toilet bowl w/ lavatory and tissue holder
0.21%
2,397.06
PVC Pipe
0.13%
1,513.94
Easy Flow sink
0.08%
924.97
Roscoroho ball faucet
0.01%
104.92
68,009.15
Plumbing Systems
Total Materials
Add: Labor
Legal/Permit Fees
Others
TOTAL BUILDING COST
100%
98,300.27
P 1,164,304.25
312,000.00
20,000.00
3,695.75
P 1,500,000.00
H. RAW MATERIALS AND SUPPLIES
The following are the merchandise suppliers of Denmark Auto Supplies:
KMTS Corporation (Km 7, Lanang, Davao City)
Sysan Enterprises (through Sales Agent)

Denmark Auto Supplies enter into contract with the abovementioned suppliers for a
period of 5 years with the option to continue or stop depending on the validity of
reason.Sysan Enterprises is the main supplier of the business while KMTS Corporation
would only serve as a buffer in times where an item is very much needed and it is impractical
to wait for orders from Sysan Enterprises.
Shown below are the merchandise supplies that the business would sell at the start of
their operation with its corresponding quantity and amount:
Table 3.8: List of Merchandising Supplies [back]

PRODUCTS TO SELL
ITEM
Air Chamber
BRAND
Mixed
Air Compressor
QTY UNIT
5 pcs
5 pcs
Air Dryer
D6322
5 sets
Air Filters
ME-060219
5 pcs
Alternator
Hyundai
5 pcs
Ball Joints
Japan
5 pcs
Battery
100A
5 pcs
Bearings
Japan
15 pcs
PER PC.
AMOUNT
803.40
4,017.00
5,350.00
26,750.00
1,133.00
5,665.00
1,081.50
5,407.50
2,894.30
14,471.50
257.50
1,287.50
2,461.00
12,305.00
588.50
8,827.50
Table 3.8: List of Merchandising Supplies (Continuation) [back]

PRODUCTS TO SELL
ITEM
BRAND
QTY UNIT
PER PC.
Bolt-Hub Bolt Set
Hyundai
15 pcs
133.90
Brake Cylinder
Mixed
5 pcs
3,402.60
Brake Lining
TBK
15 pcs
261.08
Brake Master
Isuzu TD5 pcs
Assembly
LN
1,184.50
Bushing-Stabilizer
MP518
5 sets
360.50
Clutch Disc Set
Hyundai
5 pcs
2,739.20
Clutch Hoses
5 pcs
515.00
Clutch Slave Repair
SK-81501
5 sets
Kit
267.80
Cross Joint Assembly Hino
5 sets
1,828.25
Diesel Tank Belt
Mixed
5 pcs
978.50
Door Lock Assembly Suzuki
5 pcs
ST100
782.80
Drum (rear)
Mixed
5 pcs
642.00
Fan Blade
8L-8H
5 pcs
3,531.00
Feed Pumps
PE6
5 pcs
3,210.00
Foot Valve
Mixed
5 pcs
1,904.60
Front Spring
5 pcs
4,635.00
Fuel Filters
6D14
5 pcs
139.05
Fuse Plug in
25AMP
15 pcs
2.06
Handle Power Pump
5 pcs
6,798.00
Hub Drum
Hyundai,
5 pcs
Daewoo
7,725.00
Hydrauvac
Mixed
5 pcs
12,732.86
AMOUNT
2,008.50
17,013.00
3,916.20
5,922.50
1,802.50
13,696.00
2,575.00
1,339.00
9,141.25
4,892.50
3,914.00
3,210.00
17,655.00
16,050.00
9,523.00
23,175.00
695.25
30.90
33,990.00
38,625.00
63,664.30
Table 3.8: List of Merchandising Supplies (Continuation) [back]

ITEM
King Pin Kit
Oil Filters
Oil Pumps
liner)
Power Stearing Gear
Radiator
Release Bearing
Housing
Shock Absorbers
Solenoid Switch
Spring Bolt Kits
Switch-Headlight
Tie Rod End
Torque Rod
U Bolt
Wheel Rim
PRODUCTS TO SELL
BRAND
QTY UNIT
PER PC.
4D32
5 set
1,284.00
6RB1/8DC
15 pcs
81
504.70
Japan
5 pcs
1,874.60
RD8
5 24's
824.00
Hyundai,
5 pcs
Daewoo
6,798.00
Hyundai,
5 pcs
Daewoo
4,601.00
4BA1-Big
15 pcs
123.60
Japan
5 pcs
2,129.30
C240
5 pcs
3,424.00
Japan
5 pcs
6,180.00
S-63A
15 pcs
51.50
6dB
5 pcs
4,066.00
5 pcs
1,605.00
New
15 pcs
309.00
5 pcs
3,605.00
TOTAL
AMOUNT
6,420.00
7,570.50
9,373.00
4,120.00
33,990.00
23,005.00
1,854.00
10,646.50
17,120.00
30,900.00
772.50
20,330.00
8,025.00
4,635.00
18,025.00
549,437.90
Note: The above amounts represent the 2014 suppliers price which is inclusive of VAT. However, in the
income statement, what is presented is already net of Vat.
The bases of selecting the above listings of merchandise supplies are the responses
of some business owners in the same industry on what are those saleable items in the
business. The proponents chose to focus on the saleable items at the start of the business in
order to easily get the return on investment. Since all items are saleable, it is therefore
assumed that all items are treated equally in terms of the quantity being sold and ordered.
Furthermore, the quantity purchased at the start of the business depends on the capacity of
the owners capital. To quantify the monthly order, those items having a price of less than P
550.00 calls for 15 pieces order while those items having a price of more than P550.00 calls
for 5 pieces or sets order.
On the other hand, the total cost of office and store supplies at the start of the
business are shown below:
Table 3.9: List of Store Supplies [back]
List of Store Supplies
Quantity
Plastic Bag (Medium)

Official Receipts
Delivery Receipts
Collection Receipts
Total
5
5
5
5
Unit
pack(100pcs)
booklet
booklet
booklet
Price per unit

70.00
150.00
150.00
150.00
Total
350.00
450.00
450.00
450.00
1,700.00
Table 3.10: List of Office Supplies [back]

List of Office
Supplies
Quantity
Printer ink
Stapler
Puncher
Folder(Letter)
Bond paper (Letter)
2
3
1
1
2
Marker Ink
Staple Wire
Scotch tape
Fastener
Ball Pen
Marker
Scissors
Paper Clip
Total
2
5
5
2
1
2
3
2
Unit
jar
piece
piece
pack(100pcs)
ream(500
sheets)
jar
Box
roll
box
Box of 12
piece
piece
box
Price per unit
Total
390.00
147.75
379.75
320.00
159.00
780.00
443.25
379.75
320.00
318.00
90.00
32.00
24.00
59.79
153.00
33.75
12.00
6.12
180.00
160.00
120.00
119.58
153.00
67.50
36.00
12.24
3,089.32
NOTE: The store and office supplies shown above are expense outright when incurred including those janitorial
supplies not shown. [back]
I. UTILITIES
Light and Power
Denmark Auto Supplys electricity line would be supplied by the Davao Light and
Power Company (DLPC).
The formula for the above computations:
(Assumption: within the average 11.1 KWh per day)
Table 3.11: Rates to Compute Electricity Expense [back]
Davao Light (Assumption:within the average 11.1 KWh/day)
Generation and Transmission
Generation Charge
Transmission Charge
System Loss Charge
Sub-Total
Distribution Charge
Distribution Charge
Supply Charge
Metering Charge
Sub-Total
Others
Lifeline Rate Subsidy
Senior Citixen Subsidy
Sub-Total
Franchise Tax-Local
Value Added Tax
Generation
System Loss
Distribution Charge
Others
Total VAT
Universal Charge
Missionary Electrification NPC-SPUG
Missionary Electrification RE Developer
Environmental Charge
NPC Stranded Debts
NPC Stranded Contract Costs
DUs Stranded Contract Costs
Equalization of Taxes &Royalties
3.6241 /KWh
0.3743 /KWh
0.3081 /KWh
0.3413 /KWh
369.88
1,147.73
0.0584 /KWh
0.0001 /KWh
19.29
0.1479 /KWh
0.0103 /KWh
94.71
11.11
0.1544
0.0017
0.0025
0
0.1938
0
0
/KWh
/KWh
/KWh
/KWh
/KWh
/KWh
/KWh
Water
The company would source its water line from the Davao City Water District
(DCWD). Denmark Auto Supply is assumed to consume water within the average
consumption of 30 m3.
Fuel, Oil and Lubricants
The companys delivery van would be fueled by Petron Corporation. Based on an
interview with the pump boy of Petron Fuel Station, usually, delivery vans which travel small
distances would consume a full tank of 70 liters for one week. Based on an interview with
some drivers, changing oil would be done quarterly. [back]
J. WASTE DISPOSAL
A proper waste disposal system is essential to a business establishment in a way
that it promotes the safety and the health of the people in the city especially of its
consumers.
Figure 3.7: Davao Citys Disposal Bins [back]
Denmark Auto Supply would observe and practice the citys waste disposal
system in which in 2009, the Sangguniang Panlungsod of Davao passed into law the
Davao City Ecological Solid Waste Management Ordinance requiring all households and
establishments to do waste segregation from biodegradable to non-biodegradable,
recyclable, residual and special waste. (RGA/JSD/PIA-XI) [back]
K. LABOR REQUIRMENTS
Denmark Auto Supplies is an extension of a particular trucking business. Thus, it
would need a supervisor to monitor its operational segment. The following are the labor
requirement of the project: [back]
Selling:
Cashier
Job Qualifications:
Must be female of legal age.
At least high school graduate.
Have pleasing personality and can work with less supervision.
Job Functions:
Establish or identify prices of spare parts and tabulate bills using cash
registers and calculators.
Receive payments by cash or vouchers.
Issue receipts, refunds, credits, or change due to customers.
Count money in cash drawers to ensure that the amounts are correct
and properly matched with the cash sales.
Report the summary of sales and credit to supervisor every end of
duty.
Greet customers and maintain clean and orderly check out areas.
Responsible for any loss in the operation.
Selling (Continuation):
Sales Personnel
Job Qualifications:
Must be male of legal age.
At least high school graduate.
Have pleasing personality and can work with less supervision
Job Functions:
Assist and entertain the needs and queries of the customers.
Check whether there are enough inventories to sell.
Inform the supervisor if theres a need to order supplies and
inventory and submit their respective type, quantity and amount.
Driver
Job Qualifications:
Must be male of legal age.
Has 1 year driving experience and drivers license.
Knows how to patch-up minor repairs of the delivery truck.
Job Functions:
Transport and carry items if there are deliveries required.
Pick-ups ordered items.
Takes good care for the items delivered and picked-up.
Patch-up minor repairs of the truck.
Administrative:
Manager:
Job Qualifications:
A college graduate of any business courses.
Male or female of legal age.
Can handle pressure and can work with less supervision.
Great interpersonal skills.
Job Functions:
Supervises the business and monitor the functions of every
personnel.
Checks whether the business is doing well as expected.
Checks whether the summary report of the cashier is correct or not.
Reports to the owner of the business all summary report of cashier
and sales personnel including problems it would find in the
operation.
Table 3.12: Labor Costs [back]
Employee
Cashier
Sales Personnel
Driver
Supervisor
TOTAL
Total
Total
Salaries
Salaries
Total
Salaries Of Salaries of
per
per
Number
all
all
Employee Employee
Of
Employees Employees
(Daily)
(Monthly) Employees
(Daily)
(Monthly)
P 312.00
312.00
312.00
-
P8,112.00
8,112.00
8,112.00
15,000.00
1
2
1
1
5
P 312.00
624.00
312.00
P 1,248.00
P 8,112.00
16,224.00
8,112.00
15,000.00
P47,448.00
Total
Salaries of
all
Employees
(Year one)
P97,344.00
194,688.00
97,344.00
180,000.00
P569,376.00
The salary amounts presented above represent for the first year of operation only.
However, on the next years thereafter, the salary would assume to increase by 4.46%
annually which is based on the inflation rate of year 2015.
Organizational Set-up
Figure 3.8 Organizational Chart [back]

Note: The organizational chart shown above is for the over-all set-up of the owners
business. Only the Spare Parts Merchandising Operation represents Denmark Auto Supply.
Regardless of having two different businesses, both accounting works are done by the same
department as shown above. [back]
CHAPTER IV. FINANCIAL FEASIBILITY

This chapter contains projected financial data as well as assumptions and policies
which will then affect the decision of the owner with regards to the establishment of
Denmark Auto Supply.
A. MAJOR ASSUMPTIONS
Table 4.1: Balance Sheet Assumptions [back]
Items
Cash
Assumptions
It is composed of the collection for the current year plus
the initial amount coming from the loan. Initial cash of
P120,000.00 is the excess of loan amount after deducting
the cost of building and delivery van.
Accounts receivable
Collection for the year is composed of 15% of last years

credit sales and 80% of the current years credit sales.
Allowance for uncollectible accounts is 5% of credit sales.
Doubtful Accounts Expense is 5% of credit sales as well.
Inventory
-FIFO and Periodic method are used in managing the

inventory system. Regression Method on the other hand is
used in forecasting the suppliers price. In 2015,66.33% of
the total inventory is sold for the current year and the
remaining 33.67% is carried over next year. For years 2016
to 2019, sales went down to 63.39% of total inventory.
-Safety stocks are maintained at 33.67% of the current
available stock.
-The quantity in the initial order is the same throughout the
subsequent orders.
Property, Plant and Equipment
It is measured at acquisition cost.
Table 4.1: Balance Sheet Assumptions (Continuation) [back]

Items
Accounts payable
Assumptions
Payment term has a maximum of 60 days. No credit
purchases in the first year, thus, there are no accounts
payable for purchases made. For the following years, there
would be accounts payable brought by credit purchases
made. 70% of credit purchases would be paid one month
after purchase and remaining 30% would be paid in two
months after purchase.
Loans Payable
An amount of P 2,000,000.00 will be loaned with a secured

interest of 7.5% for five years. Monthly amortization is
P 40, 075.90.
Owners Capital
Withdrawal is set to 70% of the net income every year.
Table 4.2: Income Statement Assumptions [back]

Items
Assumptions
-Sales are based on the survey conducted. 66.33% of the
total respondents said that they are willing to buy from
Denmark Auto Supply provided that the price is affordable
Sales
than from the other existing stores.

-30% of the total sales are cash sales, while the remaining
70% are credit sales.
- Credit sales are made at the beginning of the month.
- Sales are 40% marked up on sales.
Trade Discount
Cash Discount
Offers 5% discount but only 10% of the cash sales availed

for this discount.
Offers 2/15, n/45 credit terms but only 10% of credit sales
availed for this discount.
Table 4.2: Income Statement Assumptions (Continuation) [back]

Items
Cost of Sales
Assumptions
66.33% of the goods available for sale is sold, the
remaining 33.67% is carried over the next year.
-There are 5 employees.
-The employees are paid with above minimum wage, thus,
employer withhold for taxes.
- The supervisor is paid P15,000.00 a month and the rest of
Salaries and Wages Expense
the employees are paid P312.00 per day for the first year.
-Salaries and wages expense is expected to increase every
year by 4.46% of the previous salaries.
- No absences were made by the employees.
-PhilHealth, SSS and Pag-IBIG Contribution Table is used
in computing contribution benefits.
Office Supplies Expense
Initial office supplies bought is good for 3 mos.

The items being insured are the inventories, building and
Insurance Premiums
the 2nd hand van. The quotations are taken from Phil
British Assurance Company Incorporated.
Taxes and Licenses

Miscellaneous Expense
Includes the registration every year of P500.00, Business

Permit Licenses and renewal of licenses in the LTO.
0.5% of Net Sales; Miscellaneous Expense is expected to
increase every year by 4.46% of the previous Miscellaneous
Expense.
Within the average of 30m3 for water expense and 11.10
Utilities Expense
KWh/day for electricity expense; Utilities Expense is

expected to increase every year by 4.46% of the previous
Utilities Expense.
Rent Expense
Fixed cost of P55/m2per month throughout the whole

term of lease
Repairs and Maintenance Expenses
It increases every year by 4.46% of the previous Repairs

and Maintenance Expense.
Table 4.2: Income Statement Assumptions (Continuation) [back]

Items
Depreciation Expense
Assumptions
All equipments have no residual value
o Building
10 yrs. life, depreciated using straight line method
o Furniture &Fixtures
o Office Equipment
o Store Equipment
o Delivery Equipment
5yrs. life, depreciated using straight line method
o Leasehold Improvement
Doubtful Account Expense
5% of the credit sales. Allowance method is used.
Store Supplies Expenses
Initial store supplies bought is good for 2 mos.
Communication Expense
PLDT Landline Plan: P1,459- unlimited local calls,

unlimited internet and more. SUN Cellular Plan: P600.00.
Advertisement Expense
Fixed every month, but decreases per year on the

assumption that the business already establish goodwill.
This assumption is based on the percentage of change per
year of advertising expense of Denmark Trucking services.
Fuel, Oil and Lubricants Expense
Full tank of 70L, P44.60/L as of September 5, 2014.

Changing oil of P3,060.00 is done quarterly based on the
experience of some drivers we interviewed. They have
considered the assumption that the travel is within Davao
area and not so far from the store. Fuel, oil and lubricants
expense is expected to increase every year by 4.46% of the
previous fuel, oil and lubricants expense.
Interest Expenses
7.5% interest per annum, secured for 5 years, incurred

every month
Note: 4.46% is based on the Inflation rate forecasted for the year 2015 as provided by
http://www.tradingeconomics.com/philippines/forecast of September 9, 2015.[back]
B. TOTAL PROJECT COST
This section will provide the total cost of the project.

Table 4.3: Total Project Cost [back]
Construction-Store/Office P
1,500,000.00
Inventory
560,403.29
Delivery Equipment
284,000.00
Cash
220,000.00
29,030.00
Store Equipment
21,000.00

Office Equipment
18,899.50
17,895.00
Miscellaneous
3,440.50
Office Supplies
3,089.32
Store Supplies
1,700.00
TOTALP
2,659,457.61
C. INITIAL WORKING CAPITAL REQUIREMENTS

Working Capital Policy
Working capital must be managed to keep cost under control and to keep risk level
at an appropriate level. Below are the current assets and current liability policies:
Cash and Marketable Securities- Cash on hand must only be enough to pay current
obligations. And so, all outflows including emergency payments must be estimated
beforehand based on what is experienced by the business. Since it is a non- earning asset,
excess of cash to be used for current operations should be invested in inventory and
contingencies.
Inventory Management- The proponents are unlikely to use Economic Order Quantity
since there are 45 items to consider which is impractical if used. Thus, they created their own
way of ordering schedule. The order schedule is based on the sales forecast of the project.
Since 66.33% of the inventory is considered sold, 33.67% is the safety stock percentage. The
order point will happen as soon as the inventory will reach the safety stock level.
Furthermore, all items in the inventory are evenly distributed as it has been considered to be
all saleable. Stock- outs would also be avoided because continuous monitoring of saleable
items is implemented and order size is computed.
Internal Control over Inventory
Periodic inventory count should be done every end of the month.
Efficient purchasing, receiving and shipping of ordered items should be

observed.
Proper monitoring of storage area should be implemented in order to protect

inventories from theft, damage and loss.
Segregation of duties over inventory management and record keeping

functions.
Ordering point should be done only when inventories would reach its level
of safety stock.
Credit Policy and Receivable Management- Payments to suppliers will be made after
shipment is received based on the credit terms agreed upon. The terms of payment ranges
from 0 to 90 days based on the collections received. With regards to receivables, receipts
from credit customers will be collected after sale is recorded. Terms of payment are 0 to 45
days depending on the credit ability of the customer. Trade discount which is 2/15, n/30 is
also implemented to encourage early payments. Tight credit policy will be observed. [back]
D. ALTERNATIVE SOURCES OF FINANCING CONSIDERED
(None; at the planning phase, the owner has decided to finance the business using
the business loan that they will be entering. Aside from it, the owner will use his personal
money and pay current liabilities through terms of payment or by instalment. As of now,
alternative sources of financing are not yet considered by the owner). [back]
E. SOURCES OF FINANCING THE PROJECT

The owner has decided to finance the operation using its personal money and
through a business loan. The cost of capital is P 2, 644, 987.89. For the payment of the
building cost and the delivery truck, the owner will be financing it through the business loan
offered by the Bank of the Philippines Ka-Negosyo Loan. The owner will be entering a 5year Ka-Negosyo term loan having an interest of 7.5% simple-interest. It will be secured
through the owners real estate. Long- term financing for business expansion will be
considered by the owner to ensure the successful putting up of the Denmark Auto Supply.
[back]
F. PROFORMA FINANCIAL STATEMENTS
MR. ELEAZER A. PANDE

DENMARK AUTO SUPPLY
KM 10, SASA, DAVAO CITY
COMPARATIVE STATEMENT OF FINANCIAL POSITION
As of December 31, 2015 to 2019
NOTES
2015
2016
2017
2018
2019
2
3
3,000,927.22
61,504.66
249,812.35
3,312,244.22
4,092,459.30
64,061.45
261,999.30
4,418,520.05
4,539,792.54
113,298.16
385,819.68
5,038,910.38
4,815,195.66
167,109.95
511,588.06
5,493,893.67
5,274,660.62
222,972.58
637,509.45
6,135,142.65
1,649,839.57
1,428,854.64
1,207,869.71
986,884.79
765,902.86
4,962,083.80
5,847,374.69
6,246,780.09
6,480,778.46
6,901,045.51
ASSETS
CURRENT ASSETS
Cash
Accounts Receivable, net
Inventory
TOTAL CURRENT ASSETS
Property and Equipment
TOTAL ASSETS
LIABILITIES AND OWNER'S EQUITY

CURRENT LIABILITIES
Accounts Payable
SSS, PHIC and Pag-IBIG Payable
Loans Payable, Short Term
Withholding Tax Payable
VAT Payable
Accrued Liabilities
TOTAL CURRENT LIABILITIES
Loans Payable, Long Term
TOTAL LIABILITIES
OWNER'S EQUITY
Pande, Capital
TOTAL LIABILITIES AND
CAPITAL
5
6
7
8
7,345.00
369,117.37
3,344.90
35,813.33
5,402.08
421,022.67
567,665.16
7,619.20
397,772.91
4,295.78
37,061.95
5,484.40
1,019,899.39
590,346.89
7,920.00
428,653.05
4,676.69
38,978.01
5,570.40
1,076,145.05
435,951.00
8,045.00
461,930.50
5,096.07
40,509.03
5,660.23
957,191.84
458,686.81
8,265.00
5,534.15
42,023.54
5,754.07
520,263.57
1,288,356.46
890,583.55
461,930.50
1,709,379.14
1,910,482.95
1,538,075.55
957,191.84
520,263.57
3,252,704.66
3,936,891.74
4,708,704.54
5,523,586.62
6,380,778.94
4,962,083.80
5,847,374.69
6,246,780.09
6,480,778.46
6,901,042.51
[back]

DENMARK AUTO SUPPLY
As of March 31, 2015
JANUARY
FEBRUARY
MARCH
ASSETS
CURRENT ASSETS
Cash
Inventory
2,414,415.67
35,651.72
160,898.45
2,610,965.84
2,559,844.32
49,711.37
249,812.35
2,859,368.04
2,611,485.59
61,250.83
249,812.35
2,922,548.77
PROPERTY AND EQUIPMENT
1,852,409.09
1,833,993.68
1,815,578.27
TOTAL ASSETS
4,463,374.93
4,693,361.72
4,738,127.04

CURRENT LIABILITIES
Accounts Payable
VAT Payable
Accrued Liabilities
7,345.00
344,666.96
3,344.90
(200,552.00)
5,402.08
160,206.94
7,345.00
346,821.13
3,344.90
18,303.87
5,251.67
381,066.57
7,345.00
348,988.76
3,344.90
35,813.33
5,402.08
400,894.07
1,627,757.14
1,597,854.73
1,567,765.42
TOTAL LIABILITIES
OWNER'S EQUITY
Pande, Capital
1,787,964.08
1,978,921.30
1,968,659.49
2,675,410.85
2,714,440.42
2,769,467.55
TOTAL LIABILITIES AND OWNER'S EQUITY
4,463,374.93
4,693,361.72
4,738,127.04
[back]

DENMARK AUTO SUPPLY
As of June 30, 2015
APRIL
MAY
JUNE
ASSETS
CURRENT ASSETS
Cash
Inventory
2,656,576.02
61,504.66
249,812.35
2,967,893.03
2,701,870.55
61,504.66
249,812.35
3,013,187.56
2,746,968.19
61,504.66
249,812.35
3,058,285.20
1,797,162.86
1,778,747.45
1,760,332.04
TOTAL ASSETS
4,765,055.88
4,791,935.00
4,818,617.23
7,345.00
351,169.94
3,344.90
35,819.34
5,351.94
403,031.13
7,345.00
353,364.75
3,344.90
35,813.33
5,402.08
405,270.06
7,345.00
355,573.28
3,344.90
35,819.34
5,351.94
407,434.47
1,537,488.06
1,507,021.46
1,476,364.45
TOTAL LIABILITIES
OWNER'S EQUITY
Pande, Capital
1,940,519.19
1,912,291.52
1,883,798.92
2,824,536.70
2,879,643.48
2,934,818.31
4,765,055.88
4,791,935.00
4,818,617.23

CURRENT LIABILITIES
Accounts Payable
VAT Payable
Accrued Liabilities
[back]

DENMARK AUTO SUPPLY
As of September 30, 2015
JULY
AUGUST
SEPTEMBER
ASSETS
CURRENT ASSETS
Cash
Inventory
2,792,014.57
61,504.66
249,812.35
3,103,331.58
2,836,891.59
61,504.66
249,812.35
3,148,208.60
2,881,613.51
61,504.66
249,812.35
3,192,930.51
1,741,916.63
1,723,501.21
1,705,085.80
TOTAL ASSETS
4,845,248.20
4,871,709.81
4,898,016.32

CURRENT LIABILITIES
Accounts Payable
VAT Payable
Accrued Liabilities
7,345.00
357,795.61
3,344.90
35,813.33
5,402.08
409,700.92
7,345.00
360,031.84
3,344.90
35,813.33
5,402.08
411,937.14
7,345.00
362,282.04
3,344.90
35,819.34
5,351.94
414,143.22
1,445,515.83
1,414,474.41
1,383,238.98
TOTAL LIABILITIES
OWNER'S EQUITY
Pande, Ending Capital
1,855,216.75
1,826,411.55
1,797,382.20
2,990,031.45
3,045,298.26
3,100,634.12
4,845,248.20
4,871,709.81
4,898,016.32
[back]

DENMARK AUTO SUPPLY
As of December 31, 2015
OCTOBER
NOVEMBER
DECEMBER
ASSETS
CURRENT ASSETS
Cash
Inventory
2,926,281.81
61,504.66
249,812.35
3,237,598.82
2,970,749.32
61,504.66
249,812.35
3,282,066.32
3,000,927.22
61,504.66
249,812.35
3,312,244.22
1,686,670.39
1,668,254.98
1,649,839.57
TOTAL ASSETS
4,924,269.21
4,950,321.31
4,962,083.80

CURRENT LIABILITIES
Accounts Payable
VAT Payable
Accrued Liabilities
7,345.00
364,546.30
3,344.90
35,813.33
5,402.08
416,451.61
7,345.00
366,824.71
3,344.90
35,819.34
5,351.94
418,685.90
7,345.00
369,117.37
3,344.90
35,813.33
5,402.08
421,022.67
1,351,808.32
1,320,181.23
1,288,356.46
TOTAL LIABILITIES
OWNER'S EQUITY
1,768,259.93
1,738,867.13
1,709,379.14
3,156,009.28
3,211,454.18
3,252,704.66
4,924,269.21
4,950,321.31
4,962,083.80
[back]

DENMARK AUTO SUPPLY
COMPARATIVE STATEMENT OF CHANGES IN OWNER'S EQUITY
For the Year Ended, December 31, 2015 to 2019
NOTE
Pande, Beginning Capital
Add: Net Income for the Year
2015
2016
2017
2018
2019
2,659,457.61
1,977,490.16
3,252,704.66
2,280,623.62
3,936,891.74
2,572,709.33
4,708,704.54
2,716,273.59
5,523,586.62
2,857,307.75
TOTAL
Less: Pande, Drawing
4,636,947.77
1,384,243.11
5,533,328.28
1,596,436.53
6,509,601.07
1,800,896.53
7,424,978.13
1,901,391.51
8,380,894.37
2,000,115.43
PANDE, ENDING CAPITAL
3,252,704.66
3,936,891.74
4,708,704.54
5,523,586.62
6,380,778.94
10
[back]

DENMARK AUTO SUPPLY
For the Quarter Ended, March 31, 2015
JANUARY
FEBRUARY
MARCH

2,659,457.61
53,177.46
2,675,410.85
130,098.56
2,714,440.42
183,423.78
TOTAL
2,712,635.07
37,224.22
2,805,509.41
91,068.99
2,897,864.19
128,396.64
2,675,410.85
2,714,440.42
2,769,467.55

DENMARK AUTO SUPPLY
For the Quarter Ended, June 30, 2015
APRIL
MAY
JUNE

2,769,467.55
183,563.81
2,824,536.70
183,689.28
2,879,643.48
183,916.11
TOTAL
2,953,031.37
128,494.67
3,008,225.98
128,582.50
3,063,559.59
128,741.28
2,824,536.70
2,879,643.48
2,934,818.31
[back]

DENMARK AUTO SUPPLY
For the Quarter Ended, September 30, 2015
JULY
AUGUST
SEPTEMBER

2,934,818.31
184,043.78
2,990,031.45
184,222.70
3,045,298.26
184,452.86
TOTAL
3,118,862.10
128,830.65
3,174,254.15
128,955.89
3,229,751.12
129,117.00
2,990,031.45
3,045,298.26
3,100,634.12

DENMARK AUTO SUPPLY
For the Quarter Ended, December 31, 2015
OCTOBER
NOVEMBER
DECEMBER

3,100,634.12
184,583.89
3,156,009.28
184,816.31
3,211,454.18
137,501.61
TOTAL
3,285,218.00
129,208.72
3,340,825.60
129,371.42
3,348,955.78
96,251.12
3,156,009.28
3,211,454.18
3,252,704.66
[back]

DENMARK AUTO SUPPLY
K.M. 10 SASA, DAVAO CITY
COMPARATIVE STATEMENT OF COMPREHENSIVE INCOME
For the Year Ended, December 31, 2015 to 2019
NOTES
9
3
Sales
Less: Cost of Sales
Gross Profit
Less:
Selling Expenses
Administrative Expenses
Total Operating Expenses
Net income before Interest
Less: Interest Expense
NET INCOME
2015
8,480,831.81
4,764,046.18
2016
9,277,417.42
5,227,799.10
2017
9,686,818.17
5,325,535.53
2018
10,059,122.25
5,533,201.49
2019
10,431,782.32
5,742,917.47
3,716,785.63
4,049,618.32
4,361,282.64
4,525,920.76
4,688,864.85
11
11
700,705.06
900,205.81
723,695.68
933,505.63
749,310.89
956,124.56
778,111.95
979,277.51
808,930.61
1,003,646.22
1,600,910.87
2,115,874.76
138,384.60
1,657,201.31
2,392,417.02
111,793.40
1,705,435.45
2,655,847.18
83,137.86
1,757,389.46
2,768,531.30
52,257.71
1,812,576.83
2,876,288.01
18,980.26
1,977,490.16
2,280,623.62
2,572,709.33
2,716,273.59
2,857,307.75
[back]

DENMARK AUTO SUPPLY
For the Quarter Ended, March 31, 2015
JANUARY
428,944.76
241,347.68
FEBRUARY
599,205.57
330,323.59
MARCH
745,268.15
419,237.49
Gross Profit
Less:
Selling Expenses
187,597.08
268,881.98
326,030.66
55,688.09
66,231.53
55,688.09
70,767.67
55,688.09
74,764.57

121,919.62
65,677.46
12,500.00
126,455.76
142,426.21
12,327.65
130,452.66
195,578.00
12,154.22
53,177.46
130,098.56
183,423.78
Sales
Cost of Sales
NET INCOME
[back]

DENMARK AUTO SUPPLY
For the Quarter Ended, June 30, 2015
APRIL
745,268.15
419,237.49
MAY
745,268.15
419,237.49
JUNE
745,268.15
419,237.49
Gross Profit
Less:
Selling Expenses
326,030.66
326,030.66
326,030.66
55,688.09
74,799.04
55,688.09
74,849.18
55,688.09
74,799.04

130,487.13
195,543.53
11,979.71
130,537.26
195,493.39
11,804.11
130,487.13
195,543.53
11,627.41
NET INCOME
183,563.81
183,689.28
183,916.11
Sales
Cost of Sales
[back]

DENMARK AUTO SUPPLY
For the Quarter Ended, September 30, 2015
JULY
745,268.15
419,237.49
AUGUST
745,268.15
419,237.49
SEPTEMBER
745,268.15
419,237.49
Gross Profit
Less:
Selling Expenses
326,030.66
326,030.66
326,030.66
55,688.09
74,849.18
55,688.09
74,849.18
55,688.09
74,799.04

130,537.26
195,493.39
11,449.61
130,537.26
195,493.39
11,270.70
130,487.13
195,543.53
11,090.66
NET INCOME
184,043.78
184,222.70
184,452.86
Sales
Cost of Sales
[back]

DENMARK AUTO SUPPLY
For the Quarter Ended, December 31, 2015
OCTOBER
745,268.15
419,237.49
NOVEMBER
745,268.15
419,237.49
DECEMBER
745,268.15
419,237.49
Gross Profit
Less:
Selling Expenses
326,030.66
326,030.66
326,030.66
55,688.09
74,849.18
55,688.09
74,799.04
88,136.09
89,849.18

130,537.26
195,493.39
10,909.51
130,487.13
195,543.53
10,727.22
177,985.26
148,045.39
10,543.79
NET INCOME
184,583.89
184,816.31
137,501.61
Sales
Cost of Sales
[back]

DENMARK AUTO SUPPLY
PROJECTED STATEMENT OF CASH FLOWS
For the Years Ended, 2015 and 2016
2015
2016
1,977,490.16
2,280,623.62
220,984.93
220,984.93
(61,504.66)
(249,812.35)
7,345.00
3,344.90
35,813.33
5,402.08
(2,556.79)
(12,186.95)
567,665.16
274.20
950.88
1,248.62
82.32
1,939,063.39
3,057,085.98
(1,870,824.50)
(1,870,824.50)
2,659,457.61
1,657,473.83
(1,384,243.11)
(369,117.37)
(1,596,436.53)
Net cash flows from financing activities
2,932,688.33
(1,965,553.90)
NET INCREASE (DECREASE) IN CASH FLOWS
3,000,927.22
1,091,532.08
CASH AT THE BEGINNING OF THE YEAR

3,000,927.22
3,000,927.22
1,091,532.08
CASH AT THE END OF THE YEAR
3,000,927.22
4,092,459.30
CASH FLOWS FROM OPERATING ACTIVITIES

Net Income
Adjustments to reconcile net income to
net cash provided by operating activities
Add: Depreciation
Decrease (Increase) in:
Inventory
Accounts Payable
VAT Payable
Accrued Liabilities
Net cash flows from operating activities
CASH FLOWS FROM INVESTING ACTIVITIES
Net cash flows from investing activities
CASH FLOWS FROM FINANCING ACTIVITIES
Owner's Investment
Loans Payable
Pande, Drawing
[back]

DENMARK AUTO SUPPLY
For the Years Ended, 2017, 2018 and 2019
2017
2018
2019
2,572,709.33
2,716,273.59
2,857,307.75
220,984.93
220,984.93
220,984.93
(49,236.71)
(123,820.37)
22,681.73
300.80
380.92
1,916.06
86.00
(53,811.80)
(125,768.39)
(154,395.89)
125.00
419.38
1,531.02
89.83
(55,862.63)
(125,921.39)
22,735.81
220.00
438.08
1,514.50
93.84

2,646,002.68
2,605,447.68
2,921,510.89

Owner's Investment
Loans Payable
Pande, Drawing
(397,772.91)
(1,800,896.53)
(428,653.05)
(1,901,391.51)
(461,930.50)
(2,000,115.43)
(2,198,669.44)
(2,330,044.56)
(2,462,045.93)
447,333.25
275,403.11
459,464.96
CASH AT THE BEGINNING OF THE YEAR

4,092,459.30
447,333.25
4,539,792.54
275,403.11
4,815,195.66
459,464.96
CASH AT THE END OF THE YEAR
4,539,792.54
4,815,195.66
5,274,660.62

Net Income
Add: Depreciation
Inventory
Accounts Payable
VAT Payable
Accrued Liabilities
[back]

DENMARK AUTO SUPPLY
As of March 31, 2015
JANUARY
FEBRUARY
MARCH
53,177.46
130,098.56
183,423.78
18,415.41
18,415.41
18,415.41
(35,651.72)
(160,898.45)
7,345.00
3,344.90
(200,552.00)
5,402.08
(14,059.65)
(88,913.90)
218,855.86
(150.41)
(11,539.46)
17,509.46
150.41
(309,417.32)
264,245.88
207,959.59
(1,870,824.50)
(1,870,824.50)
2,659,457.61
1,972,424.10
(37,224.22)
(27,748.25)
(91,068.99)
(27,921.67)
(128,396.64)
4,594,657.49
(118,817.24)
(156,318.32)
2,414,415.67
145,428.64
51,641.27
CASH AT BEGINNING OF MONTH

2,414,415.67
2,414,415.67
145,428.64
2,559,844.32
51,641.27
CASH AT THE END OF MONTH
2,414,415.67
2,559,844.32
2,611,485.59

Net Income
Add: Depreciation
Inventory
Accounts Payable
VAT Payable
Accrued Liabilities
Owner's Investment
Loans Payable
Pande, Drawing
[back]

DENMARK AUTO SUPPLY
As of June 30, 2015
APRIL
MAY
JUNE
183,563.81
183,689.28
183,916.11
18,415.41
18,415.41
18,415.41
(253.82)
6.02
(50.13)
(6.02)
50.13
6.02
(50.13)

201,681.28
202,148.81
202,287.41

Owner's Investment
Loans Payable
Pande, Drawing
(28,096.18)
(128,494.67)
(28,271.78)
(128,582.50)
(28,448.48)
(128,741.28)
(156,590.85)
(156,854.28)
(157,189.76)
45,090.43
45,294.53
45,097.64

2,611,485.59
45,090.43
2,656,576.02
45,294.53
2,701,870.55
45,097.64
2,656,576.02
2,701,870.55
2,746,968.19

Net Income
Add: Depreciation
Inventory
Accounts Payable
VAT Payable
Accrued Liabilities
[back]

DENMARK AUTO SUPPLY
As of September 30, 2015
JULY
AUGUST
SEPTEMBER
184,043.78
184,222.70
184,452.86
18,415.41
18,415.41
18,415.41
(6.02)
50.13
6.02
(50.13)

202,503.31
202,638.11
202,824.16

Owner's Investment
Loans Payable
Pande, Drawing
(28,626.29)
(128,830.65)
(28,805.20)
(128,955.89)
(28,985.23)
(129,117.00)
(157,456.93)
(157,761.09)
(158,102.24)
45,046.38
44,877.02
44,721.92

2,746,968.19
45,046.38
2,792,014.57
44,877.02
2,836,891.59
44,721.92
2,792,014.57
2,836,891.59
2,881,613.51

Net Income
Add: Depreciation
Inventory
Accounts Payable
VAT Payable
Accrued Liabilities
[back]

DENMARK AUTO SUPPLY
As of December 31, 2015
OCTOBER
NOVEMBER
DECEMBER
184,583.89
184,816.31
137,501.61
18,415.41
18,415.41
18,415.41
(6.02)
50.13
6.02
(50.13)
(6.02)
50.13

203,043.42
203,187.60
155,961.14

Owner's Investment
Loans Payable
Pande, Drawing
(29,166.39)
(129,208.72)
(29,348.68)
(129,371.42)
(29,532.11)
(96,251.12)
(158,375.11)
(158,720.10)
(125,783.23)
44,668.30
44,467.50
30,177.90

2,881,613.51
44,668.30
2,926,281.81
44,467.50
2,970,749.32
30,177.90
2,926,281.81
2,970,749.32
3,000,927.22

Net Income
Add: Depreciation
Inventory
Accounts Payable
VAT Payable
Accrued Liabilities
[back]
DENMARK AUTO SUPPLY

NOTES TO FINANCIAL STATEMENTS [back]
Note 1. Business Information

Denmark Auto Supply is an existing sole proprietorship that will carry on buying and selling of auto
parts. The registered address of the business is at KM 10, Sasa, Davao City.
Note 2. Schedule of Projected Accounts Receivable and Doubtful Accounts Expense [back to fs]
Accounts Receivable, Beginning

Add: Credit Sales
Total
Less: Collections
15% of revenue - last month
80% of revenue - this month
Total collections
Accounts Receivable, End
Less: Allowance for D/A (5%)
Doubtful Accounts Expense
2015
4,667,705.45
4,667,705.45
2016
294,889.93
5,124,915.96
5,419,805.88
2017
553,692.52
5,329,688.05
5,883,380.57
2018
822,736.57
5,534,698.90
6,357,435.48
2019
1,102,034.15
5,739,959.16
6,841,993.32
638,651.16
3,734,164.36
4,372,815.53
294,889.93
766,180.60
4,099,932.76
4,866,113.36
553,692.52
796,893.56
4,263,750.44
5,060,643.99
822,736.57
827,642.20
4,427,759.12
5,255,401.32
1,102,034.15
858,428.12
4,591,967.33
5,450,395.45
1,391,597.87
233,385.27
442,954.02
658,189.26
881,627.32
1,113,278.29
61,504.66
64,061.45
113,298.16
167,109.95
222,972.58
233,385.27
256,245.80
266,484.40
276,734.95
286,997.96
46,677.05
51,249.16
53,296.88
55,346.99
Written off
Note 3. Schedule of Projected Ending Inventory [back inv] [back cos]
Beginning Inventory
Add: Net Purchases
Goods Available for Sale
Less: Cost of Sales
Previous
Current
Cost of Sales
ENDING INVENTORY
2015
2016
2017
2018
2019
5,013,858.54
5,013,858.54
249,812.35
5,239,986.05
5,489,798.40
261,999.30
5,449,355.90
5,711,355.21
385,819.68
5,658,969.88
6,044,789.56
511,588.06
5,868,838.87
6,380,426.93
2,659,021.97
2,105,024.21
4,764,046.18
3,131,804.68
2,095,994.42
5,227,799.10
3,100,678.93
2,224,856.60
5,325,535.53
3,269,613.54
2,263,587.95
5,533,201.49
3,395,381.93
2,347,535.55
5,742,917.47
249,812.35
261,999.30
385,819.68
511,588.06
637,509.45
Note 4. Projected Book Value of Property and Equipment [back to fs]

DESCRIPTION
ACQUISITION
COST
DEPRECIATION
2015
2016
2017
2018
2019
Book Value
Building
1,500,000.00
150,000.00
1,350,000.00
1,200,000.00
1,050,000.00
900,000.00
Store Equipment
21,000.00
2,100.00
18,900.00
16,800.00
14,700.00
12,600.00
18,899.50
2,699.93
16,199.57
13,499.64
10,799.71
8,099.79
29,030.00
5,806.00
23,224.00
17,418.00
11,612.00
5,806.00
Office Equipment
17,895.00
3,579.00
14,316.00
10,737.00
7,158.00
3,579.00
Delivery Equipment
284,000.00
56,800.00
227,200.00
170,400.00
113,600.00
56,800.00
Totals
220,984.93
1,649,839.57
1,428,854.64
1,207,869.71
986,884.79
Note: No additional equipment in later years of operation. Thus, depreciation expense is uniform throughout the life of asset.
750,000.00
10,500.00
5,399.86
1.00
1.00
1.00
765,902.86
Note 5. Schedule of Projected Accounts Payable [back to fs]

2015
5,013,858.54
2016
5,239,986.05
2017
567,665.16
5,449,355.90
2018
590,346.89
5,658,969.88
2019
435,951.00
5,868,838.87
Total
Less: Payments
70% of Payment One Month After Purchase
30% of Payment Two Months After Purchase
5,013,858.54
5,239,986.05
6,017,021.06
6,249,316.77
6,304,789.87
3,362,324.38
1,309,996.51
3,802,335.89
1,624,338.28
3,949,051.43
1,864,314.33
4,095,944.85
1,750,158.21
Total Payments
5,013,858.54
4,672,320.89
5,426,674.17
5,813,365.77
5,846,103.06
567,665.16
590,346.89
435,951.00
458,686.81
Accounts Payable, Beginning

Add: Purchases
ACCOUNTS PAYABLE, END
Note 6. Schedule of Employees Contribution [back to fs]
YEARLY 2015
Employee
Cashier
Sales Personnel 1
Sales Personnel 2
Driver
Supervisor
Total Salaries
of Employees
with 13th
month pay
105,456.00
105,456.00
105,456.00
105,456.00
195,000.00
Withholding
Taxes
616,824.00
Total
Employee
Cashier
Sales Personnel 1
Sales Personnel 2
Driver
Supervisor
Total
Gross Pay
8,112.00
8,112.00
8,112.00
8,112.00
15,000.00
47,448.00
Employee's
Contribution
PhilHealth
Employee's
Contribution
SSS
Employee's
Contribution
Pag-IBIG
Net Salaries
5,100.96
5,100.96
5,100.96
5,100.96
13,299.96
1,200.00
1,200.00
1,200.00
1,200.00
2,250.00
3,488.40
3,488.40
3,488.40
3,488.40
6,540.00
1,200.00
1,200.00
1,200.00
1,200.00
1,200.00
94,466.64
94,466.64
94,466.64
94,466.64
171,710.04
33,703.80
7,050.00
20,493.60
6,000.00
549,576.60
MONTHLY for 2015

Monthly Benefit Contribution (Employee Share)
Withholding
PHIC
SSS
Pag-IBIG
Taxes
425.08
100.00
290.70
100.00
425.08
100.00
290.70
100.00
425.08
100.00
290.70
100.00
425.08
100.00
290.70
100.00
1,108.33
187.50
545.00
100.00
2,808.65
587.50
MONTHLY for 2015

Monthly Employer Share
Employee
Cashier
Sales Personnel 1
Sales Personnel 2
Driver
Supervisor
PHIC
100.00
100.00
100.00
100.00
187.50
SSS
589.30
589.30
589.30
589.30
1,105.00
Pag-IBIG
100.00
100.00
100.00
100.00
100.00
Total
587.50
3,462.20
500.00
1,707.80
500.00
Net Pay
7,196.22
7,196.22
7,196.22
7,196.22
13,059.17
41,844.05
Yearly Employer Share

PHIC
SSS
Pag-IBIG
1,200.00
7,071.60
1,200.00
1,200.00
7,071.60
1,200.00
1,200.00
7,071.60
1,200.00
1,200.00
7,071.60
1,200.00
2,250.00
13,260.00
1,200.00
7,050.00
41,546.40
6,000.00
Note 6. Schedule of Employees Contribution (Continuation) [back to fs]
YEARLY 2016
Employee
Cashier
Sales Personnel 1
Sales Personnel 2
Driver
Supervisor
Total Salaries
of Employees
with 13th
month pay
110,159.34
110,159.34
110,159.34
110,159.34
203,697.00
644,334.35
Total
Employee
Cashier
Sales Personnel 1
Sales Personnel 2
Driver
Supervisor
Total
Withholding
Taxes
Employee's
Contribution
PhilHealth
Employee's
Contribution
SSS
Employee's
Contribution
Pag-IBIG
Net Salaries
5,752.19
5,752.19
5,752.19
5,752.19
22,105.56
1,200.00
1,200.00
1,200.00
1,200.00
2,250.00
3,705.60
3,705.60
3,705.60
3,705.60
6,758.40
1,200.00
1,200.00
1,200.00
1,200.00
1,200.00
98,301.55
98,301.55
98,301.55
98,301.55
171,383.04
45,114.33
7,050.00
21,580.80
6,000.00
564,589.22
Gross Pay
8,473.80
8,473.80
8,473.80
8,473.80
15,669.00
49,564.18
Monthly 2016
Withholding
PHIC
SSS
Pag-IBIG
Taxes
479.35
100.00
308.80
100.00
479.35
100.00
308.80
100.00
479.35
100.00
308.80
100.00
479.35
100.00
308.80
100.00
1,842.13
187.50
563.20
100.00
3,759.53
587.50
1,798.40
500.00
Monthly 2016
Employee
Cashier
Sales Personnel 1
Sales Personnel 2
Driver
Supervisor
PHIC
100.00
100.00
100.00
100.00
187.50
SSS
626.20
626.20
626.20
626.20
1,141.00
Pag-IBIG
100.00
100.00
100.00
100.00
100.00
Total
587.50
3,645.80
500.00
Net Pay
7,485.65
7,485.65
7,485.65
7,485.65
12,976.17
42,918.75

PHIC
SSS
1,200.00
7,514.40
1,200.00
7,514.40
1,200.00
7,514.40
1,200.00
7,514.40
2,250.00
13,692.00
Pag-IBIG
1,200.00
1,200.00
1,200.00
1,200.00
1,200.00
7,050.00
6,000.00
43,749.60

YEARLY 2017
Employee
Cashier
Sales Personnel 1
Sales Personnel 2
Driver
Supervisor
Total Salaries
of Employees
with 13th
month pay
115,074.14
115,074.14
115,074.14
115,074.14
212,781.89
673,078.44
Total
Employee
Cashier
Sales Personnel 1
Sales Personnel 2
Driver
Supervisor
Total
Withholding
Taxes
Employee's
Contribution
PhilHealth
Employee's
Contribution
SSS
Employee's
Contribution
Pag-IBIG
Net Salaries
6,432.70
6,432.70
6,432.70
6,432.70
23,954.51
1,200.00
1,200.00
1,200.00
1,200.00
2,400.00
3,924.00
3,924.00
3,924.00
3,924.00
6,975.60
1,200.00
1,200.00
1,200.00
1,200.00
1,200.00
102,317.44
102,317.44
102,317.44
102,317.44
178,251.77
49,685.32
7,200.00
22,671.60
6,000.00
587,521.52
Gross Pay
8,851.86
8,851.86
8,851.86
8,851.86
16,367.84
51,775.26
MONTHLY for 2017

Withholding
PHIC
SSS
Pag-IBIG
Taxes
536.06
100.00
327.00
100.00
536.06
100.00
327.00
100.00
536.06
100.00
327.00
100.00
536.06
100.00
327.00
100.00
1,996.21
200.00
581.30
100.00
4,140.44
600.00
MONTHLY for 2017

Employee
Cashier
Sales Personnel 1
Sales Personnel 2
Driver
Supervisor
PHIC
100.00
100.00
100.00
100.00
200.00
SSS
663.00
663.00
663.00
663.00
1,178.70
Pag-IBIG
100.00
100.00
100.00
100.00
100.00
Total
600.00
3,830.70
500.00
1,889.30
500.00
Net Pay
7,788.80
7,788.80
7,788.80
7,788.80
13,490.33
44,645.52

PHIC
SSS Pag-IBIG
1,200.00
7,956.00 1,200.00
1,200.00
7,956.00 1,200.00
1,200.00
7,956.00 1,200.00
1,200.00
7,956.00 1,200.00
2,400.00
14,144.40 1,200.00
7,200.00
45,968.40
6,000.00
YEARLY 2018
Employee
Cashier
Sales Personnel 1
Sales Personnel 2
Driver
Supervisor
Total Salaries
of Employees
with 13th
month pay
120,206.45
120,206.45
120,206.45
120,206.45
222,271.96
703,097.74
Total
Employee
Cashier
Sales Personnel 1
Sales Personnel 2
Driver
Supervisor
Total
Withholding
Taxes
Employee's
Contribution
PhilHealth
Employee's
Contribution
SSS
Employee's
Contribution
Pag-IBIG
Net Salaries
7,143.33
7,143.33
7,143.33
7,143.33
26,144.53
1,350.00
1,350.00
1,350.00
1,350.00
2,550.00
3,924.00
3,924.00
3,924.00
3,924.00
6,975.60
1,200.00
1,200.00
1,200.00
1,200.00
1,200.00
106,589.12
106,589.12
106,589.12
106,589.12
185,401.83
54,717.85
7,950.00
22,671.60
6,000.00
611,758.29
Gross Pay
9,246.65
9,246.65
9,246.65
9,246.65
17,097.84
54,084.44
MONTHLY for 2018

Withholding
PHIC
SSS
Pag-IBIG
Taxes
595.28
112.50
327.00
100.00
595.28
112.50
327.00
100.00
595.28
112.50
327.00
100.00
595.28
112.50
327.00
100.00
2,178.71
212.50
581.30
100.00
4,559.82
662.50
MONTHLY for 2018

Employee
Cashier
Sales Personnel 1
Sales Personnel 2
Driver
Supervisor
PHIC
112.50
112.50
112.50
112.50
212.50
SSS
663.00
663.00
663.00
663.00
1,178.70
Pag-IBIG
100.00
100.00
100.00
100.00
100.00
Total
662.50
3,830.70
500.00
1,889.30
500.00
Net Pay
8,111.87
8,111.87
8,111.87
8,111.87
14,025.33
46,472.82

PHIC
SSS
Pag-IBIG
1,350.00
7,956.00
1,200.00
1,350.00
7,956.00
1,200.00
1,350.00
7,956.00
1,200.00
1,350.00
7,956.00
1,200.00
2,550.00
14,144.40
1,200.00
7,950.00
45,968.40
6,000.00

YEARLY 2019
Employee
Cashier
Sales Personnel 1
Sales Personnel 2
Driver
Supervisor
Total Salaries
of Employees
with 13th
month pay
125,567.65
125,567.65
125,567.65
125,567.65
232,185.29
734,455.90
Total
Employee
Cashier
Sales Personnel 1
Sales Personnel 2
Driver
Supervisor
Total
Withholding
Taxes
Employee's
Contribution
PhilHealth
Employee's
Contribution SSS
Employee's
Contribution
Pag-IBIG
Net Salaries
7,885.65
7,885.65
7,885.65
7,885.65
28,432.22
1,350.00
1,350.00
1,350.00
1,350.00
2,550.00
4,142.40
4,142.40
4,142.40
4,142.40
6,975.60
1,200.00
1,200.00
1,200.00
1,200.00
1,200.00
110,989.60
110,989.60
110,989.60
110,989.60
193,027.47
59,974.82
7,950.00
23,545.20
6,000.00
636,985.88
Gross Pay
9,659.05
9,659.05
9,659.05
9,659.05
17,860.41
56,496.61
MONTHLY for 2019

Withholding
PHIC
SSS
Pag-IBIG
Taxes
657.14
112.50
345.20
100.00
657.14
112.50
345.20
100.00
657.14
112.50
345.20
100.00
657.14
112.50
345.20
100.00
2,369.35
212.50
581.30
100.00
4,997.90
662.50
MONTHLY for 2019

Employee
Cashier
Sales Personnel 1
Sales Personnel 2
Driver
Supervisor
PHIC
112.50
112.50
112.50
112.50
212.50
SSS
699.80
699.80
699.80
699.80
1,178.70
Pag-IBIG
100.00
100.00
100.00
100.00
100.00
Total
662.50
3,977.90
500.00
1,962.10
500.00
Net Pay
8,444.21
8,444.21
8,444.21
8,444.21
14,597.26
48,374.11

PHIC
SSS Pag-IBIG
1,350.00
8,397.60 1,200.00
1,350.00
8,397.60 1,200.00
1,350.00
8,397.60 1,200.00
1,350.00
8,397.60 1,200.00
2,550.00
14,144.40 1,200.00
7,950.00
47,734.80
6,000.00
Note 7.Schedule of Loans Payable, Interest Payable and Interest Expense [back loans payable] [back interest]
Note 7.Schedule of Loans Payable, Interest Payable and Interest Expense (Continuation) [back loans payable]
[back interest]
Month
Mar-17
Apr-17
May-17
Jun-17
Jul-17
Aug-17
Sep-17
Oct-17
Nov-17
Dec-17
Jan-18
Feb-18
Mar-18
Apr-18
May-18
Jun-18
Jul-18
Aug-18
Sep-18
Oct-18
Nov-18
Dec-18
Jan-19
Feb-19
Mar-19
Apr-19
May-19
Jun-19
Jul-19
Aug-19
Sep-19
Oct-19
Nov-19
Dec-19
Monthly
40,075.90
40,075.90
40,075.90
40,075.90
40,075.90
40,075.90
40,075.90
40,075.90
40,075.90
40,075.90
40,075.90
40,075.90
40,075.90
40,075.90
40,075.90
40,075.90
40,075.90
40,075.90
40,075.90
40,075.90
40,075.90
40,075.90
40,075.90
40,075.90
40,075.90
40,075.90
40,075.90
40,075.90
40,075.90
40,075.90
40,075.90
40,075.90
40,075.90
40,075.90
2,404,553.83
Interest
7,650.68
7,448.02
7,244.10
7,038.90
6,832.42
6,624.65
6,415.58
6,205.20
5,993.51
5,780.49
5,566.15
5,350.46
5,133.43
4,915.04
4,695.28
4,474.15
4,251.64
4,027.74
3,802.44
3,575.73
3,347.60
3,118.05
2,887.07
2,654.64
2,420.75
2,185.41
1,948.59
1,710.30
1,470.51
1,229.23
986.44
742.13
496.29
248.92
404,553.83
Principal
32,425.22
32,627.87
32,831.80
33,037.00
33,243.48
33,451.25
33,660.32
33,870.70
34,082.39
34,295.40
34,509.75
34,725.44
34,942.47
35,160.86
35,380.62
35,601.74
35,824.26
36,048.16
36,273.46
36,500.17
36,728.29
36,957.85
37,188.83
37,421.26
37,655.14
37,890.49
38,127.30
38,365.60
38,605.39
38,846.67
39,089.46
39,333.77
39,579.61
39,826.98
2,000,000.00
Outstanding
Principal Balance
1,191,683.76
1,159,055.89
1,126,224.09
1,093,187.09
1,059,943.61
1,026,492.36
992,832.04
958,961.35
924,878.96
890,583.55
856,073.80
821,348.37
786,405.90
751,245.04
715,864.42
680,262.68
644,438.42
608,390.27
572,116.81
535,616.64
498,888.35
461,930.50
424,741.67
387,320.41
349,665.26
311,774.78
273,647.47
235,281.87
196,676.48
157,829.82
118,740.35
79,406.58
39,826.98
-
Note 8. Schedule of VAT Payable [back to fs]

2015
JANUARY
FEBRUARY
MARCH
APRIL
MAY
JUNE
Output VAT:
Sales
Input VAT:
Equipment
Inventory
Selling Expenses
51,473.37
71,904.67
89,432.18
89,432.18
89,432.18
89,432.18
200,445.48
48,269.54
1,346.08
1,964.27
50,308.50
1,328.03
1,964.27
50,308.50
1,346.08
1,964.27
50,308.50
1,340.06
1,964.27
50,308.50
1,346.08
1,964.27
50,308.50
1,340.06
1,964.27
Total Input VAT
252,025.37
53,600.80
53,618.85
53,612.83
53,618.85
53,612.83
(200,552.00)
18,303.87
35,813.33
35,819.34
35,813.33
35,819.34
OCTOBER
NOVEMBER
DECEMBER
VAT PAYABLE
JULY
AUGUST
2015
SEPTEMBER
Sales
Input VAT:
Equipment
Inventory
Selling Expenses
89,432.18
89,432.18
89,432.18
89,432.18
89,432.18
89,432.18
50,308.50
1,346.08
1,964.27
50,308.50
1,346.08
1,964.27
50,308.50
1,340.06
1,964.27
50,308.50
1,346.08
1,964.27
50,308.50
1,340.06
1,964.27
50,308.50
1,346.08
1,964.27
Total Input VAT
53,618.85
53,618.85
53,612.83
53,618.85
53,612.83
53,618.85
VAT PAYABLE
35,813.33
35,813.33
35,819.34
35,813.33
35,819.34
35,813.33
Output VAT:
Note 8. Schedule of VAT Payable (Continuation) [back to fs]
2015
2016
2017
2018
2019
Output VAT:
Sales
Input VAT:
Equipment
Inventory
Selling Expenses
89,432.18
92,774.17
96,868.18
100,591.22
104,317.82
50,308.50
1,346.08
1,964.27
52,399.86
1,328.31
1,984.05
54,493.56
1,348.43
2,048.18
56,589.70
1,367.59
2,124.90
58,688.39
1,395.99
2,209.90
Total Input VAT
53,618.85
55,712.22
57,890.17
60,082.19
62,294.29
VAT PAYABLE
35,813.33
37,061.95
38,978.01
40,509.03
42,023.54
Note 9. Schedule of Projected Net Sales [back to fs]
2015
2016
2017
2018
2019
Sales:
Cash Sales
Credit Sales
Less: Sales Discounts
Net Credit Sales
NET SALES
30%
70%
2,538,891.08
5,953,848.43
11,907.70
2,777,363.45
6,513,080.13
13,026.16
2,899,925.01
6,800,494.15
13,600.99
3,011,381.00
7,061,864.99
14,123.73
3,122,943.56
7,323,485.73
14,646.97
5,941,940.73
6,500,053.97
6,786,893.16
7,047,741.26
7,308,838.76
8,480,831.81
9,277,417.42
9,686,818.17
10,059,122.25
10,431,782.32
Note 9. Schedule of Projected Net Sales(Continuation) [back to fs]
2015
Sales:
Cash Sales
Credit Sales
Net Credit Sales
30%
70%
NET SALES
2015
Sales:
Cash Sales
Credit Sales
Net Credit Sales
NET SALES
30%
70%
JAN
FEB
MAR
APR
MAY
JUNE
128,412.41
301,134.62
602.27
300,532.35
179,383.07
420,663.82
841.33
419,822.50
223,109.56
523,205.00
1,046.41
522,158.59
223,109.56
523,205.00
1,046.41
522,158.59
223,109.56
523,205.00
1,046.41
522,158.59
223,109.56
523,205.00
1,046.41
522,158.59
428,944.76
599,205.57
745,268.15
745,268.15
745,268.15
745,268.15
JULY
AUG
SEPT
OCT
NOV
DEC
223,109.56
523,205.00
1,046.41
522,158.59
223,109.56
523,205.00
1,046.41
522,158.59
223,109.56
523,205.00
1,046.41
522,158.59
223,109.56
523,205.00
1,046.41
522,158.59
223,109.56
523,205.00
1,046.41
522,158.59
223,109.56
523,205.00
1,046.41
522,158.59
745,268.15
745,268.15
745,268.15
745,268.15
745,268.15
745,268.15
2016
Sales:
Cash Sales
Credit Sales
Net Credit Sales
30%
70%
NET SALES
2016
Sales:
Cash Sales
Credit Sales
Net Credit Sales
NET SALES
30%
70%
JAN
FEB
MAR
APR
MAY
JUNE
231,446.95
542,756.68
1,085.51
541,671.16
231,446.95
542,756.68
1,085.51
541,671.16
231,446.95
542,756.68
1,085.51
541,671.16
231,446.95
542,756.68
1,085.51
541,671.16
231,446.95
542,756.68
1,085.51
541,671.16
231,446.95
542,756.68
1,085.51
541,671.16
773,118.12
773,118.12
773,118.12
773,118.12
773,118.12
773,118.12
JULY
AUG
SEPT
OCT
NOV
DEC
231,446.95
542,756.68
1,085.51
541,671.16
231,446.95
542,756.68
1,085.51
541,671.16
231,446.95
542,756.68
1,085.51
541,671.16
231,446.95
542,756.68
1,085.51
541,671.16
231,446.95
542,756.68
1,085.51
541,671.16
231,446.95
542,756.68
1,085.51
541,671.16
773,118.12
773,118.12
773,118.12
773,118.12
773,118.12
773,118.12
2017
Sales:
Cash Sales
Credit Sales
Net Credit Sales
JAN
30%
70%
NET SALES
2017
Sales:
Cash Sales
Credit Sales
Net Credit Sales
NET SALES
MAR
APR
MAY
JUNE
241,660.42
566,707.85
1,133.42
565,574.43
241,660.42
566,707.85
1,133.42
565,574.43
241,660.42
566,707.85
1,133.42
565,574.43
241,660.42
566,707.85
1,133.42
565,574.43
241,660.42
566,707.85
1,133.42
565,574.43
241,660.42
566,707.85
1,133.42
565,574.43
807,234.85
807,234.85
807,234.85
807,234.85
807,234.85
807,234.85
JULY
30%
70%
FEB
AUG
SEPT
OCT
NOV
DEC
241,660.42
566,707.85
1,133.42
565,574.43
241,660.42
566,707.85
1,133.42
565,574.43
241,660.42
566,707.85
1,133.42
565,574.43
241,660.42
566,707.85
1,133.42
565,574.43
241,660.42
566,707.85
1,133.42
565,574.43
241,660.42
566,707.85
1,133.42
565,574.43
807,234.85
807,234.85
807,234.85
807,234.85
807,234.85
807,234.85
2018
JAN
FEB
MAR
APR
MAY
JUNE
250,948.42
588,488.75
1,176.98
587,311.77
250,948.42
588,488.75
1,176.98
587,311.77
250,948.42
588,488.75
1,176.98
587,311.77
250,948.42
588,488.75
1,176.98
587,311.77
250,948.42
588,488.75
1,176.98
587,311.77
250,948.42
588,488.75
1,176.98
587,311.77
838,260.19
838,260.19
838,260.19
838,260.19
838,260.19
838,260.19
JULY
AUG
SEPT
OCT
NOV
DEC
Sales:
Cash Sales
30%
Credit Sales
70%
Net Credit Sales
250,948.42
588,488.75
1,176.98
587,311.77
250,948.42
588,488.75
1,176.98
587,311.77
250,948.42
588,488.75
1,176.98
587,311.77
250,948.42
588,488.75
1,176.98
587,311.77
250,948.42
588,488.75
1,176.98
587,311.77
250,948.42
588,488.75
1,176.98
587,311.77
NET SALES
838,260.19
838,260.19
838,260.19
838,260.19
838,260.19
838,260.19
Sales:
Cash Sales
Credit Sales
Net Credit Sales
30%
70%
NET SALES
2018
2019
Sales:
Cash Sales
Credit Sales
Net Credit Sales
30%
70%
NET SALES
2019
Sales:
Cash Sales
Credit Sales
Net Credit Sales
NET SALES
30%
70%
JAN
FEB
MAR
APR
MAY
JUNE
260,245.30
610,290.48
1,220.58
609,069.90
260,245.30
610,290.48
1,220.58
609,069.90
260,245.30
610,290.48
1,220.58
609,069.90
260,245.30
610,290.48
1,220.58
609,069.90
260,245.30
610,290.48
1,220.58
609,069.90
260,245.30
610,290.48
1,220.58
609,069.90
869,315.19
869,315.19
869,315.19
869,315.19
869,315.19
869,315.19
JULY
AUG
SEPT
OCT
NOV
DEC
260,245.30
610,290.48
1,220.58
609,069.90
260,245.30
610,290.48
1,220.58
609,069.90
260,245.30
610,290.48
1,220.58
609,069.90
260,245.30
610,290.48
1,220.58
609,069.90
260,245.30
610,290.48
1,220.58
609,069.90
260,245.30
610,290.48
1,220.58
609,069.90
869,315.19
869,315.19
869,315.19
869,315.19
869,315.19
869,315.19
Note 10. Schedule of Net Income [back to fs]
2016
Sales
Cost of Sales
Gross Profit
Less:
Selling Expenses
NET INCOME
2016
Sales
Cost of Sales
Gross Profit
Less:
Selling Expenses
NET INCOME
JAN
773,118.12
424,478.55
348,639.56
FEB
773,118.12
436,665.50
336,452.61
MAR
773,118.12
436,665.50
336,452.61
APR
773,118.12
436,665.50
336,452.61
MAY
773,118.12
436,665.50
336,452.61
JUNE
773,118.12
436,665.50
336,452.61
57,372.46
76,511.58
133,884.05
214,755.52
10,359.21
204,396.31
57,372.46
76,409.75
133,782.21
202,670.41
10,173.48
192,496.92
57,372.46
76,511.58
133,884.05
202,568.57
9,986.59
192,581.98
57,372.46
76,461.45
133,833.91
202,618.70
9,798.53
192,820.17
57,372.46
76,511.58
133,884.05
202,568.57
9,609.30
192,959.27
57,372.46
76,461.45
133,833.91
202,618.70
9,418.88
193,199.82
JULY
773,118.12
436,665.50
336,452.61
AUG
773,118.12
436,665.50
336,452.61
SEPT
773,118.12
436,665.50
336,452.61
OCT
773,118.12
436,665.50
336,452.61
NOV
773,118.12
436,665.50
336,452.61
DEC
773,118.12
436,665.50
336,452.61
57,372.46
76,511.58
133,884.05
202,568.57
9,227.28
193,341.29
57,372.46
76,511.58
133,884.05
202,568.57
9,034.47
193,534.09
57,372.46
76,461.45
133,833.91
202,618.70
8,840.47
193,778.24
57,372.46
76,511.58
133,884.05
202,568.57
8,645.24
193,923.32
57,372.46
76,461.45
133,833.91
202,618.70
8,448.80
194,169.90
91,267.64
92,180.58
183,448.23
153,004.39
8,251.13
144,753.26
Note 10. Schedule of Net Income (Continuation) [back to fs]
2017
Sales
Cost of Sales
Gross Profit
Less:
Selling Expenses
NET INCOME
2017
Sales
Cost of Sales
Gross Profit
Less:
Selling Expenses
NET INCOME
JAN
807,234.85
443,794.63
363,440.22
FEB
807,234.85
443,794.63
363,440.22
MAR
807,234.85
443,794.63
363,440.22
APR
807,234.85
443,794.63
363,440.22
MAY
807,234.85
443,794.63
363,440.22
JUNE
807,234.85
443,794.63
363,440.22
59,491.96
78,342.31
137,834.26
225,605.96
8,052.23
217,553.73
59,491.96
78,191.90
137,683.85
225,756.37
7,852.08
217,904.29
59,491.96
78,342.31
137,834.26
225,605.96
7,650.68
217,955.28
59,491.96
78,292.17
137,784.13
225,656.09
7,448.02
218,208.07
59,491.96
78,342.31
137,834.26
225,605.96
7,244.10
218,361.86
59,491.96
78,292.17
137,784.13
225,656.09
7,038.90
218,617.19
JULY
807,234.85
443,794.63
363,440.22
AUG
807,234.85
443,794.63
363,440.22
SEPT
807,234.85
443,794.63
363,440.22
OCT
807,234.85
443,794.63
363,440.22
NOV
807,234.85
443,794.63
363,440.22
DEC
807,234.85
443,794.63
363,440.22
59,491.96
78,342.31
137,834.26
225,605.96
6,832.42
218,773.54
59,491.96
78,342.31
137,834.26
225,605.96
6,624.65
218,981.31
59,491.96
78,292.17
137,784.13
225,656.09
6,415.58
219,240.52
59,491.96
78,342.31
137,834.26
225,605.96
6,205.20
219,400.76
59,491.96
78,292.17
137,784.13
225,656.09
5,993.51
219,662.59
94,899.39
94,710.15
189,609.53
173,830.69
5,780.49
168,050.20
2018
Sales
Cost of Sales
Gross Profit
Less:
Selling Expenses
NET INCOME
2018
Sales
Cost of Sales
Gross Profit
Less:
Selling Expenses
NET INCOME
JAN
838,260.19
461,100.12
377,160.06
FEB
838,260.19
461,100.12
377,160.06
MAR
838,260.19
461,100.12
377,160.06
APR
838,260.19
461,100.12
377,160.06
MAY
838,260.19
461,100.12
377,160.06
JUNE
838,260.19
461,100.12
377,160.06
61,760.45
80,210.88
141,971.33
235,188.73
5,566.15
229,622.59
61,760.45
80,060.48
141,820.92
235,339.14
5,350.46
229,988.68
61,760.45
80,210.88
141,971.33
235,188.73
5,133.43
230,055.31
61,760.45
80,160.75
141,921.20
235,238.87
4,915.04
230,323.83
61,760.45
80,210.88
141,971.33
235,188.73
4,695.28
230,493.45
61,760.45
80,160.75
141,921.20
235,238.87
4,474.15
230,764.72
JULY
838,260.19
461,100.12
377,160.06
AUG
838,260.19
461,100.12
377,160.06
SEPT
838,260.19
461,100.12
377,160.06
OCT
838,260.19
461,100.12
377,160.06
NOV
838,260.19
461,100.12
377,160.06
DEC
838,260.19
461,100.12
377,160.06
61,760.45
80,210.88
141,971.33
235,188.73
4,251.64
230,937.09
61,760.45
80,210.88
141,971.33
235,188.73
4,027.74
231,160.99
61,760.45
80,160.75
141,921.20
235,238.87
3,802.44
231,436.43
61,760.45
80,210.88
141,971.33
235,188.73
3,575.73
231,613.00
61,760.45
80,160.75
141,921.20
235,238.87
3,347.60
231,891.26
98,747.05
97,308.72
196,055.77
181,104.29
3,118.05
177,986.24
2019
Sales
Cost of Sales
Gross Profit
Less:
Selling Expenses
NET INCOME
2019
Sales
Cost of Sales
Gross Profit
Less:
Selling Expenses
NET INCOME
JAN
869,315.19
478,576.46
390,738.74
FEB
869,315.19
478,576.46
390,738.74
MAR
869,315.19
478,576.46
390,738.74
APR
869,315.19
478,576.46
390,738.74
MAY
869,315.19
478,576.46
390,738.74
JUNE
869,315.19
478,576.46
390,738.74
64,191.20
82,178.06
146,369.26
244,369.47
2,887.07
241,482.41
64,191.20
82,027.66
146,218.86
244,519.88
2,654.64
241,865.24
64,191.20
82,178.06
146,369.26
244,369.47
2,420.75
241,948.72
64,191.20
82,127.93
146,319.13
244,419.61
2,185.41
242,234.20
64,191.20
82,178.06
146,369.26
244,369.47
1,948.59
242,420.88
64,191.20
82,127.93
146,319.13
244,419.61
1,710.30
242,709.31
JULY
869,315.19
478,576.46
390,738.74
AUG
869,315.19
478,576.46
390,738.74
SEPT
869,315.19
478,576.46
390,738.74
OCT
869,315.19
478,576.46
390,738.74
NOV
869,315.19
478,576.46
390,738.74
DEC
869,315.19
478,576.46
390,738.74
64,191.20
82,178.06
146,369.26
244,369.47
1,470.51
242,898.96
64,191.20
82,178.06
146,369.26
244,369.47
1,229.23
243,140.25
64,191.20
82,127.93
146,319.13
244,419.61
986.44
243,433.17
64,191.20
82,178.06
146,369.26
244,369.47
742.13
243,627.35
64,191.20
82,127.93
146,319.13
244,419.61
496.29
243,923.32
102,827.40
100,038.47
202,865.87
187,872.86
248.92
187,623.94
Note 11. Schedule of Selling and Administrative Expense [back selling] [back admin]
2015
Administrative Expenses:
Rent Expense
Depreciation Expense - Building
Insurance Premiums
Utilities Expense
Repairs and Maintenance Expense
Taxes and Licenses
SSS Contribution
Depreciation Expense - Leasehold Improvements
Depreciation Expense - Office Equipment
Miscellaneous Expenses
Depreciation Expense - Furniture and Fixtures
Phil. Health Contribution
Pag-IBIG Contribution
TOTAL ADMINISTRATIVE EXPENSE
JAN
FEB
MAR
APR
MAY
JUNE
JULY
AUG
SEPT
OCT
NOV
DEC
11,883.91
15,000.00
10,725.00
12,500.00
4,277.49
3,556.25
2,876.43
2,397.45
919.44
545.00
483.83
298.25
255.99
224.99
187.50
100.00
66,231.53
16,570.46
15,000.00
10,725.00
12,500.00
4,277.49
3,405.84
2,876.43
2,397.45
919.44
545.00
483.83
298.25
255.99
224.99
187.50
100.00
70,767.67
20,416.94
15,000.00
10,725.00
12,500.00
4,277.49
3,556.25
2,876.43
2,397.45
919.44
545.00
483.83
298.25
255.99
224.99
187.50
100.00
74,764.57
20,501.55
15,000.00
10,725.00
12,500.00
4,277.49
3,506.11
2,876.43
2,397.45
919.44
545.00
483.83
298.25
255.99
224.99
187.50
100.00
74,799.04
20,501.55
15,000.00
10,725.00
12,500.00
4,277.49
3,556.25
2,876.43
2,397.45
919.44
545.00
483.83
298.25
255.99
224.99
187.50
100.00
74,849.18
20,501.55
15,000.00
10,725.00
12,500.00
4,277.49
3,506.11
2,876.43
2,397.45
919.44
545.00
483.83
298.25
255.99
224.99
187.50
100.00
74,799.04
20,501.55
15,000.00
10,725.00
12,500.00
4,277.49
3,556.25
2,876.43
2,397.45
919.44
545.00
483.83
298.25
255.99
224.99
187.50
100.00
74,849.18
20,501.55
15,000.00
10,725.00
12,500.00
4,277.49
3,556.25
2,876.43
2,397.45
919.44
545.00
483.83
298.25
255.99
224.99
187.50
100.00
74,849.18
20,501.55
15,000.00
10,725.00
12,500.00
4,277.49
3,506.11
2,876.43
2,397.45
919.44
545.00
483.83
298.25
255.99
224.99
187.50
100.00
74,799.04
20,501.55
15,000.00
10,725.00
12,500.00
4,277.49
3,556.25
2,876.43
2,397.45
919.44
545.00
483.83
298.25
255.99
224.99
187.50
100.00
74,849.18
20,501.55
15,000.00
10,725.00
12,500.00
4,277.49
3,506.11
2,876.43
2,397.45
919.44
545.00
483.83
298.25
255.99
224.99
187.50
100.00
74,799.04
20,501.55
30,000.00
10,725.00
12,500.00
4,277.49
3,556.25
2,876.43
2,397.45
919.44
545.00
483.83
298.25
255.99
224.99
187.50
100.00
89,849.18
233,385.27
195,000.00
128,700.00
150,000.00
51,329.91
42,324.00
34,517.14
28,769.40
11,033.29
6,540.00
5,806.00
3,579.00
3,071.88
2,699.93
2,250.00
1,200.00
900,205.81
Selling Expenses:
Depreciation Expense - Delivery Equipment
SSS Contribution
Insurance Premium-Delivery Equipment
Store Supplies Expense
Depreciation Expense - Store Equipment
TOTAL SELLING EXPENSE
32,448.00
12,060.71
4,733.33
1,845.83
1,162.80
842.17
861.31
758.93
400.00
400.00
175.00
55,688.09
32,448.00
12,060.71
4,733.33
1,845.83
1,162.80
842.17
861.31
758.93
400.00
400.00
175.00
55,688.09
32,448.00
12,060.71
4,733.33
1,845.83
1,162.80
842.17
861.31
758.93
400.00
400.00
175.00
55,688.09
32,448.00
12,060.71
4,733.33
1,845.83
1,162.80
842.17
861.31
758.93
400.00
400.00
175.00
55,688.09
32,448.00
12,060.71
4,733.33
1,845.83
1,162.80
842.17
861.31
758.93
400.00
400.00
175.00
55,688.09
32,448.00
12,060.71
4,733.33
1,845.83
1,162.80
842.17
861.31
758.93
400.00
400.00
175.00
55,688.09
32,448.00
12,060.71
4,733.33
1,845.83
1,162.80
842.17
861.31
758.93
400.00
400.00
175.00
55,688.09
32,448.00
12,060.71
4,733.33
1,845.83
1,162.80
842.17
861.31
758.93
400.00
400.00
175.00
55,688.09
32,448.00
12,060.71
4,733.33
1,845.83
1,162.80
842.17
861.31
758.93
400.00
400.00
175.00
55,688.09
32,448.00
12,060.71
4,733.33
1,845.83
1,162.80
842.17
861.31
758.93
400.00
400.00
175.00
55,688.09
32,448.00
12,060.71
4,733.33
1,845.83
1,162.80
842.17
861.31
758.93
400.00
400.00
175.00
55,688.09
64,896.00
12,060.71
4,733.33
1,845.83
1,162.80
842.17
861.31
758.93
400.00
400.00
175.00
88,136.09
421,824.00
144,728.57
56,800.00
22,150.00
13,953.60
10,106.03
10,335.71
9,107.14
4,800.00
4,800.00
2,100.00
700,705.06
TOTAL
Note 11. Schedule of Selling and Administrative Expense (Continuation) [back selling] [back admin]
2016
Rent Expense
Insurance Premiums
Utilities Expense
Taxes and Licenses
SSS Contribution
21,353.82
15,669.00
10,725.00
12,500.00
4,124.67
3,556.25
2,660.39
2,836.84
960.45
563.20
483.83
298.25
267.41
224.99
187.50
100.00
76,511.58
21,353.82
15,669.00
10,725.00
12,500.00
4,124.67
3,454.41
2,660.39
2,836.84
960.45
563.20
483.83
298.25
267.41
224.99
187.50
100.00
76,409.75
21,353.82
15,669.00
10,725.00
12,500.00
4,124.67
3,556.25
2,660.39
2,836.84
960.45
563.20
483.83
298.25
267.41
224.99
187.50
100.00
76,511.58
21,353.82
15,669.00
10,725.00
12,500.00
4,124.67
3,506.11
2,660.39
2,836.84
960.45
563.20
483.83
298.25
267.41
224.99
187.50
100.00
76,461.45
21,353.82
15,669.00
10,725.00
12,500.00
4,124.67
3,556.25
2,660.39
2,836.84
960.45
563.20
483.83
298.25
267.41
224.99
187.50
100.00
76,511.58
21,353.82
15,669.00
10,725.00
12,500.00
4,124.67
3,506.11
2,660.39
2,836.84
960.45
563.20
483.83
298.25
267.41
224.99
187.50
100.00
76,461.45
21,353.82
15,669.00
10,725.00
12,500.00
4,124.67
3,556.25
2,660.39
2,836.84
960.45
563.20
483.83
298.25
267.41
224.99
187.50
100.00
76,511.58
21,353.82
15,669.00
10,725.00
12,500.00
4,124.67
3,556.25
2,660.39
2,836.84
960.45
563.20
483.83
298.25
267.41
224.99
187.50
100.00
76,511.58
21,353.82
15,669.00
10,725.00
12,500.00
4,124.67
3,506.11
2,660.39
2,836.84
960.45
563.20
483.83
298.25
267.41
224.99
187.50
100.00
76,461.45
21,353.82
15,669.00
10,725.00
12,500.00
4,124.67
3,556.25
2,660.39
2,836.84
960.45
563.20
483.83
298.25
267.41
224.99
187.50
100.00
76,511.58
21,353.82
15,669.00
10,725.00
12,500.00
4,124.67
3,506.11
2,660.39
2,836.84
960.45
563.20
483.83
298.25
267.41
224.99
187.50
100.00
76,461.45
21,353.82
31,338.00
10,725.00
12,500.00
4,124.67
3,556.25
2,660.39
2,836.84
960.45
563.20
483.83
298.25
267.41
224.99
187.50
100.00
92,180.58
256,245.80
203,697.00
128,700.00
150,000.00
49,495.98
42,372.57
31,924.68
34,042.02
11,525.37
6,758.40
5,806.00
3,579.00
3,208.88
2,699.93
2,250.00
1,200.00
933,505.63
Selling Expenses:
SSS Contribution
33,895.18
12,598.62
4,733.33
1,928.16
1,235.20
842.17
792.78
372.02
400.00
400.00
175.00
57,372.46
33,895.18
12,598.62
4,733.33
1,928.16
1,235.20
842.17
792.78
372.02
400.00
400.00
175.00
57,372.46
33,895.18
12,598.62
4,733.33
1,928.16
1,235.20
842.17
792.78
372.02
400.00
400.00
175.00
57,372.46
33,895.18
12,598.62
4,733.33
1,928.16
1,235.20
842.17
792.78
372.02
400.00
400.00
175.00
57,372.46
33,895.18
12,598.62
4,733.33
1,928.16
1,235.20
842.17
792.78
372.02
400.00
400.00
175.00
57,372.46
33,895.18
12,598.62
4,733.33
1,928.16
1,235.20
842.17
792.78
372.02
400.00
400.00
175.00
57,372.46
33,895.18
12,598.62
4,733.33
1,928.16
1,235.20
842.17
792.78
372.02
400.00
400.00
175.00
57,372.46
33,895.18
12,598.62
4,733.33
1,928.16
1,235.20
842.17
792.78
372.02
400.00
400.00
175.00
57,372.46
33,895.18
12,598.62
4,733.33
1,928.16
1,235.20
842.17
792.78
372.02
400.00
400.00
175.00
57,372.46
33,895.18
12,598.62
4,733.33
1,928.16
1,235.20
842.17
792.78
372.02
400.00
400.00
175.00
57,372.46
33,895.18
12,598.62
4,733.33
1,928.16
1,235.20
842.17
792.78
372.02
400.00
400.00
175.00
57,372.46
67,790.36
12,598.62
4,733.33
1,928.16
1,235.20
842.17
792.78
372.02
400.00
400.00
175.00
91,267.64
440,637.34
152,514.42
56,800.00
23,137.89
14,822.40
10,106.03
9,513.32
4,464.29
4,800.00
4,800.00
2,100.00
723,695.68
JAN
FEB
MAR
APR
MAY
JUNE
JULY
AUG
SEPT
OCT
NOV
DEC
TOTAL
2017
Rent Expense
Insurance Premiums
Utilities Expense
Taxes and Licenses
SSS Contribution
22,207.03
16,367.84
10,725.00
12,500.00
4,294.75
3,556.25
2,732.45
2,787.99
1,003.28
581.30
483.83
279.33
298.25
224.99
200.00
100.00
78,342.31
22,207.03
16,367.84
10,725.00
12,500.00
4,294.75
3,405.84
2,732.45
2,787.99
1,003.28
581.30
483.83
279.33
298.25
224.99
200.00
100.00
78,191.90
22,207.03
16,367.84
10,725.00
12,500.00
4,294.75
3,556.25
2,732.45
2,787.99
1,003.28
581.30
483.83
279.33
298.25
224.99
200.00
100.00
78,342.31
22,207.03
16,367.84
10,725.00
12,500.00
4,294.75
3,506.11
2,732.45
2,787.99
1,003.28
581.30
483.83
279.33
298.25
224.99
200.00
100.00
78,292.17
22,207.03
16,367.84
10,725.00
12,500.00
4,294.75
3,556.25
2,732.45
2,787.99
1,003.28
581.30
483.83
279.33
298.25
224.99
200.00
100.00
78,342.31
22,207.03
16,367.84
10,725.00
12,500.00
4,294.75
3,506.11
2,732.45
2,787.99
1,003.28
581.30
483.83
279.33
298.25
224.99
200.00
100.00
78,292.17
22,207.03
16,367.84
10,725.00
12,500.00
4,294.75
3,556.25
2,732.45
2,787.99
1,003.28
581.30
483.83
279.33
298.25
224.99
200.00
100.00
78,342.31
22,207.03
16,367.84
10,725.00
12,500.00
4,294.75
3,556.25
2,732.45
2,787.99
1,003.28
581.30
483.83
279.33
298.25
224.99
200.00
100.00
78,342.31
22,207.03
16,367.84
10,725.00
12,500.00
4,294.75
3,506.11
2,732.45
2,787.99
1,003.28
581.30
483.83
279.33
298.25
224.99
200.00
100.00
78,292.17
22,207.03
16,367.84
10,725.00
12,500.00
4,294.75
3,556.25
2,732.45
2,787.99
1,003.28
581.30
483.83
279.33
298.25
224.99
200.00
100.00
78,342.31
22,207.03
16,367.84
10,725.00
12,500.00
4,294.75
3,506.11
2,732.45
2,787.99
1,003.28
581.30
483.83
279.33
298.25
224.99
200.00
100.00
78,292.17
22,207.03
32,735.68
10,725.00
12,500.00
4,294.75
3,556.25
2,732.45
2,787.99
1,003.28
581.30
483.83
279.33
298.25
224.99
200.00
100.00
94,710.15
266,484.40
212,781.92
128,700.00
150,000.00
51,537.05
42,324.00
32,789.40
33,455.86
12,039.40
6,975.60
5,806.00
3,352.00
3,579.00
2,699.93
2,400.00
1,200.00
956,124.56
Selling Expenses:
SSS Contribution
35,407.43
13,160.52
4,733.33
2,014.15
1,308.00
842.17
828.13
400.00
400.00
175.00
223.21
59,491.96
35,407.43
13,160.52
4,733.33
2,014.15
1,308.00
842.17
828.13
400.00
400.00
175.00
223.21
59,491.96
35,407.43
13,160.52
4,733.33
2,014.15
1,308.00
842.17
828.13
400.00
400.00
175.00
223.21
59,491.96
35,407.43
13,160.52
4,733.33
2,014.15
1,308.00
842.17
828.13
400.00
400.00
175.00
223.21
59,491.96
35,407.43
13,160.52
4,733.33
2,014.15
1,308.00
842.17
828.13
400.00
400.00
175.00
223.21
59,491.96
35,407.43
13,160.52
4,733.33
2,014.15
1,308.00
842.17
828.13
400.00
400.00
175.00
223.21
59,491.96
35,407.43
13,160.52
4,733.33
2,014.15
1,308.00
842.17
828.13
400.00
400.00
175.00
223.21
59,491.96
35,407.43
13,160.52
4,733.33
2,014.15
1,308.00
842.17
828.13
400.00
400.00
175.00
223.21
59,491.96
35,407.43
13,160.52
4,733.33
2,014.15
1,308.00
842.17
828.13
400.00
400.00
175.00
223.21
59,491.96
35,407.43
13,160.52
4,733.33
2,014.15
1,308.00
842.17
828.13
400.00
400.00
175.00
223.21
59,491.96
35,407.43
13,160.52
4,733.33
2,014.15
1,308.00
842.17
828.13
400.00
400.00
175.00
223.21
59,491.96
70,814.86
13,160.52
4,733.33
2,014.15
1,308.00
842.17
828.13
400.00
400.00
175.00
223.21
94,899.39
460,296.59
157,926.25
56,800.00
24,169.84
15,696.00
10,106.03
9,937.62
4,800.00
4,800.00
2,100.00
2,678.57
749,310.89
JAN
FEB
MAR
APR
MAY
JUNE
JULY
AUG
SEPT
OCT
NOV
DEC
TOTAL
2018
Rent Expense
Insurance Premiums
Utilities Expense
Taxes and Licenses
SSS Contribution
23,061.25
17,097.84
10,725.00
12,500.00
4,464.84
3,556.25
2,835.87
2,729.14
1,048.03
581.30
483.83
291.79
298.25
23,061.25
17,097.84
10,725.00
12,500.00
4,464.84
3,405.84
2,835.87
2,729.14
1,048.03
581.30
483.83
291.79
298.25
23,061.25
17,097.84
10,725.00
12,500.00
4,464.84
3,556.25
2,835.87
2,729.14
1,048.03
581.30
483.83
291.79
298.25
23,061.25
17,097.84
10,725.00
12,500.00
4,464.84
3,506.11
2,835.87
2,729.14
1,048.03
581.30
483.83
291.79
298.25
23,061.25
17,097.84
10,725.00
12,500.00
4,464.84
3,556.25
2,835.87
2,729.14
1,048.03
581.30
483.83
291.79
298.25
23,061.25
17,097.84
10,725.00
12,500.00
4,464.84
3,506.11
2,835.87
2,729.14
1,048.03
581.30
483.83
291.79
298.25
23,061.25
17,097.84
10,725.00
12,500.00
4,464.84
3,556.25
2,835.87
2,729.14
1,048.03
581.30
483.83
291.79
298.25
23,061.25
17,097.84
10,725.00
12,500.00
4,464.84
3,556.25
2,835.87
2,729.14
1,048.03
581.30
483.83
291.79
298.25
23,061.25
17,097.84
10,725.00
12,500.00
4,464.84
3,506.11
2,835.87
2,729.14
1,048.03
581.30
483.83
291.79
298.25
23,061.25
17,097.84
10,725.00
12,500.00
4,464.84
3,556.25
2,835.87
2,729.14
1,048.03
581.30
483.83
291.79
298.25
23,061.25
17,097.84
10,725.00
12,500.00
4,464.84
3,506.11
2,835.87
2,729.14
1,048.03
581.30
483.83
291.79
298.25
23,061.25
34,195.68
10,725.00
12,500.00
4,464.84
3,556.25
2,835.87
2,729.14
1,048.03
581.30
483.83
291.79
298.25
276,734.95
222,271.92
128,700.00
150,000.00
53,578.13
42,324.00
34,030.44
32,749.70
12,576.36
6,975.60
5,806.00
3,501.50
3,579.00

224.99
212.50
100.00
80,210.88
224.99
212.50
100.00
80,060.48
224.99
212.50
100.00
80,210.88
224.99
212.50
100.00
80,160.75
224.99
212.50
100.00
80,210.88
224.99
212.50
100.00
80,160.75
224.99
212.50
100.00
80,210.88
224.99
212.50
100.00
80,210.88
224.99
212.50
100.00
80,160.75
224.99
212.50
100.00
80,210.88
224.99
212.50
100.00
80,160.75
224.99
212.50
100.00
97,308.72
2,699.93
2,550.00
1,200.00
979,277.51
Selling Expenses:
SSS Contribution
36,986.60
13,747.48
4,733.33
2,103.98
1,308.00
842.17
865.07
450.00
400.00
175.00
148.81
61,760.45
36,986.60
13,747.48
4,733.33
2,103.98
1,308.00
842.17
865.07
450.00
400.00
175.00
148.81
61,760.45
36,986.60
13,747.48
4,733.33
2,103.98
1,308.00
842.17
865.07
450.00
400.00
175.00
148.81
61,760.45
36,986.60
13,747.48
4,733.33
2,103.98
1,308.00
842.17
865.07
450.00
400.00
175.00
148.81
61,760.45
36,986.60
13,747.48
4,733.33
2,103.98
1,308.00
842.17
865.07
450.00
400.00
175.00
148.81
61,760.45
36,986.60
13,747.48
4,733.33
2,103.98
1,308.00
842.17
865.07
450.00
400.00
175.00
148.81
61,760.45
36,986.60
13,747.48
4,733.33
2,103.98
1,308.00
842.17
865.07
450.00
400.00
175.00
148.81
61,760.45
36,986.60
13,747.48
4,733.33
2,103.98
1,308.00
842.17
865.07
450.00
400.00
175.00
148.81
61,760.45
36,986.60
13,747.48
4,733.33
2,103.98
1,308.00
842.17
865.07
450.00
400.00
175.00
148.81
61,760.45
36,986.60
13,747.48
4,733.33
2,103.98
1,308.00
842.17
865.07
450.00
400.00
175.00
148.81
61,760.45
36,986.60
13,747.48
4,733.33
2,103.98
1,308.00
842.17
865.07
450.00
400.00
175.00
148.81
61,760.45
73,973.20
13,747.48
4,733.33
2,103.98
1,308.00
842.17
865.07
450.00
400.00
175.00
148.81
98,747.05
480,825.80
164,969.76
56,800.00
25,247.81
15,696.00
10,106.03
10,380.83
5,400.00
4,800.00
2,100.00
1,785.71
778,111.95
JAN
FEB
MAR
APR
MAY
JUNE
JULY
AUG
SEPT
OCT
NOV
DEC
TOTAL
2019
Rent Expense
Insurance Premiums
Utilities Expense
Taxes and Licenses
SSS Contribution
23,916.50
17,860.41
10,725.00
12,500.00
4,611.31
3,556.25
2,939.38
2,659.50
1,204.04
581.30
483.83
304.81
298.25
224.99
212.50
100.00
82,178.06
23,916.50
17,860.41
10,725.00
12,500.00
4,611.31
3,405.84
2,939.38
2,659.50
1,204.04
581.30
483.83
304.81
298.25
224.99
212.50
100.00
82,027.66
23,916.50
17,860.41
10,725.00
12,500.00
4,611.31
3,556.25
2,939.38
2,659.50
1,204.04
581.30
483.83
304.81
298.25
224.99
212.50
100.00
82,178.06
23,916.50
17,860.41
10,725.00
12,500.00
4,611.31
3,506.11
2,939.38
2,659.50
1,204.04
581.30
483.83
304.81
298.25
224.99
212.50
100.00
82,127.93
23,916.50
17,860.41
10,725.00
12,500.00
4,611.31
3,556.25
2,939.38
2,659.50
1,204.04
581.30
483.83
304.81
298.25
224.99
212.50
100.00
82,178.06
23,916.50
17,860.41
10,725.00
12,500.00
4,611.31
3,506.11
2,939.38
2,659.50
1,204.04
581.30
483.83
304.81
298.25
224.99
212.50
100.00
82,127.93
23,916.50
17,860.41
10,725.00
12,500.00
4,611.31
3,556.25
2,939.38
2,659.50
1,204.04
581.30
483.83
304.81
298.25
224.99
212.50
100.00
82,178.06
23,916.50
17,860.41
10,725.00
12,500.00
4,611.31
3,556.25
2,939.38
2,659.50
1,204.04
581.30
483.83
304.81
298.25
224.99
212.50
100.00
82,178.06
23,916.50
17,860.41
10,725.00
12,500.00
4,611.31
3,506.11
2,939.38
2,659.50
1,204.04
581.30
483.83
304.81
298.25
224.99
212.50
100.00
82,127.93
23,916.50
17,860.41
10,725.00
12,500.00
4,611.31
3,556.25
2,939.38
2,659.50
1,204.04
581.30
483.83
304.81
298.25
224.99
212.50
100.00
82,178.06
23,916.50
17,860.41
10,725.00
12,500.00
4,611.31
3,506.11
2,939.38
2,659.50
1,204.04
581.30
483.83
304.81
298.25
224.99
212.50
100.00
82,127.93
23,916.50
35,720.82
10,725.00
12,500.00
4,611.31
3,556.25
2,939.38
2,659.50
1,204.04
581.30
483.83
304.81
298.25
224.99
212.50
100.00
100,038.47
286,997.96
232,185.33
128,700.00
150,000.00
55,335.71
42,324.00
35,272.56
31,914.00
14,448.47
6,975.60
5,806.00
3,657.66
3,579.00
2,699.93
2,550.00
1,200.00
1,003,646.22
Selling Expenses:
SSS Contribution
38,636.20
14,360.62
4,733.33
2,197.82
1,380.80
842.17
903.65
450.00
400.00
175.00
111.61
64,191.20
38,636.20
14,360.62
4,733.33
2,197.82
1,380.80
842.17
903.65
450.00
400.00
175.00
111.61
64,191.20
38,636.20
14,360.62
4,733.33
2,197.82
1,380.80
842.17
903.65
450.00
400.00
175.00
111.61
64,191.20
38,636.20
14,360.62
4,733.33
2,197.82
1,380.80
842.17
903.65
450.00
400.00
175.00
111.61
64,191.20
38,636.20
14,360.62
4,733.33
2,197.82
1,380.80
842.17
903.65
450.00
400.00
175.00
111.61
64,191.20
38,636.20
14,360.62
4,733.33
2,197.82
1,380.80
842.17
903.65
450.00
400.00
175.00
111.61
64,191.20
38,636.20
14,360.62
4,733.33
2,197.82
1,380.80
842.17
903.65
450.00
400.00
175.00
111.61
64,191.20
38,636.20
14,360.62
4,733.33
2,197.82
1,380.80
842.17
903.65
450.00
400.00
175.00
111.61
64,191.20
38,636.20
14,360.62
4,733.33
2,197.82
1,380.80
842.17
903.65
450.00
400.00
175.00
111.61
64,191.20
38,636.20
14,360.62
4,733.33
2,197.82
1,380.80
842.17
903.65
450.00
400.00
175.00
111.61
64,191.20
38,636.20
14,360.62
4,733.33
2,197.82
1,380.80
842.17
903.65
450.00
400.00
175.00
111.61
64,191.20
77,272.40
14,360.62
4,733.33
2,197.82
1,380.80
842.17
903.65
450.00
400.00
175.00
111.61
102,827.40
502,270.60
172,327.41
56,800.00
26,373.87
16,569.60
10,106.03
10,843.82
5,400.00
4,800.00
2,100.00
1,339.29
808,930.61
JAN
FEB
MAR
APR
MAY
JUNE
JULY
AUG
SEPT
OCT
NOV
DEC
TOTAL
G. FINANCIAL ANALYSIS
FINANCIAL RATIO [back]
Table 4.4: Financial Ratios Computation [back]
PROFITABILITY RATIOS
1. Profit Margin = Net Income
Sales
2.
Return on Assets (investment) =

Net Income
Total Assets
3.
a.
Return on Equity =
Net Income__
Owners Equity
ASSET UTILIZATION RATIOS
4.
Receivable Turnover =
Credit Sales_
Receivables
2015
2016
2017
2018
2019
DENMARK AUTO
SUPPLY
DENMARK AUTO
SUPPLY
DENMARK AUTO
SUPPLY
DENMARK AUTO
SUPPLY
DENMARK AUTO
SUPPLY
1,977,490.16
2,280,623.62
2,572,709.33
2,716,273.59
2,857,307.75
23.32%
24.58%
26.56%
27.00%
27.39%
8,480,831.81
9,277,417.42
9,686,818.17
10,059,122.25
10,431,782.32
1,977,490.16
2,280,623.62
2,572,709.33
39.85%
39.00%
41.18%
4,962,083.80
5,847,374.69
6,246,780.09
2,716,273.59
41.91%
6,480,778.46
2,857,307.75
41.40%
6,901,045.51
1,977,490.16
2,280,623.62
2,572,709.33
2,716,273.59
42.65%
41.22%
39.52%
36.58%
4,636,947.77
5,533,328.28
6,509,601.07
7,424,978.13
2,857,307.75
34.09%
8,380,894.37
5,941,940.73
61,504.66
Average Collection Period =

Accounts Receivable__
61,504.66
Average Daily Credit Sales
16,279.29
6. Inventory Turnover = Credit Sales___ 5,941,940.73
Inventory
249,812.35
7. Fixed Assets Turnover = Credit
5,941,940.73
Fixed Assets 1,649,839.57
8. Total Asset Turnover = Credit
Sales___
5,941,940.73
Total Assets
4,962,083.80
LIQUIDITY RATIOS
9. Current Ratio = Current Assets__
3,312,244.22
Current Liabilities
35,813.33
10. Quick Ratio =
Current Assets Inventory__
3,062,431.87
Current Liabilities
35,813.33
DEBT UTILIZATION RATIOS
96.61 6,500,053.97
64,061.45
101.47 6,786,893.16
113,298.16
59.90 7,047,741.26
167,109.95
42.17 7,308,838.76
222,972.58
32.78
8.65
11.14
5.
11. Debt to Total Assets = Total Debt_

Total Assets
12. Times Interest Earned =
Income before Interest and Taxes_
Interest
1,288,356.46
4,962,083.80
2,115,874.76
138,384.60
3.78
64,061.45
17,808.37
23.79 6,500,053.97
261,999.30
3.60 6,500,053.97
1,428,854.64
1.20
6,500,053.97
5,847,374.69
3.60
113,298.16
18,594.23
24.81 6,786,893.16
385,819.68
4.55 6,786,893.16
1,207,869.71
1.11
6,786,893.16
6,246,780.09
6.09
167,109.95
19,308.88
17.59 7,047,741.26
511,588.06
5.62 7,047,741.26
986,884.79
1.09
7,047,741.26
6,480,778.46
222,972.58
20,024.22
13.78 7,308,838.76
637,509.45
7.14 7,308,838.76
765,902.86
1.09
11.46
9.54
1.06
7,308,838.76
6,901,045.51
92.49 4,418,520.05
37,061.95
119.22 5,038,910.38 129.28 5,493,893.67

38,978.01
40,509.03
135.62 6,135,142.65
42,023.54
145.99
85.51 4,156,520.75
37,061.95
112.15 4,653,090.70 119.38 4,982,305.61

38,978.01
40,509.03
122.99 5,497,633.20
42,023.54
130.82
0.00%
6,901,045.51
0.00%
52.98 2,876,288.01
18,980.26
151.54
25.96%
890,583.55
5,847,374.69
15.29 2,392,417.02
111,793.40
15.23%
461,930.50 7.39%
6,246,780.09
6,480,778.46
21.40 2,655,847.18
83,137.86
31.95 2,768,531.30
52,257.71
PROFITABILITY RATIOS
PROFIT MARGIN
27.39%
26.56% 27.00%
23.32%
2015
24.58%
2016
2017
2018
2019
Figure 4.1: Profit Margin Graph [back]

Profit Margin measures what percentage of sales is the net income. It also implies
how well the company manages its expenses in relation to sales. As seen in the graph above,
the profit margin ratio of Denmark Auto Supply is slightly increasing every year. From
23.32% of 2015, it went up by 1.26% in 2016; subsequently, the profit margin increased by
1.98% in 2017. During 2018 and 2019, Profit Margin increased only by 0.44% and 0.39%,
respectively. Though it only increases by decimals, it is still a positive implication since the
trend percentages every year is increasing which means that the business is profitable and it
becomes more profitable as the years passed by. [back]
RETURN ON ASSETS
41.18%
41.91%
41.40%
39.85%
39.00%
2015
2016
2017
2018
2019
Figure 4.2: Return on Asset Graph [back]

Return on Assets (ROA) shows how efficiently a company can covert the money
used to purchase assets into net income. From the graph above, the Return on Assets ratio
of Denmark Auto Supply for the year 2015 to 2019 is slightly fluctuating. From 39.85% of
2015, it decreases by 0.85% in 2016. By the year 2017, ROA surges remarkably by 2.18%.
During 2018, ROA continued to increase by only 0.73% and decreases by 0.51% at the end
of 2019. Though the ratios are fluctuating, the business is still profitable because the
percentage of increase is greater than the percentage of decrease.
RETURN ON EQUITY
42.65% 41.22%
39.52% 36.58%
34.09%
2015
2016
2017
2018
2019
Figure 4.3: Return on Equity Graph [back]

Return on Equity measures how much the owners earned in the investment they
placed in the business. Based on the graph above, the 2015 Return on Equity (ROE) of
42.65% exceeds the general percentage between 15-20%. This indicates a good start for the
business. Though the ROE started high, the trend percentages decreases gradually. This
means that as the years pass by, net income of the business does not justify the increase of
investment every year. Therefore, the owner should take a closer look on this. [back]
ASSET UTILIZATION RATIOS
RECEIVABLE TURNOVER
96.61
101.47
59.90
42.17
2015
2016
2017
2018
32.78
2019
Figure 4.4: Receivable Turnover Graph [back]

Receivable Turnover measures how quickly credit sales are converted into
cash. As seen above, Denmark Auto Supply (DAS) collects its receivables 96 times in the
year 2015. By the year 2016 the business is able to convert receivables into cash faster than
in year 2015 which is 101 times. In the last 3 years collection becomes seldom decreasing by
an average of 20 times a year. Overall, the result shows that the collection of DAS decreases
as the years go on. This is not good for the business since it implies that if the business
extends for another more years, the collection becomes too hard for them. They should
therefore take a note of this. [back]
AVERAGE COLLECTION
PERIOD
11.14
8.65
3.78
3.60
2015
2016
6.09
2017
2018
2019
Figure 4.5 Average Collection Period Graph [back]

The credit term of DAS is to collect its receivables within the maximum of 45 days.
As seen in the graph above, collections for the year 2015-2019 is within the credit term. In
fact, they are even earlier than the term expected. This is favorable to the business because
this implies that they have good debtors. But as what is observed in the graph above, the
collection period increases as the years passed by. Because the average percentage of increase
is not that large, the business can still extend its business with creditors paying its accounts
still within the maximum days of collection. And so, it is still a positive implication.
INVENTORY
TURNOVER
23.79
24.81
17.59
2015
2016
2017
13.78
2018
11.46
2019
Figure 4.6: Inventory Turnover Graph [back]

This ratio measures how many times a companys inventory has been sold
and replaced during the year. Based on the graph above, inventory is sold and replaced 23.79
times in the year 2015 or an average sale period of 15 days. This is a good start for the
business because in practice, average sale periods of 10 to 90 days are common and in the
2015 of DAS, the average sale period belongs to the earlier range. Even though it started
good, the trend appears to be decreasing. This is not a good implication to them because this
means that as the years pass by, some inventories are sold infrequently compared to the first
years of operation. This ratio should therefore be noted and taken into consideration. [back]
FIXED ASSET
TURNOVER
9.54
4.55
3.60
2015
2016
5.62
2017
7.14
2018
2019
Figure 4.7: Fixed Asset Turnover [back]

Fixed Asset Turnover measures how effective the company is in using the
investment in fixed assets to generate revenues. As shown in the graph above, the trend of
fixed asset turnover is increasing which implies that as the years go by, the amount of
revenues generated from the fixed assets that has been invested is 3.60 times the fixed assets
for year 2015 and ended the year 2019 with 9.54 times the fixed assets invested. [back]
TOTAL ASSET
TURNOVER
1.20
1.11
2015
2016
1.08
1.09
2017
2018
1.06
2019
Figure 4.8: Total Asset Turnover [back]

Total Asset Turnover measures how much of the total assets is the generated sales
for the year. As shown above, the trend percentages is fluctuating but towards a downward
direction. This gives a little negative implication to the company because it would show that
as the years pass by, the generated sales throughout the years does not justify the total assets
invested in the business. But as noticed in the graph, the differences of percentages are just a
matter of decimals to be material. Therefore DAS is still in the good shape. [back]
LIQUIDITY RATIOS
CURRENT RATIO
11.79
7.87
2015
4.33
4.68
2016
2017
5.74
2018
2019
Figure 4.9: Current Ratio Graph [back]

Current ratio measures whether a company has enough cash or liquid assets to pay
its current liabilities. The average current ratio in the retail of automobiles is 1.68 based on
CreditGuru.com posted in 2013 in the internet. The current ratio of DAS is 7.87 to 1 in
2015. It is favorable since it is above the acceptable ratio. It stoops down to 4.33 to 1 in
2016. This indicates that the financial condition deteriorated. This problem is not a result of
obsolete inventories since in the inventory turnover, the turnover of inventory even
increased in the second year. The receivable turnover for the year 2016 is also not the reason
for it since the collection was even faster in that year. The problem might be the result of
stagnant cash on hand. In the subsequent two years, it has increased but only for a small
percentage only. The current ratio did not recover yet that much. During 2019, current ratio
increases tremendously by about 6.05. This implies that the business has improved its
financial situation during this year. [back]
QUICK RATIO
10.57
7.27
2015
4.08
4.32
2016
2017
5.21
2018
2019
Figure 4.10: Quick Ratio Graph [back]

The acid test ratio measures the liquidity of a company by showing its ability to pay
off its current liabilities with quick assets. Inventories and prepaid expenses are excluded to
see if it is able to meet its obligations without having to depend too heavily on these
accounts. Since there are no prepaid expenses, only inventories are deducted to the current
assets. As the graph above shows, the trending of quick ratio of DAS is somewhat similar to
the current ratio and the ratios only differ a little bit. This indicates that inventories
contribute a small portion only to the current assets. Even if inventories are excluded, the
business is assured to pay its current liabilities. The average acid test ratio for retail like this is
0.43 based on CreditGuru.com posted in 2013 in the internet. With regards to DAS, the acid
test ratio is above average, which is a positive indication to them. [back]
DEBT UTILIZATION RATIOS
DEBT TO TOTAL ASSETS

32.67%
25.96%
24.62%
14.77%
7.54%
2015
2016
2017
2018
2019
Figure 4.11: Debt to Total Assets Graph [back]

Debt-to-total assets ratio measures how much is its total debt compared to its total
assets total assets. The Debt to Total Assets ratios of DAS indicates a positive implication.
As shown in the graph above, total liabilities is just 25.96% of the total assets during the first
year. And as the years go on, the trend percentages are decreasing. This trend signifies a
buffer of protection to the creditors because creditors would like to see lower debt-to-assets
ratios. [back]
TIMES INTEREST
EARNED
151.54
15.29
21.40
31.95
2015
2016
2017
52.98
2018
2019
Figure 4.12: Times Interest Earned Graph [back]
Times interest earned measures the ability of a companys operations to provide

protection to long- term creditors. A times interest earned of 2 or more may be considered
sufficient to protect long-term creditors. The trend percentages of DAS are increasing which
indicates that the business is able to pay its interest expenses every year. This secures longterm creditors because they see that DAS is capable of paying what is due to them. A
noticeable increase by 98.56 or almost 100 happened at the end of 2019. This means that
DAS has already paid the entire interest expense for the whole five years. [back]
CAPITAL BUDGETING
Table 4.5: Net Present Value Method [back]

CAPITAL BUDGETING
Year
Cash Inflow
PV Factor
1
2
3
4
5
1,939,063.39
0.9302
3,057,085.98
0.8653
2,646,002.68
0.805
2,605,447.68
0.7488
2,921,510.89
0.6966
Present Value of Inflows
Less: Investment
Net Present Value
Note: PV Factor is rounded off to four decimal places.
PV of Cash
Flows discounted
1,803,716.77
2,645,296.50
2,130,032.16
1,950,959.22
2,035,124.48
10,565,129.13
2,659,457.61
7,905,671.52
Net Present Value determines whether or not the project is an acceptable investment.
This method is used by the proponent because it is known to be the most reliable method. As
shown in the computation above, the net present value is equal to P 7,905,671.52. Thus,
higher than zero, therefore it is considered as an acceptable project.
Table 4.6: Payback Period [back]
PAYBACK PERIOD
Year
0
1
2
3
4
5
Cash Inflow
Estimated
No. of Years
Inflow - Outflow
2,659,457.61
720,394.22
(2,336,691.76)
1,939,063.39
1.00
3,057,085.98
0.24
2,646,002.68
1.24
720,394.22
2,605,447.68
3,057,085.98
2,921,510.89
Therefore, Payback Period= 1.24 years
Payback Period is a capital budgeting method which was used by the proponents to
determine how quickly the capital investment would be recovered using its cash inflows. As
shown in the table above, the proprietor would likely to recover his investment for a period
of more or less one year and three months. Since the project is expected to last for 5 years,
1.24 years is too early for recovering the initial investment. The problem of payback period is
that it may cause the proprietor to overstate the timeframe of recovering initial investment
since it does not consider the time value of money. Even if how favorable the result is, it
does not ensure a realistic forecast.
Table 4.7: Discounted Payback Period [back]
DISCOUNTED PAYBACK PERIOD

Year
0
1
2
3
4
5
PV of Cash Flows
Estimated
No. of Years
Inflow - Outflow
2,659,457.61
855,740.84
(1,789,555.66)
1,803,716.77
1.00
2,645,296.50
0.32
2,130,032.16
1.32
855,740.84
1,950,959.22
2,645,296.50
2,035,124.48
Therefore, Discounted Payback Period= 1.32 years
On the other hand, discounted payback period is another means of knowing how
quick the recovery of investment is. It is still a payback period but the difference is that, it
considers the time value of money. Thus, it is more likely realistic and accurate than the
latter. Furthermore, even if the period of recovering the investment would run for more or
less one year and four months which is longer than that of payback period, still, discounted
payback period is more reliable. One way or another, 1.32 years is still short enough for the
expected operation of 5 years.[back]
VERTICAL ANALYSIS ON STATEMENT OF FINANCIAL POSITION

Table 4.8: Vertical Analysis on Statement of Financial Position for the years 2016 and 2015 [back]

DENMARK AUTO SUPPLY
2016
ASSETS
CURRENT ASSETS:
Cash
Inventory
TOTAL PROPERTY AND EQUIPMENT
TOTAL ASSETS

CURRENT LIABILITIES:
Accounts Payable
VAT Payable
Accrued Liabilities
TOTAL LIABILITIES
OWNER'S EQUITY
2015
Common-Size
Percentages
2016
2015
4,092,459.30
64,061.45
261,999.30
4,418,520.05
1,428,854.64
5,847,374.69
3,000,927.22
69.99%
60.48%
61,504.66
1.10%
1.24%
249,812.35
4.48%
5.03%
3,312,244.22
75.56% 66.75%
1,649,839.57
24.44% 33.25%
4,962,083.80 100.00% 100.00%
567,665.16
7,619.20
397,772.91
4,295.78
37,061.95
5,484.40
1,019,899.39
890,583.55
1,910,482.95
7,345.00
369,117.37
3,344.90
35,813.33
5,402.08
421,022.67
1,288,356.46
1,709,379.14
3,936,891.74
5,847,374.69
3,252,704.66
67.33% 65.55%
4,962,083.80 100.00% 100.00%
9.71%
0.13%
6.80%
0.07%
0.63%
0.09%
17.44%
15.23%
32.67%
0.00%
0.15%
7.44%
0.07%
0.72%
0.11%
8.48%
25.96%
34.45%
Table 4.9: Vertical Analysis of Statement of Financial Position for the year 2017 and 2016 [back]

DENMARK AUTO SUPPLY
2017
ASSETS
CURRENT ASSETS:
Cash
Inventory
TOTAL ASSETS

Accounts Payable
VAT Payable
Accrued Liabilities
TOTAL LIABILITIES
OWNER'S EQUITY
2016
Common-Size
Percentages
2017
2016
4,539,792.54
113,298.16
385,819.68
5,038,910.38
1,207,869.71
6,246,780.09
4,092,459.30
72.67%
69.99%
64,061.45
1.81%
1.10%
261,999.30
6.18%
4.48%
4,418,520.05
80.66% 75.56%
1,428,854.64
19.34% 24.44%
5,847,374.69 100.00% 100.00%
590,346.89
7,920.00
428,653.05
4,676.69
38,978.01
5,570.40
1,076,145.05
461,930.50
1,538,075.55
567,665.16
7,619.20
397,772.91
4,295.78
37,061.95
5,484.40
1,019,899.39
890,583.55
1,910,482.95
4,708,704.54
6,246,780.09
3,936,891.74
75.38% 67.33%
5,847,374.69 100.00% 100.00%
9.45%
0.13%
6.86%
0.07%
0.62%
0.09%
17.23%
7.39%
24.62%
9.71%
0.13%
6.80%
0.07%
0.63%
0.09%
17.44%
15.23%
32.67%

DENMARK AUTO SUPPLY
2018
ASSETS
CURRENT ASSETS:
Cash
Inventory
TOTAL ASSETS

Accounts Payable
VAT Payable
Accrued Liabilities
TOTAL LIABILITIES
OWNER'S EQUITY
4,815,195.66
167,109.95
511,588.06
5,493,893.67
986,884.79
6,480,778.46
435,951.00
8,045.00
461,930.50
5,096.07
40,509.03
5,660.23
957,191.84
957,191.84
5,523,586.62
6,480,778.46
2017
Common-Size
Percentages
2018
2017
4,539,792.54
74.30%
72.67%
113,298.16
2.58%
1.81%
385,819.68
7.89%
6.18%
5,038,910.38
84.77% 80.66%
1,207,869.71
15.23% 19.34%
6,246,780.09 100.00% 100.00%
590,346.89
7,920.00
428,653.05
4,676.69
38,978.01
5,570.40
1,076,145.05
461,930.50
1,538,075.55
6.73%
0.12%
7.13%
0.08%
0.63%
0.09%
14.77%
0.00%
14.77%
9.45%
0.13%
6.86%
0.07%
0.62%
0.09%
17.23%
7.39%
24.62%
4,708,704.54
85.23% 75.38%
6,246,780.09 100.00% 100.00%

DENMARK AUTO SUPPLY
2019
ASSETS
CURRENT ASSETS:
Cash
Inventory
TOTAL ASSETS

Accounts Payable
VAT Payable
Accrued Liabilities
TOTAL LIABILITIES
OWNER'S EQUITY
5,274,660.62
222,972.58
637,509.45
6,135,142.65
765,902.86
6,901,045.51
458,686.81
8,265.00
5,534.15
42,023.54
5,754.07
520,263.57
520,263.57
6,380,778.94
6,901,042.51
2018
Common-Size
Percentages
2019
2018
4,815,195.66
76.43% 74.30%
167,109.95
3.23%
2.58%
511,588.06
9.24%
7.89%
5,493,893.67 88.90% 84.77%
986,884.79 11.10% 15.23%
6,480,778.46 100.00% 100.00%
435,951.00
8,045.00
461,930.50
5,096.07
40,509.03
5,660.23
957,191.84
957,191.84
6.65%
0.12%
0.00%
0.08%
0.61%
0.08%
7.54%
0.00%
7.54%
6.73%
0.12%
7.13%
0.08%
0.63%
0.09%
14.77%
0.00%
14.77%
5,523,586.62 92.46% 85.23%

6,480,778.46 100.00% 100.00%
VERTICAL ANALYSIS ON STATEMENT OF FINANCIAL POSITION

Vertical analysis shows the relationship of financial statement accounts at a given
time. It is expressed as a percentage of sales in income statement, and percentage of total
assets or total liabilities and owners equity as to the balance sheet.
Placing all assets in a common-sized form, the table shows the importance of the
current assets as compared to the non-current assets in the years of 2015 to 2019 from 75%
to 88.92% out of 100% of the total assets of the firm.
If we look on the detail of current assets, cash contributes the greatest portion in the
current assets. The reason of this large portion in the current assets of cash balance may be a
result of an assumption that the entity reached 80% of the collection of credit sales for the
current year. That explains why every year the total assets yearly from 2016 to 2019 increases
and contributes the majority of the total assets.
The decrease in percentage of Building and other equipment every year is due to
accumulated depreciation being taken from the acquisition cost of each of these noncurrent
assets item.
If we look into the liabilities and owners equity account, the owners equity section
is greater than the liabilities by 65.55% in 2015 and increases up to 92.48% of 2019. The
decrease of long-term payable explains the growing portion of owners equity in the credit
side. Another reason for this is the contribution of Net income to the owners equity.
Though withdrawal increases every year, the net income also increases is larger portion. This
explains the totality of the owners equity section. [back]
VERTICAL ANALYSIS ON STATEMENT OF COMPREHENSIVE INCOME

Table 4.12: Vertical Analysis on Statement of Comprehensive Income for the year 2015 [back]
DENMARK AUTO SUPPLY
Common-Size
Percentages
2015
2015
Sales
8,480,831.81
100.00%
Cost of Sales
4,764,046.18
56.17%
Gross Profit
3,716,785.63
43.83%
Less:
Selling Expenses
700,705.06
8.26%
900,205.81
10.61%
1,600,910.87
18.88%
2,115,874.76
24.95%
138,384.60
1.63%
Net Income
1,977,490.16
23.32%
DENMARK AUTO SUPPLY
Common-Size
Percentages
2016
2016
Sales
9,277,417.42
100.00%
Cost of Sales
5,227,799.10
56.35%
Gross Profit
4,049,618.32
43.65%
Less:
Selling Expenses
723,695.68
7.80%
933,505.63
10.06%
1,657,201.31
17.86%
2,392,417.02
25.79%
111,793.40
1.21%
Net Income
2,280,623.62
24.58%
DENMARK AUTO SUPPLY
Common-Size
Percentages
2017
2017
Sales
9,686,818.17
100.00%
Cost of Sales
5,325,535.53
54.98%
Gross Profit
4,361,282.64
45.02%
Less:
Selling Expenses
749,310.89
7.74%
956,124.56
9.87%
1,705,435.45
17.61%
2,655,847.18
27.42%
83,137.86
0.86%
Net Income
2,572,709.33
26.56%
DENMARK AUTO SUPPLY
Common-Size
Percentages
2018
2018
Sales
10,059,122.25
100.00%
Cost of Sales
5,533,201.49
55.01%
Gross Profit
4,525,920.76
44.99%
Less:
Selling Expenses
778,111.95
7.74%
979,277.51
9.74%
1,757,389.46
17.47%
2,768,531.30
27.52%
52,257.71
0.52%
Net Income
2,716,273.59
27.00%

DENMARK AUTO SUPPLY
Common-Size
Percentages
2019
2019
Sales
10,431,782.32
100.00%
Cost of Sales
5,742,917.47
55.05%
Gross Profit
4,688,864.85
44.95%
Less:
Selling Expenses
808,930.61
7.75%
1,003,646.22
9.62%
1,812,576.83
17.38%
2,876,288.01
27.57%
18,980.26
0.18%
Net Income
2,857,307.75
27.39%
VERTICAL ON STATEMENT OF COMREHENSIVE INCOME

As seen in the tables above, the gross profit has an average percentage of 44% of the
total sales for the years 2015-2019. Deducting all expenses, the net income to be derived
would only be 26% of the total sales in average for the years 2015-2019. If the net income is
computed in peso values, the income statement shows that DAS is earning millions. But if it
will be derived into percentages, there it is visible that Net Income, after deducting all
expenses to the total sales, is below 30% of the total sales. Through this vertical analysis,
DAS will be more informed as to what percentage of the total sales is the net income
derived from the whole operation for the year.
[back]
HORIZONTAL ANALYSIS ON STATEMENT OF FINANCIAL POSITION

Table 4.17: Horizontal Analysis on Statement of Financial Position for the years 2016 and 2015 [back]

DENMARK AUTO SUPPLY
ASSETS
CURRENT ASSETS:
Cash
Inventory
TOTAL ASSETS
Accounts Payable
VAT Payable
Accrued Liabilities
TOTAL LIABILITIES
OWNER'S EQUITY
Increase
(Decrease)
Amount Percent
2016
2015
4,092,459.30
64,061.45
261,999.30
4,418,520.05
1,428,854.64
5,847,374.69
3,000,927.22
61,504.66
249,812.35
3,312,244.22
1,649,839.57
4,962,083.80
1,091,532.08
2,556.79
12,186.95
1,106,275.83
(220,984.93)
885,290.90
567,665.16
7,619.20
397,772.91
4,295.78
37,061.95
5,484.40
1,019,899.39
890,583.55
1,910,482.95
7,345.00
369,117.37
3,344.90
35,813.33
5,402.08
421,022.67
1,288,356.46
1,709,379.14
567,665.16 100.00%
274.20
3.73%
28,655.54
7.76%
950.88 28.43%
1,248.62
3.49%
82.32
1.52%
598,876.72 142.24%
(397,772.91) -30.87%
201,103.81 11.76%
3,936,891.74
5,847,374.69
3,252,704.66
4,962,083.80
684,187.09
885,290.90
36.37%
4.16%
4.88%
33.40%
-13.39%
17.84%
21.03%
17.84%

DENMARK AUTO SUPPLY
ASSETS
CURRENT ASSETS:
Cash
Inventory
TOTAL ASSETS
Accounts Payable
VAT Payable
Accrued Liabilities
TOTAL LIABILITIES
OWNER'S EQUITY
Increase
(Decrease)
Amount Percent
2017
2016
4,539,792.54
113,298.16
385,819.68
5,038,910.38
1,207,869.71
6,246,780.09
4,092,459.30
64,061.45
261,999.30
4,418,520.05
1,428,854.64
5,847,374.69
447,333.25
49,236.71
123,820.37
620,390.33
(220,984.93)
399,405.40
10.93%
76.86%
47.26%
14.04%
-15.47%
6.83%
590,346.89
7,920.00
428,653.05
4,676.69
38,978.01
5,570.40
1,076,145.05
461,930.50
1,538,075.55
567,665.16
7,619.20
397,772.91
4,295.78
37,061.95
5,484.40
1,019,899.39
890,583.55
1,910,482.95
22,681.73
300.80
30,880.14
380.92
1,916.06
86.00
56,245.65
(428,653.05)
(372,407.40)
4.00%
3.95%
7.76%
8.87%
5.17%
1.57%
5.51%
-48.13%
-19.49%
4,708,704.54
6,246,780.09
3,936,891.74
5,847,374.69
771,812.80
399,405.40
19.60%
6.83%

DENMARK AUTO SUPPLY
ASSETS
CURRENT ASSETS:
Cash
Inventory
TOTAL ASSETS
Accounts Payable
VAT Payable
Accrued Liabilities
TOTAL LIABILITIES
OWNER'S EQUITY
Increase
(Decrease)
Amount
Percent
2018
2017
4,815,195.66
167,109.95
511,588.06
5,493,893.67
986,884.79
6,480,778.46
4,539,792.54
113,298.16
385,819.68
5,038,910.38
1,207,869.71
6,246,780.09
275,403.11
53,811.80
125,768.39
454,983.30
(220,984.93)
233,998.37
6.07%
47.50%
32.60%
9.03%
-18.30%
3.75%
435,951.00
8,045.00
461,930.50
5,096.07
40,509.03
5,660.23
957,191.84
957,191.84
590,346.89
7,920.00
428,653.05
4,676.69
38,978.01
5,570.40
1,076,145.05
461,930.50
1,538,075.55
(154,395.89)
125.00
33,277.45
419.38
1,531.02
89.83
(118,953.21)
(461,930.50)
(580,883.71)
-26.15%
1.58%
7.76%
8.97%
3.93%
1.61%
-11.05%
-100.00%
-37.77%
5,523,586.62
6,480,778.46
4,708,704.54
6,246,780.09
814,882.08
233,998.37
17.31%
3.75%

DENMARK AUTO SUPPLY
ASSETS
CURRENT ASSETS:
Cash
Inventory
TOTAL ASSETS
Accounts Payable
VAT Payable
Accrued Liabilities
TOTAL LIABILITIES
OWNER'S EQUITY
Increase
(Decrease)
Amount
Percent
2019
2018
5,274,660.62
222,972.58
637,509.45
6,135,142.65
765,902.86
6,901,045.51
4,815,195.66
167,109.95
511,588.06
5,493,893.67
986,884.79
6,480,778.46
459,464.96
55,862.63
125,921.39
641,248.98
(220,981.93)
420,267.05
9.54%
33.43%
24.61%
11.67%
-22.39%
6.48%
458,686.81
8,265.00
5,534.15
42,023.54
5,754.07
520,263.57
520,263.57
435,951.00
8,045.00
461,930.50
5,096.07
40,509.03
5,660.23
957,191.84
957,191.84
22,735.81
220.00
(461,930.50)
438.08
1,514.50
93.84
(436,928.27)
(436,928.27)
5.22%
2.73%
-100.00%
8.60%
3.74%
1.66%
-45.65%
0.00%
-45.65%
6,380,778.94
6,901,042.51
5,523,586.62
6,480,778.46
857,192.33
420,264.05
15.52%
6.48%
HORIZONTAL ANALYSIS ON STATEMENT OF COMPREHENSIVE INCOME
Table 4.21: Horizontal Analysis on Statement of Comprehensive Income for the year 2016 and 2015 [back]

DENMARK AUTO SUPPLY
Sales
Cost of Sales
Gross Profit
Less:
Selling Expenses
Net income before
Interest
Net Income
Increase
(Decrease)
Amount
Percent
796,585.61
9.39%
463,752.92
9.73%
332,832.70
8.95%
2016
9,277,417.42
5,227,799.10
4,049,618.32
2015
8,480,831.81
4,764,046.18
3,716,785.63
723,695.68
933,505.63
1,657,201.31
700,705.06
900,205.81
1,600,910.87
22,990.62
33,299.81
56,290.44
3.28%
3.70%
3.52%
2,392,417.02
111,793.40
2,280,623.62
2,115,874.76
138,384.60
1,977,490.16
276,542.26
(26,591.20)
303,133.46
13.07%
-19.22%
15.33%

DENMARK AUTO SUPPLY
Sales
Cost of Sales
Gross Profit
Less:
Selling Expenses
Net income before
Interest
Net Income
Increase
(Decrease)
Amount
Percent
409,400.74
4.41%
97,736.43
1.87%
311,664.31
7.70%
2017
9,686,818.17
5,325,535.53
4,361,282.64
2016
9,277,417.42
5,227,799.10
4,049,618.32
749,310.89
956,124.56
1,705,435.45
723,695.68
933,505.63
1,657,201.31
25,615.21
22,618.93
48,234.15
3.54%
2.42%
2.91%
2,655,847.18
83,137.86
2,572,709.33
2,392,417.02
111,793.40
2,280,623.62
263,430.17
(28,655.54)
292,085.71
11.01%
-25.63%
12.81%

DENMARK AUTO SUPPLY
Sales
Cost of Sales
Gross Profit
Less:
Selling Expenses
Net Income
2018
10,059,122.25
5,533,201.49
4,525,920.76
2017
9,686,818.17
5,325,535.53
4,361,282.64
Increase
(Decrease)
Amount
Percent
372,304.09
3.84%
207,665.97
3.90%
164,638.12
3.77%
778,111.95
979,277.51
1,757,389.46
2,768,531.30
52,257.71
2,716,273.59
749,310.89
956,124.56
1,705,435.45
2,655,847.18
83,137.86
2,572,709.33
28,801.06
23,152.95
51,954.00
112,684.12
(30,880.14)
143,564.26
3.84%
2.42%
3.05%
4.24%
-37.14%
5.58%

DENMARK AUTO SUPPLY
Sales
Cost of Sales
Gross Profit
Less:
Selling Expenses
Net Income
2019
10,431,782.32
5,742,917.47
4,688,864.85
2018
10,059,122.25
5,533,201.49
4,525,920.76
808,930.61
1,003,646.22
1,812,576.83
2,876,288.01
18,980.26
2,857,307.75
778,111.95
979,277.51
1,757,389.46
2,768,531.30
52,257.71
2,716,273.59
Increase
(Decrease)
Amount
Percent
372,660.07
3.70%
209,715.98
3.79%
162,944.09
3.60%
30,818.66
24,368.71
55,187.38
107,756.71
(33,277.45)
141,034.16
3.96%
2.49%
3.14%
3.89%
-63.68%
5.19%
HORIZONTAL ANALYSIS ON STATEMENT OF COMPREHENSIVE INCOME
200%
150%
100%
50%
0%
2015
2016
2017
Sales
2018
2019
Net Income
Figure 4.13: Trend Analysis of Sales and Net Income [back]

Base on the Horizontal Analysis presented earlier in this chapter, the trend
percentages for sales and net income are determined. Figure _ would show the trend analysis
of sales and net income for the projected years of operation.
Denmark Auto Supply would have a healthy business operation because of a
consistent increase in both sales and net income every year. This means that the business
could easily build up customer loyalty from its target market and the products that it offers
would prove to be saleable. The increase in net income would also imply that the company
would be operating as a going concern business. Furthermore, it denotes that the new
business would be a successful operating segment of Mr. Eleazer A. Pande, proprietor, due
to a positive and increasing return on the owners investment. [back]
300%
200%
100%
0%
2015
2016
2017
2018
2019
Figure 4.14:Trend Analysis of Total Current Assets and Liabilities [back]

Figure _ would show the trend analysis for the business current assets and current
liabilities for five (5) years. It would show that the business would have ample resources to
cover up its current liabilities each year. The trend for current liabilities shows a curve line in
the graph which would mean that the business would have a larger current liability in 2017
but this would eventually fall down in years thereafter. Such trend is due to decreasing short
term loans payable balance which is relevant to the approved loan issued by BPI, Davao.
400%
350%
300%
250%
200%
150%
100%
50%
0%
2015
2016
Cash
2017
2018
2019
Figure 4.15: Trend Analysis for Cash and Accounts receivable [back]
In the trend analysis for cash and accounts receivable, it could be inferred that the
business would be liquid enough for its first five (5) years of operation due to the increase in
the cash balance. Aside from paying its current liabilities, the constant increase in cash could
be use for future and new investments or drawings by the proprietor. However, the
company would have to consistently monitor its receivables from customers and review its
credit agreements with them in order to control its account receivable balances.
[back]
H. ACCOUNTING AND CONTROL PLAN

Table 4.25: Revenue/Receipt Cycle: Control Objectives and Procedures [back]
CONTROL OBJECTIVES
PROCEDURES
Transaction Authorization
Customers credit should be approved -Perform a credit check for all new
customers.
prior to delivery of goods.
-Prepare and periodically update lists of
authorized customers, indicating a maximum
credit limit for each customer.
Unit prices and sales terms should be -Maintain updated lists of authorized prices
and sales terms.
established for all products.
-Establish procedures for reviewing and
approving process and sales terms before
delivery.
Sales-related deductions and adjustments -Establish written criteria and policies for
should be made in accordance with the granting sales deductions and adjustments.
-Prenumber and control credit memoranda
managements authorization.
or other related forms.
Transaction Execution
Approved orders should be delivered in -Verify that ordered products are in stock,
accordance with customer specifications and therefore can be delivered on a timely
basis.
and on a timely basis.
-Limit access to delivery documents to
authorized personnel.
-Document policies and procedures for
scheduling delivery.
All deliveries should be followed by -Prenumber bills of lading and assure that
related billings are made on a periodic (daily)
prompt billing.
basis.
-Establish procedures for prompt reporting
and investigation of deliveries not billed (and
billings not delivered).
-Require prompt delivery of bills of lading
(and related sales order) to the billing
department.
Recording
Sales, cash receipts, and related
transactions should be recorded at the
correct amounts, in the proper period,
and should be properly classified.
-Total input documents, such as the number

of documents and the peso amounts, and
reconcile appropriate journals and ledgers.
-Establish processing and recording
procedures.
-Compare actual and planned results, and
analyze variances.
Table 4.25: Revenue/Receipt Cycle: Control Objectives and Procedures (Continuation) [back]
CONTROL OBJECTIVES
Recording (Continuation)
Billings,
collections,
and
related
adjustments, such as returns and
allowances, should be posted accurately
to individual customer accounts.
Recorded accounts receivable balances

(and related transactions) should fairly
reflect underlying transactions and
events.
PROCEDURES
-Reconcile totals of individual customer
accounts with control totals.
-Promptly investigate correspondence from
customers.
-Reconcile input totals with processed and
output totals.
-Review customer statements for accuracy
and follow up on discrepancies.
-Periodically substantiate and evaluate
recorded account balances.
-Reconcile subsidiary ledgers with general
ledger control accounts.
-Establish policy and procedures manuals,
organization
charts,
and
supporting
documentation such as compare selected
customer
balances
with
underlying
documents.
-Follow up promptly on customer
complaints.
Table 4.25: Revenue/Receipt Cycle: Control Objectives and Procedures (Continuation) [back]
CONTROL OBJECTIVES
PROCEDURES
Custody and Access to Assets
Access to cash and cash-related records -Establish the cash receipts function in a
should be restricted to personnel centralized location.
-Require daily reconciliation of cash receipts
authorized by management.
records with bank deposit slips.
-Prenumber and control cash remittance
advices.
-Prepare separate lists of incoming cash
receipts in the mailroom.
-Separate responsibility for handling and
recording cash.
-Establish
periodic
procedures
for
reconciling cash records with bank
statements.
-Establish physical barriers over cash and
unused checks.
-Maintain insurance and fidelity bonds for
personnel handling cash.
-Maintain listings and signature samples
of authorized signatories.
-Inform the bank that no checks payable to
the company are to be cashed (deposit only).
-Restrictively endorse checks received from
customers.
Access to delivery, billing, inventory -Segregate responsibilities for authorization,
control, and accounting records should execution, and recording functions.
be restricted to personnel authorized by -Prenumber and control custody of forms
and documents.
management.
Table 4.26: Purchasing and Cash Disbursements: Control Objectives and Procedures [back]
CONTROL OBJECTIVES
PROCEDURES
Suppliers should be approved prior to -Prepare lists of authorized suppliers.
-Establish criteria for adding to, changing, or
purchasing goods.
deleting from the supplier list.
Types, quantities, payment, terms, and -Maintain updated guidelines for purchase
prices should be approved for all transactions.
products and services.
approving purchase prices and terms prior to
purchase.
Received goods should be counted and -Establish procedures for inspecting and
counting goods received before releasing the
inspected for quality.
carrier.
All cash disbursements for goods and -Prenumber and control vouchers and
services should be based on a bona fide checks.
-Cancel voucher packages immediately upon
liability.
payment.
-Require manual dual signatories for all
checks over a prespecified amount.
Recording
All goods and services received should
be accurately and promptly reported.
Purchases and cash disbursements
transactions should be recorded properly
and in the proper accounting period.
-Prenumber
receiving
reports,
and
subsequently review for prompt recording.
-Total input documents, such as the number
of documents and the peso amounts, and
reconcile appropriate journals and ledgers.
-Establish processing and recording
procedures.
Purchases and cash disbursements -Establish validation procedures to verify
transactions should be posted accurately postings (such as check digits).
-Batch and reconcile input totals to
to individual supplier accounts.
processed and output controls.
-Promptly investigate correspondence from
suppliers through collection notices.

Access to purchasing and cash
disbursement records and to forms and
documents should be restricted to
personnel authorized by management.
-Establish physical controls over unused

forms and documents.
-Segregate responsibilities for authorization,
execution, and recording functions.
-Maintain listings and samples of authorized
signatories.
Table 4.27: Personnel and Payroll: Control Objectives and Procedures [back]
CONTROL OBJECTIVES
PROCEDURES
Employees should be hired according to -Establish clear statements of hiring policies
and procedures.
criteria authorized by management.
-Maintain updated personnel records for all
employees.
-Verify employment applications.
Compensation and payroll deductions -Maintain updated listing of authorized pay

should be made in accordance with rates and deductions.
approving pay rates and deductions.
Adjustments to payroll or personnel -Establish clear statements of adjustment

records should be made in accordance policies and procedures.
with managements authorization.
Payroll and personnel procedures should -Establish personnel and payroll procedure
be established in accordance with manuals.
-Periodically verify employee reassignments
and personnel action reports.
All payroll cash disbursements should be -Prenumber and control time records,
paychecks, and adjustment forms.
based upon a recognized liability.
-Require manual dual signatories for all pay
over a prespecified peso amount.
Recording
and
document
account
Amounts due to employees should be -Establish
recorded at the proper amounts, be distribution procedures.
recorded in the proper period, and be -Reconcile appropriate ledgers and journals.
-Establish physical barriers over unused
properly classified.
documents and forms.
Access to personnel and payroll records
and to forms and documents should be
recorded to personnel authorized by
management.
-Prenumber and control forms and

documents.
-Segregate responsibilities for authorizing,
executing, and recording payroll and
personnel transactions.
-Maintain listings and samples of authorized
signatories.
Table 4.28: Inventory: Control Objectives and Procedures [back]

CONTROL OBJECTIVES
PROCEDURES
Ordering should be authorized in -Prepare statements of criteria for
determining which products are to be
accordance with managements criteria.
ordered and sold and in what quantities.
Procedures for using and physically -Prepare inventory-processing manuals,
transferring inventory should be including procedures for controlling
established
in
accordance
with inventory movement.
-Restrict access to inventory to authorized
personnel.
Recording
Inventory used or transferred should be -Establish processing and recording
recorded at the correct amounts, be procedures.
recorded in the proper period, and be -Prenumber and control materials release
forms and production orders.
properly classified.
-Maintain logs of inventory movement into
and out of storerooms.
-Conduct periodic inventory counts, and
investigate differences between recorded and
actual quantities.
-Limit access to inventory and blank forms.
Inventory-related adjustments, such as to -Establish policies for approving and
adjust recorded inventory to physical recording adjustments.
and
control
inventory
counts; to write down obsolete or -Prenumber
unusable inventory, should be authorized adjustment forms.
in accordance with managements
authorization.
Access to inventory should be restricted -Establish physical controls over inventory
to personnel authorized by management. such as locks and inventory clerk.
-Maintain insurance and fidelity bonds for
personnel handling valuable inventory.
-Maintain adequate insurance coveage for
assets.
-Segregate responsibility for handling
inventory from inventory recording, cost
accounting, and general accounting.
Access to selling, cost accounting, and -Establish physical controls over unused
perpetual inventory records should be forms and records.
restricted to personnel authorized by -Maintain files of authorized signatures.
-Perform periodic compliance audits.
management.
Table 4.29: Fixed Assets: Control Objectives and Procedures [back]

CONTROL OBJECTIVES
PROCEDURES
Branch additions, disposals, and -Prepare written procedures for all additions,
retirements should be authorized in disposals and retirements.
-Periodically compare prices received for
accordance with managements criteria.
scrap with published prices.
Procedures for operating, using, and
physically moving fixed assets should be
established
in
accordance
with
-Establish procedures for operating, using,

moving, and otherwise controlling fixed
assets.
-Restrict access to movable fixed assets.
Recording
Fixed assets added, disposed, or retired
should be recorded at the correct
amounts, be recorded in the proper
period, and be properly classified.
-Establish procedures for processing and

recording fixed asset transactions.
-Establish procedures for identifying fixed
assets eligible for disposal (sell as scrap) and
retirement.
-Maintain detailed fixed asset records.
-Periodically reconcile fixed asset records
with existing assets and investigate
differences.
policies
for
determining
Depreciation and amortization should be -Establish
calculated
in
accordance
with depreciation methods and for calculating
managements authorization, be recorded depreciation on all categories of fixed assets.
in the proper period, and be properly
classified.

Access to fixed assets should be -Establish physical controls over unused
restricted to personnel authorized by fixed assets such as garages and secured
fences.
management.
-Maintain adequate insurance coverage.
-Segregate physical custody of fixed asset
records and general accounting.
Access to asset and depreciation records -Establish physical controls over unused
should be restricted to personnel forms and records.
-Perform periodic compliance audits,
authorized by management.
reconciling recoded assets with existing
assets.
CHAPTER V. SOCIO-ECONOMIC STUDY

Denmark Auto Supply would be hiring individuals residing in Sasa, Davao City. This
is to make sure that the surrounding community is given a chance to have an employment,
from where they could have a source of income to provide food and other basic needs to
their family. The proprietor thought that the best way to help the neighboring community is
to give them long-term assistance by providing work and granting them a permanent source
of living. If they would be employed, the proprietor could better listen to their plea and tend
to their needs.
As part of the government requirement, Denmark Auto Supply would also pay taxes.
In a sole proprietorship, the proprietor would be taxed based on the tax rate on salaried
individuals varying through the income derived from a given period. This auto supply would
be an opportunity for the government to have an additional business to be levied on because
more entrants mean more revenues for the government. The taxes collected would then be
used for the development of Philippines especially in areas needing more attention.
Denmark Auto Supply would be the new auto supply in Sasa, Davao City specialized
in trading truck spare parts. It would add on to the eight (8) prevailing auto part retailers in
the said area. It would be a new entrant in the auto part retailing industry catering the thirtytwo (32) registered trucking services only in Sasa area and other walk-in customers. The
availability of truck spare parts in Sasa is quite low as compared to areas in Magsaysay
Avenue, Sta. Ana and Monteverde Streets. Hence, the prices of truck spare parts in this area
are quite high. Data shows that prices from suppliers, who usually came from Luzon, have
constant increases in their prices, regardless of demand. Nevertheless, these suppliers offer
discounts to orders sold in volume. The data was obtained from Davao ABC Auto Supply
located in Magsaysay Avenue corner J. dela Cruz St., Davao City which had already
established a name in the retailing of spare parts and had already operated for a number of
years in the industry.[back]
CHAPTER VI. ORGANIZATION AND MANAGEMENT STUDY

Basic Consideration in Forming the Organization
In this project, the proponents consider four concerns in forming the organization,
namely: resources, time, location, marketability-supply and demand, and business strategy.
Resources the financial resources, human resources and technological resources

needed by the proprietor to start a business
Time the applicability and the relevance of the business to the current time and the
time period to establish the business
Location the proximity of the location to the target market.
Marketability the supply ability of the business to cater the demand
Business Strategy the proprietors consideration of the proper strategic steps of

planning, organizing, staffing, leading and controlling.[back]
Form of Ownership
SOLE PROPRIETORSHIP This business organization has a single proprietor
called the proprietor who generally is also the manager. Sole proprietorships tend to be small
service-type businesses and retail establishments. The proprietor receives all the profits,
absorbs all losses and is solely responsible for all debts of the business. (Ballada, Ballada,
2010)
The advantages of being a sole proprietor are: the start-up cost is lesser, the
proprietor has all the freedom to operate his business, and the proprietor could keep all
profits. The disadvantages on the other hand are: the capacity to raise capital is limited, the
responsibility of making a day-to-day decision is solely made by the proprietor, the
proprietor would be taxed as a single person and the life of the business is limited.[back]
Organizational Chart
The following figure shows the organizational chart of Mr. Eleazer A. Pandes
existing business, Denmark Trucking Services which is under the trucking operations, and
also, the newly established Denmark Auto Supply, under the spare parts merchandising
operations.[back]
Figure 6.1: Organizational Chart of Denmark Auto Supply [back]
Officers and Key Personnel [back]

Table 6.1: Lists of Key Personnel [back]
KEY
NUMBER
PERSONNEL
MANAGER
1
JOB QUALIFICATIONS
CASHIER
DUTIES AND RESPONSIBILITIES
Male or female of legal age
A college graduate of any business

course
Can work under pressure with less
supervision
Has good interpersonal skills
Must be female of legal age

At least high school graduate
Can work with less supervision
Has a pleasing personality
SALES
PERSONNEL
DRIVER
Must be female of legal age

At least high school graduate
Can work with less supervision
Has a pleasing personality
Must be male of legal age

Has at least one (1) year driving
experience
Has a drivers license
Knowledgeable in minor repairs of
a delivery truck
Supervises the business and monitor

the functions of every personnel
Checks whether the business is doing
well as expected
Checks whether the summary report
of the cashier is correct or not
Reports to the proprietor of the
business all summary report of
cashier and sales personnel including
problems it would find in the
operation
Establish or identify prices of spare
parts and tabulate bills using
calculators
Receive payments by cash or
vouchers
Issue receipts, refunds, credits, or
change due to customers
Count money in cash drawers to
ensure that the amounts are correct
and properly matched with the cash
sales
Report the summary of sales and
credit to supervisor every end of duty
Greet customers and maintain clean
and orderly check out areas
Responsible for any loss in the
operation
Assist and entertain the needs and
queries of the customers
Check whether there is enough
inventory to sell
Inform the supervisor if theres a
need to order supplies and inventory
and submit their respective type,
quantity and amount
Transport and carry items if there are
deliveries required
Pick-ups ordered items
Takes good care for the items
delivered and picked-up
Patch-up minor repairs of the truck
Project Schedule
The following tables show the time period and the tasks to be undergone in
establishing the retailing business, Denmark Auto Supply.[back]
Table 6.2: Project Schedule 1 [back]
TASK
No.
2014
TASKS
T1
Planning
T2
Conducting a
feasibility study
T3
Price canvassing for

the business location,
materials, equipment
and supplies
T4
Complying legal
requirements
T5
Establishing the
business building and
location
T6
Purchasing and
furnishing of
equipment and
furniture and fixtures
T7
Hiring personnel
T8
Complying personnels
legal requirements
T9
Opening of the
business
2015
JUN JUL AUG SEPT OCT NOV DEC JAN
Table 6.3: Project Schedule 2 [back]
TASK
No.
TASKS
PREDECESSOR
DURATION
(No. of
Months)
DATE
STARTED
DATE
ENDED
None
1-Jun-14
30-Jun-14
T1
Planning
T2
Conducting a feasibility
study
T1
1-Jul-14
31-Aug-14
T3
Price canvassing for the

business location, materials,
equipment and supplies
T1
1-Jul-14
31-Aug-14
T4
Complying legal
requirements
T1 T3
1-Sep-14
31-Oct-14
T5
Establishing the business

building and location
T1 T3
1-Sep-14
31-Aug-14
T6
Purchasing and furnishing of

equipment and furniture and
fixtures
T1 T3
1-Oct-14
30-Nov-14
T1 - T5
1-Nov-14
30-Nov-14
T1 - T7
1-Dec-14
31-Dec-14
T1 - T8
1-Jan-15
T7
T8
T9
Hiring personnel
Complying personnels legal
requirements
Opening of the business
REFERENCES
Ballada, S., Ballada, W. (2010). Basic Accounting Made Easy 15th Edition. Sampalok, Manila,
Philippines: DomDane Publishers
Belmont Depot.Copyright 2014 Cebu Belmont, Inc. Retrieved from
http://www.belmontdepot.com/index.php?main_page=index&cPath=156_166_253
Brewer, P. C., Garrison, R. H. and Noreen, E. W. (2013). Introduction to Managerial
Accounting Global Edition. New York: McGraw-Hill Companies, Inc.
Canon Philippines. Copyright 2011-2014 Canon Marketing (Phils) Inc. Retrieved from
http://www.canon.com.ph/PRODUCTS/PRINTERSFACSIMILES/INKJET/AL
LINON EINKJET/PIXMAP200.aspx#
Career Planner. Discover the Keys to your Job Satisfaction.Cashier Job Description, Duties
and
Jobs - Part 1. Copyright 1997-2013, CAREERPLANNER.COM Inc.
Retrieved from http://job-descriptions.careerplanner.com/cashiers.cfm

Corporate Credit and Risk Management Solution. Key Business Ratios. Copyright 19992013
CreditGuru.com
Div.
of
Credit
Guru
Inc.
Retrieved
from
http://www.creditguru.com/ratios/inr.htm
Dowell Products. At Home with Change. Copyright 2012. Dowell Philippines. Retrieved
form
http://www.dowellphilippines.com/products45f9.html?item_id=13500
Dungo, F.(2013). New SSS Contribution 2014. Copyright 2014 PhilPad.com. Retrieved
from
http://philpad.com/new-sss-contribution-table-2014/
Lazada. Copyright 2014 Lazada Philippines. Retrieved from http://www.lazada.com.ph/

acer-aspire-e14-e5-411-c313-n2830-intel-dual-core-win-81-laptop-black-135110.html
Office Warehouse. Cost-cutting Starts Here. Copyright 2014 Office Warehouse Inc.
Retrieved from http://www.officewarehouse.com.ph/product/8790/
OLX
Philippines.
Copyright
2006
2014 OLX
by
Sulit.
Retrieved
from
http://www.olx.ph/index.php/view+classifieds/id/52711084/Rush+Sale+Bnew+S
AM+4S+Electronic+Cash+Register?referralKeywords=electronic+cash+register+
price&event=Search+Ranking,Position,1-3,3
Tasmanian Government. Sole proprietorship advantages and disadvantages.Last updated
onSeptember 9, 2014. Retrieved from http://www.business.tas.gov.au/starting-abusiness/starting-a-business-from-scratch/choosing-a-business-structure-intro/soleproprietorship-advantages-and-disadvantages
Van Leasing Made Simple. Copyright 2011 Van leasing made simple. Retrieved from
http://vanleasingmadesimple.com/van-leasing/mitsubishi-fuso/canter-3c1325_1/26329/technical-data/
Waters, S. (2014). Cash Registers vs. Point of sale (POS) System. 2014 About.com.
Retrieved from http://retail.about.com/od/equipmenttechnology/a/register_vs
_pos.htm
[back]
APPENDICES AND SUPPLEMENTAL MATERIAL
Appendix A: Schedule for Inventory in Quantity [back]

2015 66.33%
Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
2016 63.39%
Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
2017 63.39%
Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
If maximum order per item is 5 units

Units beg Units sold Units (SS) Ordered Units
5
3
2
5
7
4
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5

15
9
6
15
21
13
8
15
23
15
8
15
23
15
8
15
23
15
8
15
23
15
8
15
23
15
8
15
23
15
8
15
23
15
8
15
23
15
8
15
23
15
8
15
23
15
8
15
TOTAL
20
12
8
20
28
17
11
20
31
20
11
20
31
20
11
20
31
20
11
20
31
20
11
20
31
20
11
20
31
20
11
20
31
20
11
20
31
20
11
20
31
20
11
20
31
20
11
20

8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5

23
14
9
15
24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
TOTAL
31
19
12
20
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20

8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5

24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
TOTAL
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20
Appendix A: Schedule for Inventory in Quantity (Continuation) [back]

2018 63.39%
Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
2019 63.39%
Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec

8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5

24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
TOTAL
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20

8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5
8
5
3
5

24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
24
15
9
15
TOTAL
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20
32
20
12
20
Appendix B: Breakdown of Purchases [back]
Note: Presented below are amounts exclusive of VAT.

JANUARY 2015
PURCHASES
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
ITEM
Air Chamber
Air Compressor
Air Dryer
Air Filters
Alternator
Ball Joints
Battery
Bearings
Bolt-Hub Bolt Set
Brake Cylinder
Brake Lining
Bushing-Stabilizer
Clutch Disc Set
Clutch Hoses
Diesel Tank Belt
Door Lock Assembly
Drum (rear)
Fan Belt
Fan Blade
Feed Pumps
Foot Valve
Front Spring
Fuel Filters
Fuse Plug in
Handle Power Pump
Hub Drum
Hydrauvac
King Pin Kit
Oil Filters
Oil Pumps
Power Stearing Gear
Radiator
Shock Absorbers
Solenoid Switch
Spring Bolt Kits
Switch-Headlight
Tie Rod End
Torque Rod
U Bolt
Wheel Rim
TOTAL
QTY
5
5
5
5
5
5
5
15
15
5
15
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
15
5
5
5
5
15
5
5
5
5
15
5
5
5
15
5
5
15
5
305
UNIT
pcs
pcs
sets
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
sets
pcs
pcs
sets
sets
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
sets
pcs
pcs
24's
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
PER PC/SET
803.40
5,350.00
1,133.00
1,081.50
2,894.30
257.50
2,461.00
588.50
133.90
3,402.60
261.08
1,184.50
360.50
2,739.20
515.00
267.80
1,828.25
978.50
782.80
642.00
216.30
3,531.00
3,210.00
1,904.60
4,635.00
139.05
2.06
6,798.00
7,725.00
12,732.86
1,284.00
504.70
1,874.60
824.00
6,798.00
4,601.00
123.60
2,129.30
3,424.00
6,180.00
51.50
4,066.00
1,605.00
309.00
3,605.00
DISCOUNTED PRICE
642.72
4,280.00
906.40
865.20
2,315.44
206.00
1,968.80
470.80
107.12
2,722.08
208.86
947.60
288.40
2,191.36
412.00
214.24
1,462.60
782.80
626.24
513.60
173.04
2,824.80
2,568.00
1,523.68
3,708.00
111.24
1.65
5,438.40
6,180.00
10,186.29
1,027.20
403.76
1,499.68
659.20
5,438.40
3,680.80
98.88
1,703.44
2,739.20
4,944.00
41.20
3,252.80
1,284.00
247.20
2,884.00
INPUT VAT
68.86
458.57
97.11
92.70
248.08
22.07
210.94
50.44
11.48
291.65
22.38
101.53
30.90
234.79
44.14
22.95
156.71
83.87
67.10
55.03
18.54
302.66
275.14
163.25
397.29
11.92
0.18
582.69
662.14
1,091.39
110.06
43.26
160.68
70.63
582.69
394.37
10.59
182.51
293.49
529.71
4.41
348.51
137.57
26.49
309.00
9,080.48
overhead
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
TOTAL PURCHASES
3,029.79
19,267.64
4,206.93
4,023.00
10,497.29
1,080.14
8,949.79
6,786.86
1,916.14
12,312.64
3,278.79
4,390.86
1,448.00
9,943.36
1,999.79
1,116.93
6,689.96
3,655.14
2,956.21
2,453.36
933.00
12,771.21
11,624.79
6,962.64
16,714.07
657.11
503.57
24,439.07
27,749.79
45,635.00
4,746.21
5,889.00
6,855.50
3,103.36
24,439.07
16,592.64
1,805.79
7,765.14
12,389.07
22,231.93
1,033.29
14,681.93
5,892.64
3,792.21
13,035.50
402,246.13
Appendix B: Breakdown of Purchases (Continuation)
[back]
FEBRUARY TO DECEMBER 2015

PURCHASES
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
ITEM
Air Chamber
Air Compressor
Air Dryer
Air Filters
Alternator
Ball Joints
Battery
Bearings
Bolt-Hub Bolt Set
Brake Cylinder
Brake Lining
Bushing-Stabilizer
Clutch Disc Set
Clutch Hoses
Diesel Tank Belt
Door Lock Assembly
Drum (rear)
Fan Belt
Fan Blade
Feed Pumps
Foot Valve
Front Spring
Fuel Filters
Fuse Plug in
Handle Power Pump
Hub Drum
Hydrauvac
King Pin Kit
Oil Filters
Oil Pumps
Power Stearing Gear
Radiator
Shock Absorbers
Solenoid Switch
Spring Bolt Kits
Switch-Headlight
Tie Rod End
Torque Rod
U Bolt
Wheel Rim
TOTAL
QTY
5
5
5
5
5
5
5
15
15
5
15
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
15
5
5
5
5
15
5
5
5
5
15
5
5
5
15
5
5
15
5
305
UNIT
pcs
pcs
sets
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
sets
pcs
pcs
sets
sets
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
sets
pcs
pcs
24's
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
PER PC/SET
826.80
5,700.00
1,166.00
1,113.00
2,978.60
265.00
2,622.00
627.00
137.80
3,625.20
278.16
1,219.00
371.00
2,918.40
530.00
275.60
1,881.50
1,007.00
805.60
684.00
222.60
3,762.00
3,420.00
2,029.20
4,770.00
143.10
2.12
6,996.00
7,950.00
13,103.72
1,368.00
519.40
1,929.20
848.00
6,996.00
4,902.00
127.20
2,268.60
3,648.00
6,360.00
53.00
4,332.00
1,710.00
318.00
3,710.00
DISCOUNTED PRICE
661.44
4,560.00
932.80
890.40
2,382.88
212.00
2,097.60
501.60
110.24
2,900.16
222.53
975.20
296.80
2,334.72
424.00
220.48
1,505.20
805.60
644.48
547.20
178.08
3,009.60
2,736.00
1,623.36
3,816.00
114.48
1.70
5,596.80
6,360.00
10,482.98
1,094.40
415.52
1,543.36
678.40
5,596.80
3,921.60
101.76
1,814.88
2,918.40
5,088.00
42.40
3,465.60
1,368.00
254.40
2,968.00
INPUT VAT
70.87
488.57
99.94
95.40
255.31
22.71
224.74
53.74
11.81
310.73
23.84
104.49
31.80
250.15
45.43
23.62
161.27
86.31
69.05
58.63
19.08
322.46
293.14
173.93
408.86
12.27
0.18
599.66
681.43
1,123.18
117.26
44.52
165.36
72.69
599.66
420.17
10.90
194.45
312.69
545.14
4.54
371.31
146.57
27.26
318.00
9,473.13
OVERHEAD
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
32.10
TOTAL PURCHASES
3,113.36
20,517.64
4,324.79
4,135.50
10,798.36
1,106.93
9,524.79
7,199.36
1,957.93
13,107.64
3,461.79
4,514.07
1,485.50
10,583.36
2,053.36
1,144.79
6,880.14
3,756.93
3,037.64
2,603.36
955.50
13,596.21
12,374.79
7,407.64
17,196.21
671.57
504.21
25,146.21
28,553.36
46,959.50
5,046.21
6,046.50
7,050.50
3,189.07
25,146.21
17,667.64
1,844.36
8,262.64
13,189.07
22,874.79
1,049.36
15,631.93
6,267.64
3,888.64
13,410.50
419,237.49
[back]
2016
PURCHASES
ITEM
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
Air Chamber
Air Compressor
Air Dryer
Air Filters
Alternator
Ball Joints
Battery
Bearings
Bolt-Hub Bolt Set
Brake Cylinder
Brake Lining
Bushing-Stabilizer
Clutch Disc Set
Clutch Hoses
Diesel Tank Belt
Door Lock Assembly
Drum (rear)
Fan Belt
Fan Blade
Feed Pumps
Foot Valve
Front Spring
Fuel Filters
Fuse Plug in
Handle Power Pump
Hub Drum
Hydrauvac
King Pin Kit
Oil Filters
Oil Pumps
Power Stearing Gear
Radiator
Shock Absorbers
Solenoid Switch
Spring Bolt Kits
Switch-Headlight
Tie Rod End
Torque Rod
U Bolt
Wheel Rim
TOTAL
QTY
5
5
5
5
5
5
5
15
15
5
15
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
15
5
5
5
5
15
5
5
5
5
15
5
5
5
15
5
5
15
5
305
UNIT
pcs
pcs
sets
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
sets
pcs
pcs
sets
sets
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
sets
pcs
pcs
24's
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
PER PC/SET
850.20
6,050.00
1,199.00
1,144.50
3,062.90
272.50
2,783.00
665.50
141.70
3,847.80
295.24
1,253.50
381.50
3,097.60
545.00
283.40
1,934.75
1,035.50
828.40
726.00
228.90
3,993.00
3,630.00
2,153.80
4,905.00
147.15
2.18
7,194.00
8,175.00
13,474.58
1,452.00
534.10
1,983.80
872.00
7,194.00
5,203.00
130.80
2,407.90
3,872.00
6,540.00
54.50
4,598.00
1,815.00
327.00
3,815.00
DISCOUNTED PRICE
680.16
4,840.00
959.20
915.60
2,450.32
218.00
2,226.40
532.40
113.36
3,078.24
236.19
1,002.80
305.20
2,478.08
436.00
226.72
1,547.80
828.40
662.72
580.80
183.12
3,194.40
2,904.00
1,723.04
3,924.00
117.72
1.74
5,755.20
6,540.00
10,779.66
1,161.60
427.28
1,587.04
697.60
5,755.20
4,162.40
104.64
1,926.32
3,097.60
5,232.00
43.60
3,678.40
1,452.00
261.60
3,052.00
INPUT VAT
72.87
518.57
102.77
98.10
262.53
23.36
238.54
57.04
12.15
329.81
25.31
107.44
32.70
265.51
46.71
24.29
165.84
88.76
71.01
62.23
19.62
342.26
311.14
184.61
420.43
12.61
0.19
616.63
700.71
1,154.96
124.46
45.78
170.04
74.74
616.63
445.97
11.21
206.39
331.89
560.57
4.67
394.11
155.57
28.03
327.00
9,865.77
OVERHEAD
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
33.53
TOTAL PURCHASES
3,204.09
21,774.80
4,449.80
4,255.16
11,106.59
1,140.87
10,106.94
7,633.33
2,021.19
13,909.80
3,666.26
4,644.44
1,530.16
11,230.52
2,114.09
1,179.80
7,077.48
3,865.87
3,126.23
2,760.52
985.16
14,428.37
13,131.94
7,859.80
17,685.52
693.19
526.33
25,860.52
29,364.09
48,291.16
5,353.37
6,225.47
7,252.66
3,281.94
25,860.52
18,749.80
1,904.40
8,767.30
13,996.23
23,524.80
1,086.90
16,589.09
6,649.80
4,006.55
13,792.66
436,665.50
[back]
2017
PURCHASES
ITEM
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
Air Chamber
Air Compressor
Air Dryer
Air Filters
Alternator
Ball Joints
Battery
Bearings
Bolt-Hub Bolt Set
Brake Cylinder
Brake Lining
Bushing-Stabilizer
Clutch Disc Set
Clutch Hoses
Diesel Tank Belt
Door Lock Assembly
Drum (rear)
Fan Belt
Fan Blade
Feed Pumps
Foot Valve
Front Spring
Fuel Filters
Fuse Plug in
Handle Power Pump
Hub Drum
Hydrauvac
King Pin Kit
Oil Filters
Oil Pumps
Power Stearing Gear
Radiator
Shock Absorbers
Solenoid Switch
Spring Bolt Kits
Switch-Headlight
Tie Rod End
Torque Rod
U Bolt
Wheel Rim
TOTAL
QTY
5
5
5
5
5
5
5
15
15
5
15
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
15
5
5
5
5
15
5
5
5
5
15
5
5
5
15
5
5
15
5
305
UNIT
pcs
pcs
sets
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
sets
pcs
pcs
sets
sets
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
sets
pcs
pcs
24's
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
PER PC/SET
873.60
6,400.00
1,232.00
1,176.00
3,147.20
280.00
2,944.00
704.00
145.60
4,070.40
312.32
1,288.00
392.00
3,276.80
560.00
291.20
1,988.00
1,064.00
851.20
768.00
235.20
4,224.00
3,840.00
2,278.40
5,040.00
151.20
2.24
7,392.00
8,400.00
13,845.44
1,536.00
548.80
2,038.40
896.00
7,392.00
5,504.00
134.40
2,547.20
4,096.00
6,720.00
56.00
4,864.00
1,920.00
336.00
3,920.00
DISCOUNTED PRICE
698.88
5,120.00
985.60
940.80
2,517.76
224.00
2,355.20
563.20
116.48
3,256.32
249.86
1,030.40
313.60
2,621.44
448.00
232.96
1,590.40
851.20
680.96
614.40
188.16
3,379.20
3,072.00
1,822.72
4,032.00
120.96
1.79
5,913.60
6,720.00
11,076.35
1,228.80
439.04
1,630.72
716.80
5,913.60
4,403.20
107.52
2,037.76
3,276.80
5,376.00
44.80
3,891.20
1,536.00
268.80
3,136.00
INPUT VAT
74.88
548.57
105.60
100.80
269.76
24.00
252.34
60.34
12.48
348.89
26.77
110.40
33.60
280.87
48.00
24.96
170.40
91.20
72.96
65.83
20.16
362.06
329.14
195.29
432.00
12.96
0.19
633.60
720.00
1,186.75
131.66
47.04
174.72
76.80
633.60
471.77
11.52
218.33
351.09
576.00
4.80
416.91
164.57
28.80
336.00
10,258.42
OVERHEAD
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
35.03
TOTAL PURCHASES
3,295.14
23,032.28
4,575.14
4,375.14
11,415.14
1,175.14
10,689.42
8,068.26
2,085.41
14,712.28
3,871.69
4,775.14
1,575.14
11,877.99
2,175.14
1,215.14
7,275.14
3,975.14
3,215.14
2,917.99
1,015.14
15,260.85
13,889.42
8,312.28
18,175.14
715.14
549.41
26,575.14
30,175.14
49,623.14
5,660.85
6,405.41
7,455.14
3,375.14
26,575.14
19,832.28
1,965.41
9,272.28
14,803.71
24,175.14
1,125.41
17,546.56
7,032.28
4,125.41
14,175.14
454,112.99
[back]
2018
PURCHASES
ITEM
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
Air Chamber
Air Compressor
Air Dryer
Air Filters
Alternator
Ball Joints
Battery
Bearings
Bolt-Hub Bolt Set
Brake Cylinder
Brake Lining
Bushing-Stabilizer
Clutch Disc Set
Clutch Hoses
Diesel Tank Belt
Door Lock Assembly
Drum (rear)
Fan Belt
Fan Blade
Feed Pumps
Foot Valve
Front Spring
Fuel Filters
Fuse Plug in
Handle Power Pump
Hub Drum
Hydrauvac
King Pin Kit
Oil Filters
Oil Pumps
Power Stearing Gear
Radiator
Shock Absorbers
Solenoid Switch
Spring Bolt Kits
Switch-Headlight
Tie Rod End
Torque Rod
U Bolt
Wheel Rim
TOTAL
QTY
5
5
5
5
5
5
5
15
15
5
15
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
15
5
5
5
5
15
5
5
5
5
15
5
5
5
15
5
5
15
5
305
UNIT
pcs
pcs
sets
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
sets
pcs
pcs
sets
sets
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
sets
pcs
pcs
24's
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
PER PC/SET
897.00
6,750.00
1,265.00
1,207.50
3,231.50
287.50
3,105.00
742.50
149.50
4,293.00
329.40
1,322.50
402.50
3,456.00
575.00
299.00
2,041.25
1,092.50
874.00
810.00
241.50
4,455.00
4,050.00
2,403.00
5,175.00
155.25
2.30
7,590.00
8,625.00
14,216.30
1,620.00
563.50
2,093.00
920.00
7,590.00
5,805.00
138.00
2,686.50
4,320.00
6,900.00
57.50
5,130.00
2,025.00
345.00
4,025.00
DISCOUNTED PRICE
717.60
5,400.00
1,012.00
966.00
2,585.20
230.00
2,484.00
594.00
119.60
3,434.40
263.52
1,058.00
322.00
2,764.80
460.00
239.20
1,633.00
874.00
699.20
648.00
193.20
3,564.00
3,240.00
1,922.40
4,140.00
124.20
1.84
6,072.00
6,900.00
11,373.04
1,296.00
450.80
1,674.40
736.00
6,072.00
4,644.00
110.40
2,149.20
3,456.00
5,520.00
46.00
4,104.00
1,620.00
276.00
3,220.00
INPUT VAT
76.89
578.57
108.43
103.50
276.99
24.64
266.14
63.64
12.81
367.97
28.23
113.36
34.50
296.23
49.29
25.63
174.96
93.64
74.91
69.43
20.70
381.86
347.14
205.97
443.57
13.31
0.20
650.57
739.29
1,218.54
138.86
48.30
179.40
78.86
650.57
497.57
11.83
230.27
370.29
591.43
4.93
439.71
173.57
29.57
345.00
10,651.07
OVERHEAD
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
36.59
TOTAL PURCHASES
3,386.52
24,290.09
4,700.80
4,495.45
11,724.02
1,209.73
11,272.23
8,504.20
2,150.63
15,515.09
4,078.13
4,906.16
1,620.45
12,525.80
2,236.52
1,250.80
7,473.13
4,084.73
3,304.38
3,075.80
1,045.45
16,093.66
14,647.23
8,765.09
18,665.09
737.41
573.48
27,290.09
30,986.52
50,955.45
5,968.66
6,586.34
7,657.95
3,468.66
27,290.09
20,915.09
2,027.41
9,777.59
15,611.52
24,825.80
1,164.91
18,504.38
7,415.09
4,245.27
14,557.95
471,580.82
[back]
2019
PURCHASES
ITEM
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
Air Chamber
Air Compressor
Air Dryer
Air Filters
Alternator
Ball Joints
Battery
Bearings
Bolt-Hub Bolt Set
Brake Cylinder
Brake Lining
Bushing-Stabilizer
Clutch Disc Set
Clutch Hoses
Diesel Tank Belt
Door Lock Assembly
Drum (rear)
Fan Belt
Fan Blade
Feed Pumps
Foot Valve
Front Spring
Fuel Filters
Fuse Plug in
Handle Power Pump
Hub Drum
Hydrauvac
King Pin Kit
Oil Filters
Oil Pumps
Power Stearing Gear
Radiator
Shock Absorbers
Solenoid Switch
Spring Bolt Kits
Switch-Headlight
Tie Rod End
Torque Rod
U Bolt
Wheel Rim
TOTAL
QTY
5
5
5
5
5
5
5
15
15
5
15
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
15
5
5
5
5
15
5
5
5
5
15
5
5
5
15
5
5
15
5
305
UNIT
pcs
pcs
sets
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
sets
pcs
pcs
sets
sets
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
sets
pcs
pcs
24's
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
PER PC/SET
920.40
7,100.00
1,298.00
1,239.00
3,315.80
295.00
3,266.00
781.00
153.40
4,515.60
346.48
1,357.00
413.00
3,635.20
590.00
306.80
2,094.50
1,121.00
896.80
852.00
247.80
4,686.00
4,260.00
2,527.60
5,310.00
159.30
2.36
7,788.00
8,850.00
14,587.16
1,704.00
578.20
2,147.60
944.00
7,788.00
6,106.00
141.60
2,825.80
4,544.00
7,080.00
59.00
5,396.00
2,130.00
354.00
4,130.00
DISCOUNTED PRICE
736.32
5,680.00
1,038.40
991.20
2,652.64
236.00
2,612.80
624.80
122.72
3,612.48
277.18
1,085.60
330.40
2,908.16
472.00
245.44
1,675.60
896.80
717.44
681.60
198.24
3,748.80
3,408.00
2,022.08
4,248.00
127.44
1.89
6,230.40
7,080.00
11,669.73
1,363.20
462.56
1,718.08
755.20
6,230.40
4,884.80
113.28
2,260.64
3,635.20
5,664.00
47.20
4,316.80
1,704.00
283.20
3,304.00
INPUT VAT
78.89
608.57
111.26
106.20
284.21
25.29
279.94
66.94
13.15
387.05
29.70
116.31
35.40
311.59
50.57
26.30
179.53
96.09
76.87
73.03
21.24
401.66
365.14
216.65
455.14
13.65
0.20
667.54
758.57
1,250.33
146.06
49.56
184.08
80.91
667.54
523.37
12.14
242.21
389.49
606.86
5.06
462.51
182.57
30.34
354.00
11,043.72
OVERHEAD
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
38.22
TOTAL PURCHASES
3,478.25
25,548.25
4,826.82
4,616.11
12,033.25
1,244.68
11,855.39
8,941.18
2,216.89
16,318.25
4,285.60
5,037.53
1,666.11
13,173.96
2,298.25
1,286.82
7,671.46
4,194.68
3,393.96
3,233.96
1,076.11
16,926.82
15,405.39
9,218.25
19,155.39
760.03
598.60
28,005.39
31,798.25
52,288.11
6,276.82
6,768.32
7,861.11
3,562.53
28,005.39
21,998.25
2,090.46
10,283.25
16,419.68
25,476.82
1,205.46
19,462.53
7,798.25
4,366.18
14,941.11
489,069.91
Appendix C: Breakdown of Cost of Sales [back]

JANUARY 2015
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
ITEM
Air Chamber
Air Compressor
Air Dryer
Air Filters
Alternator
Ball Joints
Battery
Bearings
Bolt-Hub Bolt Set
Brake Cylinder
Brake Lining
Bushing-Stabilizer
Clutch Disc Set
Clutch Hoses
Diesel Tank Belt
Door Lock Assembly
Drum (rear)
Fan Belt
Fan Blade
Feed Pumps
Foot Valve
Front Spring
Fuel Filters
Fuse Plug in
Handle Power Pump
Hub Drum
Hydrauvac
King Pin Kit
Oil Filters
Oil Pumps
Power Stearing Gear
Radiator
Shock Absorbers
Solenoid Switch
Spring Bolt Kits
Switch-Headlight
Tie Rod End
Torque Rod
U Bolt
Wheel Rim
TOTAL
QTY
3
3
3
3
3
3
3
9
9
3
9
3
3
3
3
3
3
3
3
3
3
3
3
3
3
3
9
3
3
3
3
9
3
3
3
3
9
3
3
3
9
3
3
9
3
UNIT
pcs
pcs
sets
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
sets
pcs
pcs
sets
sets
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
sets
pcs
pcs
24's
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
COST OF SALES
DISCOUNTED PRICE
OH RATE
642.72
32.10
4,280.00
32.10
906.40
32.10
865.20
32.10
2,315.44
32.10
206.00
32.10
1,968.80
32.10
470.80
32.10
107.12
32.10
2,722.08
32.10
208.86
32.10
947.60
32.10
288.40
32.10
2,191.36
32.10
412.00
32.10
214.24
32.10
1,462.60
32.10
782.80
32.10
626.24
32.10
513.60
32.10
173.04
32.10
2,824.80
32.10
2,568.00
32.10
1,523.68
32.10
3,708.00
32.10
111.24
32.10
1.65
32.10
5,438.40
32.10
6,180.00
32.10
10,186.29
32.10
1,027.20
32.10
403.76
32.10
1,499.68
32.10
659.20
32.10
5,438.40
32.10
3,680.80
32.10
98.88
32.10
1,703.44
32.10
2,739.20
32.10
4,944.00
32.10
41.20
32.10
3,252.80
32.10
1,284.00
32.10
247.20
32.10
2,884.00
32.10
INPUT VAT
68.86
458.57
97.11
92.70
248.08
22.07
210.94
50.44
11.48
291.65
22.38
101.53
30.90
234.79
44.14
22.95
156.71
83.87
67.10
55.03
18.54
302.66
275.14
163.25
397.29
11.92
0.18
582.69
662.14
1,091.39
110.06
43.26
160.68
70.63
582.69
394.37
10.59
182.51
293.49
529.71
4.41
348.51
137.57
26.49
309.00
9,080.48
COST OF SALES
1,817.87
11,560.59
2,524.16
2,413.80
6,298.37
648.09
5,369.87
4,072.11
1,149.69
7,387.59
1,967.27
2,634.51
868.80
5,966.01
1,199.87
670.16
4,013.98
2,193.09
1,773.73
1,472.01
559.80
7,662.73
6,974.87
4,177.59
10,028.44
394.26
302.14
14,663.44
16,649.87
27,381.00
2,847.73
3,533.40
4,113.30
1,862.01
14,663.44
9,955.59
1,083.47
4,659.09
7,433.44
13,339.16
619.97
8,809.16
3,535.59
2,275.33
7,821.30
241,347.68
Appendix C: Breakdown of Cost of Sales (Continuation) [back]

FEBRUARY 2015
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
ITEM
Air Chamber
Air Compressor
Air Dryer
Air Filters
Alternator
Ball Joints
Battery
Bearings
Bolt-Hub Bolt Set
Brake Cylinder
Brake Lining
Bushing-Stabilizer
Clutch Disc Set
Clutch Hoses
Diesel Tank Belt
Door Lock Assembly
Drum (rear)
Fan Belt
Fan Blade
Feed Pumps
Foot Valve
Front Spring
Fuel Filters
Fuse Plug in
Handle Power Pump
Hub Drum
Hydrauvac
King Pin Kit
Oil Filters
Oil Pumps
Power Stearing Gear
Radiator
Shock Absorbers
Solenoid Switch
Spring Bolt Kits
Switch-Headlight
Tie Rod End
Torque Rod
U Bolt
Wheel Rim
TOTAL
DISCOUNTED PRICE
661.44
4,560.00
932.80
890.40
2,382.88
212.00
2,097.60
501.60
110.24
2,900.16
222.53
975.20
296.80
2,334.72
424.00
220.48
1,505.20
805.60
644.48
547.20
178.08
3,009.60
2,736.00
1,623.36
3,816.00
114.48
1.70
5,596.80
6,360.00
10,482.98
1,094.40
415.52
1,543.36
678.40
5,596.80
3,921.60
101.76
1,814.88
2,918.40
5,088.00
42.40
3,465.60
1,368.00
254.40
2,968.00
COST OF SALES
OH RATE
INPUT VAT QTY
32.10
70.87
2
32.10
488.57
2
32.10
99.94
2
32.10
95.40
2
32.10
255.31
2
32.10
22.71
2
32.10
224.74
2
32.10
53.74
6
32.10
11.81
6
32.10
310.73
2
32.10
23.84
6
32.10
104.49
2
32.10
31.80
2
32.10
250.15
2
32.10
45.43
2
32.10
23.62
2
32.10
161.27
2
32.10
86.31
2
32.10
69.05
2
32.10
58.63
2
32.10
19.08
2
32.10
322.46
2
32.10
293.14
2
32.10
173.93
2
32.10
408.86
2
32.10
12.27
2
32.10
0.18
6
32.10
599.66
2
32.10
681.43
2
32.10
1,123.18
2
32.10
117.26
2
32.10
44.52
6
32.10
165.36
2
32.10
72.69
2
32.10
599.66
2
32.10
420.17
2
32.10
10.90
6
32.10
194.45
2
32.10
312.69
2
32.10
545.14
2
32.10
4.54
6
32.10
371.31
2
32.10
146.57
2
32.10
27.26
6
32.10
318.00
2
9,473.13
PRIOR PRICE QTY

1,211.91
2
7,707.06
2
1,682.77
2
1,609.20
2
4,198.91
2
432.06
2
3,579.91
2
2,714.74
7
766.46
7
4,925.06
2
1,311.51
7
1,756.34
2
579.20
2
3,977.34
2
799.91
2
446.77
2
2,675.99
2
1,462.06
2
1,182.49
2
981.34
2
373.20
2
5,108.49
2
4,649.91
2
2,785.06
2
6,685.63
2
262.84
2
201.43
7
9,775.63
2
11,099.91
2
18,254.00
2
1,898.49
2
2,355.60
7
2,742.20
2
1,241.34
2
9,775.63
2
6,637.06
2
722.31
7
3,106.06
2
4,955.63
2
8,892.77
2
413.31
7
5,872.77
2
2,357.06
2
1,516.89
7
5,214.20
2
160,898.45
CURRENT PRICE
1,245.34
8,207.06
1,729.91
1,654.20
4,319.34
442.77
3,809.91
3,359.70
913.70
5,243.06
1,615.50
1,805.63
594.20
4,233.34
821.34
457.91
2,752.06
1,502.77
1,215.06
1,041.34
382.20
5,438.49
4,949.91
2,963.06
6,878.49
268.63
235.30
10,058.49
11,421.34
18,783.80
2,018.49
2,821.70
2,820.20
1,275.63
10,058.49
7,067.06
860.70
3,305.06
5,275.63
9,149.91
489.70
6,252.77
2,507.06
1,814.70
5,364.20
169,425.14
TOTAL
2,457.26
15,914.11
3,412.69
3,263.40
8,518.26
874.83
7,389.83
6,074.44
1,680.16
10,168.11
2,927.01
3,561.97
1,173.40
8,210.69
1,621.26
904.69
5,428.04
2,964.83
2,397.54
2,022.69
755.40
10,546.97
9,599.83
5,748.11
13,564.11
531.47
436.73
19,834.11
22,521.26
37,037.80
3,916.97
5,177.30
5,562.40
2,516.97
19,834.11
13,704.11
1,583.01
6,411.11
10,231.26
18,042.69
903.01
12,125.54
4,864.11
3,331.59
10,578.40
330,323.59

MARCH TO DECEMBER 2015
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
ITEM
Air Chamber
Air Compressor
Air Dryer
Air Filters
Alternator
Ball Joints
Battery
Bearings
Bolt-Hub Bolt Set
Brake Cylinder
Brake Lining
Bushing-Stabilizer
Clutch Disc Set
Clutch Hoses
Diesel Tank Belt
Door Lock Assembly
Drum (rear)
Fan Belt
Fan Blade
Feed Pumps
Foot Valve
Front Spring
Fuel Filters
Fuse Plug in
Handle Power Pump
Hub Drum
Hydrauvac
King Pin Kit
Oil Filters
Oil Pumps
Power Stearing Gear
Radiator
Shock Absorbers
Solenoid Switch
Spring Bolt Kits
Switch-Headlight
Tie Rod End
Torque Rod
U Bolt
Wheel Rim
TOTAL
DISCOUNTED PRICE
661.44
4,560.00
932.80
890.40
2,382.88
212.00
2,097.60
501.60
110.24
2,900.16
222.53
975.20
296.80
2,334.72
424.00
220.48
1,505.20
805.60
644.48
547.20
178.08
3,009.60
2,736.00
1,623.36
3,816.00
114.48
1.70
5,596.80
6,360.00
10,482.98
1,094.40
415.52
1,543.36
678.40
5,596.80
3,921.60
101.76
1,814.88
2,918.40
5,088.00
42.40
3,465.60
1,368.00
254.40
2,968.00
COST OF SALES
OH RATE
INPUT VAT QTY
32.10
70.87
3
32.10
488.57
3
32.10
99.94
3
32.10
95.40
3
32.10
255.31
3
32.10
22.71
3
32.10
224.74
3
32.10
53.74
8
32.10
11.81
8
32.10
310.73
3
32.10
23.84
8
32.10
104.49
3
32.10
31.80
3
32.10
250.15
3
32.10
45.43
3
32.10
23.62
3
32.10
161.27
3
32.10
86.31
3
32.10
69.05
3
32.10
58.63
3
32.10
19.08
3
32.10
322.46
3
32.10
293.14
3
32.10
173.93
3
32.10
408.86
3
32.10
12.27
3
32.10
0.18
8
32.10
599.66
3
32.10
681.43
3
32.10
1,123.18
3
32.10
117.26
3
32.10
44.52
8
32.10
165.36
3
32.10
72.69
3
32.10
599.66
3
32.10
420.17
3
32.10
10.90
8
32.10
194.45
3
32.10
312.69
3
32.10
545.14
3
32.10
4.54
8
32.10
371.31
3
32.10
146.57
3
32.10
27.26
8
32.10
318.00
3
9,473.13
PRIOR PRICE QTY

1,868.01
2
12,310.59
2
2,594.87
2
2,481.30
2
6,479.01
2
664.16
2
5,714.87
2
3,839.66
7
1,044.23
7
7,864.59
2
1,846.29
7
2,708.44
2
891.30
2
6,350.01
2
1,232.01
2
686.87
2
4,128.09
2
2,254.16
2
1,822.59
2
1,562.01
2
573.30
2
8,157.73
2
7,424.87
2
4,444.59
2
10,317.73
2
402.94
2
268.91
7
15,087.73
2
17,132.01
2
28,175.70
2
3,027.73
2
3,224.80
7
4,230.30
2
1,913.44
2
15,087.73
2
10,600.59
2
983.66
7
4,957.59
2
7,913.44
2
13,724.87
2
559.66
7
9,379.16
2
3,760.59
2
2,073.94
7
8,046.30
2
249,812.35
CURRENT PRICE
1,245.34
8,207.06
1,729.91
1,654.20
4,319.34
442.77
3,809.91
3,359.70
913.70
5,243.06
1,615.50
1,805.63
594.20
4,233.34
821.34
457.91
2,752.06
1,502.77
1,215.06
1,041.34
382.20
5,438.49
4,949.91
2,963.06
6,878.49
268.63
235.30
10,058.49
11,421.34
18,783.80
2,018.49
2,821.70
2,820.20
1,275.63
10,058.49
7,067.06
860.70
3,305.06
5,275.63
9,149.91
489.70
6,252.77
2,507.06
1,814.70
5,364.20
169,425.14
TOTAL
3,113.36
20,517.64
4,324.79
4,135.50
10,798.36
1,106.93
9,524.79
7,199.36
1,957.93
13,107.64
3,461.79
4,514.07
1,485.50
10,583.36
2,053.36
1,144.79
6,880.14
3,756.93
3,037.64
2,603.36
955.50
13,596.21
12,374.79
7,407.64
17,196.21
671.57
504.21
25,146.21
28,553.36
46,959.50
5,046.21
6,046.50
7,050.50
3,189.07
25,146.21
17,667.64
1,844.36
8,262.64
13,189.07
22,874.79
1,049.36
15,631.93
6,267.64
3,888.64
13,410.50
419,237.49

JANUARY 2016
ITEM
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
Air Chamber
Air Compressor
Air Dryer
Air Filters
Alternator
Ball Joints
Battery
Bearings
Bolt-Hub Bolt Set
Brake Cylinder
Brake Lining
Bushing-Stabilizer
Clutch Disc Set
Clutch Hoses
Diesel Tank Belt
Door Lock Assembly
Drum (rear)
Fan Belt
Fan Blade
Feed Pumps
Foot Valve
Front Spring
Fuel Filters
Fuse Plug in
Handle Power Pump
Hub Drum
Hydrauvac
King Pin Kit
Oil Filters
Oil Pumps
Power Stearing Gear
Radiator
Shock Absorbers
Solenoid Switch
Spring Bolt Kits
Switch-Headlight
Tie Rod End
Torque Rod
U Bolt
Wheel Rim
TOTAL
DISCOUNTED PRICE
680.16
4,840.00
959.20
915.60
2,450.32
218.00
2,226.40
532.40
113.36
3,078.24
236.19
1,002.80
305.20
2,478.08
436.00
226.72
1,547.80
828.40
662.72
580.80
183.12
3,194.40
2,904.00
1,723.04
3,924.00
117.72
1.74
5,755.20
6,540.00
10,779.66
1,161.60
427.28
1,587.04
697.60
5,755.20
4,162.40
104.64
1,926.32
3,097.60
5,232.00
43.60
3,678.40
1,452.00
261.60
3,052.00
COST OF SALES
OH RATE INPUT VAT QTY
33.53
72.87
3
33.53
518.57
3
33.53
102.77
3
33.53
98.10
3
33.53
262.53
3
33.53
23.36
3
33.53
238.54
3
33.53
57.04
8
33.53
12.15
8
33.53
329.81
3
33.53
25.31
8
33.53
107.44
3
33.53
32.70
3
33.53
265.51
3
33.53
46.71
3
33.53
24.29
3
33.53
165.84
3
33.53
88.76
3
33.53
71.01
3
33.53
62.23
3
33.53
19.62
3
33.53
342.26
3
33.53
311.14
3
33.53
184.61
3
33.53
420.43
3
33.53
12.61
3
33.53
0.19
8
33.53
616.63
3
33.53
700.71
3
33.53
1,154.96
3
33.53
124.46
3
33.53
45.78
8
33.53
170.04
3
33.53
74.74
3
33.53
616.63
3
33.53
445.97
3
33.53
11.21
8
33.53
206.39
3
33.53
331.89
3
33.53
560.57
3
33.53
4.67
8
33.53
394.11
3
33.53
155.57
3
33.53
28.03
8
33.53
327.00
3
9,865.77
PRIOR PRICE QTY

1,868.01
2
12,310.59
2
2,594.87
2
2,481.30
2
6,479.01
2
664.16
2
5,714.87
2
3,839.66
6
1,044.23
6
7,864.59
2
1,846.29
6
2,708.44
2
891.30
2
6,350.01
2
1,232.01
2
686.87
2
4,128.09
2
2,254.16
2
1,822.59
2
1,562.01
2
573.30
2
8,157.73
2
7,424.87
2
4,444.59
2
10,317.73
2
402.94
2
268.91
6
15,087.73
2
17,132.01
2
28,175.70
2
3,027.73
2
3,224.80
6
4,230.30
2
1,913.44
2
15,087.73
2
10,600.59
2
983.66
6
4,957.59
2
7,913.44
2
13,724.87
2
559.66
6
9,379.16
2
3,760.59
2
2,073.94
6
8,046.30
2
249,812.35
CURRENT PRICE
1,281.63
8,709.92
1,779.92
1,702.06
4,442.63
456.35
4,042.78
3,053.33
808.48
5,563.92
1,466.50
1,857.78
612.06
4,492.21
845.63
471.92
2,830.99
1,546.35
1,250.49
1,104.21
394.06
5,771.35
5,252.78
3,143.92
7,074.21
277.28
210.53
10,344.21
11,745.63
19,316.46
2,141.35
2,490.19
2,901.06
1,312.78
10,344.21
7,499.92
761.76
3,506.92
5,598.49
9,409.92
434.76
6,635.63
2,659.92
1,602.62
5,517.06
174,666.20
TOTAL
3,149.65
21,020.51
4,374.79
4,183.36
10,921.65
1,120.51
9,757.65
6,892.99
1,852.70
13,428.51
3,312.79
4,566.22
1,503.36
10,842.22
2,077.65
1,158.79
6,959.08
3,800.51
3,073.08
2,666.22
967.36
13,929.08
12,677.65
7,588.51
17,391.93
680.22
479.45
25,431.93
28,877.65
47,492.16
5,169.08
5,714.99
7,131.36
3,226.22
25,431.93
18,100.51
1,745.42
8,464.51
13,511.93
23,134.79
994.42
16,014.79
6,420.51
3,676.56
13,563.36
424,478.55

ITEM
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
Air Chamber
Air Compressor
Air Dryer
Air Filters
Alternator
Ball Joints
Battery
Bearings
Bolt-Hub Bolt Set
Brake Cylinder
Brake Lining
Bushing-Stabilizer
Clutch Disc Set
Clutch Hoses
Diesel Tank Belt
Door Lock Assembly
Drum (rear)
Fan Belt
Fan Blade
Feed Pumps
Foot Valve
Front Spring
Fuel Filters
Fuse Plug in
Handle Power Pump
Hub Drum
Hydrauvac
King Pin Kit
Oil Filters
Oil Pumps
Power Stearing Gear
Radiator
Shock Absorbers
Solenoid Switch
Spring Bolt Kits
Switch-Headlight
Tie Rod End
Torque Rod
U Bolt
Wheel Rim
TOTAL
DISCOUNTED PRICE
680.16
4,840.00
959.20
915.60
2,450.32
218.00
2,226.40
532.40
113.36
3,078.24
236.19
1,002.80
305.20
2,478.08
436.00
226.72
1,547.80
828.40
662.72
580.80
183.12
3,194.40
2,904.00
1,723.04
3,924.00
117.72
1.74
5,755.20
6,540.00
10,779.66
1,161.60
427.28
1,587.04
697.60
5,755.20
4,162.40
104.64
1,926.32
3,097.60
5,232.00
43.60
3,678.40
1,452.00
261.60
3,052.00
COST OF SALES
33.53
72.87
3
33.53
518.57
3
33.53
102.77
3
33.53
98.10
3
33.53
262.53
3
33.53
23.36
3
33.53
238.54
3
33.53
57.04
9
33.53
12.15
9
33.53
329.81
3
33.53
25.31
9
33.53
107.44
3
33.53
32.70
3
33.53
265.51
3
33.53
46.71
3
33.53
24.29
3
33.53
165.84
3
33.53
88.76
3
33.53
71.01
3
33.53
62.23
3
33.53
19.62
3
33.53
342.26
3
33.53
311.14
3
33.53
184.61
3
33.53
420.43
3
33.53
12.61
3
33.53
0.19
9
33.53
616.63
3
33.53
700.71
3
33.53
1,154.96
3
33.53
124.46
3
33.53
45.78
9
33.53
170.04
3
33.53
74.74
3
33.53
616.63
3
33.53
445.97
3
33.53
11.21
9
33.53
206.39
3
33.53
331.89
3
33.53
560.57
3
33.53
4.67
9
33.53
394.11
3
33.53
155.57
3
33.53
28.03
9
33.53
327.00
3
9,865.77
PRIOR PRICE QTY

1,922.45
2
13,064.88
2
2,669.88
2
2,553.09
2
6,663.95
2
684.52
2
6,064.17
2
4,580.00
6
1,212.71
6
8,345.88
2
2,199.76
6
2,786.67
2
918.09
2
6,738.31
2
1,268.45
2
707.88
2
4,246.49
2
2,319.52
2
1,875.74
2
1,656.31
2
591.09
2
8,657.02
2
7,879.17
2
4,715.88
2
10,611.31
2
415.92
2
315.80
6
15,516.31
2
17,618.45
2
28,974.69
2
3,212.02
2
3,735.28
6
4,351.59
2
1,969.17
2
15,516.31
2
11,249.88
2
1,142.64
6
5,260.38
2
8,397.74
2
14,114.88
2
652.14
6
9,953.45
2
3,989.88
2
2,403.93
6
8,275.59
2
261,999.30
CURRENT PRICE
1,281.63
8,709.92
1,779.92
1,702.06
4,442.63
456.35
4,042.78
3,053.33
808.48
5,563.92
1,466.50
1,857.78
612.06
4,492.21
845.63
471.92
2,830.99
1,546.35
1,250.49
1,104.21
394.06
5,771.35
5,252.78
3,143.92
7,074.21
277.28
210.53
10,344.21
11,745.63
19,316.46
2,141.35
2,490.19
2,901.06
1,312.78
10,344.21
7,499.92
761.76
3,506.92
5,598.49
9,409.92
434.76
6,635.63
2,659.92
1,602.62
5,517.06
174,666.20
TOTAL
3,204.09
21,774.80
4,449.80
4,255.16
11,106.59
1,140.87
10,106.94
7,633.33
2,021.19
13,909.80
3,666.26
4,644.44
1,530.16
11,230.52
2,114.09
1,179.80
7,077.48
3,865.87
3,126.23
2,760.52
985.16
14,428.37
13,131.94
7,859.80
17,685.52
693.19
526.33
25,860.52
29,364.09
48,291.16
5,353.37
6,225.47
7,252.66
3,281.94
25,860.52
18,749.80
1,904.40
8,767.30
13,996.23
23,524.80
9.00
16,589.09
6,649.80
4,006.55
13,792.66
435,587.60

2017
ITEM
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
Air Chamber
Air Compressor
Air Dryer
Air Filters
Alternator
Ball Joints
Battery
Bearings
Bolt-Hub Bolt Set
Brake Cylinder
Brake Lining
Bushing-Stabilizer
Clutch Disc Set
Clutch Hoses
Diesel Tank Belt
Door Lock Assembly
Drum (rear)
Fan Belt
Fan Blade
Feed Pumps
Foot Valve
Front Spring
Fuel Filters
Fuse Plug in
Handle Power Pump
Hub Drum
Hydrauvac
King Pin Kit
Oil Filters
Oil Pumps
Power Stearing Gear
Radiator
Shock Absorbers
Solenoid Switch
Spring Bolt Kits
Switch-Headlight
Tie Rod End
Torque Rod
U Bolt
Wheel Rim
TOTAL
DISCOUNTED PRICE
698.88
5,120.00
985.60
940.80
2,517.76
224.00
2,355.20
563.20
116.48
3,256.32
249.86
1,030.40
313.60
2,621.44
448.00
232.96
1,590.40
851.20
680.96
614.40
188.16
3,379.20
3,072.00
1,822.72
4,032.00
120.96
1.79
5,913.60
6,720.00
11,076.35
1,228.80
439.04
1,630.72
716.80
5,913.60
4,403.20
107.52
2,037.76
3,276.80
5,376.00
44.80
3,891.20
1,536.00
268.80
3,136.00
COST OF SALES
35.03
74.88
3
35.03
548.57
3
35.03
105.60
3
35.03
100.80
3
35.03
269.76
3
35.03
24.00
3
35.03
252.34
3
35.03
60.34
7
35.03
12.48
7
35.03
348.89
3
35.03
26.77
7
35.03
110.40
3
35.03
33.60
3
35.03
280.87
3
35.03
48.00
3
35.03
24.96
3
35.03
170.40
3
35.03
91.20
3
35.03
72.96
3
35.03
65.83
3
35.03
20.16
3
35.03
362.06
3
35.03
329.14
3
35.03
195.29
3
35.03
432.00
3
35.03
12.96
3
35.03
0.19
7
35.03
633.60
3
35.03
720.00
3
35.03
1,186.75
3
35.03
131.66
3
35.03
47.04
7
35.03
174.72
3
35.03
76.80
3
35.03
633.60
3
35.03
471.77
3
35.03
11.52
7
35.03
218.33
3
35.03
351.09
3
35.03
576.00
3
35.03
4.80
7
35.03
416.91
3
35.03
164.57
3
35.03
28.80
7
35.03
336.00
3
10,258.42
PRIOR PRICE QTY

1,922.45
2
13,064.88
2
2,669.88
2
2,553.09
2
6,663.95
2
684.52
2
6,064.17
2
3,562.22
8
943.22
8
8,345.88
2
1,710.92
8
2,786.67
2
918.09
2
6,738.31
2
1,268.45
2
707.88
2
4,246.49
2
2,319.52
2
1,875.74
2
1,656.31
2
591.09
2
8,657.02
2
7,879.17
2
4,715.88
2
10,611.31
2
415.92
2
245.62
8
15,516.31
2
17,618.45
2
28,974.69
2
3,212.02
2
2,905.22
8
4,351.59
2
1,969.17
2
15,516.31
2
11,249.88
2
888.72
8
5,260.38
2
8,397.74
2
14,114.88
2
507.22
8
9,953.45
2
3,989.88
2
1,869.72
8
8,275.59
2
258,389.91
CURRENT PRICE
1,318.05
9,212.91
1,830.05
1,750.05
4,566.05
470.05
4,275.77
4,303.07
1,112.22
5,884.91
2,064.90
1,910.05
630.05
4,751.20
870.05
486.05
2,910.05
1,590.05
1,286.05
1,167.20
406.05
6,104.34
5,555.77
3,324.91
7,270.05
286.05
293.02
10,630.05
12,070.05
19,849.25
2,264.34
3,416.22
2,982.05
1,350.05
10,630.05
7,932.91
1,048.22
3,708.91
5,921.48
9,670.05
600.22
7,018.63
2,812.91
2,200.22
5,670.05
185,404.72
TOTAL
3,240.51
22,277.79
4,499.93
4,303.15
11,230.01
1,154.58
10,339.93
7,865.30
2,055.44
14,230.79
3,775.82
4,696.72
1,548.15
11,489.51
2,138.51
1,193.93
7,156.54
3,909.58
3,161.79
2,823.51
997.15
14,761.36
13,434.93
8,040.79
17,881.36
701.97
538.64
26,146.36
29,688.51
48,823.95
5,476.36
6,321.44
7,333.65
3,319.22
26,146.36
19,182.79
1,936.94
8,969.29
14,319.22
23,784.93
1,107.44
16,972.08
6,802.79
4,069.94
13,945.65
443,794.63

2018
ITEM
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
Air Chamber
Air Compressor
Air Dryer
Air Filters
Alternator
Ball Joints
Battery
Bearings
Bolt-Hub Bolt Set
Brake Cylinder
Brake Lining
Bushing-Stabilizer
Clutch Disc Set
Clutch Hoses
Diesel Tank Belt
Door Lock Assembly
Drum (rear)
Fan Belt
Fan Blade
Feed Pumps
Foot Valve
Front Spring
Fuel Filters
Fuse Plug in
Handle Power Pump
Hub Drum
Hydrauvac
King Pin Kit
Oil Filters
Oil Pumps
Power Stearing Gear
Radiator
Shock Absorbers
Solenoid Switch
Spring Bolt Kits
Switch-Headlight
Tie Rod End
Torque Rod
U Bolt
Wheel Rim
TOTAL
DISCOUNTED PRICE
717.60
5,400.00
1,012.00
966.00
2,585.20
230.00
2,484.00
594.00
119.60
3,434.40
263.52
1,058.00
322.00
2,764.80
460.00
239.20
1,633.00
874.00
699.20
648.00
193.20
3,564.00
3,240.00
1,922.40
4,140.00
124.20
1.84
6,072.00
6,900.00
11,373.04
1,296.00
450.80
1,674.40
736.00
6,072.00
4,644.00
110.40
2,149.20
3,456.00
5,520.00
46.00
4,104.00
1,620.00
276.00
3,220.00
COST OF SALES
36.59
76.89
3
36.59
578.57
3
36.59
108.43
3
36.59
103.50
3
36.59
276.99
3
36.59
24.64
3
36.59
266.14
3
36.59
63.64
9
36.59
12.81
9
36.59
367.97
3
36.59
28.23
9
36.59
113.36
3
36.59
34.50
3
36.59
296.23
3
36.59
49.29
3
36.59
25.63
3
36.59
174.96
3
36.59
93.64
3
36.59
74.91
3
36.59
69.43
3
36.59
20.70
3
36.59
381.86
3
36.59
347.14
3
36.59
205.97
3
36.59
443.57
3
36.59
13.31
3
36.59
0.20
9
36.59
650.57
3
36.59
739.29
3
36.59
1,218.54
3
36.59
138.86
3
36.59
48.30
9
36.59
179.40
3
36.59
78.86
3
36.59
650.57
3
36.59
497.57
3
36.59
11.83
9
36.59
230.27
3
36.59
370.29
3
36.59
591.43
3
36.59
4.93
9
36.59
439.71
3
36.59
173.57
3
36.59
29.57
9
36.59
345.00
3
10,651.07
PRIOR PRICE QTY

1,977.08
2
13,819.37
2
2,745.08
2
2,625.08
2
6,849.08
2
705.08
2
6,413.65
2
4,840.96
6
1,251.24
6
8,827.37
2
2,323.02
6
2,865.08
2
945.08
2
7,126.80
2
1,305.08
2
729.08
2
4,365.08
2
2,385.08
2
1,929.08
2
1,750.80
2
609.08
2
9,156.51
2
8,333.65
2
4,987.37
2
10,905.08
2
429.08
2
329.64
6
15,945.08
2
18,105.08
2
29,773.88
2
3,396.51
2
3,843.24
6
4,473.08
2
2,025.08
2
15,945.08
2
11,899.37
2
1,179.24
6
5,563.37
2
8,882.22
2
14,505.08
2
675.24
6
10,527.94
2
4,219.37
2
2,475.24
6
8,505.08
2
272,467.80
CURRENT PRICE
1,354.61
9,716.04
1,880.32
1,798.18
4,689.61
483.89
4,508.89
3,401.68
860.25
6,206.04
1,631.25
1,962.46
648.18
5,010.32
894.61
500.32
2,989.25
1,633.89
1,321.75
1,230.32
418.18
6,437.46
5,858.89
3,506.04
7,466.04
294.96
229.39
10,916.04
12,394.61
20,382.18
2,387.46
2,634.54
3,063.18
1,387.46
10,916.04
8,366.04
810.96
3,911.04
6,244.61
9,930.32
465.96
7,401.75
2,966.04
1,698.11
5,823.18
188,632.33
TOTAL
3,331.69
23,535.40
4,625.40
4,423.26
11,538.69
1,188.97
10,922.55
8,242.64
2,111.49
15,033.40
3,954.27
4,827.55
1,593.26
12,137.12
2,199.69
1,229.40
7,354.33
4,018.97
3,250.83
2,981.12
1,027.26
15,593.97
14,192.55
8,493.40
18,371.12
724.05
559.04
26,861.12
30,499.69
50,156.06
5,783.97
6,477.78
7,536.26
3,412.55
26,861.12
20,265.40
1,990.21
9,474.40
15,126.83
24,435.40
1,141.21
17,929.69
7,185.40
4,173.35
14,328.26
461,100.12

2019
ITEM
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
Air Chamber
Air Compressor
Air Dryer
Air Filters
Alternator
Ball Joints
Battery
Bearings
Bolt-Hub Bolt Set
Brake Cylinder
Brake Lining
Bushing-Stabilizer
Clutch Disc Set
Clutch Hoses
Diesel Tank Belt
Door Lock Assembly
Drum (rear)
Fan Belt
Fan Blade
Feed Pumps
Foot Valve
Front Spring
Fuel Filters
Fuse Plug in
Handle Power Pump
Hub Drum
Hydrauvac
King Pin Kit
Oil Filters
Oil Pumps
Power Stearing Gear
Radiator
Shock Absorbers
Solenoid Switch
Spring Bolt Kits
Switch-Headlight
Tie Rod End
Torque Rod
U Bolt
Wheel Rim
TOTAL
DISCOUNTED PRICE
736.32
5,680.00
1,038.40
991.20
2,652.64
236.00
2,612.80
624.80
122.72
3,612.48
277.18
1,085.60
330.40
2,908.16
472.00
245.44
1,675.60
896.80
717.44
681.60
198.24
3,748.80
3,408.00
2,022.08
4,248.00
127.44
1.89
6,230.40
7,080.00
11,669.73
1,363.20
462.56
1,718.08
755.20
6,230.40
4,884.80
113.28
2,260.64
3,635.20
5,664.00
47.20
4,316.80
1,704.00
283.20
3,304.00
COST OF SALES
38.22
78.89
3
38.22
608.57
3
38.22
111.26
3
38.22
106.20
3
38.22
284.21
3
38.22
25.29
3
38.22
279.94
3
38.22
66.94
9
38.22
13.15
9
38.22
387.05
3
38.22
29.70
9
38.22
116.31
3
38.22
35.40
3
38.22
311.59
3
38.22
50.57
3
38.22
26.30
3
38.22
179.53
3
38.22
96.09
3
38.22
76.87
3
38.22
73.03
3
38.22
21.24
3
38.22
401.66
3
38.22
365.14
3
38.22
216.65
3
38.22
455.14
3
38.22
13.65
3
38.22
0.20
9
38.22
667.54
3
38.22
758.57
3
38.22
1,250.33
3
38.22
146.06
3
38.22
49.56
9
38.22
184.08
3
38.22
80.91
3
38.22
667.54
3
38.22
523.37
3
38.22
12.14
9
38.22
242.21
3
38.22
389.49
3
38.22
606.86
3
38.22
5.06
9
38.22
462.51
3
38.22
182.57
3
38.22
30.34
9
38.22
354.00
3
11,043.72
PRIOR PRICE QTY

2,031.91
2
14,574.05
2
2,820.48
2
2,697.27
2
7,034.41
2
725.84
2
6,763.34
2
5,102.52
6
1,290.38
6
9,309.05
2
2,446.88
6
2,943.70
2
972.27
2
7,515.48
2
1,341.91
2
750.48
2
4,483.88
2
2,450.84
2
1,982.63
2
1,845.48
2
627.27
2
9,656.20
2
8,788.34
2
5,259.05
2
11,199.05
2
442.45
2
344.09
6
16,374.05
2
18,591.91
2
30,573.27
2
3,581.20
2
3,951.80
6
4,594.77
2
2,081.20
2
16,374.05
2
12,549.05
2
1,216.45
6
5,866.55
2
9,366.91
2
14,895.48
2
698.95
6
11,102.63
2
4,449.05
2
2,547.16
6
8,734.77
2
282,948.49
CURRENT PRICE
1,391.30
10,219.30
1,930.73
1,846.44
4,813.30
497.87
4,742.16
3,576.47
886.76
6,527.30
1,714.24
2,015.01
666.44
5,269.59
919.30
514.73
3,068.59
1,677.87
1,357.59
1,293.59
430.44
6,770.73
6,162.16
3,687.30
7,662.16
304.01
239.44
11,202.16
12,719.30
20,915.24
2,510.73
2,707.33
3,144.44
1,425.01
11,202.16
8,799.30
836.18
4,113.30
6,567.87
10,190.73
482.18
7,785.01
3,119.30
1,746.47
5,976.44
195,627.96
TOTAL
3,423.21
24,793.35
4,751.21
4,543.71
11,847.71
1,223.71
11,505.50
8,678.99
2,177.13
15,836.35
4,161.12
4,958.71
1,638.71
12,785.07
2,261.21
1,265.21
7,552.46
4,128.71
3,340.21
3,139.07
1,057.71
16,426.92
14,950.50
8,946.35
18,861.21
746.46
583.53
27,576.21
31,311.21
51,488.51
6,091.92
6,659.13
7,739.21
3,506.21
27,576.21
21,348.35
2,052.63
9,979.85
15,934.78
25,086.21
1,181.13
18,887.64
7,568.35
4,293.63
14,711.21
478,576.46
Appendix D: Breakdown of Sales [back]

JANUARY 2015
ITEM
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
Air Chamber
Air Compressor
Air Dryer
Air Filters
Alternator
Ball Joints
Battery
Bearings
Bolt-Hub Bolt Set
Brake Cylinder
Brake Lining
Bushing-Stabilizer
Clutch Disc Set
Clutch Hoses
Diesel Tank Belt
Door Lock Assembly
Drum (rear)
Fan Belt
Fan Blade
Feed Pumps
Foot Valve
Front Spring
Fuel Filters
Fuse Plug in
Handle Power Pump
Hub Drum
Hydrauvac
King Pin Kit
Oil Filters
Oil Pumps
Power Stearing Gear
Radiator
Shock Absorbers
Solenoid Switch
Spring Bolt Kits
Switch-Headlight
Tie Rod End
Torque Rod
U Bolt
Wheel Rim
TOTAL
QTY
3
3
3
3
3
3
3
9
9
3
9
3
3
3
3
3
3
3
3
3
3
3
3
3
3
3
9
3
3
3
3
9
3
3
3
3
9
3
3
3
9
3
3
9
3
UNIT
pcs
pcs
sets
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
sets
pcs
pcs
sets
sets
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
sets
pcs
pcs
24's
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
COST PER UNIT

766.64
4,923.53
1,067.99
1,020.90
2,678.32
267.53
2,282.16
570.16
154.52
3,143.05
270.80
1,115.07
361.70
2,536.51
502.96
276.95
1,703.64
926.73
747.80
619.07
229.86
3,260.44
2,966.96
1,773.45
4,269.81
159.23
33.98
6,247.41
7,094.96
11,673.57
1,206.04
493.54
1,746.02
785.47
6,247.41
4,238.73
145.11
1,978.89
3,162.61
5,682.39
79.19
3,749.59
1,499.53
314.61
3,328.10
SALES
MARKUP PRICE
1,073.29
6,892.94
1,495.18
1,429.26
3,749.64
374.54
3,195.02
798.22
216.33
4,400.27
379.12
1,561.10
506.38
3,551.12
704.14
387.72
2,385.10
1,297.42
1,046.92
866.70
321.80
4,564.62
4,153.74
2,482.83
5,977.74
222.92
47.58
8,746.38
9,932.94
16,343.00
1,688.46
690.96
2,444.43
1,099.66
8,746.38
5,934.22
203.15
2,770.44
4,427.66
7,955.34
110.86
5,249.42
2,099.34
440.46
4,659.34
TOTAL SALES
3,219.88
20,678.82
4,485.54
4,287.78
11,248.93
1,123.62
9,585.06
7,183.98
1,946.99
13,200.80
3,412.10
4,683.30
1,519.14
10,653.35
2,112.42
1,163.17
7,155.30
3,892.26
3,140.77
2,600.10
965.41
13,693.86
12,461.22
7,448.48
17,933.22
668.77
428.19
26,239.14
29,798.82
49,029.00
5,065.38
6,218.60
7,333.28
3,298.98
26,239.14
17,802.66
1,828.33
8,311.33
13,282.98
23,866.02
997.74
15,748.26
6,298.02
3,964.14
13,978.02
430,192.32
Appendix D: Breakdown of Sales (Continuation) [back]

FEBRUARY 2015
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
ITEM
Air Chamber
Air Compressor
Air Dryer
Air Filters
Alternator
Ball Joints
Battery
Bearings
Bolt-Hub Bolt Set
Brake Cylinder
Brake Lining
Bushing-Stabilizer
Clutch Disc Set
Clutch Hoses
Diesel Tank Belt
Door Lock Assembly
Drum (rear)
Fan Belt
Fan Blade
Feed Pumps
Foot Valve
Front Spring
Fuel Filters
Fuse Plug in
Handle Power Pump
Hub Drum
Hydrauvac
King Pin Kit
Oil Filters
Oil Pumps
Power Stearing Gear
Radiator
Shock Absorbers
Solenoid Switch
Spring Bolt Kits
Switch-Headlight
Tie Rod End
Torque Rod
U Bolt
Wheel Rim
TOTAL
QTY
4
4
4
4
4
4
4
13
13
4
13
4
4
4
4
4
4
4
4
4
4
4
4
4
4
4
13
4
4
4
4
13
4
4
4
4
13
4
4
4
13
4
4
13
4
UNIT
pcs
pcs
sets
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
sets
pcs
pcs
sets
sets
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
sets
pcs
pcs
24's
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
SALES
COST PER UNIT
MARKUP PRICE
788.03
1,103.24
5,243.53
7,340.94
1,098.16
1,537.42
1,049.70
1,469.58
2,755.39
3,857.55
274.39
384.14
2,429.36
3,401.10
605.36
847.50
158.09
221.32
3,346.57
4,685.20
286.42
400.98
1,146.61
1,605.26
371.30
519.82
2,700.35
3,780.49
516.67
723.34
284.08
397.71
1,752.33
2,453.26
952.79
1,333.90
768.65
1,076.11
657.47
920.46
235.62
329.87
3,471.64
4,860.30
3,158.96
4,422.54
1,887.37
2,642.32
4,393.24
6,150.54
162.93
228.11
34.04
47.65
6,428.44
8,999.82
7,300.67
10,220.94
12,012.64
16,817.70
1,282.84
1,795.98
506.98
709.77
1,795.94
2,514.32
807.41
1,130.38
6,428.44
8,999.82
4,513.93
6,319.50
148.40
207.76
2,106.25
2,948.75
3,367.41
4,714.38
5,846.96
8,185.74
80.56
112.78
3,992.79
5,589.90
1,595.53
2,233.74
322.84
451.98
3,424.10
4,793.74
TOTAL SALES
4,412.98
29,363.76
6,149.68
5,878.32
15,430.19
1,536.56
13,604.40
11,017.50
2,877.21
18,740.78
5,212.80
6,421.04
2,079.28
15,121.97
2,893.36
1,590.83
9,813.04
5,335.60
4,304.43
3,681.84
1,319.47
19,441.20
17,690.16
10,569.26
24,602.16
912.43
619.50
35,999.28
40,883.76
67,270.81
7,183.92
9,227.04
10,057.26
4,521.52
35,999.28
25,278.00
2,700.83
11,794.99
18,857.52
32,742.96
1,466.14
22,359.60
8,934.96
5,875.74
19,174.96
600,948.32

MARCH TO DECEMBER 2015
ITEM
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
Air Chamber
Air Compressor
Air Dryer
Air Filters
Alternator
Ball Joints
Battery
Bearings
Bolt-Hub Bolt Set
Brake Cylinder
Brake Lining
Bushing-Stabilizer
Clutch Disc Set
Clutch Hoses
Diesel Tank Belt
Door Lock Assembly
Drum (rear)
Fan Belt
Fan Blade
Feed Pumps
Foot Valve
Front Spring
Fuel Filters
Fuse Plug in
Handle Power Pump
Hub Drum
Hydrauvac
King Pin Kit
Oil Filters
Oil Pumps
Power Stearing Gear
Radiator
Shock Absorbers
Solenoid Switch
Spring Bolt Kits
Switch-Headlight
Tie Rod End
Torque Rod
U Bolt
Wheel Rim
TOTAL
QTY
5
5
5
5
5
5
5
15
15
5
15
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
15
5
5
5
5
15
5
5
5
5
15
5
5
5
15
5
5
15
5
UNIT
pcs
pcs
sets
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
sets
pcs
pcs
sets
sets
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
sets
pcs
pcs
24's
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
COST PER UNIT

788.03
5,243.53
1,098.16
1,049.70
2,755.39
274.39
2,429.36
605.36
158.09
3,346.57
286.42
1,146.61
371.30
2,700.35
516.67
284.08
1,752.33
952.79
768.65
657.47
235.62
3,471.64
3,158.96
1,887.37
4,393.24
162.93
34.04
6,428.44
7,300.67
12,012.64
1,282.84
506.98
1,795.94
807.41
6,428.44
4,513.93
148.40
2,106.25
3,367.41
5,846.96
80.56
3,992.79
1,595.53
322.84
3,424.10
SALES
MARKUP PRICE
1,103.24
7,340.94
1,537.42
1,469.58
3,857.55
384.14
3,401.10
847.50
221.32
4,685.20
400.98
1,605.26
519.82
3,780.49
723.34
397.71
2,453.26
1,333.90
1,076.11
920.46
329.87
4,860.30
4,422.54
2,642.32
6,150.54
228.11
47.65
8,999.82
10,220.94
16,817.70
1,795.98
709.77
2,514.32
1,130.38
8,999.82
6,319.50
207.76
2,948.75
4,714.38
8,185.74
112.78
5,589.90
2,233.74
451.98
4,793.74
TOTAL SALES
5,516.22
36,704.70
7,687.10
7,347.90
19,287.74
1,920.70
17,005.50
12,712.50
3,319.86
23,425.98
6,014.77
8,026.30
2,599.10
18,902.46
3,616.70
1,988.54
12,266.30
6,669.50
5,380.54
4,602.30
1,649.34
24,301.50
22,112.70
13,211.58
30,752.70
1,140.54
714.80
44,999.10
51,104.70
84,088.51
8,979.90
10,646.58
12,571.58
5,651.90
44,999.10
31,597.50
3,116.34
14,743.74
23,571.90
40,928.70
1,691.70
27,949.50
11,168.70
6,779.70
23,968.70
747,435.71

JANUARY 2016
ITEM
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
Air Chamber
Air Compressor
Air Dryer
Air Filters
Alternator
Ball Joints
Battery
Bearings
Bolt-Hub Bolt Set
Brake Cylinder
Brake Lining
Bushing-Stabilizer
Clutch Disc Set
Clutch Hoses
Diesel Tank Belt
Door Lock Assembly
Drum (rear)
Fan Belt
Fan Blade
Feed Pumps
Foot Valve
Front Spring
Fuel Filters
Fuse Plug in
Handle Power Pump
Hub Drum
Hydrauvac
King Pin Kit
Oil Filters
Oil Pumps
Power Stearing Gear
Radiator
Shock Absorbers
Solenoid Switch
Spring Bolt Kits
Switch-Headlight
Tie Rod End
Torque Rod
U Bolt
Wheel Rim
TOTAL
QTY
5
5
5
5
5
5
5
14
14
5
14
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
14
5
5
5
5
14
5
5
5
5
14
5
5
5
14
5
5
14
5
UNIT
pcs
pcs
sets
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
sets
pcs
pcs
sets
sets
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
sets
pcs
pcs
24's
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
COST PER UNIT

810.86
5,564.96
1,129.76
1,079.93
2,833.90
282.67
2,577.99
641.99
163.09
3,551.52
303.47
1,179.59
382.33
2,865.62
531.82
292.64
1,802.45
980.27
790.93
697.30
242.81
3,684.27
3,352.39
2,002.72
4,518.10
168.07
35.52
6,610.90
7,507.82
12,353.15
1,361.07
521.85
1,847.29
830.79
6,610.90
4,790.56
153.12
2,235.04
3,573.65
6,012.96
83.36
4,237.42
1,692.96
332.50
3,521.53
SALES
MARKUP PRICE
1,135.20
7,790.94
1,581.66
1,511.90
3,967.46
395.74
3,609.18
898.78
228.32
4,972.13
424.85
1,651.42
535.26
4,011.87
744.54
409.70
2,523.42
1,372.38
1,107.30
976.22
339.94
5,157.98
4,693.34
2,803.81
6,325.34
235.30
49.73
9,255.26
10,510.94
17,294.41
1,905.50
730.59
2,586.21
1,163.10
9,255.26
6,706.78
214.37
3,129.06
5,003.10
8,418.14
116.70
5,932.38
2,370.14
465.50
4,930.14
TOTAL SALES
5,676.00
38,954.72
7,908.32
7,559.52
19,837.28
1,978.72
18,045.92
12,582.98
3,196.48
24,860.64
5,947.92
8,257.12
2,676.32
20,059.36
3,722.72
2,048.48
12,617.12
6,861.92
5,536.48
4,881.12
1,699.68
25,789.92
23,466.72
14,019.04
31,626.72
1,176.48
696.29
46,276.32
52,554.72
86,472.03
9,527.52
10,228.29
12,931.04
5,815.52
46,276.32
33,533.92
3,001.16
15,645.28
25,015.52
42,090.72
1,633.86
29,661.92
11,850.72
6,517.06
24,650.72
775,366.68

ITEM
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
Air Chamber
Air Compressor
Air Dryer
Air Filters
Alternator
Ball Joints
Battery
Bearings
Bolt-Hub Bolt Set
Brake Cylinder
Brake Lining
Bushing-Stabilizer
Clutch Disc Set
Clutch Hoses
Diesel Tank Belt
Door Lock Assembly
Drum (rear)
Fan Belt
Fan Blade
Feed Pumps
Foot Valve
Front Spring
Fuel Filters
Fuse Plug in
Handle Power Pump
Hub Drum
Hydrauvac
King Pin Kit
Oil Filters
Oil Pumps
Power Stearing Gear
Radiator
Shock Absorbers
Solenoid Switch
Spring Bolt Kits
Switch-Headlight
Tie Rod End
Torque Rod
U Bolt
Wheel Rim
TOTAL
QTY
5
5
5
5
5
5
5
15
15
5
15
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
15
5
5
5
5
15
5
5
5
5
15
5
5
5
15
5
5
15
5
UNIT
pcs
pcs
sets
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
sets
pcs
pcs
sets
sets
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
sets
pcs
pcs
24's
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
COST PER UNIT

810.86
5,564.96
1,129.76
1,079.93
2,833.90
282.67
2,577.99
641.99
163.09
3,551.52
303.47
1,179.59
382.33
2,865.62
531.82
292.64
1,802.45
980.27
790.93
697.30
242.81
3,684.27
3,352.39
2,002.72
4,518.10
168.07
35.52
6,610.90
7,507.82
12,353.15
1,361.07
521.85
1,847.29
830.79
6,610.90
4,790.56
153.12
2,235.04
3,573.65
6,012.96
83.36
4,237.42
1,692.96
332.50
3,521.53
SALES
MARKUP PRICE
1,135.20
7,790.94
1,581.66
1,511.90
3,967.46
395.74
3,609.18
898.78
228.32
4,972.13
424.85
1,651.42
535.26
4,011.87
744.54
409.70
2,523.42
1,372.38
1,107.30
976.22
339.94
5,157.98
4,693.34
2,803.81
6,325.34
235.30
49.73
9,255.26
10,510.94
17,294.41
1,905.50
730.59
2,586.21
1,163.10
9,255.26
6,706.78
214.37
3,129.06
5,003.10
8,418.14
116.70
5,932.38
2,370.14
465.50
4,930.14
TOTAL SALES
5,676.00
38,954.72
7,908.32
7,559.52
19,837.28
1,978.72
18,045.92
13,481.76
3,424.80
24,860.64
6,372.77
8,257.12
2,676.32
20,059.36
3,722.72
2,048.48
12,617.12
6,861.92
5,536.48
4,881.12
1,699.68
25,789.92
23,466.72
14,019.04
31,626.72
1,176.48
746.02
46,276.32
52,554.72
86,472.03
9,527.52
10,958.88
12,931.04
5,815.52
46,276.32
33,533.92
3,215.52
15,645.28
25,015.52
42,090.72
1,750.56
29,661.92
11,850.72
6,982.56
24,650.72
778,495.54

2017
ITEM
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
Air Chamber
Air Compressor
Air Dryer
Air Filters
Alternator
Ball Joints
Battery
Bearings
Bolt-Hub Bolt Set
Brake Cylinder
Brake Lining
Bushing-Stabilizer
Clutch Disc Set
Clutch Hoses
Diesel Tank Belt
Door Lock Assembly
Drum (rear)
Fan Belt
Fan Blade
Feed Pumps
Foot Valve
Front Spring
Fuel Filters
Fuse Plug in
Handle Power Pump
Hub Drum
Hydrauvac
King Pin Kit
Oil Filters
Oil Pumps
Power Stearing Gear
Radiator
Shock Absorbers
Solenoid Switch
Spring Bolt Kits
Switch-Headlight
Tie Rod End
Torque Rod
U Bolt
Wheel Rim
TOTAL
QTY
5
5
5
5
5
5
5
15
15
5
15
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
15
5
5
5
5
15
5
5
5
5
15
5
5
5
15
5
5
15
5
UNIT
pcs
pcs
sets
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
sets
pcs
pcs
sets
sets
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
sets
pcs
pcs
24's
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
COST PER UNIT

833.75
5,886.46
1,161.43
1,110.23
2,912.47
291.03
2,726.68
678.68
168.15
3,756.54
320.58
1,212.63
393.43
3,030.96
547.03
301.27
1,852.63
1,007.83
813.27
737.20
250.07
3,896.97
3,545.88
2,118.14
4,643.03
173.27
37.08
6,793.43
7,715.03
12,693.72
1,439.37
536.79
1,898.71
854.23
6,793.43
5,067.26
157.91
2,363.90
3,779.94
6,179.03
86.23
4,482.11
1,790.46
342.23
3,619.03
SALES
MARKUP PRICE
1,167.25
8,241.04
1,626.00
1,554.32
4,077.45
407.44
3,817.36
950.16
235.41
5,259.15
448.81
1,697.68
550.80
4,243.34
765.84
421.77
2,593.68
1,410.96
1,138.57
1,032.08
350.09
5,455.76
4,964.24
2,965.39
6,500.24
242.57
51.91
9,510.80
10,801.04
17,771.20
2,015.12
751.50
2,658.19
1,195.92
9,510.80
7,094.16
221.07
3,309.45
5,291.92
8,650.64
120.72
6,274.96
2,506.64
479.12
5,066.64
TOTAL SALES
5,836.23
41,205.19
8,129.99
7,771.59
20,387.27
2,037.19
19,086.79
14,252.37
3,531.09
26,295.75
6,732.11
8,488.39
2,753.99
21,216.71
3,829.19
2,108.87
12,968.39
7,054.79
5,692.87
5,160.39
1,750.47
27,278.79
24,821.19
14,826.95
32,501.19
1,212.87
778.58
47,553.99
54,005.19
88,856.01
10,075.59
11,272.53
13,290.95
5,979.59
47,553.99
35,470.79
3,316.05
16,547.27
26,459.59
43,253.19
1,810.77
31,374.79
12,533.19
7,186.77
25,333.19
809,582.64

2018
ITEM
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
Air Chamber
Air Compressor
Air Dryer
Air Filters
Alternator
Ball Joints
Battery
Bearings
Bolt-Hub Bolt Set
Brake Cylinder
Brake Lining
Bushing-Stabilizer
Clutch Disc Set
Clutch Hoses
Diesel Tank Belt
Door Lock Assembly
Drum (rear)
Fan Belt
Fan Blade
Feed Pumps
Foot Valve
Front Spring
Fuel Filters
Fuse Plug in
Handle Power Pump
Hub Drum
Hydrauvac
King Pin Kit
Oil Filters
Oil Pumps
Power Stearing Gear
Radiator
Shock Absorbers
Solenoid Switch
Spring Bolt Kits
Switch-Headlight
Tie Rod End
Torque Rod
U Bolt
Wheel Rim
TOTAL
QTY
5
5
5
5
5
5
5
15
15
5
15
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
15
5
5
5
5
15
5
5
5
5
15
5
5
5
15
5
5
15
5
UNIT
pcs
pcs
sets
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
sets
pcs
pcs
sets
sets
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
sets
pcs
pcs
24's
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
pcs
COST PER UNIT

856.70
6,208.02
1,193.16
1,140.59
2,991.10
299.45
2,875.45
715.45
173.28
3,961.62
337.76
1,245.73
404.59
3,196.36
562.30
309.96
1,902.88
1,035.45
835.68
777.16
257.39
4,109.73
3,739.45
2,233.62
4,768.02
178.53
38.69
6,976.02
7,922.30
13,034.35
1,517.73
551.79
1,950.19
877.73
6,976.02
5,344.02
162.76
2,492.82
3,986.30
6,345.16
89.16
4,726.88
1,888.02
352.02
3,716.59
SALES
MARKUP PRICE
1,199.39
8,691.23
1,670.43
1,596.83
4,187.55
419.23
4,025.63
1,001.63
242.59
5,546.27
472.86
1,744.03
566.43
4,474.91
787.23
433.95
2,664.03
1,449.63
1,169.95
1,088.03
360.35
5,753.63
5,235.23
3,127.07
6,675.23
249.95
54.17
9,766.43
11,091.23
18,248.09
2,124.83
772.51
2,730.27
1,228.83
9,766.43
7,481.63
227.87
3,489.95
5,580.83
8,883.23
124.83
6,617.63
2,643.23
492.83
5,203.23
TOTAL SALES
5,996.93
43,456.13
8,352.13
7,984.13
20,937.73
2,096.13
20,128.13
15,024.38
3,638.78
27,731.33
7,092.86
8,720.13
2,832.13
22,374.53
3,936.13
2,169.73
13,320.13
7,248.13
5,849.73
5,440.13
1,801.73
28,768.13
26,176.13
15,635.33
33,376.13
1,249.73
812.54
48,832.13
55,456.13
91,240.45
10,624.13
11,587.58
13,651.33
6,144.13
48,832.13
37,408.13
3,417.98
17,449.73
27,904.13
44,416.13
1,872.38
33,088.13
13,216.13
7,392.38
26,016.13
840,698.21
Appendix E: Schedule of Insurance Expense [back]
Inventory (Spare parts)

2015
2016
2017
2018
2019
Goods Available for Sale

8,600,000.00
9,300,000.00
9,700,000.00
10,100,000.00
10,400,000.00
Building
Total Sales
2015
2016
2017
2018
2019
Mitsubishi Canter Van (P

280,000.00, 2nd hand, already
used for 2 years)
2015
2016
2017
2018
2019
Construction (applicable for

the first year)
2015
9,300,000.00
10,200,000.00
10,600,000.00
11,000,000.00
11,400,000.00
Rate
0.25%
0.25%
0.25%
0.25%
0.25%
A
21,500.00
23,250.00
24,250.00
25,250.00
26,000.00
Rate
0.20%
0.20%
0.20%
0.20%
0.20%
Rate
27%
27%
27%
27%
27%
A
18,600.00
20,400.00
21,200.00
22,000.00
22,800.00
Yearly
B
A+B= Yearly
5,805.00
27,305.00
6,277.50
29,527.50
6,547.50
30,797.50
6,817.50
32,067.50
7,020.00
33,020.00
Rate
27%
27%
27%
27%
27%
Monthly
2,275.42
2,460.63
2,566.46
2,672.29
2,751.67
B
A+B=Yearly
5,022.00
23,622.00
5,508.00
25,908.00
5,724.00
26,924.00
5,940.00
27,940.00
6,156.00
28,956.00
Monthly
11,318.75
11,318.75
11,318.75
11,318.75
11,318.75
Yearly
943.23
943.23
943.23
943.23
943.23
Monthly
6,562.50
546.88
Appendix F: Schedule of Yearly Taxes and Licences [back]
Description
BIR Registration (0605)
Business Permit (Includes All)
LTO (Renewal for Canter Van)
TOTAL
2015
500.00
25,869.40
2,400.00
28,769.40
2016
500.00
28,824.68
2,600.00
31,924.68
2017
2018
2019
500.00
500.00
500.00
29,489.40 30,530.44 31,572.56
2,800.00 3,000.00 3,200.00
32,789.40 34,030.44 35,272.56
To get the monthly taxes and licenses, the above amounts would just be divided by
12 months.
Appendix G: Basis of Computation Monthly Utilities Expenses [back]

30 days
Utilities breakdown:
Water expense (Assumption:within the average 30m3)
Davao Light (Assumption:within the average 11.1 KWh/day)
Generation and Transmission
Generation Charge
Transmission Charge
System Loss Charge
Sub-Total
Distribution Charge
Distribution Charge
Supply Charge
Metering Charge
Sub-Total
Others
Lifeline Rate Subsidy
Senior Citixen Subsidy
Sub-Total
Franchise Tax-Local
Value Added Tax
Generation
System Loss
Distribution Charge
Others
Total VAT
Universal Charge
Missionary Electrification NPC-SPUG
Missionary Electrification RE Developer
Environmental Charge
NPC Stranded Debts
NPC Stranded Contract Costs
DUs Stranded Contract Costs
Equalization of Taxes &Royalties
Sub-Total
Total Electricity Expense
TOTAL UTILITIES EXPENSE
31 days
28 days
29 days
488.30
488.30
488.30
488.30
3.6241 /KWh
0.3743 /KWh
0.3081 /KWh
1,206.83
124.64
102.60
1,434.06
1,247.05
128.80
106.02
1,481.87
1,126.37
116.33
95.76
1,338.46
1,166.60
120.49
99.18
1,386.26
0.3413 /KWh
369.88
1,147.73
113.65
369.88
1,147.73
1,631.26
117.44
369.88
1,147.73
1,635.05
106.08
369.88
1,147.73
1,623.69
109.86
369.88
1,147.73
1,627.47
0.0584 /KWh
0.0001 /KWh
19.29
19.45
0.03
19.48
19.29
20.10
0.03
20.13
19.29
18.15
0.03
18.18
19.29
18.80
0.03
18.83
19.29
0.1479 /KWh
0.0103 /KWh
94.71
11.11
49.25
3.43
94.71
11.11
49.25
3.43
94.71
11.11
49.25
3.43
94.71
11.11
47.61
3.32
94.71
11.11
51.42
0.57
0.83
64.54
295.14
3,379.95
3,868.25
53.13
0.58
0.86
66.69
299.05
3,436.10
3,924.40
47.99
0.53
0.78
60.23
287.32
3,267.64
3,755.94
49.70
0.55
0.80
62.38
289.47
3,322.04
3,810.34
0.1544
0.0017
0.0025
0
0.1938
0
0
/KWh
/KWh
/KWh
/KWh
/KWh
/KWh
/KWh
Appendix H: Sample Survey Questionnaire [back]
Survey Made to Auto Supply Businesses
Survey Made to Trucking Service Providers [back]
Name:
Angsumusunodnakatanungan ay may kinalamansaisinasagawangpag-aaral ng mgaestudyante
ng Unibersidad ng Ateneo. Tungkolitosapagpapatayo ng isang auto supply
nanegosyosabaranggaySasa, Davao City.
1. Anu-anong parte ng sasakyanangnangangailangan ng ibayongmaintenance?
2. SaangAuto Supply kayo bumibili?

Kinagisnangsuplayer
Kahitsaan
3. MatatagpuanbasaBaranggaySasaangsuplayernainyongbinibilhan?
Oo
Hindi
4. Naghahanapba kayo nangmasmalapitnasuplayer?
Oo
Hindi
5. Naghahanapba kayo ng masaffordablenaspare parts?
Oo
Hindi
6. Makakatulongbapra s inyokung may
PartssaBaranggaySasamalapitsaSasaWharf?
Oo
Hind
itatayongbagongnegosyo
ng
Auto
7. Bibiliba kayo saitatayongAuto Parts namatatagpuansaSasa, Davao?

Oo
Hindi
Appendix I: Calculation of Freight Charges
[back]
Tracking | Calculator | Locator | Online Booking | For Suppliers
Cargo Details
PORTLINK:
1: Manila - South Mindanao
SHIPMENT:
Vehicle
Type/Description
1: Car
CANTER DELIVERY
TRUCK
Lane
Meters
2m
Length
Width
Height
2m
1m
1.5 m
Computation of Charges
Car
CANTER DELIVERY TRUCK
Dimensions
Lane Meters
Freight Charges
VAT (12%)
Doc Stamp
TOTAL CHARGES (Php)
Manila - South
Mindanao
2m
x1m
x 1.5 m
2.0 m
9,781.60
1,173.79
10.00
10,965.39
Appendix J: List of BPI Rates [back]
Appendix K: Withholding Tax Table [back]
Appendix L: Phil Health Contribution Table [back]
Appendix M: SSS Contribution Table [back]
Appendix N: Inflation Rate [back]
The inflation rate of 4.46% shown in the table above, is used as the basis for the
increase of the projects expenses every year. The source of the above forecast is the website:
http://www.tradingeconomics.com/philippines/forecast.
Appendix O: Basis of Industry Ratios for Financial Ratio Analyses [back]
The proponent used the hardware retail ratios presented above as the basis for their
industry ratio. Thus, the ratios derived from the project are compared to the former in order
to analyze financial trends of the business. The table above is provided by creditguru.com.

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A Project Feasibility Study

Presented to the Evaluation Panel of

In Partial Fulfillment of the Requirements

Marianne Lou S. Adanza

Rhea Jane V. Carpio, CPA

September 29, 2014

Marianne Lou, Rolyn, Alyssa Jean, Hannah, Caesa Lea Angela

Denmark Auto Supply | 2

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CHAPTER II. MARKET STUDY

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F. PRO-FORMA FINANCIAL REQUIREMENTS. . . . . . . . . . . . . . . . . . . . . . . . .81

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SOCIO-ECONOMIC STUDY. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .164

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Table 1.1 Beginning Inventory. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .20

Table 3.10 List of Office Supplies . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 67

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CHAPTER I. SUMMARY OF PROJECT

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2. Proximity to the Market

It would also enter into a new form of business which is

manufacturing of some spare parts. [back]

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There is an ample demand of the product and/or service proposed to

There is an adequate supply of auto parts.

The project will enjoy competitive position.[back]

There is availability of resources needed for the proposed project (capital

There is a suitable location for the proposed project including

There is efficiency in scheduling the order, capacity utilization, and

The equipment (delivery equipment and office equipment) in the

There is efficacy of the basis in selecting the products, supplies and

There is effectiveness of the cost consideration of all things comprising

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There will be enough financial resources throughout the operations

Denmark Trucking Services will be financially benefited from the new

The financial stability of every employee is improved.

The employment rate is maintained or increased.

There is an increase in the city and national government revenue that

5. Organization and Management Feasibility

There is adequate time and resources to form the additional business

There is a clear structure of the organization.

There is a proper procedure of hiring and employing of officers and key

F. HIGHLIGHTS OF THE PROJECT

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Nature of the industry

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To make the business segment operational, the expansion is estimated to cost

Construction- Store/ Office

G. MAJOR ASSUMPTIONS AND SUMMARY OF FINDINGS AND CONCLUSIONS

which offers the same terms as to

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Proper Mix of Merchandise Resources

Table 1.1: Beginning Inventory[back]

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Table 1.1: Beginning Inventory (Continuation)[back]

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Table 1.1: Beginning Inventory (Continuation)[back]

Optimum Order Volume

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CHAPTER II. MARKET STUDY

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