`

KENT E-JEEP TRANSIT

Roxas City, Capiz
PROJECTED STATEMENT OF FINANCIAL OPERATION
For Five years of Operation
As of December 31
(Amounts in Philippine peso)

N YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5

REVENUE 1 3,440,656 3,784,722 4,163,194 6,302,534 8,653,164

LESS:OPERATING EXPENSES
Pre-operating Expenses 2 194,010 2,400 2,400 26,000 26,000
Salaries,Wages and 13th Month 3 1,248,120 1,273,082 1,298,544 1,324,515 1,351,005
SSS/PHIC/HDMF Premiums Expenses 4 102,225 104,270 106,355 130,292 154,708
Utilities Expenses 5 306,000 321,000 336,750 402,900 482,280
Supplies Expenses 6 1,185 1,244 1,306 1,437 1,581
Taxes, Permits and Licenses 7 7,849 8,099 8,362 8,637 8,927
Repair and Maintenance 9 45,000 45,900 46,818 68,668 89,177
Percentage Tax (3%) 11 103,220 113,542 124,896 189,076 259,595
Professional Fees 36,000 36,000 36,000 36,000 36,000
Prepaid Insurance 100,000 100,000 100,000 150,000 200,000
Depreciation Expenses 8 436,267 436,267 436,267 656,400 871,533
TOTAL OPERATING EXPENSES 2,579,875 2,441,803 2,497,697 2,993,926 3,480,805
OPERATING PROFIT 860,781 1,342,918 1,665,496 3,308,609 5,172,358
LESS: Income Tax Expenses 148,234 292,875 389,649 908,755 1,505,155
NET PROFIT 712,546 1,050,043 1,275,847 2,399,854 3,667,204

Table 11. Kent E-Jeep Transit Income Statement

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KENT E-JEEP TRANSIT

Roxas City, Capiz
PROJECTED STATEMENT OF FINANCIAL CONDITION
For Five years of Operation
As of December 31
(Amounts in Philippine peso)

N YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5

ASSETS
Current Assets
Cash 1,649,900 3,183,431 4,895,157 5,071,347 6,908,898
TOTAL CURRENT ASSETS 1,649,900 3,183,431 4,895,157 5,071,347 6,908,898
Noncurrent Assets
Property and Equipment 8 6,149,733 5,713,467 5,277,200 7,938,800 10,285,267
TOTAL NONCURRENT ASSETS 6,149,733 5,713,467 5,277,200 7,938,800 10,285,267
TOTAL ASSETS 7,779,633 8,896,898 10,172,357 13,010,147 17,194,165
LIABILITIES AND OWNER’S EQUITY
Current Liabilities
SSS/PHIC/HDMF Premiums 10 13,048 13,048 13,048 15,833 18,618
Payable
Percentage Tax Payable 11 25,805 28,385 31,224 47,269 64,899
Income Tax Payable 148,234 292,875 389,649 908,755 1,505,155
TOTAL CURRENT LIABILITIES 187,087 334,308 433,920 971,856 1,588,671
Partner’s Equity
Partner A’s Capital 1,000,000 1,086,982 1,221,888 1,388,858 1,715,437
Partner B’s Capital 3,000,000 3,262,782 3,670,351 4,174,789 5,161,427
Partner C’s Capital 3,000,000 3,262,782 3,670,351 4,174,789 5,161,427
Total Beginning Capital 7,000,000 7,612,546 8,562,589 9,738,437 12,038,290
Net Profit 712,546 1,050,043 1,275,847 2,399,854 3,667,204
Less: Withdrawals
`

Partner A’s Drawing (14,200) (14,200) (14,200) (14,200) (14,200)

Partner B’s Drawing (42,900) (42,900) (42,900) (42,900) (42,900)
Partner C’s Drawing (42,900) (42,900) (42,900) (42,900) (42,900)
Total Withdrawals (100,000) (100,000) (100,000) (100,000) (100,000)
ENDING CAPITAL 7,612,546 8,562,589 9,738,437 12,038,290 15,605,494
TOTAL LIABILITITES AND 7,799,633 8,896,898 10,172,357 13,010,147 17,194,165
OWNER’S EQUITY

Table 12. Kent E-Jeep Transit Financial Position

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Table 13. Kent E-Jeep Transit Cash Flow Statement

KENT E-JEEP TRANSIT
Roxas City, Capiz
PROJECTED STATEMENT OF CASH FLOW
For Five years of Operation
For the year ended December 31
(Amounts in Philippine peso)

N YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5

Cash flow from operating activities
Net Income 712,546 1,050,043 1,275,847 2,399,854 3,667,204
Add: Depreciation 8 436,267 436,267 436,267 656,400 871,533
TOTAL CASH INFLOW 1,148,813 1,486,309 1,712,114 3,056,254 4,538,737
Working Capital Changes:
Increase (decrease) in 10 13,048 - - 2,785 2,785
SSS/PHIC/HDMF premiums payable
Increase (decrease) in percentage 11 25,805 2,580 2,839 16,045 17,630
tax payable
Increase (decrease) in income tax 148,234 144,641 96,773 519,106 596,400
payable
CASH FLOW FROM OPERATING ACTIVITIES 1,335,900 1,633,531 1,811,726 3,594,190 5,155,552
Cash flows from Investing Activities
Property and Equipment 8 -6,586,000 - - -3,318,000 -3,218,000
CASH FLOW FORM INVESTING ACTIVITIES -6,586,000 - - -3,318,000 -3,218,000
Cash flow from Financing Activities
Owner’s initial investment 7,000,000
Withdrawals -100,000 -100,000 -100,000 -100,000 -100,000
CASH FLOW FROM FINANCING ACTIVITIES 6,900,000 -100,000 -100,000 -100,000 -100,000
Net increase (decrease) in cash 1,649,900 1,533,531 1,711,726 176,190 1,837,552
Cash, Beginning - 1,649,900 3,183,431 4,895,157 5,071,347
CASH, ENDING 1,649,900 3,183,431 4,895,157 5,071,347 6,908,898
`

KENT E-JEEP TRANSIT

Roxas City, Capiz
PROJECTED STATEMENT OF CHANGES IN PARTNER’S EQUITY
For Five years of Operation
As December 31
(Amounts in Philippine peso)

N YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5

Capital Beginning 7,000,000 7,612,546 8,562,589 9,738,437 12,038,290

Add:
Additional Investment
Income/Loss 712,546 1,050,043 1,275,847 2,399,854 3,667,204
Drawings -100,000 -100,000 -100,000 -100,000 -100,000
Capital Ending 7,612,546 8,562,589 9,738,427 12,038,290 15,605,494

Partner A 1,086,982 1,221,888 1,388,858 1,715,437 2,221,980

Partner B 3,262,782 3,670,351 4,174,789 5,161,427 6,691,757
Partner C 3,262,782 3,670,351 4,174,789 5,161,427 6,691,757
Total 7,612,546 8,562,589 9,738,427 12,038,290 15,605,494

Table 14. Kent E-Jeep Transit Partners Statement of Changes and Equity
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KENT E-JEEP TRANSIT

Roxas City, Capiz
NOTES TO FINANCIAL STATEMENT
For Five years of Operation
For the year ende December 31
(Amounts in Philippine peso)

NOTE 1: REVENUE
YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5

Revenue 3,450,240 3,795,264 4,174,790 6,317,389 8,674,248

Less: One day libreng Sakay 9,584 10,542 11,597 14,855 21,085
REVENUE 3,440,656 3,784,722 4,163,194 6,302,534 8,653,164
10% Increase in Revenue every year

Daily Monthly Yearly Maximum 624

Driver A 4,792 143,760 1,725,120 96% assumption 599
Driver B 4,792 143,760 1,725,120 Fare Rate Php 8
Total 9,584 287,520 3,450,240 No. of 24 in
trip/day Total

KENT E-JEEP TRANSIT

`

Roxas City, Capiz

NOTES TO FINANCIAL STATEMENT
For Five years of Operation
For the year ende December 31
(Amounts in Philippine peso)

NOTE 3: SALARIES,WAGES AND 13TH and PBB

YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5
Manager 265,200 270,504 275,914 281,432 287,061
Drivers 489,600 499,392 509,380 519,567 529,959
Cashier 224,400 228,888 233,466 238,135 242,898
Bookkeeper(Retainer) 120,000 122,400 124,848 127,345 129,892
Janitor 148,920 151,898 154,936 158,035 161,196
TOTAL 1,248,120 1,273,082 1,298,544 1,324,515 1,351,005
2% increase annually

DAILY MONTHLY ANNUALLY 13TH MONTH PBB TOTAL

Manager 650 19,500 234,000 19,500 11,700 265,200
2*Drivers 1,200 36,000 432,000 36,000 21,600 489,600
Cashier 550 16,500 198,000 16,500 9,900 224,400
Bookkeeper   10,000 120,000 120,000
Janitor 365 10,950 131,400 10,950 6,570 148,920
TOTAL 2,765 92,950 1,115,400 82,950 49,770 1,248,120
`

KENT E-JEEP TRANSIT

Roxas City, Capiz
NOTES TO FINANCIAL STATEMENT
For Five years of Operation
For the year ende December 31
(Amounts in Philippine peso)

NOTE 4: SSS/PHIC/HDMF PREMIUMS EXPENSE

YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5
SSS Premiums Expense 82,200 83,844 85,521 104,871 124,609
PHIC Premiums Expense 14,025 14,306 14,592 17,853 21,181
HDMF Premiums Expense 6,000 6,120 6,242 7,567 8,919
TOTAL 102,225 104,270 106,355 130,292 154,708
2& increase annually

MONTHLY SSS PHIC HDMF TOTAL

Manager 19,500 19,080 3,300 1,200 23,580
2*Drivers 36,000 35,280 5,940 2,400 43,620
Cashier 16,500 17,160 2,970 1,200 21,330
Janitor 10,950 10,680 1,815 1,200 13,695
3rd driver 18,000 17,640 2,970 1,200 21,810
4th driver 18,000 17,640 2,970 1,200 21,810
TOTAL 118,950 82,200 14,025 6,000 102,225

NOTE 5: UTILITIES EXPENSE

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YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5

Electricity 294,000 308,700 324,135 388,962 466,754
Water 6,000 6,300 6,615 7,938 9,526
Communication and internet 6,000 6,000 6,000 6,000 6,000
TOTAL 306,000 321,000 336,750 402,900 482,280
*light and water increases five percent (5%) annually;
95% is charged to production and 5% in charged to admin.
20% on 4th year and 5th year.
NOTE 6: SUPPLY EXPENSES
YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5
Supply expenses 1,185 1,244 1,306 1,437 1,581
TOTAL 1,185 1,244 1,306 1,437 1,581
th th
*Office supplies expenses increases 5% annually and 10% for the 4 year and 5 year
Year 1 Quantity Unit Cost Total
Bond paper 1 1 185 185
Other supplies 1 1 1,000 1,000
TOTAL 1,185
NOTE 7: TAXES, PERMITS AND LICENSES
YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5
BIR with documentary stamp 500 500 500 500 500
Mayor’s Permit 5,000 5,250 5,513 5,788 6,078
Garbage fee 1,200 1,200 1,200 1,200 1,200
Inspection fee (BFP) 649 649 649 649 649
Brgy. Clearance 500 500 500 500 500
TOTAL 7,849 8,099 8,362 8,637 8,927

NOTE 8: PROPERTY AND EQUIPMENT

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YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5

Cost, Beginning - 6,586,000 6,586,000 6,586,000 9,904,000
Additions 6,400,000 3,200,000 3,200,000
Generator 100,000 100,000
Batteries (12 pieces) 36,000 18,000 18,000
Outpost 50,000
Cost, Ending 6,586,000 ,586,000 6,586,000 9,904,000 13,122,000
Less: Accumulated Dep., Beg - 436,267 872,533 1,308,800 1,965,200
Depreciation 436,267 436,267 436,267 656,400 871,533
Accumulated Depreciation, Ending 436,267 872,533 1,308,800 1,965,200 2,836,733
CARRYING VALUE 6,149,733 5,713,467 5,277,200 7,938,800 10,285,267

PROPERTY AND EQUIPMENT COST U’LIFE DEPRECIATION

(Y)
Electronic Jeepney*4 6,400,000 15 426,667
Generator 100,000 20 5,000
Generator (4th year) 100,000 20 5,000
Batteries*12 36,000 10 3,600
Outpost 50,000 50 1,000
E-Jeepneys*2 (4th year) 3,200,000 15 213,333 656,400 4th year
Batteries*6 18,000 10 1,800
E-Jeepneys*2 (5th year) 3,200,000 15 213,333 871,533 5th year
Batteries*^ 18,000 10 1,800
TOTAL 436,267

NOTE 9: REPAIR AND MAINTENANCE

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YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5

Electronic Jeepneys 40,000 40,800 41,616 62,016 82,016
Outpost 5,000 5,100 5,202 5,306 5,412
TOTAL 45,000 45,900 46,818 68,668 89,177
*10,000 per unit and 2 percent increase every year
NOTE 10: SSS/PHIC/HDMF PREMIUMS PAYABLE
YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5
SSS Premiums Payable 10,210 10,210 10,210 12,400 14,590
PHIC Premiums Payable 2,338 2,338 2,338 2,833 3,328
HDMF Premiums Payable 500 500 500 600 700
TOTAL 13,048 13,048 13,048 15,833 18,618
MONTHLY SSS PHIC HDMF TOTAL
Manager 19,500 2,370 550 100 3,020
2*Drivers 36,000 4,380 990 200 5,570
Cashier 16,500 2,130 495 100 2,725
Janitor 10,950 1,330 303 100 1,733
3rd driver 18,000 2,190 495 100 2,785
th
4 driver 18,000 2,190 495 100 2,785
TOTAL 10,210 2,338 500 8,590
NOTE 11: PERCENTAGE TAX PAYABLE
YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5
Revenue 3,440,656 3,784,722 4,163,194 6,302,534 8,653,164
Quarterly Revenue 860,164 946,180 1,040,798 1,575,634 2,163,291
MULTIPLY: Percentage Tax Rate 3% 3% 3% 3% 3%
PERCENTAGE TAX PAYABLE 25,805 28,385 31,224 47,269 64,899

NOTE 12: FINANCIAL RATIOS

I. LIQUIDITY RATIO YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5
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A. Current Ratio
Current Assets/ Current 1,649,900 3,183,431 4,895,157 5,071,347 6,908,898
Liabilities 187,087 334,308 433,920 971,856 1,588,671
CURRENT RATIO 8.65:1 9.50:1 11.25:1 5.22:1 4.37:1
II. ASSET MANAGEMENT RATIOS
A. Working Capital Turnover YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5
Sales/Average Working 3,440,656 3,784,722 4,163,194 6,302,534 8,653,164
Capital
1,462,813 2,155,968 3,655,180 4,280,364 4,709,859
WORKING CAPITAL TURNOVER 2.33:1 1.75:1 1.13:1 1.46:1 1.82:1
B. Asset Turnover
Sales/ 3,440,656 3,784,722 4,163,194 6,302,534 8,653,164
Average Total Assets 7,799,633 8,348,265 9,534,627 11,591,252 15,102,156
ASSET TURNOVER 0.44 0.45 0.44 0.54 0.57
III. PROFITABILITY RATIOS
A. Gross Profit Rate YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5
Gross Profit/ 860,781 1,342,918 1,665,496 3,308,609 5,172,358
Revenue 3,440,656 3,784,722 4,163,194 6,302,534 8,653,164
GROSS PROFIT RATE 25% 35% 40% 52% 60%
B. Net Profit Rate YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5
Net Profit/ 712,546 1,050,043 1,275,847 2,399,854 3,667,204
Revenue 3,440,656 3,784,722 4,163,194 6,302,534 8,653,164
NET PROFIT RATE 21% 28% 31% 38% 42%
C. Return on Assets YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5
Net Profit/ 712,546 1,050,043 1,275,847 2,399,854 3,667,204
Average Total Assets 7,799,633 8,348,265 9,534,627 11,591,252 15,102,156
RETURN ON ASSETS 0.09 0.13 0.13 0.21 0.24

D. Return On Current Assets YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5

`

Net Profit/ 712,546 1,050,043 1,275,847 2,399,854 3,667,204

Average Current Assets 1,649,900 2,416,665 4,039,294 4,983,252 5,990,122
RETURN ON CURRENT ASSETS 0.43 0.43 0.32 0.48 0.61
IV.OTHERS
A. Payback Period YEAR ACTUAL *PV OF 1@ CASH FLOW PAYBACK
CASH FLOW 3% BASED OF PV
NET CASH AMOUNT PERIOD-
FLOW YEARS
1 1,148,813 1 1,115,353 1,115,353 1
2 1,486,309 1 1,400,989 1,400,989 1
3 1,712,114 1 1,566,827 1,566,827 1
4 3,056,254 1 2,715,442 2,715,442 1
5 4,538,737 1 3,915,154 201,389 0.05
TOTAL 7,000,000 4.05
4 years and 19 days
B. Return On Investment YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5
Net Profit/ 12,546 1,050,043 1,275,847 2,399,854 3,667,204
Investment 7,000,000 7,000,000 7,000,000 7,000,000 7,000,000
RETURN ON INVESTMENT 10% 15% 18% 34% 52%