Somethings Fishy Partnership

A FEASIBILITY STUDY ON
FISH PROPAGATION BUSINESS

In Partial Fulfillment of the

Requirements for the Course Accounting 405
(Management Consultancy)

Presented to
Mrs. Madelle Conales-Arupin, CPA
Faculty of the Department of Accountancy
College of Business Administration and Accountancy
Mindanao State University
Marawi City

Presented by
Xervanny D. Jacquez
Cybill P. Amalla
Efinito C. Lafable Jr.

March 2012

ACKNOWLEDGEMENT

The researchers would like to express their heartfelt thanks and gratitude to
everyone who had helped them all throughout the way of making this study
To all our instructors, for the knowledge that they had undoubtedly shared to us.
We will never be able to make this writing without the wisdom that you have imparted to
us.
To Mr. Venerando Moldez, for lecturing us about the fish pond business. Truly,
your ideas were of great help.
To all our friends who had lend us their shoulders when we most needed them.
The DEBITS, for the stress relieving moments that we spent together in and outside
MSU. We will miss you guys!
To our family, especially our parents who never failed to show their unending
love and support to us morally and financially. Also for their words of encouragement
that helped us to stand firm when everything gets difficult. We deeply love you folks!
And most of all, to our Almighty Father for the good life and for the wonderful
blessings that we receive every single day. Without You we are nothing, we thank You
for everything.

Xy, Cybam & Jr

ii

To our PARENTS,
our BROTHERS and SISTERS..

To our FRIENDS,
and all the PEOPLE who lent their helping
hands..

To our ALMIGHTY GOD,

For whom we owe everything..

This work is heartily

DEDICATED

iii

TABLE OF CONTENTS
Title Page
Acknowledgement
Dedication
Table of Contents
Lists of Tables
Lists of Figures
Lists of Schedules

i
ii
iii
iv
vi
vii
viii

Introduction

I. Executive Summary
A. Name of the Project
B. Location
C. Brief Description of the Project
D. Important Highlights
E. Conclusion and Recommendation

2
2
2
3
4

II. Economic and Marketing Feasibility

A. Market Description
B. Demand
C. Supply
D. Competitive Position
E. Marketing Strategy
F. Projected Revenues

5
7
10
12
13
14

III. Technical Aspect

A. Brief Description of the Nature of Business
B. Production
C. Technical Components
i.
Location & Sizing
ii.
Project Implementation
iii.
Other Areas of Relevance
iv.
Operation

15
15
16
16
16
16
18

IV. Organization and Management Aspects

A. Pre-Operation Requirements
B. Operational Requirements
C. Organizational Structure

19
21
23

V. Financial Feasibility
A. Financial Assumptions
B. Projected Financial Statements
C. Financial Statement Analysis

25
30
40
iv

VI. Socio-Economic Aspects

Conclusion and Recommendation
References
Appendices
Questionnaire
Summary of Respondents Reply
Vicinity Map
Office Floor Plan Layout
Caretakers Quarters Floor Plan Layout
Documentation

44
45
46
47
48
51
52
53
53
54

LIST OF TABLES

Table

Page

Demand Analysis for fresh Tilapia

Actual Demand of Fresh Tilapia (kgs)

Projected Demand of Tilapia (kgs.)

10

Projected Supply (kgs.)

11

Supply and Demand Gap Table

11

Projected Revenues

14

Pre-operating Costs

19

Operation Management Staff

22

Salaries and Wages

23

10

Assets Needed

24

11

Project Cost

27

12

Terms and Conditions (repayment scheme)

28

13

Test of Profitability

40

14

Test of Liquidity

41

15

Test of Solvency

42

16

Payback Period

42

17

Breakeven Point

43

vi

LIST OF FIGURES

Figure

Page

Channel of Distribution of the Products

Operation Process

18

PERT NETWORK

20

Organizational Structure

23

vii

LIST OF SCHEDULES

Schedule

Page

Repayment Schedule

33

Internal Rate of Return

34

Furniture and Fixtures

34

Office Equipment

35

Pool Tools and Equipment

35

Delivery Car

35

Leasehold Equipment

35

Accumulated Depreciation

36

Sales

36

10

Cost of Sales

36

11

Purchases

37

12

Salaries and Wages

37

13

Utilities Expense

38

14

Transportation Expense

38

15

Repairs and Maintenance Expense

38

16

Rent Expense

39

viii