The Total Investment Cost
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Total Project CostThe total investment cost of P200,000 is composed of fixed assets of P66,563, organizational costs of P9,804 and working capital of P129,215 as shown in Table 22.Working CapitalCost (Php) Cash109,215.20 Prepaid Rent20,000.00Total Working Capital129,215.20Fixed Assets Furniture and Fixtures18,344.00 Machines and Equipment24,494.00 Leasehold Improvement23,725.00Total Fixed Assets66,563.00Pre-Operating Expense Permits and Licenses4,221.80Total Organization Cost4,221.80Total Project Cost200,000.00
Cash Flow ProjectionsIn the preparation of the financial statements, the proponents have considered all financial data gathered and computed. Cash Flow ProjectionsThis statement shows how changes in balance sheet accounts and income affect cash and cash equivalents and breaks the analysis to operating, investing, and financing activities. The business is assumed to have a projected Ending Cash balance of Php 41,605 in the first year and Php 58,003 in the fifth year.Income StatementThis statement shows the business profit or loss over a period of time. The business is assumed to have a projected income of Php 874,809 in the first year and Php 1,513,990 in the last year.Statement of Financial PositionThis statement shows the liquidity, solvency, and financial structure of a business through its assets, liabilities and capital. It shows the overall financial condition of the business on a certain period of time. The business is assumed to have a projected total liabilities and owner’s equity of Php 94,855 in the first year and Php 58,003 fifth in the last year. Break-Even Point  20192020202120222023SERVICE REVENUE1,716,9751,892,9402,086,9502,300,8952,536,792FIXED COSTSRent120,000126,000132,300138,915145,861Utilities68,70670,76772,89075,07777,329Total Fixed Costs188,706196,767205,190213,992223,190