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    PAGE LAGUNA COLLEGE OF BUSINESS AND ARTS

    COLLEGE DEPARTMENT

    CHAPTER 1

    PROJECT BACKGROUND AND HISTORY

    Wine is an alcoholic beverage made from fermented grapes and

    fruits. The natural chemical balance of grapes lets them ferment without

    the addition of sugar acids enzymes water or other nutrients. Yeast

    consume the sugars in the fruits and converts the, into alcohol and carbon

    dioxide. Wine is a psychoactive drug as are all alcoholic beverages,

    commonly used in intoxicating effects today and thorough history.

    Nowadays wines are usually used for special occasions. Wines

    made from produce besides grapes are usually named after the product

    from which they are produced (for example, rice wine, pomegranate wine,

    apple wine and elderberry wine and are generically called fruit wine. The

    term !wine" can also refer to starch#fermented of fortified beverages

    having alcohol content, $uch as barley wine, huang%i, or sa&e.

    The history of wine spans thousands of years and is closely

    intertwined with the history of agricultureand Western civilization. The first

    evidence of its cultivation is in 'hina circa ))) *'+, then more

    widespread evidence is found soon thereafter in the Near +ast,

    the grapevineand the alcoholic beverageproduced

    from fermentingits%uicewere important to esopotamia, -srael,

    1

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    and +gyptand essential aspects of hoenician, /ree&, and 0oman

    civilization. any of the ma%or wine#producing regionsof Western

    +uropeand the editerraneanwere first established during anti1uity as

    great plantations. Winema&ing technology improved considerably during

    the time of the 0oman +mpire2 many grape varieties and cultivation

    techni1ues were &nown3 the design of the wine pressadvanced3

    and barrelswere developed for storing and shipping wine.( Source:

    www.wikipedia/Wine-10978401/.html)

    There is a reason why 4rance is a drin&ing country. -n the" 4rench

    paradox", 5r.$erge 0enuad, a scientist from *ordeaux 6niversity

    observed that 4rench people suffer a relatively low incidence of coronary

    heart disease ,despite having diet relatively rich in saturated fats. 7e

    attributed it to drin&ing of red wine which decreases the incidence of

    cardiac disease. 0ed wine, he said, is rich in resveratrol3 a phytoalexin

    which is a heart friendly.

    -n the hilippines, red wine is served only during special

    occasions. 8nd because we don9t grow grape here, all red wine is

    imported, hence it is 1uite expensive. *ut given the country9s abundance

    in tropical fruits, a group of researchers from 4ood $cience 'lusters,

    'ollege of agriculture of the 6niversity of the hilippines :os *a;os

    (6:* led by 5r. +rlinda -. 5izon revived the idea of producing using local

    fruits. !There is a large volume of wine importation from other countries.

    2

    http://www.wikipedia/Wine-10978401/.htmlhttp://www.wikipedia/Wine-10978401/.html
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    /etting a share of the mar&et wines would help our farmers and local food

    industries if we could ma&e our own wine using our own grown

    fruits,"5r.5izon explained.

    This idea was realized in

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    and aroma. >ut of those ?) different fruits that we screened, bignay, duhat

    and carabao mango turned out to be excellent substrates for wine

    processing. *ignay and duhat represent red wine and mango, which is

    &nown worldwide for its sweet taste and good aroma, the white wine, !she

    said".

    (Source: http://www.bar.o!.ph/chronicle-home/archi!e"-li"t/10#-$ul%-#010-

    i""ue/&97-bina%-pino%-po"h-red-wine

    +ver since people love to drin& wine specially when celebrating

    special occasions, sometimes to unwind after wor& or to socialized with

    friends and most wine drin&ers buy wine mainly for health reasons

    particularly red wine. -t is not only good for old people but for the young

    one, in moderation of course. *ut still people can9t stop drin&ing. Wines

    are one of the favorite tie#ups for their parties and celebrations.

    / and ' anufacturing 'ompany were named after /elo and 'hai

    who made a natural and heart friendly wine. !+scalofrio2 *ignay wine" is

    ideal to those who are loo&ing for a new taste and healthier wine. *ignay

    wine has deep red color, aged in a barrel or drum for at least B wee&s. The

    wine has distinct fruity aroma and smooth flavor that provides consumers

    with a delightful experience and it is rich nutritional benefits. We

    proponents came up with this product because of its health benefits,

    drin&ing bignay wine helps to reduce the incidence of coronary heart

    disease due to its antioxidant properties. / and ' anufacturing 'ompany

    4

    http://www.bar.gov.ph/chronicle-home/archives-list/102-july-2010-issue/397-bignay-pinoy-posh-red-winehttp://www.bar.gov.ph/chronicle-home/archives-list/102-july-2010-issue/397-bignay-pinoy-posh-red-winehttp://www.bar.gov.ph/chronicle-home/archives-list/102-july-2010-issue/397-bignay-pinoy-posh-red-winehttp://www.bar.gov.ph/chronicle-home/archives-list/102-july-2010-issue/397-bignay-pinoy-posh-red-wine
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    will be located at 7alang, 'alamba 'ity where raw materials can be easily

    ac1uired. -t is commercial areas were people have an easy access on it.

    The product will be distributed at the grocery stores, retail stores,

    supermar&ets in the entire 'alamba area.

    5

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    5emand is an important role in analyzing the mar&et stability. -t is

    simply the needs and wants that are bac&ed up by customer9s purchasing

    power. -n determining the demand, the proponents consider the number of

    household population.

    To compute the historical demand, the proponents find out the

    household population of 'alamba, :aguna and conducted survey and

    personal interview for demand analysis.

    The proponents must have to consider the total individual

    population ages

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    population and income brac&et. To get the historical demand, the

    proponent multiplied the total population to the percentage of individuals

    (@))G based on the survey. Then the result will be multiplied to the

    product9s average annual consumption which is e1uivalent to @< pieces

    (once a month also based on the survey conducted

    Met)od o* Pro+ect!o# ,De%d-

    The mathematical method wi l l use in the proport ion of the

    demand. -t wil l help the proponents in the determination of the

    future demand for the service they wi l l of fer, and the higher

    pro%ected demand is better.

    8

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    I$ Ar!t)%et!c Str&!.)t L!#e

    YcF a H Y#@ aF Yn# Yc

    N#@

    Where2 Yc F -nitial Ialue (@styear

    Yn F 4inal Ialue (last year

    N F Number of years

    Yi F Ialue for the year past

    a F Yn J Yc F DD,@@A J BA,DEE

    /01

    $5 F @

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    Where2 Yi H @ F Ialue for the year ahead

    r F average of increase

    r F KG increase F @@

    N#@ B

    $5 F

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    a F KY# b Kx

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    b = 14,647

    a = 529,447

    SD = 728

    PAGE LAGUNA COLLEGE OF BUSINESS AND ARTS

    COLLEGE DEPARTMENT

    a F (?B(

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    The proponents have used St&t!t!c&' P&r&3o'!c to pro%ect the

    7istorical 5emand for it has the lowest $tandard 5eviation.

    C$ Su""'( A#&'(!

    $upply is the total amount of good and service available

    for purchase by consumers. - t is the amount o f commodi ty

    avai lab le for meet ing a demand or for purchase at a g iven

    price.

    7ere, the indirect competitors are identif ied and the type

    of competi t ion that exists is determined in order to cope with

    analysis on how to handle it. The proponents have conducted

    an actual survey in different manufacturing, store, and mar&ets

    in 'alamba 'ity as ind i rect compet i tors for re ference and

    comparison.

    13

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    Source: 'ctual inter!iew

    Met)od o* Pro+ect!o# ,Su""'(-

    Within the p ro %ect ion o f the supp ly, i t engaged in

    mathematical method computat ion under each method i t wi l l

    he lp us to determine the fu ture supply o f the serv ice to be

    offered. The lower pro%ected suppl y is better.

    I$ Ar!t)%et!c Str&!.)t L!#e

    YcF aHY#@ aF Yn#Yi

    n#@

    Where2 Yc F -nitial Ialue (@styear Yn F 4inal Ialue (last year

    N F Number of years Y F Ialue for the year past

    a F Yn J Yc F @A,@

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    N#@ D#@

    $5 F A,EDA

    D

    II$ Ar!t)%et !c Geo%etr!c Cure

    Yc F Yi H @ rF KG increase

    @#r N#@

    Where2 Yi H @ F Ialue for the year ahead

    r F average of increase

    r F KG increase $5 F

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    I II $ St&t !t !c &' Str&!.)t L!#e

    YcF aHbx

    Where2 a F Ky J b Kx b F nKxy # KxKy

    nKx

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    I $ St&t!t!c&' P&r&3o'!c

    YF a H bx H cx&t!o# Au%"t!o#

    'omposite method was used for depreciating and amortizing fixed assets.

    4ixed assets have D year life term.

    Sc)edu'e Se''!#. Pr!ce

    Sc)edu'e Se''!#. Pr!ce Au%"t!o#

    ar& up used to compute the selling price is D)G above cost.

    51

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    Sc)edu'e 1 Net S&'e Ree#ue

    Sc)edu'e 1 Net S&'e Ree#ue Au%"t!o#

    $ales are computed by multiplying the units sold with the selling price

    'ash sales are e1uivalent to A)G of gross sales and credit sales

    represent @)G gross sales.

    Sc)edu'e 11 F!#!)ed Good

    Sc)edu'e 11 F!#!)ed Good Au%"t!o#

    4inished /oods -nventory is estimated to be @)G of the Total 6nits 8vailable for

    $ale

    52

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    Sc)edu'e 1< C'e!#. Su""'!e

    Sc)edu'e 1< C'e!#. Su""'!e Au%"t!o#

    'leaning supplies will be expense at ADG rate of yearly estimated cost.

    urchases for cleaning supplies will increase by DG every year.

    Sc)edu'e 1/ O**!ce Su""'!e

    Sc)edu'e 1/ O**!ce Su""'!e Au%"t!o#

    >ffice supplies will be expense at ADG rate of yearly estimated cost.

    54

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    Sc)edu'e 14 Se''!#. E8"e#e Au%"t!o#

    +xpenses excluding depreciation are pro%ected to increase by DG

    annually.

    'ommunication and fuel expenses accounted for selling expenses is =)G

    of the total cost of said expenses.

    0epairs and maintenance expenses for the initial year of operation, is

    @)G of the total cost delivery e1uipment.

    Sc)edu'e 1 Ge#er&' d Ad%!#!tr&t!e E8"e#e

    56

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    Sc)edu'e 1 Ge#er&' d Ad%!#!tr&t!e E8"e#e Au%"t!o#

    >ffice supplies and cleaning supplies used are expected to increase by

    DG annually

    0ent expense for /eneral and 8dministrative is ?)G of @

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    Sc)edu'e 1 Pro"ert( P't E?u!"%e#t Au%"t!o#

    roperty, lant and +1uipments are carried at cost less accumulated

    depreciation.

    Sc)edu'e 2

    SSS; P)!')e&'t); P&.0I3!. Co#tr!3ut!o# @!t))o'd!#. T&8 P&(&3'e

    58

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    Sc)edu'e 2 Au%"t!o#

    Withholding Tax ayable is @DG of salary base.

    -ncrease for government benefits is associated by annual increase in

    salary of employees.

    Sc)edu'e 21 AT P&(&3'e

    59

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    Sc)edu'e 21 AT P&(&3'e Au%"t!o#

    Ialue 8dded Tax payable represents I8T due on the last month of each

    year. -nput tax is @

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    Sc)edu'e 2: P&rt#er E?u!t(

    Sc)edu'e 2: P&rt#er E?u!t( Au%"t!o#

    8s agreed owners of the business will withdraw D)G of annual net income

    which is e1ually divided to each partners.

    61

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    F!#c!&' A#&'(!

    &$ Tet o* L!?u!d!t( r&t!o

    For%u'&6 Curre#t Aet Curre#t L!&3!'!t!e

    S!.#!*!cce6 (ea"ure" the abilit% o the bu"ine"" to meet it" current

    maturin obliation".

    For%u'&6 E?u!t( Tot&' Aet

    S!.#!*!cce6 mea"ure" the proportion o e*uit% u"ed to inance

    compan%+" a""et".

    ,ood indicator o the le!el o le!erae u"ed b% a compan%.

    64

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    S!.#!*!cce6 (ea"ure" the operational perormance o the bu"ine""

    ba"ed on proit aain"t direct manuacturin epen"e".

    For%u'&6 Net I#co%e P&rt#er E?u!t(

    S!.#!*!cce6 t help" u"er" o inancial "tatement ain in"iht into the

    "trenth o the product in the market.

    c$ Tet o* Leer&.e R&t!o

    For%u'&6 Tot&' de3t Tot&' e?u!t(

    S!.#!*!cce6 ndicate" what proportion o e*uit% and debt the compan% i"

    u"in to inance it" a""et".

    66

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    For%u'&6 Tot&' de3t Tot&' &et

    S!.#!*!cce6 ndicate" what proportion o e*uit% and debt the compan% i"

    u"in to inance it" a""et".

    d$ P&(3&c5 "er!od

    S!.#!*!cce6 etermine the number o %ear" beore the proponent" can

    ull% reco!er their in!e"tment.

    67

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    CHAPTER /

    MANAGEMENT ASPECT

    anagement is a process of planning, organizing, leading and

    controlling the resources of the organization in order to achieve stated

    organization goals and policies of the business for the effective operation.

    The management aspect discusses the purpose of the pro%ect and the

    finding of the study. To achieve this, the management must be able to plan

    all activities, for the company to become productive and competitive.

    A$ B&!c Co#!der&t!o#

    The success of all business depends on how they organized, directed,

    supervise and controlled. The management aspect aims to develop an

    effective organization structure that would carry the needs and ob%ective of

    the business establishment.

    6nder the management aspect of the study are the planned pre J

    operating activities, the determination of the persons who would operate

    and supervise the employee of the business, their 1ualification, duties and

    responsibility as well as the benefits and incentives they may receive. The

    types of organization and strategies and to be used in the proper utilization

    of the resources are also considered.

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    B$ For% o* Or.!>&t!o#

    The proponents have decided to establish partnership form of business

    organization. artnership contributed money, property or industry to a

    common fund with the intention of dividing the profit among themselves. -t

    is general partnership where all parties are personally liable to the debts or

    liabilities of business.

    C$ Or.!>&t!o#&' C)&rt

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    enera( anager

    rodction Sper;isor

    *oo&&eeper

    Dri;er&t!o#&' C)&rt

    D$ Ke( O**!cer d Pero##e'

    $ince the business is newly operated the management only allows

    limited number of wor&ers and employee.

    Ge#er&' M&.er

    Jo3 S"ec!*!c&t!o#

    ale or 4emale

    70

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    8 graduate of *$*8 or any business related course

    8t least

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    Product!o# Su"er!or

    Jo3 S"ec!*!c&t!o#

    /raduate of food Tech, 70 or any related course

    With or without experience

    *etween

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    Jo3 Decr!"t!o#

    Onow how to operate the machine and e1uipments to be

    used.

    0esponsible for direct production of the product

    He'"erDr!er

    Jo3 "ec!*!c&t!o#

    7igh school graduate or college level

    :icense to drive

    +xperience in 5riving

    Jo3 Decr!"t!o#

    8ssist inside the production area

    aintain the cleanliness of the wor&ing place

    Onow how to drive properly

    E$ Pro+ect Sc)edu'e

    This is the allotted time to ac1uire necessary resources needed to

    perform all the activities needed to perform the businesses.

    C&"!t&' For%&t!o#

    The proponent generates sufficient funds to buy all the resources

    needed to perform the business.

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    Bu!#e Loc&t!o#

    The plant selection must be accessible to the mar&et and area and

    also has enough access to water, electricity and transportation.

    Bu!#e Re.!tr&t!o# d L!ce#!#.

    To be lawful, the business should be registered for the legality of the

    firm.

    Bu!'d!#. Re#o&t!o#

    -t is important to renovate building for operation and also to have a

    smooth production.

    Ac?u!!t!o# o* Too' d E?u!"%e#t

    The needed tools and e1uipment must be ac1uired for operation of

    the business.

    Nor%&' O"er&t!o#

    The business will start after the completion of all the re1uirements

    and operating activities.

    ACTIITIES

    JA

    NFEB

    MAR

    APR

    MAY JUN

    JUL

    AUG

    SEP

    'apital formation

    *usiness location

    74

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    *usiness registration andlicensing

    *uilding renovation

    8c1uiring of tools ande1uipment

    7iring and training ofemployees

    urchasing of supplies

    Normal operation

    4igureB. /antt chart

    CHAPTER =

    Soc!o Eco#o%!c A"ect

    The socio#economic aspect discusses the firm9s social responsibility

    to the community. The proposed business is established not only to earn

    profits but also to do well in the community. The proponents are not only

    concerned with the internal environment and the profits earned by the

    business but also the proponents consider the effect of the business that

    will be brought to the society.

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    /C' anufacturing provides economic opportunities such as

    providing %obs to the right individuals with s&ills and abilities that will greatly

    contribute to the organization. The organization also provides taxes since

    it is a registered and legalized business. Tax is a ma%or source of income

    in the government. Through taxes, the governments have provided more

    than enough financial support of pro%ects and develop here in the country.

    8nother thing is that local producers are more engaged to produce their

    products because local materials are ac1uired by /C' anufacturing and

    therefore it helps the hilippine economy. :astly, the benefit that this

    product will bring is the assurance that the consumers of the product have

    physical wellness protected.

    CHAPTER 4

    SUMMARY OF FINDINGS; CONCLUSION AND

    RECOMENDATIONS

    A$ Su%%&r( o* F!#d!#.

    The establishment of this small#scale production plant will assist the

    country9s economy in the development of in wining industry which is

    needed by the business for its operation.

    M&r5et!#. A"ect

    There are available mar&ets for the proposed product which is

    &nown as +scalofrio2 *ignay wine and because of the benefits it can

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    B. 4uture researchers should encourage continuing study of this

    particular feasibility pro%ect so that they may apply other methods and

    improve strategies in analyzing and evaluating the pro%ect.

    *ibliography

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    BIBLIOGRAPHY

    Boo5

    Ootler, hilip, (

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    http2MMwww.foodrecap.netMrecipeMma&e#bignay#wineM

    http2MMovcre.uplb.edu.phMindex.phpQ

    optionFcomR%oodbCviewFarticleCidFBB)2bignay#wineC-temidF@DB

    Ot)er ource

    National $tatistics >ffice ($ta.'ruz :aguna

    *usiness ermit and :icensing >ffice, 'ity 7all, 'ity of 'alamba

    8ppendices

    81

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    A""e#d!8 A

    PFS ADISERS APPOINTMENT LETTER

    ay ,

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    Iery truly yours,

    /8N8>, 8ngelo 8.

    +0+S, 'hristian 4.

    A""e#d!8 B

    PFS LANGUAGE EDITOR APPOINTMENT LETTER

    8pril ?,

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    +0+S, 'hristian 4.

    A""e#d!8 C

    SUREY UESTIONNAIRE FOR RESPONDENTS

    :8/6N8 '>::+/+ >4 *6$-N+$$ 8N5 80T$$chool of *usiness and >ffice 8dministration

    . *urgos $t. 'alamba 'ity

    5ear 0espondents,

    /ood day We, ?rd year *achelor of $cience in *usiness8dministration students from :aguna 'ollege of *usiness and 8rts, arepresently conducting a ro%ect 4easibility $tudy entitled !anufacturing of*ignay Wine". We hope that you will lend some of your time with us. Wewill appreciate your cooperation and any information obtained will betreated with utmost confidentiality.

    Than& you and /od *less

    /anao, 8ngelo8.

    erez, 'hristian4.

    -nstruction2 ut a chec& on your desired answer.

    @. 5o you drin& wineQ

    Yes No (if no, move to 1uestion A and @)

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    GATHERING DATA

    5ear $irMadam,

    We are the third year students of $chool of *usiness ($>* ma%or

    in ar&eting anagement from :aguna 'ollege of *usiness and 8rts,

    'alamba 'ity. We are currently conducting our pro%ect feasibility study

    entitled2 !/C' anufacturing of *ignay Wine in 'alamba 'ity" as partial

    re1uirement of the course. 8 significant part of this activity is gathering of

    data or information to be utilized in the analysis of our pro%ect study.

    -n this regard, we wish to re1uest your &ind permission to allow us

    to conduct an interview regarding our study relative to your line of

    discipline. 8ny information obtained from your office will be regarded as

    highly confidential and will not be, by any means be used for other

    purpose as stated above.

    Your Oind cooperation regarding this matter will be highly appreciated.

    Than& you very much and /od bless

    0espectfully yours,

    /8N8>, 8ngelo 8.+0+S, 'hristian 4.

    Noted by2

    r. 4ernando T. endon ---

    4$ adviser

    :aguna 'ollege of *usiness and 8rts

    A""e#d!8E

    SUREY UESTONNAIRE COMPETITOR

    86

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    Art!c'e I6 That the capital of the partnership shall be =

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    deposit shall be applied as rent for the @@th and @

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    PAGE LAGUNA COLLEGE OF BUSINESS AND ARTS

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    RRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRR

    ACKNO@LEDGEMENT

    0epublic of the hilippines (RRRRRRRRRRRRRRRRRRRRRRRRR $.$

    *+4>0+ +, personally appeared2

    Name 'T' Number 5ateMlace -ssued

    (Name of :essor

    (Name of :essee

    Onown to me and to me &nown to be the same persons who executed the

    foregoing instrument and ac&nowledged to me that the same is their free

    and voluntary act and deed.

    This instrument consisting of RRRR pageMs, including the page on which

    this ac&nowledgement is written, has been signed on each and every page

    thereof by the concerned parties and their witnesses, and sealed with my

    notarial seal.

    @ITNESS MY HAND AND SEAL;on the date and place first above

    written.

    Not&r( Pu3'!c

    5oc. No.RRRRRR3

    age No. RRRRRR3

    *oo& No.RRRRRR3

    $eries of

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    +xhibits

    96

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    E8)!3!t 1

    lant :ocation

    Iicinity ap

    lant layout

    *uilding perspectives

    'ompany :ogo

    97

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    E8)!3!t 1$1$ P't Loc&t!o#

    98

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    E8)!3!t 1$2$ !c!#!t( %&"

    99

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    E8)!3!t 1$:$ P't L&(out

    100

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    E8)!3!t 1$/ Brd L&3e' Fro#t '&3e' ,To"-6 B&c5 '&3e' ,Botto%-

    101

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    E8)!3!t 1$

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    E8)!3!t 2

    achinery, +1uipmentsC 0aw materials

    103

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    E8)!3!t 2$/ G& t

    E8)!3!t 2$= P&dd'e

    E8)!3!t 2$4 @!#e %!8!#. %&c)!#e

    105

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    E8)!3!t 2$ @oode# 3&rre'

    E8)!3!t 2$ Me&ur!#. Cu"

    E8)!3!t 2$1 A"ro#

    106

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    E8)!3!t 2$1 Pot )o'der

    E8)!3!t 2$11 H&!r#et

    E8)!3!t 2$12

    107

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    E8)!3!t 2$1< De'!er( ,L:-

    E8)!3!t 2$1/ B!.#&( Fru!t

    108

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    E8)!3!t 2$1= C!tr!c Ac!d

    E8)!3!t 2$14 @!#e (e&t

    E8)!3!t 2$1 Bro9# u.&r

    109

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    E8)!3!t 2$1 T#!#

    E8)!3!t 2$2 Pur!*!ed @&ter

    E8)!3!t :

    110

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    romotional tools

    111