2019

INDIRECT MATERIALS
PARTICULARS QTY Unit Price Total
Mosquito Net (pcs) 2 100 200
Barrels (pcs) 21 500 10,500
Rubber Bands - - 200
Soil (kilos P150 for every 25 kilos) 5 150 750
Filter 3 50 150
Packaging Container (pcs) 7841 70 548,870
TOTAL COST PHP 560,670

OVERHEAD
Amount
Expiration of 3 months Factory Prepaid
Rent of 18 750 (expensed out)
56,250
Rent expense for remaining 9 months
18 750 * 9 168,750
Factory Utilities expense 10 000 * 12 mos. 120,000
Indirect Materials 560,670
Indirect Labor 360,480
TOTAL PHP 1,266,150.00

TOTAL MANUFACTURING COST

Direct Materials Used PHP 1,645,440.00
Direct Labor 480,960.00
Factory Overhead 1,266,150.00
TOTAL MANUFACTURING COST PHP 3,392,550.00

PRICING
Total Manufacturing cost PHP 3,392,550.00
Units to be produced 7841
Cost per unit PHP 432.66802704

Cost of Goods Manufactured

Work In Process Inventory, Beginning 546,869.35
Total Manufacturing Cost 3,392,550.00
Work In Process Inventory, End 1250 units * 432.67 540,835.03
Cost of Goods Manufactured 3,398,584.31

PRICING
Cost per unit PHP 432.67
Mark Up 37%
Cost per unit PHP 592.7551970

PHP 4,647,793.50
 2020

INDIRECT MATERIALS
PARTICULARS QTY Unit Price
Mosquito Net (pcs) 2 100
Barrels (pcs) 21 500
Rubber Bands - -
Soil (kilos P150 for every 25 kilos) 5 150
Filter 3 50
Packaging Container (pcs) 7946 70
TOTAL COST

OVERHEAD
Amount
Expiration of 3 months Factory Prepaid
Rent of 18 750 (expensed out)
56,250
Rent expense for remaining 9 months
18 750 * 9 168,750
Factory Utilities expense 10 000 * 12 mos. 120,000
Indirect Materials 568,020
Indirect Labor 360,480
TOTAL PHP 1,273,500.00

TOTAL MANUFACTURING COST

Direct Materials Used PHP 1,645,440.00
Direct Labor 480,960.00
Factory Overhead 1,273,500.00
TOTAL MANUFACTURING COST PHP 3,399,900.00

PRICING
Total Manufacturing cost PHP 3,399,900.00
Units to be produced 7946
Cost per unit PHP 427.87566071

Cost of Goods Manufactured

Work In Process Inventory, Beginning 540,835.03
Total Manufacturing Cost 3,399,900.00
Work In Process Inventory, End 1250 units * 427.88 534,844.58
Cost of Goods Manufactured 3,405,890.46

PRICING
Cost per unit PHP 427.88
Mark Up 37%
Cost per unit PHP 586.1896552

PHP 4,657,863.00
 2021

INDIRECT MATERIALS
Total PARTICULARS QTY
200 Mosquito Net (pcs) 2
10,500 Barrels (pcs) 21
200 Rubber Bands -
750 Soil (kilos P150 for every 25 kilos) 5
150 Filter 3
556,220 Packaging Container (pcs) 8209
PHP 568,020 TOTAL COST

OVERHEAD

Expiration of 3 months Factory Prepaid Rent

of 18 750 (expensed out)

Rent expense for remaining 9 months

18 750 * 9
Factory Utilities expense 10 000 * 12 mos.
Indirect Materials
Indirect Labor
TOTAL

TOTAL MANUFACTURING COST

Direct Materials Used
Direct Labor
Factory Overhead
TOTAL MANUFACTURING COST

PRICING
Total Manufacturing cost
Units to be produced
Cost per unit

Cost of Goods Manufactured

Work In Process Inventory, Beginning
Total Manufacturing Cost
Work In Process Inventory, End 1250 units * 416.41
Cost of Goods Manufactured

PRICING
Cost per unit
Mark Up
Cost per unit
1 2022

TERIALS INDIRECT MATERIALS

Unit Price Total PARTICULARS
100 200 Mosquito Net (pcs)
500 10,500 Barrels (pcs)
- 200 Rubber Bands
150 750 Soil (kilos P150 for every 25 kilos)
50 150 Filter
70 574,630 Packaging Container (pcs)
PHP 586,430 TOTAL COST

OVERHEAD
Amount
Expiration of 3 months Factory Prepaid Rent
of 18 750 (expensed out)
56,250
Rent expense for remaining 9 months
168,750
120,000 Factory Utilities expense
586,430 Indirect Materials
360,480 Indirect Labor
PHP 1,291,910.00 TOTAL

OST TOTAL MANUFACTURING COST

PHP 1,645,440.00 Direct Materials Used
480,960.00 Direct Labor
1,291,910.00 Factory Overhead
PHP 3,418,310.00 TOTAL MANUFACTURING COST

PRICING
PHP 3,418,310.00 Total Manufacturing cost
8209 Units to be produced
PHP 416.41003776 Cost per unit

Cost of Goods Manufactured

534,844.58 Work In Process Inventory, Beginning
3,418,310.00 Total Manufacturing Cost
520,512.55 Work In Process Inventory, End
3,432,642.03 Cost of Goods Manufactured

PRICING
PHP 416.41 Cost per unit
 50% Mark Up
PHP 624.6150566 Cost per unit

PHP 5,127,465.00
 2022

INDIRECT MATERIALS IND

QTY Unit Price Total PARTICULARS
2 100 200 Mosquito Net (pcs)
21 500 10,500 Barrels (pcs)
- - 200 Rubber Bands
5 150 750 Soil (kilos P150 for every 25 kilos)
3 50 150 Filter
8318 70 582,260 Packaging Container (pcs)
PHP 594,060 TOTAL COST

OVERHEAD OVERHEAD
Amount
Expiration of 3 months Factory Prepaid
Rent of 18 750 (expensed out)
56,250
Rent expense for remaining 9 months
18 750 * 9 168,750
10 000 * 12 mos. 120,000 Factory Utilities expense
594,060 Indirect Materials
360,480 Indirect Labor
PHP 1,299,540.00 TOTAL

TAL MANUFACTURING COST TOTAL MANUFACTURI

PHP 1,645,440.00 Direct Materials Used
480,960.00 Direct Labor
1,299,540.00 Factory Overhead
PHP 3,425,940.00 TOTAL MANUFACTURING COST

PRICING PRICING
PHP 3,425,940.00 Total Manufacturing cost
8318 Units to be produced
PHP 411.870642 Cost per unit

Cost of Goods Manufactured

520,512.55 Work In Process Inventory, Beginning
3,425,940.00 Total Manufacturing Cost
1250 units * 411.87 514,838.30 Work In Process Inventory, End
3,431,614.24 Cost of Goods Manufactured

PRICING PRICING
PHP 411.87 Cost per unit
 50% Mark Up
PHP 617.8059630 Cost per unit

PHP 5,138,910.00
 2018

INDIRECT MATERIALS
QTY Unit Price Total
2 100 200
21 500 10,500
- - 200
5 150 750
3 50 150
7738 70 541,660
PHP 553,460

OVERHEAD
Amount

56,250

18 750 * 9 168,750
10 000 * 12 mos. 120,000
553,460
360,480
PHP 1,258,940.00

TOTAL MANUFACTURING COST

PHP 1,645,440.00
480,960.00
1,258,940.00
PHP 3,385,340.00

PRICING
PHP 3,385,340.00
7738
PHP 437.495477

-
3,385,340.00
1250 units * 437.49 546,869.35
2,838,470.65

PRICING
PHP 437.50
 32%
PHP 577.4940295

PHP 3,746,781.26
 Schedule of Cost of Goods Sold
2018 2019 2020
Direct Materials Beginning - - -
Purchases 1,645,440.00 1,645,440.00 1,645,440.00
Direct Materials Ending - - -
Direct Materials Used 1,645,440.00 1,645,440.00 1,645,440.00
Direct Labor 480,960.00 480,960.00 480,960.00
Factory Overhead 1,258,940.00 1,266,150.00 1,273,500.00
Total Manufacturing Cost 3,385,340.00 3,392,550.00 3,399,900.00
Work in Process Inventory Beginning - 546,869.35 540,835.03
Cost of Goods Put into Process 3,385,340.00 3,939,419.35 3,940,735.03
Work in Process Inventory Ending (546,869.35) (540,835.03) (534,844.58)
Cost of Goods Manufactured 2,838,470.65 3,398,584.31 3,405,890.46
Finished Goods Inventory Beginning - - -
Cost of Goods Available for Sale 2,838,470.65 3,398,584.31 3,405,890.46
Finished Goods Inventory Ending - - -
Cost of Goods Sold PHP 2,838,470.65 PHP 3,398,584.31 PHP 3,405,890.46

(6,034.31) (5,990.46)
 2021 2022
- -
1,645,440.00 1,645,440.00
- -
1,645,440.00 1,645,440.00
480,960.00 480,960.00
1,291,910.00 1,299,540.00
3,418,310.00 3,425,940.00
534,844.58 520,512.55
3,953,154.58 3,946,452.55
(520,512.55) (514,838.30)
3,432,642.03 3,431,614.24
- -
3,432,642.03 3,431,614.24
- -
PHP 3,432,642.03 PHP 3,431,614.24

(14,332.03) (5,674.24)
 MECS Company
Statement of Comprehensive Income

2018 2019
Sales 3,746,781.26 4,647,793.50
Cost of Goods Sold (2,838,470.65) (3,398,584.31)
Gross Income 908,310.61 1,249,209.19
Operating Expenses:
Selling Expenses
Advertising Expenses (50,000.00) (30,000.00)
Salaries for Sales and Marketing Employees (240,480.00) (240,480.00)
Administrative Expenses
Office Supplies Expense (8,000.00) (8,000.00)
Delivery Expense (12,000.00) (12,000.00)
Rent Expense (75,000.00) (75,000.00)
Salaries Expense (270,000.00) (270,000.00)
Utilities Expense (60,000.00) (60,000.00)
Depreciation Expense (83,012.00) (83,012.00)
Net Income before Income Tax 109,818.61 470,717.19
Income Tax Expense (32,945.58) (141,215.16)
Net Income After Income Tax PHP 76,873.03 PHP 329,502.03

Assumptions:

Net income before Tax 109,818.61 470,717.19

Corporate Income tax of 30% 0.30 0.30
Income Tax expense 32,945.58 141,215.16
pany
hensive Income

2020 2021 2022

4,657,863.00 5,127,465.00 5,138,910.00
(3,405,890.46) (3,432,642.03) (3,431,614.24)
1,251,972.54 1,694,822.97 1,707,295.76

(25,000.00) (20,000.00) (50,000.00)

(247,694.40) (252,504.00) (252,504.00)

(8,240.00) (8,400.00) (8,400.00)

(12,360.00) (12,600.00) (12,600.00)
(77,250.00) (78,750.00) (78,750.00)
(278,100.00) (283,500.00) (283,500.00)
(61,800.00) (63,000.00) (63,000.00)
(83,012.00) (83,012.00) (83,012.00)
458,516.14 893,056.97 875,529.76
(137,554.84) (267,917.09) (262,658.93)
PHP 320,961.30 PHP 625,139.88 PHP 612,870.83

458,516.14 893,056.97 875,529.76

0.30 0.30 0.30
137,554.84 267,917.09 262,658.93
 MECS Company
Statement of Cash Flows
For the Year Ended December 31, 2018

Cash Flows from Operating Activities

Cash Receipts: 29,622,800.00
Cash Disbursements: (300,000.00)
Prepaid Rent (300,000.00)

Refundable Deposit (26,349,554.00)

Rent Expense (75,000.00)
Advertising Expense (60,000.00)
Salaries Expense (Selling) (1,236,000.00)
Salaries Expense (Admin) 1,302,246.00
Net Cash provided by Operating Activities

Cash Flows from Investing Activties

Cash Disbursements: (265,050.00)
Factory Equipment (500,000.00)
Delivery Vehicle (765,050.00)
Net Cash provided by Investing Activities

Cash Flows from Financing Activities 4,000,000.00

Cash Receipts from Investment 4,537,196.00
Net Increase in Cash -
Add: Cash beginning 4,537,196.00
Cash Balance at the end of the year
 MECS Comapany
Statement of Cash Flows

2019 2020
Net Income for the Year 329,502.03 320,961.30
Add: Depreciation Expense 83,012.00 83,012.00
Adjusted Net Income 412,514.03 403,973.30
Cash Flows from Operating Activities (Indirect)
Increase in Accounts Payable 240.00
Decrease in Work in Process Inventory 6,034.31 5,990.46
Increase in Salaries Payable - -
Increase in Utilities Payable - -
Increase (Decrease) in Income Tax Payable 108,269.57 (3,660.31)
Net Increase in Cash for the Year 526,817.92 406,543.44
Add: Cash balance, beginning 1,975,341.26 2,502,159.18
Cash Balance, Ending PHP 2,502,159.18 PHP 2,908,702.62
ws

2021 2022 2018

625,139.88 612,870.83
83,012.00 83,012.00
708,151.88 695,882.83

160.00
14,332.03 5,674.24
- -
- -
130,362.25 (5,258.16)
853,006.16 696,298.91
2,908,702.62 3,761,708.78
PHP 3,761,708.78 PHP 4,458,007.69 1,975,341.26
 MECS Company
Statement of Financial Position
2018 2019 2020
ASSETS
Current Assets
Cash 1,975,341.26 2,502,159.18 2,908,702.62
Work in Process Inventory 546,869.35 540,835.03 534,844.58

Non Current Assets

Refundable Deposit 225,000.00 225,000.00 225,000.00
Delivery Vehicle 150,000.00 150,000.00 150,000.00
Accumulated Depreciation (30,000.00) (60,000.00) (90,000.00)
Computer Equipment 57,000.00 57,000.00 57,000.00
Accumulated Depreciation (11,400.00) (22,800.00) (34,200.00)
Furnitures & Fixtures 91,071.00 91,071.00 91,071.00
Accumulated Depreciation (18,214.20) (36,428.40) (54,642.60)
Office Vehicle 116,989.00 116,989.00 116,989.00
Accumulated Depreciation (23,397.80) (46,795.60) (70,193.40)
TOTAL ASSETS 3,079,258.61 3,517,030.21 3,834,571.20

LIABILITIES AND EQUITY

Liabilities
Accounts Payable 8,000.00 8,000.00 8,240.00
Salaries and Wages Payable 841,440.00 841,440.00 841,440.00
Utilities Payable 120,000.00 120,000.00 120,000.00
Income Tax Payable 32,945.58 141,215.16 137,554.84

Partners' Equity
M, Capital 519,218.26 601,593.76 681,834.09
E, Capital 519,218.26 601,593.76 681,834.09
C, Capital 519,218.26 601,593.76 681,834.09
S, Capital 519,218.26 601,593.76 681,834.09
TOTAL LIABILITIES AND EQUITY 3,079,258.61 3,517,030.21 3,834,571.20

- - -
2021 2022

3,761,708.78 4,458,007.69
520,512.55 514,838.30

225,000.00 225,000.00
150,000.00 150,000.00
(120,000.00) (150,000.00)
57,000.00 57,000.00
(45,600.00) (57,000.00)
91,071.00 91,071.00
(72,856.80) (91,071.00)
116,989.00 116,989.00
(93,591.20) (116,989.00)
4,590,233.33 5,197,845.99

8,400.00 8,400.00
841,440.00 841,440.00
120,000.00 120,000.00
267,917.09 262,658.93

838,119.06 991,336.77
838,119.06 991,336.77
838,119.06 991,336.77
838,119.06 991,336.77
4,590,233.33 5,197,845.99

- -
 MECS COMPANY
Statement of Partners' Equity
As of December 31, 2018
M E C
Partners' Capital Beg. 500,000.00 500,000.00 500,000.00
Profit Distribution 19,218.26 19,218.26 19,218.26
Partners' Capital, End 519,218.26 519,218.26 519,218.26

MECS COMPANY
Statement of Partners' Equity
As of December 31, 2019
M E C
Partners' Capital Beg. 519,218.26 519,218.26 519,218.26
Profit Distribution 82,375.51 82,375.51 82,375.51
Partners' Capital, End 601,593.76 601,593.76 601,593.76

MECS COMPANY
Statement of Partners' Equity
As of December 31, 2020
M E C
Partners' Capital Beg. 601,593.76 601,593.76 601,593.76
Profit Distribution 80,240.32 80,240.32 80,240.32
Partners' Capital, End 681,834.09 681,834.09 681,834.09

MECS COMPANY
Statement of Partners' Equity
As of December 31, 2021
M E C
Partners' Capital Beg. 681,834.09 681,834.09 681,834.09
Profit Distribution 156,284.97 156,284.97 156,284.97
Partners' Capital, End 838,119.06 838,119.06 838,119.06

MECS COMPANY
Statement of Partners' Equity
As of December 31, 2022
M E C
Partners' Capital Beg. 838,119.06 838,119.06 838,119.06
Profit Distribution 153,217.71 153,217.71 153,217.71
Partners' Capital, End 991,336.77 991,336.77 991,336.77
S TOTAL
500,000.00 2,000,000.00
19,218.26 76,873.03
519,218.26 2,076,873.03

S TOTAL
519,218.26 2,076,873.03
82,375.51 329,502.03
601,593.76 2,406,375.06

S TOTAL
601,593.76 2,406,375.06
80,240.32 320,961.30
681,834.09 2,727,336.36

S TOTAL
681,834.09 2,727,336.36
156,284.97 625,139.88
838,119.06 3,352,476.24

S TOTAL
838,119.06 3,352,476.24
153,217.71 612,870.83
991,336.77 3,965,347.07