ENTREP12_Q2_M9_BUSINESS IMPLEMENTATION PDF

Quarter 2 — Module 9 Business Implementation CO_Q2_Entrepreneurship SHS Module 9 Entrepreneurship – Grade 12 Alternative Delivery Mode Quarter 2 - Module 9 Second Edition, 2021 Republic Act 8293, section 176 states that: “No copyright shall subsist in any work of the Gove...

Quarter 2 — Module 9 Business Implementation CO_Q2_Entrepreneurship SHS Module 9 Entrepreneurship – Grade 12 Alternative Delivery Mode Quarter 2 - Module 9 Second Edition, 2021 Republic Act 8293, section 176 states that: “No copyright shall subsist in any work of the Government of the Philippines. However, prior approval of the government agency or office wherein the work is created shall be necessary for exploitation of such work for profit. Such agency or office may, among other things, impose as a condition, payment of royalty.” Borrowed materials included in this module are owned by the respective copyright holders. Effort has been exerted to locate and seek permission to use these materials from the respective copyright owners. The publisher and author do not represent nor claim ownership over them. Development Team of the Module Writers: Joel Y. Yacas Janice B. Dominguez Naneth M. Valdehuesa Ronee D. Quicho Mary Cris A. Maquilan Marylinda T. Puzon Charity E. Parel Denver E. Neri Lorena Fe S. Anub Ethel Lalaine B. Morales Evaluators: Cherryl F. Descallar Jessie Cris N. Abrogueña Eddy Lou T. Hamak Milger A. Baang Sherriemae V. Reazol Illustrator & Layout Artist: PSSg Edzel M. Dominguez, Ivy O. Niñeza Management Team: Arturo B. Bayocot, PhD, CESO III, Regional Director Victor G. De Gracia Jr., PhD, CESO V, ARD Mala Epra B. Magnaong, Chief CLMD Bienvenido U. Tagolimot, Jr., PhD, Reg EPS ADM Elson C. Jamero, EPS-Designate-TLE Marie Emerald A. Cabigas, PhD, Reg EPS, LRMS Erlinda G. Dael, CESE, PhD, CID Chief Celieto B. Magsayo, Div LR Supervisor Andrian S. Tecson, Div ADM Coordinator Printed in the Philippines by: Department of Education – Regional Office 10 Office Address: Zone 1, Upper Balulang Cagayan de Oro City 9000 Telefax: (088) 880-7071, (088) 880-7072 E-mail Address: [email protected] Entrepreneurship Quarter 2 – Module 9 Business Implementation 3 CO_Q2_Entrepreneurship SHS Module 8  Introductory Message For the Learner Have you ever dreamed of becoming the next multi-millionaire? If you’re thinking that winning the lottery is the only way to become one, well, think again. It is not chance that gives you millions, instead being a millionaire is a result of hard work and determination. Starting your own business is a good beginning towards fulfilling your dreams. Entrepreneurship is the way! You may often hear the word entrepreneur and entrepreneurship. But what do these terms mean? You may refer to an entrepreneur as the person managing the business and entrepreneurship as the business venture. Some may say there is no difference. So, what does this module provide you towards reaching your dreams? 1. It outlines the concepts and basic principles, and processes of developing a business plan. 2. It helps you understand the environment and market in your locality as a factor in developing a business concept. 3. It allows you to experience starting and operating your own business. Substantial knowledge of entrepreneurial principles and processes is important as this increases the chances of making your business successful. In this module, you are guided with a set of learning parts that will help you understand the underlying principles of entrepreneurship. 1. What I Need to Do – the part used to introduce the learning objectives in this module. 2. What I Know – this is an assessment as to your level of knowledge to the subject matter at hand, meant specifically to gauge previous knowledge. 3. What’s In – the part used to connect your previous learning with the new lesson. 4. What’s New – the part used to introduce new lesson through a story, an activity, a poem, song, situation or activity. 5. What is It – the part that will help you discover and understand entrepreneurial concepts. 6. What’s More – the part that will help enrich your learnings of entrepreneurial concepts. 7. What I Have Learned – the part that will help you process what you have learned In the lesson. 8. What I Can Do – the part that allows you to apply what you have learned into real life situations. 9. Assessment – the part that evaluates your level of mastery in achieving the learning objectives. 10. Additional Activities – the part that enhances your learning and improves your mastery of the lesson. 4 CO_Q2_Entrepreneurship SHS Module 8  What I Need to Know In this module, you will be able to practically implement your newly developed Business Plan, in which case, will help your target business most likely to succeed, because this is where you will actually operate the business; thus, selling your product/service to the potential customers. You are expected to operate your own business and keep your business records to monitor the progress of your business operation. This module covers the following learning competencies:  Implementing the business plan  Operating the business  Selling the product  Identifying reasons for keeping business records At the end of this module, you will be able to: 1. Identify the purposes of keeping business records. 2. Value the importance of keeping accurate business transactions. 3. Prepare an income statement of your business operation. What I Know Before starting with this module, let us see what you already know about implementing a business plan. Answer the questions below. Instruction: Read the statements carefully then write True if the statement is correct & write False if you think the statement not correct. 1 CO_Q2_Entrepreneurship SHS Module 9  You go to the office of the Department of Trade and Industry (DTI) 1. if you will register your corporation. The office to visit when registering your solely owned business is 2. the Securities and Exchange Commission (SEC). You go to the Bureau of Internal Revenue when you get 3. y o u r Tax Identification Number (TIN). Employers are the only one to pay their contribution at the Social 4. Security System (SSS). You cannot start your business without a consultant. 5. Record keeping is not necessary in a business operation. 6. Record keeping is beneficial to the owner. 7. The objective of the businessman should be clear. 8. Tasks before starting the business should have a time allotment. 9. Records are sources of documents. 10. Professional advices are necessary before starting the business. 11. Professional advice is not needed during the business operation. 12. Bookkeeping is only important to the accountant. 13. Record keeping can measure the profit and performance of the 14. enterprise. Recordkeeping can be both physical and electronic. 15. What’s In Before you proceed, let us first recall our previous lesson. Profit is the amount you gain after selling your product. In computing your profit, you just simply follow this formula: Sales - Cost of Goods Sold = Gross Profit The gross profit represents the difference between net sales and cost of sales. Variable costs are those things that change based on the amount of product being made and are incurred as a direct result of producing the product. 2 CO_Q2_Entrepreneurship SHS Module 9 Variable costs include: 1. Materials used 2. Direct labor 3. Packaging 4. Freight 5. Plant supervisor salaries 6. Utilities for a plant or a warehouse 7. Depreciation expense on production equipment 8. Machinery Fixed costs generally are more static in nature. They include: 1. Office expenses such as supplies, utilities, a telephone for the office, etc. 2. Salaries and wages of office staff, salespeople, officers and owners 3. Payroll taxes and employee benefits 4. Advertising, promotional and other sales expenses 5. Insurance 6. Auto expenses for salespeople 7. Professional fees 8. Rent What’s New Identify the services offered by the following offices to you, as an entrepreneur. 1. Department of Trade and Industry (DTI) 2. Securities and Exchange Commission (SEC) 3. Bureau of Internal Revenue (BIR) 4. Mayor’s Office 5. Social Security System (SSS) 6. Philhealth 7. Pag-ibig Fund 3 CO_Q2_Entrepreneurship SHS Module 9  What is it? Instruction: Write an essay answering the following guide questions. 1. As an entrepreneur, is it important to know the services offered by the offices mentioned above? 2. If your answer is YES, in what way do their services become important to you? 3. If your answer is NO, what makes their services unnecessary to you? 4. Do you think a business can last without availing the services of the said offices? Why? Or why not? RUBRIC FOR ESSAY The content was well – thought of, guide Content 4 questions were thoroughly answered. The paper was well- Organization written with ideas easily 3 conveyed to readers. Points are thoroughly Development 3 developed TOTAL 10 Guidelines for Successful Business Plan Implementation: 1. Objectives – the entrepreneur should have a clear idea on what is his purpose of putting up his enterprise. 2. Tasks – this means that the entrepreneur must know what are the tasks he has to perform in order to realize his objectives. 3. Time allocation – This means that the entrepreneur should have a time table or a schedule to follow for every task so that the tasks will be accomplished timely and he can realize his objectives. 4. Progress – This means the entrepreneur should monitor the development of the tasks and the accomplishment of the objectives. 4 CO_Q2_Entrepreneurship SHS Module 9  In operating a business, the entrepreneur should first consult professionals for advices, like accountants or consultants from small enterprises. In your case, you can consult your teacher in Entrepreneurship or anyone you think who could help you. The following are the basic requirements to start a business in the Philippines:  Securities and Exchange Commission (SEC) Registration - for partnership or Corporation  Department of Trade and Industry (DTI) Registration - for your business tradename  Mayor’s Business Permit - for getting the license to operate in the city or municipality and payment of your local business taxes  Bureau of Internal Revenue (BIR) Registration - for getting TIN, official receipts and invoices, registering your books of accounts and paying your national Internal revenue taxes  SSS, PhilHealth, and Pag-Ibig Fund registration - for registering yourself or your company as an employer and for remitting your employees’ contribution together with your employer’s share Other steps to follow before operating a business are as follows: 1. Set up an accounting system or hire an accountant. Knowing how the business is doing financially is important for planning and survival. 2. Advertise the business. No one will buy the products or services if customers do not know that the company exists. You can make use of the social media. 3. Secure insurance for the business. Liability insurance protects the business in the event of litigation. Consider life and disability insurance, health insurance and fire insurance when you are leasing an office or storefront. Keeping Business Records Good record keeping can help protect the business, measure the performance and maximize profit. Records are the source documents, both physical and electronic, that specify transaction dates and amounts, legal agreements and private customer and business details. Developing a system to log, store and dispose of records can benefit the business. A systematic recording allows you to: 5 CO_Q2_Entrepreneurship SHS Module 9  A. plan and work more efficiently; B. meet legal and tax requirements; C. measure profit and performance; D. protect your rights; and E. manage potential risks. What’s More Try to look around in your community and identify at least three (3) oldest existing businesses and find time to ask the owner/s the following questions: 1. How did you start your business? 2. In your opinion, is it important to have a business plan? 3. What were the challenges you encountered in your years of operation? 4. How did you overcome those challenges? What I Have Learned Implementing the Business Plan is not that easy. It needs to be registered to make it legal and record keeping gives a lot of benefits to the enterprise. What I Can Do You are going to implement your business for one and a half month. Follow the Business Plan that you have presented. RUBRICS FOR THE BUSINESS PLAN IMPLEMENTATION Feasibility The business is operated 50 according to the plan. Bookkeeping The records are properly 40 kept and accounted for. The business is gaining as to its projected Profitability 10 financial plan. TOTAL 100 6 CO_Q2_Entrepreneurship SHS Module 9  Assessment Now that you are finished accomplishing the module, let us check what you have learned. Answer the questions given below by encircling the letter of the correct answer. 1. Which office will you go to register your single-owned business? A. SEC C. BIR B. DTI D. Mayor’s Office 2. Which office do you visit to register a partnership or corporation? A. SEC C. BIR B. DTI D. Mayor’s Office 3. To secure a Tax Identification Number (TIN), which office will you go? A. SEC C. BIR B. DTI D. Mayor’s Office 4. SSS, Philhealth and Pag-ibig fund contributions are made by _. A. employees only C. both Employees and Employers B. employers only D. none of the choices 5. Which of the following is not a step to follow before operating a business? A. Register your business B. Set up an accounting system C. Advertise the business using Facebook D. Selling the product 6. Which of the following is true? A. Good record keeping is not important to the business owner. B. Good record keeping is important only to the accountant. C. Good record keeping gives benefits to the enterprise. D. Good record keeping gives no importance at all. 7. Which of the following is NOT a benefit to the enterprise? A. It allows the entrepreneur to plan and work more efficiently. B. It allows the entrepreneur to meet legal and tax requirements. C. Can check if the business is doing good. D. It cannot protect the rights of the owner. 8. The objectives of the entrepreneur should be. A. specific and clear B. specific and long term 7 CO_Q2_Entrepreneurship SHS Module 9  C. short and blurred D. long and not specific 9. The tasks before operating the business must be. A. specified to be accomplished by the owner alone B. in detail so that the owner will know what to do C. kept by the owner for future reference D. none of the choices 10. The tasks to be accomplished before operating the business should have: A. design C. time allotment B. decoration D. measurement 11. Which of the statements is true? A. Before starting a business, the entrepreneur may not consult a professional for advice. B. Before starting a business, the entrepreneur should consult a professional for advice. C. Before starting a business, the entrepreneur must start selling when there are available buyers. D. None of the choices 12. Registering your business trade name is done in the office of A. SEC C. Mayor’s Office B. DTI D. Philhealth Office 13. The sources of documents are called A. income statements B. balance sheets C. records D. record keepings 14. Which of the following is not a benefit of record keeping? A. It will not help in managing potential risks. B. It will measure profit and performance. C. It will protect the rights of the owner. D. It will not let you know how much you are earning. 15. Which of the following statements is true? A. Professional advice is only needed before starting the business. B. Professional advice is needed all throughout the life of the business. C. Professional advice is made only by consultants. D. Professional advice is only a waste of money. 8 CO_Q2_Entrepreneurship SHS Module 9  Additional Activities Prepare a journal entry of all your business transactions. Give the benefits you get from keeping all your records. SAMPLE JOURNAL ENTRY DATE PARTICULARS REF DR CR June 20 Cash 10,000 Mercado Capital 10,000 To record cash investment June 26 Photocopying Equipment 30,000 Mercado, Capital 30,000 To record investment of photocopying eqpt June 27 Mercado Capital 50,000 Loan Payable 50,000 To record loan payable to be assumed by the business 9 CO_Q2_Entrepreneurship SHS Module 9  Answer Key Pretest Post Test 1. FALSE 1. B 2. FALSE 2. A 3. TRUE 3. C 4. TRUE 4. C 5. FALSE 5. D 6. FALSE 6. C 7. TRUE 7. D 8. TRUE 8. C 9. TRUE 9. B 10. TRUE 10. C 11. TRUE 11. B 12. B 12. FALSE 13. C 13. FALSE 14. B 14. TRUE 15. B 15. TRUE 10 CO_Q2_Entrepreneurship SHS Module 9  References BOOKS Aduana,N (2015). Financial statements; Preparation, presentation, analysis and interpretation, presentation.Quezon City, Philippines: C & E Publishing,Inc. Aduana, Nick L. "Chapter 5/Lesson 3 The Marketing Mix." In Entrepreneurship In Philippine Setting For Senior High School, 184-199. Quezon City, Philippines: C&E Publishing, 2016. Aduana, Nick L. Entrepreneurship in the Philippine Setting for Senior High School. Quezon City.C & E Publishsing, Inc. 2016. Aduana, Nick L., Entrepreneurship in Philippine Setting (for Senior High School), 2017 Aduana,Nick L., Etrepreneurship in Philippine Setting for Senior High School, 2017, C&E publishing, Inc.p.46-51 Aduana, Nick L., Etrepreneurship in Philippine Setting for Senior High School, 2017, C&E publishing, Inc.p.46-51 Banastao,C.,& Frias, S.(2008) Entrepreneurship.Quezon City Philippines: C & E Publishing,Inc. Batisan, Ronaldo S., DIWA Senior High School Series: Entrepreneurship Module. Diwa Learning Systems Inc.De Guzman Angeles A., Entrepreneurship (For Senior High School, Applied subject, ABM Strand. Lorimar Publishing, Inc 2018, 25 – 26. Batisan, Ronaldo S., Entrepreneurship: Diwa Senior High School Series, Diwa Learning Systems Inc., p. 16-20 Batisan, Ronaldo S. Entrepreneurship Module, Diwa Senior Highschool Series, Diwa Learning System Inc. Legaspi Village, Makati City Philippines, copyright 2016. De Guzman, Angeles A., Entrepreneurship for Senior High School Applied Subject ABM Strand,Lorimar Publishing,p.1-5 De Guzman, Angeles A., Entrepreneurship for Senior High School Applied Subject ABM Strand,Lorimar Publishing,p.25-26 Edralin, Divina M. Entrepreneurship. Quezon City: Vibal Group, Inc. 2016, 80 – 83. Habaradas, Raymund B. and Tereso S. Tullao,Jr., Pathways to Entrepreneurship,2016,Phoenics publishing house,p.17-28 Leedy, P. and Ormrod, J. 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Entreprenuership, Rex Bookstore 2016 Teaching Guide for Senior High School, Fundamentals of Accountancy, Business, & Management 1, CHED in collaboration with PNU Teaching Guide for Senior High School, Fundamentals of Accountancy, Business, & Management 2, CHED in collaboration with PNU Teaching Guide for Senior High School, Business Finance, CHED in collaboration with PNU ELECTRONIC RESOURCES https://en.wikipedia.org/wiki/Business_model https://www.google.com/search?sxsrf=ACYBGNSPBhu3TIpORq6cUraQO0W4- kVv9A%3A1580443131001&ei=- qUzXo_kPJvZhwPSgpaYDw&q=business+plan&oq=business&gs_l=psy- ab.1.1.0i131i273l2j0i67l2j0i131i67l2j0i67j0i131l2j0.45360.47333..48595.. 0.3..0.139.92 0.1j7......0....1..gws-wiz...... 0i71j35i39j0i273j0i20i263.X5Tyn8npzGw https://www.tutorialspoint.com/entrepreneurship_development/entrepreneurship_devel opment_process.htm Santos, ELi. "Marketing Mix the 7 Ps of Marketing." LinkedIn SlideShare. February 06, 2012. Accessed January 04, 2019. https://www.slideshare.net/elisantos11/marketing- mix-the-7-ps-of-marketing. 12 CO_Q2_Entrepreneurship SHS Module 9 Tracy, Brian. "The 7 Ps of Marketing." Entrepreneur. May 17, 2004. Accessed January 04, 2019. https://www.entrepreneur.com/article/70824. "Marketing Mix Definition - 4Ps & 7Ps of the Marketing Mix." The Marketing Mix. Accessed January 04, 2019. https://marketingmix.co.uk/. "Branding Explained." Luminosity Branding Agency. Accessed January 04, 2019. https://www.luminosity.com.au/what-we-do/brand/branding-explained/. "Marketing: Distribution Channels (GCSE) | Tutor2u Business." Tutor2u. Accessed January 04, 2019. https://www.tutor2u.net/business/reference/marketing-distribution- channels. "What Is a Price? - Definition of Price." Marketing-Insider. July 13, 2015. Accessed January 04, 2019. https://marketing-insider.eu/what-is-a-price/. "5 Basic Functions of Packaging in Marketing a Product." Your Article Library. January 03, 2014. 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Acessed December 10, 2018. https://smallbusiness.chron.com/factors- considered-financial-forecasting-80716.html https://www.slcbookkeeping.com/blog/bid/207078/Bookkeeping-Tasks-for-Every-Part- of-the-year https://www.thebalancesmb.com/steps-to-increase-small-business-profits-1200720 https://www.wikihow.com/Calculate-Profit 13 CO_Q2_Entrepreneurship SHS Module 9 For inquiries or feedback, please write or call: Department of Education - Bureau of Learning Resources (DepEd-BLR) Ground Floor, Bonifacio Bldg., DepEd Complex Meralco Avenue, Pasig City, Philippines 1600 Telefax: (632) 8634-1072; 8634-1054; 8631-4985 Email Address: [email protected] * [email protected]