Performance evaluation of land bank assisted members of Cavite Highlands cutflower cooperative in Indang and Alfonso, Cavite / by Ana Veronica S. Guevara.

Thesis (BSBM - - Economics) Cavite State University.

Includes bibliographical references.

College of Economics, Management, and Development Studies (CEMDS)

GUEVARA, ANA VERONICA SALAZAR, "PerformanceEvaluation of Land Bank Assisted Members of Cavite HighlandsCut flower Cooperative in Indang and Alfonso, Cavite," Undergraduate Thesis, Bachelor of Science in Business Management Major in Economics, Cavite State University Indang, Cavite, April 1999. Adviser: Dr. Alice T. Valerio.
The study was conducted to determine the socio-economic characteristics of the respondents; to assess the extent of Land Bank assistance to Cavite Highlands Cut flower Cooperative members. To evaluate the financial performance of CHCC; and to identify the problems encountered by the cooperative members.
Two municipalities of Cavite which were assisted by Land bank were used as research areas for this study. These were Indang and Alfonso. Eighteen respondents were included in the study. Data were gathered through actual Interviews with the use of questionnaire’s.
The average age of the respondents was 47 years. Majority of the members were adults to middle aged individuals. The level of education of the respondents was generally high. More than one-half reached college. The size of family ranged from one to eight with an average of 5 members. Majority of the respondents were land owners, and the average experience in cut flower growing
was 7.3 years. Majority of them were engaged In ,cut flower Of orchid growing for less than 5 years. An average family Income of P8,333.33 was generated by members from their major source of Income.
The extent of Land Bank assistance to the Cavite Highlands Cut flower Cooperative was for the financial performance. The initial capital that CHCC loan was P 1,692,000.00. The biggest capital that members got was PI 14,000.00 and while the smallest amount was P66,000,the average amount of loan was P89,333.33. The capital that the members loaned from Land Bank was not enough, so they had to infuse personal money to fill what they needed for the construction and other materials needed for the cut flower project. There are some members whose project are still existing until now. From year 1993 to 1996, there were members who failed into their production due to difficulties and problems they encountered in maintaining the project.
In 1993, the total returns Incurred was P 1,814,500, while the total costs was P 1,477,607, which gave a net profit of P336,893. In the costs of 1994, the net profit was P391,775, it increases due to their higher total returns and total costs. But starting in 1995, the net profit start to get low due to their lower income, more than one-half they loss on their profit from the net profit of 1994. In 1996 and 1997, the net profit fell down to only P 10,280 and P2,688 respectively. But m 1998, the net profit was negative P61,805 due to low total returns were P 126,099 while the total costs was PI 87,904.
Financial ratios was also used to measure the financial performance of the cooperative member's in terms of returns on owner's equity and net profit margin. In 1993, the ratio of returns on owner's equity was 20 percent while the net profit margin was 41.79 percent.The ROE from 1995 to 1997 start to decrease, were 11.20, 0.90 and 0.26 percent respectively. Net profit margin start to fell down from 1995 to 1997. In 1998, the returns on owner's equity was negative 6.52 percent which means that for every peso worth of capital, a net loss of PO.0652 was realized in 1998, while the net profit margin was negative 170.62 percent. It means that for every peso obtained from sales, a net loss of P 1.706 was realized in a year.
Numerous problems were identified by the respondents. Most of the respondents shared the same problems. They became deep in debt to Land Bank when their projects became no longer productive and viable.

Submitted to the University Library 05/05/1999 T-1929