Financial services offered and credit management performance of multipurpose cooperatives in Cavite / by Jhon Patrick Tingson, Johanna G. Tingzon and Mukamunganga Florence.

Thesis (Bachelor of Science in Business Management Major in Financial Management) Cavite State University

Includes bibliographical references.

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

MUKAMUGANGA FLORENCE, TINGSON JHON PATRICK, TINGZON JOHANNA G. Financial Services Offered and Credit Management Performance of Multi-purpose Cooperatives in Cavite. Undergraduate Thesis. Bachelor of Science in Business Management major in Financial Management. Cavite State University, Indang, Cavite. June 2018. Adviser: Ms. Sherrie Rhose M. Matel.

The study aimed to determine the financial services offered and credit management performance of multi-purpose cooperatives in Cavite. The study also aimed to determine the business profile of selected multi-purpose cooperatives in terms of capitalization, years in operations, original and actual members and current asset; determine the sources of funds of selected multi-purpose cooperatives; identify the financial services offered by the selected multi-purpose cooperatives, determine the credit management performance indicators, determine the significant relationship between business profile and credit management performance indicators and determine the different problems encountered by the multi-purpose cooperatives in terms of credit management. The study was conducted from February to April 2018 covering 14 cities/municipalities of Cavite namely Alfonso, Amadeo, Carmona, Dasmarinas City, General Emilio Agu naldo, General Trias, Indang, Magallanes, Mendez, Naic, Rosario, Silang, Tagaytay City, and Trece Martires City. The researchers used purposive sampling with total participants of 37 u ti-purpose cooperatives in Cavite. Frequency count, percentage, mean and rank were used to determine the business profile of multi-purpose cooperatives and to identify the sources of funds and financial services offered of multi-purpose cooperative. A statistical tool such as Spearman rank correlation was used to determine the significant relationsh between business profile and credit management performance. Most of the multipurpose cooperatives had a starting capital of below 200,000 and had been operating from 7 to 41 years with an average of 19 years. The number of original members had minimum of 15 members and maximum of 200 with an average of 39 members. Furthermore, the actual members ranged from 75 to 3,000 with an average of 572 members. The current asset of MPCs ranged from P2 million to P225 million with an average of P28,000,000. The major sources of fund of multi-purpose cooperatives were share capital and membership fees with 21 percent and 19 percent respectively. The average accounts receivable turnover of multi-purpose cooperatives the multi-purpose cooperatives were 2 to 3 times annually. The adequacy for provisioning which had only 2 percent to cover their past due debts but were solvent to pay all their debts b while their receivable to total asset ratio of 55 percent means they can cover their eceivable over their total asset 55 times which had a rating of very satisfactory performance. The problems encountered often faced by MPCs in terms of credit management were poor collection policy and strategies, outstanding balance that were not collected on time and outdated computer equipment. The multi-purpose cooperatives have a satisfactory performance on their loan collections based on the result of the study. Capitalization has significant relationship with accounts receivable turnover (ART) while current asset was highly significantly related with adequacy for provisioning. Most of the MPCs have often encountered problem such as poor collection policy and strategies, outstanding balances not collected on time and outdated equipment.



MUKAMUGANGA FLORENCE, TINGSON JHON PATRICK, TINGZON JOHANNA G. Financial Services Offered and Credit Management Performance of Multi-purpose Cooperatives in Cavite. Undergraduate Thesis. Bachelor of Science in Business Management major in Financial Management. Cavite State University, Indang, Cavite. June 2018. Adviser: Ms. Sherrie Rhose M. Matel.

The study aimed to determine the financial services offered and credit management performance of multi-purpose cooperatives in Cavite. The study also aimed to determine the business profile of selected multi-purpose cooperatives in terms of capitalization, years in operations, original and actual members and current asset; determine the sources of funds of selected multi-purpose cooperatives; identify the financial services offered by the selected multi-purpose cooperatives, determine the credit management performance indicators, determine the significant relationship between business profile and credit management performance indicators and determine the different problems encountered by the multi-purpose cooperatives in terms of credit management. The study was conducted from February to April 2018 covering 14 cities/municipalities of Cavite namely Alfonso, Amadeo, Carmona, Dasmarinas City, General Emilio Agu naldo, General Trias, Indang, Magallanes, Mendez, Naic, Rosario, Silang, Tagaytay City, and Trece Martires City. The researchers used purposive sampling with total participants of 37 u ti-purpose cooperatives in Cavite. Frequency count, percentage, mean and rank were used to determine the business profile of multi-purpose cooperatives and to identify the sources of funds and financial services offered of multi-purpose cooperative. A statistical tool such as Spearman rank correlation was used to determine the significant relationsh between business profile and credit management performance. Most of the multipurpose cooperatives had a starting capital of below 200,000 and had been operating from 7 to 41 years with an average of 19 years. The number of original members had minimum of 15 members and maximum of 200 with an average of 39 members. Furthermore, the actual members ranged from 75 to 3,000 with an average of 572 members. The current asset of MPCs ranged from P2 million to P225 million with an average of P28,000,000. The major sources of fund of multi-purpose cooperatives were share capital and membership fees with 21 percent and 19 percent respectively. The average accounts receivable turnover of multi-purpose cooperatives the multi-purpose cooperatives were 2 to 3 times annually. The adequacy for provisioning which had only 2 percent to cover their past due debts but were solvent to pay all their debts b while their receivable to total asset ratio of 55 percent means they can cover their eceivable over their total asset 55 times which had a rating of very satisfactory performance. The problems encountered often faced by MPCs in terms of credit management were poor collection policy and strategies, outstanding balance that were not collected on time and outdated computer equipment. The multi-purpose cooperatives have a satisfactory performance on their loan collections based on the result of the study. Capitalization has significant relationship with accounts receivable turnover (ART) while current asset was highly significantly related with adequacy for provisioning. Most of the MPCs have often encountered problem such as poor collection policy and strategies, outstanding balances not collected on time and outdated equipment.

Submitted copy to the University Library. 07/12/2018 T-7443