Cost and Return Analysis on the “Roasted Chicken” Business Operation

Authors

  • Eunice L. Lluz

DOI:

https://doi.org/10.47750/jett.2023.14.01.039

Keywords:

return on investment, operation, cost and return, profit

Abstract

This study investigated the cost and return analysis on the operations of roasted chicken business in selected towns in Northern Samar. The analysis focused on the costs and returns, which were assessed using the return on investment (ROI) metric. The findings indicated that the ROI for the participants varied, with the highest being 9.23% and the lowest being 3.12%. The connection between current assets and liabilities is referred to as the working capital of a business entity. It is important to note that investments in certain concepts may require a period of time before yielding returns (Business Alert, 2014). Moreover, the outcomes derived from conducting a simple linear regression analysis on the dataset demonstrated a statistically significant association between capital and net profit. The higher capital, the higher the profit. The researcher's recommendation suggests that owners of roasted chicken businesses should implement strategies to ensure a sustainable cost and return on investment. By carefully managing the balance between costs and revenue, aiming for the optimal combination, a firm can attain profitability, which denotes its capacity to generate profit (Villegas, 2008). Customers and clients should exercise caution when selecting and purchasing roasted chicken from accredited businesses to prioritize their safety. Government regulatory authorities should consistently oversee roasted chicken businesses in towns to ensure compliance with standard policies and guidelines. Adequate capital is crucial for future investors planning to start a business. Conducting studies involving respondents from other towns can provide additional insights into assessing the cost and return of investment in operating roasted chicken businesses.

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