SUMMARY, CONCLUSIONS, AND RECOMMENDATIONS

This chapter presents the summary of findings, conclusions drawn, and the recommendations given by the researchers.

Summary of findings

The following were the summary of findings:

1. Business profile of the Respondents

a) Form of business

Nine out of ten respondents were sole proprietorship and only one was a partnership, the former was the more common form of business ownership in selected areas in Pangil, Laguna.

b) Nature of the business

Five of the respondents were engaged in service, four were retailers and only one was engaged in manufacturing. Most of the respondents were engaged in service; some of the them were computer shops, and small eateries. Most of the respondents that were engaged in retailing owned sari-sari store. The respondent that was engaged in manufacturing owned a bakeshop.

Five of the respondents have been in business for 5 to 10 years, three are in less than 5, one has been in business for 11 to 20 and one is more than 21 years.

d) Starting capital

Nine out of the ten respondents had a starting capital of less than P500,000, only one of the respondents had a starting capital within the range of P500,001 up to P1,000,000.

e) Average monthly profit

Five of the ten respondents had an average monthly profit within the range of P10,001 up to P25,000, three had less than P10,000, one had an average monthly profit within the range of P25,001 up to P40,000, and one respondent had an average monthly profit of more than P55,000.

2. Common problems encountered

The respondents encountered cash management problems like having cash overages and poor decisions in handling cash occasionally. Other problems like having not enough cash for emergency expenses and necessary obligations, miscalculations and wrong allocations of cash, cash shortages, huge overhead costs, and problems collecting receivables were seldom experienced by the respondents.

a) Cash management in terms of Forecasting

The result of the investigation stated that the average weighted mean for cash management practices in term of forecasting was “2.72”, which means that most of the cash management practices in forecasting were done by the respondents occasionally.

b) Cash management in terms of Receiving

The result of the investigation showed that the average weighted mean for cash management practices in term of receiving was “3.72”, which means that the respondents often do most of the cash management practices when receiving cash, and the respondents always double check the amount they received.

c) Cash management in terms of Disbursing

The result of the study for the cash management practices in term of disbursing had an average weighted mean of “3.62”, which means that the respondents often do most of the cash management practices when disbursing cash.

d) Cash management in terms of Controlling

The result of the study for the cash management practices in term of controlling had an average weighted mean of “3.64”, which means that the

their cash, and they always record their daily cash disbursements.

e) Cash management in terms of Investing

The result of the study for the cash management practices in term of investing had an average weighted mean of “3.72”, which means that the respondents often do most of the cash management practices when investing cash. However, they only use their cash to buy their personal needs and/or wants occasionally.

4. Significant relationship between the common problems encountered and the levels of cash management practices

The statistical tool that was used for testing the significant relationship between the common problems encountered and the levels of cash management practices was chi-square. The test aimed to determine if there was a relationship between the common problems encountered and the levels of cash management practices in selected small scale business establishments in Pangil, Laguna.

In terms of forecasting, the computed chi square for all practices was lower than the critical value which means that the common problems encountered have no significant relationship with the levels of cash management practices in term of forecasting.

In terms of receiving, the result of the test of significance that was made in the second practice was not significant; the second cash management practice in terms of receiving had no significant relationship with the common

significant which means that four practices have a significant relationship with the common problems encountered in cash management.

In terms of disbursing, the result of the test of significance that was made showed that the first, second, and fourth practices of disbursing have significant relationship with the common problems encountered and the third and fifth practices have none.

In terms of controlling, the result of the test of significance that was made showed that the first and fourth practices under controlling had no significant relationship with the common problems encountered; however, it also showed that the second, third, and fifth practices had a significant relationship with the common problems encountered.

In terms of investing, the result of the test of significance that was made showed that the first to fourth practices of investing had a significant relationship with the common problems encountered and the fifth had no.

The following were the conclusions drawn from the findings:

The cash management practices under forecasting have no significant relationship with the common problems encountered. However, most of the cash management practices under receiving, disbursing, controlling, and investing have significant relationship with the common problems encountered. It is safe to assume that the common problems that the respondents encountered affect the levels of their cash management practices.

Recommendations

Based on the findings and conclusions of this study, it is observed that the common problems encountered by the respondents affect the levels of their cash management practices. The following recommendations were in order.

It is recommended that the respondents must check then re-check and improve their performances in term receiving, disbursing, controlling, and investing their cash. The respondents must not let the problems that they encounter affect their cash management practices. However their performance in forecasting is good because it is not affected by the common problems that they encounter.

Regarding the common problems that they encounter, it is inevitable especially in running a business and managing cash, it is recommended that they prepare better for the problems that they may encounter in the future.