This assignment will consist of developing a center-based financial operating budget. A break-even and Cash-flow projection are not required for this assignment. Students will develop the budget based on the following information.

• Use the ages and numbers of children, staff salaries, etc. from the Staffing Patterns Project
• Ratios: Use NH Licensing ratios
• Assume the program is non-profit (so this is a break-even budget)
• Food subsidy: student choice (current reimbursement rates and eligibility requirements can be found online)
• Grant funding (i.e. United Way, other foundations, etc.): student choice
• Use a Utilization Rate of 90% - utilization rate is the potential percentage of child care slots being used.  On Blackboard are articles with examples.
• Other Expenses (use these dollar amounts):

•  
  1. Rent:  Assume $2000 per month for rental property
  2. Insurance:  Assume $6,000 per year for property and liability insurance
  3. Utilities (electricity, phone, gas): Assume $1000 per month

• Food, equipment, classroom supplies, maintenance, and cleaning - students will determine the budget for these categories
• Other components to include:

•  
  1. Initial  and/or annual registration/enrollment fees (to make up for income lost due to utilization rate)
  2. Fundraising
  3. Professional membership costs
  4. Non-teaching staff salaries
  5. Curriculum materials
  6. Replacement items, i.e. furniture, computers, books, etc.
  7. Field trips
  8. Marketing/Advertising
  9. Office Supplies
  10. Attorney on retainer
  11. Tax preparation services
  12. The need for part-time staff

To supplement the budget, students will include rationale for any line items with comments in individual cells (i.e. how the number was calculated, determined, or estimated). In Excel, it will be apparent that students have included a comment because of a small red triangle in the right-hand corner of a cell. Students will also provide a reflection in a Microsoft Word document that addresses the following questions/statements in 2 to 3 pages:

• What did you find to be the challenges of creating this budget?  What, if any, were the rewards?
• Discuss what, if anything, you learned from this process? 
• Do you aspire one day to be in a position where you have the opportunity to create a budget for a child care center?

Posted Date: 2/16/2013 12:34:58 AM | Location : United States

Ask an Expert

Related Discussions:- Creating budget and annual operating budget assignment, Assignment Help, Ask Question on Creating budget and annual operating budget assignment, Get Answer, Expert's Help, Creating budget and annual operating budget assignment Discussions

Write discussion on Creating budget and annual operating budget assignment
Your posts are moderated

Write your message here..

Related Questions

Overhead costing and control, selection of activity base/level selection of activity base/level

Important aspect regarding to service cost centres, Important Aspect Regard... Important Aspect Regarding to Service Cost Centres The basis selected should be one that is judged to be the mainly equitable way of sharing the service costs of department

Process losses, Process Losses Most manufacturing processes result in ... Process Losses Most manufacturing processes result in several portion of the raw materials utilized not being transformed into a reliable half losses.  These losses may take t

Costs, discuss stages of accounting for costs discuss stages of accounting for costs

Basic, sir i want to know the whole procress of costing sir i want to know the whole procress of costing

Accounting for job order costing, Accounting for Job Order Costing ... Accounting for Job Order Costing 1.  Direct Labor  Dr W.I.P. Control Account Cr Cash Account 2.  Accrued Direct Wages Dr W.I.P. Control Account Cr Wages

Example of economic order quantity, Example of Economic Order Quantity ... Example of Economic Order Quantity The EOQ model supposes : - Annual demand is recognized - Hold costs are constant and recognized - Ordering costs are recognized a

Limitations of cost accounting, LIMITATIONS OF COST ACCOUNTING Cost Acc... LIMITATIONS OF COST ACCOUNTING Cost Accounting similar to additional branches of accountancy is not an precise science although is an art which was developed throughout theorie

Cost behavior, maintenance costs at a hospital maintenance costs at a hospital

Determine the relevant costs, Cowboy Constructions employs a full-time driv... Cowboy Constructions employs a full-time driver and incurs costs for a vehicle to deliver paperwork between each of their building sites. Select Couriers has offered to carry out t