Creating budget and annual operating budget assignment, Cost Accounting

Assignment Help:

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?

Related Discussions:- Creating budget and annual operating budget assignment

Reserves and surplus, Reserves and surplus or retained earnings usually occ...

Reserves and surplus or retained earnings usually occur out of profitable operations. This is a surplus not distributed through the firm as dividends. Conversely, these are profits

Explanation of sales revenue line, The sales revenue line demonstrates the ...

The sales revenue line demonstrates the amount of sales earned throughout the different level of activities. It can be observed that between zero and somewhere between activity B a

EXPECTED CASH COLLECTIONS, WORKED EXAMPLES OF EXPECTED CASH COLLECTIONS PAT...

WORKED EXAMPLES OF EXPECTED CASH COLLECTIONS PATTERNS

Differential costing, explain the practical application of differential cos...

explain the practical application of differential costing with the help of suitable example.

Critical thinking about cvp, The Critical Thinking about CVP is described b...

The Critical Thinking about CVP is described below CVP is more than just a mathematical tool/device to calculate values such as the break-even point. It can be used for the cri

Cash budget - budgetary planning and control, Cash Budget - Budgetary Plann...

Cash Budget - Budgetary Planning and Control This can records the cash outflows and inflows that are expected to take place in respect of every functional budget. This may be

Cost accounting, how does cost accounting differ from management accounting...

how does cost accounting differ from management accounting

Material usage variance (muv), Material Usage Variance (MUV): This is t...

Material Usage Variance (MUV): This is the variation between the actual quantity of material consumed and standard quantity which should have been consumed, expressed in terms

Advantages of average costing method, Average costing method has the follow...

Average costing method has the following main advantages: 1.It is a realistic costing method useful to management in analyzing operating results and appraising future production

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd