A. Read the table regarding Family Counseling Program Budget by
Hypothetical Agency Inc. in terms of the program revenues and
expenditures on p.268.
(1) What percentage of the total expenditure of ‘Counseling Program’
is being used for the employees’ salary? Present the formula and
answer (tip: Salary/total expenditure x 100 = % of salary in the total
(2) Suppose that this agency staff participated in a conference to do a
fund raising activity at the conference site. What percentage of the
total expenditure is used for the staff’s conference participation for its
fund raising activity? (For the expenditure for conference
participation, include the following items: ‘Travel’ ‘Conferences’ and
‘Membership dues’). Calculate what percentage of the total
expenditure is being used for the agency staff’s conference
participation? Present the formula and the answer. (tip: Total
expenditure for fund raising/Total expenditure x 100)
B. Read the table of the statement of revenues and expenditures
provided by Hypothetical Agency Inc. on p. 270 of the textbook and
answer the questions.
(1) Which funding organization donated exactly what was estimated
(2) From which funding source did Hypothetical Agency Inc. obtain
more donation than the Agency budgeted this month?
(3) From which funding source did Hypothetical Agency Inc. obtain
less donation than the Agency budgeted this month?
(4) When you see the line for ‘Supplies’, the percentage variance for
this month is positive, whereas the percentage variance for the
Year-To-Date (YTD) is negative. Suppose that you are the director of
this agency, how would you interpret what these two variances
indicate regarding the item: ‘Supplies’ for this agency?
(5) Was the year-to-date balance of this organization a deficit or
surplus? How much was the deficit or the surplus?
C. Read ‘Fifty Considerations for Reducing Costs’ in the textbook
pp. 273-278. Choose one consideration in the list that you find
eye-opening or very intriguing. Explain the gist of the consideration
and discuss your idea about how you would apply it to your financial
management at your work. If none of the considerations impresses or
new to you, discuss which consideration you have kept in mind and
how the consideration actually has helped you or your
agency/organization reduce costs.
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