Reference no: EM132410889
Nonpersonnel expenses: You have been tasked with computing baseline budget targets for the upcoming budget cycle. Using Table 12.2 as your starting point, make the following adjustments:
(a) Solar panels have been installed with an expected 5% decrease in utility cost, for a savings of about $7,611?
(b) The inspection program was started in FY 2014 and had funding for three fourths of the year. All of the start-up costs were incurred in FY 2014. The annualized value of the inspection supplies for the remaining one fourth of the year is $81,899.
(c) Inflation is expected to be 2% except for utilities, which will see no increase, and for leased space, which by contract will have a 3% inflationary increase.
(d) The number of service units will not change.
(e) All departments are expected to achieve a 1% improvement in efficiency on all lines of cost and in all programs. (f) Budget baselines are not given out with cents, so round to the nearest dollar.
TABLE 12.2Nonpersonnel
Expenses Expense Type FY 2014
General Supplies $ 69,532
Utilities 152,227
Leased Space 720,000
Fuel 50,571
Inspection Supplies 327,595
Inspection Start-up 125,000
Total Nonpersonnel $ 1,444,925