Annual Budget	Expended in March	Expended Year to Date	Amount Remaining
Personnel	600,000	68,000	475,000	125,000
Overtime	50,000	7,800	47,000	3,000
Supplies	28,000	2,500	23,500	4,500
Travel (personal)	2,200	0	1,700	500
Equipment	9,000	0	9,000	0
Staff Development	8,000	1,200	7,800	200

You are a nurse manager at a local post-acute care nursing facility. This is April 1, and you have received the following budget printout from you department. Your charge nurses are requesting an additional RN on the day and evening shift (average annual salary cost per nurse would be approximately $65,000) since the acuity has increased dramatically over the last 2 years. Dr. Robb has requested two new continuous limb movement machines for the postoperative orthopedic patients on your unit at a cost of $3000 each. In addition, you would like to attend a national orthopedics conference in New York in August at a projected cost of $1500. The registration fee is $650 and is due now.

*Fiscal year begins July 1, so consider how many months remain in this fiscal year.

** Remember in fiscal planning you cannot shift money from one budgeted area to another to cover deficits. You cannot rob Peter to pay Paul!

Assignment (please answer each question- note that some questions have two parts):

1. How will you deal with these requests based on the budget printout? (5 pts.)
2. What expenses can and should be deferred to the new fiscal year? (5 pts.)
3. In what budgeting area were your previous predictions most accurate? Most inaccurate? (5 pts.)
4. What factors may have contributed to these inaccuracies? Were they controlled or predictable? Look up definitions for these terms in your text and discuss which were able to be controlled; which could be predicte (5 pts.)