Review the sample Revenue and Expense Report.Answer the following questions:

1. What is the major source of revenue for this organization?

2. What is the largest expense category?

3. Based on this three month report, are revenues on track with budgeted projections in each line item?Highlight variances.

4. Based on this three month report, are expenses on track with budgeted projections in each line item?Highlight variances.

5.If you learned that your grant revenues would be reduced by 50% of the original amount of $450,000,

what actions would you take?How would you balance the budget? Show your revised budget indicating where changes were made.

Provide justifications for your proposed actions.

Year to Date

(Jan - Mar)

Approved Annual Budget(Jan-Dec)

Revenue:

Grants

110,000

500,000

Fees for services

1,100

8,000

Speaking fees

700

1,500

Total revenue

111,800

509,500

Expenses:

Salaries and wages

126000

438,000

Association dues

500

3,000

Marketing/Promotion

3500

9,000

Client support

7500

22,000

Rent

3400

13,000

Utilities

1200

5,000

Staff training

2000

10,000

Staff conferences

400

2,500

Technology support

1700

3,000

Miscellaneous

1600

4,000

Total expenses

147800

509,500