The Business Program department at SF College has six programs: Accounting, Economics, Health Information Management, Legal Assisting, Organizational Management, and Office Systems Technology. Each program has a different number of students, a different number of faculty, and different technology requirements. The departments budget must pay for Faculty Salaries, Administrative Salaries, Student Advisors, Equipment, Office Supplies, and other miscellaneous expenses such as travel costs, journal subscriptions, and coffee. Dr. Boulware, Director, Business Program funds available next semester to each of the six programs. I want you to suggest a method that would be acceptable to most members of Faculty. (For example, I lead the Accounting program. I probably want as many funds allocated to the Accounting Program as possible. I dont care what funding the Health Information Management Program gets, as long as it doesnt deprive my program of funds.) Some allocations are obvious: Faculty salaries should probably be allocated to the program in which each of the Faculty members are employed, e.g. economics instructors salaries should be charged to the economics program. But, how should the cost of administrators be allocated? And what about the advisors? Can their activities be separately associated with each program? Is the number of students more relevant than the number of faculty members? Office System Technology is an equipment-intensive program. Should they get allocated a bigger budget for equipment use? How much of the cost of running the Business Computer Lab should each program pay?( I dont think my students use it much) Should equipment be charged to a program, if the equipment is available to that program, but the instructors dont use it? What about Office Supplies used by administrators? send me a memo suggesting how Dr. Boulware should allocate Business Program costs to each program in the department. After Ive graded them, Ill forward them to him

Following Data may be useful:

ITEM. % Of Budget

Faculty Salaries. 52

Administrative Salaries 8

Advisor Salaries. 6

Equipment Depreciation. 5

Office Supplies. 4

Development. 11

Computer Lab. 14

TOTAL. 100

Programs 6 (see above)

Faculty- Full time. 15

Faculty- Part time. 12

Administrators. 2

Advisors. 2

Students. 700

Eqpt. Depreciation. $15,000 per year

Classroom Equipment. $10,000

Office Equipment. $2,000

Faculty Equipment. $3,000

The following data may be useful: Item Faculty Salaries Administrative Salaries Advisor Salaries Equipment Depreciation Office Supplies Travel & Professional Development Computer Lab Total % of Budget 52 8 6 5 4 11 14 100 Programs Faculty - Full time Faculty - Part time Administrators Advisors Students Eqpt. Depreciation 6 (see above) 15 12 2 2 700 $15,000 per yr $10,000 $2,000 $3,000 Classroom Eqpt Office Eqpt Faculty Eqpt The following data may be useful: Item Faculty Salaries Administrative Salaries Advisor Salaries Equipment Depreciation Office Supplies Travel & Professional Development Computer Lab Total % of Budget 52 8 6 5 4 11 14 100 Programs Faculty - Full time Faculty - Part time Administrators Advisors Students Eqpt. Depreciation 6 (see above) 15 12 2 2 700 $15,000 per yr $10,000 $2,000 $3,000 Classroom Eqpt Office Eqpt Faculty Eqpt