Budget Assignment

Definition of a budget:

A budget is a financial document that contains an itemized summary of estimated or

intended expenditures for a given period of time. In essence, it's a plan for allocating
financial resources.

Upon completion of this assignment, you will be able to:

 Complete a budget.
 Add, subtract, multiply and divide decimals.

Part 1. Complete a business budget.

Instructions: Take a moment to think about the costs of running an office. Complete a
business budget base on the scenario below.

Scenario:
Title: Office Administrator.

Company: Ladhani & Penn Law Office

Task: Your boss, Anne Penn, has asked you to create a monthly budget for the law
office. You have a total budget of $17,000. Below are some details that will help you
create the budget. Complete the “Planned Expenses” column of the budget so it
totals $17,000.

 Rent – $2850.00
 There are five lawyers and two office administrators at the firm that require
parking spaces. Each parking spot costs $52.00 a month; the company pays this
expense for each employee.
 Utilities are included in the cost of rent.
 Insurance costs $356.00 a month
 Each fax and copy costs $0.03 per page, the office generally goes through 7,500
per month
 Advertising is a priority of the law firm –using internet resources, you will
be researching and determining appropriate amounts to be spent on
marketing (brochures, website, business cards, advertising); you will need
to cite your sources.

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  Phone/Internet – there are seven phones/extensions plus the fax line to pay
plus internet connection which comes to $34.17 per line
 Office cleaning service costs $450 a month
 Office supplies comes to $650 per month
 Copy machine rental is $57 per month
 Shredding service is $165 per month
 Mileage costs are $0.45 per kilometer per month and mileage is generally 1,475
kilometers per month
 Mailing costs are $470 per month
 Monthly salary for the two office administrators – by using internet
resources, you will be determining appropriate salary levels for the office
administrators; you will need to cite your sources.

Create a one paragraph statement explaining your budgeting choices. The purpose of
this is to explain to your boss why you distributed the money the way you did.

Use the internet to find some prices for salaries for the two office administrators,
brochures, business cards, website and advertising to support your planned expenses.
Include citing for the sites you used to determine the costs for the two salaries,
brochures, business cards, website and advertising (your choice for magazine,
newspaper, television and/or radio ads) and include a bibliography or works cited as
the last page of your budget submission.

*Your submission must be a unique and original submission based on the

choices you made in relation to marketing and salaries. While collaboration
during class is permitted, your submitted assignment must be an original
document created and decided on by you; failure to do so will result in an
Academic Integrity Alert and a grade of zero.

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 Ladhani & Penn Law Office Budget

Expense Category Planned Expenses Actual Expense Difference

Building Rent/Lease $2,850.00
Equipment Rent/Lease
Phones $239.19
Copy Machine $57.00
Salaries $7,400.00
Operating Expenses
Utilities $ -
Insurance $356.00
Cleaning $450.00
Other $ -
Administrative Expenses
Fax/Copies $225.00
Postage $470.00
Office Supplies $650.00
Shredding $165.00
Other $ -
Marketing Expenses
Brochure $330.00
Website $19.99
Business Cards $173.16
Advertising $2,800.00
Other $ -
Administrative Expenses $
Vehicle Expenses
Mileage $663.75
Parking $140.00
Travel $ -
Other $ -
Miscellaneous $ -
Total Expenses $16,989.09

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The average salary an office administrator would earn on a monthly basis is about
$3700

Given that there are two employees I would multiply that by two

3700 x 2= $7400

Office Administrator salary in Canada. (n.d.). Retrieved April 01, 2019, from
https://neuvoo.ca/salary/?job=Office%20Administrator

With Business Plus from GoDaddy.com we would be able to allow our customers to
make appointments online for $19.99/month

Create Your Own Website in Minutes GoDaddy CA. (n.d.). Retrieved April 01, 2019,
from https://ca.godaddy.com/offers/websites/website-
builder/nonbrand?isc=wbftca10&currencytype=CAD&gclid=Cj0KCQjwkIzlBRDzARIsAB
gXqV8ipXjmn8znR7aj5dkvcuvv-
R0d5JhOcLeQZ24YpV36BvjzUjnGEQ4aAhDPEALw_wcB&gclsrc=aw.ds

Providing full color brochures at a reasonable price of $330 for 3000 brochures

Solutions, B. P. (1994). Brochures – Richmond Hill | Design Printing | Brazen Print.

Retrieved April 01, 2019, from
http://www.brazenprint.com/services/brochures/?gclid=Cj0KCQjwkIzlBRDzARIsABgXqV
-
Ui3Q9aNmSyL4BDqUL0kW3kNBAeaqqMIjJyYBKuOBJDE0ecQcMJL8aAl3JEALw_wcB

With a total price of $173.16 for 5000 business cards including shipping, this would be a
very reasonable price for a large quantity of High Gloss Business Cards. (n.d.).
Retrieved April 01, 2019, from https://eprintfast.com/ca_en/products/business-cards-
high-gloss.html

High Gloss Business Cards. (n.d.). Retrieved April 01, 2019, from
https://eprintfast.com/ca_en/products/business-cards-high-gloss.html

Monthly rate 480, for 1/4th a page

https://brighton.civicweb.net/document/41798/snapd%20Northumberland%20West%20
Media%20Kit_lowres.pdf?handle=81FB1F800BAF4D9DA9619FB792336CCF

commercial television is $1500

television is $700

education TV for one country $300

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internet for continent is $300

total cost of advertisement is 2800

Rate Card. (n.d.). Retrieved April 01, 2019, from https://stox.ctvnews.ca/rate-card

5
 Reference

Office Administrator salary in Canada. (n.d.). Retrieved April 01, 2019, from
https://neuvoo.ca/salary/?job=Office%20Administrator

Create Your Own Website in Minutes GoDaddy CA. (n.d.). Retrieved April 01, 2019,
from https://ca.godaddy.com/offers/websites/website-
builder/nonbrand?isc=wbftca10&currencytype=CAD&gclid=Cj0KCQjwkIzlBRDzARIsAB
gXqV8ipXjmn8znR7aj5dkvcuvv-
R0d5JhOcLeQZ24YpV36BvjzUjnGEQ4aAhDPEALw_wcB&gclsrc=aw.ds

Solutions, B. P. (1994). Brochures – Richmond Hill | Design Printing | Brazen Print.

Retrieved April 01, 2019, from
http://www.brazenprint.com/services/brochures/?gclid=Cj0KCQjwkIzlBRDzARIsABgXqV
-
Ui3Q9aNmSyL4BDqUL0kW3kNBAeaqqMIjJyYBKuOBJDE0ecQcMJL8aAl3JEALw_wcB

High Gloss Business Cards. (n.d.). Retrieved April 01, 2019, from
https://eprintfast.com/ca_en/products/business-cards-high-gloss.html

https://brighton.civicweb.net/document/41798/snapd%20Northumberland%20West%20
Media%20Kit_lowres.pdf?handle=81FB1F800BAF4D9DA9619FB792336CCF

Rate Card. (n.d.). Retrieved April 01, 2019, from https://stox.ctvnews.ca/rate-card