Page 134 - Budgeting for Managers

Low Bid
High Bid
Computer Inventory System
$15,000
$12,000
Server
Workstations
$7,500
$7,500
$1,000
Graphics Monitors Preparing for Presentation 117
$2,500
Inventory Software $30,000 $30,000
Module to link in corporate
network $0 $10,000
Analysis and Design $20,000 $35,000
Development $15,000 $25,000
Installation $7,000 $10,000
Sales Tax (7% of components) $3,535 $3,850
Total $96,035 $138,850
Table 7-5. Low and high bid proposal
ment, and installation costs.
The company liked both bids, but did not see the value of
connecting the inventory system into the warehouse to be worth
the cost of over $40,000. As a result, they chose the lower bid
and Robert included that in his annual budget.
Presentation Formats
As we discussed above, a simple presentation might have just
these elements:
• An agenda
• Photocopies of a one- or two-page budget for everyone
at the meeting
• One page of either budgetary assumptions for an
accounting-oriented meeting or notes on business value
for a meeting focusing on departmental work
•Two copies of a few pages of supporting materials, avail-
able in case people ask additional questions
On the other hand, you may need to make a much fancier
presentation with color graphics and a projector. These days,
we often create a slideshow in PowerPoint or a similar computer
program. The presentation may be displayed directly from a