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- This topic has 1 reply, 2 voices, and was last updated 7 years ago by John Moffat.
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- May 21, 2016 at 12:16 pm #316188
Hi Sir John,
I have a query about question “Newtonwn School’s” particularly about salary calcualtion:
I don’t understand that in the solution they have divided by 2, however the teachers were employed from September to 31th May. There was 2% increase in salary in 1st december 2013, so they worked 9 months totally, and 6 months is the increase.My calculation is:
Salaries: Previous y/e: $620,000
One leaver ( $26,000)
————–
594,000 /9=$66,000.
$66,000 *6= $396,000. .Salary increase +2% Computation: ($396,000*0.02)+396,000=7,920+396,000=$403,920.
Plus Salary for Sept-Nov: 66,000*3 =$198,000.
Totally: $601,920.My question is : In the result they have $599,940, thus this is a difference of $1,980 from mine computation?
Can I calculate it in this way or is not correct?Next question about questionc) Briefly outline main steps involved in preparing a zero-based budget.
1. Define decision packages:
I. Mutually exclusive packages: contain aternative method to get the same job done. The best option must be selected.
2.Incremental package: divide one aspect of an activity into different levels of efffort. The base package will describe the minimum amount of work that must be done to carry out the activity the other packages describe what additional work can be done.Sir, I don’t understand the principal of the incremental package, how one aspect of an activity can be diveded into different levels?? Can you explain on the example?
Thank you very much.
May 21, 2016 at 4:20 pm #316228You must ask this in the F5 Ask the Tutor Forum if you want me to answer – this forum is for students to help each other.
You asked your first question earlier, and I answered it earlier (your way is not correct).
With regard to zero based budgeting, have you read the free lecture notes on this?
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