Posted: May 24th, 2016

Using the organization selected, create a budget for the next fiscal year. Set out the details of all assumptions you needed in order to build this budget. 2

Required
1. Set up three worksheets that follow the format of those in Example 15A. However, in each of your worksheets make two lines for revenue; label one as Revenue—Inpatient and the other Revenue—Outpatient. Add a Revenue Subtotal line. Likewise, make two lines for expense; label one as Expense—Inpatient and the other Expense—Outpatient. Add an Expense Subtotal line. 2. Using the new assumptions, complete the first worksheet for “As Budgeted.” 3. Using the new assumptions, complete the second worksheet for “Actual.” 4. Using the new assumptions, complete the third worksheet for “Static Budget Variance.”

Assignment Exercise 15–1: Budgeting

Select an organization: either from the Case Studies in Chapters 27–28 or from one of the Mini-Case Studies in Chapters 29–31.

Required
1. Using the organization selected, create a budget for the next fiscal year. Set out the details of all assumptions you needed in order to build this budget. 2. Use the “Checklist for Building a Budget” (Exhibit 15–2) and critique your own budget.