KNR 271 Lecture Notes - Lecture 11: Indirect Costs, Fixed Cost
19 Jun 2018
School
Department
Course
Professor
KNR 271
Recreation Programming
TTH 9:35am-10:50am
Upcoming Dates:
Chapter 18: Program Costs
Terminology
Budget
oA plan for financing and conducting a program or service
Expenses
oNecessary costs to run a program
Revenue
oMonies generated to pay for a program
Break Even Analysis
oWhen expenses and revenue for a program are the same
You pay $100 for expenses; your 10 participants pay $10 each to
participate; you break even because you make back all the money you
spent
Cost
oA “measurement”, in monetary terms, of the amount of resources use for some
program
2 types
Direct
oAnything you pay that is traced specifically to your
program
oWant you need to run the program yourself
EX: Cooking class
Needs: Instructor, ingredients, equipment, t-
shirts, etc.
Indirect
oCosts that the agency incurs regardless of whether or not it
operates a specific program
Things you have to pay for even through it doesn’t
totally relate to your program
EX: Cooking class
oNeeds: Electric for the lights, Gas for
the stove, Water to wash dishes, etc.
Price
find more resources at oneclass.com
find more resources at oneclass.com
Document Summary
Budget: a plan for financing and conducting a program or service. Expenses: necessary costs to run a program. Revenue: monies generated to pay for a program. Break even analysis: when expenses and revenue for a program are the same. You pay for expenses; your 10 participants pay each to participate; you break even because you make back all the money you spent. Cost: a measurement , in monetary terms, of the amount of resources use for some program. Direct: anything you pay that is traced specifically to your program, want you need to run the program yourself. Needs: instructor, ingredients, equipment, t- shirts, etc. Indirect: costs that the agency incurs regardless of whether or not it operates a specific program. Things you have to pay for even through it doesn"t totally relate to your program. Ex: cooking class: needs: electric for the lights, gas for the stove, water to wash dishes, etc.
