Financial Decisions budget

Financial Decisions

Imagine that you are on the board of directors of a church-based
child care center. After reviewing the budget for next year, you and
your fellow board members realize that the center will have to make some
tough decisions. Choose one of the following budget scenarios to
discuss.

1. Budget Cuts: In order to stay profitable, the center
   will need to make budget cuts. You are concerned because you know that
   if salaries do not go up, some teachers may resign. On the other hand,
   if tuition rates increase, some of the families may not be able to
   afford to stay at the center. How will you and the board go about making
   these cost-saving decisions?
2. Budget Surplus: Your center is in the enviable position
   of having a budget surplus that has resulted from careful financial
   management over the past several years. The center must allocate the
   excess funds in order to ensure future funding from the church. How will
   you and board go about making these spending decisions?

Using information from Chapter 3 and at least one other source (be

sure to cite your source), describe two to three specific strategies to

either save or spend money while meeting the needs of the teachers and

families. Your discussion post should be at least 200 words in length.