Below are three Budget Scenarios. Each one builds on the next, so the information in Scenario Two is added to is added to Scenario One, and Scenario Three to Scenario Two.

All budgets will be for the year July 1, 2002 to June 30, 2003

Scenario One

Personnel: Prof 1, the Principal Investigator, will work for two summer months (July and August) at $6,000 per month.

Prof 2, the Co-Principal Investigator will also work for two summer months at $4,500 per month.

Two graduate students will work on the project during the 9-month academic year. They will each earn $10,000.

Fringe Benefits: Calculate the fringe benefits using the appropriate rate.

Travel: The professors will attend a conference in Chicago. Air fare for each will be $400, ground travel is estimated at $40 each over the conference period. Registration fees are $395 per prof. To arrive at a total travel cost figure, find the per diem rate for Chicago and add 4 days for each prof.

Complete the budget form, calculating total personnel costs, total direct, F&A costs, and total request.

Scenario Two

Revise the above budget to include two computers at $6,000 each.

Add the following supplies:

On average this type of research consumes $150 of lab materials, such as glassware and chemicals, per month. Since the project is year-round, calculate twelve months of lab supplies.

Computer Usage costs are estimated at $500 per year (total).

Scenario Three

Add a subcontract to UNC at Chapel Hill for $40,000 to scenario two.