Bottom Line, Inc.
Individual Contributor - Participant’s Workbook
FINANCE DEPARTMENT BRIEF
Your department handles all financial matters at Sludge Brothers: invoice, credit control, salaries, and
budgetary control. The department has 16 staff and this year you have a budget of $855,000, which
represents only 5 percent to cover inflation, the lowest increase of any department. You have a number of
ideas in mind for the extra cash.
With increasing demand, you want to install an updated invoicing system. The present system is
passable but the new version of the program gives a quick analysis of overdue invoices which
would improve cash collection. The current average payment date for invoices is 63 days and
you estimate the new system would bring this down to 51 days, paying for itself in seven
months. Cost for the upgrade is $66,500.
You currently have two computer operators and feel there is sufficient coverage for
emergencies as they work a two-shift