Product Development Budget

1. Product Development Budget Product Development BudgetFor Product Development Cycle 2.0 Version 1.0 Version 2.0 (+/-) % Change Comments/AssumptionsPersonnel ExpensesFull-Time Salaries $569,000 $643,000 $74,000 13%Temporary Workers $45,000 $56,000 $11,000 24%Consultants $1,500 $0 -$1,500 -100%Outsourcing Contracts $24,000 $18,900 -$5,100 -21%Training / Seminars $1,500 $3,000 $1,500 100%Travel (e.g. Plane Tickets) $4,500 $6,000 $1,500 33%Accomodation (e.g. Hotels) $4,000 $5,000 $1,000 25% Total Personnel Expenses $649,500 $731,900 $82,400 13%Marketing ExpensesOnline Advertising $19,000 $25,000 $6,000 32%Print Advertising $37,000 $46,000 $9,000 24%Events/Tradeshow Sponsorships $35,000 $25,000 -$10,000 -29%Marketing Collateral $4,000 $4,500 $500 13%Prospect Lists $5,000 $12,700 $7,700 154%Other $200 $500 $300 150% Total Marketing Expenses $100,200 $113,700 $13,500 13%Production ExpensesRaw Materials $768,000 $1,456,789 $688,789 90%Equipment $235,000 $100,800 -$134,200 -57%Training $24,000 $35,700 $11,700 49% Total Production Expenses $1,027,000 $1,593,289 $566,289 55%Software ExpensesDesign Application $27,500 $34,000 $6,500 24%Production Management Application $22,000 $27,000 $5,000 23%Other Applications $2,900 $2,500 -$400 -14% Total Software Expenses $52,400 $63,500 $11,100 21%TOTAL EXPENSES $1,829,100 $2,502,389 $673,289 26%