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PAD 505 Assignment 2 The Capital Budget NEWAssignment 2:The Capital BudgetDue Week 6 and worth 280 pointsRefer the Scenario for Assignments 1–e e 5. Forecast salaries, revenue estimating, and prepare the capital budget.Using the budget from the selected agency, write a five to six (5-6)page paper in which you:Analyze the agency’s compensation for employees. Provide a rationale on what the costs and benefits would be for a 2 percent, 4 percent, or 5 percent pay increase for the fiscal year 2014. In your forecast, (a) discuss the effects of the increase on benefits for the agencyand (b) provide a chart depicting the increase for each percent. (Title this section Payroll Forecast.)Review the trend of the agency over the past five (5) yearsand prepare an analysis explaining the trend for expenditures. Include a figure depicting the trend. (Title this section Trend Analysis.)Prepare and explain a five (5) year forecast of the four (4) highest expenditures. Make anXYplot of these data. Include in the analysis whether the costs should be approved or not approved. Justify the reasoning with examples. (Title this section Expenditure Forecast.)Compare two (2) options for predicting the cost of needed repairs to thecurrent building that houses the selected agency by completing Exercise 1 at the end of Chapter 1 (page 92). Provide a rationale for recommending one (1) of the two (2) options. Include the figures to support the rationale. (Title this section Capital Budget.)Provide names and URLs of the Websites for the state’s budget(s) analyzed and any other government Websites used to support the assignment’s criteria

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