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Rough Draft of a Short Report: Differences Between Leasing and Buying Upgrade Options

Essay Instructions:

You have recently been hired as a Business Communication Analyst. In this role, you are responsible for writing reports and proposals for a variety of audiences and purposes.
For this assignment, choose a scenario from the two scenarios that are described in the Short Report Scenarios [docx file, 13KB] document. Your job is to choose the most appropriate type of report (informational or analytical) and the best approach (direct or indirect) and compose a draft of approximately 1 to 1-1/2 pages (500-750 words). Use the internal proposal format in Chapter 10 of Bovee and Thill (2016, 7th ed.) for this assignment.
Follow this naming convention for your file before submitting it. The file should be Word or txt (No PDF): LastnameFirstinitialAssignmentLetterNumberLetterNumber. For example: HoneaSM5A1. To be accepted, the file must be Word or txt and must be in the above naming convention.
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Module Notes: Reports and Other Longer Documents
Bovee, C. V., & Thill, J. V. (2016). Business communication essentials: A skills-based approach (7th ed.). Boston, MA: Pearson Education, Inc./Prentice Hall.
Chapter 10, Understanding and Planning Reports and Proposals
Appendix A, Format and Layout of Business Documents
https://mbsdirect(dot)vitalsource(dot)com/#/books/9780133933994/cfi/6/2[;vnd.vst.idref=cover]

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Rough Draft of a Short Report
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MEMORANDAM
To: John Adamson
CEO, Bell Agencies
From: Mary Kay
Business Communications Analyst, Bell Agencies
Date: 18/09/2016
Subject: Differences between leasing and buying upgrade options
The purpose of this report is to describe the differences between 2 computer upgrade options. The problem faced by the company is that the company needs to upgrade its end-user computer equipment which includes printers, monitors, laptop computers and desktop computers. At the moment, the company has a workforce of 100 people and is growing. In essence, thirty-percent of staff members need to use laptop computers rather than desktop computers. The options that are available for the company are leasing or purchasing the equipment.
Cost comparison
PurchasingLeasing 130 laptops
Each laptop costs $133.3
Upfront costs: $4,000
If purchased outright, the company pays just $4,000 which is inclusive of sales tax.
Maintenance costs per year for the 30 laptops: $300
Since the equipment is owned by the company, the company will call the shots with regard to maintenance. Buying outright allows the company to determine the maintenance schedule, and the company can control costs of maintenance.30 laptops
Upfront costs: $0
No upfront costs if the laptops are leased.
However, if the company leases the laptops for a period of 3 years at $160 monthly, it will pay a total of $5,760 over the three year period.
Maintenance costs per year for the 30 laptops: $650
Leases will require the company to maintain the computer equipment in accordance with the specifications of the leasing firm, which could get very costly.213 printers
Each printer costs $150
Upfront costs: $1,950
If purchased outright, the company pays just $1,950 which is inclusive of sales tax.
Maintenance costs per year for the 13 printers: $250
13 printers
Upfront costs: $0
No upfront costs if the printers are leased. If the company leases the printers for a period of 3 years at $78 monthly, it will pay a total of $2,808 over the three year period.
Maintenance costs per year for the 13 printers: $450Total costs in 3 years$7,600$11,868
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