Tatiana Monserrat Penella

Management information system

24/10/2011; Group A

Assignment
Small office set up.

You and 2 friends are about to start a new business. You are responsible for buying the
computers and software needed to start working.

A friend of yours has advised you that to start with, you will need:

4 mid priced portables and 3 mid priced PCs, with operating systems.
1 simple, entry level server (aim to spend 1500 – 2500 USD)

1 Colour laser printer

1 Colour inkjet printer

1 wireless 4 port router

1 5 port switch

Microsoft small business server (5 client accesses)

Microsoft office professional for (5 users)

1. Prepare a sheet showing the total cost of each of the items. You may use either
euros or dollars. (Remember, you must ensure that your computers have Operating
systems!)

4 mid priced portables € 2.836,00

3 mid priced PCs
1 simple, entry level server
1 Colour laser printer
1 Colour inkjet printer
1 wireless 4 port router
1 5 port switch
Microsoft small business server
Microsoft office professional
TOTAL COST
€ 1.797,00
€ 730,00
€ 100,00
€ 100,00
€ 25,00
€ 20,00
€ 95,96
€ 97,74
€ 5.801,70
 2. Using Dell.com, calculate whether it is cheaper to purchase outright or to lease the 3
laptops for 4 years, using the simple headline rate shown on the US website. What
are the advantages/disadvantages of leasing v. buying

Buying three laptops has the cost of 549€ each and with the total cost of 1.647€
To lease the 3 laptops for 4 years will have a total cost of 1.448€

Key Features of Dell leasing

 Control your cash flow and save credit lines for other needs
 No payment and no interest when you pay in full within 90 days1. If you choose not
to pay in full within 90 days, you will simply make your monthly payments of
principal and interest from that point forward
 Payments commence approximately 30 days after the equipment ships
 Available to credit qualified customers with businesses with 99 or less employees.
Please call Dell Financial Services for more details

Ideal For:

Companies looking to conserve cash flow, paying in equal monthly payments, and the
capability of paying if off at any time.

Lease vs. Buy Analysis: Leasing IT solutions is rapidly becoming a preferred option for a
number of organizations, ranging in both size and industry. There are a number of
individual criteria that must be considered before choosing how you acquire your
technology to run your business. Your company’s specific needs must be addressed in order
to determine if leasing your electronic material for the company makes sense.

The biggest advantage of leasing equipment is that the cost is spread over a number of
years; there is no need for you to pay the entire amount upfront. This can significantly help
maintain cash flow, which is critical to all businesses. Poor cash flow is the main cause of
small business failures, and leasing can help you to keep it under better control.

The main disadvantage of leasing is that you never own the product. It remains the property
of the leasing company during and after the lease. The only exception being if you arrange
for it to be sold to another company or person, in which case the leasing company would
receive the money and a percentage would be passed back to you (depending on the
amount, product type, age, and which leasing company you use).