CAPTURE APRIL 2016 Q2 ISSUE 02 | Page 29

What does warm water and

a lemon wedge really cost?

For governments and nonprofits to understand and explain their true costs, it is more like a presentation of illusion than a factual depiction. Years of hiding costs and starving for the cause ultimately impair their impact. This reality has left most federally funded entities with unrealistic expectations and elastic accountability.

We found an article that eloquently describes the reality of indirect costs and what they really mean, and we couldn’t help but share it. This particular article stood out to us; it explains indirect costs in a way everyone can understand.

In England, a customer, who we will call Alison, went to a local café for tea (minus the teabag because she was on a tight budget). She was quite surprised when she received a charge for hot water and a slice of lemon for £2 ($2.87). She immediately logged onto the Internet and this is what she had to say:

“This place is absolutely dreadful. I went out for afternoon tea with some friends, and I was on a tight budget. I ordered hot water and a slice of lemon, which did not arrive on time with all my friends’ cake and drinks. I was then charged £2 for the hot water and a thin slice of lemon. When I asked why I was being charged so much for some water the waiter rudely said, ‘Well, do you know how much a lemon costs?’ Yes! And it’s definitely not £2. He then went on to wrongly inform me that a ‘pot of tea for one’ (which is what I was charged for) is the same price as a lemon. To show just how ridiculous the price was, one of my friends ordered a slice of chocolate cake that cost her £1.90.”

2016 Q2 ISSUE COSTTREE CAPTURE. 29