<ARTICLE> 5 <LEGEND> THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE INTER-TEL, INCORPORATED AND SUBSIDIARIES FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 1996 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS </LEGEND> <MULTIPLIER> 1000 <CURRENCY> U.S. Dollars <PERIOD-TYPE> YEAR <FISCAL-YEAR-END> DEC-31-1996 <PERIOD-START> JAN-01-1996 <PERIOD-END> DEC-31-1996 <EXCHANGE-RATE> 1 <CASH> 38936 <SECURITIES> 0 <RECEIVABLES> 33094 <ALLOWANCES> 3096 <INVENTORY> 21280 <CURRENT-ASSETS> 105465 <PP&E> 26632 <DEPRECIATION> 15443 <TOTAL-ASSETS> 132611 <CURRENT-LIABILITIES> 25756 <BONDS> 0 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 59875 <OTHER-SE> 35059 <TOTAL-LIABILITY-AND-EQUITY> 132611 <SALES> 185884 <TOTAL-REVENUES> 185884 <CGS> 104966 <TOTAL-COSTS> 104966 <OTHER-EXPENSES> 0 <LOSS-PROVISION> 0 <INTEREST-EXPENSE> 77 <INCOME-PRETAX> 15306 <INCOME-TAX> 6264 <INCOME-CONTINUING> 9042 <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> 9042 <EPS-PRIMARY> .68 <EPS-DILUTED> .68