exam 2 study
Which of the following is an example of a generic wine?
Bordeaux
Which of the following enables a manager to hold an employee accountable for the performance of specific tasks
a job description
If a customer at the bar orders a scotch and soda, he should normally be served:
a pouring brand
Pilferage and overproduction are two important causes of unwarranted increases in:
actual costs
The right side of the menu precost and abstract is completed ___ sales have taken place
after
Future schedules for variable cost personnel should be based primarily on:
anticipated business volume
Bin cards are often used:
as shelf labels
Of the following, the most accurate device for standardizing beverage portion sizes is the:
automated dispenser
Which of the following is an example of a target market for a bar?
business women working within 2 blocks of the establishment
The potential savings for September is calculated to be:
The answer cannot be determined from the information given
T/F: "Potential savings" and "excessive cost" are two different terms for the same concept.
True
T/F: A "Puzzle" is an item that can sometimes be repositioned on the menu to make it a star.
True
T/F: A jigger is a measuring device used to ensure the accuracy of alcoholic ingredients used in drink production.
True
T/F: A menu precost and abstract incorporates a forecast of portion sales, and cannot be prepared without such a forecast.
True
T/F: A price-sensitive menu item is one for which price increase result in sales volume decreases.
True
T/F: A simple method for developing an hourly analysis of business volume is to count the number of customers in the dining room each hour.
True
T/F: A straight drink contains a single alcoholic beverage and may contain a mixer.
True
T/F: Ale is a form of beer.
True
T/F: An automated bar is both a computerized dispensing device and a sales terminal.
True
T/F: An organizational plan for a foodservice operation is necessary if performance standards are to be developed.
True
T/F: At a front bar, par stock is the exact number of bottles or other containers that must be on hand at all times.
True
T/F: Average contribution margin is calculated by dividing the total contribution margin by the number sold.
True
T/F: Daily food cost is determined by adding the daily cost of direct purchases to the daily cost of inventory issues, then taking in account adjustments, if any.
True
T/F: Errors in extending requisitions will lead to differences between actual and book inventory
True
T/F: Hops are integral to the production of beers
True
T/F: In a control state, state government sells or franchises some or all alcoholic beverages.
True
T/F: In an establishment with 200 employees, of whom 100 depart and are replaced each year, the labor turnover rate is 50.0%.
True
T/F: In general, an inventory turnover rate of 2.0 is acceptable for beers.
True
T/F: In menu engineering a contribution margin that is lower than the average contribution margin would be classified with the letter "L".
True
T/F: In menu engineering the menu mix percentage column represents popularity index for those items
True
T/F: In menu engineering, low sales volume is one of the characteristics of a menu item called a Puzzle
True
T/F: In the perpetual order method, reorder quantity is determined by subtracting reorder point from par stock, then add the number of units that one expects to use between order date and delivery date.
True
T/F: Included in the term wages are sick pay and employees' meals.
True
T/F: Increases in sales volume tend to improve labor productivity.
True
T/F: Indirect compensation includes free meals, life insurance, and discounts on accommodations.
True
T/F: Job analysis is the first step in preparing job descriptions.
True
T/F: Labor control attempts to obtain maximum efficiency from all employees without compromising standards of labor performance.
True
T/F: On the menu precost and abstract form, the food cost percent shown for each individual menu item listed is a standard cost percent, not an actual cost percent.
True
T/F: One advantage of calculating potential savings daily rather than periodically is the timeliness of the result.
True
T/F: One means of instituting revenue control is to prohibit production and service personnel from collecting money.
True
T/F: One means of optimizing the number of beverage sales is to increase the number of customers to the desired level.
True
T/F: Par stock is the maximum quantity of a given beverage product that should be on hand at any given time.
True
T/F: Potential customers between the ages of 25 and 35 could be called a market segment.
True
T/F: Potential savings may be defined as the difference between actual cost and standard cost.
True
T/F: Relative humidity is an important consideration in a facility used for the storage of corked wines
True
T/F: Servers are classified as variable cost personnel.
True
T/F: The average sales value method for monitoring beverage operations eliminates the need for determining mixed drink differentials daily
True
T/F: The daily cost of direct purchases is taken from the directs column on the Receiving Clerk's Daily Report.
True
T/F: The manpower requirements for servers in a given restaurant are typically determined by intuitive judgements made by the manager.
True
T/F: The number of drinks in a bottle equals the quantity in the bottle divided by the standard quantity for each drink.
True
T/F: The periodic order method relies on fixed order dates and variable order quantities.
True
T/F: The potential sales value calculated for a bottle of spirits is based on the sale of bottle contents as straight drinks.
True
T/F: The primary goal of receiving control in beverage operations is to ensure that deliveries received conform exactly to orders placed.
True
T/F: The use of beverage code numbers simplifies ordering by both customers and servers.
True
T/F: The use of standard glassware is an aid to portion control in beverage operations.
True
T/F: Transfers from bar to kitchen would increase daily food cost.
True
T/F: When a customer expresses a preference for the product of one restaurant over that of another, it may be said that the preferred restaurant is offering a product that is differentiated.
True
T/F: Writing a job description forces management to determine the specific duties to be assigned to that job.
True
T/F:A negative inventory differential increases cost of beverages sold.
True
Which of the following is NOT a goal of sales control?
purchasing ingredients at lowest prices
In menu engineering, a menu item for which contribution margin is relatively high while sales volume is relatively low is called a:
puzzle
Shot glasses and other measuring devices are used as aids to:
quantity control
Direct purchases are added to food cost when they are:
received
One of the possible actions to take when a menu item is considered a "dog" is to:
remove it from the menu
One of the possible actions to take when a menu item is considered a puzzle is to:
reposition it on the menu to a more favorable location
To determine the daily cost of stores issued, a food controller would total the values recorded on the day's:
requisitions
Labor costs are:
semivariable
A bar located in the main kitchen of a hotel would be classified as a
service bar
A bar where customers' orders must be taken by servers, who order the drinks from bartenders then deliver the drinks to customers is known as a:
service bar
Automated drink dispensers and bottle-top measuring devices best achieve desired goals without offending customers when used at:
service bars
A bar that is temporarily set up in a hotel suite to serve a private party is called a:
special purpose bar
Distillation is a process associated with:
spirits
The total cost for all items sold as determined on the right side of the menu precost and abstract is:
standard cost for the day or period covered by the menu precost and abstract
If management directs that the standard portion size for a given item will be increased, which of the following should also increase?
standard portion cost actual portion cost both a and b are correct
In menu engineering, a menu item for which both contribution margin and sales volume are relatively high is called a:
star
The drink known as gin and tonic is an example of a:
straight drink with mixer
Given a choice of four restaurants offering relatively homogeneous products, customers would tend to select the restaurant:
that was most convenient to reach
Charlie Snerdly owns a restaurant that has been opening five days a week for many years. Charlie is now considering opening for a sixth day. To do so would cost an extra $1,200. for labor, and $80. for heat light and power. What dollar sales volume will be required for Charlie's restaurant to break even for this additional day?
the answer cannot be determined from the information given
Par stock at a front bar is:
the exact number of bottles for which the bartender is held accountable
Code numbers assigned to wines can often be found on:
the menu the bottles both a and b are correct
The standard portion cost for a menu item as shown on the menu precost and abstract is
the same on both the left and right sides of the form.
A means of instituting some degree of revenue control in a bar which does not use guest checks is:
to collect for each drink when it is served
Which of the following is a reason for customers to decide to patronize an establishment that sells alcoholic beverages?
to consume alcoholic beverages to kill time both a and b are correct
Which of the following is NOT an objective of beverage storing control?
to ensure that an adequate supply of beverages is on hand in the beverage storeroom
The primary purpose of labor control is:
to maximize efficiency of the workforce in a manner consistent with the established standards of quality and service;
During slow periods in a restaurant, the number of fixed cost personnel is:
unchanged
Of the following, which should be discouraged as a work habit for a bartender?
underpouring
A wine that takes its name from the grape used to make it is known as a:
varietal wine
If actual cost for a period is $47,250 and standard cost for that same period is $44,750, the dollar difference between the two figures can be viewed as:
waste potential savings both a and b are correct
Fortified wines are:
wines to which small quantities of brandy have been added
Which of the following work habits should be encouraged in a bartender?
charging for each drink as it is served
which of the following would normally be classified as one of the fixed cost personnel in a restaurant?
chef
Which of the following would normally be classified as one of the variable cost personnel in a restaurant?
chef cashier neither a nor be is correct
The drink known as a martini is an example of a
cocktail
If unit sales volume in a restaurant increases, one would normally expect to see labor cost per unit:
decrease
Transfers from kitchen to bar have what effect on daily food cost?
decrease
Which of the following is NOT one of the determinants of labor cost discussed in the text?
depreciation on equipment
The two basic components of a daily food cost are:
direct purchases and stores issues
The effectiveness of revenue control can be enhanced by:
dividing responsibility for producing drinks, serving drinks and collecting cash
In menu engineering, a menu item for which both contribution margin and sales volume are relatively low is called a:
dog
Which of the following is NOT an appropriate means for maximizing profits?
encouraging each customer to buy as many drinks as possible
One of the advantages of the ring-in, ring-out register is that it:
facilitates reconciliation of sales and revenues
According to the principles of menu engineering, a menu item determined to be a puzzle should be:
featured as a special on the menu
In a control state, a beverage manager would purchase distilled spirits:
from the state
In hotel dining rooms where customers often order bottles of wine with dinner, managers require that servers fill out which of the following forms to obtain the wine?
full bottle sales slips
One of the possible actions to take when a menu item is considered a plowhorse is to:
increase its price
According to the principles of menu engineering, a menu item determined to be a plowhorse should be:
increased in price
Manpower requirements for servers in restaurants are typically based on:
intuitive judgements made by managers
The relationship between sales volume and labor cost per unit of product is normally:
inverse
According to the principles of menu engineering, a menu item determined to be a star should be:
left alone
On an organizational chart, the solid lines connecting jobs are
lines of authority
Dram shop laws:
make bar owners accountable for serving intoxicated customers
A standard bar recipe is one which has been so designated by the:
management of a given bar
Automated bars:
measure quantities accurately
In menu engineering, a menu item for which contribution margin is relatively low while sales volume is relatively high is called a:
plowhorse
Perhaps the most widely used approach to menu pricing is:
pricing to meet competitors' prices
Actual cost for March in a nearby restaurant was $35,000, and standard cost for the same period was $32,000. Sales were $100,000 for the month. Given this information, one can determine that potential savings for the period was:
$3,000
The cost of the liquor in a certain drink is $.24 per ounce, and the cost of the mixer is $.04. The drink contains 2 ounces of liquor and 6 ounces of mixer, and the desired cost-to-sales ratio for the drink is 20%. What is the standard selling price for the drink?
$3.60
If a liter of scotch costs $10.14, and standard 2-ounce shots sell for $2.00, the potential sales value of the liter of scotch is:
$33.80
The owner of Snooker's Restaurant is contemplating keeping the dining room open for one additional hour each night. She has determined that this would incur additional labor costs of $220. and $20. in additional costs for heat, light, and power. The restaurant's variable rate is .4. What level of dollar sales volume will be required to break even for this additional hour?
$400
Given the following information, determine daily food cost: directs $120; stores issued $300; transfers from kitchen to bar $20; transfers from bar to kitchen $10.
$410
Given the following information, determine the book value of the closing inventory: issues:$300 opening inventory: $800 purchases: $200
$700
Given the following information, determine daily food cost: directs $100; stores issued $600; transfers from bar to kitchen $10
$710
The opening value of the book inventory today was $900. The Receiving Clerk's Daily Report shows direct purchases of $100 and stores purchases of $500. Issues for the day total $600. Given this information, calculate closing book inventory.
$800
Given the following information, what is the mixed drink differential for a gin martini? One ounce of gin sells for $1.00; gin martinis contain 2 ounces of gin; gin martinis sell for $2.50.
+$.50
Compute the deviation from potential given the following information developed during a suitable test period: actual sales = $4,500 potential sales = $5,000
10.0%
Given the following information, determine the difference between book and actual inventory as a percentage of issues: issues: $500 actual inventory: $250 opening inventory: $200 purchases: $600
10.0%
Given the following group of figures, determine the median. 5, 10, 16, 22, 32
16
Given opening storeroom inventory of $8,000., opening bar inventory of $2,000., closing storeroom inventory of $7,000., closing bar inventory of $3,000., purchases of $20,000, and sales of $80,000, inventory turnover is:
2.0
Given beverage sales of $1,200. and cost of beverages sold of $300., beverage cost percent is:
25.0%
In a nearby restaurant employing 600, an average of 150 per year have departed and been replaced over the last five years. In this establishment, the rate of employee turnover is:
25.0%
The owner of Snidley's Restaurant has developed a simple three-item menu for use in her establishment. Each menu item represents a complete meal. She has determined standard cost for each listed item and has kept careful records for the month of October. Given the information below, calculate potential savings as a percentage of sales for the month.
3.3%
Given the information appearing below, determine food cost percent to date on 9/3. Food Cost Food Sales Date Today Today 9/1 $100 $400 9/2 $125 $375 9/3 $75 $225
30.0%
In Fribney's Restaurant, actual cost for September was $49,000. Sales for September were $140,000. Standard cost percent was 5.0% lower than actual cost percent. Standard cost percent was:
30.0%
Unpasteurized beers should normally be stored at approximately:
40 degrees F
What percentage of alcohol does a 90-proof spirit contain?
45.0%
A nearby restaurant uses the periodic method to order beverages. Today is the day for placing orders, and the current data for Guzzler's Gin is as follows: par stock: 72 quantity on hand: 18 usage: 48
54
In Sneedly's Restaurant, the established standard for servers is 20 covers per hour. During a typical three-hour period, the number of customers in the dining room is 140 per hour. How many servers should be scheduled per hour during such a period?
7
The ideal temperature in a storage facility for spirits is:
72 degrees F 40 degrees F neither a nor b is correct
A small food stand in a nearby mall has two employees preparing and serving hotdogs. Each is paid $6.00 per hour. During a recent two-hour period, they prepared and served 120 hotdogs. In the period cited, the labor cost per hotdog served was:
$.20
A liter bottle of pouring scotch costs $10.14, and an 8 ounce bottle of soda costs $.24. A customer ordering scotch and soda is given 1 ounce of scotch, and 5 ounces of soda. The standard cost of this drink is:
$.45
The management of a nearby restaurants wants to feature a new cocktail called a Martian Landing. It will sell for $2.50. The desired cost-to-sales ratio for the drink is 20%. How much should the ingredients cost?
$.50
The cost of the liquor in a certain drink is $.20 per ounce, and the cost of the mixer is $.05. If the drink contains 1.5 ounces of liquor and 7 ounces of mixer, the standard cost of the drink is:
$.65
Given opening storeroom inventory of $6,000., opening bar inventory of $3,000., closing storeroom inventory of $7,000., closing bar inventory of $4,000., and purchases of $12,000, cost of beverages sold is:
$10,000
Given opening inventory of $6,000., closing inventory of $7,000., and purchases of $12,000., cost of beverages issued is:
$11,000
Snibley's Restaurant uses the standard deviation method to monitor bar operations. In the test period, actual sales were $9,400, and potential sales based on straight shots were $10,000. What should actual sales have been for last week if potential sales based on straight shots were $15,000.?
$14,100
