HMS 305
if opening inventory is $12,000, closing inventory is $10,000, then average inventory is:
$11,000
last year the china inn had fixed costs of $433,300 and variable costs of $345,000. if sales were $925,000, what was the operations profit?
$146,700
what would be an appropriate menu price for a veal marsala entree if the cost percent is 25% and the food cost for the item is $4.00?
$15.99
on a menu pre-cost and abstract form, the number of portions fore casted for menu item A is 90, the standard portion cost is $1.95, and the sales price is $5.95. what is the total cost for menu item A?
$175.50
if current records of brandys bistro show fixed cost at $80,000, cost of labor at $47,000 cost of sales at $65,000, profit at $4,500 and total assets of $155,000, what are brandys total dollar sales?
$196,500
beef burritos sell for $8.95 if the variable cost for the menu item is %6.80, what is the contribution margin for the item?
$2.15
actual food cost for march in a nearby restaurant was $35,000. standard cost for the same period was $32,000. sales were $100,000 for the month. given this info, one can determine that potential savings for the period was:
$3,000
the opening value of the book inventory today was $900. the receiving clerks daily report shows direct purchases of $100 and stores purchases of $500. issues for the day total $600. given this info calculate closing book inventory
$900
a case of eggs (30 dozen) costs $36.00. 2 eggs make one standard portion. the standard cost of one standard portion is:
.20
if food cost percent is 32.8%, then cost per dollar sale equals:
.328
a recipe detail and cost card indicates the use of 4 oz of rice, which is purchased at $1.68 per lb. the standard cost of the standard quantity of rice in this recipe is:
.42
for the first quarter of the year a hotel food service operation had fixed costs of $230,000, variable costs of $420,000 and sales of $845,000. what was the operation variable rate?
.497
a given standard recipe costs $42.50 to produce, and yields 50 portions. the standard cost of one standard portion is
.85
how many ounce are there in a 500ml container?
16.9
in a nearby restaurant, steak accounted for 55 of the 240 items sold last Wednesday. popularity index for steak for that day was:
23%
actual cost for Tuesday at bennys was $825, while sales for the day were $3,200. what was the actual cost percent for Tuesday?
25.8%
what is the quantity rib roast needed to provide 300 portions of 12 oz each when the yield of rib roast is 66%?
341#
if average inventory is $12,000, food sales are $90,000, and cost of food sold is $48,000, then inventory turnover rate is:
4.0
in a nearby restaurant, the popularity index for steak is 15%. the volume forecast for next Thursday is 300 covers, so the forecast for steak sales should be:
45 portions
if 7 pounds 8 ounces of a 12 pound roast is use able, what yield percentage is the roast?
62.5%
foods categorized as stores are
able to be held in inventory for a period of time
over purchasing, spoilage, and improper portioning can lead to differences between
actual and standard costs
pilferage and overproduction are two important causes of unwarranted increases in:
actual costs
which of the following would not appear on a void sheet?
adjusted forecast for an item
over purchasing and overproduction are likely to result in:
an increase in food cost percent
verification of the date on which food was received can be provided by
an invoice stamp
when profit is zero, a business is said to be operating
at its break-even point
one purpose of beverage purchasing controls is to ensure that ingredients are purchased
at optimum prices
the value of closing inventory based on records indicating purchases and issues is called
book inventory
the best example of a description to be included on a standard purchase specification is
cantaloupe 5 1/4 to 6 1/4 in diameter
desired quality can be more readily obtained with the use of
centralized purchasing
centralized purchasing systems are widely used by
chain operations
one way to change an undesired fore casted food cost percent is to
change sale prices
changes in the cost to sales ratio may often be traced to
changes in the sales mix
which of the following automatically becomes the opening inventory for the next period?
closing inventory for the period
whichof the following cost to sales ratio analyses is appropriate?
comparing the second week in September with the second week in October
the cost of goods to a food service establishment in the expense incurred when the goods are
consumed
the state government sell some or all alcoholic beverage through its own network of stores in which of the following
control state
a collection of interrelated and interdependent control techniques is called a
control system
costs that can be changed in the short term are called
controllable costs
the relationship between the costs incurred instituting and maintaining a single control or control system and the benefits or savings derived by doing so is called the
cost/ benefit ratio
which of the following can be used to calculate cost per dollar of sales?
cost/ sales
cost percent are useful to managers in that they provide a means of comparing
costs relative to sales for two or more periods of time
transfers from kitchen to bar have what effect on daily food cost?
decrease
the 2 basic components of a daily food cost are:
direct purchases and stores issues
which of the following items are charged immediately, upon receipt, to cost of goods?
directs
failure to account for all food served to customers and employees will result in
distortion of the cost-to-sales ratio
the goal of cost control is to
eliminate excessive costs for controllable categories of expenses
in order to institute control in a food service operation, the first step is to
establish appropriate standards
managers and bookkeepers are typically
fixed-cost employees
monthly liquor cost and liquor percent are often not truly useful for monitoring operations because they fail to meet which important criteria?
frequency and timeliness
by what term do we refer to the number we get when we subtract cost of goods from sales?
gross profit
in general food service establishments that operate at relatively high margins of profit per item
have higher labor cost and lower food cost percent
which of the following would a restaurant want to have?
high contribution margin
an operating budget is usually prepared using
historical information from previous budgets and operating statements
the availability of sources of supply tends to be greatest
in major metropolitan areas
lowering contribution margins will require which of the following if a food service establishment wants to achieve a given target profit?
increasing volume
if opening inventory is $4,000, cost of food sold is $20,000, and food sales are $80,000, then inventory turnover rate is:
insufficient data
every time food is delivered to an establishment is it usually accompanied by an
invoice
lager beer
is the type most commonly consumer in the US
duplicate checks (Dupers) are given to
kitchen personnal
stock should be rotated according to
last in first out
the ratio of cost to benefit should always be
less than one
when taking a physical inventory, it is good practice to:
list the items in the same order in which they maintained in stock
the standard cost of one standard portion of a given menu item should not change unless
market prices change
the most widely used approach to menu pricing is to
match competitors prices
the primary sales tool in most restaurants is the
menu
dividing the number of units sold by the total number of units sold for all items yields which of the following?
menu mix percent or popularity index
which of the following is an example of an inter-unit transfer?
one unit of a chain gives baked goods to another unit
which of the following is a sales forecasting activity and an estimate of costs incurred in the process of generating those sales?
operating budget
sales histories can be used to predict:
portion sales for a given menu item AND total covers for a given day
the difference between actual cost and standard costs are called:
potential savings
a customer who orders a scotch and soda should be given which of the following?
pouring brand
for bars, par stock is the
precise quantity that must be on hand at all times
in the restaurant business, sales forecasts are:
prepared on the basis of sales histories
food, beverage, and payroll costs are collectively known as
prime cost
to determine an establishments break-even point, which of the following should be set to zero?
profit
the alcoholic content of a distilled beverage is stated in terms of
proof
an adequate contribution margin will cover fixed costs of an operation and also
provide for an additional amount beyond break even that equals the desired profit
which of the following are used to define the degree of excellence of raw materials, finished products, and employee work?
quality standards
which of the following requires extensive knowledge and through investigation?
quality verification
direct purchases are added to food cost when they are:
received
in larger operations, managements observations must often be abstracted and inferred from
records and reports
unique menu items created to increase sales volume are referred to as
signature items
the agreed upon cost of goods or services used to measure other costs is called
standard cost
the established methods used to prepare products or perform jobs are known as
standard procedures
which of the following help ensure that all foods purchased will be of the desired quality for their intended use?
standard purchase specifications
food items that can be stored in packages or containers in which they are received are called
staple foods
to determine cost of food sold employee meals are:
subtracted for cost of food consumed
what is the final step in the control process?
take appropriate action to correct deviations from standards
which of the following is considered a "traditional" means for accessing price information?
telephone quotations
think about the basic cost of goods sold formula. if the beginning inventory and the ending inventory are identical, what will be the cost of goods sold be equivalent to?
the amount of purchases
the the restaurant business, a sales history is:
the basis for sales forecasting AND a daily summary of portion sales
simulation exercises provide one way for food service operators to
train employees
which of the following typically appears on an invoice?
unit price
the big problem faced by those trying to train skilled receiving personnel is the
vast knowledge of foods these workers must have
if you had a choice of selling a chicken for $12.00 with a VR or .3 or a veal dish for $16.00 with a VR of .44, which would you choose for the higher contribution margin?
veal
the first step of the standard receiving procedure is to
verify that the quantity, quality, and price for each item delivered conforms exactly to the order placed
physical inventory is taken?
whenever management wants to take it
one can determine a correct purchase quantity, provided one knows standard portion size, number of portions required, and:
yield factor
