NDFS 455 Quizes
dividends are payments to creditors (T/F)
false
Which of the following is part of a standardized recipe?
Portion size Cooking procedures Amount of each ingredient
sales price - variable cost/unit =
CM
lower food cost percents will necessarily lead to increased profits
false
If a case containing 12 cans of whole peeled tomatoes costs $28.80, what is the unit cost?
$2.40
What is the selling price of a bowl of chicken pot pie with a 35% food cost and a $2.37 plate cost?
$6.77
higher debt increases financial risk by magnifying the returns on net asset or equity.
(T/F)
the components of a capital investment decision are
-determining if the investment is worth while -determing how to finance the investment
VR =
1 - CR
given sales of 120,000, variable costs of 48,000, and fixed costs of 60,000, profit is:
12,000
the number of uninsured U.S. citizens rose between 2001 and 2010 from:
36 million to 50 million
What is the correct way to express a recipes yield?
By serving By volume By weight
which of the following is the correct formula for calculating contribution margin?
CM = SP - VC/unit
it is possible to determine the number of sales required for an establishment to break even provided one knows fixed costs and:
CR
What factor does the total recipe cost include?
Ingredient costs
Which of the following cartons of lemons weighs more? 96 count, 82 count, 115 count
None of the above
Which of the following does not have the same weight as volume? Eggs, Oil, Water, Butter
Oil
Excessive kitchen waste can negatively affect a restaurant's food cost percentage. (T/F)
True
future value is determined using
a compound interest method
liquidity ratios measure
a facilities ability to meet short term obligations, collect receivables and maintain cash position
patient-centered medical home is:
a partnership between primary care providers, patients, and families
to achieve the greatest possible accuracy when calculating the breakeven point for a given restaurant, one should treat labor as:
a semi-variable cost
The cost of a single portion of a given menu item may be considered:
a unit cost
while total variable cost may change as sales volume changes, variable cost per unit should remain unchanged
true
sales =
variable cost + fixed cost + profit
compound interest method refers to:
interest is calculated on both the original principle and on all interest accumulated since the beginning of interest period
which of the following is the goal of the U.S. health care system?
access, cost, quality
body of the statement of cash flows includes:
account balances accounting methods expense determinaations NOT: why there was a change from one year to the next in the entire net asset section of the balance sheet
the overhead contribution method is a modification of which of the following menu pricing methods?
actual pricing method
one example of a controllable fixed cost is
advertising
the term overhead means
all costs other than prime cost
the strengh(s) of the NPV analysis are:
answers in dollars, not years accounts for all cash flows in the project discounts at the cost of capital
fixed costs are those that
are unaffected by normal fluctuations in sales volume
which of the following is a basic financial statement
balance sheet statement of operations statement of cash flows
net assets do not include one of the following categories
belated do include: unrestricted temporary permanent
assets are defined as
cash, investments, inventory, and receivables
the time value of money refers to:
concept that a dollar received today is worth more than a dollar received in the future
the HITECH Act (2009) was enacted with the goal of
creating and expanding the current health care IT infrastructure promoting electronic data exchange substantially and rapidly increasing EHR adoption
interest determines how much an amount of money invested today will be worth in the future. (T/F)
true
analyzing financial statements helps a health care organization to:
determine if profitable determine the effectiveness in collecting receivables
trend analysis compares change over
each year with the base year
straight-line depreciation is a method that depreciates an asset an _______ amount each _____ until it reaches its salvage value
equal, year
NPV is calculated using ten steps (T/F)
false
a higher average contribution margin per sale requires an increase in the number of sales needed to cover given fixed costs (T/F)
false
an effective interest rate is the state annual interest rate of a loan (T/F)
false
budgeting is rarely needed for established organizations (T/F)
false
budgets do not need to be monitored for variances (T/F)
false
horizontal analysis looks at the percentage change in a line item from one quarter to another. (T/F)
false
if a restaurant manager succeeds in reducing average variable cost, a higher number of customers will be required for the restaurant to break even, assuming fixed costs remain the same.
false
net assets to total assets ratio reflects an organization's ability to repay a loan (T/F)
false
opportunity cost are revenues gained by forgoing other opportunities. (T/F)
false
when using the prime cost system for menu pricing, the total labor cost is used as part of the calculation (T/F)
false
liabilities are defined as
financial obligations due within a year
Examples of directly variable costs are
food and beverage costs
the payback method measures how long it sill take to recover investment
initial
if a business is to be profitable, costs must always be
less than 100% of sales
a program budget is an extension of the
line-item budget
categories of ratios include:
liquidity ratios, profitability ratios, capital structure ratios
all of the following factors could contribute to a decrease in health care costs except:
medical technology continuing to develop new systems those that do: -pharmaceuticals going off patent -providers using health info technology in robust ways -hospitals overriding physician preference in supplies
kitchen layout, equipment, number of employees needed, and skill level are all determined by the...
menu
ACA provides a ________ benefits package
minimum
the factor system is commonly known as the:
multiplier system
sunk costs are
not recoverable
as used in cost control, the term cover means
one diner
a statement of operations summarizes the organization's total assets, liabilities, and net assets in what time period?
over a period of time
ACA is the abbreviation for what legislation?
patient protection and affordable care act
short-term plans primarily include
production financing control
operating margin ratio measures
profits earned from the organization's main line of business
all of the following factors contribute to the rising cost of health care except:
providers embracing lean six sigma and other technizues to deliver better care with less resources
cash flows from investing activities includes:
purchase of plant property and equipment
a capital budget summarizes the major _____ for the year
purchases
which of the following is included when using the actual pricing method?
raw food cost, variable cost, fixed cost, profit
overproduction always adversely affects the profit of an operation
true
ratio analysis is the expression of the relationship between two numbers as a single number. (T/F)
true
sales may be expressed in terms of the number of units sold (T/F)
true
salvage value is teh amount of cash to be received when an asset is sold, usually at the end of its useful life. (T/F)
true
the base price method of menu pricing differs from all others in that it is based on selling prices rather than costs or profits (T/F)
true
the payback method is in years, not dollars (T/F)
true
which of the following is not a provision that is expected to have a significant impact from the ACA?
requirement that all payments for health care be based on quality of services Ones that are: -requirement that almost all individuals have insurance coverage -establishment of payment mechanisms for bundled payments and value based purchasing system -requirement that states create insurance exchanges
other revenue refers to all the following except:
salary and wages
static budgets use a ____ level of activity
static
balance sheet for a non-profit contains all of the following except:
stockholder's equity contains: organization's assets organization's liabilities cash flow
which of the following menu pricing methods is considered by many to be the best quantitative menu pricing method?
texas restaurant association method
which of the following is an advantage of using a cycle menu?
they make scheduling employees easier they simplify purchasing they make it easy to use leftovers all of the above
the authoritarian approach is often called
top-down budgeting
of the following, the best example of semi-variable costs is:
total payroll cost
Volume measurement is the best way to measure dry ingredients that may be too small to weight accurately (T/F)
true
after the cost of labor, the next largest cost is the cost of supplies (T/F0
true
an annuity is a series of equal payments (T/F)
true
cash budgets display all of the organization's projected cash inflows and outflows
true
flexible budgets accommodate for multiple levels of activities (T/F)
true
if product cost is increased while sales price is held constant, higher average rate will result (T/F)
true
in a simple interest method, the principle is the amount invested. (T/F)
true
accountable care organizations as part of ACA are:
voluntary
vertical analysis answers which general question
what percentage of one line item is another line item?
present value of an annuity refers to:
what series of equal payment in the future is worth today taking into account time value of money
capital appreciation is
when an investment is worth more when it is sold than when it was purchased
the statement of changes in net assets includes:
why there was a change from one year to the next in the entire net asset section of the balance sheet
present value (PV) refers to:
worth today of future payment