Restaurant Management Final
People will often travel __________ or more to reach a restaurant with a great reputation.
1 hour
It is estimated that about ___________ Americans suffer from some type of food allergy.
12 million
H.G. Parsa found the actual failure rate of restaurants during the third year of operation is
14%
Loans cannot be made at more than __________ interest over the prime lending rate.
2.75%
Up to __________ of the meals eaten away from home are for pleasure.
25%
A restaurant's profit is typically only __________ of total revenue.
3% to 9%
If the opening food costs are $64,500 and total sales are $195,000 the food cost percentage is __________.
33.07%
How many restaurants in New York have celebrated their 100th year anniversaries?
35
Ordinarily, unless the individual has established a line of credit, the bank wants at least __________ (and usually more) of the total needs to be invested by the individual or corporation.
40%
Intermediate loans are made for up to __________ years.
5
Which are types of demographics?
Age, sex, family life cycle, income, occupation, education, religion, and race
Leaders have six traits that distinguish them from non-leaders:
Drive, the desire to influence others, honesty and moral character, self-confidence, intelligence and relevant knowledge.
Which of the following is not a part of a franchise restaurant set up?
Paying the payroll
Who borrowed around $60,000 from family and friends and opened two restaurants named The Great American Disaster?
Peter Morton
According to the textbook, with grilled salmon, nowadays, the wine of choice seems to be a __________.
Pinot noir
The first known quick-service restaurant dates back to the 1870s, when a New York City foodservice establishment called the __________.
Plate House
Few restaurant management students opt for ____________________management, believing it lacks the variety, glamour and opportunity for self-expression.
Quick Service
Which is the prime source of information for restaurant location decisions?
Real Estate agents
Which of the following would be considered a knockout criterion?
Restaurant is situated behind two building off of the street
Pop-ups are restaurants that:
Restaurants that appear only for a few days, with an upfront price
A corporate structure that has only one basic class of stock, is slightly flexible on voting rights, is easy to set up, but limits your financing later is a(n) __________.
S Corporation
Independently owned and managed companies set up to provide debt and equity capital to small businesses are called __________.
SBICs
__________ is like a "mini blog"—it's a series of posts limited to only 140 characters—perfect for any busy restaurateur, bar manager, or chef.
The purpose of the __________ is to provide information to management and ownership about the financial performance (profitability) of the restaurant over a given period of time.
income statement
The two basic components of value creation are
increasing value perceptions and lower prices
Number one reason for a restaurant to fail is"
lack of management
What is/are the advantage(s) in running a family-owned restaurant?
lower cost and less danger of theft
The location of the restaurant is generally to be of _________ importance.
major
According to the text, the total of all actual and potential guests is called the __________.
market
Fixed costs include all except __________.
net worth
The "O" in SWOT analysis stands for __________.
opportunities
Which type of steak is taken from the thick end of the short loin, has a T-bone and a sizable piece of tenderloin?
porterhouse
The cost of ingredients must equal the __________.
predetermined food-cost percentage
In the marketing plan, goals need to be set for the four Ps, which are __________.
product, price, place, and promotion
Economies of scale can __________.
reduce food, labor, and overhead costs
Sales focuses on the needs of the __________.
seller
Boulanger believed that __________ was the cure to all sorts of illnesses.
soup
The cost of leasing a building is usually in __________.
square foot per month
SCORE is made up of __________.
successful retired businesspeople
A(n) __________ menu offers a complete meal including soup or appetizer, salad and vegetable for a fixed price.
table d'hôte
The concept is devised to interest a certain group of people, called a(n) __________.
target market
Individual restaurant operators have an advantage over chain operators because
their presence on the job can make the difference
The most atmospheric restaurants are those with a __________.
theme
Several cities have now banned __________, which are a type of fat.
trans fatty acids
A partnership is legally defined under the ___________________________ Act as any venture where two or more persons endeavor to make a profit.
uniform partnership
Two of the main menu pricing strategies include
using a comparative approach and/or price and multiply by the ratio necessary to achieve a food-cost percentage
The "W" is SWOT analysis stands for
weaknesses
Usually, the busiest periods in the restaurant business are during the __________.
weekends
Vetri is the chef and owner of which of the following award winning restaurant?
Osteria
To ensure menu ingredients are available, fresh, and priced right restaurant operators should
-use frozen foods when fresh foods are not available -take advantage of the seasons when items are at the lowest price and best quality -use the ups and downs in food prices and partially overcome them by seasonal or even daily menus
Chili's requires a minimum liquidity of:
$1,000,000
There is a fee of about __________ for registering a new business with the state.
$100
A sandwich shop can usually be opened for less than __________.
$30,000
For a 30 percent cost, if a bottle of wine cost $10.00, the selling price is __________.
$33.33
A 100-seat fully equipped casual dining restaurants may cost ______ per seat.
$6,000 - $10,000
Real estate commissions are ordinarily _______ of the building selling price and _______ of the selling price of raw land.
6%, 10%
Up to __________ of the meals eaten away from home are for utilitarian purposes
75%
Which best describes due diligence?
A thorough check to assure that everything works
Why do guests at P J Clark's still write their own guest checks?
Because historically servers could not read or write
Which is not a consideration in menu planning?
Capabilities of the servers
What is the wine of choice to match pasta primavera made with smoked tomatoes?
Chianti
__________ departs from the often dimly lit restaurant operated by a Chinese family and offers, instead, an exhibition kitchen.
China Bistro
Cities generally require restaurants to have a permit; these permits come from the:
Cities business office
Where was the first café established?
Constantinople
Which term is used to describe expenses that can be changed in the short term?
Controllable expenses
The restaurant often credited as the first in the United States was __________.
Delmonico's
____________ is the sensory impression of food.
Flavor
Which of the following is not a risk for someone on a strict Vegan diet?
Iron and calcium deficiencies
Which partnerships have complete liability, but full management rights?
General partnership
One of the most successful chains is:
Hard Rock Cafe
Which is not a reason for entering the restaurant business?
Holidays off
Which of the following statement is incorrect? " Don't open a restaurant unless you.."
Like cooking and all your friends love your food
NOLA Restaurant is located in?
New Orleans
Who was the President of the Jack-in-the-Box burger chain before he started his own company?
Norman Brinker
Which chef worked in several successful restaurants (including Chez Panisse) and is now the owner of Lucques, A.O.C., and The Hungry Cat?
Suzanne Goin
Which can be depreciated for tax purposes over its expected life?
The building
Strategic plans are devised to steer the organization toward:
goals, strategies and mission
Which type of restaurant is built around an idea, usually emphasizing fun and fantasy, glamorizing or romanticizing an activity?
Theme
Taking the same day last year and factoring in things like today's weather, day of the week and so on, are all parts of arriving at a(n) __________.
guest count
Which is the reason why salads have become the preferred "starter" in an increasing number of restaurants?
Wide variety of salad items and Inexpensive and always fresh
Who is the chef-owner of Spago?
Wolfgang Puck
Prime locations vs. ordinary locations usually cost __________.
a good deal more
As one operator put it - all you really need to open up a sandwich shop is a
a refrigerator, a microwave oven, and a sharp knife
Raw bars or restaurants do not serve food
above 116°F
In coming up with a concept for a new restaurant, you should:
adapt concepts from successful restaurants
According to the product levels described in the text, the __________ product includes services, such as automatic acceptance of certain credit cards, valet parking, and table reservation service.
augmented
Which of the following is called the "heart" of the operation?
back of the house
People do not purchase features, they purchase __________.
benefits
A standby amount of cash to open the restaurant and to get through possibly several unprofitable months of operation is called __________.
capital
The bank wants __________, which they can take should the loan not be paid.
collateral
When analyzing the competition it makes sense to do a __________, which shows how your restaurant compares to the competition.
comparison benefit matrix
A group of investors who get together to buy or build a restaurant usually form a(n) __________.
corporation
A daily flash report shows __________.
daily sales
Vegan restaurants
do not serve dairy or meat
When a corporation pays the taxes on income and the individual stockholder has to pay taxes on dividends, this is referred to as __________ taxation.
double
The main disadvantage of corporate ownership of a restaurant is that it opens way for __________.
double taxation
Costs that are normally unaffected by changes in sales volume are called __________.
fixed
In terms of payroll, __________ items usually refer to employee benefits and include health insurance, union welfare insurance, life insurance, and other employee benefits.
fixed
According to the product levels described in the text, the __________ product is the tangible part of the product and it includes the physical aspects of the restaurant and its décor.
formal
Restaurant design has two main components: __________ and __________.
front-of-the-house, back-of-the-house