11. Why can a hotel, motel, or restaurant usually operate with a current ratio considerably lower than other types of businesses, such as manufacturing companies? 12. A fast-food restaurant features only three entre items on its menu with the following cost and selling prices: Item Cost Selling price 1 $2.20 S6.80 2 3.25 8.80 3 3.75 9.85 a. For each item calculate the food cost. b. If 50 of each item are sold each day, what will the standard food cost percentage be? What is the contribution margin in dollars? 13. Prepare a comparative Horizontal analysis of the change in each current asset account from Year 1 to Year 2. Express each change in dollars and the percentage each change represents. Comment on each change that exceeds 10%. What, if anything, would you do as a manager? Current Assets Year 1 Year 2 Cash $12,892 $14,580 Credit card receivables 2,700 3.460 Accounts receivable 530 150 Food inventories 4.280 4.366 Beverage inventories 1.850 1.702 Prepaid expenses 1.400 1.610 Total Current Assets $25,868 $23,652