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125-rooms/keys A 65-seat coffee shop A75-seat dining room A 90-seat cocktail lounge The operating budget for the first year (365 days) Food and Beverage Department
- 125-rooms/keys
- A 65-seat coffee shop
- A75-seat dining room
- A 90-seat cocktail lounge
- The operating budget for the first year (365 days)
- Food and Beverage Department
- Food
- The dining room is open 6 days a week, 52 weeks a year for lunch and dinner only.
- Lunch seat turnover is 1.5, with an average food check of $28.00.
- Dinner seat turnover is 1.0, with an average food check of $44.00.
- The coffee shop is open 7 days a week for all meal periods.
- Breakfast seat turnover is 1.0, with an average food check of $15.00
- Lunch seat turnover is 1.5 with an average food check of $25.00
- Dinner seat turnover is 0.75, with a $30.00 average food check.
- The cocktail lounge serves an estimated 20 food orders per day, with an $18.50 average check.
- The lounge is closed on Sundays and certain holidays and only operates for 310 days during the year.
- Food
- Beverage
- Operates 310 days a year
- Each seat in the cocktail lounge is expected to generate $5,250 per year
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- In addition, the lounge revenue will reflect alcoholic beverages served in the coffee shop and dining room.
- Coffee shop
- Beverage revenue is estimated to be 25% percent of combined lunch and dinner food revenue
- Dining room
- Beverage revenue is estimated to be 30% of combined lunch and dinner food sales revenue.
- Coffee shop
- In addition, the lounge revenue will reflect alcoholic beverages served in the coffee shop and dining room.
- Department Expenses
- Total fixed payroll costs equal $787,315
- Total variable payroll costs equal 10% of total food and beverage revenue
- Fringe benefits equal 18% of total food and beverage revenue
- Other costs are based on a percentage of total food revenue:
- Food cost is 25% of food revenue
- Beverage cost is 20% of total beverage revenue.
- Laundry and linen 6% of total food and beverage revenue
- SuppliesFood 8% of total food revenue
- SuppliesBeverage 5% of total beverage revenue
- Miscellaneous Operating Expenses 3% of total food and beverage revenue
- use the information to complete the template below: Assumptions (Formula)
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