3. Determine inventory turnover for the Vancouver restaurant identified in Question 4, using the information provided and the cost of food sold figures you calculated in question 4. (Round everything to the tenth of a decimal.)

4. Multiple choice (please highlight the answer). If actual cost for a period is $47,250 and standard cost for that same period is $44,750, the dollar difference between the two figures can be viewed as:

a. waste

b. potential savings

c. both (a) and (b) are correct

d. both (a) and (b) are incorrect

5. Analyze the report shown in Figure 5 answering the following questions:

- Look at the sales for today and sales for the same day last week and food cost percentage today and same day last week. Should it be a concern? Explain your answer.

- Look at the food cost percentage to date this week and last week. Should it be investigated? Why?

• What trend is shown on Figure 9.8 favorable or unfavorable? Explain your answer.

FIGURE 5
A Detailed Daily Food Cost Report to Management, Including Percentages
Date 6-Jun
		Today		Same Day Last Week		To Date This Week		To Date Last Week
Food sales		$2,986.95		$2,678.50		$13,179.25		$14,376.50
Food cost		$1,337.75		$ 950.40		$ 5,455.50		$ 4,901.35
Cost %		44.786%		35.488%		41.395%		34.093%