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Can I get help? Langhoim Bistro is a popular restaurant in a small, coastal village. Brian Langholm, who opened the restaurant five years ago, has

Can I get help?
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Langhoim Bistro is a popular restaurant in a small, coastal village. Brian Langholm, who opened the restaurant five years ago, has seen it grow steadily. Currently, Langholm's is only open for dinner, but many of the regular customers have been asking Brian to consider opening for lunch as well. Brian has been talking to his accountant about the financial impact of the expanded services on the overail business. He knew that the bistro did not make much monoy and he was concerned that the new business might be too risky. The accountant asked Brian for his best estimates of the impact of the new business on revenues and costs. He had been thinking about this for some time and estimated that revenues would grow by about 25 percent. Food costs would increase by about 40 percent and labor costs by about 25 percent. Rent on the bistro would not change. but utilities would increase by about 20 percent. Other costs would increase by 10 petcent. The salary Brian pays himself as manager of the bistro would not change. A few days later, Brian's accountant stops by with the following estimated incomd statement assuming Brian adds the lunch business. Required : a-1. Prepare an income statement for dinner service only. a-2. Based on the financial impact, should Brian open the bistro for lunch? Complete this question by entering your answers in the-Tabs below. Prepare an income statement for dinner service only. a-1. Prepare an income statement for dinner service only. a-2. Based on the financial impact, should Brian open the bistro for lunch? Complete this question by entering your answers in the tabs below. Prepare an income statment for dinner service only

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