EX.1 A restaurant has 200 seats with an average turnover of 2.1, and an average check of $24.75. If the restaurant is open 300 days/year, what is the annual sales revenue?

Number of seats

Seat turnover/day

Average check

Days open per year

Estimated annual revenue

EX.2 A motel has 180 rooms, an occupancy rate of 72% and an average room rate of $124.00. What is the estimated sales revenue for the month of March?

Number of rooms

Occupancy rate

Average room rate

Days in March

Estimated March revenue

EX.3 A hotel budgets was 16,000 rooms sold at a price of $182.00/room. Actual sales were 16,960 rooms at $177.00 each. Compute the price, volume and budget variances and indicate whether they are favorable or unfavorable.

Volume

Price

Variance

Fav/Unfav?

Price Variance

Volume Variance

Budget Revenue

Actual Revenue

Variance

Fav/Unfav?

Revenue Budget Variance

EX.4 A hotel budgets 12,800 rooms sold and housekeeping costs at $9.00/room. Actual sales were 12,500 rooms and actual costs were $8.00 per room. Compute the cost, volume and budget variances and indicate whether they are favorable or unfavorable

	Volume	Cost	Variance	Fav/Unfav?
Cost Variance
Volume Variance
	Budget Cost	Actual Cost	Variance	Fav/Unfav?
Cost Budget Variance