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Hospitality Cost Accounting Exercise XYZ RESTAURANT SALES $1,400,000.00 100.00% FOOD BEVERAGE TOTAL SALES COST OF FOOD SOLD $485,000.00 34.64% GROSS PROFIT $915,000.00 65.36% EXPENSES SALARY

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XYZ RESTAURANT SALES $1,400,000.00 100.00% FOOD BEVERAGE TOTAL SALES COST OF FOOD SOLD $485,000.00 34.64% GROSS PROFIT $915,000.00 65.36% EXPENSES SALARY $180,000.00 12.86% WAGES $200,000.00 14.29% 4.64% 6.43% 9.29% EMPLOYEE $65,000.00 BENEFITS SUPPLIES $90,000.00 RENT $130,000.00 UTILITIES $120,000.00 TRASH REMOVAL $8,500.00 LEGAL & $20,000.00 ACCOUNTING 8.57% 0.61% 1.43% TOTAL EXPENSES $813,500.00 58.11% LEGAL & ACCOUNTING $20,000.00 1.43% TOTAL EXPENSES $813,500.00 58.11% PROFIT BEFORE DEPREC. AND INCOME TAXES $101,500.00 7.25% Please show all your work! a. Sales will increase by 6 percent. b. Cost of food sold will increase by 3.5 percent. c. Salaries will increase by 3.5 percent. d. Wages will increase by 3 percent. e. Employee benefits will increase by 5 percent f. Rent will increase by 5 percent. g. Utilities will increase by 4.5 percent. h. Trash removal will increase by 2.5 percent. 1. Legal & accounting will stay the same. What is XYZ Restaurant's profit/loss before depreciation and income taxes. Profit/loss percentage

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