There is no industry-wide standard for food cost percent.

True

False

QUESTION 2

As business volume decreases, fixed cost per unit decreases.

True

False

QUESTION 3

Public Relations Costs are semi-variable.

True

False

QUESTION 4

In budget problems, variable labor cost was based on theForecasted total sales.

True

False

QUESTION 5

Two principle causes of excessive costs are inefficiency and waste.

True

False

QUESTION 6

According to the text, the cost of a food item is incurred when the item is:

	A.	ordered
	B.	consumed
	C.	budgeted
	D.	acquired

QUESTION 7

Fixed costs are those that

	A.	are unaffected by alterations in sales volume
	B.	cannot be predicted
	C.	cannot be budgeted
	D.	change with alterations in sales volume

QUESTION 8

As sales volume increases, variable costs will:

	A.	decrease
	B.	no longer be recorded
	C.	remain constant
	D.	increase

QUESTION 9

Eliminating excessive costs for food, beverage, and labor is the ultimate goal of:

	A.	cost control
	B.	scheduling personnel
	C.	variable rate
	D.	sales

QUESTION 10

Which employee has the greatest responsibility for control over the operation of a food and beverage establishment?

	A.	bookkeeper
	B.	Chef
	C.	manager
	D.	Food controller