Finance QS

Room Sales $1,850,000
Food Sales 525,000
Food Cost 300,000
Statistical Data:
115 rooms available daily for sale
Paid rooms occupied annually: 33,580
Covers: 34,425
The Occupancy percentage is:
Answer

A. 75%

B. 70%

C. 65%

D. 80%

Room Sales $1,850,000
Food Sales 525,000
Food Cost 300,000
Statistical Data:
115 rooms available daily for sale
Paid rooms occupied annually: 33,580
Covers: 34,425
Food Contribution Margin as a percentage is:
Answer

A. 57.1%

B. 28.3%

C. 44.5%

D. 42.9%

Room Sales $1,850,000
Food Sales 525,000
Food Cost 300,000
Statistical Data:
115 rooms available daily for sale
Paid rooms occupied annually: 33,580
Covers: 34,425
The Average Food Check is:
Answer

A. $15.00

B. $15.25

C. $15.70

D. $16.00

The two elements of revenue are:
Answer

A. Semi-variable and fixed costs

B. Fixed and variable

C. Price and cost

D. Volume and price

Which of the following is found on the Balance Sheet?
Answer

A. Revenue

B. Retained Earnings

C. Administrative expenses

D. Operating expenses

What is the definition of Sales Mix?
Answer

A. Food and beverage and other items sold

B. Sales from all departments

C. The proportion of each revenue center's sales to total sales

D. Sales shared by two or more departments

What are some reasons why the management of cash flow is important?
Answer

To make sure there will be enough cash to buy inventory


To pay the payroll


To pay dividends


All of the above

If two companies have the same sales and the same net incomes, why would one company have a greater profit if sales increase at the same rate for both companies?
Answer

The company with the lower fixed cost in relation to variable will have a greater gross profit

This happens only because of financial statement fraud


The company with the greater fixed cost in relation to variable will have a greater gross profit


There will be no difference

Which of the following are functions that a CPA must perform during an Audit?
Answer

A. Confirm the receivables with the company's customers

B. Review the minutes of the Corporate meetings

C. Verify the existance of marketable securities and their market value

D. All of the above