Question
In: Accounting
Restaurant Budget Exercise Assignment: Forecast Revenues and Expenses for the year 2018, using the format of...
Restaurant Budget Exercise
Assignment: Forecast Revenues and Expenses for the year 2018, using the format of the Uniform System of Accounts for Restaurants. Present monthly figures and the annual total.
Mid-week days are Monday – Friday, weekend days are Saturday and Sunday. Use the 2018 calendar to get the appropriate number of weekend and mid-week days in each month.
Assumptions:
Seasonality:
High Season: June – September
Shoulder Season: October, November, April, May
Off Season: December – March
Covers:
Lunch – Mid week 125
Weekend 200
Dinner - Mid week 100
Weekend 180
Seasonality Covers:
Shoulder – Base
High Season - + 25%
Low Season - - 35 %
Average Food Cover:
Lunch - $ 12
Dinner - $ 26
Average Bar Cover:
Lunch - $ 3.00
Dinner - $ 7.00
Food Cost: High Season: 28 %
Shoulder: 29 %
Low : 32 %
Bar Cost: High Season: 19 %
Shoulder: 21 %
Low : 24 %
Salaries & Wages ( Total Sales):
High Season: 29 %
Shoulder: 31 %
Low : 34 %
Taxes & Benefits:
14 % of Direct Salaries & Wages
Occupancy Costs: $ 8, 500 / month
All Other Costs: 18 % of Sales
Solutions
ekkarill92 answered 1 year agoRelated Solutions
The budget is the difference between revenues and expenses. For the government, the revenues are relative...
The budget is the difference between revenues and expenses. For
the government, the revenues are relative to the Gross Domestic
Product (GDP) and expenses are defined as the government’s
expenditure (G). Having that in mind, assume the following shock in
the economy:
Due to poor working conditions, workers are leaving the labor
force and retire.
a) Explain the consequences of the above shock on inflation and
GDP by using the AS/AD model (draw the graph, label the axis, show
the...
The difference between actual revenues and expenses and the flexible budget is known as the: A....
The difference between actual revenues and expenses and the
flexible budget is known as the:
A. flexible budget variance
B. master budget variance
C. static budget variance
D. volume variance
Identify which responsibility center would best describe the
following:
The production line of American Apparel, where clothing is
manufactured.
A. Revenue Center
B. Cost Center
C. Profit Center
D. Investment Center
The subscription sales department of the New York Times.
A. Revenue Center
B. Cost Center
C. Profit Center
D....
Revenues generated by a new fad product are forecast as follows: Year Revenues 1 $60,000...
Revenues generated by a new fad product are forecast as
follows:
Year
Revenues
1
$60,000
2
30,000
3
20,000
4
10,000
Thereafter
0
Expenses are expected to be 50% of revenues, and working capital
required in each year is expected to be 10% of revenues in the
following year. The product requires an immediate investment of
$54,000 in plant and equipment.
a.
What is the initial investment in the product? Remember working...
Should the federal Government have a balanced budget (i.e. revenues = expenses), or is a deficit...
Should the federal Government have a balanced budget (i.e.
revenues = expenses), or is a deficit –OK? What are some of the
positive reasons to run a deficit?
Revenues generated by a new fad product are forecast as follows: Year Revenues 1 $40,000 2...
Revenues generated by a new fad product are forecast as follows:
Year Revenues 1 $40,000 2 30,000 3 20,000 4 5,000 Thereafter 0
Expenses are expected to be 40% of revenues, and working capital
required in each year is expected to be 20% of revenues in the
following year. The product requires an immediate investment of
$49,000 in plant and equipment. Required: a. What is the initial
investment in the product? Remember working capital. b. If the
plant and equipment...
Revenues generated by a new fad product are forecast as follows: Year Revenues 1 $60,000 2...
Revenues generated by a new fad product are forecast as
follows:
Year
Revenues
1
$60,000
2
40,000
3
30,000
4
10,000
Thereafter
0
Expenses are expected to be 30% of revenues, and working capital
required in each year is expected to be 10% of revenues in the
following year. The product requires an immediate investment of
$81,000 in plant and equipment.
b. If the plant and equipment are depreciated over
4 years to a salvage value of zero using straight-line...
Revenues generated by a new fad product are forecast as follows year Revenues 1 $50,000 2...
Revenues generated by a new fad product are forecast as
follows
year Revenues
1 $50,000
2 40,000
3 20,000
4 10,000
Expenses are expected to be 50% of revenues, and working capital
required in each year is expected to be 20% of revenues in the
following year. The product requires an immediate investment of
$40,000 in plant and equipment.
Required:
a. What is the initial investment in the
product? Remember working capital.
b. If the plant and equipment are depreciated...
Revenues generated by a new fad product are forecast as follows: Year Revenues 1 $55,000 2...
Revenues generated by a new fad product are forecast as
follows:
Year
Revenues
1
$55,000
2
45,000
3
25,000
4
15,000
Thereafter
0
Expenses are expected to be 40% of revenues, and working capital
required in each year is expected to be 20% of revenues in the
following year. The product requires an immediate investment of
$55,000 in plant and equipment.
Required:
a. What is the initial investment in the
product? Remember working capital.
b. If the plant and equipment...
Revenues generated by a new fad product are forecast as follows: Year Revenues 1 $55,000 2...
Revenues generated by a new fad product are forecast as
follows:
Year
Revenues
1
$55,000
2
45,000
3
25,000
4
15,000
Thereafter
0
Expenses are expected to be 40% of revenues, and working capital
required in each year is expected to be 20% of revenues in the
following year. The product requires an immediate investment of
$55,000 in plant and equipment.
Required:
a. What is the initial investment in the
product? Remember working capital.
b. If the plant and equipment...
Revenues generated by a new fad product are forecast as follows: Year Revenues 1 $40,000 2...
Revenues generated by a new fad product are forecast as
follows:
Year
Revenues
1
$40,000
2
30,000
3
20,000
4
5,000
Thereafter
0
Expenses are expected to be 40% of revenues, and working capital
required in each year is expected to be 20% of revenues in the
following year. The product requires an immediate investment of
$49,000 in plant and equipment.
Required:
a. What is the initial investment in the
product? Remember working capital.
b. If the plant and equipment...
ADVERTISEMENT
ADVERTISEMENT
Latest Questions
- What is the difference among the principles of modularization, abstraction, encapsulation, and separation of interface and...
- An investment project costs $20,100 and has annual cash flows of $4,400 for six years. ...
- PUT IN JAVA PROGRAMMING The StockB class: Design a class named StockB that contains the following...
- Draw a DFA for the following ( ∑ = {0,1}): Set of all strings with.
- In the article from Forbes notes that the goal of a leader is not to clone...
- Many people keep time using a 24 hour clock (11 is 11am and 23 is 11pm,...
- UNIX ONLY -- DIFFICULT LAB ASSIGNMENT This is an extremely difficult subject for me. Could you...
ADVERTISEMENT