Caesars Palace Las Vegas, owned and operated by Caesars Entertainment Corporation (CZR), opened in 1966. The...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Caesars Palace Las Vegas, owned and operated by Caesars Entertainment Corporation (CZR), opened in 1966. The Nevada hotel-and-casino complex has been featured in several movies including Rain Man, Iron Man, and The Hangover Part III. Caesars Palace is the 14th largest hotel in the world. Caesars Palace Las Vegas includes six towers (named Augustus, NOBU Hotel, Julius [formerly named Roman], Palace, Octavius, and Forum) containing almost 4,000 guest rooms. Beyond guest accommodations, the complex also included casinos, retail shops, restaurants, nightclubs, a 4,296-seat entertainment venue, and a large convention facility. Assume you work in the accounting department of Caesars Entertainment and your supervisor, Logan Lacy, provides you with the attached Excel file containing food and beverage costs and the number of hotel rooms/suites for Caesars for the years 1993 to 2021. Logan asks you to develop a cost prediction model using the number of hotel rooms/suites (independent variable, x-axis) to predict food and beverage costs (dependent variable, y-axis). Perform the analysis in Excel and think about the related questions. Then, write a memo to Logan in Word summarizing your findings and providing your responses to Logan's questions. 1. Using the high-low method, calculate in Excel the following estimates: Variable food and beverage cost per hotel room/suite Fixed food and beverage costs per year 2. Using regression analysis in Excel, calculate the following: Variable food and beverage cost per hotel room/suite Fixed food and beverage costs per year 3. Logan is unsure whether it is better to use the high-low method or regression analysis. Which method would most likely provide a better cost estimate? Explain why. 4. Logan asks for your opinion if the number of hotel rooms/suites is a good predictor of Caesars' food and beverage costs. Explain why or why not? Caesars Palace Las Vegas, owned and operated by Caesars Entertainment Corporation (CZR), opened in 1966. The Nevada hotel-and-casino complex has been featured in several movies including Rain Man, Iron Man, and The Hangover Part III. Caesars Palace is the 14th largest hotel in the world. Caesars Palace Las Vegas includes six towers (named Augustus, NOBU Hotel, Julius [formerly named Roman], Palace, Octavius, and Forum) containing almost 4,000 guest rooms. Beyond guest accommodations, the complex also included casinos, retail shops, restaurants, nightclubs, a 4,296-seat entertainment venue, and a large convention facility. Assume you work in the accounting department of Caesars Entertainment and your supervisor, Logan Lacy, provides you with the attached Excel file containing food and beverage costs and the number of hotel rooms/suites for Caesars for the years 1993 to 2021. Logan asks you to develop a cost prediction model using the number of hotel rooms/suites (independent variable, x-axis) to predict food and beverage costs (dependent variable, y-axis). Perform the analysis in Excel and think about the related questions. Then, write a memo to Logan in Word summarizing your findings and providing your responses to Logan's questions. 1. Using the high-low method, calculate in Excel the following estimates: Variable food and beverage cost per hotel room/suite Fixed food and beverage costs per year 2. Using regression analysis in Excel, calculate the following: Variable food and beverage cost per hotel room/suite Fixed food and beverage costs per year 3. Logan is unsure whether it is better to use the high-low method or regression analysis. Which method would most likely provide a better cost estimate? Explain why. 4. Logan asks for your opinion if the number of hotel rooms/suites is a good predictor of Caesars' food and beverage costs. Explain why or why not?
Expert Answer:
Related Book For
Posted Date:
Students also viewed these accounting questions
-
Caesars Palace Las Vegas, owned and operated by Caesars Entertainment Corporation (CZR), opened in 1966. The Nevada hotel-and-casino complex has been featured in several movies including Rain Man,...
-
Managing Scope Changes Case Study Scope changes on a project can occur regardless of how well the project is planned or executed. Scope changes can be the result of something that was omitted during...
-
The figure shows a rotating wheel with radius 40 cm and a connecting rod AP with length 1.2 m. The pin P slides back and forth along the -axis as the wheel rotates counterclockwise at a rate of 360...
-
Let D = {d1, d2} and B = {b1, b2} be bases for vector spaces V and W, respectively. Let T: V W be a linear transformation with the property that Find the matrix for T relative to D and B. T(di) = 3b1...
-
Workflow Systems specializes in servers for work-group, e-commerce, and enterprise resource planning (ERP) applications. The company's original job cost system has two direct cost categories: direct...
-
Why is the anterior pituitary sometimes called the master gland?
-
The climactic moment in the film The Eggplant That Ate New Jersey comes when the brilliant young scientist announces his discovery of the equation for the volume of the eggplant: V(ft3) = 3.53 x 102...
-
How many years should be considered between the date of acquisition and the date of disposal of an asset, in order to calculate the ISR, in the declaration of people who obtain income from the...
-
Mrs Z's utility function is given by the following equation: I Uz(R, o) = 0.3R-0.50 Find the overall optimal portfolio for Mrs Z and compute its expected return and the standard deviation of its...
-
How do postcolonial protagonists negotiate issues of cultural hybridity, displacement, and identity formation, grappling with the legacies of colonialism and the complexities of navigating multiple...
-
What role does the "outsider" protagonist play in literature, representing marginalized voices, challenging hegemonic structures, and offering perspectives that disrupt mainstream narratives of...
-
Why is Amusing the Million a great book? And why?
-
TATA trucks and its subsidiaries making 432,150 units per year with a daily standard deviation of 153 units. Making cost and shipping cost from Germany is $1,900, with lead time from order to receipt...
-
a. The following code is supposed to evaluate the function 0 x <0 X 0x1 f(x)=12-x 1x2 10 x >2 x = linspace (-4,4); = N length x for j = 1; N if x (j)>=0 and x(i) 1 or x(i) <2 f(j) = 2 - x else f(j) =...
-
Read the article United States Court of Appeals, Ninth Circuit. Patricia MURRAY, a married woman, PlaintiffAppellant and give your response
-
The baseball player A hits the ball from a height of 3.36 ft with an initial velocity of 34.8 ft/s. 0.14 seconds after the ball is hit, player B who is standing 15 ft away from home plate begins to...
-
A gas engine is operated on a stoichiometric mixture of methane \(\left(\mathrm{CH}_{4} ight)\) and air. At the end of the compression stroke, the pressure and temperature are \(10 \mathrm{bar}\) and...
-
A gas engine with a volumetric compression ratio of \(10: 1\) is run on a weak mixture of methane \(\left(\mathrm{CH}_{4} ight)\) and air, with \(\phi=0.9\). If the initial temperature and pressure...
-
A \(10 \%\) rich mixture of heptane \(\left(\mathrm{C}_{7} \mathrm{H}_{16} ight)\) and air is trapped in the cylinder of an engine at a pressure of \(1 \mathrm{bar}\) and temperature of \(400...
Study smarter with the SolutionInn App