Question: Restaurant manager Sam has just presented below the operational results of the restaurant to the owner John. The results are presented as below. (10 marks)

Restaurant manager Sam has just presented below the operational results of the restaurant to the owner John. The results are presented as below. (10 marks)

	Fiscal year
	Aug 2018 – July 2019	Aug 2019 – July 2020
Sales	$3,560,770.00	$3,650,230.00
F&B Cost	31%	$1,168,073.60
Labour Cost	33%	$1,241,078.20

Sam has proudly said that his management effort has led to increase in sales. However,

John remembered that as in August 2019 all the selling prices were increased by 6%. At the same time, all salaries were increased by 8% to increase attractiveness to new employees and to keep present employees from leaving.

John is asking you to help analysing the performance by evaluating sales variances%, F&B costs% and labour costs% with known information in comparison to the previous year’s results and explain the results to him.

Step by Step Solution

★★★★★

3.53 Rating (163 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

Particulars Aug 19 Jul 20 Aug 18 July 19 Sales 3560770 3650230 F ... View full answer

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!

25SP-BUAC X Question 25 X ezto.mhedu x ezto.mhedu X ezto.mhedu x + C Exam 3 i ezto.mheducation.com/ext/map/index.html?_con=con&external_browser=0&launchUr... Saved X Relaunch to update Help Save &...

Sam wants to help his brother, Lou, start a new business. Lou is a capable auto mechanic but has little business sense, so he needs Sam to help him make business decisions. Should this partnership be...

John Miller admired his wife's success at selling scarves at local craft shows (E7-28A), so he decided to make two types of plant stands to sell at the shows. John makes twig stands out of downed...

Presented below are a number of operational guidelines and practices that have developed over time. Instructions Select the assumption, principle, or constraint that most appropriately justifies...

Define the terms inflation premium (IP), default risk premium (DRP), liquidity premium (LP), and maturity risk premium (MRP). Which of these premiums is included when determining the interest rate on...

Relevance of equipment costs. The Auto Wash Company has just today paid for and installed a special machine for polishing cars at one of its several outlets. It is the first day of the companys...

Aitken Company needs cash. The company has several hot new products and sales are growing rapidly. The controller has just presented CEO Jim Aitken the following balance sheet updated through today,...

4). The Miami Art Museum (MAM) is working on the budgets for the 2008 fiscal year, which mns from January 1 through December 31. During the first half of FY08 MAM expects its revenues and expenses to...

During its fiscal year ending on July 31, 2006, the Dr. Ing. h.c. F. Porsche AG, commonly known as Porsche, manufactured 102,602 vehicles. During that same year Porsche recorded depreciation on...

The following gross profit data are taken from the financial records of the Eckhardt Company: Required 1. If it is known that volume declined 5% from 2007 to 2008, by how much did selling prices...

Impro Company operates in a state where corporate taxes and workers compensation insurance rates have recently doubled. Impros president has just assigned you the task of preparing an economic...

Write a research paper on the types of Social media that are in use today. Note: For each type, you need to include all the information you find, i.e: definition, advantages and disadvantages, how it...

Fraud is A. a mistake that causes harm B. an intentional representation of facts that generally has an immaterial affect on the company C. an intentional misrepresentation of facts that is generally...

ement to commit a is and ceable. oidable voidable or tort; voidable or tort; void at not crime; void q ,

18. Out of 28 students, 12 have at least one brother and 13 have at least one sister. Eight students have both brothers and sisters. How many students do not have either a brother or a sister? A. 11...

16. If X = {, P, $, } and Y = {v, 4, +, a), which of the following statement(s) is/are NOT true? . The two sets are equivalent sets. ii. The two sets are equal. i. The two sets are disjoint sets. A...

A bond with a face value of $ 280,000 and a quoted price of 92 has a selling price of?

Consider the case where a company X wishes to sell fruits and vegetables online with the possibility of home delivery. What are the EIGHT unique features you would look for when establishing an...

Discuss the key competencies required for global employees to succeed

Mr. Andrew Milligan has not been successful in negotiating a settlement with the claims adjuster, Ms. Margaret Dodd. So Mr. Milligan comes to your office requesting that your law firm bring a lawsuit...

17. Restaurant manager Sam has just presented below the operational results of the restaurant to the owner John. The results are presented as below. (10 marks) Sales F&B Cost Labour Cost Fiscal year...

http://web2.gov.mb.ca/laws/regs/current/_pdf-regs.php?reg=217/2006 https://www.safemanitoba.com/Page%20Related%20Documents/resources/3664_swm_safety_health_guide_for_small_business_web.pdf...

\fNew research suggests that the most effective executives use a collection o f distinct leadership styles each in the right measure, at just the right time. Such flexibility is tough to put into...

How does a sale of goods differ from a gift or a loan? Sales of personal property are required under the UCC to have only one term in the contract. What is that term? Has a bailment been created when...

Case 1: Operations management processes at The Taste of Africa Eric Ndlovu owns and runs The Taste of Africa, a fast food restaurant in the heart of Soweto. The business opened its doors in April...